494 PROCEEDINGS of the POLITICAL CLUB, &c. Nov. miums for infuring upon foreign bot- Europe, never much famed for riches, could ever entertain a thought of engaging in this trade. What then could give them any hopes of engaging in it with fuccefs? I will be bold to fay, Sir, it was entirely owing to their having fuch a fafe and eafy method of infuring in England, and to the want of proper laws, or the non-execution of the laws we have, to prevent our own people from engaging with foreigners in fetting up an Eat-India trade. The fhips employed in this trade are so large, and the cargoes fo expensive, that it would have been found very difficult, if not impoffible, to have freight with a number of adventurers either in Flanders, Denmark, or Sweden, who were rich enough to have furnished, and bold enough to have ventured to furnish, the expence of fitting out fuch a fhip, if they must have taken the whole rifk upon themselves; but they knew that whatever fum they contributed for that purpose, they could easily. D and fafely infure at London, and that confequently their risk would be only what they paid for infurance. The Eaft India trade, Sir, is a trade of the utmost importance: It is a trade of infinite advantage to C every country where it is once thoroughly eftablished; not only on account of the great riches it brings in, but because it furnishes a vaft variety of goods, which may be exported and fold to advantage, in every other part of the world; confequently, it contributes greatly towards an extenfion of commerce, because it ferves to make up what is called the fortment of a cargo for almost every other foreign market; and if we will but recollect the many great families we have now amongst us, who owed their first rife to the EaftIndia trade, we must acknowledge the benefit it has already been of to this nation. Therefore the prefervation of it deferves our utmost care, and the attempts now made by all our neighbours upon the continent to fhare this trade with us, ought to roufe our attention; for thefe attempts alone are fufficient to convince even thofe who understand nothing of trade, that this branch is one of the most beneficial. Now, Sir, if we confider the dif ficulty and the vast expence in eltablishing an Eaft India trade at the firft outlet, we cannot help being furprifed how fome of the nations in F This, Sir, encouraged them to form the project, and to contribute towards its fuccefs to the utmost of their power; and what was beyond E their power to furnish was made up by fone rich men of this country, whole avarice tempted them to be guilty of fuch a high crime against their native country. Our own people, Sir, not only furnished foreigners with infurances, but also with what money they wanted for fetting up this trade: Nay more, they furnished them with the fkill how to conduct it; for feveral perfons who had been employed by our Eaft India company, were fo ungrateful as G to engage in the fervice of thefe foreign companies, and made ufe of that experience, skill, and knowledge against our Eaft-India company, which they had acquired by the favour of our Eaft-India company. 1752. PROCEEDINGS of the POLITICAL CLUB, &c. 495 the Eaft Indies. This, I believe, we may effectually do; for tho' our infurers are generally men of great character as well as fubftance, yet no fubject of this kingdom, and much lefs a foreigner, will truft to their word alone. Some fort of policy in writing will be required; and as the broker, as well as the factor for the infured, besides the infured themselves, muft be intrufted with the fecret, and will always have in their hands a proof fufficient will underwrite fuch a policy, if the fact be by an exprefs law made criminal and fubjected to a fevere penalty; for in all fuch cafes the infurer would be fo much in the power of the infured, that he could neither controvert a pretended lofs, nor refufe to comply with the most fraudulent demand. Thus every gen pany. Against this wicked practice, it is true, a law was made as foon as it came to be difcovered; for the first law against it was paffed in the 5th year of his late majefty's reign, which was about the time of, or foon after the fetting up of the Oftend A company; and feveral laws have been fince paffed for enforcing that law, and for preventing the fubjects of this kingdom from engaging in, or contributing towards the eftablishment or carrying on of any foreign trade to the Eaft Indies, one of B for conviction, no man of substance which, in my opinion, prohibits by implication what is defigned to be exprefsly restrained by this bill: I mean the act paffed in the 9th year of his late majefty, to prevent the fubjects of this kingdom from being concerned in promoting any fub C fcription for an Eat-India company in the Auftrian Netherlands; for it is therein enacted, that whoever shall_tleman must fee, that the bill now subscribe to, or promote the establishing or carrying on any other foreign company, fhall be liable to the penalties inflicted by that act: Now it D is certain, that whoever infures upon the fhip of any foreign Eaft India company, promotes the carrying on of the trade of that company, and should therefore, I think, be deemed within the defcription of that act ; but as all penal laws, according to E the maxim of the lawyers, ought to be ftrictly interpreted, this admits of a doubt, and for this reafon the bill now before us becomes neceffary; and is the more neceffary, as it has been hitherto found impracticable to prevent the fubjects of this kingdom from becoming adventurers in foreign Eaft India companies; for the concealing