! M m ) »f WJ '!!i! i'i'li i;iH;! 1,'m 1/', !l!|if{ !'!'! M'M!'i ii'iii '-.ii'i j'/;!i ( '^^. <^ - / ■''o^ .^ ' » » ^ .\ . V 1 8 ^ .^^. "^ '^. . t \' «■ '■' /■ '' 93 V\%#/\^ « :,. -<. ^ » * S A ^^o^ ^^^ <^' ^ -% ^*' "s ■ .■?-• 'y. ^z- c:'^ 'f^ -:--». " -k -_ vv ..:^ ^^. ^^. " ^^^ '.iJittp://www.archive.org/details/presentconditiohOOurilf'^ ^^\ ■•-. ^ ;■ ,^^- \V -<*jlj^)i^ ,, ■^ ,-- aO CU '' ^ip\> V* * "^- O. o_.^^^^._.^ -e^ j-^ ^ ^^: ' .>"% ^:^'^ ,<^% '' \V '^ .H"-"V\-' '>, .0^ .0> s"- "■ 'y, '"C 37th Coxgrkss, ) HOUSE OF REPRESENTATIVES. ( Ex. Dec. 2d Session. / j \ No. 100. [\k. THE PRESENT CONDITION OF MEXICO. CZ" MESSAGE PRESIDENT OE THE UIITED STATES, IN ANSWER To resolution of the House of the 3d of March last, transmitting report from the Departvient of State regarding the present condition of Mexico. ApRir, 15, 1862. — Keferred to tlie Committee on Foreiga Affairs, and ordered to be printed. April 21, 1862. — Resolved, That ten thousand extra copies of the President's Message of the lith instant, in regard to the present condition of Mexico, be printed for the use of the members of this House, and one thousand extra copies for the use of the State Department. To the House of Representatives : lu compliance with the resolution of the House of Representatives of the 3cl ultimo, rec|uesting information in regard to the present condition of Mexico, I transmit a report from the Secretary of State and the documents hy which it was accompanied. ABRAHA3I LINCOLN. Washington, April 14, 1862. Department of State, Washington, April 14, 1862. The Secretary of State, to whom was referred the resolution of the House of Representatives of the 3d ultimo, requesting the President, " if not inconsistent with the public interest, to communicate to this house any correspondence or other information in his possession relative to the present condition of Mexico, and especially in relation to the alleged design of the allied powers now inva- ding that coimtry to establish a monarchy there," has the honor to lay before the President the papers containing the information desired as specified in the subjoined list. Respectfully submitted. WILLIAM H. SEWARD. The President. 3189 LIST OF DOCUMENTS KELATINC TO MEXICAN AFF AIRS, ACCOMPAHYIKQ THE President's message in reply to tJie resolution of the House of Representatives of March 3, 1862. Mr. Seward to Mr. Corwin April 6, 1861 Mr. Corwin to Mr. Seward May 29, 1861. Same to same June 29, 1861. Mr. Seward to Mr. Corwin June 3, 1861. Same to same June .24, 1861. Same to same J^ilj 30, 1861. ]Mi'. Corwin to Mr. Seward June 29, 1861. Same to same July 29, 1861. Mr. La Ecintrie to ministers of foreign powers in Mexico. -December 20, 1860. Mr. Seward to Mr. Corwin August 24, 1861. Mr. Corwin to Mr. Seward August 28, 1861. Mr. Seward to Mr. Corwin - September 2, 1861. Mr. Corwin to Mr. Seward September 7, 1861. Mr. Seward to Mr. Coi-win, (with one enclosure,) September 23, 1861. Mr. Corwin to Mr. Seward, (witb tbree enclosures,) September 29, 1861. Mr. Seward to Mr. Corwin October 2, 1861. Same to same October 21, 1861. Mr. Corwin to Mr. Seward October 29, 1861. Mr. Seward to Mr. Corwin November 11, 1861. Mr. Corwin to Mr. Seward November 29, 1861. Mr. Seward to Mr. Corwin December 5, 1861. Mr. Corwin to Mr. Seward December 24, 1861. Same to same, (with six enclosm-es,) December 24, 1861. Mr. Seward to llv. Corwin January 24, 1862. Mr. Corwin to Mr. Seward January 12, 1862. 1.-5 ^^' LIST OF DOCUMENTS 3 Same to same January 26, 1862. Mr. Seward to Mr. CorAvdn February 15, 1862. Same to same, (with one enclosure,) February 28, 1862. Mr. Oorwin to Mr. Seward February 18, 1862. Mr. Seward to Mr. Corwin April 3, 1862. - Mr. Romero to Mr. Seward, (witb twenty-eight enclosures,). . September 21. 1861. Mr. Seward to Mr. Romero September 24, 1861. * Mr. Romero to Mr. Seward, (with twelve enclosures,) September 30, 1861. - Same to same, (^rith one enclosui-e,) October 30, 1861. Same to same, (with one enclosure,) November 23, 1861, Same to same, (with seven enclosures,) November 28, 1861.. Same to same, (with two enclosures,) December 21, 1861. Same to same, (with nine enclosures,) January 24, 1862. Same to same, (with three enclosures,) February 16, 1862. Same to same, (with one enclosure,) April 10, 1862. Mr. Seward to Mr. Romero April 11, 1862. The ministers of Spain, France, and Great Britain, to Mr. Seward, (enclosing convention of the allied powers, signed at London, October 31, 1861,) November 30, 1861. Mr. Seward to Mr. Tassara, Mr. Mercier, and Lord Lyons . .December 4, 1861. Mr. Seward to Mr. Adams August 24, 1861. Mr. Adams to Mr. Seward September 14, 1861. Same to same ; September 19, 1861. Mr. Seward to Mr. Adams September 24, 1861 Mr. Adams to Mr. Seward September 28, 1861. Same to same October 4, 1861. Mr. Seward to Mr. Adams October 10, 1861. Mr. Adams to Mr. Seward October 11, 1861. Mr. Seward to Mr. Adams October 12, 1861. Same to same October 14, 1861. Same to same October 19, 1861. Mr. Adams to Mr. Seward October 24, 1861. Mr. Seward to Mr. Adams October 28, 1861. Mr. Adams to Mr. Seward November 1, 1861. Same to same November 8, 1861. Mr. Seward to Mr. Adams November 9, 1861. Mr. Adams to Mr. Seward November 14, 1861. Mr. Seward to Mr. Adams November 21, 1861 . Same to same •» November 25, 1861. Same to same December 18, 1861. Same to same January 8, 1862. 4 LIST OF DOCUMENTS. Mr. Adams to Mr. Seward -. January 24, 1862. Mr. Seward to Mr. Adams February 19, 1862. Same to game March 3, 1862. Mr. Adams to Mr. Seward February 14, 1862. Mr. Seward to Mr. Adams March 10, 1862. Mr, Seward to IMr. Dayton September 2, 1861. Mr. Dayton to Mr. Seward September 25, 1861. Mr. Seward to Mr. Dayton October 11, 1861. Mr. Dayton to Mr. Seward September 27, 1861. Mr. Seward to Mr. Dayton October 19, 1861. Mr. Dayton to Mr. Seward November 6, 1861. Same to same October 16, 1861, Mr. Seward to Mr. Dayton November 4, 1861. Same to same November 23, 1861, Mr, Dayton to Mr. Seward November 7, 1 861. Mr. Seward to Mr, Dayton December 18, 1861. Mr. Dayton to Mr. Seward January 15, 1862. Same to same February 13, 1862. Mr. Seward to Mr. Dayton March 3, 1862, Same to same March 10, 1862. Same to same March 31, 1862, Mr. Dayton to Mr. Seward March 31, 1862. Mr. Schurz to Mr. ScAvard September 7, 1861. Same to same September 14, 1861. Mr, Seward to Mr. Schurz October 14, 1861. Same to same October 14, 1861. Mr, Schurz to Mr. Seward October 4, 1861. Same to same October 9, 1861. Mr, Seward to Mr, Schurz October 28, 1861. Mr, Schurz to Mr. Seward October 15, 1861. Same to same November 3, 1861. Mr. Seward to Mr. Schurz November 9, 1861. Mr. Schiu'z to Mr. Seward November 7, 1861. Mr. Seward to Mr. Schurz November 11, 1861. Same to same November 23, 1861, Mr. Seward to Mr. Schurz December 6, 1861. Same to same December 11, 1861. Correspondence respecting the affairs of Mexico, presented to both hoiises of ■Parliament by command of her Majesty, 1862, containing 123 documents. CORRESPOEDEICE. Mr. Setvard to Mr. Corwin. No. 2.] Department of State, Washington, April 6, 1861. Sir : The actnal condition of affairs in Mexico is so imperfectly understood here that the President finds it very difficult to give you particular and prac- tical directions for the regulation of your conduct during your mission. Our latest information was, in suhstan&e, that the provisional government of President Juarez, so long confined to the sea-coasts of the country, had finally overthrown its adversaries and established itself at the capital; that the opposing armies had been demoralized and dispersed, and that there was no longer any armed resistance in the States ; that an election for president had been held, in conformity with the constitution of 1857, and that the now provisional president had probably secured a majority of the votes, although the result was as yet not certainly known. The pleasure which these events have inspired is unhappily diminished by rumors that the government is without sufficient authority or hold on the public confidence to maintain order ; that rob- beries are of frequent occurrence on the high roads, and even that a member of our late legation in the country has been murdered on his way from the city of Mexico to Vera Cruz. You will apply yourself at once, with energy and diligence, to investigate the truth of this last-mentioned occurrence, which, if found to have been accurately reported, will not only be regarded as a high offence against the dignity and honor of the United States, but will prove a severe shock to the sensibilities of the American people. The President is unable to conceive that any satisfactory explanation of a transaction so injurious to the character of Mexico can be made. He will, however, wait for your report concerning it, though with the deepest anxiety, before taking action upon the subject. I find the archives here full of complaints against the Mexican government for violations of contracts and spoliations and cruelties practiced against Ameri- can citizens. These complaints have been lodged in this department, from time to time, during the long reign of civil war in which the factions of Mexico have kept that covmtry involved, with a view to having them made the basis of de- mands for indemnity and satisfaction whenever government should regain in that country sufficient solidity to assume a character for responsibility. It is not the President's intention to send forward such claims at the present moment. He willingly defers the performance of a duty which at any time would seem ungracious, until the incoming administration in Mexico shall have had time, if possible, to cement its authority and reduce the yet disturbed elements of society to order and hannony. You Avill, however, be expected, m some maimer which will be marked with firmness as well as liberality, to keep the government there in mind that such of these claims as shall be found just wUl, in due time, be presented and urged upon its consideration. While now, as heretofore, it is a duty of this government to reason with that of Mexico, and deprecate a continuance of the chronic reign of disorder there, a crisis has unhappily arrived, in which the performance of this duty is embar- rassed by the occurrence of civil commotions in our own country, by which 6 THE PRESENT CONDITION OF MEXICO. Mexico, in congequence of her proximity, is not unlikely to be affected. Tlie spirit of discontent seems, at last, to have crossed the border, and to be engag-ed in an attempt to overthrow the authority of this government in some parts of the country which adjoin the Mexican republic. It is much to be feared that new embaiTassments of the relations of the two countries will happen when authority so long prostrated on the Mexican side finds the power of the United States temporarily suspended on this side of the frontier. Whatever evils shall thus occur, it is much to be feared, will be aggravated by the intervention of the Indians, who have been heretofore with difficulty restrained from violence, even while the federal authority has been adequately maintained. Both of the governments must address themselves to this new and annoying condition of things, with common dispositions to mitigate its evils and abridge its duration as much as possible. The President does not expect that you will allude to the origin or causes of our domestic difficulties in your iijtercourse with the government of Mexico, although that government' will rightfully as well as reasonably ask what are his expectations of their bourse and their end. On the contrary, the President will not suffer the representatives of the United States to engage in any discus- sion of the merits of those difficulties in the presence of foreign powers, much less to invoke even their censure against those of our fellow-citizens who have arrayed themselves in opposition to its authority. But you are instriTcted to assure the government of Mexico that these diffi- culties, having arisen out of no deep and permanent popular discontent, either in regard to our system of government itself or to the exercise of its authority, and being attended by social evils Avhich are as ruinous as they are unnecessary, Mobile no organic change that is contemplated could possibly bring to any por- tion of the American people any advantages of seciu-ity, peace, prosperity, or happiness equal to those Avhich the federal Union so effectually guaranties, the President confidently believes and expects that the people of the United States, in the exercise of the wisdom that hitherto has never failed them, will speedily and in a constitutional way adopt all necessary remedies for the restoration of the public peace and the preservation of the federal Union. The success of this government in conducting affairs to that consummation may depend in some small degree on the action of the government and people of Mexico in this new emergency. The President could not fail to see that Mexico, instead of being benefited by the prostration or the obstruction of fed- eral authority in this country, would be exposed by it to new and fearful dan- gers. On the other hand, a condition of anarchy in Mexico must necessarily operate as a seduction to those who are conspiring against the integrity of the Union to seek strength and aggrandizement for themselves by conquests in Mexico and other parts of Spanish America. Thus, even the dullest observer is at last able to see what was long ago distinctly seen by those who are en- dowed with any considerable perspicacity, that peace, ordpr, and constitutional authority in each and all of the several republics of this continent are not ex- clusively an interest of any one or more of them, but a common and indispen- sable interest of them all. This sentiment will serve as a key to open to you, in every case, the pur- poses, wishes, and expectations of the President in regard to your mission, which, I hardly need to say, he considers at this juncture perhaps the most m- tcresting and important one Avithin the whole cu-cle of our international relations. The President of the United States does not know, and he will not consent to know, Avith prejudice or undue favor any political party, religious class, or sectional interest in Mexico. He regrets that anything should have occurred to disturb the peaceful and friendly relations of Mexico with some of the foreign states lately represented at her capital. He hopes most sincerely that those relations may be everywhere renewed and reinvigorated, and that the independ- THE PEESENT CONDITION OF MEXICO. 7 ence and sovereignty of Mexico and the government wliicli her people seem at last to have accepted, after so many conflicts, may be now universally acknowl- edged and respected. Taking into view the actual condition and circ.umstances of Mexico, as well as those of the United States, the President is fully satisfied that the safety, welfare, and happiness of the latter woiild be more effectually promoted if the former should retain its complete integrity and independence, than they could be by any dismembei-ment of Mexico, with a transfer or diminution of its sover- eignty, even though thereby a portion or the Avhole of the country or its sover- eignty should be transferred to the United States themselves. The President is, moreover, well aware that the ability of the government and people of Mexico to preserve and maintain the integrity and the sovereignty of the republic might be very much impaired, imder existing circumstances, by hostile or unfriendly action on the part of the government or of the people of the United States. If he needed any other incentive to practice justice and equality towards Mexico, it would be found in the reflection that the very contention and strife in our own country which at this moment excite so much domestic disquietude and so much surprise throughout a large part of the world, could probably never have happened if Mexico had always been able to maintain with firmness real and unquestioned sovereignty and independence. But if Mexico has heretofore been more unfortunate in these respects than many other modem nations, there are still chcumstances in her case which justify a hope that her sad experience may be now coming to an end. Mexico really has, or ought to have, no enemies. The world is deeply interested in the development of her agricultural, and especially her mineral and commercial, resources, while it holds in high respect the simple virtues and heroism of her people, and, above all, their mextinguish- able love of civil liberty. The President, therefore, will use all proper influence to favor the restoration of order and authority in Mexico, and, so far as it may be in his power, he will prevent incursions and every other form of aggression by citizens of the United States against Mexico. But he enjoins you to employ your best efforts in con- vincing the government bf Mexico, and even the people, if, with its approval, you can reach them, that the surest guaranty of their safety against such ag- gressions is to be found in a pei-manent restoration of the authority of that government. If, on the other hand, it shall appear in the sequel that the Mexi- can people are only now resting a brief season to recover their wasted energies sufficiently to lacerate themselves with new domestic conflicts, then it is to be feared that not only the government of the United States, but many other gov- ernments, will find it impossible to prevent a resort to that magnificent country of a class of persons, unhappily too numerous everywhere, who are accustomed to suppose that visionary schemes of public interest, aggrandizement, or reform, will justify even lawless invasion and aggression. In connexion with this point, it is proper that you should be informed that the Mexican government has, through its representative here, recently complained of an apprehended attempt at invasion of the State of Sonora by citizens of California, acting, as is alleged, with the knowledge and consent of some of the public authorities in that State. You will assure the Mexican government that, due care being first taken to verify the facts thus presented, effective means shall be adopted to put our neutrality laws into activity. The same representative has also expressed to the President an apprehension that the removal of the federal troops from the Texan border may be f dlowed by outbreaks and violence there. There is, perhaps, too much ground for this apprehension. Moreover, it is impossible to foresee the course of the attempts which are taking place in that region to subvert the proper authority of this government. The President, however, meantime directs you to assure the Mexican government that due attention shall be bestowed on the condition of 8 THE PRESENT CONDITION OF MEXICO. the frontier, with a view to the preservation and safety of the peaceahle inhabit- ants residing there. He hopes and trusts that equal attention will be given to this important siibject by the authorities of Mexico. These matters, grave and urgent as they are, must not altogether withdraw our attention from others to which I have already incidentally alluded, but which require more explicit discussion. For a few years past the condition of Mexico has been so unsettled as to raise the question on both sides of the Atlantic whether the time has not come when some foreign power ought, in the general interest of society, to intervene to establish a protectorate or some other fonn of government in that country and guaranty its continuance there. Such schemes may even now be held under consideration by some European nations, and there is also some reason to believe that designs have been conceived in some parts of the United States to effect either a partial dismemberment or a complete overthrow of the Mexican govern- ment, -Rath a view to extend over it the authority of the newly projected con- federacy which a discontented part of our people are attempting to establish in the southern part of our own country. You may possibly meet agents of this projected confederacy, busy in preparing some farther revolution in Mexico. You will not fail to assure the government of Mexico that the President neither has, nor can ever have, any sympathy with such designs, in whatever quarter they may arise, or whatever character they may take on. In view of the prevailing temper and political habits and opinions of the Mexican people, the President can scarcely believe that the disafiected citizens of our own country, who are now attempting a dismemberment of the American Union, will hope to induce Mexico to aid them by recognizing the assumed in- dependence which they have proclaimed, because it seems manifest to him that such an organization of a distinct government over that part of the present Union which adjoins Mexico would, if possible, be fraught with evils to that country more intolerable than any Avhich the success of those desperate measures could inflict even upon the United States. At the same time it is manifest that the existing political organization in this country affords the surest guaranty Mexico can have that her integrity, union, and independence will be respected by the whole people of the American Union. The President, however, expects that you will be watchful of such designs as I have thus described, however improbable they may seem, and that you will use the most effective measures in your power to counteract any recognition of the projected Confederate States by the Mexican government, if it shall be solicited. Your large acquaintance with the character of the Mexican people, their in- terests and their policy, will suggest many proper arguments against such a measure, if any are needful beyond the intimations I have already given. In conclusion, the President, as you are well aware, is of opinion that, alienated from the United States as the Spanish American republics have been for some time past — largely, perhaps, by reason of errors and prejudices peculiar to themselves, and yet not altogether without fault on our own part — that those States and the United States, nevertheless, in some respects, hold a common attitude and relation towards all other nations; that it is the interest of them all to be friends as they are neighbors, and to mutually maintain and support each other so far as may be consistent with the individual sovereignty which each of them rightly enjoys, equally against all disintegrating agencies within, and all foreign influences or power without their borders. The President never for a moment doubts that the republican system is to pass safely tlirough all ordeals and prove a permanent success in our OAvn country, and so to be commended to adoption by all other nations. But he thinks also that that system everywhere has to make its Avay painfully through difficulties and embaiTassments, which result from the action of antagonistical THE PRESENT CONDITION OF MEXICO. 9 elemeBts which are a legacy of former times and very different institutions. The President is hopeful of the ultimate triumph of this system over all obstacles, as well in regard to Mexico as in regard to every other American State; but he feels that those States are nevertheless justly entitled to a greater forbearance and more generous sympathies from the government and people of the United States than they are likely to receive in any other quarter. The President trusts that your mission, manifesting these sentiments, wiU re- assure the government of Mexico of his best disposition to favor their com- merce and their internal improvements. He hopes, indeed, that your mission, assuming a spirit more elevated than one of merely commerce and conventional amity, a spirit disinterested and unambitious, earnestly American- in the conti- nental sense of the Avord, and fraternal in no affected or mere diplomatic mean- ing of the term, while it shall secure the confidence and good will of the government of Mexico, will mark the inauguration of a new condition of things directly conducive to the prosperity and happiness of both nations, and ulti- mately auspicious to all other republican states throughout the world. I am, sir, your obedient servant, WILLIAM H. SEWAED. Thomas Oorwin, Esq., Sfc., ^c, Sfc. Mr. Corwin to Mr. Seward. [Extract.] No. 1.] Legation of the United States, Ciii/ of Mexico, May 29, 1861. gjp. ******** I deem it of the very first importance that our consuls at every port on the Gulf of Mexico should be at their respective posts, with careful and specific in- structions as to their treatment of vessels sailing under the flag of the Confed- erate States, or having papers from ports within those States, made out by officers under their authority. Should the relations now existing, or which may hereafter exist, between the United States and the seceding States be such as to require of me any specific act in relation to such state of things, I beg to be advised of it by the depaii- ment as early as possible. The present government of Mexico is well affected towards us in our present difiiculties, but, for obvious reasons, will be unwilling to enter into any engage- ment which might produce war with the south, unless protected by promise of aid from the United States. ******** I am, &c., THOMAS CORWIN. Hon. W. H. Seward, S^v., 8fc., S^-c. ♦ Mr. Corwin to Mr. Seward. [Extracts ] No. 2.] Legation of the United States, Mexico, June 29, 1861. Sin: *•#»#**♦ The present time is most propitious for Becuring the advantages and prevent- 10 THE PEESENT CONDITION OF MEXICO. ing the evils which I have suggested. The government here feels the strongest sympathy with the United States. ******** It has been my constant endeavor since my arrival here to possess the Mexi- can mind of the true causes of our difficulties, and thus enable them to estimate the danger to this republic which will result from any unfavorable termination of them. I am quite sure that whilst this government Avill endeavor to preserve peaceful relations with all the European powers on fan- terms, it regards the United States as its true and only reliable friend in any struggle which may involve the national existence. That this should be so is somewhat remark- able, when tve regard the deep prejudices engendered in the general Mexican mind by the loss of Texas, which they attribute to our citizens, and the com- pulsory cession of territory which was a consequence of our war with them. * * * * * * #* I rnn, &c,, THOMAS CORWIN. Hon. W. H. Seward, Secretary of State, U. S., ^., Sfc., ^x. Mr. Seicard to Mr. Corwin. [Extract.] No. S.] Department of State, Washington, June 3, 1861. Sir : Information, which wears an air of authenticity, leads us to apprehend that a design exists, on the part of the insurgents of this country, to gain pos- session of the peninsula of Lower California, to cut off our commerce with Mexico, to seize the Panama steamers, and, with the aid of the treasure so to be acquired, to extend their conquests to Sonora and Chihuahua. The design is understood to embrace an ultimate absorption of all Mexico. We are informed that the native-born population of California would, to a man, join the invaders in such a case. We shall immediately take care to have the commanders of our land and naval forces on the Pacific coast and ocean instructed to prevent this threatened violation of the territory and sovereignty of Mexico. The President desires you to bring the subject at once to the notice of the government of that republic. You will invoke its energetic and vigorous efforts to the defence of its own sovereignty in the peninsula. Secondly, you will assure that government of the cordial co-operation of this government, and will ask its consent, if there shall be need for the intervention of our forces, so far as to prevent the invasion, by the insurgent citizens of this country, from being made effectual ; it being in no case the purpose of this gov- ernment to retain any possession, or exercise any political authority within the limits of Mexico, beyond the defeat of the designs before described. Thirdly, the United States do not desire to acquire any part of Mexico. * *.* * * * * * * * Thomas Cobwin, Esq., Sfc., Sfc, Sfc. THE PEESENT CONDITION OF MEXICO. 11 Mr. Scicard to Mr. Corwin. [Extracts.] No. 11.] Department of State, Washington, June 24, 1861. Sir: Your despatch (No. 1) of the 29tli of May last has been received. The President approves your speech to the chief magistrate of Mexico, and is gratified with the very just and generous sentiments expressed by him in his reply. This government is highly pleased with the opinions and sentiments so full of generosity and of hope in regard to Mexico which you have expressed in your despatch. We pray God that they may be vindicated by the restoration of the peace, order, credit, power, and influence of that republic. Your suggestion to negotiate for religious liberty in behalf of American citizens in Mexico is cordially approved, and you are authorized to make it a subject as prominent as you may think discreet in the negotiations, in regard to which we have left you so liberal a range. We think favorably also of your suggestion to obtain a stipulation against the imposition of forced loans on American citizens in any emergencies, and you will negotiate accordingly. ********** The President expects that you will in every case exercise your best judg- ment as to the measm-es necessary to prevent the insurgent armed vessels from finding shelter in Mexican ports, and also to prevent arms and other military stores being carried to the seceding States through Mexico. The consuls will be instructed to confer with you and follow your instructions. We are attempting to negotiate, through Mr. Romero, a postal treaty with, the republic of Mexico. You will be promptly advised of our progress. * * Thomas Corwin, Esq., S^x., 8fc., h^c. Mr. Seward to Mr. Convin. [Extract.] No. 13.] Department of State, WasJiington, July 30, 1S61. Sir : I communicate to you extracts from a despatch which has just been received from Mr. Dayton, our minister in Prance. I fear that Mr. Almonte's solicitude about our relations with the present gov- ernment of Mexico is excited by wishes personal rather than patriotic. I am unable to see how any good could happen to Mexico from overturning the pres- ent government and bringing in another which could give no better guarantees of stability and order, liut J am too far from the scene to judge safely either for our own government or for that of Mexico, ********* Thomas Corwin, Esq., S^c., S^., ^-c. 12 THE PEESENT CONDITION OF MEXICO. Mr. Convi7i to Mr. Seioard. [Exti-cacts ] No. 2.] Mexico, June 29, 1S6L Sir : 1 have tlie lionor to acknowledge the receipt of your despatches Nos. 3, 4, 5, 6, and 7, with the papers referred to in them. ********* Since my last despatches the country here has been in a state of great disorder. Bands of armed men, in numbers varying from fifty to four thousand, have been ravaging the country in this and two or three adjoining States, pushing their operations to the very suburbs of this city. These forces are made up of the fragTuents of the army commanded formerly by Miramon, and a portion of the worst of the liberal troops disbanded on the final conquest of this city in Decem- ber last — the latter generally organized for the mere purpose of plunder, and acting under chiefs taken from the forces of the church party, or, as they are called, reactionists. Marquez (the same officer who ordered the infamous mas- sacre at Tacubaya) commands the reactionary forces, and has been hovering in the mountains near Mexico for the last week — sometimes within ten miles of the city. He is reported to have marched now to the neighborhood of Puebla. The government forces have pursued him for several hundred miles within the last two weeks without result. General Ortega commands the liberal forces. He is now in the city. Two days ago the congress (now in session) elected him chief judge, of the supreme court. This was a merely revolutionary move- ment, as the constitution gives no authority of the kind, to that body, but ex- pressly provides that the judges of that court shall be elected bi/ the people. This act was done to pave the way, however, to make Ortega president, as it was supposed Juarez could be persuaded to resign, and in that event the newly- elected judge (by the constitution) would take his place. Every means of a peaceful nature is now being employed to induce Juarez to resign. I think the project will succeed, and Ortega will be the next revolutionary president. I entertain strong fears that this movement will fail of its intended effect. Having its origin in a revolutionary act, not warranted by the constitution, it will form a plausible precedent for another act of the same nature in favor of some other chief who may attain a temporary popularity in a similar emergency, which is very likely to arise soon unless Ortega shall be more fortunate than his prede- cessors for the last forty years. The great want of this republic is that fuhlic opinion which is so omnipotent with us, and this again arises from the want of an enlightened 2)eopile. Hence, in the last forty years Mexico has passed through tliirty-six different forms of government ; has had seventy -two, or rather, up to this time, has had seventy-three presidents. Still, I do not despair of the final triumph of free government in Mexico. Progress has been made. The signs of regenera- tion, though few, are still visible. Had the present liberal party enough money at command to pay an army of ten thousand men, I am satisfied it could suppress the present opposition, restore order, and preserve internal peace. These once achieved, the leaders of this party would adhere to the written constitution and enforce obedience to law ; and industry, secure in its rewards, would soon take the place of idleness and crime. Education of the right kind begins to be felt as a necessity, which in time would, under such auspices, expel from the minds of the people religious superstition, and make the supremacy of either religious or j)olitical despotism impossible. I am persuaded that the pecuniary resources to effect these objects at this time must come from abroad. This country is ex- hausted, as might be expected, by forty years of almost uninterrupted civil was. She looks now, and has looked for some time in vain, for help ii'om other nations THE PRESENT CONDITION OF MEXICO. 13 England presses lier, and claims from her the scanty resources at her command, to pay the interest on a debt of about sixty-two millions due to British subjects. France urges with equal pertinacity the claims of French subjects, into whose hands bonds issued by the Zuloaga and Miramon governments to the amount of some fifty millions have fallen. These last were put out at a time when the liberal government was contending against the above-named self-constituted dictators in that struggle which terminated in their final overthrow six months ago. These bonds, it is said, were sold to French subjects here for sums vary- ing from one-half of one per cent, to four or five per cent., and are now claimed as a debt of the republic, to be paid in full. Meantime there is not one dollar from day to day in the treasury, and only yesterday another heavy forced loan was made to raise money to pay troops to protect the citizens of this capital and its neighborhood from pillage and slaughter. I state the foregoing facts as uni- versally admitted, in the hope of obtaining from the department instructions jiermitting me to negotiate a treaty which, for ample equivalents, may stipulate for the payment by us of a sum varying from five to ten millions in money or United States stocks, to be paid in instalments to this government, which would enable it to keep on foot a sufficient force to save it from ultimate sub- jugation, perhaps to one of these European monarchies, or, it may be, from a partition of its territory amongst them all. The sale of territory is the last expedient to which this government will resort : perhaps it would be refused under any circumstances. If, however, this could be effected, I presume at present it would not be a popular measure with our government. If this should be adopted, I would strongly recommend Lower California as the most eligible for both parties. This territory is of no value to Mexico ; its population does not exceed twelve thousand. A glance at the map will show its importance to us in a naval or military point of view, in the event of an attack upon our Pacific possessions by any naval power, or any attempt upon its or Mexico in that quarter by a lawless force. I have reason to know that this territory is much more valuable than is generally supposed in mineral resources. Another expedient, and perhaps one more likely to be favored by both govern- ments, is this : The Mexican tariff is now under revision by a committee whose labors will be submitted soon to Congress. In conversation with one of the leading minds here, he suggested that for a sum, to be stipulated in a treaty, to be paid in instalments, Mexico would agree to admit all articles the growth or manufacture of the United States at a rate fifty per centum below the duties to be paid by other nations, with a stipulation that no change shall be made in favor of other nations without a payment by such nations of an amount equal to that paid by us, calculated upon the proportion which the commerce of such nation with Mexico has borne for the last five years to ours. I wish to be understood here as only suggesting the outlines of an arrangement, or rather the leading principle which should be adopted, if a measure of that kind is thought expedient. It has been supposed that the church property, which has been secularized and made available to the government, would furnish an am]Dle fund to enable the government to preserve itself and pay the interest and principal of the public debt. This fund has been entirely, or almost entirely, exhausted in the last three years' struggle, and is no longer a resource to be calculated upon. If the liberal government here is not sustained, and the church party get possession of the cajjilal again, the following consequences may be calculated on as inevitable : First. It is most probable that, as heretofore, the liberal government will take refuge in some one of the States favorable to it, and wage another protracted Avar for supremacy, the end of which must be considered as doubtful when we take into view the exhausted condition of the States favorable to the liberal party ; or, secondly, the respective States avIU form combinations regulated by territorial and neighborhood ideas, and set up a number of small confederacies. 14 THE PRESENT CONDITION OF MEXICO. say four or five. Looking at the geographical and political map of the republic; it is not likely, in the event of a disintegration, that there would be less than four separate political organizations. Each of these would be too weak to stand alone against the temptation to seek a protectorate somewhere. Ambitious chiefs would soon be found, like Santa Anna, of San Domingo, who would throw their power down at the feet of some European government. I have strong reasons for the belief that England, France, and Spain are each looking to such a result. England desires to possess (as she now very nearly does, owing '♦t) our neglect of our interests in this quarter) the commerce of the Gulf States as well as that of the western coast. Spain, in her rising fortunes, cannot but de- sire to repossess herself of her lost American colonies. The recent movement on San Domingo is ample proof of this. The towering ambition of Napoleon to regulate Europe, when it shall have been gratified in that quarter, will seek to dazzle the world by impressing upon this continent the idea of French glory and French supremacy. Indeed, I have seen, in a recent number of a creditable journal, a statement that France and England now have under consideration the project of intervention in Mexican affairs. How will any or all of these ideas, if 'realized, affect the great idea of free government on this continent ? Surely American statesmen should be awake to even a suspicion that such portentous events are possible. Had our madmen allowed the majestic march of freedom to progress, Spain Avould not now have shown her flag in San Domingo, nor would it ever have been suggested that any possible event could make Mexico again a rich appanage to any European crown. Unhappy as our domestic situation may now be, I feel an assured, confidence that the northern United Sfcxtes are equal to the successful termination of the struggle at home, and at the same time able to secure our interests and promote successfully the cause of human progress on this entire continent. These opinions have led me to re- gard our present connexions with Mexico as of more importance than they may seem to be to those who are in the midst of the great rebellion which very properly engrosses the chief attention of the government at this time. My duty, 1 have supposed, was to guard our interests here, as they are connected directly or remotely with those ideas which are now in conflict in the United States. The present time is most propitious for securing the advantages and prevent- ing the evils which I have suggested ; the government here feels the strongest sympathy with the United States. ***** It has been my constant endeavor since my arrival here to possess the Mexican mind of the true causes of our diificulties, and thus enable them to estimate the danger to this republic which will result from any unfavorable termination of them. I am quite sure that whilst this government will endeavor to preserve peaceful relations with all the European powers on fair tenns, it regards the United States as its time and only reliable friend in any struggle which may involve its national existence, /That this should be so is somewhat remarkable, when we regard the deep preju- dices engendered in the general Mexican mind by the loss of Texas which they attribute to our citizens, and the compulsory cession of territory Avhich was a consequence of our war with them. Very respectfully, your obedient servant, Hon. W. H. Seward, Secretary of State, U. S. of America, THOMAS CORWIN THE PEESENT CONDITION OF MEXICO. 15 Mr. Corwin to Mr. Setvard. No. 3.] Legation of the United States, City of Mexico, July 29, 1861. Sir : In my last despatcli to the department under date of 29th ultimo, No. 2, I suggested the probability of an armed European intervention in the affairs of Mexico, or a partition of its territory. Since that time events here have given greater plausibility to those fears. On the 17th day of this month the Mexican congress passed a decree suspend- ing the payment of all debts of every sort due from the government for the term of two years. The English and French ministers immediately sent in their protests respec- tively, copies of which, marked Gr 1 and 2, I transmit herewith. At the expiration of the time mentioned in these protests, the legations of both these powers took down their flags and signs, and advised the department of foreign affairs here that all diplomatic intercourse with their respective gov- ernments and Mexico was at an end. England and France seem to be acting in concert in this movement. They either intend to frighten Mexico into a repeal of the obnoxious decree, or they take this step as the best and quickest means to initiate such movements as will end in possible occupation of the entire mari- time frontier of the republic, which would inevitably lead to the possession of the whole of the interior. I beg the department to consider whether, ij" it be possihle, our duty and in- terest do not require of lis to prevent the consummation of this scheme. If the interest of the debt due to English bondholders could be secured, say for five years, that alone would put a stop to every attempt of the kind sug- gested above. The bondholders' debt is now about sixty-two millions, bearing an interest of three per cent, per annum. The interest oh this debt would amount to less than two millions a year. If Mexico should offer any equiva- lent acceptable to our government for the guarantee of the payment of this in- terest for five years, would it not be our interest to close with such a proposi- tion? England and Spain are now in possession of the 'best of the West India islands, (for I consider San Domingo is certain to fall into the hands of Spain before our re- bellion is quelled,) and Mexico a colony of England, with the British power on the north of our possessions, would leave on the map of this continent a very insignificant part for the United States, especially should the present unnatural rebellion end in the final severance from us of eight or nine, or all of the slave States. Mexico, I am persi^aded, would be willing to pledge all her public lands and mineral rights in Lower California, Chihuahua, Sonora, and Sinaloa, as well as her national faith, for the payment of this guarantee. This would probably end in the cession of the sovereignty to us. It would be certain to end thus if the money were not promptly paid as agreed on. By such an arrangement two consequences would follow: First, all hope of extending the dominion of a separate southern republic in this quarter or in Central America would be ex- tinguished, and any further attempt in all time to come to establish European power on this continent would cease to occupy the minds of either England or continental Europe. If the republics of Mexico or Central America could maintain themselves against southern filibusters or European cupidity, I should not desire either to intenneddle in their concerns or add any of their territory to ours, except, perhaps, Lower California, which may become indispensable to the protection of our Pacific possessions. ' The reasons, however, for a departure from this rule, arising out of our present 16 THE PEESENT CONDITION OF MEXICO. apparent weakness, stimulating aggression, as well by filibusters as Europeans, seem to demand serious consideration. The United States are the only safe guardians of the independence and true civilization of this continent. It is their mission, and they should fulfil it. This task would have been comparatively easy but for the madness of the south, plunging us into our present difficulties. Europe is quite willing to see us humbled, and will not fail to take advantage of our embarrassments to execute purposes of which she would not have dreamed had we refnaiued at peace. I repeat these suggestions as my reasons for desiring instructions on the points stated above, relating to aid to Mexico in some form suitable to her present exigencies. Her late suspension, leading to the cessation of diplomatic relations with England and France, may, perhaps, have been imprudent. She could not pay the debts, however, and maintain her government ; and perhaps it was as well to say she would not pay for two years, as to promise to pay, and subject herself to the mortification of constantly asking further time. She is impoverished to the last degree by forty years of civil war. I cannot find in this republic any men of any party better qualified, in my judgment, for the task than those in power. If they do not save her, then I am quite sure she is to be the prey of some foreign power, and they, I fear, cannot without our aid. I say our aid, for she will look in vain for help elsewhere. Mr. J. T. Pickett is here in the character of commissioner from the so-called " Confederate States." I believe the secretary of foreign aff^iirs has given him a private intervicAV at his house. I have the positive assurance of the president that this government will not entertain any propositions coming from that quarter which may seem to recognize these States in any other light than as a part of the United States. Well-informed Mexicans, in and out of the government, seem to be well aware that the independence of a southern confederacy vrould be the signal for a war of conquest with a view to establish slavery in each of the twenty-two States of this republic. I have judged it proper to forward to our ministers at Paris and London the protests of the French and English ministers to the decree of the Mexican con- gress, in the hope that they will offer their good offices to mitigate the unfriendly feeling of the British and French cabinets towards this country. I have nearly completed the arrangement for two treaties with the cabinet. They will probably be submitted to congress before its adjournment, which is fixed for the 30th instant, but may be postponed for a few days. I have ao doubt of their ratification, but it will come too late for the present mail. One of these is a treaty for the extradition of criminals, the other is a postal convention. The latter is in all essentials quite the same with that, a fonn of which reached here from Mr. Romero. The former is, in substance, like those we have concluded Avith other powers. I am deeply impressed with the necessity of having our consul at Vera Cruz at his post. I forwarded his exequatur to the vice-consul at that place some weeks since. I am satisfied that the pviblic interests require the best officers at all the ports on the Gulf, as well as in the West India islands. I beg to call your attention to a paper addressed by Mr. La Reintrie, acting as special agent of this legation under instructions from Mr. McLane, to all the foreign ministers at this place, under date of December 20th last. It must or should be in the State Department, as well as the instructions of Mr. McLane, on which it is based. I wish to know if the government concurs fully in the views and principles therein set forth. I hope the government will immediately take steps to insure a mail twice a month between New York and Vera Oniz. As New Orleans is now a closed port, we can only receive adAdces once a month — this a British steamer, and that by no means certain. The commerce of the THE PEESENT CONDITION OF MEXICO. , 17 Gulf woiild be much more seciu'e liad we two vessels sailing in those waters once a moutli. I must also ask your particular attention to papers forwarded to the depart- ment on the 23d March last bj Colonel Waller, exculpating Colonel Natzmer, vice-consul at Minatitlan, from the charges on which he was removed. I know Mr. A. C. Allen well, (the consul at that place,) he is a gentleman on whose truth and honor I am sure I can rely. He has satisfied me that Natzmer is not guilty of any act inconsistent with his official duty. His statement is with the papers alluded to. I trust Colonel N. will be restored. I have received from the department the President's proclamation, under date of April 19, 1861. I am, very respectfully, your most obedient servant, THOMAS CORWIN. 