^HS"
1899.] The Boyal Niger Company. [147
settled, Mr. Chamberlain did not know more of them than any other shareholder.
Considerable discussion took place over the motion for the second reading of the Eoyal Niger Company Bill (July 19), various members expressing' the opinion that the price to be paid to the company (865,000J.) was too large. In explaining the policy of ministers Mr. Chamberlain said it was proposed to form three Governments in the territories to be taken over : one for Lagos, one for South Nigeria (including the whole of the Coast Protectorate), and one for North Nigeria. The first two would remain under their present administrators, while Colonel Lugard would be appointed Governor of North Nigeria. The Customs duties of the three districts would be identical, the receipts being "pooled" and divided from time to time in proper proportions between the three administrations. With regard to the liquor traffic, the sale of spirits would be absolutely forbidden in the northern district, and Colonel Lugard had a project which the Colonial Office viewed with favour for the formation of a neutral zone between Northern and Southern Nigeria, where spirits would be allowed to be sold, but not stocked, so that it would be almost impossible to carry spirits up into the northern district. The duties were already higher than in the neighbouring French and German protectorates, and he hoped they might be raised to a still higher point, though they must be careful that in raising them they did not stimulate smuggling from adjacent territories. Touching the question of slavery, he had to point out that the abolition of the status of slavery in the Niger Company's territories was necessarily, to a large extent, a paper arrangement. Domestic slavery could not be immediately abolished ; though, as our in- fluence extended, it must certainly die out. Meanwhile slave- raiding was being vigorously repressed in every part of Africa where we exercised control. In defending the terms of the bargain which the Government had made Sir M. Hicks-Beach said the company had by universal consent deserved well of the country. But for its work the great artery of the Niger and the territories adjoining would not now be in our hands, but in the hands of Germany or France, and it should, therefore, be treated in a generous spirit, especially as it had been by no means anxious to surrender its powers. For the balance-sheet of the company he repudiated any responsibility ; at the same time he denied that its capital had been " watered," as alleged. As to the debt charged on the revenues of the company, the Government had practically no choice but to take it over. The lands bought from the company were expected to yield a very considerable profit. The value of the mineral rights purchased could only be tested by results, and it seemed fair that payment should accordingly be made in part by royalties. The bill was then read a second time without a division, and although various •efforts were made during the committee stage (July 26) to
