Holy Roman Empire

Chapter 621: Journey to America

In the era of imperialism, embassies of the major powers often doubled as intelligence-gathering outposts. After sending off Nino, Ambassador Tom got busy reviewing relevant intelligence reports.

There was no choice. France’s interests in Colombia were limited, and in diplomatic affairs, Colombia ranked very low on the priority list.

Being posted as an ambassador here was essentially a sinecure, a role where one could coast along idly. Over time, Ambassador Tom had grown complacent. Even though intelligence was collected, whether he bothered to review it depended entirely on his mood.

Now, however, obtaining the development rights to the Panama Canal from the Colombian government required understanding the opponent’s weaknesses.

As time ticked by, Tom gained a general understanding of Colombia’s recent developments.

As for more detailed intelligence? Unfortunately, with the embassy’s limited budget, conducting in-depth investigations wasn’t feasible. The information gathered so far was essentially on par with what one could read in the newspapers.

After putting down the intelligence reports, Ambassador Tom furrowed his brow. Clearly, the information on hand wasn’t what he was hoping for.

“Dissev, bring me the intelligence on Austrian activities in Colombia and anything related to the Panama Canal project,” he ordered.

Secretary Dissev replied calmly, “Ambassador, we only have intelligence on Austrian activities. The Panama Canal project isn’t within our current intelligence-gathering scope.

If needed, we could acquire publicly available data from the Colombian government within a week, but for in-depth information, additional funding would be required.”

Ambassador Tom’s expression darkened. While the French government was wealthy, the French embassy in Colombia was impoverished.

This was evident from the embassy’s staff composition, which totaled fewer than ten people, including a cleaner, a cook, and two guards.

In this era of limited communication, foreign ambassadors wielded significant authority, including hiring local staff as part of their duties.

The small number of embassy personnel was primarily due to insufficient operating funds. Otherwise, Ambassador Tom wouldn’t have minded hiring a few more staff members.

A lack of money meant many tasks couldn’t be accomplished, such as intelligence gathering, which had to focus selectively on priorities, while secondary intelligence was abandoned.

Under normal circumstances, Colombia’s canal project wouldn’t involve France. The French influence in the region was minimal, leaving no opportunity to benefit from such endeavors.

The current situation, however, was clearly abnormal. Internally, Ambassador Tom couldn’t help but grumble at the recklessness of the capitalists, who seemed to act without considering the realities.

Nevertheless, for the sake of money, having already made a promise, Ambassador Tom intended to keep it. That was part of his professional integrity.

“No problem. I’m authorizing a special budget of 10,000 francs. You must quickly investigate and gather detailed information on Colombia’s canal project.”

Secretary Dissev was puzzled. This sudden generosity was uncharacteristic of the ambassador he knew.

In Dissev’s impression, Ambassador Tom was usually as frugal as possible. Especially when it came to the intelligence department, not a single professional spy was employed, and embassy staff had to gather intelligence themselves.

Ten thousand francs might not be a massive amount, but for the intelligence department, it was record-breaking.

Over the past three years, the total budget for all intelligence activities at the embassy had been less than five thousand francs.

You get what you pay for. With such limited funding, expectations for results were naturally low. Most of the time, the intelligence reports consisted of notes from newspapers combined with gossip overheard at banquets, compiled into something that would pass as a completed assignment.

While puzzled, Dissev had no intention of questioning further. Regardless of the reason, his priority was securing the funds first.

“As you wish, Ambassador. Within three days, you’ll have the relevant materials.”

Money makes things easier. As soon as the funding was allocated, efficiency instantly improved.

Having spent years in Colombia, Dissev had already built a solid network of connections. Moreover, the Colombian government was like a sieve, completely lacking any sense of confidentiality. Getting hold of some unimportant intelligence was remarkably easy.

If one were willing to throw money around, it would even be possible to bring out original documents. However, Dissev had no intention of spending extravagantly.

Given his position, obtaining access to non-critical information was as simple as visiting the Colombian government archives directly.

If anyone dared refuse him, he’d create trouble and spark a diplomatic incident. It was a tried-and-true tactic, as the Colombian government was particularly fearful of international disputes.

…

Nino’s background was modest, belonging to the middle class at best. To climb the social ladder, he had worked tirelessly. For him, the canal project was a once-in-a-lifetime opportunity.

The powerful figures behind the scenes had promised that if he could handle the preliminary work and convince all parties to restart the canal project, he would become the first president of the canal company, overseeing the excavation and operations of the canal.

This promise carried significant credibility. People of influence would not go back on such a relatively minor commitment, and there was already a precedent: the first president of the Suez Canal Company.

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High rewards naturally come with high difficulty. If this task were easy, it wouldn’t command such a price.

Analyzing the available data, Nino quickly realized that the Panama Canal was of little importance to the Confederate States, as their coastline was primarily concentrated on the eastern seaboard.

On the contrary, the United States of America, with territory spanning both east and west coasts, is busy building railways to strengthen trade and commerce.