29th, 1 p. M. P. S. — The mails per British steamer are just at hand, but I have not a single communication or paper. A passenger states (as I am informed by the consul at Vera Cruz) that an American steamer was in sight as the British steamer was leaving Havana. No mail is expected from Havana until 15th August, when the steamer Union leaves there, her mails reaching this city on the 26th of that month, before which time it will therefore be impossible for me now to get any advices. My latest despatches from the department are those I acknoAvledged on the 29th ultimo. Respectfully, » THOMAS CORWIN. Hon. William H. Seward, Secretary of State, Washington. Mr. La Reintrie to Ministers of Foreign Powers in Mexico. San Angel, (near Mexico,) Becemher 20, 1860. Sir : I have the honor to advise you of my arrival at this place in the charac- ter of special agent of the legation of the United States in Mexico, with insttuc- tions from the honorable Robert M. Me Lane, envoy extraordinary and minister plenipotentiary of the United States, to communicate with the representatives of foreign powers now residing in the city of Mexico, and to make known to them the policy of the government of the United States with respect to Mexico, under the present deplorable circumstances which afflict this republic. You arc aware that proposals have already been made by the government of Great Britain to the two parties now contending for political power and ascend- ency in Mexico, with the object of bringing about a pacification of the country. These efforts, howcAX'r, have thus far failed of the desired end — both j^arties declining the preferred intervention and meditation, because neither are willing to compromise the great principles at issue in the pending civil war. The liberals, who had taken up arms in defence of the right of the people to govern themselves, and to live under a constitution that guarantees political efiuality to every citizen of the republic, Avere unwilling to confide the adjust- ment of these sacred rights to a foreign intervention and mediation. On the other hand, the conservatives Avere unA\alling to surrender their organization, or to subject the government of General Miramon to any foreign intervention that did not guarantee to them the ascendency and triumph of principles Avhich are H. Ex. Doc. 100 2 18 THE PEESENT CONDITION OF MEXICO. in direct antagonism with tlie ecjuality of tlie citizen and the form of a repixbli- can government. At a later period the governments of France and Spain have both, with more or less formality, renewed the efforts Avhich Great Britain originally made, and the same obstacles which rendered the efforts of Great Britain unavailing have attended these subsequent efforts. I am, therefore, instructed to inform you that all these matters have been fully and duly considered by the govermnent of the United States, and that the policy heretofore adopted by the liberals in their intercourse with European powers, in relation to these negotiations for peace, has been approved and adopted by it, and that it has determined to resist any forcible attempt to impose a particular adjustment of the existing conflict against the Avill and sanction of the people of Mexico, and, also, any forcible intervention, by any power, which looks to the control of the political destiny thereof. This determination on the part of the government of the United States has already been explicitly, though respectfully, declared to all the powers of Europe. The government of the United States does not deny to the European powers the right to wage honorable warfare for a sufficient cause, anywhere, or against any nation ; nor does it deny their right to dpmand redress for injuries inflicted on their respective subjects, and, if need be, to enforce such demands ; but it does deny them the right to mterfere, directly or indirectly, with the political independence of the republic of Mexico, and it will, to the extent of its power, defend the nationality and independence of said republic. This settled policy of the government of the United States, I believe, is well understood by all the representatives of European powers in Mexico. It is also fully understood and appreciated by the constitutional government at Vera Cruz; and, under my instructions, it becomes my duty to cause it to be well understood by all those who, from their public character and the cii'cumstances that characterize the political condition of the republic, are charged Avith the responsibilities of political power and authority, in order that said policy may neither be misunderstood nor misrepresented to the prejudice of either Mexico or of the United States. I am further instructed to state, in the most explicit manner, that the govern- ment of the United States earnestly desires the pacification of Mexico, and that it will recognize and support any government that is adopted and accepted by the free choice of the people thereof, and that it will always encourage the friendly efforts of any foreign power that have for its objects such a result — notwithstanding its resolution to abstain from all di7-ect participation in any such mediation, and its adherence to the relations already established between it and the constitutional government of the republic. Having complied with the spirit of my instructions from the minister of the United States, I have, in conclusion, to request your acceptance of my con- sideration and respect. HENEY EOT DE LA EEINTEIE, Special Agent United States Legation in Mexico. This communication was sent to all the representatives of foreign powers in Mexico, to wit: Mr. Dubois de Saligny, France; Mr. J. F. Pacheco, Spain; Mr. George B. Mathew, England; Mr. E. de Wagner, Prussia; Mr. Clementie, Nuncio of the Holy See; Mr. F. N. del Barrio, Guatemala; F. de P. Pastor, Ecuador. H. R. DE LA EEINTEIE. THE PRESENT CONDITION- OF MEXICO. 19 Mr. Seivard to Mr. Cortvi?i. No. 16.] Department of State, Washington, August 24, 1861. Sir : In your despatch of the 29th ultimo, numbered 3, you call my attention to a circular from Henry Roy de la Reintre, under date of December 20, 1860, to all the representatives of foreign poAvers in Mexico, which purports to have been written by direction of your predecessor, Mr. McLane, and you desire to know whether this government concurs in the views and principles therein set forth. To answer this question broadly in the affirmative would be to commit it to opinions expressed by the writer of that paper concerning the merits of domestic political parties in •Mexico, in transactions which, since that paper was Aratten, have been fully completed and ende,d. Again, although I am very sure that this gOA'ernment cherishes the actual independence of Mexico as a cardinal object to the exclusion of all foreign po- litical intervention, and is willing to take decided measures favoring that inde- pendence, as is seen in another despatch to you of this date, yet the present moment does not seem to me an opportune one for formal reassiirance of the policy of the government to foreign nations. Prudence requires thai, in order to surmount the evils of faction at home, we should not unnecessarily provoke debates with foreign countries, but rather repair, as speedily as possible,, the prestige which those evils have impaired. Perhaps it will be sufficient for me to say that it is our wish and our pur- pose, so far as our action may bear upon the question, that the people of Mexico shall, in evgry case, be exclusive arbiters of their own political fortunes, and remain free and independent of all foreign intervention and control whatever. I hardly know how it can be necessary for the government of the United States to say this in view of the policy and principles set forth in the instructions under which your mission to Mexico was begun. The postal convention made in this city, on the 31st July, having been ratified by the Senate of the United States, now awaits ratification by the government of Mexico. I send you a copy for youi- iufonnation. I am, sir, your obedient servant, Thomas Corwin, Esq., 8fc., ^c, Sfc. WILLIAM H. SEWARD. Mr. Cortvin to Mr. Seward, [Extracts.] No. 4.] Legation of the United States of America, Mexico, August 28, 1861. Sir: ********* Your instructions touching Lower California, alluded to in your despatch No. 11, have not been received here. If not destroyed on their way 1 may hope to get them either by the Spanish steamer Union, which passes from Havana to Vera Cruz once a month, the mail from which is due here to-night, or by the British steamer which comes from Havana to Vera Cruz every month, Avhose mail will be due here the 30th instant. Nothing has occuiTcd hero to change the relations between Mexico and the United States since my last despatch. The liberal government still maintains its power, though its dominion is disputed by armed bands of reactionary troops 20 THE PRESENT CONDITION OF MEXICO. in cliffcvent parts of the republic. The pursuit of these robber bands in various directions compels the government to keep up a considerable military force, the expense of which has drained the last dollar from the treasury, and the govern- ment has often been compelled to borrow from individuals sums varying from 830,000 to $100,000, at enormous rates, for the purpose of moving a battalion or one or two regiments against the roving bands of the reactionary party. Many plans, have been suggested by the friends of the government, and one or two by tlic department of foreign affairs, in conversation, for present relief of a ' pecuniary nature. None of ihese, however, were of a character which I deemed practicable, and therefore I have as yet presented to the government no propo- sition for a treaty which has for its basis the payment of money to Mexico by the United States. I have no doubt that any treaty which would give the present government from five to ten millions of dollars in monthly instalments of, say, a quarter of a million, w^ould enable it to crush the last hope of the church party as well as to restore comparative safety from robber bands who infest the roads and rob travellers in all directions. Such a sum would also enable the government to arrange the foreign debt, the non-payment of the interest on which has caused the English and French ministers to discontinue diplomatic relations, till further orders, with Mexico, and which at present threatens to end in foreign intervention, which was alluded to in my despatch No. 3, under date of July 29, 1861. I am extremely anxious to obtain the view's of the department on the subject proposed in that despatch, and hope to receive them by the mails of to-morrow or next day. Mr. Pickett, commissioner from what he denominates " the Confederate StatesV is still here. He and three southern persons, sojourning in this city, were engaged last night in rejoicing over the victory at Bull Run and Manassas Gap. The sketch of that battle in the New York Herald of the 23d of July reached here yesterday. The paper came here from Havana by private con- veyance. Mr. Pickett has learned that Mexico had granted the United States the privilege of marching troops through Mexican territory to Arizona, He has informed the government here that this will be considered as oifensive to the "Confederate States," as New j\Iexico had placed herself under the protection of those States. He has said in private conversation that " if this decree is not . anmdled Mexico tvill lose the State of Tamaulipas in sixty days." By looking on any map of Mexico it will be seen that Tamaulipas, Nuevo Leon, Coahuila, Chihuahua, and Sonora, all adjoin Texas or New Mexico. Tamaulipas is easily approached by her j)ort, Tamj)ico, on the Mexican gulf, and also by land from Texas. All the others of these States can be reached by land from Texas or New Mexico. Guaymas is the great port on the Giilf of California from and to which shipments are made for the States of Sonora and Chihuahua, and also to our territory of New Mexico, including Arizona. It is, therefore, reasonable enough to conclude that United States troops from Cali- fornia could be landed at Guaymas in seven days by steamers, and with a safe passage tlu-ough Sonora could confront any rebel force operating in Arizona or New Mexico proper, and also be in a position to act against any fiUibustering enemy which might attack any of the Mexican States bordering on Texas. It is no doubt the design of the " Southern Confederation," whenever it can, to seize all of these States, indeed, to possess itself of the entire Terra Caliente of Mexico, that being well adapted to slave labor. If Mexico should be attacked under the pretence that she had jiistly offended the Confederate States, by the grant of passage through Sonora, every obligation of honor would seem to re- quire that our troops should be ready to enforce our laws against fiUibustering expeditions from our territories against the territories of a nation with whom we are at peace. Such troops would at the same time be efiicient to restore our la}\lul dominion in Texas and New Mexico. Upper California, Oregon, and "Washington Territory could furnish a respectable force for all these purposes. THE PEESENT CONDITION OF MEXICO^ 21 wbicli could be conveyed by water to Guaymas, and from tbence by land, over good roads, to tbeir proper points of operation. Tbe States bordering* on Texan and our 'New Mexican frontiers are very weak in population and Avealtli, and could be conquered by a comparatively small force. Tamaulipas bas only one bundred and eigbt tboiisand of all ages, races, and sexes. Tbe entire population of tbe five Mexican States above named is stated in tbe most reliable census to be six bundred and twenty-eigbt tboiTsand, of all ages, sexes, and races, covering an area of sixty-seven tbousand five bundred and sixty-tbree square miles. I am informed tbat recent discoveries of mineral wealtb in Sonora and Cbiliuabua bave invited large bodies of men from Cali- fornia to tbose two States. It is suspected tbat tbey are of a class easily in- duced to unite witb tbe soutbern rebels in an attack on tbese and tbeir neigh- boring Mexican States, as well as to promote soutbern pretensions in New Mexico and Texas. I suggest wbetber a prudent forecast would not invite our govern- ment to raise in California and Oregon a force wbicb sbould pass, from Guaymas tbrougb Sonora, to our possessions in New Mexico and Arizona, for tbe purposes suggested above. A contract bas been concluded bere witb tbe government for carrying tbe mail froni New York city to Vera Criiz, via Havana, twice a month, and so twice a month from Vera Cruz to New York ; a siibsidy of fifty thousand dollars per annum is given for the service. This subsidy is quite r-mall, but if a subsidy from our government, m proportion to its interest in the line, compared with that of this government, is granted, we may hope tbe enterprize will go into immediate operation. If this, however, should fail, another expedient might be adopted. I understand boats run regularly from New York to Havana three times a month. If the government could put a despatch boat on the line be- tween Havana and Vera Cruz to meet tbe boats from New York at Havana, this would give us a. mail three times a month. This boat, if armed, might supersede the necessity of keeping an armed ship at Vera Cruz, and render valuable service in tbe pi'otection of our commerce in the Gulf. Something- should be done to render the commerce between the United States and this country certain and more frequent. My latest despatch from the department is dated 24tli June, 1861, and latest reliable ncAvs is dated the 11th July. It is now T\athin thrcQ days of the 1st of September. The mail from Washington, if sent by steam to Vera Cruz, could easily reach this city in thirteen days. I have this day concluded a postal treaty with Mr. Lerdo, the minister ap- pointed ad hoc, which will be submitted to the State Department to-morroAV. I have no doubt it Avill be approved by tbat department and sent to congress for ratification at its second meeting, which is to open next Monday. I hope to conclude Avith the same minister an extradition treaty, Avhich can be ratified dui'iug the coming month. I bave heretofore urged the necessity of having consuls on the Gulf, especially at Vera Cruz, the most important, whose fidelity and ability sbould be beyond even suspicion. The vice-consul at Vera Cruz has served many years there in tbat capacity, under Mr. Pickett. Mr. Pickett is noAv here, the agent of the " Confederate States." I kuoAV nothing against Mr. Rieken. I am sure some strange accident bas happened that important despatch to Avhich you allude in your despatcli No. 11. Wliy is not ]\Ir. Dunnell at his post 1 Tbat at Vera Cruz is one of the most important consulates, /«.yi now, in our scrA-ice. Veiy respectfully, &c., Hon. W. H. SKWAiin, THOMAS CORWIN. Secretary of State, Washington. 22 tTHE PEESENT CONDITION OF MEXICO. Mr. Seioard to Mr. Corwin. No. 17.] Department op State, Washington, SeiAevihcr 2, 1861. Sir : Your clespatcli of tlie 29tli July last, numbered 3, has just now been received. The account of Mexican complications which it gives is painfully interesting. The President greatly desires that the political status of Mexico as an independent nation shall be permanently maintained. The events you communicate alarm him upon this point; and ne conceives that the people of the United States would scarcely justify him were he to make no effort for prevent- ing so great a calamity on this continent as would be the extinction of that republic. He has therefore determined to authorize and empower you, and you are hereby authorized and empowered, to negotiate a treaty with the republic of Mexico for the assumption by the government of the United States of the payment of the interest, at three per cent., upon the funded debt of that country due to Mexican bondholders, the principal of which is ixnderstood to be about sixty-two millions of dollars, for the term of five years ■ from the date of the decree recently issued by the government of Mexico suspending such payment, provided that that government will pledge to the United States its faith for the reimbursement of the money so to be paid, with six per cent, interest thereon, to be secured by a specific lien upon all the public lands and mineral rights in the several Mexican States of LoAver California, Chihviahua, Sonora, and Sinaloa, the property so pledged to become absolute in the United States at the expira- tion of the term of six years from the time when the treaty shall go into effect, if such reimbursement shall not have been made before that time. This course is rendered necessary by circumstances as new as they are eventful, while the j\fexican crisis seems to admit of no delay. The President therefore accepts the responsibility, and will submit his action in the premises to the consideration of the Senate of the United States, so soon as that body shall be convened, for the constitutional sanction, withou.t which the treaty when made would be of no effect. ! It must be understood, however, that these instructions are conditional upon the attainment of consent on the part of the British and French governments to forbear from resort to action against Mexico on account of her failure or refusal to pay the interest in cjuestion until after the treaty shall have been submitted to the Senate, and, if ratified, then so long thereafter as the interest shall be punctually paid by the government of the United States. I shall immediately instruct our ministers in London and Paris to apply to the British and French governments for their consent to the terms thus indicated. You will see at once the importance of urging the Mexican government to give its best efforts to the support of these applications. I am to be understood, moreover, as giving you not specific but general in- structions, to be modified as to sums, terms, seciirities, and other points, as you may find necessary, subject to approval when made known to me. Other matters discussed in your despatch will be treated of in distinct papers, I am, sir, respectfully, your obedient servant, WILLIAM H. SEWAED. Thomas Corwin, Esq., Sj-c, S^-c, ^-c. THE PRESENT CONDITION OF MEXICO. 23 Mr. Corwin to Mr. Seward. No. 5.J Legation of the United States op America, Mexico, September 7, 1861. Sir : I have this moment received your despatch, ISTo. 13, dated 30th July, 1861, covering an extract from Mr. Dayton's despatch, dated at Paris, July 11, 1861. I have heretofore informed the department that Mr. Pickett, formerly consul at Vera Cruz, was here in the character of commissioner from the "Confederate States." Mr. Cripps, formerly secretary of legation under General Gadsden, is also here, and has resided here ever since General Gadsden's departure from Mexico. The latter gentleman is not engaged in the business of Mr. Pickett in any other character than that of a friend of the south. Mr. Pickett has learned that Mexico has allowed our troops to pass from Guaymas to Arizona, and has (unofficially of course) advised the government here that this grant to our government will he looked upon as an unfi-iendly act towards the south. He alleges that Arizona and Ncav Mexico have placed themselves under the protection of the southern States, and that an invasion of the northern frontier of Mexico by the southern forces will probably be the re- sult. He. states to his acq[uaintances here that Colonel Van Dorn, of Texas, is moving towards El Paso with a large foroe, intended to occupy New Mexico and Arizona, and that if United States troops should advance through Sonora to Arizona war will probably ensue between Mexico and the Confederate States. I mentioned this in my last despatch, No. 4, and gave fully all the information I had on the subject. Nothing has occurred since to change the opinions then expressed. I beg the particular attention of the government to that portion of my despatch No. 4. The threatened intervention in Mexican affairs by France and England, to Avhich I have so often called the attention of the department, seems now to be quite certain to occm-. The main pretext urged for this intervention is, the non-pay- ment of money due tHe English and French governments, respectively, and to their citizens. I have stated in my former despatches that from five to ten. millions of dollars would enable the governmefit here to take away this pre- text, and at once relieve them from the threatened guardianship of England and France. I am*satisfied that om- government would be greatly benefited (not only in reference* to the present contest with the southern rebellion, but its per- manent advantage in all time to come promoted) by advancing this sum to Mexico at once. It would enable the latter to look southern invasion in the face without fear, and it would bind her to the north by ties never to be broken. I expect, in a day or tAvo, to receive from the minister of foreign relations some propositions which will offer an equivalent on the part of Mexico for the money they so much need. They would gladly reduce their tariff" on American goods ffty per cent, below the charges on other foreign merchandise, say, for five or ten years, if this would be accepted. I have supposed such an arrangement would be rejected by our government on the same groiinds which prevented the ratification of the treaty negotiated by Mr. McLane two years ago. There are other objections to this plan. First. It might be considered by the English and French governments as giving an invidious preference to American trade, and be used as an additional reason for intervention here, and it would probably not be considered as show- ing the most friendly dispositions, on our part, towards England and France, with both of whom I consider it expedient, at this time, to preserve the most cordial relations. Secondly. Mexico is bound by treaty to trade with both these powers on the same terms as those extended to " the most favored nations." If, therefore, 24 THE PEESENT CONDITION OF MEXICO. Euglaud or France, or either, slioulcl propose to Mexico a like equivalent, iu proportion to their commerce with this country, she would be compelled to grant the same reduction of 50 per cent, on her present tariff to them, and then no advantage could accrue to us in this trade, and we should pay the money pro- posed without realizing an equivalent for it. This objection might be overcome by making the payments annual, and providing that payment should cease whenever England or France should obtain the same advantage by treaty with Mexico. I wish to be informed and instructed whetlier tlie United States would agree to pay, in money, to this country, at this time, any sum — say, jive or six to ten millions of dollars — on receiving for it stipulations of any kind from Mexico. The present government, so far from being in danger of failing at this time is, in my judgment, stronger than at any former period of its existence. But this remarkwould not be true if European intervention should take place. The eftect of such intervention, in my judgment, would be either to overthrow the constitulional government and substitute another, which would be merely the instrument of the intervening poAvers, or it might result in a dissolution of the union — each State, or combination of two or three separate States, setting up for themselves. This latter result would be probable in case intervention should only extend to the occupation of the maritime frontier and possession of the custom-houses. Either result would bring upon us consequences highly preju- dicial. European influences, once inaugurated here, would encourage and cor- roborate the hopes of the southern rebels, and would aid them in procuring their recognition by European powers. It would so weaken Mexico that a very inconsiderable southern force could conquer in a very short time four or five Mexican States. For the reasons for this opinion I refer to my last despatch, No. 4. These views, derived from a careful study of Mexican affairs, have ripened into convictions in my mind, and hence my extreme anxiety to furnish the pecu- niary aid to Mexico, to which I have so often called attention, as this aid would, in my judgment, at ouce remove all possibility of the evils which, without such aid, must come upon Mexico soon, and, as incidents, must so seriously affect the United States. Very respectfully, . THOMAS COEWIN. P. S. — I only learned an hour ago that a courier, hired by merchants, would leave at 4 p. m. to-day. I judged it advisable to try this mode of communi- cating with "Washington, as I despair of any regular conveyance between Mexico and the United States. T. C. Hon. William H. Seward, Secretary of State of the United States. Mr. Seward to BIr. Convin. No. 21.] Department of State, Washington, September 23, 1861. Sir : I send you a copy of an extract of a comnmnicatiou from the Mexican minister in Paris to Mr. Romero, Mexican charge d'affaires at this capital, which has been presented to me by the latter gentleman. Sympathizing with him and with the Mexican republic iu the present emergency, I earnestly invoke your THE PEESENT CONDITION OF MEXICO. 25 assiclnous promotion of the negotiation for an assnmption of tlie interest on Mexican bonds, committed to jour c'are by my recent instructions, I am, sir, your obedient servant, WILLIAM H. SEWARD. Thomas Corwin, Esq., Sfc., Sfc., S^c. [Translation. — Extract.] No. 44.] Legation of Mexico^ Paris, Septemher 4, 1861. Unliappily, I yesterday saw realized tlie apprehensions wMcb I mentioned to you in my note No. 41, of tbe date of 31st of August last past. Tlie mea- sures adopted by tlie governments of France and England, in consequence of the law approved on the 17th July, are openly hostile towards us, and I think you will be informed about them by the time when this despatch will reach your hands. You already know, by my note referred to, that I could not obtain the audi- ence which I had asked from the minister here for the 21st August, and that he fixed it for yesterday, (Tuesday,) 3d September. I began by saying that I had received from my government special charge and direction to give to that of his Majesty the most ample explanations upon matters which concerned sub- jects of France, under the new law, by virtue of which the suspension of pay- ment of the national debt was ordered. Mr. de Thouvenel interrupted me, saying that personally he had no cause to be discontented with me ; but he could not listen to such explanations. " We will not receive any," he added, giving way to the greatest excitement ; " we have entirely approved the conduct of Mr. de Saligny ; we have given our orders,- in concert with England, that a squadron composed of ships of both nations demand from the Mexican govern- ment the satisfaction due, and your government will knoAV through our minister and our admiral what are the demands of France. I have nothing against you," he repeated, "and I wish that events allowed me to address you in more friendly terms." " But it is much to be' regretted," said I, in turn, " that such a reply should be given to an application so proper and simple as that which- I have just made in the name of my government. But equitable as that may be, after the language you have addressed to me I should not for a moment urge you to listen to me, nor is there any motive for prolonging this conversation ;" and I cut it short, withdrawing without delay. ■jp ^ TP 1 tP ^ ^ ^ I reiterate to you the assurances of my most distinguished consideration. JUAN ANTONIO DE LA FUENTE. The Minister for Foreign Relations, Mexico. Mr. Corwin to Mr. Seward. [Extract.] No. G.] Legation of the United States, Citij of Mexico, ScjJtemhcr 29, 1861. Sir : As the mail by the British steamer for this month has not yet arrived, I have nothing to communicate further on the subjects pertaiuiug to my duties here than is to be found in my previous despatches. 26 THE PRESENT CONDITION OF MEXICO. The reasons for furnisliing pecuniary assistance to tliis country still remain, and are ratlier strengtliened by the expected forcible intervention of both Eng- land and France, which seems to be likely to occur now very soon. All apology for this intervention would be taken away by an arrangement such as I have already repeatedly suggested. I have as yet received no instructions from the department on this subject, and am, therefore, left only to conjecture as to the views and wishes of the gov- ernment of the United States on this point. The subject, in my opinion, is one of deep interest to the United States in its present and remote bearing upon the future of the American continent. - * ** * * * * * * * Hon. Wm. H. Seward, Secretary/ of State, Washington. [Exhibit A, accompanying despatch No. 6 ] Unofficial.] Legation of the United States of America, Mexico, September 4, 1861. Sir : Several citizens of the United States during the last week addressed me a note requesting my opinion as to the legality of a tax recently levied by the President on the inhabitants of the federal district. After consideration care- fully given to the subject, I have given them an answer, a copy of which is herewith enclosed. I was compelled to the conclusions contained in this paper. I earnestly desired to find the government in the right; but after much reflection I was obliged to differ from it in this instance. I renew the assurances of my esteem. THOMAS CORWIN. His Elcelleucy Senor Manuel Ma. de Zamacona, Minister of Foreign Relations. [Exhibit A 2, accompanying despatch No. 6.] Legation of the United States of America, Mexico, August 30, 1861. Gentlemen : I received your note of the 26th instant on the 27th, asking my opinion as to the legality of a tax of one per cent, on the property of all persons residing in the federal district, where the property of such persons amounts to a sum exceeding two thousand dollars. As the mail for the United States was to leave this city on the 29th, I found myself, from the time L re- ceived your note until yesterday at two o'clock in the afternoon, occupied incessantly with other indispeiisable duties. You will accept this as my apology for delaying an answer to your request till now. The only question which I think it is useful to consider, when determining the duty to pay this tax, may be stated thus : "Is the tax in question imposed by that power to which the constitution and laws of Mexico have given the Tight to^levy taxes?" If this question, by a fair and liberal construction of the constitution, can be answered affirmatively, then it is a lawful tax, and in my judgment should be paid, unless other objections, which in this instance do not occur to my mind, should forbid its payment. The powers and duties of the present government of Mexico are (happily in THE PKESENT CONDITION OF MEXICO. 27 my judgment) defined and limited by a written constitution. Every functionary of tliis government, whether executive, legislative, or judicial, before be enters upon tbe duties of bis office, binds himself, by a solemn oath, to maintain and support the constitution. In other words, he swears that he will exert the powers and discharge the duties of his office in confoi-mity with those rules which are laid down in and by the constitn.tion. In the 50th article of the constitution now in force, it is decla,red that " the supreme power of the federation is divided, for its exercise, into legislative, executive, and judicial. Two or more of these powers can never be united in the same person, nor the legislative power be deposited in one individual." It wiU be seen that the various functions necessary to carry on this govern- ment are divided into three separate departments. It is expressly declared that the powers of no two of these departments shall ever be united in the same person. Article 72, section 7, defines the powers and duties which are imposed upon congress, or the legislative department, as to taxes. It declares that " congress has the power of approving the federal estimates of expendi- tures, which shall be annually presented by the executive, and of imposing the taxes necessary therefor." The power to levy taxes upon the people is here (in language which admits of no equivocation in its terms) given expressly to congress. No clause iir the constitution gives congress the power to transfer this duty to any other person or to any. other department of the government. It is a discretion very liable to abuse, and, Avhen abused, attended with consequences fatal to the rights as well as prosperity of the people. It is therefore a power which, in all governments, free in form and design, is wisely lodged only in the hands of those who directly represent the people, and who, more than any other department of the govern- ment, are responsible to the people. Wherever the legislative power is elected by the people, the taxing power is given to that department. The present constitution of Mexico, as we have seen, has embodied these principles. In this respect it is in harmony with all modern systems of government, where written constitutions prevail on this con- tinent. This trust cannot be delegated to any one, unless such power is given in express terms, which- power, as we know, is nowhere to be found in the con- stitution. But another question may arise. Has congress, by any law, either intended 0* pretended to transfer this power! It may be said, and no doubt the presi- dent supposed and believed, that this power was delegated by congress to him. I have endeavored to bring my mind, if possible, to agree with this opinion, for I did wish, in the present condition of this republic, to aid rather than oppose the government in raising money to enable it to crush anarchy and restore peace, security, and order. But I am compelled to come to a different conclu- sion by reasons Avhich appear to me unansAverable. First. The law whence this power is said to be derived does not give the power when its language is properly construed, whatever may have been the unexpressed intentions of those who enacted it. The law in question was enacted on the 4th day of June, 1861. It reads in these words : " The gov- ernment is empowered to raise funds in whatever way it may deem proper for the purpose of destroying the reaction." The wisest judges, when acting upon subjects like this, have adopted a canon of construction which requires that if you can give effect to a law, under a con- stitution, you shall (if its words will admit of it) so construe it as not to make it violate the constitution. The laAv in question authorizes and reqiiires the president to raise money in any way he may or can, to crush the rcaccionarios. Can the president raise money, by virtue of his executive power, in other ways than by taxation ? Undoubtedly he can. By the 72d article, section 8, in the constitution, he can, as president, raise money by loans. Said section declares 28 THE PEESENT CONDITION OF MEXICO. that congress has the power " of giA'ing the basis upon which the executive may procure loans on the faith of the national credit, and of approving said loans, and of recogiiizing and ordering the payment of the national debt." In conformity to the rule above stated, we must presume that congress did intend to authorize the president to loan money; for this they might do, and yet not violate the constitution; and that they did not intend, and have not given the power" to tax ; for this they could not do, as the constitution expressly forbids it. The law' must be so construed as to make congress inteud to gi^'e the president only such power as by the constitution they could give. The power to loan money they could give. The power to tax they could not give. The words "to raise money in any way he may or can," only mean "in any way he, as president, constitutionally can." Second. But if Ave admit (which I do not) that the words of the law do give, in express terms, the power to tax, then I reply that such a law is totally void, as it is clear that congress has no power to give such authority. The consti- tution gives the taxing power to congress. It therefore denies such poAver to the executive. It is expressly declared that the powers of no tAvo of the three departments — that is, the executive, legislative, and judicial — shall ever be united in any one. If the President is allowed to exert the taxing power, that being by the constitution a poArer given to the legislative only, then it foUoAvs that legislatiA^e and executive powers are tmited in one, which, as we haA'c seen, is expressly forbidden by the constitution, in plain terms. The imposition of this tax is, in my judgment, a A^oid and nugatory act, and therefore no person, either Mexican citizen or foreigner, is bound hy late to pay it. I may here add that, in my opinion, CA'-ery American citizen resident in Mex- ico, is bound to pay every tax which any Mexican citizen is bound to pay. The laAv of nations permits every independent government to legislate touching the property of foreigners as well as citizens within its territorial limits. One of the most accurate and learned treatises, in modern times, on national law, has thus defined this power : "EA^ery independent State is entitled to the exclusive poAA^er of legislation in respect to the personal rights and civil state and con- dition of its citizens, arid in respect to all real and 2>ersonal j^'operty situated within its territory., whether belonging to citizens or aliens.'" — (See Wheaton's International LaAv, page 112, part 2, chapter 2, section 1.) The legislative power here giA^en over the property of foreigners has always been ' considered as including the poAver to tax the property of foreigners, ^t has been the constant practice of the United States government, as Avell as the gOA-ernments of the separate States, to tax the property of foreigners just as they tax the property of citizens. This poAver may, hoAA^ever, be limited by treaty. The only treaty stipulation on this subject between the United States and Mexico is to be found in the 9th article of the treaty of 1831, AA'-hich is now in full force, that treaty having been revived by the treaty of 1848. That article reads as folloAvs : "The citizens of both countries, respectiA'ely, shall be exempt from compidsory serA^ice in the army or naA'y ; 7ior shall they he sub- jected to any other charges, or contrihutiom, or taxes than such as are paid by the citizens of the States in Avhich they reside." This treaty, in my judgment, obliges citizens -of Mexico, resident in the United States, to pay in the United States " all charges, or contrihutimis, or taxes'' which are paid there by the citizens of the United States, and as clearly binds all citizens of the United States, resident in Mexico, to pay all " charges, or contrihutiotis, or taxes" which are paid here' by the citizens of J^Iexico. If, therefore, a Mexican citizen is bound by law to pay this tax, then, by the treaty of 1831, the American citizen, resident here, is bound to pay it also. The treaty makes no distinction betAveen ordinary and extraordinary taxes — : between local or general taxes. I haA^e no doubt that at this moment taxes that may well be termed " extraordinary" are levied, both by the federal and THE PRESENT COXDITION OF MEXICO. 29 State governments, in tlie United States, wliicli operate alike ilpon the property of the citizens of the United States and Mexicans resident there. But it is not now necessary to consider this point, as, according to the foregoing reasoning, neither Mexican citizens nor foreigners can be laicfully required to pay this tax, I wish here, to add, that it is with great rehictance that I am compelled to differ from the Mexican authorities in a point of so much delicacy and import- ance. I have no doubt biit the government has been actuated by the most patriotic motives. Still, I cannot but hope that, in a moment free from the violent excitements which prevail here, and under the influence of which this act has been done, its unbiased judgment will be brought to concur in the general reasons on which I have founded the opinion here expressed. I am, gentlemen, your obedient servant, THOMAS CORWIK Messrs. Bennett, Lara, and others. [Translation.] Xational Palace, Septemher 5, 1861. The undersigned has had the honor to receive the note which his excellency the minister of the United States has pleased to send to him, together with a copy of a communication addressed by him to some of his countrj^men, resident in Mexico, in relation to the impost decreed on the 27tli August last past. The undersigned intends to siibmit this note, and the document which accompanies it, to the president of the republic, and meantime may communicate to the minister of the United States the conclusions of the chief magistrate of the nation. He has the honor to express to him his satisfaction with the frank and impartial spirit which manifests itself in the said note, which the undersigned appreciates, notwithstanding the difference there may be between the opinions of his excellency the mmister of the United States, and those which the govern- ment maintains as to the legality of the impost decreed on the 27th of August. The undersigned does himself honor in repeating to Mr. Corwin the assur- ances of his consideration. MANUEL MA. DE ZAMACONA. His Excellency Thomas Corwin, Minister Plenipotentiary of the United States. Mr. Seicard to Mr. Corwin. No. 23.^ Department of State, WasJdngton, October 2, 1861. Sir : Your despatch of September 7 (No. 5) has been received. The attention of this government has been already arrested by the threats of the uisurgeuts of this country to invade the northern frontier of Mexico ; but at present it seems wisest to oppose to them the necessary resistance nearer home. You ask, with marked earnestness, whether the United States would agree to pay in money to ^Mexico at this time any sum, say from five millions to ten millions of dollars, on receiving for it any kind of stipulation that the republic of Mexico might offer ] I feel myself authorized to assure jow tliat the President is as deeply sensible as you yourr'elf confessedly are of the importance of maintaining the integrity and independence of Mexico. He is prepared to adopt the best practicable 30 THE PRESENT CONDITION OF MEXICO. means to compas& that end, so important to tlie welfare, perhaps to the security, of the United States and to the success of civilization in this country. But it seems to him that a payment or advance to Mexico of siich a sum as you sug- gest is at this time impossible, even if it would be wise, which is a c[uestion that I do not now propose to discuss. We are now necessarily paying out of the treasury near a million a day, ren- dered necessary for the organization, all of a sudden, of a great army and a considerable navy. We could not hope to satisfy the country that it would be expedient to send five or ten millions of money into Mexico until our own mili- tary and naval preparations shall have been perfected and wo shall begin to see the insurrectionary movement distinctly recoil or subside. Again, the proposition to advance all at once to Mexico so large a sum of money, under the circvxmstances I have mentioned, would, we apprehend, en- counter serious opposition in the Senate of the United States, upon the ground not merely of the .present inexpediency in regard to our own country, but also on the further ground of probable improvidence on the part of the Mexican government in applying the subsidy. You suggest, as one of the means by which Mexico might indemnify the United States for any moneys to be advanced by them, an accommodation of the revenue tariff of Mexico, so as to favor our manufactures. I should not feel myself at liberty to discuss a proposition of that kind at this time. The Congress of the United States, and even the people themselves, are justly jealous of executive attempts to disturb or modify our revenue sys- tem at home or to enter into engagements with foreign countries which may have a bearing upoil the export trade of our country. If it should be thought wise to institute negotiations of either kind, it would be best to asl^ the Senate for its advice in the first instance, and not to negotiate a treaty first and after- Avards ask the Senate for its ratification. I am constrained to say that your- first proposition on this subject seems to me the most feasible and expedient one, namely, that the United States shall assume the payment of interest for Mexico for a term of years upon a pledge of sufficient Mexican mineral lands and territory. On this subject I see no reason to modify the instructions which I have already given. We hear indirectly and believe that Spain has proposed to enter into an arrangement with France and Great Britain for sending an armed expedition to Mexico. Acting upon public rumor, to this effect, we have asked the powers concerned to explain the objects of the contemplated expedition. Thus far, we have no reply, either from Mexico or from Great Britain or from France, to our overtures for an assumption of the interest on Mexican bonds. Such replies, however, must soon be received. When they shall have come I shall be able to Avrite to you more definitely, and I trust more satisfactorily, than I can write now, when the complication of Mexican affairs is understood only on one side, and Mdien we are acting upon conjecture as to the extent of hostilities meditated by the states which claim to have been mjured by the gov- ernmeiit of Mexico. .1 am, sir, your obedient servant, WILLIAM H. SEWARD Thomas Corwin, Esq., Sfc., ^c, Sfc. THE PKESENT CONDITION OF MEXICO. 31 Mr. Seward to Mr. Corwin. [Confidential.] No. 28.] ■ Department of State, Washington, October 21, 1861. Sir : I send you a copy of a despatcli just received from Mr. ScLurz. You will see, without any effort at elucidation upon my part, tlie importance of his suggestion that the Mexican people shall not be induced to become betrayers of their ovm independence. I am, sir, your obedient servant, WILLIAM H. SEWARD. Thomas Corwin, Esq., Sfc., 8fc., Sfc. Mr. Corwin to Mr. Seward. No. 7.] ^ Legation of the United States of America, Mexico, October 21, 1861. Sir: Your despatches Nos. 17, 18, and 19, under date of the 2d, 7th, and 12th of September, were received on the 10th instant from Mr. Otterbourg, the lately-appointed consul at this city. I find, on examination, that your despatches Nos. 14, 15, and 16 have never reached me. They are doubtless in the hands of the "secessionists," or the robbers who infest the mail routes to this country on both sea and land. I shall be gratified could copies of these last despatches be forwarded immediately; they may possibly escape the evil fortunes of the originals. Your despatch No. 8, dated June 3, was delivered to me on the 23d instant by Mr. George Ingraham, to whom the department had intrusted it. Mr. Ingraham's vessel was ninety days in making the voyage from Bangor, Motic, to Vera Cruz. I beg here to repeat the reasons which have induced me heretofore to urge the absolute necessity of having the consuls appointed by the present adminis- tration to Vera Cruz and Havana at their j)Osts in person. The vice-consul at Havana served several years under Mr. Helm, who, I believe, is now a "seces- sionist." Mr. Rich en, vice-consul at Vera Cruz, served three or four years at that place under Mr. Pickett, who is now here, and who, I have reason to believe receives his letters from New Orleans and elscAvhere through Mr. Riehen, who sends them from Vera Cruz to this place. Of this latter fact I cannot be certain, but I have strong reasons for suspecting its, truth. Both these vice- consuls viay be very faithful to the government, but the facts relating to their former associations seem to me to constitute sufficient cause for the supervision of those who are known to be faithful, and whose du.ty it is in these critical times to be at the ports assigned them. It is possible the lost despatches, to which I have referred, may have fallen into treacherous hands. I alluded, in my last despatch, to the necessity of having a consul of high qualifications at Matamoras, on the Rio Grande. It is highly important that the government should be in possession of the earliest and most reliable information of the move- ments of the rebels in that quarter. It is on that frontier that the first attack (if ind(;od any is ever made) wifl be made by the rebel forces upon Mexico. Mr. Pickett throws out (as I leam) threats of such a movement soon to be made, and sometimes, as now in the course of execution, as a measure of retaliation upon Mexico for granting to the United States the privilege of marching troops from Guaymas to Arizona. He has actually proposed to recede to Mexico, 32 THE PEESENT CONDITION OF MEXICO. Upper California and New Mexico, iucluding Arizona, on condition of free trade between Mexico and the " Confederate States." He lias ru-iiislied an opposi- tion member of congress here with a copy of his letter to tlu- Mexican secretary of state, who read it in secret session, as the grounds of a violent attack on the administration, bestowing great abuse iipon President Juarez and his cabinet for rejecting both Mr. Pickett and his proposition. The opposition orator was merely laughed at, and not complimented even by a reply. This I learned from one who was present, and deeply interested in the subject. Mr. Pickett has very formally advised the government here that the Con- federate States cannot consent to the sale or hypothecation of the public lands of Mexico to any government not in amity with them. The object of these informal communications is to prevent any treaty arrange- ment by Mexico with either the United States or England or France which would relieve Mexico from her embarrassments, and so insure a hostile inter- ference from abroad, which Avould so weaken the Mexican government as to render the northern states of Mexico an easy prey to filibusters acting in har- mony with the rebel troops. The motives of the secessionists, being thus clearly disclosed, present at once to both .the United States government and that of Mexico the obvious policy of strengthening Mexico by an advance of money to her, to enable hej to fight the common enemy of both. The public lands of the entire Mexican republic, mortgaged to the United States, as proposed in your dispatch No. , will constitute a justifiable reason for our meeting the rebel forces on our own lands in Mexico, where we could unite the troops of both republics against them, and thus draw off their military strength from Texas, so as to enable the Union party of that State and Ncav Mexico to re-establish in both the legitimate gov- ernment of the United States. I mention these as incidental advantages growing out of the proposed treaty, which may be worth consideration. In your last despatch I am instructed to enter into an arrangement to pay the interest on the foreign debt of this republic for five years. You estimate this debt at sixty-three millions of dollars. This sum is exactly the principal of the debt due to what are called " English bond-holders." In addition to this tl|bre is what is called the " English convention debt," five millions of dollars ; the " Spanish convention debt," eight millions of dollars ; and the " French conven- tion debt," the exact amount of which I do not know; but it is small, and will be arranged without difficulty, or be paid off out of other funds. The interest, therefore, on the foreign debt, which must be provided for, to avoid threatened hostility, is as follows : "Bondholders' " claim $63, 000, 000 At three per cent, per annum $1, 890, 000 " English convention debt " 5, 000, 000 At six per cent, per annUm 300, 000 " Spanish convention debt " 8, 000, 000 At three per cent, per annum. .'