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North American interests became tied in several ways to Peru during the late 1800s. In 1867 President Balta came to power in Peru. It is conjectured that protection of the polls was financed by Mr. Henry Meiggs, an engineer born in Catskill, New York in 1811, who later received valuable railroad-building contracts.
Known as a lover of music, Henry Meiggs followed the gold fever to California, and became a lumber dealer at a time when plank roads were being built. He left abruptly in 1854, sailing with his family to South America and leaving behind a million dollars in bad debts. Meiggs had previously been engaged by the country of Chile, and built the railroad from Valparaiso to Santiago. He built a large fortune, and an elegant residence, the whole of which reportedly was built in the United States and shipped to Chile. (Trigg, 2002)
In 1865, Chilean president, José Pérez, planned to send Benjamín Vicuña Mackenna, a prominent politician, to the U.S. to buy armaments. Mackenna had visited the U.S. previously in 1853, and came away with a critical view of the United States, lamenting its mercantilism and paucity of intellectual life. (Brown, 1983, pg. 79-80) Even so, Henry Meiggs offered the services of William H. Cilley to the mission. From New Hampshire, Cilley worked between 1861 and 1863 as Meigg's assistant in the construction of the Santiago - Valparaiso line. When Mackenna departed in November for the States, Meiggs sent along letters of introduction to prominent officials and newspaper men. His attempt to drum up support through the U.S. newspapers failed. Only the New York Herald's James Gordon Bennett, provided support through the newspaper, exhorting returning soldiers and sailors from the Civil War to volunteer for the Chilean cause. (Brown, 1983, pg. 131) Mackenna met with Secretary of the Navy, Gideon F. Welles, who "allegedly set up contacts with an American torpedo expert."(Brown, 1983, pg. 127). Chilean consul, Stephen Rogers, proposed that if the American torpedo experts sunk the Covadonga, they would receive a bonus of $150,000 and for the Numancia, one million dollars. William Cilley reportedly sailed from New York with a group of North American torpedo experts, planning to break the blockade of Valparaiso. Brown (1983, pg. 127) probably refers this sailing, when he describes "torpedos in crates labelled 'soda water fountains'". Interestingly, Brown (pg. 181) says that "the deal fell through when agents of Henry Meiggs backed out" because "it was illegal to fit out a military expediton against a foreign anation with whom the United States was at peace". Cilley returned to the U.S. in 1866. (Salinas, 2007, pg. 10, 144) [A Cilley was engaged in 1865 by the Chileans to procure a gunmaker, an Englishman, with a view to founding and constructing guns and cannon. This appears to be the same person. (Trigg, 2002)]
In January of 1868 Henry Meiggs undertook the contract to build a railroad from Lima to Huancayo, made surveys for additional routes, and bid on the contracts to undertake construction of these routes. The government formed a commission to review the proposed contracts. One member of the commission, Federico Blume, illustrates the broad background of engineers then in Peru. Blume, born on St. Thomas in the Danish West Indies with a German father and Venezuelan mother, had an engineering degree from the Industrial School of Berlin and Hanover Polytechnic. He worked in Germany, Venezuela and Cuba, on U.S. railway construction, and the Chilean Valparaiso and Santiago railway. He spoke German, English and Spanish. He said this of Meiggs: "...Don Enrique Meiggs, who to loyalty in the fulfillment of his contractual obligations, unites familiarity with the management of great undertakings and commands an army of engineers, mechanics, special men for each kind of work, and countless laborers,who, at the raising of his finger, come running by thousands, when other contractors make vain efforts to secure a few hundreds." (Stewart, 1946, p. 90) Don Enrique rose early and tired rarely. He responded to questions promptly, clearly, and with a depth of knowledge. Nothing surprised or astonished him. He rarely drank alcohol and