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Honduras Government Loan 1869 - Obligaciones de los Ferros Carriles des Estado
Railway Gold Loan of 300F or 60 Piastres or 12£ Sterling - Paris 1869
Signed by Victor Herran
Loan guaranteed by the Government of Honduras, which pledged to repay in gold payments by drawing lots in 17 years. The bond was secured by a mortgage on the railways from Porto-Cortez to Fonseca Bay and on state estates and forests. The neutrality of the railway was guaranteed by France, England and the United States of America.
The proceeds of the loan were to be used entirely and especially to complete the inter-oceanic line. The securities were then to be replaced by a Profit Sharing Share bearing the same number.
This bearer bond is authentic and not canceled. It is signed by the Minister of Honduras in Paris, Victor Herran.
Illustrated with a mention of the independence of Honduras in 1821.
This large format title 50.5 x 33 cm excluding coupons, includes many coupons, a sign of non-repayment of the debt.
15 years before the scandal of the Panama Canal affair, this project was indeed a real fiasco, and at the origin of a financial and political scandal on both sides of the Atlantic. Only 57 miles of track had been built between Puerto-Cortès and San Pedro Sula, and was abandoned in 1875. By 1904, the railway debt still amounted to over £ 2 million. The railway was finally completed much later in 1883 and remains today the only railway in the country.
For more information: https://journals.openedition.org/rhcf/1651
Data sheet
- Country
- Honduras
- Theme
- Loans
- Rare bonds
- Issued before 1900
- Condition
- EF
- Printer
- A. Chaix et Cie (20, rue Bergère, Paris)