. 240, 000 Total amount of interest on foreign debt 2, 430, 000 In your instructions you say : " I am to be understood, moreover, as giving you not specific but general instructions, to be modified as to sums, terms, secu- rities, and other points, as you may find necessary — subject to approval by me." The British minister here, having been informed by Lord Lyons of the sub- stance of your instructions to me, immediately -proposed that the duties on foreign merchandise, heretofore assigned to foreign creditors, should be collected and paid as agreed upon, and that an ec[uivalent amount received from the THE PEESENT CONDITION OF MEXICO. 33 United States wotild place the government of Mexico beyond tlie necessity of suspending this agreement, whicli suspension had compelled the British govern- ment to resort to forcible intervention. In a conference with the British minister and the Mexican authorities this plan was thought advisable, and, acting within the spirit of my instructions, I have offered the following terms to Mexico, to which the Mexican cabinet has assented. I propose to loan to Mexico five millions of dollars for five years, at six per cent, per annum, to be paid in monthly payments of five hundred thousand dol- lars — the first payment to be made in one month after the ratification of the treaty by the United States — and to loan at the same rate for five years the sum of $2,000,000 each year for three years, making an aggregate of eleven millions of dollars ($11,000,000) in all; Mexico to file her bonds corresponding to the above payments before the receipt of the money. If the sum to be paid by the United States had been limited to interest at 3 per cent, on $63,000,000 — which was your estimate of the amount — for five years, the aggregate debt would have been nine millions four hundred and fifty. thou- sand dollars, ($9,450,000,) secured by bonds pledging the publiclands in Lower California, Chihuahua, Souora, and Sinaloa. By the modification which I pro- pose, the aggregate debt will be eleven millions of dollars, secured by pledge of the public faith, and also the entire public lands of the republic, and all the national property formerly belonging to the church. The latter, though not exactly ascertained, is, at the lowest estimate, equal t0\ one hundred millions, ($100,000,000.) In the States of Puebla and Mexico alone the amount not restored is known to be worth twenty-seven millions of dollars. This value consists, in the two States mentioned, in bonds and mortgages taken from purchasers who had bought the church property at a rate so very low that none will risk a forfeiture by non-payment, and all will be due in five years, the pay- ments being annual. It is agreed that a board of five persons shall be appointed, to sit in the city of Mexico — three to be appointed by the President of Iilexico, and two by the President of the United States — who shall have all the powers of the government to survey and sell the public lands, and grant mineral rights, and to collect the amounts due on church property, and sell what is not disposed of, and keep the funds thus derived separate from the general treasury, and transmit them to the treasury of the United States, at the risk and expense of Mexico, as often as half a million shall be realized. By this arrangement, I have no doubt, the interest due on the proposed $11,000,000 will be punctually paid after the first year, and interest and principal fully paid in the five years. The amount to be paid Mexico by this plan is only increased $1,550,000, while the securities for payment are such as to render the United States government per- fectly secure, and in all probability we shall secure a large portion of the money from Mexico before we have paid it out to her, and be able to close the whole within five years. I know that the British minister has written to the foreign office in London, by this mail, that his arrangement, when ratified by congress, will be eveiy thing the British government can ask. The French government will be satisfied by arrangements in progress here, and in any event the money to be j)aid by the United States will be in part pledged to the payment of the interest on the Spanish and French debts, which cannot exceed $150,000 per annum. I am fully satisfied that the amoimt proposed to be paid by the above plan is abso- lutely necessary to keep the present government on foot for the next three years, and, if any thing can, that will enable the Mexican republic tb exist un- der some form of government limited by written constitution. Both the British and American treaties will be submitted to congress here in all of the next two weeks for ratification. I hope you will approve my course. The absolute necessity for despatch H. Ex. Doc. 100 3 34 THE PRESENT CONDITION OF MEXICO. prevents me from sending you tlie proposed modifications before acting on tliem here ; but I liave sLown the minister of foreign relations my instructions, and advised him that no obligation can be relied on by him till your approval and that of the Senate is obtained. I have already asked leave to visit home. If the proposed treaty is ratified here, nothing of importance can possibly demand my actual presence here for a month or two, and I therefore renew my request to visit my home and family. Very respectfully, THOMAS COKWIK Hon. William H. Seward, Secretary of State, Washington, D. C, U. S. of America. Mr. Seward to Mr. Corwin. No. 29.] Department of State, Washington, Novemher 11, 1861. Sir: Your despatch of September 29, which bears no number, has been received. I notice with regret that important communications from me on the subject of Mexican relations with European nations had failed to reach you before your despatch was written. Owing to this circumstance, it would be improfitable to reply to your suggestions on that subject. I am not altogether satisfied that you judged wisely, under the circumstances, in the coiirse you pursued in regard to the claims of American citizens to ex- emption from the taxes imposed by the 'government of Mexico. It is our desire, we know it is yours, to see the government of Mexico sustain itself in the crisis through which it is passing. Citizens of the United States residing in Mexico ought to bear their proportion of the burdens necessary to the maintenance of the government whose protection they enjoy. The question of the lawfulness of the tax does out arise out of any rights peculiar to themselves, but out of right common to them with all the citizens of the republic of Mexico. It seems to me that Americans, under such circumstances, might well be left to abide the decisions of the Mexican tribunals in the same manner as Mexican themselves must do. But I write with much hesitation on the subject and await further developments of it. I am, sir, yoiu* obedient servant, WILLIAM H. SEWARD, By F. W. SEWARD, Acting Secretary. Thomas Corwin, Sfc, S^c, S^. Mr. Corwin to Mr. Seward. No. 8.] Legation of the United States of America, Mexico, Novemher 29, 1861. Sir : I have to acknowledge the receipt, since my last communication of the 29th of October, of the missing despatches Nos. 14 and 15, and also of your other despatches from No. 20 to No. 28, (of October 28,) inclusive. Despatch No. 16 has not been received by me. Since my last despatch (No. 7) Mexican affairs have assumed a very unfavorable aspect. Sii- Charles Wyke, the British THE PEESENT CONDITION OF MEXICO. 35 minister, having arranged with Mr. Zamacona, the minister of foreign affairs of the republic of Mexico, a treaty on the basis mentioned in my communication to yon, and which I considered very favorable to Mexico, and this treaty having been submitted to congress, and rejected by a vote of almost two to one, I have withdrawn my propositions for a loan from the United States, understanding from your instructions that this loan was to be made merely with a view to pre- vent European intervention in the affairs of Mexico. As this treaty has been rejected, I have good reason to believe that England will take possession of the ports of Mexico, with the intention of paying the debt^^i due to her citizens. The fleets of France and Spain, I have no doubt, will co-operate with that of England. What the views of France may be I cannot say. I agree, however, entirely with Mr. Schurz that it is the desire of Spain to regain her dominion over this country, and to establish here a monarchy. Whether the other powers referred to will consent to this you can judge better than I. In accordance with the instructions contained in your first despatch on this subject, I made an arrangement with the government of Mexico for a loan of five millions of dollars, payable in monthly instalments of one half million per month, and secured by the pledge of all the public lands, mineral rights, and church property. In addition to this I agi-eed, on behalf of the United States, to make a further loan of four millions of dollars, (making in all nine millions of dollars,) to be paid in sums of one half million every six months, and to be secured in like manner as the five millions. Since the rejection of the English treaty I have not felt at liberty to complete this arrangement, and shall await further instructions. Should the three European powers referred to take posses- sion of the Mexican ports, and then offer to relinquish all claims upon this country in consideration of the payment of the interest upon their debts, and the securing of the payment of the principal, I shall feel at liberty to renew my propositions unless otherwise instructed. It Avill be seen that the treaty now proposed reduces the loan from the sum proposed in my last advices from eleven to nine millions. I transmit herewith a coj)y of the treaty as drawn by myself and submitted to the cabinet here. I have no doubt it will be ratified here if I shall hereafter be authorized to pro- pose it. On this point I ask the favor of instructions as early as possible. I entertain a confident belief that when the English, French, and Spanish fleets shall arrive at Vera Cruz, and demand and obtain possession of the Mexi- can ports on the Gulf as well as Pacific frontier, that Mexico will enter into treaties with all these nations, such as was proposed by the lately rejected British treaty. Her national pride is so great that nothing but actual demonstration of her weakness will subdue it. From the best judgment I can form as to coming events here, I am inclined to the belief that England will unite in taking possession of the ports and ap- propriate the proceeds of the custom-houses in some way to the payment of the just claims of the three nations, but will not agree to any intervention in the internal concerns of the republic. I think Spain will desire to seize the entire government of Mexico, and re-establish her power here. If France concurs in this, they can accomplish it. If it is attempted by Sj)ain alone, it will ulti- mately fail. The hatred of the Spanish race is extreme here, and has been so since 1820. The conflict Avith the church, which has raged for the last three years, has intensified this feeling greatly. I think the obvious folly of rejecting the British treaty will be corrected by the events of the coming month, at least, in the realization of this hope consists the only peaceful solution of the questions which threaten the destruction of Mexican independence. I send lierewith copies of the late proceedings of a portion of the diplomatic corps here, in their attempt, by the tender of their good ofiices, to reconcile the differences between France and Mexico. It wiU be seen that the French ulti- 36 THE PEESENT CONDITION OF MEXICO. matum required tlie Mexican government to admit French intervention in the Mexican ports, with power to reduce the Mexican tariflf. The organic structure of the Mexican government does not admit the delegation of such power ; and as far as I coukl learn from the Mexican secretary for foreign affairs this was the main objection to his unqualified acceptance of the ultimatum. I endeavored to induce the minister of foreign affairs to give his unqualified acceptance, being satisfied that in any arrangement which would folloAV the French minister would not insist upon a demand of that kind. The fear of being charged with bad faith prevailed over my suggestions, however, and our efforts ended as the papers I send will show. The government is now making great efforts to embody fifteen thousand men at Vera Cruz to mett the Spanish troops, should they attempt to land. The British minister, Sir Charles Lennox Wyke, has, in my judgment, con- ducted himself here with great prudence, good sense, and perfect equity. He has sought to accomplish the object of his mission withovit resort to force, and his treaty was in all respects equitable and just towards both nations, but the overweening pride of the Mexican congress, not to say folly, in rejecting that treaty has subjected Mexico to the hazard of finding an enemy instead of an ally in Great Britain. I have been confined to my bed for several days by a violent cold, and was only permitted by my physician to leave it this morning. This I tnist may be received by the department as some apology for the want of more extended details in this despatch. This will leave in two hours by the British courier extraordinary, and be sent by the British steamer to Havana. By the obliging courtesy of the British minister, I am enabled to avail myself of this, the only safe medium of communication with the coast; all other mails are sacked and robbed of all their valuable contents by the numerous bands of robbers that infest the roads in all directions. I have the honor to be your obedient servant, THOMAS CORWIN. Hon. "Wm. H. Seward, Secretary of State of the United States of America. Mr. Seward to Mr-. Cor win. No. 32.] Department of State, Washington, Decemher 5, 1861. Sir : Your despatch of October 29, No. 7, has been received and submitted to the President. I have delayed replying to it some days for the reason that I hourly expected the answers of the British, French and Spanish governments to our proi^ositions concerning war. These have come at last in the form of the convention mu- tually concluded by them for hostilities against Mexico, with an invitation to ua to join in the convention. I send you a copy of it, together with my reply to that communication. I infer from your despatch that you will have signed a treaty with the govern- ment of Mexico before this time, and without waiting for new or further instruc- tions. I am hoping every day to receive that convention, and though I have only a very imperfect knoAvledge of the stipulations which it will contain, I willingly hope and am ready to believe that it may find speedy favor wath the President and the Senate. The President thinks that you cannot properly leave Mexico while the hos- tilities against the repi;blic are going on, and that your presence there will be THE PRESENT CONDITION OF MEXICO. 37 needful for counsel and possible negotiation between ourselves and tlie belligerent parties. You may look for an immediate response from us, witb important despatches, by special messenger, after tbe expected treaty shall be sent to us. Meantime, there seems to be nothing important to be communicated beyond what this paper and the accompanying documents contain. Some comparatively unimportant matters contained in your despatch will be entertained in a separate paper. I am, sir, your obedient servant, WILLIAM H. SEWARD. . Thomas Oorwin, Esq., ^v., S^c., ^. Mr. Corwin to Mr. Seward. No. 10.] Legation of the United States of America, Mexico, December 24, 1861. Sir : I have deemed it necessary to appoint Mr. Plumb a special bearer of despatches at this time. He will take with him an extradition and postal treaty, which I was not sure could reach the United States by any other mode of con- veyance. The present position of England and Mexico renders it entirely un- certain whether any mail, except that of the English legation, will be allowed to go on the English steamer, which is at present the only possible means of com- munication between Vera Cruz and Havana, at which latter place my corres- pondence is taken up and delivered in New York by the American steamers, which come and go to and from Havana twice a month. I have heretofore presented to the department the difficulty of communicating with the United States by conveyances so precarious and tedious as those now at command. If the British mail steamer, which is available only once a month, should be withdrawn, or communication through her be prohibited by the government of Mexico, then I know of no practicable mode of commtmication between this country and the United States at all, unless a mail can be secured from this city to Acapulco, from which last point letters could be taken twice a month to Panama. I have been laboring for the last week to unite with the merchants of this city to subscribe a sufficient sum which, with a small monthly subscription by the American legation, would enable us to employ a safe courier, who would go twice a month to Acapulco and back to this place. I am in- foimed by the government here that if such arrangement should be made, it would endeavor, by every means at its command, to render the route safe from the robber bands which have heretofore infested the roads in all directions. I do not think this plan will be carried out without a subscription on my part of at least fifty dollars per month. I must be guided by particular instructions on this point. If a vessel of the United States, armed, could be employed by our govern- ment to carry the mail once or twice a month between Vera Cruz and Havana, the necessity for establishing a route from this city to Acapialco would cease. Additional reasons for employing Mr. Plumb as bearer of despatches at this time will appear in my despatch, No. 11, of this date. If I can find it possible to send despatches through the British courier from this place to Vera Cruz, and from thence to Havana by the British steamer, I shall duplicate all the papers sent by Mr. Plumb, and send them by that route, so that the infonnation which tliey co)itain may be certain to reach the department. Very respectfully, THOS. CORWm. Hon. Wm. H. Seward, Secretary of State of the United States, Washington. 38 THE PKESENT CONDITION OF MEXICO. Mr. Corwin to Mr. Seward. IsTo. 11.] Legation of the United States of America, Mexico, December 24, 18G1. Sir : Since the date of my despatcli No. 8 the event Las happened which I have expected for the last seven months. The Spanish fleet has arrived at Vera Cruz and taken possession of that citj without firing a single gun. The Mexi- can population has all been ordered by the government to leave the city, and we hear that all, or nearly all, have obeyed the order. The castle of St. John de U Ilea has been entirely disarmed and the guns taken up to the difficult passes in the mountains, and there mounted, preparatory to the defence of those places should Spanish or allied troops attempt a march upon this city. From fifteen to twenty thousand troops, now under command of General Uraga, are stationed at these points, with orders to resist to the last. By reading carefully the correspondence of the Spanish commander with the Mexican authorities, you will perceive that no positive declaration of war has been made by Spain, either for herself or in the name of France or England. The French and English legations here both left Mexico, and are now at Vera Cruz. I was told by the British minister when he left that he should repair to Jamaica, at which point he expected further instructions applicable to the present state of affairs. I have seen it stated in the European papers that a consultation of the three powers was to take place at Jamaica before any de- cided move would be made upon Mexico. The statement of the British minister, as above, confirmed me in the truth of that made by the European press. If I am right in this, then it follows that the advance of Spain upon Vera Cruz has been made without the consent of France or England, and this is to be inferred from the fact that neither the French nor English fleet has yet been heard of in the Gulf I am quite' sure that the British minister here was surprised when he heard of the arrival of the Spanish fleet alone. Ton will observe that the Spanish commander does not wish to be understood as making war on Mexico, but rather holds out the idea that he comes to collect a dehi, and has seized Vera Cruz as part of the estate of the debtor, and holds it as a pledge, or by virtue of an attachment. The words prenda pretoria, which he has borrowed from the " Civil Law," mean, I believe, when translated into our law language, property held in pledge hy a court to answer to the judgment to be rendered in a pending cause. Whether such a writ, served in such a way, by such an officer, may be a " casus helli" or not, may be a question for diplo- matic investigation and decision. Hence you will see that President Juarez in his proclamation does not consider the act of the Spanish commander .as a declaration of war, and contents himself with saying " he will resist force by force," if it should turn out that Spain under its financial claims covers ag- gressive designs upon Mexico. After carefully considering all the facts within my knowledge which tend to throw light upon the real designs of the three powers, I incline to the belief that Spain secretly entertains a wish to prevent a peaceful adjustment between Mexico and either of the three powers, and that France and England, especially the latter, only intend to extort from Mexico treaties confonnable to their ideas of justice. Spain desires, by war between Mexico and all the three, to effect the reconquest of her lost American colonies. France, as she thinks, would be ^^'illiug to aid her in this. England, she has reason to believe, would never agree to the establishment of a vice-regal power here, unless upon such con- ditions as would take away all motives which prompt Spain to such a course. These are only my own inferences from the few facts which I have been able to learn here. The government of the United States, having a more enlarged THE PRESENT CONDITION OF MEXICO. 39 knowledge of facts and a higher stand point from which to survey the whole field of probabilities, will be able to form its own better conclusions on the subject. Mr. Plumb, the bearer of this despatch, will pass through Vera Cruz, and be able to learn much of the state of things there which is unknown at this moment to me. I suggest that you. have an interview with him. He will be able to explain to you fully the difficulties likely to arise out of the present state of things touching the communications between this country and the United States. I have been told by M. de Saligny (the French minister) that the United States had been req^uested by France to join the three powers in their present movement. I desire very much to know whether this has been done, and what answer our government gave to this request. If, as I think probable, this intervention shall end in treaties with Spain, France, and England, giving away a large portion of the revenue of this government to satisfy the claims of interest due on the foreign debt of Mexico, it will be important that I should know whether I will be at liberty to contract by treaty to loan Mexico the amounts, more or less, named in your previous instructions, with such guarantees of repayment as those contained in the projet I sent with my despatch No. 8. Such a loan will be absolutely necessary to the very existence of government and law in Mexico, should they treat mth all the three powers on a basis simi- lar to that adopted in the treaty with Great Britain recently — I wiU add, madly rejected by the Mexican congress. The present cabinet has full power to sign and ratify treaties, and I know each member of it is determined on a peaceful adjustment of all their difficulties with all the European powers, if it can be accomplished by any arrangement approaching to justice. I beg immediate in- structions on this point. I have the honor to be your obedient servant, THOMAS CORWIN. P. S. — ^At this time every republic in South America should be represented here. It would weigh against the European scale, which, at present, is quite too heavy here for the safety of American interest. J heg you will take meastires to insure this. Ecuador, alone, is now represented here. Spain and France, it is to be feared, have a covetous eye on the weak South American republics. They should meet them here, where they make their first demonstration. THOMAS CORWIN. Hon. William H. Seward, Secretary of State of the United States, Washington. Mr. Dohlado to Mr. Seward. [Translation.] National Palace, Mexico, Decejnher 20, 1861. The undersigned, minister for foreign affairs of Mexico, has the honor to place in the hands of his excellency the minister of the correspondent department for the United States of America copies of the communication which the com- mander of the Spanish expedition, upon the invasion of this republic, addressed to the governor of the State of Vera Cruz, calling upon him for the surrender of the fortress and castle of Ulloa; and of what this department has despatched to the said governor in reply. His excellency the Secretary wiU also find annexed a printed copy of the decree issued by the chief magistrate of the nation, under date of 17th instast, which, besides other provisions contained in it, declares the port of Vera Cruz 40 THE PRESENT CONDITION OF MEXICO. closed to tLe foreign and coasting trade; and another of tlie manifesto which the president has put forth, and a copy of the circular transmitted to the gov- ernors of the States of the confederation, calling upon them all for the defence of the national independence. The undersigned avails of the occasion to proffer to your excellency the as- surances of his very distinguished consideration. MANUEL DOBLADO. His Excellency the Secretary for Foreign Affairs of the United States of America. Mr. Ruhalcava to the Governor of Vera Cruz. [Translation.] General Headquarters of the Naval Forces OF her Catholic Majesty in the Antilles. Governor : The long succession of injuries inflicted upon the government of her Catholic Majesty by that of the Mexican republic; the repeated outrages committed upon Spanish subjects ; and the blind obstinacy with which the gov- ernment of Mexico has constantly refused to give ear to the just reclamations of Spain, always presented with the moderation and decorum proper to a nation so chivalric, have obliged my government to j)ut aside all hope of obtaining through measures of conciliation a satisfactory arrangement of the grave differ- ences existing between both countries. Notwithstanding, the government of her Majesty resolved upon obtaining full reparation of so many outrages, has or- dered me to begin my operations by taking possession of the fortress of Vera Cruz and the castle of San Juan de Ulloa, which will be held as an hypothe- cated security until the government of her Majesty becomes convinced that in future the Spanish nation will be treated with the consideration which is due to it, and that the treaties which may be concluded between the two governments will be religiously observed. Your excellency will communicate to me through the channel of the French consul, charged with the representation of the com- mercial interests of Spain, within the limit of tAventy-four hours, reckoned from the time at which you may receive this communication, whether you are, or not, ready to surrender to me the fortress and the castle, with the understanding that if the response is negative, or if at the expiration of the time fixed I have re- ceived no answer, from that moment you can assume that hostilities are begun, for which purpose the Spanish army will be landed. I ought not to hide from you that although I make this intimation to you in the name of Spain alone, in obedience to the instructions I have received, the occupation of the fortress and castle will also serve as guarantees of the rights and claims against the Mexican government which the governments of France and England may have occasion to establish. It remains to me to set before you that the mission of the Spanish forces in no way affects the internal policy of the country ; all opinions will be respected, no censurable act will be done, and from the moment when oiu* troops occupy Vera Cruz the Spanish commanders will answer for the safety of the persons and property of its inhabitants whatever may be their nationality. It belongs to you and the rest of the Mexican authorities to give guarantees to the foreigners until such occupation may take effect, whether it be pacifically or by active force. If Spanish subjects and other foreigners should be persecuted or mal- treated the forces which compose this expedition would see themselves under the hard but unavoidable necessity of recurrence to reprisals. I entertain the THE PRESENT CONDITION OF MEXICO. 41 hope tlitat you, whatever be your decision, will act with the practical wisdom which is to he desired, being yourself convinced that the Spanish troops, always hmnane, always noble and loyal even towards their enemies, will not take the fii'st step in the way of reprehensible violence even in case of war — ^will avoid every species of crime, the only result of which would be to render more difficult the arrangement of pending international difficulties. I avail myself of this opportunity to offer to you the assurances of my con- sidei-atiou. Steamer "Isabel la Oatolica," at the anchorage of Anton Lizardo, 14th De- cember, 1861. JOAQUIN GUT'Z DE EUBALCAVA. The Governor of the State of Vera Cruz. True copy. Mexico, December 20, 1861. JUAN DE DIGS AEIAS. Mr. Dohlado to the Governor of Vera Cruz. Department of Foreign Relations and of Administration, Mexico, Decemher 17, 1861. The citizen president to whom I made report of the despatch which the com- mander of the Spanish naval forces addressed to you, and of that which you directed to that chief in reply, orders me to say to you that you must follow punctually the instructions which were given you beforehand for the event that has already occurred, (the open breaking out of hostilities on the part of the subjects of Spain,) and which, in the military service, leaves free action to the commanding general-in-chief of the Mexican army. General Uraga, to operate in his sphere, as he has been already instructed in detail. It would be improper for the government of the republic to address itself to a chief, who, waiving the formalities of the law of nations, begins by calling for the surrender of a fortress. The war cry spontaneously shouted forth by the nation marks out to the government the course it ought to follow, and it will not be the president who will fall back before a foreign invasion, with the more reason that 'in this case Mexico does but repel force by force, in the exercise of an incontestable natural right. I also send to you, by superior order, a copy of the decree and circular which I transmit to-day, by express, to the governors of the States, recommend- ing you to second, with the energy and activity which the circumstances demand, the views of the government, by the faithful carrying out of which the presi- dent has no doubt the invasion which menaces the destruction of om- liberty and of our independence will be repulsed. Liberty and reform. DOBLADO. The Governor of the State of Vera Cruz. Mexico, December 20, 1861. A copy. JUAN DE DIGS ARIAS 42 THE PRESENT CONDITION OF MEXICO. 31r. Doblado to the Governors of the Mexican States. [Circular.] Department of Foreign Relations, Mexico, December 18, 1861. By order of the president, I have the satisfaction to transmit to jow, in copy, the despatches exchanged between the commander of the Spanish force at Vera Cruz, and the governor of that State, as well as the decree and manifesto which, to-day, the chief magistrate of the republic has deemed proper to issue, that the States may prepare for the defence of independence. After having exhausted the means of pacific accommodation between Spain and Mexico, the government of the republic, strong in the consciousness of right, and sensible to the impulses of public opinion, pronounced for war, accepts that which the Spanish forces have initiated in a manner so unusual, because its right to repel force by force IB incontrovertible, and it protests in the presence of the civilized world that all responsibility for future events will fall solely on the government of the Queen of Spain, which has so inconsiderately made its own the unjust pretexts upon which the enemies of Mexican liberty have attempted to speculate. Notwith- standing our intestine divisions, the love of independence, and hatred of the aaicient rulers over the country still keep alive, although the latter has been mitigated by the eflFects of the culture and ci%'iHzation of the age. The president, in raising the banner of Mexican nationality, does no more than follow the current of public opinion, and has the pleasure to see arrayed around him, on the day of a national contest, the greater part of those Mexicans, who, by reason of political opinions, remained disunited, but have abandoned intestine divisions on the first call of their native country. Although the government has asserted its right to expel from the territory of the republic Spaniards resident therein, it has omitted to do so at present, because it trusts that they, appreciating the generosity with which it treats them, will continue to keep the strict neutrality which their posi- , tion enjoins upon them. Thus has the president given another proof of the practical wisdom with which he has conducted his foreign relations, establishing, by irrefragable acts, that he is not to blame if those relations have reached the unfortunate state in which they actually exist. The president, therefore, hopes that by giving prompt and strict fulfilment to the decree, of which mention was made in the beginning, you will put on the march, with the least possible delay, the contingent of armed force allotted to you, and that besides you will make use of all the resources of your government to place the State under your worthy command in the imposing attitude which becomes it, by arousing, by all means in your reach, the patriotism of all the inhabitants of such State, that they may assemble together for the common defence, .so that if such unfortunate event should occur as the enemy penetrating to the interior, all the inhabitants may rise in one body and oppose with their swords and their courage an iu^dncible barrier to the daring of our invaders. May the recollection of Hidalgo, of Morelos, and of Guerrero, be the rallying point for Mexicans, as well as the flag which waves over the ranks of our ai-my in the hour of battle. AU hail our independence. All hail the republic. Liberty and reform. MANUEL DOBLADO. The governor of the State of . Mexico, December 23, 1861. A copy. JUAN DE DIOS ARIAS. THE PEESENT CONDITION OF MEXICO. 43 Decree ofP resident Juarez to tJie Governors of tlie Mexican States. Department of Foreign Relations. The constitutional president of tlie republic has seen fit to make the decree which follows : Benito Juarez, constitutional president of tLe United Mexican States, makes kno"RTi to the inhabitants thereof: That the Spanish forces having taken possession of the port of Vera Cruz, and hostilities having by that act broken out between the republic and Spain, in xiYtuQ of the full powers with which I am clothed, I have thought proper to decree the following : Article I. The port of Vera Cruz is closed from and after tbe 14tli of the present month to the coasting trade as well as that <5f the high seas. Article 2. Those Mexicans are traitors to their country, and shall be punished as such, who may take up arms and join the Spaniards, or may in any manner favor their cause. Article 3. The time which the act of amnesty of the 2d of the present month conceded to dissidents to accept the pardon offered by the government is extended for fifteen days longer; and the grace is extended to all Mexicans, except those who, in the judgment of the government, are not in condition to receive it, for which purpose a habilitation will be made in each special case. Article 4. Governors are empowered to dispose of revenues belonging to the general government in their respective States, so that they may, in the shortest time possible, put on the march the contingent of armed force allotted to them by this decree. Article 5. The contingent of the States is as follows : States. No. of men. States. No. of men. Federal district 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 2,000 2,000 2,000 Chihuahua 2, 000 Oajaca Guerrero 2 000 Juanaiuato Yucatan 2, 000 Galisco Tabasco 2, 000 Zacatecas Aguas Calientes Queretaro — Colima 1 000 San Luis Potosi 1, 000 Mexico 1, 000 Michoacan Chiapas 1, 000 Puebla .J. Tlaxcala 1, 000 Vera Cruz Baja Califoi'nia 1, 000 Nueva Leon y Coahuila Tamaulipas Sonora 1, 000 Sinaloa ............... 1, 000 Duransro Article 6. Without prejudice to the posting of the contingent designated, at the point which will be designated in due season, the governors will call to arms all tlie national guard which may be disposable, imposing the extraordinary duties which, in their judgment, may seem proper to obtain the resources neces- sary for the subsistence of such forces. Article 7. The Spaniai-ds resident iu the coimtry will continue living under 44 THE PRESENT CONDITION OP MEXICO. tlie protection of tlie laws, and tliose wlio, abusing the generositj of tlio govern- ment, may aid tlie invaders shall only be puuislied in conformity therewith. Wherefore I order that this be printed, published, and circulated, and be duly executed. Given at the national palace, in Mexico, the 17th of December, 1861. BENITO JUAREZ. •To Manual Doblauo, Minister for Foreign Relations. I communicate this to you for its execution and resulting conseq[uences. God and liberty. Mexico, December 17, 1S61. DOBLADO. To the Governor of the State of . Proclamation of Tresiderit Juarez to the Mexicans. [Translation.] The constitutional president of the republic to the nation : Mexicans : The announcements of the approaching war which was prepar- ing against us in Eui-ope have unhappily begun to be realized. Spanish troops have invaded our territory, our national dignity is wounded, and our mdepend- ence perhaps endangered. In circumstances so afflictive the government of the republic deems that it discharges one of its principal duties by placing be- fore you the cardinal idea which will be the basis of its policy in the present affair. The interest of all is at stake, and therefore all are under obligation, as -faithful sons of Mexico, to contribute their intelligence, their fortune, and their blood to the safe-keeping of the republic. All have equal right to inform them- selves of the action and of the policy of the government. On the 14th of the present month the governor of the State of Vera Cruz received a summons from the commander of the Spanish naval forces to evacuate that port and the fortress of Ulloa, which the same commander announced that he would hold in pledge until the government of the Queen of Spain should be assured that in the futm-e the Spanish nation will be treated with the consid- eration due to it, and that the treaties which may be concluded between the tTTO governments will be religiously observed. The Spanish commander also an- nounces that the occupation of the port and castle will serve as a guarantee of the rights and claims against the Mexican government which France and Great Britain may have occasion to establish. The foundations of this aggression are inexact, to wit : the offences offered to the government of her Catholic Majesty by the govemmentrof the republic, and the blind obstinacy -with which the government of Mexico has constantly re- fused to give ear to the just claims of Spain. The invariable conduct of the Mexican government does not allow the im- partial eyes of justice to give assent to such imputations. The Spanish gov- ernment, since the treaty of peace of 1836, has always been regarded as that of a friendly power, connected with Mexico by means of especial ties, without that, against this truth there can at this day be alleged, as a well-founded objection, the fact of the expulsion of the Spanish ambassador. As the special cu'cumstances of that case are well known, and no less well known is the dis- position which the government entertained, and still entertains, to give upon this particular explanations the most rational and proper ; reduced, in a few words, to the necessity of excluding from the national territory a foreign funo- tiouary, who came decidedly to encourage the principal fosterers of the rebel- THE PRESENT CONDITION OF MEXICO. 45 lion against the legitimate authorities of the republic. The government then made use of a right which all nations hold and exercise, and which Spain has on repeated occasions put in force ; but manifesting at the same time that that determination in nowise affected the good relations which existed, and which it desired to maintain with the Spanish nation. The outrages committed against Spanish subjects are not either acts which can be presented in contradiction of the purpose of maintaining the best agree- ment with that government, because those outrages were only the inevitable consequences of the social revolution which the nation initiated and consumma- ted, in order to extirpate those abuses which had been the perennial causes of its misfortunes — consequences which, in their turn, natives and foreigners have eaidured without any distinction of their respective nationalities. And if some- what the greater portion of these mischances has fallen upon Spanish subjects, may not this have arisen from the fact that the number resident in the republic is also larger than that of those of another nationality 1 May it not have sprung from the fact that the Spaniards, more than any other foreigners, have taken and take sides in our dissensions, in which many of them have displayed a fierce and sanguinary disposition ? Notwithstanding, the various administrations which have succeeded to each other have always listened to the claims of the Spanish legation, and have re- ceived Avith favor those which seemed to be supported by any principle of equity. A long time anterior to the recognition of our independence the Mexican congress made national the debt contracted by the Spanish government, although a great part of its amount had been spent in fighting against that very independence, and another part, no less considerable, was appropriated to the European obli- gations of the Spanish monarchy. Subsequently the character of agreement was given to the arrangement of Spanish claims ; but it being afterwards made apparent that some of the Spanish subjects interested in them, abusing the kind disposition of the government of the republic, presented immense amounts which evidently had not the characteristics required by the convention, the Mexican government took measures, by virtue of which this operation might be set right, reducing them within just and equitable bounds. For the rest the government has been and is disposed to satisfy all just claims as far as the resources of the nation may permit, well known as they are to the power which is now invading it. All nations, and Spain most especially, have passed through epochs of want and penury, and almost all have had cred- itors who have waited for better times for their protection. It is only from Mexico that sacrifices are required which are beyond its power. If the Spanish nation cloaks other designs beneath the financial question, and because of offences which are unfounded, its intentions will soon be known. But the government whose duty it is to prepare the nation for any event, an- nounces, as the basis of its policy, that it does not declare war, but will repel force by force so far as its means of action may permit. That it is disposed to satisfy claims made upon it which are founded in justice and equity, but without accepting conditions that cannot be admitted without offending the dignity of the nation, or calling in question its independence. Mexicans, if such just pur- poses should not be appreciated ; if it should be attempted to humihate Mexico, to dismember its territory, interfere with its administration and internal policy, or perchance extinguish its nationality, I appeal to your patriotism, and I con- jure you that, laying aside the hatreds and enmities to which the diversity of our f)pinions has given origin, and making sacrifice of your property and your blood, you gather yourselves around the government and in defence of tin; cause, tlie greatest and most sacred to men and to nations — the defence of our native land. Exaggerated and sinister statements by the enemies of Mexico have presented us to the world as rude and degraded. 46 THE PRESENT CONDITION OF MEXICO. Let ns maintain war with those who provoke ns to it, strictly ohserving the laws and usages established for the benefit of hmnanity. Let the unarmed enemy, to whom Ave have granted a generous hospitality, live tranquil and secure under the protection of our laws. Thus shall we repel the calumnies of our enemies, and shall prove ourselves worthy of the liberty and independence which our fathers bequeathed to us. BENITO JUAREZ. Mexico, Decemher 18, 1861. Mr. Seward to Mr. Corinin. No. 36.] Department of State, Washington, January 24, 1862. Your very interesting despatch of December 24 (No. 11) has been received. Tou are already aware that the President, early during the present session of Congress, submitted to the Senate your project of a treaty with Mexico, by which provision would be made for a loan to that republic, and asked the Senate's advice upon the subject. Hitherto the Senate has not acted upon the subject. It is understood that this delay has been made because it was thought desirable to have such infor- njation from you of the condition of affairs in Mexico as you should be able to give after the then expected hostilities of the three powers allied against Mexico should be actually begun. A copy of your despatch has been submitted by the President to the Senate, with a request that it would act u.pon the whole subject at the earliest possible day. Under the circumstances, the President deems it his duty to wait for the Senate's reply, which, of course, must have an important bearing upon the nature of the instructions to be given to you for the regidation of yoiu- conduct in the existing emergency. I tnist, however, that no long delay will now be found necessary. I am, sir, your obedient servant, WILLIAM H. SEWARD. Thomas Corwin, Esq., ^c, c^., 4^. Mr. Corwin to Mr. Seward. No. 13. 1 Legation of the United States of America, Mexico, January 12, 1862. Sir : The last Bi-itish steamer which arrived at Vera Cruz, the 26th of November, brought nothing from the department to me. Mr. Proctor writes me from Vera Cruz that he was directed to bear to this city important despatches for the legation, but the despatch agent at New York did not furnish them to him, and he went on board the steamer without them. Under circumstances existing here, this failure is a subject of deep regret. Tlie Spanish fleet, with from seveii to ten thousand land troops, are in possession of Vera Cruz, while the French and English forces are hourly expected to join them, making the land forces altogether from fifteen to twenty thousand. If the commissioners, when they arrive, adhere to the avowed objects of the triple treaty, every question pending with either of the three powers will be adjusted without a war. If, as many suspect, there are secret orders to establish a government here under European auspices, then this country is doomed to a THE PRESENT CONDITION OF MEXICO. 47 long, desultory, and bloody war, and finally to complete subjugation. From all the information in my possession, I incline strongly to tbe belief tbat the present Em-opean movement will end without war. All reliable means of communication witb tlie United States are entirely cut off. The British courier no longer carries my mail to Vera Cmz, or any other. The Mexican mail cannot be relied on, and will probably soon entirely cease to take the mail to the city of Vera Cruz, and Mr. Proctor writes that since the affair of the Trent the British steamer will not carry any mail between Vera Gi'ixz and Havana. I am left, therefore, to find means to write to the depart- ment, or not write at all. I send this by a courier (employed by the Prvissian minister) who, I learn from Mr. Wagner, will go to Vera Cruz to-morrow. I send to the American consul at Vera Cruz, with instructions to send it, if pos- sible, by the Spanish steamer which goes every week to Havana, at which latter place our consul, I hope, will find some conveyance to New York. I have engaged Captain Stoeker, a brave and honest American, to carry my despatches to Vera Cruz, as often as I deem necessary, at a very moderate compensation, and have yesterday arranged with the president here to allow him to cany letters for the merchants here, at such rates as can be agreed on between him and those who wish to correspond through him. I have some hope that our consul at Vera Cruz will be able to send a mail by the Spanish steamer to Havana. General Gassett, the commander of the Spanish forces, has, so far, been very accommodating towards our consul and people who have been within the district under his control. I shall duplicate this despatch by Captain Stoeker, who will leave for Vera Cruz oil Wednesday, (three days hence,) as it is not entirely certain that any courier will reach Vera Cruz safely, and without loss of his mail. I earnestly entreat that the important despatches, said to be left in the hands of the agent at New York, may be forwarded (if this be not already done) at the earliest possible moment. General Doblado is now secretary of foreign relations, and entertains the best disjiositions towards the United States. From all I have yet seen and known of him, I thiuk he is the man for the present times in this country. I have the honor to be your obedient servant, THOS. CORWIN". Hon. William H. Seward, Secretary of State of the United States, Washington. Mr. Corwin to Mr. Seward. [Extracts.] No. 14.] Legation of the United States of America, Mexico, January 26, 1862. Sir : I have to acknowledge the receipt, on the 19th instant, by means of a special courier from Vera Cmz to the Prussian legation in this city, of your de- spatches, Nos. 14, 16, 31, 32, and 33; No. 14 enclosing the duplicate of the commission of Marcus Otterbourg, as United States consul at this city, and No. 31 enclosing the commission of Peter Lott, of New Jersey, as United States consul at Tchuantcpec. Since my last despatch nothing of a decided character has been done touch- ing the relations of this republic with Europe. Enough, however, is known to satisfy me that neither of the three powers expect the expedition to result in the establishment of a throne in Mexico. It was thought by many, and I at one time entertained a fear that such was the secret design of Spain. I am now 48 THE PRESENT CONDITION OF MEXICO. entii-elj at ease on tliat poiut. *#***! know firrtlier, tliat the governmeut liere were gratified -wlien tliej received the despatch from the commissioners at Vera Cruz, three days ago. So far everything promises a speedy and safe solution of the present imminent difficulties of Mexico. The commissioners of the three powers will be in this city by the first of Feb- ruary, and I have little doubt that treaties with them all will soon follow. I have heretofore informed the department that I had been assured, by both the French and English ministers here, that neither France nor England thought proper to treat du-ectly with the United States for the payment of the interest on their Mexican debt, assigning as a reason that such a course might possibly lead to a disagreement with us, which they very much desii-ed to avoid. Know- ing this to be the case, the Mexican government asked me whether, if she gave away her revenue to obtain a peaceful settlement of her European debt, the United States government would lend her a sum ec^uivalent to that proposed to be paid to the European claimants, to wit : three per cent, annually, for five years, on §63,000,000. To this I assented, as being, in my judgment, within the spirit of my instructions. In conformity with these views, I sub- mitted the project of a treaty, a copy of which I transmitted to the department. The entire cabinet were satisfied with that project, in every particular. But I did not deem it proper, under my instnictions, to make this treaty until I was asfeui-ed that England and France were satisfied. The rejection of the British treaty by congress obliged me to withdraw mine for the time. The same treaty, in substance, will now be ratified with England, and I have little doubt, as I have already stated, that similar satisfactory, arrangements will be made with France and Spain. AYhen this is done, I shall feel bound, unless insti'ucted to the contrary, to submit a treaty in substance such as I have already sent to the department. * # * ** #*» Yours, respectfully, THOMAS COEWIN. Hon. W. H. Seward, Secretary of State of the United States. Mr. Seward to Mr. Corwin. Ko. 37.] Department of State, Washington, February 15, 1862. Your despatch of January 26 (No. 14) has been received. The Senate, as I have reason to suppose, is largely occupied with our own domestic afiairs, and at the same time is somewhat perplexed by the extraordinary state of affairs in Mexico, and so it has not yet come to any conclusion upon the questions sub- mitted to that body by the President for its advice. Under these circumstances, it seems to me best that if the occasion shall offer for Mexico to make a treaty with her invaders, and if Mexico shall at the same time and with a view to her aid in that emergency, apply to you for some financial aid from the United States, then you shall exercise your best discretion in making a treaty which will be useful to her and as little embarrassing to our own country as possible, and send the treaty here without delay for the consideration of this government. There are, however, very unmistakable indications that the Senate will require two things in any treaty you may negotiate, namely: 1st. That the aid to be rendered to Mexico shall be in the form of an assumption of payment of interest. 