of it is fo eafy, that it is impoffible to come at fuch a proof as may render them liable to a conviction. F In this cafe therefore, Sir, the G before us will be effectual for the end propofed; and as it is the only method we can take for preventing our Eaft- India trade from being incroached on by foreigners, the many projects daily fetting up for that purpofe have, I think, made fuch a bill abfolutely neceffary; therefore I fhall move for its being committed to a committee of the whole houfe, and I hope my motion will be unani. moufly agreed to; for our unanimity upon this head will be of great fervice, as it will convince foreigners, that this nation will do every thing in its power, without coming to an open rupture, for rendering all their Eat-India projects abortive. The next that spoke was A. Baculanius, whofe Speech was to this Effect. Mr. President, only thing we can do for preferving tended only as a local and par this valuable branch of trade, is to prevent, by an exprefs law, the making any infurances upon foreign fhips failing to, or returning from d. ticular reftriction, yet, as it is not * See London Magazine for September last, p. 415. founded 496 PROCEEDINGS of the POLITICAL CLUB, &c. Nov. founded on that maxim of policy, which ought always to be followed by a trading nation, I am moft fin cerely and heartily against it; more especially as the Hon. gentleman who firit propofed it has given no reafons in fupport of that meature; A for, if good reafons could have been found, I know no gentleman more capable and willing to have enforced them. Nay, what is more remark. able, instead of giving reafons in fupport of the bill, he has been pleated to urge the neceflity of put ting the penal laws now in force into a more vigorous execution, in order to fupport the intolerable monopoly of the Eaft India company. making infurance, and they find their benefit in fo doing. I can fay myfelf, that I am one of thofe private merchants who find it very advantageous to rifque my adventures even from an iflind where the rifque in general, without any infurance, of a total, or an average lofs is arifing from the difficulty of the nagreater than from the Eat-Indies, vigation, and the nature of the commodity: For as fugar is the effential B moisture, and liable to be damaged falt of a plant, it is impatient of in a greater degree by water entering commodities. The loading of a suinto the veffel, than most other gar fhip is fo very heavy as to render the vellel not fo buoyant as the dangulph of Florida, or thro' the windgerous navigation, either thro' the ward paffage, in prudence requires; and. for this reafon, I have heard an Hon. gentleman, who fits under the gallery, declare, that he never defired to underwrite a fhip rom Jafind it my intereft, in general, not maica: I fay, notwithstanding this, to infure. I agree, Sir, with thofe who are of opinion, that without the help of infurance, merchants of fmall, nay C even merchants of large capitals, could not carry on their commerce with fuch fecurity and eafe as they do at prefent; for by means of thefe offices, every man underwriting a policy is a joint adventurer with the merchant, and if the fhip and cargo be loft, the misfortune becomes fo diffufed, that the lofs is fcarcely felt by any particular perfon, the hazard is fo inconfiderable, that a merchant can fit down quietly in his comptinghoufe, and calculate the profits of his trade with almost a moral cer tainty. DI E F I will alfo allow, Sir, that if no offices of infurance, publick or private, were established in any part of Europe, fave Great-Britain, in that cafe the preventing, by law, the infurances on foreign fhips would, in fome inftances, check the trade of foreigners. As to the preventing it intirely, I am certain it would not, but they would carry on their trade in general as they do at prefent, with this difference, that particular merchants would not rifque fo great G a capital on a fingle bottom: For we all know, the merchants, and all the publick co n macy private panies, carry on their trade without highly probable, that men would From this reafoning, I think it become adventurers, provided no fhop of infurance was established ; infure at prefent, it is probable, that and as our great companies do not by this bill we fhall force the Embden reft, by ftanding their own infurers. company to purfue their own inteSir, this method of infurance is of modern date, invented by the Itabanks, book keeping, &c. and were lians, who first fet the example of formerly the great merchants of Europe, and ingroffed the whole trade of India only people who have regular offices But we are fo far from being the most of the great trading cities of of inturance, that, on the contrary, Europe have them either publick or private: They are established at Pafterdam, and Leghorn, and other Fis, Calais, Lifbon, Bourdeaux, Am Cities 1752. PROCEEDINGS of the POLITICAL CLUB, &c.. 497 cities of Italy. So that the practice Gentlemen may imagine, that infurances are made cheaper here, or at least the money for which the infurance is made, is more fecure and more easily recovered, than in any other part of Europe; but, Sir, I am not fo clear in that point as fome other gentlemen may be, and my opinion is founded, in a great meafure, on my own experience. In the late French war, every gentleman knows, that infurances run exceedingly high, more especially thofe made on fhips failing from the English and French fugar colonies, which trade is by much the greatest and molt advantageous that the French carry on, as may appear by the reprefentations of