Page:Statesman's Year-Book 1921.djvu/1229

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judicial districts. The judges of the Supreme Court are chosen by Congress from lists of names presented by the Government; those of the Superior Couits and of the Minor Courts are chosen by the Government from lists of names presented by the Supreme and Superior Courts, respectively.

Finance.

For the collection of the dues on alcohol, opium, tobacco, stamped paper for official uses, legacy and property transfer dues, etc., a new syndicate was formed under Government approval called the Compauia Recaudadora de Impuestos (the Tax Collecting Company), which began operations on the 1st April, 1913, making a loan to the Government, as i condition of its contract, of 1,245,000/., which sum is to earn 7 per cent, interest per annum. The Company retains 115,000 for administration expenses as also 1 per cent, of the profits.

Salt is a Government monopoly created originally (1896) for the purpose of raising a fund for the ransom of the Provinces of Tacu;i and Arica. Latterly, however, the Coin pan! a Recaudadora de Impuestos has undertaken, as one of the stipulations of its contract, to furnish the Government at any given moment with the necessary sum to make the service of amortization and interest of a loan it may contract for the ransom of the Provinces men- tioned. This monopoly produced a net revenue of 295,447*. in 1918.

The revenue and expenditure for 5 years (ended May 31) were as follows (10 soles = 1*.) :—

1915 1910 1917 1918

li-lv*

Revenue. 3,424.32C 3.942,383 4,1.10.435 4,392,461 Expenditure. 3,882,223 3,193.609 3,330,4S3 4,633.343

£

6,154.171

The foreign debt of Peru was made up of two loans, contracted in England in 1870 and 1872, amounting to 32.688,320*. In 1876 Peru was forced to suspend payments on its •xternal debt, and in 1889 the debt, including arrears of interest, amounted to 55,209,133*. In January, 1890, by the signing of the Grace-Donoughmore contract, the Committee of Peruvian Bondholders assumed all responsibility for the foreign debt of Peru, and in return the Peruvian Government granted that organisation certain concessions (rights over guano deposits, mines, and lands) and the control of all State railways, for a period of 66 years. The Peruvian Corporation was then created by the Committee of Peruvian Bondholders to administer these concessions. In 1907 a new contract was effected between the Peruvian Corporation and the Peruvian Government by which certain disputes were adjusted ami tinder which the railway lease was extended for an additional 17 years, during which time the Government was to receive 50 per cent of the net profits resulting from the operation of the railways after the service of the corporation's railway bonds had been met. The Government extended the contract with the Peruvian Corporation for 10 vears from September 11, 1911.

The total debt of Peru (June 30, 1920) amounted to 6,088,740*, of which the internal debt amounted to 3,969,216*., the loans to 950,537*.. bank obligations to 680,391*., debts to the Tax Collecting Companv 1,302,000*, sundry loans 14.558*., floating debt 41,9-

In 1919 a law was passed authorising the Presideut to issne at par bonds of the International Consolidated Debt of a nominal vilue of 2,000,000 Peruvian pounds redeemable in 31 years by semi-yearly drawing, bearing interest at the rate of 7 percent, per annum.