2d. That the aid so rendered shall be guaranteed to be effectual in securing Mexico a release from all her complications with the allies now making war upon her. THE PEESENT CONDITION OF MEXICO. 49 Tliis seems to be your own view of the subject, and it meets tlie President's approval. The views you express concerning a probable escape of the Mexican republic from the embarrassments which surround it, without the loss of independence, are fiill of interest, and we hope that they may be justified by events. Desirous to act in good faith with the allies now invading Mexico, as well as with Mexico, and believing that such a course on our part will result beneficially to Mexico, I have informally communicated the general effect of these instruc- tions to the governments of Spain, Great Britain, and France, as you will of course make them known to the president of the Mexican republic. The consul at Minatitlan had been replaced before your despatch was received. I am, sir, your obedient servant, Thomas Corwiiv, Esq., ^., Sfc., S^. WILLIAM H. SEWARD. Mr. Seward to Mr. Corwin. No. 40.] Department of State, Washington, February 28, 1862. Sir : I enclose to you a copy of a resolution of the Senate of the 25th instant relative to your negotiations with the government of Mexico. You will consider your instructions upon the silbject referred to modified by this resolution, and will govern yom* course accordingly. I am, sh, your obedient servant, WILLIAM H. SEWARD. Thomas Corwin, Esq., ^., 4^., ^r. IN EXECUTIVE SESSION. Senate of the United States, February 25, 1862. Resolved, That in reply to the two several messages of the President with regard to a treaty with Mexico, the Senate expresses the opinion that it is not advisable to negotiate a treaty that will require the United States to assume any portion of the principal or interest of the debt of Mexico, or that will require the concurrence of European powers. Attest : J. W. FORNEY, Secretary. Mr. Corwin to Mr. Seward. [Extract.] No. 16.] Legation of the United States of America, Mexico, February 18, 1862. giR :* * * * * * * * * I have deemed it my duty to keep the United States government advised of events here as promptly as possible, until the results of the present intervention shall fully appear. Nothing has, as yet, transpired between the intervening powers and Mexico to enable me to say, with certainty, whether war will or will not be waged by the three powers as a means of enforcing their claims against Mexico. H. Ex. Doc. 100 4 50 THE PRESENT CONDITION OF MEXICO Mr. Doblado, the minister of foreign relations, left liere on Friday morning (the 14th instant) to meet the foreign commissioners at Soledad, a small village about thirty miles from Vera Cruz. The object of this meeting is to agree, if possible, on certain points preliminary to treaties settling the claims of each power. In a confcrejice with Mr. Doblado the night before his departure, he informed me that the points he should insist on were : First. The recognition by each and all of the three powers of the present government of Mexico. 'Seco?id. A pledge not in any event to attempt a dismemberment of the present territory of Mexico. Third. A pledge not to interfere in the domestic government of Mexico, or make any effort to change the existing fundamental laws of the republic. These propositions seem to me to embody precisely the engagements entered into by these powers with each other in the treaty which has been published by themselves ; and if there be no secret understanding behind the treaty, I doubt not Mr. Doblado will succeed in securing the proposed preliminary ar- rangement. If he fails in this, however, hostilities are inevitable. Should these points be satisfactorily arranged, then no difficulty can arise except such as may grow out of the details to be adjusted as to the amounts due to each of the intervening powers, and the securities to be given by Mexico for their future payment. The amounts may, I think, be easily and fairly adjusted, but the security for the payment of present dues and future interest will be more diffi- cult of adjustment. The only security acceptable to any of the claimants is a mortgage on the revenues from imposts. To make this security such as will no doubt be earnestly insisted on, Mexico Avill be required to surrender, for a limited period, a very great proportion of this class of her revenues, which she cannot do without imminent danger to her internal peace, unless the United States will step in and make her the loan proposed in the proposed treaty, a copy of which I have heretofore transmitted for the criticism of the government at Washington. If the parties here shall not agree as to the securities to be received by each, and Mexico shall not be able to give what is demanded for want of the loan pro- posed by us, then war may ensue, and the subjugation of this country to Euro- pean domination may and (in such case) probably will be the result. In the project of the treaty which I forwarded to the department, I had strict regard as to the whole amount, to the sum named in my instructions, that is the payment of the interest at three per cent, on sixty-three millions for five years, making a total of nine millions four hundred and fifty thousand dollars, to be secured on the public lands in four of the States of Mexico. In the treaty I proposed, about the same amount would be loaned to Mexico, payable in instalments, so as to answer the exigencies of the government here, and at the same time secure both governments against any prodigality in the use of this loan, whilst the security given for it included all the public lands and mineral rights in the whole republic, as also the entire unadministered national property, called the " church property," estimated here at not less than twenty millions. To secure the faithful appropriation of this secirrity to the payment of interest and principal of the loan, a mixed commission to administer and apply properly the proceeds of these two funds was pro^^ded. In order not to distress the United States treasury, I insisted on the option to advance this loan in cash, or in bonds at par, bearing an interest of six per cent., believing, as I then did and do now, that the proceeds of the lands, mineral rights, and church property would, after the first year, either pay the cash to be advanced, or, if the government chose to advance the loan in bonds, to take up these bonds as fast as issued. In the meantime I further provided that Mexican bonds should be deposited in the treasury, equivalent in amount to each advance by our government, bcurmg six per cent, interest, which, if the funds provided THE PRESENT CONDITION OF MEXICO. 51 to take tliem up should be aiS available, as I believe they would, for tbeir redemption, would readily sell in the market at par, so that if the entire arrange- ment should be faithfully carried out, the proposed loan could operate no injury to our national credit, whilst the great end in view, the security of the national life of Mexico, would be attained. I am thus particular in stating the points of interest in the treaty I proposed, because I wish the government to see that I have kept in view the substance of my instructions, and because I am sure the time is approaching when we may be obliged to do in substance what we first proposed, that is, to pay the interest on the sum stated above, or abandon Mexico to such a fate as the three powers, now here in force, shall choose to award her. The prompt and friendly manner in which the government here granted us the right to march troops and convey provisions and munitions of war over her territory, to aid in quelling the rebellion on our frontier, contiguous to hers, furnishes, I think, a strong motive to a retui-n of this generous act. . Such has been the conduct of this government towards the commissioner of the " Confederate States," that Mr. Pickett recently sent here, from Vera Cruz, a letter which, I am informed, was so abusive in its tenns that it was forthwith returned without a reply. * * * « * •* * I am, very respectfully, your obedient servant, THOS. COEWIN. Hon. William H. Seward, Secretary of State of the United States, Washington. Mr. Seward to Mr. Corwin. No. 43.] Department of State, Washington, April 3, 1862. Sir: Tour very interesting despatch of February 28 has been received. You have already been informed that the Senate advised the President adversely to the projected treaty with Mexico, in both of the foiTQs in which it was sub- mitted to them. Under these circiimstances the President is unabled to suggest to you any other mode for contributing to the deliverance of our sister republic from the embarrassments by which she is surrounded which would be accept- able to the Senate. The House of Representatives has called for the papers relating to the case, and we may perhajJS find some plan for rendering assistance not incompatible Avith the rights of other parties in the debates whidi the report from this depart- ment may elicit. Meantime I desire- to direct your most earnest attention to the necessity of guarding, if possible, against any such pledge of the resources of Mexico to foreign powers as might affect our cause injuriously, or impair the ability of the people of Mexico to sustain the free government established by their own choice. You will not leave the government of Mexico in doubt for a moment that the government and people of the United States are indifferent concerning the perils by which they are menaced. I am, sir, your obedient servant, WILLIAM H. SEWARD. Thomas Corwin, Esq., ^., !ifc., Sfc. 52 THE PRESENT CONDITION OF MEXICO. Mr. Romero to Mr. Seward. [Translation.] Mexican Legation in the United States of America, Washingt07i, Septemher 21, 1861. Mr. Secretary : I have tlie honor to transmit to you the copies, which are mentioned in the enclosed index, of the documents to Avhich I referred in the conference with which you favored me this morning, and in those held on pre- vious days, relative to the attitude that the ministers of France and England, residing in Mexico, and their respective governments have taken towards that republic. I avail myself of this opportunity to renew to you, sir, the assurances of my very distinguished consideration. M. ROMERO. Hon. William H. Seward, ^., ^., ^. [Translation.] MEXICAN legation IN THE UNITED STATES OF AMERICA. Index of the documents which, on this date, this legation transmits to the Depart- ment of State of the United States in regard to the susj^ension of relations by the French and English ministers residing in Mexico with the government of that republic. No. From whom and to whom. Date. Contents. 1 2 3 Mr. Zamacona to Mr. Romero ... Mr. Zamacona to Mr. Fuente 1861. July 29 ....do.... July 17 July 18 July 19 July 20 July 21 ....do.-.- .-..do.... July 22 July 23 Instructions. Do. Law of suspension of payments. — (See British Parliamentary Document.) Circular explanation of said law, con- taining the programme of the new cabinet. Asking if the law was authentic which had appeared in the newspapers. — (See British Parliamentary Docu- ment.) Do. do. Enclosing copy of the law, and ex- plaining its contents. In reply to the note as to whether the law was authentic. In reply to the note as to whether the law was authentic. — (See British Parliamentary Document.) In reply to note No. 9.— (See British Parliamentary Document.) Asking the repeal of the law of the 17th of July within 48 hours. — (See British Parliamentary Docu- ment.) 4 ,5 6 7 8 9 10 11 Sir Chas. Wyke to Mr. Zamacona. Mr. de Saligny to Mr. Zamacona. Mr. Zamacona to Sir G. "Wyke and to Mr. de Saligny. Mr. Zamacona to Mr. de Saligny. Mr. Zamacona to Sir C. Wyke Sir C. Wyke to Mr. Zamacona . . . Same to same. .-...-..•.-.---. THE PEESENT CONDITION OF MEXICO. Index of documents — Continued. 53 No. From whom and to whom. Date. Contents. 1861. 12 Mr. de Saligny to Mr. Zamacona. July 23 In reply to note No 7. 13 Same to same. -._.-. July 24 Asking the repeal of the law within 24 hours. 14 Mr. Zamacona to Mr. de Saligny. July 25 Saying that only the congress can repeal the law. 15 Mr. Zamacona to Sir C. Wyke .-.-do.... Saying that only the congress can repeal the law. — (See British Par- liamentary Document ) 16 Mr. de Saligny to Mr. Zamacona. ....do...- Cutting off relations. 17 Mr. Zamacona to Mr. de Saligny. -..-do---- In reply to No. 16. 18 Sir C. Wyke to Mr. Zamacona ...-do... Suspending relations. — (See British Parliamentary Document.) 19 Mr Zamacona to Sir C. "Wyke... -...do-.- In reply to No. 18.— (See British Par- liamentary Document.) 20 Sir C. Wyke to Mr. Zamacona... July 26 In reply to No. 19.— (See British Par- liamentary Document.) 21 Mr. Zamacona to Sir 0. Wyke July 27 In reply to No. 20.— (See British Pa,r- liamentary Document.) 22 - Mr. de Saligny to Mr. Zamacona. July 26 In reply to Nos. 14 and 17. 23 Mr. Zamacona to Mr. de Saligny. July 27 In reply to No. 22. 24 Mr. Zamacona to Mr. Eomero Aug. 29 Instructions. 25 Mr. Zamacona to Mr. Fuente ....do..-- Do. 26 Mr. Fuente to Mr. Romero Sept. 5 Informing him of the determination of the French government. 27 Mr. Fuente to Mr. Zamacona Sept. 4 Interview with Mr. de Thouvenel. 28 Mr. Fuente to Mr. Thouvenel ....do.-.. Suspending relations. Washington, September 21, 1861. No. 1. [Translation. — Extract.] MEXICAN REPUBLIC, MINISTRY OF FOREIGN RELATIONS. ■ No. 32.] National Palace, Mexico, July 29, 1861. The copy whicli I enclose to yon of the instructions that on this date are transmitted to the plenipotentiary of the republic at Paris will acquaint you ■with the present state of the diplomatic relations of this government with the representatives of France and England. You will notice that these instructions have principally two objects : to rectify the inexact reports which the two func- tionaries mentioned will make to their governments in regard to the political situation of Mexico and the character of the measures recently adopted, and to facilitate the success of the labors which will be undertaken by our representa- tive at Paris, so that they may be seconded by the diplomacy of friendly nations. For a favorable result to these two objects your services may be very useful in your sphere of action, since there are within it springs which may be applied to the prosperous termination of our efforts in Europe ; and there are also means by which the question to which the decree of the 17th instant has given lise may not be rendered unnatural to the view of friendly nations. Some docu- ments accompany this note, whose publicity in the country where you are would bo very proper, and a copy of the correspondence which this department has lately had with the English and French legations also accompanies it. Although 54 THE PRESENT CONDITION OF MEXICO. a copy of this correspondence has been fiiniished to Mr. Oorwin,* and I suppose that he will transmit it to his goverament, it would be proper for you to procure a conferen ce with the Secretary of State, and to give him an idea of the diplo- matic question which has just arisen in Mexico, by showing him the documents in relation thereto and making to him the appi-opriate explanations. * * ********** In addition to which, it is excusable to recommend to you to cultivate with care the sympathies of the government near which you reside, and to strengthen in it a conviction in regard to the similarity of interests which, in questions with the powers of Europe, binds Mexico and the United States to each other. ********** I reiterate to you the assurances of my respectful consideration. MANUEL M. DE ZAMACONA. The Charge d'Affairs of the Mexican Republic, at Washington. Washington, September 21, 1S61. A true copy. KOMERO. No. 2. [Translation. — Extract] MEXICAN REPUBLIC, MINISTRY OF FOREIGN RELATIONS. Instructions addressed to Ms excellency Senor Don Juan Antonio de la Ftiente, minister plenipotentiary of Mexico at Paris. The decree of the 17th of July and the circular accompanying these instruc- tions will acquaint Mr. Fuente with the measures by which the new ministry formed on the 13th of the same month has deemed it its duty to begin the administrative reorganization of the republic. The necessity for temporarily suspending payments, and for gi%ang unity and regularity to the national debt, has been felt not only by the government, but by the whole country ; and hence it happened that the idea which had been broached at the time that the govern- ment resided at Vera Cruz was proposed at the begimiing of the year by the press of the capital, and was recognized as so proper that several writers dis- puted with each other as to the originality of the proposition. While this was going on in the discussions of the press, Mr. de Saligny confidentially began them with the minister of relations by offering him, although in exchange for important condescensions, to afford to the republic not only a truce for the pay- ment, but even a relief as regarded the most important of the debts due to France. The great extremities in which the government has found itself, through the necessity of undertaking a campaign on a grand scale against the reaction, have compelled it to reflect on all the means suitable for affording it resources ; and, as one of them, it proposed in the congress, at the close of May, the suspension of all payments, including that aiising from diplomatic conventions. The chamber recoiled at that time from the idea of interrupting the fulfilment of international compacts, and only voted for the suspension of other ordinary pay- ments, and ample authority to the government to provide resources for itself. The public situation at that period had rendered this very difficult. The THE PEESENT CONDITION OF MEXICO. 55 reactionary bands, concentrated imder tlie command of Marquez, liad gathered in the valley and state of Mexico, and the public mistrust and the paralyzation of all business concerns rendered very difficidt to the government expedients for obtaining resources. There was, therefore, no other salvation for society and public order but by employing its authority in extreme and hateful measures, which extended to the imprisonment of the leading capitalists, for the purpose of compelling them to make heavy exhibits. The reaction, meanwhile, braced up by some small triumphs, threatened at a short distance even the capital of the republic, Avhose suburbs some of its small lurking bauds succeeded in pene- trating. The government, of its OAvn impulse, and on account of public opinion, which was strongly excited, had to put m motion numerous forces in pursuit of the rebels, and to organize the national guard of the district, in order to take into the field the garrisons of regular troops. The costly expenses of equipping and setting in motion the forces, and of arming the national guard, absorbed enor- mous sums, and' this at a time when the ordinary resources of the government were uncollectible, and the chief part of them absorbed by the appropriations for the payment of the foreign debt. The character of the political situation rendered unavailable, also, the revenues from nationalization, the amount of which is in proportion to the probabilities of consolidation which are offered by the reform. The enemies of this government, meanwhile, do not confine themselves to de- vastating the richest and most populous districts of the republic, while organized into numerous movable bands, but bring into play very ramified machinations, one of which is to involve in their influences the diplomatic representatives. This was very easy with respect to the one from the French empire, who, hav- ing inherited the relations of Mr. Gabriac, keeping in his own house several personages of the reaction, and interested, as is asserted, in the success of some of the business engagements entered into with the usurpers of the public au- thority, had many points of contact and many afiinities with the persons who personified at the capital the retrograde principle. Hence it has happened that within the last few months all the embarrassments which ill will could suggest have been stirred up against the government, and that the attempt has been successful in having his views innocently seconded by the minister of England, who, although without any sufficient cause, is found involved in a political at- mosphere rather uncongenial to the principles which this government is develop- irig. In order to render the minister of England an instrument to the views of Mr. Saligny and of the reactionary party, it has been sufficient to strongly im- bue him with prejudices in regard to what is called the anarchical character of the progi-esista party, and to the propriety of a system of compromise Avhich he thinks suitable for giving stability to liberal institutions. Seeing the policy of Mexico through the deceitful prism of the society which forms around the two diplomatists an exceptional and eccentric minority, both predict the inevitable advent of a neutral party, which in reality does not exist in the republic ; and not seeing beyond the capital, they do not take into account the interests which the reform has established over the whole surface of the nation, nor the tenacity of the states in maintaining certain principles, nor the promptitude with which they unite and harmonize when they believe these principles to be attacked. Be this as it may, under the inspiration of that erroneous policy and of the interests before mentioned, the two ministers referred to have maintained within the last two months an attitude rather unfriendly towards the government, and their bad disposition has even had the effect to defeat an arrangement which hud recently been made with the parties interested in the English and French con- ventions, by appropriating to them the revenues from nationalization. At the middle of this month the situation of the government had become exceedingly difficult. Its exertions to place considerable forces in the field had 66 THE PRESENT CONDITION OF MEXICO. exhausted its resources. A long ministerial crisis, whicli kept the cabinet in- complete, rendered languid tlie action of the government. The pressure of the public spirit and of the congress, which demanded, not ^Wthout reason, move- ment and activity, was very strong ; and the president, in conjunction with the members with wlioin he completed at last his ministry, comprehended that the time had arrived for setting about the administrative reform with firmness and resolution, as the only means of re-establishing the prestige of the revolution, and of providing the government with the elements necessary for restoring to the country the peace and security which it has so long needed. Under the influence of this determination, a proposition, expressed, with very little variation, in the same terms as the decree of the 17th, annexed to these instructions, was drawn up and presented to the congress on the same day (July 13) on whicli the cabinet was completed. Before the proposition was perfected there was no failure to discuss the propriety of preparing for the sus- pension of payments on diplomatic ground. But two considerations inclined opinions to the opposite extreme. In the first place, the recent conduct of the ministers, most especially that of Mr. Saligny, led to the presumption that, instead of condescension and prudence on their part, there would be resistance and impediments, created purposely, and that, in case of the measure having finally to be carried into effect, they might give to it a most aggressive and shameful character. On the other hand, the circumstances in which the government Avas found on the 13th day of July were extreme. The resources with which it had fitted out General Gonzalez Ortega for the field — thanks to forced exactions imposed on many capitalists — gave out on the 15th day of the same month, and the troops of the government, who pursued the reactionary masses in their course to the south, would have had at least to remain immova- ble, and to abandon Cuernavaca and the neighboring towns, no less than the federal district and State of Mexico, to the depredations and atrocities of the rebels. The subsidies obtained by force and by imprisonment could no longer be depended on ; and the government had no other reliance for preventing the catastrophies and anarchy which were threatening the most interesting portion of the republic than the funds existing in Mexico and in Vera Cruz, intended for the payment of the foreign debt. A momentary seizure of them would have produced a like alarm, and would leave the government in the same complica- tions, and deprive it of the excuse which is afforded it by the purpose deter- mined on of attacking the radical arrangement of the treasury and of the public debt. The government believed that it ought not to lose a moment in proceed- ing to that reform which was the complement of all the others, and that the idea of putting order in the administration, and of re-establishing legal bounda- ries between the financial powers of the confederacy and of the States, had arrived at such a seasonable juncture that it should not delay one moment in carrying it into practical operation. The government was not deceived. The national representation — a faithful expression of all liberal shades of opinion — can-ied the proposition of the executive by a vote of one hundred and two against four. The government had resources ; it was able to provide General Ortega with them, and to reduce the rebels to the extreme condition in which they are now placed at the south, dwindled down to an insignificant number, and surrounded by the constitutional forces in a district which is hostile to them, and where it is probable they will be brought to an end by desertion and the want of resources. The government has been enabled to breathe, and to devote itself immediately to the arrangement of the offices and to the forma- tion of the estimates, which will be published next week. The present minister of relations, immediately after going into the cabinet, entered into frank and confidential relations with all the diplomatic rej)resenta- tives, especially with those of France and England, but without speaking to them concerning the proposition which was under discussion in the congress, although it was a public matter. As soon as the decree was communicated by THE PRESENT CONDITION OF MEXICO. 57 the department of the treasiiiy to tlie . department of relations, the minister of this department proceeded to have a confidential talk with Messrs. Wyke and Saligny before commnnicating to them by official letter the suspension of pay- ments which had been decreed. The minister of relations reached the English legation at the moment in which Mr. Wyke had just sent him a communication expressing surprise that the decree should have been promulgated without giving him previous notice. In regard to Mr. de Saligny, the minister of relations foiuid him . shut up, and preparing, probably, the communication which he soon afterwards addressed to him, to the same effect. By means first of a visiting card, and then of a brief note, the minister of state made known to Mr. de Saligny that he desired to have a private conference with him before communi- cating to him officially the decree in regard to the suspension of payments. This conference took place on the following day after Mr. de Saligny had on the evening previous sent an official expression of stirprise in the same terms as that which had been sent by the English minister. In the conference with the minister of France, he began by laying down, as a question preliminary to all others, the delivery, which he had claimed for some days back, of the funds proceeding from the Penaud convention, which had been deposited in the de- pository of the provident fund. The correspondence relative to this affair, copies of which are transmitted to Mr. Fuente, will sufficiently enlighten him on the matter; but it should be added that Mr. de Saligny, feigning not to un- derstand the true reasons which have prevented the delivery of that fund, claims it by alleging a verbal promise which he says was made to him by the minister, Mr. Guzman, and even by IMr. Juarez, and by attaching importance to an order which he asserts that he obtained from Mr, Zarco. Mr. Guzman and Mr. Juarez deny having ever made such a promise, and they protest that they merely promised the replacement in the depository of the provident fund of the Penaud money, which on a day of ui'gency had been temporarily with- di'awn. As to the order of Mr. Zarco, there is no evidence of it in the depart- ment, and the present secretary of relations promised Mr. Saligny that, in case that order should be shown, the funds which he claimed would be delivered to him, and would not be included in the suspended payments. This took place at the conference which has been referred to, between the minister of relations and Mr. de Saligny, before the suspension was communi- cated officially to the latter, and the French minister left it to be understood in that conference that, on this preliminary question being adjusted, it would not be impossible to enter into colloquy in regard to the other points respecting the debt to France, and repeated the intimations which he had already given to Mr. Zarco, in regard to the need of Mexico for a breathing spell in order to pay her debt, and to the strong disposition which he, Mr. Saligny, had previously had to second the government in this respect. The day on which this conference took place was a holiday, and on the followinjfr day there was a discussion in the government relative to the delivery of the Penaud fund, it being taken for granted that the decree in regard to the suspension of payments had already been communicated to the English and French legations on the preceding evening. "When the secretary of relations was preparing to make known to the minister of France the terms on which the doliv(ny of the thirty-nine thousand dollars proceeding from the Penaud con- vention could be arranged, the insulting and threatening reply of Mr. de Saligny to the first note which the department of relations had addressed to him was received, and the character of that reply at once rendered all cordial understand- ing impossible. That reply was followed by others which Mr. Fuente will find in the correspond(;nce, of which a copy is transmitted to him, and which ter- minated in the suspension of official relations between the two legations and the government, and in the exchange of private notes, of which copies are also ti'ausmitted. 58 THE PRESENT CONDITION OF MEXICO. In tliis coiTCspondence Mr. Fuente will find disclosed the principles whicli justify the conduct of the government as regards the suspension of the diplomatic conventions. It not having been possible to adjust this question in a reasonable way with the representatives of France and Englaxid in Mexico, the direct efforts which are being made for this purpose near the governments of those two coun- tries assume a great importance; and the government of Mexico, on seeing this necessity spring up, has had occasion to congratulate itself on the suitable choice which it has made, of Mr. Fuente, to represent it in France at a juncture like the present, when so much is expected of his proverbial patriotism and intelli- gence. The government, being in need of a representative at London, and it not being possible for it to send one with the promptitude which this case demands, has gone so far as to expect from the condescension of j\Ir. Fuente that, in addition to his present important functions, he will accept those of envoy extra- ordinary and minister plenipotentiary ad interim at London, especially accredited for the adjustment of the question to which the decree of the 17th of July has given rise. The government earnestly desires that Mr. Fuente may be able to make the personal fulfilment of this trust compatible with the duties which he is discharging at Paris, and which now have an important application to the efforts that the suspension of payment under the French convention renders necessary near the government of the Emperor, * * * * * * * * * # ** * * The preliminaries relative to what is personal in the matter being thus arranged, the following suggestions in regard to the steps which are rendered necessary in France and England, in the present state of the relations of Mexico with those two countries, have been deemed appropriate. First of all, it is important to modify the impression which may be made on the governments of England and France by the adulterated reports that their legations will transmit by this packet. In regard to this matter, the English and French ministers, but more especially the latter, besides picturing to their governments the suspension of payments in the hues of an actual spoliation, will endeavor to misrepresent the other provisions of order and economy which are contained in the decree of the 17th of July, and to weaken the confidence which the new system might inspire with respect to the Mexican government. The two ministers, whose estimates in regard to the condition of the country are singularly inaccurate, will assuredly say to their governments, for they say so even here, that the liberal party in Mexico is incapable of governing and administering the republic; that there are symptoms of dissolution in the existing government ; and that the early advent of some entity which shall personify compromise and the principle of order is inevitable. To Mr. Fuente, who fortunately knows so well the policy of Mexico, it is not necessary to point out hoA-sr artificial, unsubstantial, and impracticable is this policy of com-' promise which was imposed by the coup d'etat of 1857 and the events of Christmas, 1858, nor to say that the interests which have been created by the reform and the aspirations of the states which maintained the revolution for three years and made it triumph over colossal resistance form an insuperable obstacle to its development. They will likewise exaggerate the extortions and atrocities of which they may imagine the foreign residents in Mexico to be victims. Mr. Fuente must know that the government has hastened to afford reparation for damages which may have been occasioned to a few foreigners by the seizures of property for public use which have taken place during the late period ; and that the assassi- nation of Mr. Beale, an English subject, which occurred at Napoles, and what a few foreigners may have suffered in their persons, are the work of the reaction, w^hich atrocities the government is very anxious to put an end to, in providing itself with the necessary means of action. THE PRESENT CONDITION OF MEXICO. 59 Mr. Fuente will try to correct tlie exaggerated idea wliicli will not fail to be ti-ansmitted to Europe in regard to what is called tlie squandering of tlie national estates. Mr. Fuente is very well aware of tlie depreciation wliicli these have suffered diu-ing the three years of the revolution ; the considerable portion of the debt which, agreeably to law, has been extinguished with them ; the deductions which it has been requisite to make in order to obtain some redemptions for cjxsh, and which in the federal district alone and in two other dioceses amounted to ten millions of dollars ; and the existing rates for the payment of the public debt contained in the new decree. If Mr. Fuente deems it opportune, he can call attention to the circumstance that the men who have called loudest in the press for purity in operations of nationalization are exactly those who now form part of the ministry, and can remark that to obstruct now their reparatory action would be equivalent to obstructing the correction of the abuse in the name of the abuse itself. The representative of Mexico should bear in mind that the French residents in the republic are those who have gathered the best fruits of nationalization, and that at this time, beginning with some of the rich bankers of the capital, they deplore the conduct of the French minister, and are even talking of drawing up a representation against him if the complications which he is exciting on purpose are increased. It should not be forgotten that, in order to have him do this, Mr. de Saligny is moved by the influences of the clerical party, some of whose members are yet sheltered in the French legation, and keep up a regular correspondence with Marquez and other leading rebels. It is of great importance that a coiTCct idea should be formed in Europe of what the reaction in Mexico is, of its absolute want of political tendency, and of the hateful excesses to which it has abandoned itself, among which figiire a series of assassinations that, though committed on obscure persons, are not less odious than that of Mr. Ocampo. It would conduce also to the object of these instructions if the position in which this government was placed at the middle of this month were well under- stood, and how its purpose to provide means of action under every event has been the salvation of the capital and of the neighboring States, threatened with an inundation in which nobody would have suffered so much as the foreigners, who are the especial object of hatred to the clerical party. No more than justice will be done to the government ; but it is very important that it should be done, if the sovereigns of Europe are convinced of the firm and decided purpose which animates the present administration of the republic to shun the inveterate abuses which have rendered political revolutions in Mexico barren. It is important to place strongly in relief the spirit of order and morality which preceded the promulgation of the decree of the 171h, as well as to vindi- cate the decree against those who ascribe to it despoiling tendencies. It is very proper to call attention to the character of the institution created under the name of the Treasury Board. In the appointment of its members (the approval of whom is pending in the congress) the government has disregarded political shades, and has only sought integrity and business talent. In the hands of this board the revenues of nationalization will not be barren; and since among them there are many bills which have reached maturity, and capitals of chaplaincies which will mature in a short time, the suspension of payments may lie nominal for foreign creditors, and if they second the exertions of the board they may begin co make early collections of much importance. It would be well to let those who are interested in the debt,. and their respective governments, under- stau'l that the government of Mexico is not blindly smitten with the idea which pervades the decree of the 17th, and that it will accept any other that is com- patible with its views of order and general adaptation, and with its need of re- sources for the pacification of the country. In discussing the means of provi- ding them, the idea miiy have evolved from the necessity under which the gov- 60 THE PRESENT CONDITION OF MEXICO. ernment found itself of increasing the duties of importation in case the revenue frotn maritime customs continued to be appropriated for the public debt, making the most of the contrary measure which the government has adopted in its lib- eral amendment to the tariff, and which it is going to submit for the approval of the congress. As the Englisli and Trench legations have no confidence in its justice at the bottom of the question, it is not strange that they should be anxious to present it in the light of an outrage on France and England to publish the decree with- out any previous notice. Mr. Fuente's intelligence is too great to render it re- quisite to insist on the necessity which has existed on one part to act thus, and on the right, on the other, which every debtor has to declare, without the pre- vious consent of his creditor, the simple fact that he suspends his payments for want of ability to make them, designating at the same time certain guarantees of security. In regard to this it will not be useless to repeat to Mr. Fuente that every step of the government and every private conference which has taken place in the matter has been marked by the same moderation and forbearance as are to be observed in the written correspondence. The foregoing directions are applicable to the question, as well in its relations to the government of England as in those to the government of France ; but there are some duties to be per- formed by you which have a respective fitness for each of these two countries. In England, besides correcting the erroneous ideas which may be conveyed by Sir Charles Wyke in regard to the condition of Mexico and to the future and tendencies of the present govei-nment, it would be very proper to present the question in its true light to the view of the bondholders and English merchants. The attention of the former might be called to the great inequality existing be- tween the parties interested in the English convention and the bondholders by exhibiting the prosj)ect that a general adjustment of the public debt could not but remedy to some extent this inequality. It would not be impossible to imbue the minds of the holders of Mexican bonds with the idea that the prosperity of this republic and the consolidation of its government are intimately allied with their interests. ****** m As to what relates to France, it would be very proper to render evident the paltriness of the remainder to which the French convention is reduced, this being the only acknowledged and liquidated debt, as the Penaud agreement re- lates in great part to claims whose amount has not yet been fixed ; and the con- vention recently made with Mr. Zarco has not even been approved by the con- gress. It may contribute much towards counteracting the ill ofiices of Mr. Saligny to represent them as the continuation of Mr. Gabriac's system and as part of an intrigue, with the design that a diplomatic complication may bring matters to the recognition of the shameful Jecker business. In this there is an interested eflPort in behalf of an individual, who is not even a Frenchman, con- trary to the real interests of others who are subjects of the empire, creditors of Mexico, and settled in this country. ******* For the completion of these instructions an idea must be given to Mr. Fuente of the political situation in which this country is placed at the present time. ******* The reaction is represented in the bands of suspicious persons whom Mejia yet keeps in his hiding places in the mountain, and in those led by Marquez, who is still suiTOunded by the forces of the government, with the commanders of which some of the rebel chieftains have begun to enter into understand- ing. Some other parties, which appear here and there, are nothing more than bandits, who will come to an end now, when the government, provided with resources, can organize a pursuit of malefactors. The reaction, as a political tendency, is not very perceptible, and it is even suspected that it has been trans- THE PRESENT CONDITION OF MEXICO. 61 fonned by invoking principles less equivocal and names less hateful tlian those of Marquez and Zuloaga. ***** While the force's of the government are intimidating or pursuing the reaction, the ministry, iu permanent council, is occupied with the administrative details, to which the decree of the 17th and the circular that accompanies it have re- lation. * * * * * * MANUEL MA. DE ZAMACONA. Mexico, July 29, 1861. A true copy. LUCAS DE PALAOIO Y MAGAROLA. Washington, September 21, 1861. A* true copy. ROMERO. No. 3. [Trauslatioa.] Decree. The citizen Benito Juarez, constitutional president of the United Mexican States to the inhabitants, know ye : That the sovereign congress of the union has deemed it well to address me the following decree : Article 1. From the date of this law, the government of the tmion will recover the complete product of the federal revenues, deducting from them only the expenses of the administration of collecting, and all payments are suspended for two years, including the assignments for the loan made in London and for the foreign conventions. Art. 2. The maritime custom-houses and all the other collecting offices of the federal revenues will surrender all their products into the general treasury, bemg exclusively subject to the orders of the ministry of finances. On the 15th and on the last day of each month, they will forward to the ministry a state- ment of their receipts and disbursements. Art. 3. Within the term of one month, the government will form and publish an economical estimate of all public expenses, based on the estimate of the 31st December, 1855, conveniently reduced. The government is to subject itself to this economical estimate from the day of its publication, and congress only has the faculty of making changes afterwards. Art. 4. The payments in this estimate are to be made in the following man- ner : 1. The armed force in campaign and in garrison; the material of war; the invalids and disabled soldiers. These payments arc to be made complete, but no surplus can be admitted. 2. The civil list in active service, and the military list not in service. These payments, if under .$300, are to be made complete; if above $300, they are to be made in strict and equal proportion. 3. The classes pensioned by tlie nation arc to be paid in strict and equal pro- poi'tion, if the classes above mentioned have been paid before, as is ordered by the decree. Art. 5. If an order, not included in the estimates, is sent to the general treasury by government, an observation must be made by a communication of the government: if repeated, the treasurer is to communicate it immediately to 62 THE PRESENT CONDITION OF MEXICO. congress. If the treasurer does not make tlie observations here mentioned, he is to be destituted immediately. Art. 6. A superior committee of hacienda is instituted, composed of one president and four members named by government, with the sanction of congress. Two of them, at least, must be creditors of the nation. Art. 7. The attributes of the junta are the following: 1. To pay the loan made in London and the foreign conventions. 2. To pay the creditors not comprised in the law of the 30th November, 1850. 3. To pay legal and posterior credits against the nation up to the 30th June of this year, including those comprised in the law of the 17th December, 1860. 4. To receive the payment of what is due to the nation, if it be unknown to tlie collecting offices. » 5. To administer and sell the nationalized clergy property, and to execute all the attributes of the law of disamortization and nationalization. 6. To make arrangements, with the sanction of government, with all the per- sons interested in, or that have any business relative to, nationalized property. 7. To distribute all the funds collected amongst the creditors of the nation. The product of the suppressed convents is to be applied to the creditors of tlie conducta of Laguna Seca, and after covering the estimates of the nunneries, the remainder is to be distributed to the creditors in the foreign conventions. Art. 8. In order that the junta may be able to fill the attributes conferred upon it by government, the following is assigned to it : All the "pagares" existing in the special disamortization office; the product of all pending redemption ; the capitals not redeemed belonging to the nation, the buildings of the suppressed convents, the lands, and ail existmg materials. In the States and territories all the lands, convents, and buildings comprised in the law of nationalization, and all the products, except the 20 per cent, belonging to the same States and territories. The buildings and capitals expressly ex- cepted by government are not comprised in this article. Art. 9. All this property will form a fund distinct of public credit ; the em- ployers in the district, the chiefs ("gefes superiores") of the finance department in the States and territories are to forward immediately to the junta the titles, deeds, notices, and corresponding documents. Art. 10. In the special law published for the conversion of public debt, the part to be delivered by the States is to be fixed and regulated. Art. 11. The government is authorized to publish a decree taxing tobacco; this tax is to be collected for the federal treasury in all the republic. Art. 12. The government is authorized to increase, during the remaining months of this year, the alcabala of one-half per cent, more on national pro- ducts, excepting the articles of agricultural and manufacturing industry specified in the decree of the 24th September, 1855. Art. 13. The duty of " contra-registro " on foreign goods is increased to double in the district ; this increase is to be paid as long as the government may deem it necessary to fulfil the object of the following article. Art. 14. With the new product of the acabala, the "contra-registro" and the tax imposed upon tobacco, the government will pay with preference all the debts contracted from the 29th of last May, and all those that it may contract for the re-establishment of public tranquillity, leaving extant all the orders thai have been given on account of " refacciones " for the payment of the money taken in Laguna Seca. Art. 15. The governors of States, and the employ(5s of the collecting de- partment, have no intervention whatever in the federal revenues. Art. 16. The government is authorized to reform and organize within one THE PEESENT CONDITION OF MEXICO. 