enjoyed the building projects he had acquired. He dwelt among "drafts and strips of paper" and spent his time perusing large "rolls of paper, covered with figures, signs, and lines." Notebooks littered his office and bedroom. For relaxation, he listened as members of his family played the piano. (Stewart, 1946, pg. 261) The Demand for Labor Beginning in 1868 and for four years after that, Henry Meiggs advertised in the Chilean papers asking for laborers to help with the construction of railroads in Peru. An estimated twenty to thirty thousand Chileans took passage to Peru to work on the railroads. (Stewart, 1946, pg. 88) Other estimates say that many of his crew were American, but of 10,000 men, half were Peruvian and half were Chinese. Both the system of mining guano at that time ane the newer railroad enterprises required a large amount of hand labor. The laborers on the guano islands dug the guano, transported it in wheelbarrows to the trucks to the cliffs. Subsequently, the laborers took two days to load a ship, passing the bags by canvas shoots into the hold. In the 1850s, the labor force needed to be doubled. Vessels waited in line up to two to three months to be loaded. (Mathew, 1981, p. 116-117)
The difficult working conditions of the endentured laborers sometimes drove them to suicide. An observer, Lillius Grace, would later recall that the Chinese would overdose themselves with opium, then "dig a grave, and lie in it. It was not uncommon to see a Chinaman lying in an open grave, still alive." (Clayton, 1985)
A number of Chinese resided in Lima as early as 1613 and had become successful business owners. In 1849 the passage of the "Chinese law" encouraged traders to embark on an aggressive effort to bring Chinese laborers to Peru. Domingo Elias, a wealthy politician and guano entrepreneur brought over 79 Chinese laborers, and was subsidized 30 pesos for each of them by the government. Jose Canevaro, another guano merchant, brought over at least 3,650 Chinese.
Over the next 25 years, more than 100,000 Chinese were brought to Peru and of those who left China for Peru, 25 to 30 percent perished during the journey (Clayton, 1985, pg 29-30). The arrival of large numbers of Chinese as laborers caused concern over time in Peru, and became an issue in the coming conflict.
China stopped the coolie trade in 1875, so traders switched their attention to the shores of the western United States. There they arranged work contracts of three to five years. This contract was a 10 hour day, with Sunday off and 16 soles in silver. (Dobyns, 1976, pg 173)
Plantations along the coast, the railroad builders and the guano miners sought these Chinese laborers. The cheap labor of blacks and the Chinese helped generate the profits for foreign companies that had contracts in Peru, and allowed the creation of luxurious estates and frequent trips to Europe by the Peruvian elite. This helped build the business network with Europe and America, while stimulating a desire for European and U.S. technological advances.
Railroad Contracts Henry Meiggs eventually acquired contracts to build railroads throughout Peru, contracts totaling $126,000,000. In 1870, Guillermo Bogardus, whose name will appear later in this series of accounts, an agent for Henry Meiggs, went to France to deal with the Dreyfus Brothers, who were in the process of completing a contract with Peru for the funding of the railroad construction. (Salinas, 2007, pg. 51-52) Mollendo-Arequipa 1870 Lima - La Oroya 1870 Ilo - Moquegua 1872 Arequipa - Puno 1874 Pacasmayo - Cajamarca 1871 Chimbote - Huaraz 1872 Puno - Cuzco 1872 (Raimondi, 2005, pg. 604) The funds for these enormous endeavors came from foreign loans. Many of the materials needed to build the railroads also came from overseas, the rails from England and the ties from the United States. (Squier, 1877) In fact, Meiggs imported virtually everything that he used in constructing his railroads: blasting powder, medicines, clothing, rolling stock, tools, and lumber, mostly from the United States. Meiggs made many allies by giving everybody something to do. He employed potential revolutionaries,and sent one of them to the Grace Brothers to purchase a sailing ship, naming it the Don Enrique. (Flint, 1923).