Opening the Panama Canal would shorten the distance between the Atlantic and Pacific Oceans, bringing immense economic and strategic value to the United States.

In an era where national relationships were dictated by interests, the United States’ interests clearly aligned with the canal project, making it the ideal partner for collaboration.

After much deliberation, Nino concluded that an alliance between France, the United States, and Spain to counter Austria in Colombia had a high chance of success.

Compared to partnering with Britain and Austria, a coalition with the United States and Spain was more likely to ensure French dominance. Even if problems arose, France had the strength to impose its will.

After sending a telegram to the country explaining the situation, Nino wasted no time. He boarded a ship to the United States, determined to bring them into the fold.

…

The United States suffered a devastating blow from its defeat in the Civil War, with the federal government on the verge of bankruptcy. The financial groups that supported the government during the war naturally suffered significant losses.

After the war, the prestige of the federal government was severely diminished, and individual states began to act independently, with local protectionism becoming widespread. In the original timeline, a few financial conglomerates dominated the scene, but now it has evolved into a landscape of fierce competition among numerous players.

Nino faced a daunting task this time. Not only did he need to persuade the federal government, but he also had to secure the support of these capitalists.

Despite its weakened state, the Morgan financial group, once the king of Wall Street, remained the leading financial entity in the Union though its influence was no longer as overwhelming as in the original timeline.

To demonstrate his commitment, Nino chose the Morgan estate as the first stop on his mission.

…

“Mr. Nino, I admit that what you’re saying makes sense. The opening of the Panama Canal would indeed benefit the U.S. economy, but what’s in it for us?” Morgan asked directly.

Morgan showed little interest in this unexpected visitor. Based on his knowledge, no such figure existed in the French financial world. If it weren’t for the recommendation from the French ambassador, he would have assumed he was dealing with a fraud.

Nino smiled slightly, put down his coffee, and calmly replied, “I’ve heard that local protectionism is rampant in your country, and the Morgan financial group has faced considerable challenges in recent years.

If the Panama Canal is opened, that will change. Trade between the East and West coasts will inevitably flourish. Once the Morgan financial group has a voice in the canal, why worry about other businesses not cooperating?”

It was an empty promise. If the canal’s control were secured, achieving such influence wouldn’t be difficult.

But the problem was, with the limited strength of the U.S., on what basis would the Morgan financial group gain control of the canal after its opening?

Just because they have money?

Unfortunately, at this time, French financial groups had far more resources. On the European continent, the Morgan financial group was at best a second-tier entity.

Without control, as a minor shareholder, they would be lucky to receive dividends. If they tried to disrupt things, they might not even get that.

In that case, not only would they fail to exploit other businesses, but the Morgan financial group itself might have to accept French capital investments, further losing its autonomy.

Morgan shook his head and said, “Mr. Nino, this matter is too significant, and relying solely on us won’t make it happen. We would need to form alliances with others. But the more participants there are, the less influence we’ll have.

If I may ask bluntly, how much equity are you willing to offer? If it’s too little, there’s no need to waste anyone’s time.”

Nino hesitated for a moment before giving what he believed to be a generous offer, “Developing the Panama Canal involves many nations. We must have multiple partners. The United States can receive up to 21% of the equity.”

Developing the Panama Canal required cooperation from the local power players. No matter what, the Colombian government would need a share. Spain would also need to be brought on board with its own portion.

From the French perspective, maintaining control of the canal meant holding over half the equity. This left only a small fraction to be divided among the other three nations.

In reality, this was just an optimistic figure. If other European nations’ capital got involved, further shares would need to be allocated.

That 21% was essentially an empty promise. In the end, the U.S. would likely receive even less equity, and after an IPO, their stake would be further diluted.

Morgan waved dismissively and said, “Apologies, Mr. Nino. Morgan will not be participating in this venture.

With only 21% equity, it is impossible to persuade all parties. The risks we would need to bear are entirely disproportionate to the rewards.

As I understand it, Austria has been very attentive to the Panama region and has a significant immigrant population there. They could take control of Panama at any time.

If Panama were to fall into Austrian hands, our investments would have no protection. Is your country prepared to go to war with Austria to safeguard our interests?”

Nino frowned slightly and said, “Mr. Morgan, the likelihood of such a scenario occurring is very small. The Panama Canal involves the interests of four parties: Colombia, Spain, France, and your country.

If the four nations join forces, the resources we can bring to bear in the Panama region would not be any weaker than Austria’s.

The Austrian government is not reckless. Even if they harbor ambitions for the Panama region, they would not act rashly without assurance of success.”

Nino avoided making any empty promises. Everyone at the table was well aware of the realities, and attempting to deceive Morgan would be futile.

If he were to claim, “France will protect everyone’s investments,” Morgan would likely dismiss him outright.

As a representative of a capitalist interest, Nino had no authority to speak on behalf of the French government.

Even though France’s capitalists were powerful, their influence was far from sufficient to dictate national policy on a whim.

Not now, and even at the peak of corporate influence, financial groups could only influence government decisions, not make them outright.