63 month all tlie offices on sncli a base that their estimates be rednced, and is authorized to increase the salaries of some employe's, and to reduce their number. Given iu the sessions hall of the cono'ress of the union on the 17th of July, 1861. GABINO BUSTAMANTE, Deputy Fresident. FRANCISCO CENDEJAS, Secretary. E. ROBLES GIL, Deputy Secretary. For which I order that it be printed, published, circulated, and given due respect. Given in the national palace in Mexico, the 17th July, 1861. BENITO JUAREZ. No. 4. [Translation.] Secretaryship of State A\D OF THE Office of Eoreign Relations, Mexico, July 18, 1861. Most Excellent Sir : The persons whom the most excellent the president of the republic has honored by calling them to foiln his present cabinet esteem, as is just, this mark of confidence ; but they comprehend that they need besides that of the nation, in order to labor with a probability of success in the develop- ment of refoi-m, in the arrangement of public administration, and in the pacifica- tion of the country ; and they wish, therefore, that then' practical views for obtaining these results may have the greatest publicity. Neither the most excellent the president nor his ministers deceive themselves in regard to the public situation ; but, on the contrary, they believe that the bold purpose of confronting it in all its difficulties is the chief title which they can present to the sympathy of the nation. In order to form this purpose, the present ministers have had an example in the serene and fervent faith of the chief magistrate of the republic in the future of Mexico, and an incentive in the conviction which they entertain that there are not wanting in the country elements to raise it from its present prostration, and that it only needs the work of organization which accidental circumstances had hitherto rendered impossible for the government. The present one has now a very firm will to undertake it ; and, seconded, as it doubtless wUl be, by the good sense of the country and by the kindness of friendly nations, it expects finally to overcome the obstacles which have heretofore prevented administration from being organized and con- solidated in Mexico, and the fruits of political revolutions from being witnessed. The confidence, therefore, and hope of the government to control the present situation is not alone based on the firmness of its purposes, but on the acknowl- edged patriotism of the representatives of the nation, and on the prudence of Mexicans and of foreigners who have linked their interests with the fate of the rojniblic. The new cabinet, in laying down the ideas which are to serve as a i-ule for their administrative movement, cannot lay claim to the merit of originality, nor do anything else than give official form to the instinct of reor- ganization, morality and economy which for some time past has been developing itself among the majority of Mexicans. In vain have the people washed with their blood all the political principles ; in vain have they sought from them fruits of prosperity and welfare ; in vain have they just effected a great revolu- tion which shall in the future be an escutcheon of pride for Mexico as honorable as that of her independence. The instinct of the nation, enlightened by decep- tions and frustrated hopes, has comprehended that revolutions will be barren, and that the elements conquered on political and social ground will afford no fruit unless the work be crowned Avith administrative revolution. The reform 64 TEE PRESENT CONDITION OF MEXICO. whicli the Mexican people have proclaimed and put in practice leads to the con- quest of great material and moral measures for the public prosperity; but the revolutionary and reformatory labor has still to enter its last and final, its organic period, in which the great Mexican revolution will yield fruit to the country, to civilization, and to mankind. The revolution must now assume a new phase ; it is no longer chai-acterized by the antagonism of two political princij)les. An immense majority of the nation is on the side of liberty and progress ; and the monuments of tyranny and fanaticism having disappeared, the reform places its foot on the groimd of administration. Administrative questions of order, of safety, almost of police, are those which occupy the public mind to the exclusion of others. To ex- terminate the reactionary bands whose number is not sufficient to give them political character, they themselves not claiming this, and who are now reduced to bodies of rascally conspirators against the property, honor and lives of the citizens ; to reorganize and expedite the administration of justice, in order that the law may be inexorably applied to the enemies of the public peace ; to re-es- tablish security on the principal routes of communication ; to regulate the postal service ; to abolish, as soon as possible, all irregular and vexatious imposts ; to give encouragement to all branches of the national prosperity ; and to render visible and palpable the revolution which the Mexican people have effected — these are the objects which at present preoccupy the national mind. For the attainment of them the treasury question has a special importance. Generalized as are opinions and interests throughout the republic in favor of liberal reform, it is only requisite to provide the legitimate power, with efficient means of repression against certain interests, in a minority, ■\\'hich are opposed to the national tendency. The country does not lack those elements of action which the government needs, and all that is necessary is to organize them under a foreseeing, methodical, and economical administration. For this eminently practical work the government has not to go back into the speculative sphere, nor will follow any other inspiration than that of a solicitous and honored father of a family, who wishes in good faith to put the domestic finances in order. The nation has material and moral elements enough to pre- vent its leading a life of anxieties and discredit ; it needs nothing more than order, economy, uprightness, to escape from these troubles and disgraces ; and the government, in adopting resolutely this system, has no other merit than that of taking for the rule of its future conduct a determination which the blows of adversity have commended to the general approval of the nation. The new ministry does not believe in the necessity of making a profession of political faith, because, in its judgment, the period is begiiming to arrive when politics is no longer to be the question of the day. Mexico belongs decidedly and irrevocably to reform and democracy, and it will be sufficient for the govern- ment to declare, although the antecedents of the citizen charged with the execu- tive power would excuse him even from this, that it professes all the principles of the progresista creed and which are contained in the constitution and in the laws of reform. This is already a fact, and it has only been necessary that it should be drawn from the confusion and elevated to the rank of a solid and regulated institution. In order that the legitimate power may not descend to the level of the van- dalic bands who destroy the republic, it will not contend against them by devastating and destroying, but by repairing and organizing. It is an ei-ror to suppose that every attempt at organization ought to be postponed until society has no enemies to battle against. The labors of organization are exactly those which will bring about a final triumph over the enemies of society; and only the power which succeeds in organizing society will place on a secure basis the conquests of the revolution. The government, therefore, instead of contending from revolutionist to revo- lutionist — instead of adopting robbery and spoliation as a, means of action, THE PEESENT CONDITION OF MEXICO. 65 wislies to confine itself to tlie system of tutelary powers which save society without harming it. The peculiar character of the epoch into which the revolution has entered and of the cabinet which has just been organized consists in this, and the gov- ernment earnestly desires that this character may be put as much in relief as possible in the eyes of the nation. Notwithstanding this, and that the ministry professes with faith, with plenitude, and with fervor the principles of reform, this will not be the only word which it will inscribe on the frontispiece of its work, but it will add those of reorganization, order, econotny, and inorality. But it does not write them as they have been so often written in political programmes ; it employs them as the outcry of national opinion, which has opened a road for itself at last to official regions ; it utters them not as a mere word, but as the echo of an intimate and vehement conviction, not as a promise, but as a fact, as a series of measures which from this very day begin to be put in practice. If the government succeeds in having the firmness, depth, and penetration of its resolutions for creating and moralizing the public administra- tion understood from the tone of its voice ; if it succeeds in causing to be per- ceived the novelty of this tendency from its dominant and almost exclusive character ; if it succeeds in having its labors considered as a powerful effort to satisfy the instinct of order and reorganization which has been formed in the country under the influence of experience and of misfortunes ; if it obtains that in this manifestation may be seen the announcement of the day, long waited for, and which must arrive at some time, in which the sphit of economy and repara- tion may transform what for a long while has been in our society a chaos in which no political principle could fructify, it is certain that the measures with which it inaugurates its new march, after the halt which circumstances have compelled it to make for a few days, will be considered not as a new revolu- tionary convulsion, but as the first sign that matters in Mexico are beginning to be composed and to be placed on a solid basis. It has heretofore sufficed that the nation, plunged into a morass, should make unusual exertions to get out of it, but succeed only in sinking deeper at every step. It is now time that it should seek a firm spot whereon to place its foot, so as to gather up all which it has been able to save from the flood, and to secure its own interests and those of the foreigners Avho have confided in its integrity. The government cannot furnish peace, safety, and progress to the inhabitants of the republic, nor observe hereafter scrupulous fidelity in its compacts, if it is not allowed to breathe for a moment free from the burdens which have op- pressed it, to gather up its resources, and to regulate those sacrifices which it has never ceased to make, but which have been barren to the country and its creditors for want of regularity. Between chaos and administrative reorgani- zation, between the revolutionary tempest and the prosperous future which the refoi-m promises to the republic, it is necessary that there should intervene a day of reclusion, of review, of classification, in which the country might unite all its elements and organize them, in order to apply them immediately to the fulfilment of its engagements. This work, far from alarming any legitimate interest, ought to inspire faith and to tranquillize everybody, since it is ecjuivaleut to placing the obligations of the republic on a solid and permanent guarantee, which they have never had. The creditors of Mexico have been living in an edifice with- out foundations, and the government now wishes not to dislodge tlunn, but that they should leave the place disencumbered for a few days, in order that the building may be strengthened, which was threatening ruin. This is the meaning and this will be the practical result of the annexed decree, which, on the proposition of the ministry, has just been carried by a vote of the II. Ex. Doc. 100 5 SQ THE PRESENT CONDITION OF MEXICO. federal congress. It tends to put in play tlic means whicli intelligent opinion lias for some time past indicated as tlic only efficacious ones for creating a public treasury in Mexico, and for rendering the exertions of the government in re- establishhig order and peace not imfruitful ; it tends to render impossiljle here- after the abuses which have made barren for the people, properly so called, the reforms proclaimed and carried into effect during the late period ; it tends to turning to profit the treasures which yet remain of the national states by apply- ing them to the important object of paying off the public debt ; it tends to place on the government itself a wholesome restraint by means of the formation of a budget which will be the most economical of all which have been prepared ; it tends to impose restrictions and conditions on the administrative power, as far as reason will permit ; it tends to pass the level of proportionate distribution over all citizens whom the nation has to remunerate for any service ; it tends to abolish every preference which is not based on the public convenience ; it tends to limit the powers of the states and of the federal government in treasury mat- ters by re-establishing the legal bounds which disappeared during the revolu- tion, and without which there is no possible order or administration ; and it tends, finally, to insure the compensation of the judicial power, without which civil guarantees will be ever nominal, and impossible that stern and inexorable justice which should be applied to the disturbers of the public peace. Society, for whom these advantages are in preparation, for which it has hun- gered and thirsted for some time, will not complain if, in return, some sacrifice is demanded of it. Nor will the susceptibilities of the local aixthorities be hurt, if they are inspired alone by their patriotism, to Avhich the republic appeals through the voice of the federal government, and if they consider that this is the first which begins by imposing restraints and clogs on itself in order that it may be quick only for the welfare of the nation and in economising its revenues. The government has succeeded in having the national representation do jus- tice to these views, and it experiences more pleasure than it would feel in speaking of a beneficent proposition exclusively its own in declaring that the movement to whicli the annexed decree is due has done nothing more than anticipate the chamber's inclination for order, morality, and economy. In this it naturally reflects national opinion, which sees that the time has arrived for measures suitable for guarding against the ruin to which the republic has been drawing nigh, and from which no merely political revolution could save it. The congress not only has accepted, but has completed and perfected this idea of the govern- ment, which may be called revolution in administration — administrative reform which comes to crown political and social reform. If the idea be seconded by the state authorities, if it be seconded by public opinion, which has preluded it for some days past, if it be seconded, as is to be hoped, by the friendly nations whose experience has counselled IMexico for so long a time to enter into the path of economy and order, this country, from which other nations of the earth have expected so much, will commence finally to pay its contingent to universal civili- zation. There will be security, peace, and prosperity in Mexico ; the adminis- tration of justice, properly organized and compensated, will render the laws effective; the reactionary bands, placed between the energetic pursuit of the armed force and the inflexible action of the courts, will cease to devastate the land; the general police will re-establish security on the public roads; trade and commerce will be revived ; capital, which in some countries cannot aspire to more than a paltry interest, and which in others is at present threatened by great convulsions, will move without fear to the republic, at the same time that colonists are coming to settle in it and to render fruitful a thousand schemes of material improvement which the public insecurity keeps barren. The govern- ment does not wish to flatter the nation with pleasing prospects only, nor must it speak further than of the first labors undertaken after the reorganization of the cabinet, because its purpose is that deeds shall serve as a programme. THE PRESENT CONDITION OF MEXICO. 67 At tlie veiy time of proposing tlae annexed decree, it has taken steps tliat before long will afford security on tlie roads of tlie interior and Vera Cruz, and "sWU re-establisli tlie regular postal service on tliese two highways. Into the pur- poses of the ministry enter measures of security on a large scale, and the realization of which is intertwined with that of the annexed, decree, because the question of security is also a question of resources. For the purpose of using all the regular force to pursue the remains of the reaction, the government is laboring earnestly in perfecting the establishment of the national guard in the district, and in purging it from the abuses which on other occasions have corrupted it, and which lately began to be visible. The government, which has the firm purpose of extirpating forever from the army of the republic the thousand corruptions which have made of the military budget the cask of the Danaides, and of putting an end to the shameful contracts which only have served to build up great fortunes on the ruins of the public treasury, could ill permit those same abuses to be implanted in the order of citizen militia. Yielding to the indications of public opinion, and wishing to lose not a minute in giving impulse to the branches of public prosperity, at the same time that it is engaged in foirming propositions and in gathering statistical data necessary to put in practice the constitutional principle in regard to the abolition of internal custom-houses in the republic, the government has proposed in the congress to suspend that part of the decree of the 8th of April of this year, in which it has been provided that the payment of duties of importation may be made with fifteen per centum additional in shares of the interoceanic railroad, and it has formed a plan for the amendment of the tariff in a liberal sense, setting out most especially to improve in good faith the condition of commerce, which has been so much damaged by smuggling. The ulterior labors of the ministry will have reference to reforms equally modest, but no less absolute and important. The government is confident of realizing them, and is firmly resolved to do so by organizing, so to speak, the reform, and by making it fruitful through the medium of administration, provided it meets with support and sympathy-in the country, and with kindness and a spirit of equity in friendly nations, as is to be expected from their own interest and from that which they take in the civili- zation of the human race. Should it be thus, the government will have con- tributed in its sphere to the salvation of the republic ; in the contrary case, it will succumb with the consciousness of liaA^ng embarked in a noble enterprise, and with the dignity of taking no step backward in its radically organizing tendencies. The federal government relies, for the realization of the measures to which the annexed decree relates, and of others which are to follow, on the efficient co-operation of your excellency, whose patriotism cannot but impel you to unite in a reform which will render fecund all the others that the nation has con- quere:!, and whose practical barrenness is being made an argument of bad faith against the progresista revolution. The undersigned avail themselves of this opportunity of tendering to your excellency the assurances of their distinguished consideration. God, liberty, and refonn. ZAMACONA. RUIZ. , BALCARCEL. ZARAGOZA. NUNEZ. , His Excellency the Governor of the State of . Washingto.v, Scptemhcr 21, 1861. A true copy. ROMERO. 68 THE PRESENT CONDITION OF MEXICO. No. 5. Sir C. Wyhe to Scnor Zamacona. Mexico, July 19, 1861. Sir : A printed paper, as strange in compilation as in tlie nature of its con- tents, was tliis day hawked about the principal thoroughfares of the city, and has now, I see, been reprinted in the columns of this evening's " Siglo." According to the wording of this document, it would appear that congress has thought fit to make a free gift of other people's property to the government of the republic, by suspending, for the space of two years the payment of all assignments, as well to the London bondholders as to the parties interested in the foreign conventions. Until I hear from you to the contrary, I am bound to consider this announce- ment in the light of a falsehood ; for I cannot bring myself to believe that a government which respects itself could sanction a gross violation of its most sacred obligations to other nations, and then proclaim the fact of their having done so in a manner which, if possible, aggravates the offence. That the representatives of those nations who are thus slighted and injured should be allowed to learn, in the first instance, by handbills circulated in the streets, that you have repudiated your engagements, is as unaccountable as the policy which could dictate a measure alike fatal to the character and credit of the republic. I will not dwell on other obnoxious paragraphs of this publication, as at present I cannot believe it to be authentic ; for when yoiu- excellency did me the honor of calling on me to-day you in no way alluded to a subject which would otherwise surely have formed the chief topic of your conversation. Awaiting a reply at your earliest convenience, I avail, &c. C. LENNOX WYKE. No. 6. [Translation.) MEXICAN EEPUBLIC, DEPARTMENT OF INTERIOR AND FOREIGN RELATIONS. Legation of France in Mexico, Mexico, July 20, 1861. Mr. Minister : There has for thirty-six hours been circulating through the principal streets of the capitol, under the signature of his excellency the presi- dent of the republic, a printed document, as extraordinary in form as in sub- stance, and which has been repubHshed by several dailies .among others, by the " Siglo XIX" of yesterday. It treats of nothing less than a law approved the 17th July, by congress, and sanctioned on the same day by the president, in which, by the first article, -VAdthout making mention of other completely inadmissable provisions, the sus- pension of payment upon the foreign conventions for two years is ordered. It seems to me superfluous to say to you, Mr. Minister, that 1 have had no hesitation in considering this document as apocryphal and false. In fixct, I would have thought that I was doing injustice to your government by believing it capable of acting thus, disregarding its most sacred obligations THE PRESENT CONDITION OF MEXICO. 69 in regard to the lawful property of anotlier, and taking part in an attempt, as audacious as insensate, upon the rights and dignity of France ; an attempt the more insulting even, if that be possible, because of the absolute silence observed by the government towards the minister of his imperial Majesty upon this pretended law of the 17th of July, before and after the vote in congress, and the approval by the president. I am, therefore, persuaded, Mr. Minister, that you will hasten to disavow an act which, without speaking of the terrible and inevitable consequences to which it will expose Mexico, will only compromise in the gravest manner its character for loyalty and its credit. And in the hope of prompt and satisfactory reply from your excellency I avail myself of this occasion to renew to you my as- surances of most distinguished consideration. A. DE SALIGNY. His Excellency Mr. Zamacona, Mmisterjbr Foreign Relations of the Republic of Mexico. Mexico, My 27, 1861, True copy. LUCAS DE PALACIO Y MAGAROLA. Washington, September 21, 1861. Copy. KOMERO. No. 7. [Translation ] MEXICAN LEGATION AT THE UNITED STATES OF AMERICA. Mexican Republic, Department of Foreign Affairs, National Palace, Mexico, July 21, 1861. The undersigned, &c., has the honor to inform his excellency Sir 0. Lennox Wyke, &c., that the decree which forms the enclosure to this note has passed the federal congi-ess of the republic, and that the undersigned brings it to the cognizance of his excellency on account of its connexion with the diplomatic conventions and their payments. From the known ability and sound sense of her Britannic Majesty's minister, the Mexican government are led to hope that his excellency, so far from seeing in the above decree any cause for alarm on account of those interests which are under the protection of the British legation, will, on the contrary, perceive in this act of the legislature a proof that the republic is anxious to arrive at an estimate of their resources ; to organize those resources in the most profitable manner ; to cut at the root of such abuses as have hitherto brought censure upon the government, the supreme power being the first to submit to the restrictions and other conditions necessary for this object ; and at the same time to place the engagements and obligations of the nation upon such a footing as will insure them ill future a sure and lasting inviolability. To fulfil faithfully their international compacts the Mexican government have made almost superhuman efforts, and can show results of no ordinary kind, such, for instance, as the present balance-sheet of the Mexican debt, whereby it is seen that no very notable change has been brought about therein by the 70 THE PEESENT CONDITION OF MEXICO. coiatinuoiis state of revolution. During tliis crisis, on the contrary, tire position of foroig-n creditors lias improved ; in the midst of its greatest embarrassments the nation has gone even so far as to increase the rate of interest for paying off the public debt, and has thus deprived itself of the very means which were at its disposal for terminating the civil war ; in other words, the nation has paid its creditors their gold with the blood of its citizens. Since the revolution began the republic has been thirsting after peace, order, and security ; yet the government, fully convinced though they were of being able to right themselves if only they could count upon any means that would really admit of action, hesitated long before laying hands upon the funds destined for the payment of their foreign debt. So great, indeed, was their re- sj^ect for these funds, that they preferred to sacrifice their obligations to Mexi- cans, to trample under foot the most cherished principles of their country, nay, even to imprison persons of the highest respectability, in order to obtain re- sources from the sums paid for their release, rather than touch a cent of the assignments destined for the diplomatic conventions and the London debt. So hateful an expedient, although it has served to prove their good faith to- ward other nations, has not been and never can be efficacious ; so that the gov- ernment has now to start afresh, as they should do, upon different principles, and with the fixed purpose of thoroughly reorganizing their plan of administra- tion, and of having recourse, not to temporary expedients, but such a system of taxation as from its nature will, while adding fresh vigor to government, abolish once and for all the old system of forced imposts. To carry out this principle the republic has need of its entire revenue, and of conscientious and practical persons to administer the same, and this is the intention of the law which the undersigned has the honor of placing in Sir Charles Wyke's hands. The present government of the republic has to meet, on the one hand, the demands of society and civilization for order, and guarantees, on the other, those of the foreign creditors for nearly the entirety of the public revenue. So cir- cumstanced, no government could hesitate as to the course to be taken. The nation, then, has yielded to the cry of society and civilization, has given way before a pressure too heavy for it to bear, bu.t it has done so merely in order to recover strength and then return to the charge. The government of the undersigned originated the measures contained in the enclosed decree, and possibly they are the first rulers in the country who have religiously and honestly undertaken seriously to consider the nature of their obligations, and to discover the best means of meeting them. It is impossible for Mexico to attempt any administrative reform or the re- establishment of peace and order if she has to support the burden of the national debt. To enable her, however, to remove whatever has led to those numerous ques- tions which have so incessantly occupied the attention of foreign representatives and the finance department, and to do away with the system of forced imports ; to enable her to free herself from the necessity of breaking through her own liberal principles and overtaxing foreign imports ; to enable her, in short, to procure some portion of the money now paid by the maritime custom-houses toward the extinction of the debt, it is necessary she should be allowed a short respite wherein to recover herself, as well as the full use for a few days of her entire revenue. In that case, by proper management and economy, public order and tranquility would be re-established, and the revenue of the country, with the exception of what was absokitely requisite for the proper protection of society, set apart to meet the payment of arrears. The government of the undersigned considers that a debtor, so long as he is actuated by honorable feelings and a full .determination to carry out his engage- ments, does not forfeit his dignity in presenting himself to his creditor and THE PEESENT CONDITION OF MEXICO. 71 frankly confessing lie is, though temporarily so, unable to pay Lis debts ; and tlie sole object which that government now has in view is, to prove to the world that they are really and truly resolved upon attempting administrative reforms in the country, as the only means left likely to produce any amelioration in its political condition. They perfectly understand that they have to struggle against the unfavorable impression caused by the abuses and irregularities al- lowed in former times, yet it does not escape them that they have inherited this fresh difficulty in addition to the others which they have now to combat, though tliey are not ashamed of such difficulties, inasmuch as this is no exceptional case in the annals of Mexican revolutions, nor is it the work of the present ad- ministration. A nation, like an individual, has the right to ask to be judged by its own acts, and not according to preconceived prejudices or partial comparisons. When the president of the republic convened the members of the present government, they each and all, with heartfelt sincerity and honesty of purpose, hailed the idea of at once fearlessly grappling with the difficulties of the problem, upon the solution of which depended the great question of reform. They saw tliat the nation lacked not the material elements of such a work, but merely their proper organization. Nor were moral elements wanting ; for were there not proofs to the contrary in the general longing for the time when, upon the spurious and self-interested promises of a frivolous and corrupt minority, there should be built up lasting institutions, under whose protecting influence Mexicans and foreigners alike would deem their honor, lives, and property secure 1 The government saw that the nation was weary of its state of anarchy, that it cursed file abuses and the recklessness which had brought upon it discredit and ruin ; they saw, in fact, that the majority in the country asked but honesty of purpose from the ruling power, and they did not hesitate to consecrate their efibrts ex- clusively to respond to so just a call. The cabinet of which the undersigned is a member takes pride in its firmness of purpose, and considers that it merits the sympathy and co-operation of foreign representatives, whose presence in the republic is not solely for the protection of specified interests or nationalities, since their mission is equally one dedicated to the cause of humanity and civilization. Sad indeed would it be if history had one day to recount how that this country, after the most trying vicissitudes, came to be ruled over by men who, without any supernatural gifts and animated solely by their patriotism and their experi- esQce, shrunk not from making one final eff'ort — an effi)rt such as never yet had been made — to establish in Mexico the rule of reason and morality, yet that this efibrt was shipwrecked on the prejudices and scepticism of the most enlightened nations of the world in respect to Mexico's future and Mexico's capabilities for reform. Every imjiartial person must look upon what is now passing as a proof of the energy and loyalty which Mexico is displaying in her endeavors to attain that position which reason and prudence dictates. Government, at the outset, has procured and dedicated to the interests of the public debt all the national prop- esrty. They have initiated a system of economy which is already in operation ; and, as a result thereof, have imposed upon themselves and their subordinates such restrictions and self-denial as have never yet been imposed by any fonner administration. They have further been occupied with the details of a pro- gramme based upon those principles of economy which experience has proved to be necessary. Great progress, too, has been made toward establishing public order and tranquility by the steps taken by government, for tracing out clearly the position which the States hold in respect to the supreme federal power. Moreover, the departments of state now are denied to those who would hold office simply to speculate in the gains of the reigning disorder and confusion, and the present rulers of Mexico would sooner smk under their difficulties than 72 THE PRESENT CONDITION OF MEXICO. yield an incli of the ground on whicli they have taken their &tand in defence of reform and morality. All those who have interests in the country — all, indeed, who would see civ- ihzation on the increase — should aid the government in attaining the objects they have in view, instead of throwing obstacles in their way. The great Eui-opean powers are extending their sympathies at the present hour to those countries who are striving to join the rest of mankind in the great work of civ- ilization, and Mexico would fain hope that she is not alone to be excepted. The very creditors of Mexico themselves should, the undersigned thinks, in their own interests, feel that great encouragement is given to them at the present moment; for it is not the republic alone that is now concerned in the proper regulation of the public debt under surer guarantees, and in the necessity of consolidating the same. The creditors of the nation have even a higher interest at stake, inasmuch as by no other means than those already mentioned can they expect to obtain greater advantages than those they now possess, notwithstand- ing that they have gradually acquned for themselves almost the entire revenue of the country. This very circumstance is regarded, and with reason, as a proof of non-stability, while it ecjually produces distrust in people's minds, a state of things no less prejudicial to the republic generally than to its creditors. Upon this point natural instinct cannot be deceived. As matters now stand, whether in respect to the country or the creditors, it might be possible that the drain upon the revenue could be continued for the space of a few months, but it would be possible only at the price of certain ruin alike to the country and the creditors. Had the government hesitated to adopt the measures for a radical financial reform, to which sufficient reference has already been made, they would have been either compelled, against their principles and inclination, to impose fresh taxes upon foreign importations, or quietly to submit to every interest con- nected with social order being swallowed up in the flood of anarchy — an idea too horrible to be thought of. To avoid either of these extremes the government, guided by their conscience and feelings of patriotism, suggested the plan contained in the enclosed decree. If, as it is to be hoped, it should meet with support and sympathy from other nations, Mexico would be able to raise her voice and proclaim aloud that she had entered upon the one road that could lead to her salvation. Should it be otherwise, the nation must perish, and with her all those interests which are so closely connected with her future prosperity. Be this as it may, the govern- ment that in these stormy days rules over the destiny of Mexico will have had the honor and glory of initiating and doing battle for the only means left that could save their country. The undersigned would feel obliged to her Majesty's envoy extraordinary if his excellency would transmit a copy of this note to his government, and avail himself, &c. MANUEL DE ZAMACONA. Mexico, July 29, 1861. True coj)y. LUCAS DE PALACIO Y MAGAROLA. "Washington, September 21, 1861. Tme copy. ROMEEO. THE PRESENT CONDITION OF MEXICO. 73 [Translation.] No. 8. MEXICAN KEPUBLIC, MINISTRY OF FOEEIGN KELATIONS. National Palace, Mexico, July 21, 1S61. Tlie undersigned, minister for foreign relations, lias the honor to answer the note which his excellency the minister of France has been pleased to address to him in relation to the decree passed on the 17th instant bj the federal congress, and in which provision is made for the suspension of all payments, including that of the debt contracted in London, and that of the diplomatic conventions. This decree is perfectly authentic, and his excellency the minister of France would have had no occasion to express his doubt tipon this point in the note to which this serves for answer, if his occupations would have allowed him to receive the undersigned, who went yesterday to the French legation as soon as the decree mentioned was communicated to his department by that of finance, in order to make to his excellency Mr. de Saligny some confidential explanations before officially communicating to him the resolution of congress. The undersigned had the ill-fortune to find his excellency the minister of France occupied and invisible, and had to return to this department to solicit, as he did, a private conference by means of a note which he despatched to the French legation before receiving the note which Mr. de Saligny pleased to send him at the close of the afternoon, and to which I have now the honor to reply. The undersigned flatters himself with the hope that the reading of the law, which he remitted in a separate note to his excellency the minister of France, will suffice with his excellency to rectify the opinion which he expresses in his letter of yesterday on the ground that the decree of congress does not arbi- trarily dispose of any property, nor break any of the ties of obligation which bind the republic. The said decree and the note with which the undersigned had the honor to send it to the French legation, are, on the contrary, a vhtual ratification of the international engagements of Mexico, accompanied, also, by a ffank and loyal declaration that she could not at once fulfil them without preju- dice to public order and to peace, and withoiit endangering tjie very existence of the nation. In this declaration, Mr. Minister, is neither audacity nor folly ; but, on the contrary, a melancholy submission to the law of necessity, and a prudent recourse to the only expedient which can save the republic from auai'chy. Truly, the undersigned does not comprehend in what manner the dignity of France can be offended by this protest made by an impoverished nation ; that it is not possible for it without some breathing time to continue carrying, at heavy costs, the weight of debt by which it is oppressed. This declaration refers only to a fact which has long since been proclaimed. There is no reason for considering as an insult that the republic, reduced to the last extremities, has declared the fact officially and solemnly, without previously a.sking the consent of its creditors. His excellency the minister of France has the goodness to give the uuder- signcd a hint of the terrible results to which the step which occasions this note may give place, and upon the influence it would have on the credit of the nation and on the belief in its loyalty ; and the undersigned must frankly answer that the government, full of a confidence which it does not fear will be disappomted in the good will and equity of friendly nations, has not supposed that a greater evil could threaten the republic than social dissolution and anarchy, and that this act of menace does more injury to its credit than the frank and honest 74 THE PRESENT CONDITION OF MEXICO. declaration that its obligations, whicli it new holds in greater respect and acknowledges more tliau ever, exceed at this moment its ability to meet them. The midersigned takes the liberty to refer to the note whiclx he addressed to his excellency Mr. de Saligny, transmitting with it the decree of the 17th instant, and concludes by reneAving the assurances of his distinguished con- sideration. MANUEL MA. DE ZAMACONA. His Excellency Mr. A. de Saligny, Envoy Extraordinary and Minister Plenipotentiary of his Majesty the Emperor of the French. Mexico, July 29, 1861. True copy. LUCAS DE PALACIOS Y MAGAROLA. Washington, September 21, 1861. True copy. ROMERO. No. 9. [Translation.] Sefior Zamacona to Sir C. Wyhe. Mexico, July 21, 1861. The undersigned, minister for foreign affairs, has had the honor of receiving from his excellency Sir Charles Lennox Wyke, her Britannic Majesty's envoy extraordinary and minister plenipotentiary, the note in which his excellency re- quests to be informed whether the decree of the federal congress providing for a total suspension of payments, not excepting those of the London bondholders and diplomatic conventions, is or is not authentic. His excellency's request might have been looked on as anticipated by the explanation the undersigned had the pleasure of making yesterday at the lega- tion only a few minutes after the note, to which this is a reply, had been sent to the foreign oflS.ce — indeed while it was yet on its way there ; but the private character of that explanation renders it incumbent upon the undersigned tx) recapitulate a portion of it in the present communication. In the first place, he begs to assure Sir Charles Wyke that so soon as the decree of yesterday was made known to him through the department of finance, he proposed to bring it at once to the cognizance of his excellency, though anxious that this step should be preceded by a visit, at which it was the inten- tion of the undersigned to give Sir Charles Wyke a fuller and more detailed explanation of the decree in question, its purport and probable results, than was compatible with the limits of an ofiicial note. In the meanwhile, however, the decree was duly and formally published and printed in the daily newspapers, and this will account for his excellency the British minister having seen it before he received either an explanatory communication or visit from the undersigned. Sir Charles Wyke will now allow the undersigned the liberty of stating that he does not consider his excellency has formed a correct estimate of this decree when he says the congress therein makes a free gift to government of other people's property. Her Majesty's worthy representative likewise goes on to qualify the act of congress as a total suspension of payments for the space of two years ; still, it will not escape his keen judgment that the application of the term " free gift" to what is merely the act of ratifying certain obligations, and specifying the mode of fulfilling the same, amounts to a misnomer. THE PRESENT CONDITION OF MEXICO. 75 Neither can the unclersig-iied agree with Sir Charles "Wyke in his opinion that the decree in question is a violation of Mexico's most sacred obligations toward other nations. Such a phrase would imply the idea of a voluntary and delib- erate act; whereas the republic, in suspending the payments due to the diplo- matic conventions, yielded not to the dictates of its own free will, but solely to the force of circumstances, "W'hich have rendered it morally and physically im- possible for the nation to contiutie making those payments which have hitherto been made by means of the most strenuous exertions. When, then, such efforts have been unavailing, the government may be permitted to say so without any want of respect either for itself or for those nations with whom they may have engagements. To every obligation there is attached the tacit condition of possible fulfil- ment or non-fulfilment, and nobody has ever been judged faithless to his en- gagements for having, when compelled to suspend payment, stated the simple fact of such engagements being incompatible with possibility. Of such a nature is the statement contained in the decree that has now passed congress, and her Majesty's minister should not be astonished that it did so pass congress, or that it Avas afterwards published without the previous consent of the diplomatic representatives in their character of protectors to foreign credi- tors, for it must be treated of as the mere declaration of a simple fact, in no way tending to the modification or prejudice of the interests connected with the public debt. It will not have escaped the clear judgment of Sir Charles Wyke, acquainted as is his excellency Avith the actual situation of the republic, that the suspension of payments which has lately been decreed, which only expresses what has long been the public feeling, and has formed the subject of confidential conver- sations with some members of the corps diplomatique, as well also as with some of those most interested in the foreign debt, has been brought about by an im- peiious necessity which did not admit of any preliminary arrangement or adjust- ment. The gOA^e'rnment had to choose between two evils — either to respond to public opinion by adopting the only existing means of preserving order and re- organizing the whole administrative system, or to look quietly on and leave society to become an easy prey to the prevailing anarchy. Government, considering the preservation of order to be its first duty, and believing that for the positive good of all who had interests at stake in the country some one plan should be undertaken which would tend to consolidate those same interests, presumed they might count, to a certain extent, upon the assent of the creditors. Sir Charles Wyke, then, will thus understand why the undersigned, holding, as he does, these opinions, can neither look upon the decree originating this note, as repudiating national engagements, nor as prejudicial to the good fame and credit of the republic. In order the better to understand the true force and purport of the decree, the undersigned Avould beg to refer her Majesty's minister to the note which has been addressed to the legation for the purpose of announcing to his excellency the act of congress ; and if Sir Charles Wyke considers that, in the visit which the undersigned had the honor of paying yesterday at the mission, he was only performing such an act of courtesy as should always precede any ofiicial or con- fidential conferences upon matters of business, his excellency Avill cease to wonder at tlie absence of special reference to the subject of this commimication during the conversation which then took place. The undersigned, &c. MANUEL DE Z AM AGON A. 76 THE PRESENT CONDITION OF MEXICO No. 10. MEXICAN LEGATION AT THE UNITED STATES OF AMERICA. Mexican Republic, Department of Foreign Afp^airs, Mexico, July 22, 1861. Sir : In reply to your communication bearing yesterday's date, wliicli I have just had the honor to receive, I will endeavor to answer seriatim the objections you have to offer to the statements contained in my note to your excellency of the 19 th mstant. You state the reasons why the financial decree was not sooner communicated to this legation, and say that you were anxious personally to explain to me the motives which had originated it; but what I complained of was that it should have passed into a law without the intention even of carrying it into execu- tion ever having been announced to me. When two parties bind themselves to perform certain stipulations, neither of them has the right to free himself from such obligations without having first of all obtained the consent of the other contracting party. With regard to what you say about the impropriety of my calling this act of congress a giving away of other people's property without their consent, permit me to observe that I am perfectly justified in making that assertion, for in matters of this nature time is often eqviivalent to money, and the arbitrary act of stopping all payments for the space of two years is depriving the parties interested of their money for that space of time, which is a dead loss of so much value to them. The imperious necessity which you urge as an excuse for the act cannot in any way justify the manner in which you have made yourself sole judges of that necessity, without first of all urging it on the forbearance of your creditors, in order to obtain their consent to what you were about to do. A starving man may justify, in his own eyes, the fact of his stealing a loaf, on the ground that imperious necessity impelled him thereto ; but such an argu- ment cannot, in a moral point of view, justify his violation of the law, which remains as positive, apart from all sentimentality, as if the crime had not had an excuse. If he was actually starving, he should have first asked the baker to assuage his hunger, but doing so of his own free will, without permission, is acting exactly as the Mexican government has done towards its creditors on the present occasion. Although, as your excellency truly observes, the law just published does not certainly affect the rights of the parties interested, yet it does most positively touch their material interests by depriving them of payments on which they had counted to fulfil their other engagements. With regard to the hope of immediate relief which you seem to entertain from the operation of this measure, I am convinced that it will, on the contrary, greatly aggravate the actual difiiculties under which you are now laboring, and that for reasons so evident that I will not now advance them. I am not aware that the project of this law was shown to other diplomatic agents, but I certainly never heard of it before under its present form, and, therefore, as far as I am concerned, the case stands exactly as I have stated it. With regard to the light in which your excellency views this question, as ex- pressed in your above-named note, you will, I am sure, excuse me for stating that it cannot be treated of partially Avithout also taking into consideration the opinions of those who dnectly suffer from the practical operation of such ideas as emanating from yourself and the other members of the government who sub- mitted the project to the congress. With respect to what you mention about a note addressed by your excellency THE PEESENT CONDITION OF MEXICO. 77 to tills legation witli reference to this matter, I mnst inform jon that it has never reached me, and that, therefore, I had a full right to complain, as I did in mj commnnication to yon of the 19th, of having first of all heard of this extraor- dinary measure of the government by seeing it in printed bills placarded through the public streets of the capital. I have, &c., C. LENNOX WYKE. His Excellency Senor Don Manuel M. db Zamacona, Minister of Foreign Affairs. P. S. — Since writing the foregoing lines the note of your excellency, alluded to above as missing, has been put into my hands, it having reached this legation an hour and a half later than the one to which this is a reply. 