their council of commerce, or their board of trade, to the royal council. Our infurances from Jamaica run from 241. to 30l. per cent, to pay 981. in cafe of lofs, and to return five guineas in cafe they failed with convoy. The infulances on French hips run as 5 D high as 351. per cent. from their iflands, which, by their fituation, were not fo much expofed to the danger of the feas and privateers as Jamaica, which lies to the leeward. This was the state of infurances in the war, and altho' the French infured with us at fo exorbitant a premium, it does not prove, that they could not have infured at a cheaper rate in any other parts of Europe. They infured ftill with us, being accustomed to our fhop, where their correfpondencies were fettled, and they had been well used; and every body knows how averle mankind are to make changes and experiments, even where it is to their advantage: This I know by myfelf, who have conftantly fent yearly to the Cork market to buy English herrings at an advanced price, when I could have purchased them cheaper at our own doors. Sir, I fay then, that the Dutch did infure much cheaper than we did, and I did not hear of any complaints of their not paying their loffies, provided those folles were regularly and justly authenticated. And, Sir, to prove this affertion, I will beg leave to acquaint the houfe, that by the fitua tion of my property abroad, I had an opportunity of knowing a little of these infurances; and altho' I was very fenfible, that great gains were made in the war by the infurers, even from Jamaica, the worst navigation of all the islands, yet prudence required, that I fhould not rifque all my adventures without infurance, and therefore it was necefF fary to look out for a fhop where [ might make infurance to the best advantage. I accordingly difcourfed this matter over with Meff. D. and L. (an houfe of great credit and reputation in the Eaft and Weft India trade, for I think Mr. D is an Eaft India director) and complained to them of the exorbitancy of our infurers demands. They informed me they had policies underwrote at E Amfterdam 498 PROCEEDINGS of the POLITICAL CLUB, &t. Nov. Amfterdam at much more reasonable rates than at London; and as a proof of what I fay, I have had the favour of feeing their books, and found they made infurances at Amfterdam an hundred per cent. cheaper tent but affronting the K. of P-1) I find, by what passed in the house on another occafion, that the alarum bell has been founded, Embden delenda eft; as if this nation could be endangered by any schemes of trade, than in London, and the lofs very A or any other fchemes carried on N. B. Here the extract was read from their books. C Now, altho' I have a very good B opinion of our underwriters in general, yet I do not think them more fecure to infure with than the Dutch; I have not found them fo, for I can fay, that I have fustained by them in the infurances I made; many loffes and I have had difputes with them upon demands, which, if a man may be a judge in his own cafe, I have thought very unjuft. I have one now depending ever fince the war, and have chofe a very worthy member of this houfe for my um D pire; therefore I hope I thought to have fome reafon for may be thinking, that infurances are not made cheaper, or the money more fecure, in cafe of lofs, than in fome offices erected abroad. The intent of this bill is to ob- E ftruct the fchemes of a great prince not in the beft humour with us; but I cannot think it either prudent or politick to endeavour to irritate him more by this ill-timed partiality. circumftances of P are fuch, from Embden. The fituation and that it is impoffible that prince can become a formidable power at fea like the old government of the MaHis government is entirely military, malukes, and a fingle mifcarriage may prove fatal to all his fchemes, as it did to them. His dominions are not fituated like thofe of Swepowers concerned in the Eat-India den, Denmark, France, and other coaft: And I must say, the maritime trade; he wants an extent of fea power of every nation will, ceteris paribus, be in proportion to their extent of fea coaft. The principle of this bill is wrong, Eaft India company, founded on a it is like the other fchemes of the fpirit of monopoly, which reigns in that weak and ill conducted company: Which monopoly they have long enjoyed, and poffibly may (till the eyes of the nation are opened by its misfortunes) further enjoy, conbut they never can fupport this motrary to the rules of all good policy; nopoly against foreigners, who are not fubject to our laws. All poli-> tick nations, except England, fee the riches, power, and influence that flow from commerce, and therefore F the French, the Danes, the Swedes, they are all courting so fair a mistress; the Portuguese, Spaniards, and Pruffians, and, in fhort, all the nations of Europe. And as they all have a right to trade to the Eaft-Indies, as much as they have a right to trade power, you may depend on it they with Spain, or any other European will trade to India, unless you can find out fome method to make it not worth their while; and I have fhewn, by examples, that this bill will not The bill feems calculated to prevent the K- of P from carry ing on a trade to the Eat-Indies from the port of Embden, by which means he may in time become a maKitime as well as a great landed power, and fill us with fears, as the K. of Sweden did formerly; it is to prevent his interfering, by his fup. G plies of India goods, in foreign markets, with our East India company. This I take to be the intent of the bill (if the bill has any other in have |