Henry's nephew, Jacob Backus, came to work with him in 1869, working on the same line. From 1872 to 1874 (or possibly up to 1882) he was superintendent of the La Oroya line. (Salinas, 2007, pg. 108) Jacob was born in 1843 in Brooklyn and died July 9, 1899 in Lima. (Raimondi, 2005, pg. 604) The Oroya Railroad Ernest Malinowski, a Polish engineer, designed both the route of the Oroya railroad and other railroad lines for Henry Meiggs and the government of Peru. He envisioned the possibility of a trans-Andean line from his first arrival in Peru. Born in 1818 in Poland, he came to Peru on the 31st of October,1852, along with other engineers, to assist the administration of José Rufino Echenique in public works projects. In 1865, Minister of war, Colonel Jose Galvez, charged Malinowski with the construction of the chain of fortifications of Callao. Further, Malinowski joined the Peruvian ranks to fight against the Spanish squadron menacing Callao. (Lopez, 1999, pg. 34) Malinowski planned the Pisco-Ica line along with M. Allean and Federico Blume. Jose F. Canevaro obtained the contract to build that line in 1867. (López, 1999, pg. 18) John Thorndike, engineer and administrator of the Mollendo - Arequipa - Puno line, benefited from the work of Gerrit S. Backus and Malinowski in the planning of that line. (Lopez, 1999, pg. 27) (Salinas, 2007, pg. 107) The Oroya railroad, once finished, would link the coastal cities of Lima and Callao with the high Andes and the silver mines of Cerro de Pasco. In 1868, Henry Meiggs undertook the study for the construction of that railroad, wiht the help of Malinowski who proposed the route to be taken. (Lopez, 1999, pg. 20) A commision of engineers, that included Federico Blume, Felipe Arancivia, and Walter F. Morris, approved the project. (Lopez, 1999, pg. 20-21) On December 18, 1869, the government presented the contract to Henry Meiggs. (Lopez, 1999, pg. 22) In February of 1870, Meiggs began building the line, and William Cilley returned from the U.S. to supervise the construction (López , 1999, pg. 22). This railroad was an amazing feat of engineering. It climbed more than 14,000 feet in only 78 miles with multiple switchbacks, 65 tunnels and 61 bridges. The building crew included 8,000 to 10,000 workers, half Chinese and half Peruvians, Chileans, and Bolivians, with the assistance of 600 mules. (López , 1999, pg. 22) The construction of the line reportedly cost Peru 7,000 workers through accident and disease. Landslides, falling boulders, premature explosions and altitude sickness caused considerable delays.(Werlich, 1978, pg. 94) Meiggs completed the line up to San Bartolome in 1871, but it wasn't until 1893, that his brother Michael Grace, after Henry's death, completed the final section to La Oroya. (Lopez, 1999, pg. 23)
Starting from the sea, the Oroya ascended the narrow valley of the Rimac through sparse vegetation and masses of torn and twisted rock. The track rose 5,000 feet in the first 46 miles. At first the line climbed through banana groves and fields of sugar cane, with patches of corn and alfalfa. The view narrowed as one entered a valley, its slopes thickly terraced with ruins. There it stopped at Chosica, a sunny resort, before reaching Matucana. Following a winding pathway along the edge of precipices and over bridges, the track tunneled through the Andes at an altitude of 15,645 feet, the highest spot at that time in the world reached by a railroad. Henry Meiggs brought other engineers down from the United States to help build the railroads. John Howard Johnston, an engineer and investor, was born in Bath, New Hampshire in 1850 and died in Lima May 9, 1913. He arrived in 1871, and worked with Jacob Backus on the same rail lines. In 1876, Backus and Johnston established an ice house that would later become a brewery in 1879. He lived in Miraflores. (Raimondi, 2005, pg. 604)
In 1872, Henry Meiggs hosted the great naturalist, Louis Agassiz, on his travels in Peru. Meiggs took his guest on an excursion up the Rimac Valley on the Central Railroad on the occasion of the professor's birthday. The guest list included Major Williamson, the United States Consul to Peru, Commander Johnson and some of his staff of the U.S. surveying ship Hassler, a Dr. Jones of the U.S. Flagship Pensacola, and Commander Kennedy and his officers of the H.M.S. Reindeer. Professor Agassiz graciously told his host that because he had seen Henry Meiggs, "he had seen Peru." (Stewart, 1946, pg. 258)
By 1874, Peru was on the verge of bankruptcy. Revolutions and disturbances erupted due to the bad state of finances, and the ambitions of political caudillos and military chiefs. Payment on interest on bonds had ceased due to the bankruptcy of the government at the economic situation in Peru had become chaotic. Henry Meigg’s financial status began to disintegrate along with the economy of Peru. In 1875, the Peruvian government stopped paying him. (Raimondi, 2005, pg. 604)
A treaty between Chile, Peru, and Bolivia permited the export of nitrate from Antafogasta free of duty, but Bolivia and Peru made a secret alliance. With this secret alliance, the nitrate territory of Bolivia was ceded to Peru and was handed over to Henry Meiggs.