0. L. W. Mexico, Ju7i/ 29, 1861. True copy. LUCAS DE PALCINO Y MAGAKOLA. Washington, 8eptemher 21, 1861. True copy. EOMERO. No. 11. Sir C. Wyke to Senor Zamacona. Mexico, July 23, 1861. Sir : Your excellency's note of the 21st instant reached me yesterday after- noon, by which I learn that the decree forming its enclosure has passed the federal congress of the repu.blic, and that you forward it to me as directly bearing on the stipulations of the diplomatic convention for the payment of British claims concluded between Great Britain and Mexico in the year 1851. I have already so fully explained to you in my notes of the 19th and 22d of this month what I think of this decree and the manner in which it has been issued, that any further observations of mine with reference to it would only be superfluous, and prolong a correspondence which should never have been called for at all. As to the appeal you. make to the indulgence and forbearance of her Majesty's government, in order to obtain their sanction to a measure which is of itself suSicient for ever to deprive you of their confidence, I need only remind you that such indulgence has already been too far abused by the utter flxilure of all your engagements in the affairs of the Oalle de Oapuchinas and the Laguna Seca for it to be again extended to those who, instead of feeling grateful for it, only seem to count on its exercise in order to free themselves from every obligation, however binding it may be. Apart from these considerations, however, the carrying out of this financial law, so far from benefiting the nation, will only plunge it into tenfold greater difiiculties by largely increasing its obligations to its creditors, and at the same time .«triking at the root of its credit and commercial prosperity. That which is in itself wrong can never come right, for it is a well-known axiom that spoliation as a source of revenue soon exhausts itself. It is not by such means that the resources of the country can be augmented, but by a determination to make every sacrifice and incur every privation with a view of maintaining your honor and fulfilling your engagements. This detcrmi- 78 THE PEESENT CONDITION OF MEXICO. nation onco adopted and manfully put into practice would at once inspire confidence and rally round you. those whose sympathies you now appeal to in vain, because they doubt from past experience both your prudence and your sincerity. In using language thus strong you must not attribute to me a desire to offend, which is indeed far from my intention, but I have a duty to perform both to my own government and to that to which I am accredited, which impels me fearlessly to tell the truth and warn you against the inevitable consequences of a step alike fatal to your own interests as well as to those of my countrymen affected by this law. It now only remains for me to protest most solemnly, as I hereby do, against this- decree, at the same time that I hold the republic responsible for all and every, damage and prejudice caused by it to the interests of those whom I represent ,iu this matter; and further to warn your excellency that unless the said decree is withdrawn within forty-eight hours from this present time I shall, until I receive fresh instructions, suspend all official intercourse with the Mexican government, as any longer maintaining such under existing circumstances would be incompatible with the dignity of the nation I have the honor to represent. In compliance with your request I will transmit a copy of your excellency's note of the 21st instant to her Majesty's government. I avail, &c., 0. LENNOX WYKE. [Translation.] No. 12. MEXICAN EEPUBLIC, DEPAETMENT OF INTERIOR AND FOREIGN RELATIONS. Legation of France to Mexico, Mexico, July 23, 1861. Mr. Minister : I received yesterday, at 4 o'clock in the afternoon, the two notes you have done me the honor to address to me under date of 21st July. I am now causing a translation to be made of that of the two notes by which you give me official cognizance of the decree of the 17th of this month; bvit while awaiting this, that I might reply and in my tm-n inform you of my deter- mination on the substance of the business, I cannot pass without ausAver the observations by aid of which you seek to reply to my communication of July 20. I had declared to you, Mr. Minister, that independently of the fact that the measure was in itself an outrage upon the interests and dignity of France, the silence observed upon the subject by your government towards the minister of the Emperor, as well before as after the vote of congress and the approval by the President of the decree of the 17tli July, rendered this act still the more insulting, if that were possible. To-day, and after having read your explana- tions, I persist more than ever in seeing in the silence of your government a fresh insult, gratuitous and premeditated, addressed to France. To justify your government, you tell me that so soon as you were infonned by the minister of finance of the existence of the decree in question you came to my house to give me confidential explanations before communicatiug to me officially the decision of congress, but that you were so unfortunate as to hit upon a moment in which I was engaged and invisible. It is veiy true that through a misunderstanding for which I feel bound to express to you all my regrets, and which is explained by the fiict that you did not make youi-self known to my chancellor, Mr. de j\Iorineau, I was deprived of THE PEESENT CONDITION OF MEXICO. 79 the lionor of receiving your visit on the 20th of this month. But allow me to remark that this ch'cumstance, apart from the personal regrets I experienced, is "Without any importance. A simple collation of dates will be sufficient to con- vince you. The decree voted upon the 17th, and apjjroved on the same day by the executive authority, was on the 18th, by order of the authorities, posted on tlie corners of the prmcipal streets of the capital, and published in various joiuTials. But it was on the 20th, at four o'clock in the afternoon, at the moment when I had just despatched to you my note, that you called at my house to give me some conjidential explanations ! Shall I add that it must seem very strange that the chief of the cabmet should not have been informed by the department of finance of a measure of such weight until three days after it had been adopted by the executive power, and published for forty hours through the street criers and the journals'? Such a fact would not be of a nature to give a high opinion of the manner in which your governmental machinery is managed. This is not the time to refute the reasoning by aid of which you undertake the impossible justification of an inexcusable measure. But I will not pass un- noticed certain expressions in your note intended to portray in the most touching hues the sad condition of your country, and which seem to imply an appeal to the feelings and to the generosity of the government of the Emperor. France, Mr. Minister, I can say, to its eternal honor, has never been insensible to the sight of a government contending with unmerited misfortunes, and bravely striving to preserve social order and civilization. But such is not, I say it with profound regret, the situation of your government. The difficulties under which it succumbs are only the inevitable result, the forced and foreseen consequence of unheard of waste, of plunder and prodigality without name, of unbridled disorder, of abuses without example, of which since its accession it gives a sad spectacle. To pennit at this time that, arming itself with its delinquencies even, against which the minister of the Emperor has not in vain endeavored to place it on its guard, it should lay hands on the lawful property of our subjects, on tlie resources devoted, in virtue of international conventions of the most sacred cliaracter, to supply a tardy and inadequate reparation to Frenchmen, innocent \'ictims diiring so many years of a system of depredation and spoliation without example in any other country, would be on the part of France, not generosity, but veritable self-deception, an improvidence the more unpardonable, because if I have not much faith in the efficacy of the remedy proposed, I could not, let me frankly avow it to you, have any greater confidence ui the hands intrusted Avith its application. I pray your excellency, Mr. Minister, to accept the assurances of my very distinguished consideration. A. DE SALIGNY. His Excellency Mr De Zamacona, Minister of Foreign Relations, National Palace, Mexico. July 29, 1861. Tnie copy. LUCAS DE PALACIO Y MAGAEOLA. "Washixgton, September 21, ISGl. Copy. ROMERO. 80 THE PEESENT CONDITION OF MEXICO. [Translation.] No. 13. MEXICAN REPUBLIC, DEPARTMENT OF INTERIOR AND FOREIGN RELATIONS. Legation of France to Mexico, Mexico, July 24, 1861. Mr. Minister : I have to answer the communication which your excellency did me the honor to address to me the 21st July to bring officially to my knowledge the decree of the 17th of this month, of which I shall hasten to transmit a copy to the government of the Emperor. I have experienced, perhaps, more regret than surprise on learning, Mr. Minis- ter, that this measure of the 17th July, in the existence of which I refused to believe for the honor of Mexico, was in sooth an authentic act, adopted by your government with deliberate purpose, but in the shadow of concealment, as if, through a final revolt of its own conscience, it might itself shrink back in the blaze of daylight from the avowal of such an enormity. The impression which the government of his imperial Majesty will receive on learning this fresh assault on the rights and dignity of France, as well as all the circumstances connected with it, will not be different, I am convinced, from what I have myself felt. Your excellency certainly does not expect from me that I should here enter into a discussion of the decree of July 17. It belongs to things that are not discussed. What need have I, moreover, to give myself to useless efforts to convince your excellency that in our conversations you have not hesitated to blame almost as energetically as myself this deplorable measure, even at the moment when, by a contradiction for which I cannot account, you undertook to justify it by means of arguments, more specious than solid, deduced from I know not Avhat pretended considerations of necessity and public safety. The measure of which we treat worthily crowns the system by the help of which, after several months, your government has wrought itself up to elude, to deny, or to violate its obligations towards the government of the Emperor. In the situation in which you have just placed it, nothing will remain to France than one single means of defending and avenging her rights and her honor, outraged with indignity — immediate resort to force. It is for your government to decide if it will leave affairs to come to this extremity. Awaiting its decision, I have, Mr. Minister, a last duty to discharge ; that is, solemnly to protest in the name of France, as I here do, against your decree of the 17th July, declaring to you that I hold the republic responsible for all the damages it may cause to the subjects of his imperial Majesty, and that, in fine, if this measure be not recalled and annulled within twenty-four hours from this instant, I shall break off all official relations with your government, these rela- tions having become incompatible with the dignity of the government which I have the honor to represent. I pray your excellency to accept the assurance of my very distinguished consideration. A. DE SALIGNY. His Excellency Mr. Zamacona, Minister of Foreign Relations, National Palace, Mexico. Mexico, Jtdy 29, 1861. A true copy. LUCAS DE PALACIO Y MAGAROLA. Washington, Septemher 21, 1861. A true copy. ROlilERO. THE PRESENT CONDITION OF MEXICO. 81 No. 14. [Translation.] MEXICAN EEPUBLIC, DEPARTMENT OF INTERIOR AND FOREIGN RELATIONS. National PXlace, Mexico, July 25, 1861. Tlie undersigned nainister of foreign relations believes that lie ought to make some remarks to his excellency the minister of France on the subject of the two last notes which he has thought proper to address to this department because of the decree of the 17th instant.' Before all, the undersigned should explain that whatever may have been his private information of the measure stated, and of the initiative which was the origin of it, he could not officially communicate it to his excellency Mr. de Saligny before it could be communicated to him by the department of finance, a step uievitably posterior to the promulgation of the decree spoken of. This will put an end to the astonishment which his excellency the minister of France exhibits, and will obviate the possibility of perversion of the meaning of the explanations which the undersigned* has given upon this point. The surprise and sorrow which his excellency the minister of France states that he experienced on learning officially the publication of the decree referred to are things which the undersigned does not undertake to comprehend in treating of a measu^re which has rested a long time on the public attention, which has been discussed by the press, and whose unavoidable necessity has passed into a proverb. The undersigned considers himself excused from further remark when the very representative of the French empire has had the frankness to recognize this necessity in private conversations, in referring to some that he had had with one of the predecessors of the undersigned about the arrange- ment not only of a delay in favor of Mexico for the payment of the debt to France, but even of an alleviation of the enormous weight with which the foreign debt oppresses the republic. The undersigned must also set in proper light the allusion which his excel- lency Mv. Saligny makes to the blame which in private conversations he says he had cast upon and now reduces to writing upon the measure which is the cause of these communications. What the undersigned has stated to the minister of France is the decided preference which he would have given to a conventional arrangement for the suspension of payments enacted by congress, and the regret with which he has had to submit to the hard law of necessity which did not give the tirae needed by the government for entering upon pre- vious conventional arrangements, which, though initiated with this intent, could not effect ah immediate result, on account of accidents foreign to the essence of the business ; and meantime the extreme moment arrived in which the govern- ment literally could not do any other thing than suspend payments, and trust for some general arrangement of the public debt to the prcsiimed consent of the parties interested. This is what the undersigned has constantly said to his excellency the minister of France, and thus it falls out that, while deploring the impossibility of entering into previous arrangements, he may have influenced the conduct of the government upon the overmastering considerations of necessity and of public safety. The government of the vmdersigned protests against the imputation thrown upon it of having systematically endeavored, in these latter times, to elude, dis- regard, and violate its engagements with the govei'nment of the Emperor. Tlie facts and the correspondence of this department with the French legation bear H. Ex. Doc. 100 6 82 THE PEESENT CONDITION OF MEXICO. witness to the coniraiy. For throe years past Mexico, notwithstanding she found herself in the midst of difficulties and complications without example, in place of eluding her liahilities has ratified them, has confirmed them, has given strength to them by means of acknowledgments in which there has been, perhaps, somewhat of improvidence, and which have contributed much to the difiiculties with which the government now contends. At this very moment the nation acknowledges all the rights which are derived from its. international engagements, but finds itself compelled to declare that those rights cannot, for a certain period, be regularly provided for by the receipts from the maritime custom-houses, because these constitute the only available and immediate resource of the government, and are not sufficient to meet the serious, although temporary, dangers with which the public is threatened, and the interest upon and funding of the public debt. The decree of the 17th instant does not repudiate any obligation, nor do anything but place in their appropriate order those which the government main- tains towards civilization and society, and those which it is under to its creditors. In all this decree there is not a single word that can reveal any tendencies to spoliation. It is nothing but a declaration on the part of the Mexican people, in the same terms in which such is made daily by traders and merchants who find themselves under actual^ impossibility to fulfil their engagements. The only difference is, that between individuals* the disputes between creditors and debtors are, in such event, carried before the courts, and between nations are brought before the supreme tribunal of justice arid of ec[uity. His excellency Mr. de Saligny in his last note declares that he declines this jurisdiction, and prefers to carry the matter before the tribunal of force. It is strange that the minister of France, to whose intelligence the rules which preside over human revolutions must be familiar, should regard as an exceptional characteristic of that of Mexico the irregular course of public events in the months immediately close upon the downfall of the reaction, and that, arming himself Avith those recollections, now that the double qxiick step of refoiin has ' slackened, as Avfll as the impetuosity which the revolution brought from the fields of battle — now that we hear the voice of those who claim to organize and direct it, should declare the Mexican people to be unworthy of all equitable consideration, and should oppose the advent of order and regularity precisely in the name of that inevitable disorder. On the other hand, if that has existed, it must be that Mr. de Saligny ought to reflect that, far from having brought prejudice to French interests, it is proverbial that his fellow-coimtrymen have been the most benefited by what the minister of France calls the prodigalities ' of the revolution ; and in reference to this, the undersigned takes the liberty to ask Mr. de Saligny to look into his conscience and search whether the violent language with which he enforced his criminations of Mexico is worthy of the noble country which he represents, and in whose sentiments it is impossible there should exist a wish to abuse its position as a creditor; and this when France is not so with respect to Mexico, unless for a relatively small amount, and when out of this affair there cannot, on the other hand, any question of dignity be raised, because that would be equivalent to saying that the poverty and the embarrassments of Mexico may afiect the dignity of France. The nation has restricted itself to declaring, by means of the decree of the 17th, the condition of its complication and its pemny, without repudiating any of the rights created in favor of its creditors, and, on the contrary, by coming forward and offering new guarantees. It cannot be unperceived by the practical wisdom of his excellency the envoy of France that he asks . an impossibility from the government of the imder- signed in requiring from it, within twenty -four hours, the abrogation of the decree of the 17th instant. Neither the government could initiate this abroga- tion, because that vrould be to initiate anarchy and social dissolution; nor THE PRESENT CONDITION OF MEXICO. 83 could congress, wliicli passed that law almost by acclamation, convinced that it was of vital importance to the republic, listen to the initiative. The protest with which his excellency the minister of France closes his note appears to the undersigned so much the more superfluous, because he has him- self anticipated it, so to say, by protesting, even from his first notes upon this business, that the ultimate resolutions of congress can in nowise affect the legiti- mate rights of parties interested in the foreign debt. The undersigned permits himself, moreover, to remark, saving his respect for the sound judgment of Mr. de Saligny, that far from seeing an act becoming the honor and dignity of the French empire in the suspension of relations, which its representative annoimces he beheves it to be very possible that impartial na- tions should look upon this step as absolutely without motive, and hopes, from the prudence of the minister of France, that until he receives instructions he may keep up the cordial understanding, for whose interruption no cause what- ever exists, and which may so much conti'ibute to the satisfactory solution of this business. The undersigned is gratified to offer, on this opportunity, to his excellency Mr. de Saligny the assui-ances of his very distinguished consideration. MANUEL M. DE ZAMAOONA. His Excellency Mr. A. de Saligny, S^., S^., 8j-c. Mexico, Jul^. 29, 1861. A copy. LUCAS DE PALACIO Y MAGAROLA. Washington, September 21, 1862. A copy. , ROMERO. N"o. 15. Sefior Zaviacona to Sir C. JVyke. [Translation.] Mexico, July 25, 1861. The communication which his excellency her Britannic Majesty's minister was pleased, under yesterday's date, to address to the undersigned upon the subject of the decree of the sovereign congress proclaiming a total suspension of pay- ments, not excepting those of the diplomatic conventions and the London debt, has rendered it incumbent upon the xindersigned to make certain explanations, without which it might be supposed that his government had accepted as irrefutable some of the facts and statements therein adduced by Sir Charles Wyke. Once and for all, then, the undersigned rejects the notion entertained by his excellency in his notes of the 19th and 22d instant, that the decree of the 17th implies an act of spoliation.' This act of the legislature carries with it no legal right whatever to rob foreign creditors of -what belongs to them. The nation, in whose house of representatives the decree in question was carried with scarcely a dissenting voice, has never sought to disavow the rights which have accrued to others from international compacts. Still she has been forced to declare that, for some time to come, such rights cannot continue to be a drain upon the revenue of the maritime custom-houses', for that revenue — the only one government possesses for immediate purposes — does not suffice for the actual exigencies, temporary though tliey be, of the. country and society, and at the same time for the payment of the interest and principal of the public debt. Government have obligations 84 THE PKESENT CONDITION OF MEXICO. to perform lootli towards society and tlieir creditors. Tliey cannot perform both at once, and consequently, by tbe decree wbicli has originated this note, govern- ment -have done nothing more than place those obligations in their legitimate order, Avithont attacking or disavowing any of them. His excellency her Majesty's envoy extraordinary, while attempting to clothe the act of congress in the garb of spoliation, has in one of his former notes employed a simile, the inaptitude of which is strikingly perceptible. His excellency compares the government at this moment to a person who, impelled by hunger, assaults and robs a provision merchant. Now, tAvo ruling principles are implied in such an act — one of aggression, the other of robbery — neither of which can even be assumed in respect to the conduct of government towards its creditors. Of not a sixpence have these same creditors been deprived ; and if one had to employ a simile to qualify the conduct of government, it Avould be rather that of a father overwhelmed with debts, who, with, only a small sum at his disposal, scarcely sufficient to maintain his children, employed it in the purchase of bread instead of in the payment of his bills. Were her Britannic Majesty's representative a member of the family, would his excellency be eager to qualify his father's conduct by the name of spoliation ? In every-day life one is accustomed to see people Avho suspend payment owing to pecuniary emban-assments, yet nobody seeks to call them thieves. Now, in the decree, upon which her Britannic Majesty's minister passes so severe a sentence, not a single word is there which can give rise to the idea of thieving propensities. Payments, it is true, are stopped because government cannot pay out of the funds assigned to it. They are stopped because the nation, to be orderly, and at the same time methodical in the accounts of the public debt, wants as soon as possible a government; yet still, with feelings of loyalty, and with a solicitude worthy both of being more justly appreciated, she has given her ■creditors a twofold guarantee; firstly, in the plan itself, so complete, so impartial,, a plan wherein looms a prospect of solid stability ; and secondly, in the assign- ment of a special fund of several millions, (most of which can shortly be realized,) whereby, even during the period of suspension, {\p. their case nominal,) the foreign creditors will obtain even better secui'ity than what was given them in the maritime /iustom-houses. It is not, M. le Ministre, about sacrifices or money that Mexico is haggling; that which she is defending are the principles of order; that Avhicli she is longing for is system and organization, without which she is lost ; and she is searching after prudence and method, so that she may never again be accused of slovenliness and mismanagement by those who regard as a national vice what is but a phenomenon inseparable from a state of revolution. It is well, too, to state accurately the attitude of Mexico before her creditors, both as it was and is ; for it is not such a one as his excellency her Majesty's envoy describes in his last note. To judge therefrom, our republic has never been aught than an indigent debtor, who from time immemorial has responded with ingratitude and bad faith to the undeniable generosity and indulgence of her creditors. The undersigned shuts his eyes purposely to the history of the foreign debt, for neither would he wish to employ the bitter tone of Sir Charles Wyke's note, nor give the slightest indication of Mexico's belonging to the set of faithless debtors who, to avoid payment, dispute the legality of their obligations. Mexico, on the contrary, recognizes in a high degree her engagements, and will abide by them, moreover, without taking exception at the antecedents of the original con- tract. But the l^ndersigned is convinced that, when this coiTCspondence shall have come to light, all who are familiar with the history of our external debt, all Avho are acquainted Avith the primary elements of the British couA^ention, and knoAV how the parties interested therein were alloAved the advantages of increased , THE PEESENT CONDITION OF MEXICO. 85 interest in the midst of a ruinous civil war, and in the days of Mexico's hardest struggle, will see something strange in the allusion of his excellency her Majesty's minister to the indulgence of which the foreign creditors were so prodigal, 'but which the republic so systematically abused. Had the demands of the creditors been somewhat fcAver, then, perhaps, the fulfilment of international engagements might have come within the range of possibility. Mexico, however, has been like those fields where the harvests haA'-e been out of proportion to the fertility of the soil, and the day comes when the laud becomes impoverished, yields nothing, and is obliged to lie fallow for one or two years. The undersigned considers he should not pass over in silence the charge which is made against his government of having failed to fulfil their engagements in respect to the funds seized at the British legation by functionaries of the reac- tion, and to the money-convoy " occupied" at Laguna Seca. In the first case, government, with the consent of the legation, engaged simply to make the perpetrators of the act responsible, and if such means did not lead to the desired result, viz., indenmity, to discuss others which might do so. No one, then, can say that until now government has not fulfilled their engagement in this case. As for the aflPair of Laguna Seca, when government undertook to repay, within the space of four mouths, what remained unpaid of the amount " occupied" out of the " conducta," they did so at a time when they could not foresee that the remnant of the reaction would turn refractory, and oblige them to enter upon au expensive campaign, which would upset all their financial calculations. Notwithstanding this, however, they have made every kind of sacrifice, monetary and otherwise, to keep intact this special debt ; to an extent, indeed, that has left them in possession of but a small available surplus. No one who does justice to the Mexican nation can refuse to acknowledge the exemplary manner in which she has endeavored to satisfy her creditors, to the unstable disparagement of national interests. The actual amount assigned for the payment of the foreign debt during the residence of the constitutional government at Vera Cruz, and that, too, at a time when the re-establishment of peace was being laboriously worked out, and when, consequently, the country could ill sustain the heavy demands made upon it, speaks volumes in itself. The little faith manifested by his excellency Sir Charles Wyke as to the results of the financial law and the small value he puts upon the guarantees it gives to foreign creditors, do not seem to be shared in by the parties themselves who are interested in the diplomatic conventions, since it is only within the last few 'days that government had all but concluded an arrangement with them, the basis of whicljgtv^ould not have interfered with their present rate of interest, but it could not be perfected owing to her Majesty's envoy extraordmary having refused to sanction it. The same may be said of the creditors in the matter of the Laguna Seca " conducta." Guided by natural instinct — so infallible a rule where individual interests are concerned — they did not, like Sir Charles Wyke, entertain any doubts about the prudence and sincerity of the government. And touching these said doubts, amounting, as they do, to an insult, his excellency will permit the undersigned to exhort liim to commune with his conscience, and ask it whether or not the tone of his excellency's last communication is such as should be used by a creditor, calling himself generous and indulgent, towards a friend who is in his debt and overwhelmed by difficulties. It cannot ' -'cape the enlightened understanding of his excellency the repre- sentative of Great Britain that, in demanding from the government of the un- dersigned the withdrawal, within forty-eight hours, of the late decree, he simply demands an impossibility. Neither could the government initiate the with- 86 THE PRESENT CONDITION OF MEXICO. . , drawal, for it would be equivalent to initiating the reign of anarcliy and a general dissolution of society ; nor could congress, who had carried this law almost by acclamation, and who were convinced of its vital importance to the rejjublic, listen for a moment to^such a proposition The protest with which his excellency her Majesty's envoy extraordinary concludes his note appears to the undersigned so much the more superfluous, as in his very first note upon this subject the undersigned had, so to speak, also protested, but against the supposition that the last act of congress in any way affected the lawful rights of the persons interested in the public debt. The undersigned will further take the liberty of stating, with all due deference and respect to Sir Charles Wyke's sound judgment, that, very far from seeing in the suspension of relations, now announced by his excellency as representa- tive of Great Britain, an act due to the honor and dignity of England, he thinks it not improbable that all nations, who consider the matter impartially, will look upon this step as absolutely uncalled for ; and he therefore trusts that his excel- lency, while awaiting the instructions to which he alludes, will continue his friendly relations to this government, for the interruption of which there can be no possible caiise, while their maintenance will surely contribute to the satisfac- tory solution of the joresent difficulty. The undersigned, &p. MANUEL DE ZAMACONA. No. 16. [Translation.] Legation of France in Mexico, Mexico, July 25, 1861. Mr. Minister : I announced, in a note which I had the honor to address to your excellency yesterday, that if the decree of the 17th of July was not with- drawn and annulled within the period of twenty-four hours I should break off all official relations with your government. The tenn fixed by my note having expired without my receiving a satisfac- tory reply, I must regard your silence as a refusal to accede to my request. Consequently, I have the honor to inform you that from this moment all offi- cial relations are broken off between the legation of his Imperial Majesty and your government. * I beg you to accept, Mr. Minister, the assurance of my vei|> distinguished consideration. A. DE SALIGNr. His Excellency Mr. M'l de Zamacona, Minister of Foreign Relations, National Palace, Mexico. Washington, Septeinher 21, 1861. A true copy. EOMEEO. THE PRESENT CONDITION OF MEXICO. 87 » No. 17. [Translation.] MEXICAN EEPUBLIG, DEPARTMENT OF FOREiaJT RELATIONS. National Palace, Mexico, July 25, 1S61. The undersigned, minister of foreign relations, lias the honor at this instant to receive the note which his excellency the minister of.France has pleased to address to him, announcing the suspension of his relations with the government of Mexico. His excellency Mr. de Saligny must have received the note which, at five o'clock yesterday, afternoon, the undersigned had the honor to send to him, showing the absolute want of motive for a suspension of relations between the government of the Emperor and that of the Mexican republic ; and as little can there serve for cause of the resolution which Mr. Saligny announces that lapse of twenty-four hours, which it pleased him to fix upon in his last note but one, inasmuch as that was not received at this department until seven o'clock last night. The undersigned refers to what is contained in the last communication, and avails himself of this opportunity to repeat to his excellency the minister of France the assurances of his most distinguished consideration. . MANUEL MARIA DE ZAMAOONA. Mexico, July 24, 1861. A true copy. LUCAS DE PALAIOS Y MAGAEOLA. Washington, Bcptemher 21, 1861. A true copy. ROMERO. To his Excellency Mr. A. de Saligny, Envoy Extraordinary and plenipotentiary, ^r., of France. No. 18. Sir C. Wylce to Senor Zainacona. Mexico, July 25, 1861, 5 p. m. Sir: The day before yesterday, at this hour, I had the honor of informing yo.ur excellency that if the decree of the 17th instant was not withdrawn within forty-eight hours I should feel it my duty to suspend all official intercourse with the Mexican government until I should receive instructions from her Britannic Majesty's government as to the next step to be taken in a matter Avhich not only implies the breach of a, solemn international compact, but also carries with it so great a slight as almost to amount to a direct insult to the nation I have the honor to represent. The term having now expired within which I should have received a reply, and none having reached me, I take your silence as a refusal of r^ demand ; and I therefore from this time forward suspend all official relations with the government of this republic until tliat of her Majesty shall adopt such measures as they shall deem necessary under circumstances so unprecedented. I have, &c. C. LENNOX WYKE. 88 THE PRESENT CONDITION OF ]\J:EXIC0. No. 19. • . Senor Zaviacona to Sir C. ^Vtjke. [TjanslatioQ.] Mexico, Ji^/y 25, 1861. Tlic undersigned, ^c, lias tliis moment liad the honor of receiving from liis excellency Sir 0. Lennox Wyke, &c., tlie note in which his excellency is pleased to announce the suspension of his relations Avith the government of Mexico. Sir Charles Wyke must have received the communication which the under- signed had the honor of addressing to him at 5 o'clock this afternoon ; this will prove the utter absence of any motive for a suspension of relations between the government of Gh-eat Britain and that of the Mexican republic. Neither can there be any cause for the resolution taken by Sir Charles Wyke, in the expiration of the forty-eight hours fixed by his excellency in his note of the 23d instant, (as the term to be allowed to government for answering the iiltimatum,) inasmuch as it was only 7 o'clock in the evening of the 23d that the. above note was received at government house. The undersigned, in calling attention to his last communication, avails, &c. MANUEL DE ZAMACONA. No. 20. Sir C. Wyhe to Senor Zamacona. [Private.] Mexico, July 26, 1861. Dear Sir : At 7 o'clock yesterday evening, that is, two hours after the ex- piration of the forty-eight hours in which I had required a reply to my n^te of the 23d instant, I received yours dated the 25th, to which, consequently, I can only reply by a private letter, as its contents have in no way changed the reso- lution Avhich both the French minister and myself have been driven to adopt by the extraordinary and unjiistifiable conduct of the Mexican government with reference to the decree of the 17th instant. A careful perusal of your above-mentioned note has convinced, me that mine of the 23d, to which it is a reply, has not been properly translated to you, as you put some things into my mouth which I never said, and so twist the sense of others as to gi-ve them a totally different meaning from what they really convey. Passing by this, however, I will only revert to the really essential part of yoiu' note, which is the refusal to rescind a financial scheme, the maintenance of which, besides plunging the republic into further pecuniary difficulties, will have the effect #f bringing it into collision with the two first maritime powers of the Avorld, and that, too, in a quarrel Avhich you have originated, and where, permit me to say, you are quite in the wrong. As I am, in thus writing to you, unfettered by the reserve imposed in an_ official corronespdence, I may tell you frankly that you are leaning on a broken reed when you trust to the sympathy of those whose interests Mexico has sys- THE EKESENT CONDITION OF MEXICO. 89 tematically sacrificed to Iier own. This is proved by tlie history of the foreign debt as applicable to the bondholders, which it would be well that you should carefully study, and you will then see that the repeated engagements made with them have itp to the present moment always been either entirely evaded or only partially executed, as, for instance, when after consenting to a reduction of iutere'st of from 5 per cent, to 3 per cent, on the condition of receiving certain payments from the duties levied in the Pacific ports, they do not receive one sixpence from that source, and are only very partially paid from the Atlantic custom-houses. I will not dwell on the long and dreadful list of murders committed on my luifortunate countrymen, which, with one exception I believe, have remained unpunished from the date of your independence down to the recent dreadful butchery of poor Mr. Beale at Napolis. Do you think that these lamentable facts are calculated to gain our sympathy or inspire us with confidence in a people who thus violate their engagements with us, and kill our fellow-siibjects with perfect impunity ? It is really time that the government of Mexico should open their eyes to the natural consequences produced by such conduct, and should become aware of the unfavorable opinion entertained of them in Europe. Whose fault is it that the country has been deluged in blood ever since the declaration of its independence, but that of its own citizens, in constantly making revolutions and carrying on a series of fratricidal wars amongst themselves, which have reduced one of the finest countries in the world to misery, and so degraded its population as to make them dangerous, not only to themselves, but to everybody coming into contact with them? Yoii appeal to the generous sentiments of creditors towards an unforttmate debtor bowed down by his difficulties, forgetting that that debtor, with only common prudence within the last six months, luight at this moment be actually free from debt, had he not wilfully and recklessly squandered the millions he then had at his disposal. As to the mode of payment proposed to certain British claimants, to which you allude in your yesterday's note, it was so impracticable as to be unaccepta- ble to all of them, when its real nature was pointed out to them. With regard to what you say about the Laguna Seca robbery and the lega- tion outrage, it is useless for the Mexican government to deceive itself, by calling the foi-mer an " occupation of funds," and the latter a deed performed by the " functionaries of the reaction." The first was a theft, and the second an un- heard-of violation of international law, committed by a government recognized by every European nation, and for both these crimes, as -yet unattoned for, Great Britain will surely hold this republic fully responsible. I have already extended this letter to an undue length, and must therefore conclude, but, before doing so, let me again urge you, for your own sakes, to retrieve the fatal error you have made with regard to this decree, by inmicdiately "vsHithdrawing it ; for otherwise all official intercourse between this legation and your government becomes impossible, and you will remain Avith the responsibility attaching to an act which, both in form and substance, is perfectly unjustifiable. Trusting that you Avill receive Avhat I have now Avrittcn in the spirit which really dictated these lines, I Avill take leave of a subject Avhich is a much more serious one than seems to be supposed by the Mexican government. In a second note of yours, received yesterday, you complained that my note, written at 5 o'clock on the 23d, only reached you at 7 o'clock on that day, and that consequently, in writing to you yesterday at 5 o'clock, you had had only forty-six instead of forty-eight hours' delay before the suspension of ofiicial re- lations. This I regret, but it was not my fault, as on both days I despatched my note from here at half-past five in the afternoon. In point of fact, however, the two 90 THE PRESENT CONDITION OF MEXICO hours thus lost are of no importance, as you refuse to withdraw the obnoxious decree. Believe me, &c., 0. LENNOX WYKE. No. 21. Senor Za?)iacona to Sir C. Wyke. [Translation ] Mexico, July 27, 1861. My Dear Sir : I have had the honor of receiving your letter of yesterday, and I am glad that it gives me. the opportunity of asking you to listen once more to the voice of one who is as sincere as he is honorable; of one whose love for his country is only excelled by his love of justice and reason ; of one who is confident that you will be brought to do justice to the intentions of the Mexican government, for, as if by inspiration, he knows you to be possessed of similarity of sentiment with himself. It cannot be that, talented and generous as you are, you have yet thought it strange that government should refuse to withdraw the decree of the 17th instant. Your conscience must tell you, M. le Ministre, that it is an impossibility you ask of government, for how could they entertain your proposition 1 The mere preliminaries for the suspension of a law which had passed congress would take up more time than what you have allowed for deciding whether or not our offi- cial relations were to be maintained. This single fact would account for the position taken up by government, as well as for their determination to meet boldly dangers and difficulties, oven greater than those which you have had the goodness to warn me against. < Such a step as the one you now propose, if taken by Mexico, could not but prove suicidal to her political standing as a nation, for it would be equivalent to the surrender of her constitution and her sovereignty into the keeping of the foreign diplomatic body, and that, too, in a matter where my inmost conviction tells me that justice is on our side. Still, as in the correspondence which has passed between us during the last few days, I had seen the opposite doctrine sustained, and heard the conduct of my government qualified repeatedly as unjustifiable, I began to distrust my own convictions about equity and common sense, so much so that I sought to justify myself and my country by a reference to international law, and I can only say, now that the work of reference is over, that my former convictions are only the more confirmed, I perceive, M. le Ministre, that writers on international law hold it to be a general principle, that any change of circumstances, or the positive inability of one of the parties in a contract to fulfil the same, does of itself nullify a bond ; and since I likewise, in my turn, may be permitted to avail myself of the advan- tages of a private letter, I will take the liberty of doing what might be con- sidered in the light of pedantry were I writing to you officially, and make certain quotations which bear upon this question. Grotius and Oorcellus hold that " the obligation which results from a compact becomes nvill and void so soon as its fulfilment becomes impossible." Wheaton, too, has the following passage: "Treaties may be avoided, even subsequent to ratification, upon the ground of the impossibility, physical or moral, of fulfil- ling their stipulations. Physical impossibility is Avhere the party making the stipulation is disabled from fulfilling it for want of the necessary physical means THE PRESENT CONDITION OF MEXICO. 91 depending on himself." In Martens we read, "Physical impossibility in a nation to fulfil treaty engagements absolves it from the obligations of the com- pact, but not from the obligations to make indemnity, should it be proved that the physical impossibility could have been foreseen, or that it was caused by the nation itself." And Heflfter has the following remarkable sentence: "The con- tracting party may refuse to fulfil his.engagements, when their fulfilment becomes' impossible and is likely to remain so, even though the contract be violated ; more especially if private duties, or the rights and wellbeing of a people are con- cerned." I could go on quoting, but I should exceed the limits of this note were I to bring forward the numerous authorities upon this recognized principle of inter- national law. There is, M. le Ministre, something inexplicably harsh in denying the right of Mexico to the sympathy of her creditors, and in saying that she has syste- matically sacrificed their interests to her own. I had already, before receiving your advice, studied the history of the English debt, and my research has shown me that from the very date of the London loan the republic has been a loser, its actual loss amounting to something like 8,000,000 dollars; that when bonds were issued in the year 1824 she did noth- ing less than make good at par what she could have made good at 50 per cent. ; that later on she lost several millions in the failure of those British firms who had been mixed up in the business ; yet, that still, notwithstanding the civil war which has for years been raging in the country, she has made the bond- holders such remittances as cannot but have filled their pockets beyond what could have been expected, considering the circumstances of the country. But this refers solely to the exterior debt, which perhaps has suffered less than any- thing else from the vicissitudes Mexico, has had to undergo, since, at all events, this particular debt has been attended to with something like the ver^^are and method which the government is desirous of employing in respect to the entire public debt. While her Majesty's legation is talking about the history of the exterior debt, it would be well if, instead of turning their attention solely to the question of the London loan, which has no diplomatic character Avhatever, they looked into the matter of the British convention, and stated frankly who really have been the sufferers in this business, and who have had to make sacrifices and undergo hardships. Let them say whether or not the republic has come off scot-free, when in the midst of her difliculties she has gone on punctually paying the as- signments of the British convention, and even increasing the rate of interest on those assignments. In one of my last oificial communications I mentioned to you that feelings of delicacy prevented my entering into the details of the convention question. I can, however, in a private letter call your attention to the kind of elements composing this diplomatic arrangement, and to the consequences resulting there- from; indeed, it is only a few days ago that an English paper in this capital brought th(; matter to light, and proved nothing less than that Mexico had been paying for some tobacco concern at the rate of two ounces for each box of cigars. As to the complaints which you have made about the robberies and murders tliat of late have been committed in the republic, though they have not solely been committed upon the pei*sons of Englishmen, but equally upon Mexicans, nobody need have less cause to blush than those Avho, like the present govern- ment, are giving the most positive proofs of how much they are taken up with this subject, and of their anxiety to put a stop, at any price, to such atrocities, and who were actually on the point of procuring the means of carrying out their int<'ntions, when those means were protested against by the British legation. Who, you ask, is to blame for the present state of aftairs, and for the wars 92 THE PEESENT CONDITION OF MEXICO. whicli have been desolating the republic ? I will tell you in all frankness, M. le Ministre, and you must not be astonished at what I am going to say. If, as I suppose, you are well acquainted with what has happened since the date of our independence, you will find that the origin of the evil can be traced to circumstances over which neither our race in general, nor this generation in ■particular, had any control. It was no work of theirs ; while, as for what has taken place within the last few years, foreign diplomatic agents are, in a great measure, responsible, for having recognized and given moral support to a hand- ful of rebels Avho were utterly repudiated by the nation at large. Such, at all events, is public opinion. In your last letter you still hold to the general but exaggerated notion, that many millions of the late church property have been needlessly squandered away. My opinion iTpon this point, M. le Ministre, may be considered worth something, for no journalist has advocated more strenuously than I have done tlie necessity of a proper and organized administration of the property in question, yet I am sure that if the matter were reduced to figures, and the actual value of the church property put on paper, with the positive depreciation that' value has undergone, owing to the civil wars ; and if, moreover, there be taken into consideration the sums paid from this source towards the extinction of the national debt, the discount at which government has been compelled to transact their negotiations in order to realize this property, and the surplus which still remains, I am sure, I repeat, that the charge of having squandered away mil- lions will be found exaggerated. I cannot understand why you should qualify as impracticable the arrangement which the parties interested in the British convention had entered into with government. This, or any other analogous one, would be very feasible upon the bases laid down in the decree of tljie 17th for the guidance of the special finance Ifcmmittee. This decree has in no Avay sacrificed the rights of the public debt ; and nothing is asked for either by the government, the congress, or the country, but the permission to attempt the pacification of the country, and- carry out their administrative reform. 