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Schoenrich, Otto

"A Country with a Future"

In
the beginning of the year 1905 Santo Domingo had fallen to the lowest
depths of bankruptcy and financial discredit. After decades of civil
disturbance, misrule and reckless debt contraction, the deluge had
come. The substance of the country had been wasted in military
expenditures; agriculture and commerce were stagnant; a debt of over
$30,000,000 had been contracted with nothing to show for it but
forty-two miles of narrow-gauge railroad and two small gunboats; the
government obligations were chronically in default and interest
charges were piling up at ruinous rates; every port of the Republic
was pledged to foreign creditors who were clamoring for payment; one
port had already been seized and the occupation of the others by
foreign powers was imminent. At this juncture the Dominican government
applied to the United States for assistance and the custom-houses of
the Republic were placed in charge of an American general receiver,
with the obligation of reserving a specified portion of the customs
income for the creditors and turning the remainder over to the
Dominican government.


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