By 1876, William Cilley worked for the La Compañía de Obras Públicas y Fomento del Perú, possibly because of a shutdown in construction of the Oroya line? (Salinas, 2007, pg. 144)
In July of 1877 Henry Meiggs attempted to get Peru to issue $15,000 in paper money in payment of the bonds held by him, so that he could continue to open the Cerro de Pasco mines, mines discovered by the Jesuits around 1635 and considered to be the richest and most extensive silver deposits in the world. The Grace Brothers decision to limit credit to Meiggs strained their relationship. On September 30, 1877, Henry Meiggs died. William Cilley served as pallbearer at Meigg's funeral and, as set out in the will, with others, took over Henry Meigg's contracts. **** Ernest Malinowski fled to Ecuador when the Chileans attacked Miraflores in 1881. He returned to Lima in 1886 and died there March 2, 1899. (López, 1999, pg. 35, 57) ****
Resources: Brown, Stephen Dechman. 1983. The power of influence in United Status-Chilean Relations: a thesis submitted to the Graduate School of the University of Wisconsin-Madison in partial fulfillment of the requirements for the degree of Doctor of Philosophy. 2 vol. 557 pp. Clayton, Lawrence. 1985. Grace: W.R. Grace & Co. The formative years 1850-1930. Ottawa, Illinois: Jameson. 403 pp. Page 37. Dobyns, Henry F. and Paul L. Doughty. 1976. Peru: a cultural history. New York, Oxford University Press, 1976. 336 pp.
Flint, Charles R. 1923. Memories of an active life: men and ships and sealing wax. Putnam. 349 pp. López Soria, Jose Ignacio and Isaac Cazoria Moquillaza. 1999. Malinowski, el ingeniero de los ferrocarriles. Lima: Biblioteca Nacional del Perú: Universidad Nacional de Ingeniería: Proyecto Historia UNI. 61 pp. Mathew, W.M. 1981. The House of Gibbs and the Peruvian guano monopoly. London: Royal Historical Society. 281 pp. Raimondi, Antonio 2005. Mirada íntima del Perú : epistolario, 1849-1890. Pompilio Inglesi, Spartaco Inglesi Black, Ricardo La Torre Silva, editors. Lima : Fondo Editorial del Congreso del Perú : Banco Central de Reserva del Perú. 2 volumes. 905 pp.
Salinas, Alejandro. 2007. Estudio socio-historico del epistolario Meiggs (1866-1885) Lima: Seminario de Historia Rural Andina, Universidad Nacional Mayor de San Marcos. 317 pp.
Squier, Ephraim George. 1877. Peru: incidents of travel and exploration in the land of the Incas. (Reprint of the 1877 ed. New York: AMS Press. 1973) 599 pp.
Stewart, Watt. 1946. Henry Meiggs: Yankee Pizarro. Durham, N.C.: Duke University. 370 pp.
Trigg, Angela. 2002. The Life of Daniel Trigg C.S.N.
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