'They claim but this. With respect to what you are pleased to say about the conduct of the chiefs of the federal army in having " occupied" certain funds at Laguna Seca, I will simply ask you whether you conceive the word "robbery" implies the idea of a future indemnity, such as was made voluntarily and at a great sacrifice on this occasion, as is proved by the trifling sum which still remains impaid 1 As for the outrage at the British legation, I must correct a slight error you have made in referring to this act. It is not true that the authors of this out- rage, at the time of its commission, were recognized by the representatives of ' friendly powers. I thank you, in conclusion, most sincerely for the kind language you employ, while exhorting me to facilitate the renewal of our relations by the withdrawal of the decree of the 17th instant; but it appears to me that the interest you profess in the matter would have lost none of its weight, and would have gained in dignity, had you accompanied it, by way of incentive, with some proposition for an arrangement not incompatible with the honor of the nation, and less un- feasible than the essentially impracticable one you have already made us. Hoping that you will have the goodness to consider well the observations I now oifer, and flattering myself that they may lead to the re-establishment of our oflicial intercourse, for the interruption of which there is as yet no motive, I beg, &c. MANUEL DE ZAMACONA. THE PKESENT CONDITION -OF MEXICO. 93 No. 22 [Triinslation.] MEXICAN REPUBLIC, DEPARTMENT OF FOREIGN RELATIONS. [Confidential and private.] Mexico, July 26, 1861. My Dear Sir : On the 24th, at five in the afternoon, I addressed you a note, informing yon that if, within the period of twenty-four hours, yo\u- decree of 1 7th July was not recalled and annulled I should break off my relations with your government. Yesterday, at half-past five o'clock, not having an answer, I had to address to you another note to notify this rupture to you. At six o'clock I received from you a first communication, of July, (no date.) In fine, at seven o'clock there was brought to me your second note, of the 25th. In this you tell me that my note of ths 24th, despatched by me at five o'clock, had only reached you at seven. I can the less understand this delay, because at half-past five the envelope was brought to me to serve to note the time. For the rest your two last communications, containing a refusal to accede to my demand, I find myself, to my great regret, under the necessity of persisting in the resolution of which I notified you officially yesterday. I pray you to accept, my dear sir, the assurance of my most respectful regards. . A. DE SALIGNY. His Excellency Mr. Manuel De Zamacona. Mexico, My 29, 1861. A cop3\ LUCAS DE PALACIO Y. MAGAEOLA. Washington, Septeinher 21, 1861. A true copy. * ROMEEO. No. 23. . [Translation.] MEXICAN REPUBLIC, DEPARTMENT OF INTERIOR AND FOREIGN RELATIONS. Saturday, July 27, 1861. Very Esteemed and Eespected Sir : I do not consider that I should add anything to the explanations which I had the honor to make to you ofiicially in regard to the hour at which I received your communication of the 24tli instant, beyond the solemn protestation that my answer was sent to the French legation beiore the expiration of the period which, in your said communication, was fixed upon f, always noble and loyal, even Avith their enemies, v/ill not take the first step in the path of violences, reprehensible even in case of war; will avoid all species of crimes Avhose sole result would be to ni;ike more difficult, if not inipo;-,jible, ihe arrangement of the pending interna- 164 THE PRESENT CONDITION OF MEXICO. tional questions. I avail myself of this opportunity to offer t,o you the assu- rances of my consideration, JUAN GUTIERREZ DE RUBALCARA. The Governor of the State of Vera Cruz, (^c, ^. Washington, January 24, 1862. True copy. ROMERO. No. 2. [Translation.] MEXICAN EEPUBLIC, GOVERNMENT OP THE FREE AND SOVEREIGN STATE OP VERA CRUZ. Vera Cruz, December 15, 1861. Sir : I am in possession of the commimication which was delivered to me by your commissioners at 1 p. m. on the 14th instant, and beg to inform you that while I have made myself acquainted with its contents, and forwarded a copy to the commander-in-chief of the eastern forces, I have sent the same by express to the chief magistrate of the nation. As you inform me that it is your deter- mination, after the expiration of twenty -four hours, to attack this city and the fort of Ulloa, and that in demanding their surrender, in virtue of your mission, you are merely desirous of holding them as hostages, I shall retire with the government under my charge to an adjacent point, not only with a view to pre- serving order, but to transmit to you the reply of my government, on which I depend. The recommendation which you have made relative to the respect due to for- eigners was unnecessary, as in this republic those belonging to other nations are so much respected and enjoy so many advantages that I can assure you the condition of a Mexican citizen is disadvantageous as compared with that of a foreigner. As a proof of what I state, I may cite the testimony of many honor- able foreigners who live amongst us, and, above all, the conduct observed by the Mexicans under present circumstances. The news of the war which Spain has brought upon Mexico has for some days been known among us ; and notwithstanding this, and the indignation excited by the injurious articles contained in several of the newspapers of the peninsula, the Spaniards have been respected, and not only have they not in any way been injured, but they have not even in the slightest degree been insulted. Badly disposed persons, and perhaps even degenerate Mexicans, have given sinister information to European governments ; but the truth is what I have stated, and the time may perhaps come when you will see this and judge for yourself. Whatever may be the lot that awaits this city, I have to inform you that, by order of the federal government, the town council will remain, with a force of police and some neutral foreigners — the latter armed, at my request, with the sole object of preserving order up to the last moment. As the object of the above-named corj)oration and the forces belonging thereto is merely as indicated above, I trust in your gentlemanly character and the good discipline of your subordinates to respect the said body and the above-mentioned forces. In conclusion, I have to inform you that it is much to be regretted that THE PRESENT CONDITION OF MEXICO. 165 nations wlio, on account of their origin and identity, as well in language as in customs, ought to remain united and on intimate terms of friendship, should to-daj, for groundless reasons, in my opinion, find themselves on the point of opposing each other, and commencing a struggle the end of which cannot well be seen. I avail myself of this opportunity to offer you my most distinguished con- sideration. Liberty and reform. IGNACIO DE LA LLAVE. The Commander of Tier Catholic Majesty's forces in the Gulf of Mexico. Washington, January 24, 1862. True copy. ROMEEO. No. 3. [Translation.] SECRETART OF STATE AND DEPARTMENT OF FOREIGN AFFAIRS AND GOV- ERNMENT. Mexico, December 17, 1861. The citizen president, to whom I have given account of the communication directed to you by the commander of the Spanish naval forces, and of that which you sent to that chief in reply, has ordered me to say to you to follow punctually the instructions which have been given by him beforehand for the case, which has now arrived, of the open commencement of hostilities on the part of the subjects of Spain, and that it is to be now left to the military action of General Uraga, who commands in chief the Mexican army, to proceed in his sphere in conformity with the provisions that have been made. Far will it be from the government of the republic to direct itself to a chief who, throwing aside all the formalities of the rights of peoples, commences by demanding the delivery of a city. The cry of war that the whole nation has spontaneously uttered marks out to the government the path which it should follow ; and it will not be the citizen president who will recede before a foreign invasion, and with all the more reason when in this case Mexico does no more than repel force by force, using its most unquestionable natural right. I enclose to you, by superior order, a copy of the decree and circular which have to-day been remitted by extraordinary express to the governors of the States, recommending to you to second, with all the energy and activity demanded by the circumstances, the plans of the government, by the faithful execution of which the president does not doubt the invasion which threatens to destroy our liberties and our independence will be effectually repelled. Liberty and refoim. DOBLADO. The citizen Governor of the State of Vera Cruz. Washington, January 24, 1862. True copy. ROMERO. 166 THE PEESENT CONDITION OF MEXICO. No. 4. [Translation.] SECRETAKY OF STATE AND DEPARTMENT OF FOREIGN RELATIONS AND OF GOVERNMENT. Mexico, December 17, 1861. By order of the citizen president, I have the satisfaction of remitting to you copies of the communications exchanged between the commander of the Spanish forces at Vera Cruz and the citizen governor of that State, as well as of the decree and manifesto which the supreme magistrate has thought proper to-day to issue, in order that the States should arouse to the defence of our independ- ence. After having exhausted all means of a pacific settlement between Spain and Mexico, the government of the republic, strong in the consciousness of right, and feeling all the impulse of the popular opinion pronounced for war, accepts that which has been initiated by the Spanish forces in a mode so unheard of, because its right is unquestionable to repel force by force ; and it protests before the civilized world that the responsibility of all succeeding acts will fall solely upon the government of the Queen of Spain, who so inconsiderately has espoused the unjust charges with which the enemies of the liberty of Mexico have sought to speculate. Notwithstanding oin- intestine divisions, the sentiment of independence and the hatred of the ancient rulers of our county, is still preserved alive, although the latter is lessened by the effect of education and the civilization of the age. The citizen president, in raising aloft the flag of Mexican nationality, does no more than follow the torrent of public opinion ; and he has the pleasvire of seeing grouped around him, on the day of national conflict, the greater part of those Mexicans who, from differences of political opinions, remained disunited, who have now abandoned their revolutionary flags at the first call of the country. Although the government has the full right to expel from the territory of the republic all Spaniards resident within it, it has refrained from doing so for the present, because it believes that acknowledging the generosity with which they are treated they will strictly observe that neutrality which their position requires. The president has thus given another proof of the consideration which he has always exercised in the conduct of his foreign relations, proving by indisputable acts that it is not his fault that those relations should have reached the unfortu- nate state in which they are now found. The president, therefore, hopes that giving prompt and exact compliance to the decree of which mention was made at the beginning of this circular, you will place in march within the shortest possible time the contingent of anned force which is therein assigned, and that you will, beside, make use of all the ofiicial means within your power, as governor, to place the State Avhich is under your worthy command in the attitude of preparation which is demanded by the nature of the circumstances, exciting by every means in your power the patriot- ism of all of its inhabitants that they join for the common defence; and if the unfortunate case arrives that the enemy penetrates into the interior, that all the inhabitants of the country rise en masse, and oppose with their swords and their constancy an impregnable wall to the presumption of our invaders. Be the memory of Hidalgo, and of Morales, and of Guerrero, the model of the Mexicans, and the standard borne aloft in the ranks of our army in the hour of the combat. Long live our independence ! Long live the republic, liberty and reform. DOBLADO. The citizen Governor of the State of . Washington, January 24, 1862. Ti-ue copy. ROMEEO THE PEESENT CONDITION OF MEXICO. 167 No. 5. [Translation.] The constitutional president of tlie tlie folio wing decree: republic has been pleased to direct to me Benito Juarez, constitutional president of the Mexican republic, to the inhab- itants of the same maketh known : That Spanif^h forces having occupied the port of Vera Cruz, and by the same act hostilities having been opened between the republic and Spain, in use of the ample faculties with which I am invested, I have thought proper to decree the following : Article 1. The port of Vera Cruz is closed from the 14th instant to the foreign and coasting trade. Art. 2. AU Mexicans who shall join the S|Janiards with arms in their hands, or that in whatsoever manner shall favor their cause, are herebj declared traitors to their country, and shall be punished as such. Art. 3. The time conceded to the reactionists by the law of amnesty of the 2d of the present month to take advantage of the indulgence offered by the government is extended for fifteen days more, and is made applicable to all Mexicans except those who, in the judgment of the government, are not open to receive it, to which end an examination shall be made in each particular case. Art. 4. The governors of the States are authorized to dispose of the revenues belonging to the general government within their respective States, to the end that with the utmost possible expedition may be put in march the contingent of armed force assigned in this decree. Art. 5. The contingent of the States is that which follows : States. No. of men. States. No. of men. Federal district 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 2,000 2,000 2,000 2,000 Guerrero 2, 000 Oaxaca Yucatan 2, 000 Guanajuato Tabasco 2, 000 Jalisco Aguas Calientes Queretario 1, 000 Zacatecas 1, 000 San Luis Potosi Colima 1, 000 Mexico Chiapas 1, 000 Michoacan Tlaxcala 1, 000 Puebla Baia California. 1, 000 Vera Cruz Sonora ... 1, 000 Nuevo Leon y Ooahuila . . Sinaloa 1,000 Total Dui'ango 52, 000 Chihuahua Art. 6. In addition to the placing of the contingent designated in the pre- ceding article at the point which will be opportunely designated by the govern- ment, tlie governors wi)l place under arms all the national guard Avhich they have disposable, providing such extraordinary measures as in their judgment may be necessary for the procuring of the resources required for the maintenance of such forces. Art. 7. The Spanish residents in the country will continue to live under the pro- tection of the laws, and will only be punished in conformity with the same when, abusing the generosity of the government, they shall afford aid to the invader. 168 THE PEESENT CONDITION OF MEXICO. Wherefore, I order that it be printed, published, cii-culated, and that it be duly complied with. Dated in the national palace of Mexico, the 17th of December, 1861. BENITO JUAKEZ. The citizen Manuel Doblado, Minister of Foreign Relations and of Government. And I communicate it to you for your compliance and the consequent ends. God and liberty! Mexico, December 17, 1861. DOBLADO. The citizen Governor of the State of . Washington, January 24, 1862. True copy. KOMERO. No. 6. [Manifesto of President Juarez. — See enclosure in Mr. Corwin's despatch No. 11, of December 24, 1861, page 44 of this document.] No. 7. [Translation. ] The constitutional president of the republic has been pleased to send tome the decree which follows : The citizen Benito Juarez, constitutional president of the United Mexican States, to their inhabitants : Know ye that the sovereign congress of the union has judged proper to decree as follows : Article 1. The provisions of the law of the 17th July of the present year, which relate to the diplomatic conventions and the debt contracted in London, are abolished. Article 2. The government will immediately put in course of payment the respective assignments, in conformity with the provisions and regulations ante- rior to said law. Article 3. The government wUl at once send to congress notice of the amounts subsisting at the time of the passage of the law, and of what has been re- ceived since, pertaining to those assignments, initiating the laws which it may deem necessary to make good such amounts to the creditors under the conven- tions and of the debt contracted in London, and to supply the treasury with the amount that may be wanted for this purpose. Given in the chamber of sessions of the congress of the union in Mexico the 23d of November, 1861. MANUEL DUBLAN, Delegate, President. JUAN N. GUZMAN, Delegate, Secretary. ANSELMO CANO, Delegate, Secretary. Palace of the Federal Government in Mexico, November 26, 1861. Therefore, I order that this be printed, published, and circulated, and be duly executed. BENITO JUAREZ. THE PEESENT CONDITION OF MEXICO. 169 Mexico, November 26, 1861. And I enclose it to you for your directions and due consequences. God, liberty, and reform. GONZALES. To Citizen Jose Gonzales Echeverrias, Minister of Finance and Puhlic Credit. No. 8. [Translation.] Speech of the president of the republic at the closing of the sessions of con- gress, December 15, 1861. Citizen Deputies : You are about to suspend your legislative functions in tbe midst of the most difficult circumstances whicb have surrounded Mexico since lier independence. Your final resolutions have risen, however, to the grave necessities of the moment, since on retiring you have conceded to the executive all the faculties which are necessary to confront the perils which threaten us. • The government, which sees in these extraordinary faculties an immense in- crease of responsibility, and which will exercise them only in the name of the national representation, without other title than the imperious emergency of the circumstances, nor other object than the salvation of the republic, feels equal timidity in accepting them, and desires to return them to the sovereign power from whence they are derived. The supreme emergency of the present moment does not weaken the hope which the government has manifested on another occasion, and which it still en- tertains, of averting the perils which threaten our nationality, and of re-estab- lishing peace under the protection of law and of liberty. In this work, so difficult, the government has as guarantees of its success the patriotism of the Mexicans and the spirit of reason and of equity, which must prevail among the other nations. The Mexican government remains faithful to its sentiments of peace and of good feeling toward other people, and of loyalty and moderation toward their representatives, and it hopes to be able to procure that the European governments, whose judg-ment has been deceived by the ene- mies of our liberty, with reference to the situation of the republic, will come to see in what they allege as injuries only one of the inevitable consequences of a revolution highly humanitarian in its character, which the country com- menced eight years ago, and which has already begun to realize its promises, not only to Mexicans, but also for foreigners themselves. These can easily comprehend that a revolution of reform, which in its pro- gress has wounded more or less, though occasionally, some interests, will, in the end, place upon a solid basis all that is most desirable in point of moral and ma- terial order, for the benefit of all the inhabitants of the nation, and they will acknowledge that it has already substituted religious liberty, freedom of com- merce, and fraternity with the emigrants from other countries, for the system of suspicion and of exclusiveness which, until recently, has dominated the interior and foreign policy of the republic. Other people cannot overlook, except momentarily, the interest which they have in aiding us with their sympathy in consolidating a revolution, the fruits of which they will enjoy as well as ourselves. For this it is tliat the government hopes, in the war with which the republi*. is threatened, that the voice of reason, of justice, and of equity, will still be heard, and that rather than by the power of arms, the peril will be allayed by a iust and equitable arrangement, compatible with the honor and the dignity of 170 THE PEESENT CONDITION OF MEXICO. tlie nation. Bnt if it shall not be so, if it results that our hopes are frustrated the government Avill employ all the energy which love of country and a con- sciousness of right can inspire, to stimulate the people to defend their revolu- tion and their independence, having, as the guarantees of our success, the jus- tice of our cause and the patriotism which, among all the citizens of the republic, has been aroused by the sole announcement that the independence of our coun- try might be in peril. The government will do its duty, and if, as it does not doubt, Mexico, by a supreme effort of her sons, is preserved through a foreign war, and has the hap- piness to see peace again re-established, congress, at its next session, will come together to take advantage of this position, and by dictating wise laws will con- solidate, and finally establish, our independence, liberty, and reform. Washington, January 24, 1862. True copy. EOMEEO. No. 9. [Translation.] Reply of the president of congress. Citizen President : Progress is a law of humanity ; but this, to develop itself, has required among all people these terrible crises which are called revo- lutions. History teaches us that all nations, to reach reform and true civiliza- tion, have had to pass through terrible proofs and to suffer unhappy sacrifices, and it has been often seen that the most powerful peoples have touched upon the border of ruin, but have saved themselves, notwithstanding, by the faith and by the union of their sons. Mexico passes at this moment through one of these difficult situations, because the upturning which it has been necessary to have felt throughout its society to establish the reform and secure the regeneration of the country, has given rise to immense difficulties, as well in the interior as in the exterior relations of the republic. The congress of the union has comprehended this state of things, and its labors have demonstrated that its attention has been divided between -the civil struggle which has devoured us and the foreign war which threatens us, and it has issued laws which tend to terminate in so far as possible the fonner, and which will impede or prepare the nation for the latter. A law has been passed protecting the citizens in the enjoyment of the guar- antees conceded to them by the fundamental code. This law, the fruit of long discussions, is, so to speak, the complement of the constitution, which assures the rights of the man and of the citizen, and opens the tribunal to the complaints of those who shall feel injured in their rights by any of the authorities of the federation or of the States. Without this law these guarantees Avould not really exfst, but only be promised, because there existed neither the mode nor the tri- bunal which should repair in private cases the abuse of power to the prejudice of the individual, which latter only saw a remote and improbable indemnification for injuries occasioned by the agent of powers which had no judge. Postal and extradition treaties celebrated with the United States have been ratified. Eespecting the principles which for a long time have constituted a phase of the civilization of Mexico, it has been expressly stipulated that neither those responsible for political offences, nor slaves, shall ever be the object of extradition. Thus, by an international compact with the United States will remain sanctioned forever the liberty of the slave by the fact of touching the THE PEESENT CONDITION OF MEXICO. 171 Mexican ten-itoiy, and forgetfnlness for tliose who, for political errors, shall fly to the neighboring nation, pursued hj the remorse of having co-operated toward the misfortunes of their country. At the preceding period of sessions, and by the initiation of the executive, congress decreed the law of 17th July, which, among other provisions, suspended the payment of the diplomatic conventions. The members of the cabinet hoped, and thus intimated to the house, that this law would not produce any conflict with those powers whose payments were to be suspended ; and as much for this reason as from the right of self-preservation — for that period was a terrible one for the country — the suspension of all payments for two years was decreed, in- cluding those of the conventions. But our diplomatic relations suffered from this law, which was resented by them, and the executive presented to the house, as a solution of the difficulties with England, the treaty arranged ' between the goverumcnt of Mexico and the minister plenipotentiary of her Britannic Majesty. The stipulations of this treaty appeared to the house injurious to the nation, in that it recognized and covered Avith the British flag, besides the English con- vention, the debt contracted in London in 1823, and the payment of the sum taken by the so-called government of Miramon from the house No. 1, Oalle de Capuchinas. For the payment of all these credits a very large part of the revenues of its custom-houses was to be sacrificed, and at the same time the tariff of duties low- ^ed and all existing prohibitions removed. The question as to figures, however, would have been nothing, notwith- standing its great importance, if this treaty had not also contained stipula- tions humiliating to the dignity of the republic. The national bonds which were to be emitted in virtue of this treaty were required, for their validity, to bear at the side of the signature of our minister of treasury the signature of the agent of our creditors. By such condition the paper which v/as to be emitted, as it was to be received on account of duties, would have a real monetary repre- sentation, and be without value if it lacked the signature of the agent of the creditors. No nation of the world would have accepted such a humiliation, and Ivlexico consenting to it would, so to speak, have consented to stamp its money with the arms of Eugland. The administrators and employers were also to be subject to an affective tutelage, exercised by the consular agents and by the attorneys or agents of the English creditors, who could ask for their revision all the books and documents of the custom-houses. The congress saw, in all this, intervention; it saw, in all, reproach and dis- honor for the republic. The sovereignty of a nation cannot be preserved from the moment that it has not an absolute independence in the most unimportant of its acts, because, although the individual in society may be free and yet de- pend upon an authority and have a judge, a nation can depend upon no one, and can have no other judge of its action; but Providence. Congress, at the same time, desires peace ; it desires it in the name of the republic ; it desires it at all costs and with whatever sacrifice ; but never at the sacrifice of the national honor, nor of the sovereignty and independence of j\Iex- ico. The honor of Mexico Avas compromised in a shameful manner in this treaty, and congress rejected it witliout hesitation. But, as a proof of the morality of the nation always desirous of complying with its compromises, and that it was not interest which movcjd the national representation to reject the treaty, the law of the 17th of July which suspended the payment of the diplomatic conventions was repealed in this part on the day following the rejection of the treaty, and provision made for the payuKsnt of the dividends whicli would have been satisfied during the time for which the sus- pension had continued under the law. 172 THE PEESENT CONDITION OF MEXICO. War, liowever, appeaa-s certain ; Spain liastened with a squadron, tlie minister of tlie Emperor of the Frencli asks Lis passports and retires ; and the threat of a league between France, Spain, and Enghxnd against Mexico is presented in the horizon as a tempest. In these solemn moments the house believed that it was necessary that the republic should prepare for the combat ; Mexico is not a feeble and infirm nation, as it has been sought to paint her in the eyes of European nations ; and if the bloody struggles of long civil war have deprived her of part of her strength, the union of all her sons will present her again powerful. Born of this conviction, the law of amnesty comes to procure the union of all Mexicans, with forgetful- ness for all political offences. The defence of the country is the glorious opportunity which Providence has prepared for those who were still combatting with arms in the hand against the legitimately constituted government to cease this useless strife and come to group themselves for the commencement of a national struggle at the side of the flag which our fathers left to us in giving us independence. Mexico has had political parties whose profound divisions have enveloped the republic in blood ; but Mexico has not had, nor will there ever be found, traitors who will join the ranks of the enemies of the country. By a decree congress, before closing its session, has avithorized the executive in the most ample manner to dictate all measures that it may deem necessary, under the present circumstances, to confront the situation, saving only the national independence and integrity of territory, and the principles of the con- stitution and of the reform. By this the greatest proof of confidence which a legislative assembly of the country has ever given to the depository of the executive power, the congress confides to this power the salvation of the republic, because it is convinced that in moments so supreme, energy and efficiency depend almost always upon unity of action ; and this idea is found also in our fundamental code, in the part which authorizes congress to concede to the executive extraordinary faculties. Incalculable is the weight which will rest upon the shoulders of the executive ; terrible is the responsibility which, from this day forward, he is about to assume upon himself alone ; but, also, immense are the resources which are placed at his disposal, and unlimited the facilities which have been given to him. The sole consideration of the necessity of saving the country decided congress to take this step. Upon the executive it now depends, and upon no other, to save the republic, or precipitate it in the abyss. The national assembly suspends to-day its legislative labors ; but it will re- main always on the watch, as the sentinel of the public liberties, and ready to return to meet again at the moment when its presence shall be in any manner necessary for the good of the country. It will then receive from the executive an account of this power which to-day it delivers into its hands with so blind a confidence. If the foreign qixestion is not settled pacifically ; if a scene of war is to be spread out over our country we will enter into the combat, and the justice of our cause and the love of our country will present more or less near, but always true and beautiful, a future for Mexico. God preserve the republic. Washington, January 24, 1862. True copy. KOMERO THE PRESENT CONDITION OF MEXICO. 173 Mr. Romero to Mr. Seward. Mexican Legation in the United States of America, Washington, February 16, 1862. Mr. Secretary : Recentlj I have received tliree important dociTments which confirm the fears which I have made known to you through various notes and in various interviews with respect to the real designs of the powers who signed the treaty of London. The first of these documents contains the instructions which the minister of foreign affairs of France gave to Rear Admiral Jurien de la Graviere, on the 11th of November last, a short time prior to the departure of the French con- tingent for the Mexican waters, and which have been recently published among the documents transmitted to the legislative body by the government of the Emperor. In these instructions, which were written almost at the same time that the treaty of Loudon was being ratified in Paris, the latter was found to be insufiicient ; and in order to remedy this defect, express authority is granted to the commander of the French forces, when the coasts of Mexico shall have been occupied, to penetrate into the interior of the country and proceed to the capital of the republic. Mr. de Thouvenel furthermore takes upon himself to examine a hypothesis which presents itself to his foresight. "It may happen," he says, " tlaat the presence of the allied forces upon the territory of Mexico may determine the sane portion of the people who is tired of the anarchy, anx- ious for order and repose, to make an effort to constitute in the country a gov- ernment which may present the guarantees of strength and stability which have been wanting to all those which have succeeded each other in it since its inde- pendence." Mr. de Thouvenel speaks of the interest Avhich the allies have in carrying out the change which he has had the shrewdness to foresee, and contiiuies by sa}dug : "This interest must induce them not to discourage the attempts of the nature which have just been indicated, and you (Rear Admiral de la Graviere) should not refuse them your encouragement and your moral support, if, from the standing of the men who should initiate them, and from the sympathy they should meet with among the mass of the people, they should offer chances of success for the establishment of a state of affairs of such a nature as to insure to the interests of foreign residents the protection and the guarantees of which they have been deprived up to this time." These instructions are so explicit that it is entirely useless to add a single word more to arrive at the purpose with which they have been dictated, and the end to which they tend. Can there be conceived a more direct appeal to rebellion? The second document is a proclamation which Rear Admiral de la Gra^dere, is- sued in compliance with said instructions, on the 23d of November last, at the bay of Teneriffe, and the third a manifesto signed at Vera Cruz on the 10th of January last past by the plenipotentiaries of the allied powers and the chiefs of the naval forces. In the latter we are assured that the allies have gone to that country in order to assist the Mexican people to establish a good government, and in the foiiner enough is said to learn the wishes of France with regard to the said republic. I have the honor to transmit you a copy of each of the documents referred to in this note, in case they should not previously, through another channel, have come to the knowledge of the government of the United States. I avail myself with pleasure of this opportunity to renew to you, sir, the as- surances of my very distinguished consideration. M. ROMERO Hon. William H. Seward, ^t., <^., i^c. 174 THE PRESENT CONDITION OF MEXICO. Mr. Tliouvenel to Rear Admiral la Graviere. [Translation ] Paris, November 11, 1861. Admiral: The Emperor having called you to the command of the military- forces which will be employed in obtaining from Mexico* reparation for all our grievances, I have to make known to yon in what manner you will have to act to fulfil his instructions. The expedition which you are charged to direct has for its object to compel Mexico to perfonn obligations already solemnly entered into, and to give us guarantees of protection more efficacious for the persons and jDroperty of our citizens. The circumstances which have led us to resort to measures of coercion to attain this double object, imposed at the same time upon Great Britain and Spain to seek, through the use of rigorous measures, the satisfaction which grievances similar to our own demanded. It was natural that in this situation the three governments should think of combining their action against Mexico; and the understanding which was readily established between them upon this subject has resulted in the conclusion of a convention, signed at London on the 31st of October, and of which I have the honor to communicate to you the text herewith, in order that you may be guided in your conduct by the spirit of its several provisions. The three governments pledge themselves, as you w^[\ see, to prosecute in common and to the same ends the operations which it may be expedient to carry into effect. You will, therefore, have to concert them with the commanders-in-chief of the forces Avhich Great Britain and Spain intend shall take part in them. It is from the co-operation of these several forces united that the three powers expect the result which they have deemed indispensable to prosecute in common. They have, moreover, provided for, without deferring on that account to act immediately, the eventual co-operation of the United States, to whom information of the convention of London will be giveai, with an invitation to accede thereto. It belongs to the Secretary of the navy to furnish you with the military instructions which his department is alone competent to address to you ; I shall confine myself to saying to you that the intention of the allied powers is, as indicated by the convention of the 31st of October, that the combined forces proceed to the immediate occupation of the ports situated upon the Gulf of Mexico, after having simply summoned the local authorities to make sin-render thereof to them. The ports are to remain in their hands until the complete settlement of the difficulties to be solved, and the collection of custom dues will there be made in the name of the three powers, under the supervision of deputies appointed for that purpose. This measure Avill result in guaranteeing to us the payment of the sums and the several indemnities v\'hich are from this time, or which might subsequently be, carried to the account of Mexico as a claim of indemnity for the war; the question of the claims which each one of the allied governments will have to present requiring besides a special examination, there will be, by the terms of the convention, instituted a commission, to which will be specially assigned the duty of deciding with reference thereto, as also that of considering the mode of settlement AAdiich will best protect the respective interests. The government of her Britannic Majesty having appointed Sir Charles Wyke, the Queen's minister to Mexico, as a mem- ber of this commission, the government of the Emperor has likewise made choice, there to sit in his name, of its representative in Mexico, Mr. Dubois de Saligny. The character Math which these two agents are clothed, not less than the practical knowledge they possess of the affiiirs of Mexico, naturally calls them to take part in the negotiations which must precede the re- establishment of regular relations. They will have to consult s^jecially with, and also the com- THE PEESENT CONDITION OF MEXICO. 175 missioner designated Iby Spain, tlie commanders-in-cMef of the allied forces, in order to draw np, after taking possession of the ports on the coast, the full state- ment of the conditions to which the Mexican government w^ill be required to give its assent. In order to enable you to follow up all the negotiations and to sign all the acts and conventions to occur, I have the honor to send you here- with the full powers, in virtue of which his Majesty has appointed you his plenipotentiary, with the same title as Mr. Dubois de Saligny. It is besides Avell ixnderstood that full liberty is assured you as to all that relates to military operations, the movements of trooj)s, the occasion and means of occupying such or such points of the Mexican territory ; all these questions are specially left to your appreciation as well as to your initiation, and reserved for your sole decision. The combined forces of the three powers having arrived upon the eastern shores of Mexico, you will have, as I have said, to demand the surrender into your hands of the ports on that coast. As a consequence of this step, tv/o alternatives may occur : either resistance will be made to your summons, and then you will only have to arrange without delay with the allied commanders for the seizure by main force of these ports, or else the local authorities will decline to offer you a material resistance, but the Mexican government will refuse to enter into relations with you. The last news which have reached me from Mexico, and which announced the probable disannament of the ports of Vera Cruz, would seem to cause us to foresee that such would in fact be the plan adopted by President Juarez. By reviving a tactic already employed by one of -his predecessors in the war with the United States, he would, if necessary, retire into the interior of the country. The allied powers could not afford to let themselves be kept in check by such an expedient; neither could they continue to occupy indefinitely points of the coast if this occupation were not to furnish them a means of direct and immediate action upon the Mexican government. The interest of our dignity and considerations derived from the climacteric ch'- cumstances of the coast unite in demanding a prompt and decisive result. It is principally in view of this contingency that a body of disembarking troops is placed at your disposal, Avhich, joined to the other military contingents, will give to the allies the means of extending the circle of their action. The govern- ment of the Emperor admits that, either to reach the Mexican government or to make more effectual the coercion upon it by the taking possession of its ports, you may find yourself under the necessity of combining a march into the interior of the country, which would lead, if necessary, the allied forces to the City of Mexico itself. I need scarcely add that another reason might determine you to do so ; this would be the necessity of providing for the security of our citizens in case it should be threatened at any point whatever of the Mexican ten-itory which could reasonably be reached. The allied powers do not propose to themselves, I have said to you, any other object than that which is indicated in the convention ; they forbid each other from intervening in the internal affairs of the country, and especially from exer- cising any pressure upon the wishes of the people as to the choice of their government. There are, however, certain hypotheses which present themselves to our foresight, an^l which it was our duty to examine. It might happen that the presence of the allied forces upon the soil of Mexico might induce the sane portion of the people, tired of anarchy, anxious for order and repose, to attempt an effin-t to constitute in the country a government presenting tlie guarantees of strength and stability which have been wanting to all those which have succeeded each other since the emancipation. The allied powers have a common interest and too manifest to see Mexico emerge from the state of social dissolu- tion in which it is plunged, which paralyzes every development of its prosjierity, sets aside for itself and for the rest of the world all the riches Avith which Provi- dence has endowed a favored soil, and compels them to resort periodically to 176 THE PEESENT CONDITION OF MEXICO. expensive expeditions to remind ephemeral and senseless powers of the duties of governments. This interest must induce them not to discourage the attempts of the nature of those which I have just indicated to you, and you shovild not refuse them your encouragements and your moral support if, from the standing of the men who should initiate them, and from the sympathy they should meet with among the mass of the people, they should offer chances of success for the establishment of a state of affairs of such a nature as to insure to the interests of the foreign residents the protection and the guarantees of which they have been deprived up to this time. The government of the Emperor relies upon your prudence and your judgment to appreciate, in conjunction with the com- missioner of his Majesty, whose knowledge acquired by his residence in Mexico will be valuable to you, the events which may develop themselves under your eyes, and to determine the extent to which you may be called upon to take part therein. THOUVENEL. Rear Admiral la Graviere to Ms forces, [Translation.] On board the Massina, • Teneriffe Bay, November 23, 1861. Seamen and Soldiers : We are going to Mexico. We have not only to seek there — as the gallant squadron of which many among you formed a part — the reparation of numerous and recent grievances ; we shall have above all to demand, for the honor of our flag, for the security of our commerce, for the existence of our fellow-countrymen, guarantees more positive than those which are offered to us to-day. We bear no animosity against the Mexican people. We know what we should expect from that noble and generous race, if it could put an end to its everlasting dissensions ; but governments powerless to maintain internal peace will ever badly protect, whatever may be their flag, the security of foreigners. Our real enemy in Mexico is not this or that political faction — it is anarchy ; anarchy is an enemy with which it is useless to treat. Seamen and soldiers : In the new campaign which you are to undertake, you have as witness to your good right the sympathetic opinion of your country, the co-operation or the assent of the civilized world ; you will soon have, in Mexico itself, the wishes of all good men. Understand, therefore, the duties which this situation imposes uj)on jow. Give to the people the example of order and discipline ; teach them to honor the name of our glorious country, to envy the prosperity and the peace which we enjoy, and you may then repeat with just pride the words which were addressed to you some months since by our Emj)eror : " Wheresoever the flag of France shows itself, a just cause precedes it, a great people follows it." JURIEN DE LA GRAVIERE, Rear Admiral, commanding the French expeditionary forces in the Gulf of Mexico. THE PKESENT CONDITION OF MEXICO 177 proclamation of the allies to the Mexicans. Vera Cruz, January 10, 1862. Mexicans : The representatives of England, France, and Spain fulfil a sacred duty in giving you to understand their intentions from the moment that they trod the ground of your republic. The faith of the treaties broken by the various governments which have succeeded each other among you, and the indi- vidual security of our citizens, continually menaced, have made necessaiy and indispensable this expedition. They deceive you who would make you believe that behind our pretensions, as just as the}^ are legitimate, come enveloped plans of conquest and restorations, and of interfering in your politics and government. Three nations who accepted in good faith and acknowledged your independ- ence have the right to expect you to believe them animated by no cowardly intentions, but rather by others more noble, elevated, and generous. The three nations that we come representing, and whose first interest appears to be satisfaction of grievances inflicted upon them, have a higher interest, and one of more general and beneficial consequences ; they come to extend the hand of friendship to a people to whom Providence has been prodigal of all its gifts, and which they behold with grief wasting its forces and extinguishing its vitality through the violent power of civil wars and of perpetual convulsions. This is the truth, and those charged with the expression of it do it not with the voice of war and threats, but that you yourselves shall work out your own good fortune, in which we are all concerned. To you, exclusively to you, without intervention of foreigners, belongs the task of constituting yourselves in a permanent and stable manner. Y"our labor will be the labor of regeneration, which all will respect, for all will have con- tributed to it, some with their opinions, others with enlightenment, and all and every one with their conscience. The evil is great, the remedy urgent. Now or never can you make your prosperity. Mexicans ! listen to the voice of the allied powers, anchor of salvation in the destroying tempest through which you are rushing. Deliver yourselves up to their good faith and righteous intentions. Fear nothing from restless and turbulent spirits, which, should they show them- selves, would be cowed by your firm and decided attitude. Meanwhile we shall preside over impassibly the glorious spectacle of your regeneration, guaran- teed through order and liberty. So will it be understood, we are sure, by the supreme government, to which we address ourselves ; so will it be understood by the enlightened of the country, to whom we speak ; and, as good patriots, you will all agree to the laying down of your arms and that reason alone shall be put forward, which is the power that ought to triumph in this the nineteenth century. CHARLES LENNOX WYKE. HUGH DUNLOP. ^ E. JURIEN DE LA GRAVIERE. DUBOIS DE SALIGNY. EL CONDE DE RENS. H. Ex. Doc. 100 12 178 THE PRESENT CONDITION OF MEXICO. Mr. Romero to Mr. Seward. [Translation] MEXICAN LEGATION IN THE UNITED STATES OF AMERICA. Washington, A^^ril 10, 1862. Mr. Secretary : I liave the lionor to enclose to yoii, for the information of the government of the United States, a copy of a note addressed by Seiior La Fuente, Mexican minister at Paris, to Monsieur de Thouvenel, under date of the 7th of March last, withdrawing the Mexican legation from Paris, asking his passports to leave France, and formally protesting, on behalf of the government of Mexico, against the conduct pursued by the French government in regard to that republic. This opportunity is very agreeable to me to renew to you, sir, the assurances of my most distinguished consideration. M. EOMEKO. Hon. William H. Seward, S^c., 8fc., ^-c. Paris, 3Iarck 7, 1862. Monsieur Le Ministre : It is not till after a long delay, and in consequence of the obstacles which the direct correspondence of this legation with the Mexi- can government has met with, that I have received the instnictions sought by me of the President on the subject of my rule of conduct towards the govern- ment of the Emperor. His excellency has not only approved of the act whereby I suspended diplomatic relations with the French government — rela- tions which itself had rendered impracticable — but has even acknowledged the jur-tice of my observations on the dishonor which would have accrued to the republic in maintaining in this country a legation compelled to listen in silence to insults the most atrocious and declarations the most humiliating to the gov- ernment and people of Mexico ; a legation which could effect nothing towards restoring the good understanding which had been entirely destroyed, when peace became impossible by the resolution formed to overthrow republican institu- tions in Mexico, and substitute in their stead a monarchy for the benefit of a foreign prince. Such a design was fully apparent before it had been confirmed by the ofiicial documents recently published in Paris and London. On becom- ing convinced of the truth of this rumor I should have at once have had the honor of demanding my passports of your excellency had I not been restrained from doing so by the laudable hope that my government still cherished of being able to effect a convention with Mr. de Saligny, and later by the proclamation issued by his excellency the president in consequence of the iniquitous invasion of the territory of the republic made by the Spaniards, in violation of all the rules of the law of nations. By this public act his excellency offered to accede to all reasonable propositions made by the aggressors, while he bound himself to resist by all possible means such as were unjust or humiliating to the repub- lic. This policy proved to me that, even to the last, my government left the way open to negotiations. It was not for me to close it by any act of mine. But the rule of my ofiicial conduct is now fixed, and, in conformity Avith the express orders of my government, I hereby declare to your excellency that I break up the Mexican legation in France, and the protection of the natives of Mexico is confided to the good ofiices of his excellency I\Ir. Galvez, minister of Peru at the court of the Emperor of the French. I shall, therefore, be obliged to you, Monsieur le Ministre, to furnish me with passports to quit France for THE PEESENT CONDITION OF MEXICO. 179 myself, my second secretary, Mr. Marcelino Orozco, and the members of my family. From respect to justice and the dignity of my government I have to make a few remarks concerning this determination, which has been so long justified that it may appear rather tardy than precipitated. France has deemed it right to employ force against Mexico. From this time diplomacy has nothing to do with this question. Nevertheless, if it be demanded what was the cause of the commencement of hostilities, it may be replied that the motives openly enixnciated are neither the just nor the true ones, and that beyond them must be sought the prime mover of this rupture. From the beginning M. de Saligny assigned as a motive for breaking off rela- tions with the Mexican government the law which decided to suspend for two years the payment of the foreign debt. But the Mexican government did not deny its obligations ; it only postponed the fulfilment of them under the pres- sure of an imperious necessity, acknowledged by all, even by M. de Saligny, as is proved by his despatches addressed to your excellency. It did not have re- source to the suspension of payments till all the sources, ordinary and extraor- dinary, of the public wealth were utterly exhausted ; a fact which is also clear from the above despatches. It did not come, in short, to this hard extremity till after it had offered to its foreign creditors an arrangement which these last deemed satisfactory, and which was not carried into effect for the sole reason that obstacles were interposed by M. de Saligny in the name of the French creditors ; a fact which shows that he was resolved at all hazards to keep in his own hands the power of breaking with the Mexican government. _ The abrogation of this law was the sole condition imposed by M. de Saligny for resuming diplomatic relations with the government of the republic. It was, then, necessary to proceed to such extremes, and to exercise such rigor in treat- ing with a nation ruined by civil war? What mighty interest would France have in the payment by instalments of less than two hundred thousand dollars, the amount of her acknowledged debt? Is it thus that she has acted towards other nations who are very far from finding themselves in a situation so deplo- rable as that of Mexico ? And would it not have been preferable, more in con- formity with the principles of justice and equity, to allow a little breathing to a friendly power engaged in the work of its social regeneration, and in the ex- termination of brigandage, a work of profound interest alike to natives and for- eigners ? For what purpose could it be judged right to i-ekiudle the flame of the civil war, disastrous to the commerce and interests of French subjects in Mexico, with the view of overthrowing the government, and ruining its praise- worthy imdertakings ? Such animosity, from pecunijiry motives, against an exhausted nation, has in it something so excessive, so mmsual, that one must imagine other reasons in order to justify the expedition. If any credit is to be attached to recent official reports, what was due to French subjects, and of which the payment was reserved by the law of suspension, originated in the reparation of injuries committed against their persons and interests. But no one knows better than your excellency, M. le Ministre, that our debt to France has been paid by the government of M. Juarez, even when France was acknowledging M. Miramon as president of Mexico, (a situation, perhaps, unique in history, where the title and honor of the government arc accorded to one party, while the expenses are charged on another.) You know that in the midst of a civil war kindled by the government acknowledged by France, the consti- tutional president, M. Juarez, (the head of the unacknowledged government,) has paid the French debt with a punctuality; that even this payment Avas so advanced that there wanted not more than about two hundred thousand dollars to cancel the debt, and that, consequently, the constitutional government deserved some little commendation when, yielding to an iusurmoimtable and evident ne- 180 THE PRESENT CONDITION OF MEXICO. cessity, it suspended payment for a time. And even if tliere were some griev- ances at the bottom of this debt in favor of France, it would still be undeniable, from the considerations above enumerated, that this suspension was no reason for pushing things to such extremities. But let me be allowed, also, to repre- sent to you, M. le Ministre, that the debt in question, comprising, according to conventions and posterior declarations, every kind of responsibility, even affairs of agiotage, it was neither loyal nor just to assign as a sole source of its iniqui- ties and injuries. May I be permitted, M. le Ministre, to express my astonishment at learning from you that the government of the Emperor has millions to claim from that of Mexico. But under what title ? On what proofs ? No one knows of them. No discussion can take place on this subject from want of precise data, and yet the war begins. My government denies having contracted with M. de Saligny, the verbal engagement of which that minister speaks, ou account of the forty- thousand dollars of the convention Penaud ; and this is not the first time that contradictions have arisen in the relations of M. de Saligny with the Mexican government. I should wish to suppose that M. de Saligny's prejudice against that government are not to be taken into account, and have already had the honor of pointing out to your excellency those prejudices which, if they show themselves so strongly in his correspondence with you, are brought into stiU bolder relief in his correspondence with the Mexican government. I am bound to suppose that his assertions are deemed by you worthy of credit, as are those of my government by me ; but it results from them that Mexico can no longer cultivate friendly relations with this minister, seeing that these are no longer possible when one of the two parties has brought against the other a charge of falsehood. In such a case, your excellency must know, the simple consideration due to the government of a friendly power demands the removal of tlie minister. Nevertheless, it is true that when it is desired to put an end to all friendly relations, and by a rupture and war, peaceful considerations are out of season. In these documents other motives are assigned for this war, based on the in- security of French subjects residing in Mexico, and M. de Saligny has forwarded a list of twenty -three outrages committed on their persons and property during a space of about nine months. One word on the subject of this list. The greater part of the crimes pointed out can only be imputed to reactionary bands, against whom the government are actively engaged in war. In the relation of these excesses, there is clearly wanting one essential fact, the detail of the circumstances, which might entirely alter the case. It is not known from what sources the minister derives his in- foiTuation, a fact not without importance in a question of acts committed at such great distances. There is not the slightest proof, the vaguest indications that the Mexican government has been required to afford satisfaction in cases where it was due, according to the law of nations, and it is not even pretended that it has ever refused it. There is nothing to authorize such a supposition, while the government has ever shown its disposition to do what is right in claims of this nature. In a difference so deplorable I will never weary in invoking the principles and usages which guide the international relations of all nations with regard to the crimes in question, althoiagh I may, perhaps, perceive that these usages have been cast aside in the case of Mexico. Nevertheless, it is not only a right but a duty to protest against the employment of force as a substitute for reason and justice. These last may sometimes make themselves heard even in the councils of governments who disregard them. At all events, they exalt the character of a nation which can recognize and fight for them. Thus, then, M. le Ministre, such rules and such usages being admitted, it is clear that in using its best ex. ei'tions, as the Mexican government is doing to prevent and punish such crimes^ THE PEESENT CONDITION OF MEXICO. 181 no government incurs the responsibility of tliem or loses in reputation hj tliem, nor can the weight of war be cast upon it on account of them. With what justice can a government be accused of violating the laws of humanity when the nation over which it rules, being distracted by civil war, certain misdeeds are perpetrated within its territory against the security of natives and foreigners 1 Assuredly the Italian government was not subjected to such harsh qualifications, nor to such hostile proceedings on account of the barbarous and cruel brigandage of Naples, sustained by the reactionary faction and combatted by the govern- ment, as is the case in Mexico. In France, even, where the nation enjoys pro- found peace and where the government exercises a power which enables it to act as it pleases, and with all the apropos of the moment, have we not just seen a long series of crimes brought to light, committed by a single individual for eight years 1 Furthermore, Mr. de Saligny's despatches prove that the government had provided with promptitude for the safety of the inhabitants of the capital, a subject which had before given rise to complaints. With regard to the attempt on the life of M. de Saligny, which is made to figure among the causes of the war, I have the honor to remind your excellency that the judicial inquiry, an account of which I remitted to you, fully explains the error into whiqh that minister has fallen, and shows that the fancied cries of " death " were in reality acclamations in favor of France, and in reprobation of assassins of foreigners. The groups whence these cries issued were composed of Mexicans and Frenchmen reciprocating friendly sentiments. Who could ever have imagiaed that from all this would have arisen accusations and motives of war? Really, M. le Ministre, when I call to mind the calixmnies, as atrocious as absui-d, that many journals in France, in England, and in Spain have permitted themselves to put on record against Mexicans, their society, and their government; when I see that in France, even in the high regions of power, my government is denounced as unscrupulous, and my countrymen as barbarous; when I find the good will and friendly cries of the latter towards France used against them in the bill of indictment, I cannot but entertain a conviction that national an- tipathies are to be found rather in Eui'ope than among the inhabitants of Mexico. I have two observations to make on the subject of this pretended attempt at assassination. From your despatches already published, it appears that you attach no credit to the investigation and the judicial sentence which I had the honor to communicate to you. Nevertheless, evidence taken before the tribunals is siu-ely the best mode there as elsewhere, of arriving at the truth, both in cases of this nature and of all appertaining to a criminal jurisdiction. The govern- ment could not but abide by the issue, and were bovmd to accept the verdict, which they have every reason to believe was a true one. The second remark I have to make is, that your despatches on this subject say: "Under other cncumstances we should have demanded also ajkll inquiry, and, in the event of failure, suitable reparation. In the present state of affairs, * * * # ^^g ^.^^ Q^iy ^^fi ^j^ig j-fj^f.^ fQ (jji those which impose lapon us the necessity of having recourse to the employment of harsh measures against Mexico." So, then, a matter which, according to your own confession, deserves to be inquired into — a matter, the truth of which remains to be substantiated, you do not hesitate to enumerate among the motives of your resentment and your hostilities. On this occasion, Mr. Ic Ministre, I think I give a rare instance of moderation by forbearing to comment on these words. The revolutions of Mexico are cast in the teeth of the government, Why, then, be silent about others still more disastrous and bloody ? Was it on account of the enormity of the wrongs which had given rise to them, and the greatness of the benefit produced when they were suppressed? »Now, I have the firm persuasion that few nations in the world have suffered so large an amount of 182 THE PRESENT CONDITION OF MEXICO. evils as tlie Mexican from foreign domination, and few are tlie republics that Lave had to sustain, like ours, such cruel combats on the part of the privileged classes. With our revolutions we have achieved the national independence ; the liberty of slaves ; the destruction of our clerical military oligarchy, which mul- tiplied seditions and menaced incessantly the existence of the republic ; the lib- erty of conscience; civil man-iage; the amelioration of the civil condition of foreigners, who have been placed on an equality with Mexicans; civil and po- litical liberty ; the elevation and fraternization of races which had long been kept in a state of abject degradation and even in perpetual antagonism by the Spanish government. And, since it is a question of intervention and of import- ing into Mexico a foreign monarchy, it is certainly not improper to add that we reckon among the benefits derived from our revolutions the establishment of republican institutions. Mexico loves them as dearly as France can love her emphe, and to maintain the republic we have made and are prepared to make every kind of sacrifice. Anarchy and misgovernment, such are the gratuitous charges brought against Mexico, and which serve as a theme for the expedition of the allied powers. But these recriminations refer rather to the political intervention than to the avowed motive of the triple alliance, that is to say, to the demands for repara- tion for guarantees, since this reparation and these guarantees.might be accepted by the Mexican government, and the war would then be without object. But this language is clearly used to prevent an arrangement with the Mexican gov- ernment. Indeed, Mr. the Admiral Jurien de la Graviere has affiitned, if I am rightly informed, that it is useless to treat with anarchy. Moreover, before all things, the Mexican nation has taken upon itself to reply to these charges. The war is at an end, leaving at most on the vast territory of the republic three or four reactionary bands, feeble and incessantly pursued, and not even the shadow of that great party is seen which was said to be favorable to intervention and the foreign monarchy. The States of the Mexican confederation which were described as disagreeing with the federal government furnish a contingent larger than that which was required of them; the majority of the rebel chieftains have given in then' adhesion to the government, and are soliciting for the honor of fighting against the invaders of their country. Mexico has risen like one man to defend its liberties. No, Mr. le Ministre, I repeat, none of the causes assigned either explains or justifies the violence of aggression, and even had the law for the suspension of payments, which is said to have worn out the patience of France, not been passed, Mexico would have met with no better treatment at her hands. This is not a mere supposition ; it is an incontrovertible truth, demonstrated by facts anterior and posterior to that law. That law, indeed, was not in existence when Mr. de Saligny, even before being accredited to the president, permitted himself to begin his functions by treating the Mexican nation with a contempt of which there is no example on record, and personally embarrassing the action of the local authorities, under the pretext of protecting the sisters of charity, whom no one was attacking, who are not French, and with whom the French nation has nothing to do. This law did not exist when the same minister threatened the government and nation with certain ruin, if the propositions of Monsieur Jecker were not adhered to — a stock-jobbing affair concluded between him and the so-called government of Mr. Miramon. It was then, as I have already stated to your excellency, that Mr. de Saligny wrote to the minister of foreign afiairs that knowing he was protected by France, Mr. Jecker felt that he could attempt anything. This law was not passed when your excellency, in our first interview, infonned me that your government had come to an understanding with that of England to treat Mexico with rigor; and you may remember that you assigned (in explanation of these threats and of the agreement entered into by the two states, and of that afiah of Jecker, and other THE PEESENT CONDITION OF MEXICO. 183 financial arrangements proposed by Mr. de Saligny and refused by Mexico) mo- tives "wliich assuredly have nothing in common with the law of nations and the duties of humanity, which the government of Mexico is accused of violating. This law was not then in existence, and your excellency opposed to my regular and official reception reasons which you subsequently were not able nor willing to sustain. Since the promulgation of this law your excellency has formally refused to listen to the explanations that I was desired by my government to offer to that of the Emperor, as if the moments consecrated to giving, at least, an appearance of justification and love of peace %ere to France an intolerable sacrifice of time. Since the adoption of this law the government of the United States has offered to that of the Emperor to pay the interest of the French debt of Mexico, and as that debt does not produce aay interest and was to be paid by instalments, the interest offered by the cabinet of Washington Avas a reasonable compensation for the delays in the payment of that part of the debt due, and a gratuitous benefit on what remains to be paid, but the government of the Emperor refused the arrangement. If this law were indeed the true cause of the rupture and of hostilities, why, instead of being suspended by its abrogation, were warlike preparations in- creased ? Since its abrogation an essential change has taken place in the policy of the alUed powers against the republic. Wrongs, satisfactions, and guarantees, are now secondary considerations, and the real motive is revealed. It is, in fact, a question of political intervention in Mexico, having for its object to force upon her as king a foreign prince. This revelation explains everything. The French government did not desire peace with Mexico. For a long time that govern- ment either through its head or by its agents, has not uttered a word, nor written a line about the republic, that was not inspired by anger and contempt, and this in defiance of reason and decorum. Such is the peace it left to Mexico — a miserable peace, and, whatever may be said to the contrary, it is Mexico and not France that has given reiterated proofs of an exemplery patience. The sympathies of France have for a long time been reserved for that ephemeral goveiTiment which holds sway in IMexico, which she hastened to acknowledge, and supported with efficacy, leaving, as a charge to the present government, the liabilities which, even when just, could not be imputed but to its adversaries. But for this protection the civil war in Mexico, with all its horrors, would not have been thus prolonged. Her sympathies still remain with the partisans of this faction in Mexico, as well as with its agents who come to Paris to conspire against their countiy and to press the French government to invade it, as the discontented Greeks did at Suze, and the French emigrants at Coblentz. It is evident, Mr. le Ministre, that in order to cover the political intervention and the importation of a foreign monarchy into Mexico, by means of the com- bined expedition, it is pretended that force is not to be employed, but that the wishes of the Mexicans are to be consulted and respected. A proclamation has also been issued by the allied powers, inviting the Mexicans to proceed at once to the work of their political regeneration. But even supposing this deference for public opinion to be sincere, who does not see clearly that this manifesto, emanating from the combined forces, is already the commencement of a political intervention? What has become of the respect due to the sovereignty and independence of nations, with tliis act calling in question and siibmitting to the ballot a government Avhich Mexico has chosen by the universal suffrage of her citizens 1 This illegal summons is not only an intermeddling in the affairs of a nation, but a flagrant incitement to rebellion, to which a favor, a support, is granted that does not lessen the offence from its being only of a moral character; but 1 do not hesitate to add that from assent and sympathy they must pass to the use of violence, since the march of the expedition on the capital is already 184 THE PRESENT CONDITION OF MEXICO. decided upon, and tlie ultimatum would tlius be of such nature that it could not be accepted ; besides as the chiefs of the invading forces might qualify at pleasure the national will, it would be they who would impose upon Mexico the form and constitution of the government. We saw, in 1814, the powers allied against France protesting after the inva sion, that they did not interfere in the question of the national government. Then also petitions and official deliberations appeared, which seem to be of a spontaneous character, hi favor of the Bourbons, and the allies seem to yield to public opinion; but, your excellency knows better than I, France never suffered herself to be deceived by these appearances, and for her the restoration was still the act of the foreigner. Mexico would as little be persuaded of the forbearance of the allies in any change of her government brought about those in ^e presence of the manifesta- tions of a foreign force. It was necessary to suppress history, to disregard proofs innumerable, and belie daily relations, to arrive at the conclusion that the government of Mexico is an unscrupulous govermnent, and the country " barbarous," and yet this done in some of your official documents. It was necessary ; for in what other man- ner could the enormous outrage be justified which is about to be committed upon us in open violation of the great principle of non-intervention, Avhich was re- garded as one of the most precious conquests of the new law of nations 1 This law has been violated by the commencement of hostilities and the occupation of \ era Cruz, in the name of the three powers allied against Mexico, without any demands having been made on tlie government, these being reserved for a later period. It is not possible that a cause can be just, or wear the semblance of justice, when its defenders have recourse to such means. What is the reason of these infractions and these wrongs perpetrated deliberately and without necessity ? The weakness of Mexico ? But she is not so weak as was Spain in the time of Napoleon I. Mexico may be conquered, but she cannot be sub- dued, nor will she be conquered without having given proofs of the courage and vu-tues that are denied her. Mexico, after having shaken off the monarchical dominion of Spain — a dominion secular and deeply rooted ; Mexico, who would not have even her liberator for a king ; Mexico, in short, who has just emerged victorious from a servile revolution against the remnant of an oligarchy which was weighing on her democracy, will never accept, at any price, a foreign monarchy. This monarchy it will be very difficult to create ; still more difficult to maintain. Such an enterprise will be ruinous and terrible for us, but it ivill not be less so for its promoters. Mexico is weak, without doubt, in comparison with the powers that are invading her soil, but she possesses the consciousness of her outraged rights ; the patriotism which will multiply her efforts, and the high convictions that in acquitting herself with honor in this perilous struggle, it will be given to her to preserve the beautiful continent of Christopher Co- lumbus from the cataclysm with which it is threatened. I protest aloud, Mr. le Ministre, in the name of my government, that all the evils that shall ensue from this unjustifiable war, caused either direotly or indi- rectly by the action of the troops and the agents of France, will fall exclusively on the responsibility of its government. For the rest Mexico has nothing to fear, if Providence protects the rights of a people who maintain them with dignity I have the honor, &c., DE LA FUENTE. To his Excellency Monsieur de Thouvenel, Sfc, fyc, S^-c. Washington, April 10, 1862. A true copy. EOMERO. THE PEESENT CONDITION OF MEXICO. 185 Mr. Seward to Mr. Romero. Department of State, Waski?igton, AjJril 11, 1862. _ Sir : Having completed my report to the President upon the subject of Mex- ican aflPau-s, m compliance with a resolution of the House of Representatives for mformation and correspondence, I find, upon examination of the papers, that no acknowledgment has been made of your several notes of the 30th September, 30th October, 23d and 28th November, your confidential note of the 21st December, and your subsequent official communications of 24th January and 16th February, ■^ As you were kind enough to place these notes in my hands in person, and to make them severally the subject of conversation at different times, it was not deemed necessary to make written acknowledgment of their receipt from time to time, whUst pending events seemed to promise a continuation of your valuable contributions to the history of Mexican complications I desire, now, to acknowledge my sense of the importance and interest of the documents you have laid before me, and which have gi-eatly elucidated the political embaiTassments in which your country has been involved, and in which the United States feel so serious a concern ; and I beg to assure you of my high sense of the industry, abUity, and zeal which you have displayed, not only in sustaining the mterests of your own government, but also in contributing so materially to the intelligent apprehension of those mterests by the government of the United States. I avail myself of this occasion to offer to you a renewed assurance of my hisrh consideration. '' ® ^ „ ^ ,, WILLIAM H. SEWAED. To Senor Don Matias Romero, &c., S^v., Sfc. The Ministers of Spain, France, and Great Britain to Mr. Seward. [Translation.] Washington, Novemher 30, 1861. The undersigned, envoys extraordinary and ministers plenipotentiary of their Majesties the Queen of Spain, the Emperor of the French, and the Queen of the United Kingdom of Great Britain and of Ireland, have the honor to transmit, herewith, to the honorable Secretary of State, the exact words [le texte] of a convention concluded at London on the 31st of October, between their respective sovereigns, with the view of obtaining through a common action the redress of theii- gi-ievancc3 against the republic of Mexico. As has been stipulated betAveen the high contracting parties, the imdersigned have received the order to invite the government of the United States to accede to this act; and in addressing this invitation to the honorable Secretary of State, they hasten to inform him that they are furnished with the necessary fuU powers to conclude and to sign, col- lectively or separately, with the plenipotentiary designated by the President of the United States, a similar convention. Nothing would be more agreeable to the governments of Spain, France, and Great Britain than to see tliat of the United States receive favorably their pro- position; and, requesting the honorable Secretary of State to be pleased to make known to them the decision of the President, the undersigned have the honor to tender to him the assurances of their very high consideration. GABRIEL G. TASSARA. HENRI MERCIER. LYONS. 186 THE PRESENT CONDITION OF MEXICO. [Translation.] Legation op Spain at Washington. Her Majesty the Queen of Spain, his Majesty the Emperor of the French, and her Majesty the Queen of Great Britain and Ireland, being placed by the arbi- trary and vexatious conduct of the authorities of the republic of Mexico under the necessity of exacting from those authorities a more efficient protection for the persons and property of their subjects, as well as the performance of the obligations contracted towards them by the republic of Mexico, have arranged to conclude a convention between each other for the purpose of combining their common action, and, to this eifect, they have appointed as their plenipotentiaries, to wit : her Majesty the Queen of Spain, his excellency Mr. Don Xavier de Isturiz, (here follow his titles;) his Majesty the Emperor, his excellency the Count Flahant, (here his titles;) and her Majesty the Queen of Great Britain and of Ireland, the very honorable John Earl Russell, (his titles follow;) who, after having exchanged their powers, have agreed to adopt the following articles : Article 1. Her Majesty the Queen of Spain, his Majesty the Emperor of the French, and her Majesty the Queen of Great Britain and of Ireland, bind themselves to make, immediately after the signing of the present convention, the necessary arrange- ments to send to the shores of Mexico, land and sea forces combined, the effective number of which shall be determined in a further exchange of communications between their governments, but the total of which mvist be sufficient to enable them to seize and occupy the various fortresses and military positions on the Mexican sea-coast. The commanders of the allied forces shall be, moreover, authorized to accom- plish such other operations as may on the spot be deemed most suitable for realizing the end specified in the preamble of the present convention, and especially for insuring the security of foreign residents. All the measures which are refeiTed to in this article shall be taken in the name and on account of the high contracting parties, without distinction of particular nationality of the forces employed in executing them. Article 2. The high contracting parties bind themselves not to seek for themselves, in the employment of the coercive measures foreseen by the present convention, any acquisition of territory, or any peculiar advantage, and not to exercise in the subsequent afiairs of Mexico any influence of a character to impaii* the right of the Mexican nation to choose and freely to constitute the form of its own government. Article 3. A commission composed of three commissioners, one appointed by each of the contracting powers, shall be established with full power to determine aU questions which may arise from the employment and distribution of the sums of money which shall be recovered from Mexico, havuig regard to the respective rights of the contractiag parties. Article 4. The high contracting parties desiring, moreover, that the measures which it is their intention to adopt may not have an exclusive character, and knowing THE PEESENT CONDITION OF MEXICO 187 that the government of the United States has on its part claims to enforce, like themselves, against the Mexican republic, agree that immediately after the sio-niuo- of the present convention, a copy of it shall be communicated to the government of the United States, that that government shall be invited to accede to it, and that, in anticipation of such accession, their respective ministers at Washington shall be immediately furnished with full powers to conclude and to sign, collectively or separately, with the plenipotentiary designated by the President of the United States, a similar convention, with the exception of the suppression of the present article, to those which they sign on this date. But, as the high contracting parties would expose themselves, in making any delay in carrying into effect articles one and two of the present convention, to fail in the end which they Avish to attain, they have agreed to not defer, with a view of obtaining the accession of the government of the United States, the commence- ment of the above-mentioned operations beyond the period at which their combined forces may be united in the vicinity of Vera Cruz. Article 5. The present convention shall be ratified, and the ratifications thereof shall be exchanged, at London, within the term of fifteen days. In testimony whereof, the respective plenipotentiaries have signed it and have affixed to it the seal of their arms. Done at London, in triple original, on the thirty-first day of the month of October, m the year of oiu- Lord one thousund eight hundred and sixty-one. [The seals and signatures of the three plenipotentiaries follow.] Mr. Seward to Mr. Tassara, Mr. Mercier, and Lord Lyons. Department of State, WasJiington, December 4, 1861. The undersigned, Secretary of State of the United States, has the honor to acknowledge the receipt of a note which was addressed to him on the 30th day of November last, by Mr. Gabriel G. y Tassara, minister plenipotentiary of her Majesty the Queen of Spain; Mr. Henri Mercier, minister plenipotentiary of his Majesty the Emperor of the French; and the Lord Lyons, minister plenipoten- tiary of her Majesty the Queen of the United Kingdom of Great Britain and Ireland. With that paper, the aforesaid ministers have submitted the text of a conven- tion which was concluded at London on the 31st of October last, between the sovereigns before-named, with a view of obtaining, through a common action, the redress of their grievances against the republic of Mexico. In the preamble the high contracting parties say that they have been placed, by the arbitrary and vexatious conduct of the authorities of the republic of Mexico under a necessity for exacting from those authorities a more effective protection for the persons and properties of their subjects, as well as the execu- tion of obligations contracted with them by the republic of Mexico, and have agreed to conclude a convention between themselves for the purpose of combin- ing their common action in the case. In the first article the high contracting parties bind themselves to make, immediately after the signing of the convention, the necessary arrangements to send to the shores of Mexico land and sea forces combined, the effective number of which shall be determined in a further exchange of comnumicatious between their governments, but the total of which must be sufficient to enable them to 188 THE PRESENT CONDITION OF MEXICO. seize and occupy tlie various fortresses and military positions of the Mexican sea-coasts; also that the commanders of the allied forces shall be authorized to accomplish such other operations as may, on the spot, be deemed most suitable for realizing the end specified in the preamble, and especially for insuring the safety of foreign residents; and that all the measures which are thus to be carried into effect shall be taken m the name and on account of the high con- tracting parties Avithout distinction of the particular nationality of the forces employed in executing them. In the second article, the high contracting parties bind themselves not to seek for themselves, in the employment of the coercive measures foreseen by the present convention, any acquisition of territory, or any peculiar advantage, and not to exercise in the subsequent affairs of Mexico any influence of a character to impair the right of the Mexican nation to choose and freely to constitute the form of its own government. In the third article, the high contracting parties agree that a commission com- posed of three commissioners, one appointed by each of the contracting powers, should be established, with full power to determine all questions which may arise for the employment and distribution of the sums of money which shall be recovered from Mexico, having regard to the respective rights of the contracting parties. In the fourth article, the high contracting parties expressing the desire that the measures which it is their intention to adopt, may not have an exclusive character, and recognizing the fact that the government of the United States, like themselves, has claims of its own to enforce against the Mexican republic, agree that, immediately after the signing of the present convention, a copy of it shall be communicated to the government of the United States, and that this government shall be invited to accede to it, and that in anticipation of such ac- cession, their respective ministers at Washington shall be furnished with full powers to conclude and sign, collectively or severally, with a plenipotentiary of the United States, to be designated by the President, such an instrument. But as the high contracting parties would expose themselves in making any delay in carrying into effect articles one and two of the convention to failure in the end which they wish to attain, they have agreed to not defer, with a view to obtaining the accession of the United States, the commencement of the stip- ulated operations beyond the period at which their combined forces may be united in the vicinity of Vera Cruz. The plenipotentiaries, in their note to the undersigned, invite the United States to accede to the convention. The undersigned, having submitted the sub- ject to the President, will proceed to communicate his views thereon. First. As the undersigned has heretofore had the honor to inform each of the plenipotentiaries now addressed, the President does not feel himself at lib- erty to question, and he does not question, that the sovereigns represented have undoubted right to decide for themselves the fact whether they have sustained grievances, and to resort to war against Mexico for the redress thereof, and have a right also to levy the war severally or jointly. Secondly. The United States have a deep interest which, however, they are happy to believe is an interest held by them in common with the high contract- ing powers and with all other civilized states, that neither the sovereigns by whom the convention has been concluded shall seek or obtain any acquisition of territory or any advantage peculiar to itself, and not equally left open to the United States and every other civilized state, within the territories of Mexico, and es- pecially that neither one nor all of the contracting parties shall, as a result or consequence of the hostilities to be inaugurated under convention, exercise in the subsequent affairs of Slexico any influence of a character to impair the right of the Mexican people to choose and freely to constitute the form of its own gov- ernment. The undersigned renews on this occasion the acknowledgment heretofore THE PRESENT CONDITION OF MEXICO. 189 given, that each of the high contracting parties had iufoi-med the United States substantially, that they recognized this interest, and he is authorized to express the satisfaction of the President with the terms in which that recognition is clearly embodied in the treaty itself. It is true, as the high contracting parties assume, that the United States have, on their part, claims to urge against Mexico. Upon due consideration, however, the President is of opinion that it would be inexpedient to seek satisfaction of their claims at this time through an act of accession to the convention. Among the reasons for this decision which the undersigned is authorized to assign, are, first, that the United States, so far as it is practicable, prefer to adhere to a tra- ditional policy recommended to them by the father of their country and confirmed by a happy experience, which forbids them from making alliances with foreign nations ; second, Mexico being a neighbor of the United States on this conti- nent, and possessing a system of government similar to our own in many of its important features, the United States habitually cherish a decided good will towards that republic, and a lively interest in its security, prosperity, and welfare. Animated by these sentiments, the United States do not feel inclined to resort to forcible remedies for their claims at the present moment, when the govern- ment of Mexico is deeply disturbed by factions mthin, and Avar with foreign na- tions. And, of course, the same sentiments render them still more disinclined to allied war against Mexico, than to war to be urged against her by themselves alone. . - a -l The undersigned is further authorized to state to the plenipotentiaries, tor the information of the sovereigns of Spain, France, and Great Britain, that the United States are so earnestly anxious for the safety and welfare of the republic of Mexico, that they have already empowered their minister residing there to enter into a treaty with the Mexican republic, conceding to it some material aid and advantages which it is hoped may enable that republic to satisfy the just claims and demands of the said sovereigns, and so avert the war which these sovereigns have agreed among each other to levy against Mexico. The sover- eigns need not be infoi-med that this proposal to Mexico has been made, not in hostility to them, but with a knowledge of the proceeding formally communicated to them, and with the hope that they might find, through the increased abihty of Mexico to result from the treaty, and her willingness to treat with them upon just terms, a mode of averting the hostilities which it is the object of the con- vention now under consideration to maugurate. What has thus far been done by the American mmister at Mexico, under those instructions, has not yet be- come known to this government, and the information is looked for with deep interest. Should these negotiations ofi'er any sufficient grounds on which to justify a proposition to the high contracting parties in behalf of Mexico, the undersigned ■wall hasten to submit such a proposition to those powers. But it is to be under- stood, first, that Mexico shall have acceded to such a treaty; and secondly, that it shall be acceptable to the President and Senate of the United States. In the meantime the high contracting parties are informed that the President deems it his duty to provide that a naval force should remain in the Gulf of Mexico, sufficient to look after the interests of American citizens in Mexico, during the conflict which may arise between the high contracting parties and that repub- lic; and that the American minister residing in Mexico be authorized to seek such conference in Mexico with the belligerent parties, as may guard each of them against inadvertent injury to the just rights of the United States, if any such should be endangered. The undersigned having thus submitted all the views and sentiments of this government on this importiint subject to the high contracting parties, in a spirit of peace and friendship, not only towards Mexico, but towards the high contract- ing parties themselves", feels assured that there >vill be nothing in the watchful- 190 THE PEESENT CONDITION OF MEXICO. ness ■wliicli it is thus proposed to exercise, tliat can afford any cause for anxiety to any of tlie parties in question. The undersigned has the honor to tender to the ministers of Spain, France, and Great Britain, the assurance of his very high consideration. WILLIAM H. SEWARD. Mr. Seward to Mr. Adams. No. 71] Department of State, Washington, August 24, 1861. Sir : You will receive herewith an instruction which is this day sent from this department to Thomas Corwin, esq., the minister plenipotentiary of the United States residing in Mexico. The paper sulficieiitly explains itself. You will avail yourself of an early occasion to bring the subject therein presented to the attention of the British government, and ascertain whether it will consent to forbear hostilities against Mexico, so far as they may be dependent on the fail- ure of the government of that country to pay the interest on the debts mentioned in the instruction, upon the condition and for the term therein mentioned ; and if you find a favorable disposition on the part of her Majesty's government in that respect, you may ascertain how the stipulations contemplated can be entered into, reserving the unavoidable conditions which the instruction specifies. I am, sir, respectfully, your obedient servant, WILLIAM H. SEWARD. Charles Francis Adams, Esq., S^., S^., Sfc. Mr. Adams to Mr. Seward. [Extract ] No. 44.J Legation op the United States, London, September 14, 1861. g(jj .#*»#***#* There is a great demand, on the part of some of the commercial classes, for positive action in their behalf against Mexico. The decree of the authorities of that country, suspending the payment of debts to foreigners, followed, as it has been, by the protest. and withdrawal of the representatives of France and Eng- land, is the pretext for a loud call upon the two governments for active inter- vention, involving the establishment of some pennanent system in that country by force of arms. It is proper to mention here that I have received from Mr. Corwin, at Mexico, a despatch, transmitting to me copies of all the official papers connected with the affair, and expressing great solicitude to learn the attitude about to be taken by the two great powers in consequence of it. I replied by return of mail, informing him that nothing had yet been determined on, so far as was publicly known, and expressing some doubts whether, in view of the practical obstacles in the way of a joint intervention to establish any power by common consent, more would be attempted than the customary plan of temporary occupation of THE PRESENT CONDITION OF MEXICO. 19 i some commerial ports, as security for the satisfaction of all pecuniary demands or to obtain tlie repeal of the obnoxious decree, ********* I have the honor to be, sir, your obedient servant, CHARLES FEANCIS ADAMS. Hon. William H. Seward, Secretary of State, Washington, D. C. Mr. Adams to Mr. Seward. [Extract.] Xo. 46.] Legation of the United States, London, September 19, 1861. Sir : I have the honor to acknowledge the reception of the despatch No. 71, dated the 24th of August, with its enclosure, which was announced in my No. 45, of the 14th instant, sent last week, .as having failed to come in its proper order. It is on the subject which I had already opened in my No. 44, of the 14th of this month. I applied at once to Lord Russell for an interview, in order that I might lay,the view of the government before him, but as yet I have not been favored with a reply. The reason doubtless is that his lordship remains in Scotland taking advantage of the usual vacation at this season of the year, though retaining the general direction of the business of the office here. So that all papers undergo the delay of the transmission both ways before we hear of the action at this point. The fact that a joint intervention in the domestic affairs of Mexico is contem- plated by the three powers of Spain, France, and Great Britain is now beyond a doubt. Petitions praying such action on the part of this government have been put into circulation at the stock exchange, and have been extensively signed. The cun-ent of popular opinion here, so far as it may be gathered from the newspapers, all runs the same way. Spain seems to be eager to accept the advance in the movement, encouraged by its success in the case of Dominica, and by the hope of profiting by the present difficulties in the United States. Yet, in spite of all these concurring indications, I cannot repress a doubt whether any practical result satisfactory to all three of the parties will be amved at. The establishment of a monarchy, which is the great object sought for by the commercial and religious interests in Mexico, can be sustained only with the active co-operation of a sufficient foreign military force to secure obedience. It will be productive of a great shock to the confidence of the other republican governments in America, and must inevitably press them into closer alliance. It will also be likely to draw them all into the political complications of this side of the Atlantic, by rendering counter combinations indispensible to the maintenance of a suitable balance of power. That all these possible conse- quences should have been entirely overlooked by the parties engaged in this crusade, and especially by Great Britain, which would seem to have loss interest than the other two powers in producing them, is not a little surprising. It is scarcely to be imagined that she who is arming hundreds of thousands of her population, and indefinitely expanding her naval resources from mere apprehen- sion of Avhat may be intended on the part of her neighbor, can be very de- sirous of giving her aid to fortify a combination that may ultimately be turned with cumulative force upon her own borders. Yet, in spite of all these considerations, the present indications are sufficiently alarming to render activity and vigilance eminently necessary on the part of all nations liable to be affected by this singular movement, and especially on the 192 THE PEESENT CONDITION OF MEXICO. leading republican nation of the world, tlie United States. At no time since the adoption of the Constitution does there seem to have been a greater demand upon the capacities of the country in the direction of its foreign affairs than is now springing up in the midst of its internal difficulties. It is a source of great satisfaction to me to reflect that the care of them is reposed in such good hands. I have the honor to be, sir, jour obedient servant, CHARLES FRANCIS ADAMS. , Hon. William H. Seward, Secretary of State, Washington, D. C. Mr. Seward to Adams No. 94.]. Department of State, Washington, September 24, 1861. Sir : This government has learned from information which leaves no room for doubt, that an armed movement is being prepared by the governments of Great Britain and France to proceed to Vera Cruz with a view to make de- mands of some nature upon the government of Mexico. There is also informa- tion, but not entirely reliable, that the government of Spain will join in this movement. My despatch to you of the 24th day of August last will have shown you that this government takes so deep an interest in the permanence of the Mexican republic, that it is even not unwilling to render it some extremely good offices in its present exigencies. The President desires you to inform the government of Great Britain that this government looks with deep concern to the subject of the armed movement to which I have thus directed your attention, and to ask Earl Russell for such explanations of it as her Majesty may feel at liberty to give, with a view to the satisfaction of the United States and the promotion of peace in this hemisphere. It is confidently beheved that such explanations may not be unreasonably asked her in view of the intimations we have already given to our minister in Mexico in regard to an assumption of the payment of interest on the Mexican debt due to foreign bondholders. It is perhaps necessary to say, that owing to some accidental delay, our foreign mail, which must have been sent by the Europa, has not yet been received, and therefore our infoi-mation may be deemed very incomplete. I am, sir, respectfully, your obedient servant, WILLIAM H. SEWARD. Charles Francis Adams, Esq., Sfc., Sfc., <^. Mr. Adams to Mr. Seward. [Extracts.] No. 50.] Legation of the United States, London, September 28, 1861. Sir : Scarcely had my despatch No. 46 been made up last Saturday to go to the department, when I received a note from Lord Russell in answer to my request for an interview. It was dated at Abergeldie Castle on the 19th of September, and expressed regret that he should not be able soon to be in THE PRESENT CONDITION OF MEXICO. 193 London to see me. But lie added that if I Avould come up and pay Mm a visit in Scotland in tlie early part of tlie week, lie" should be "delighted" to see me there, and to confer with me touching any subject for which I desired the con- ference. Abergeldie is in the north of Scotland, and about five hundred miles by the road from London. ****** Accordingly I left London on Monday evening, the 23d, and by dint of trav- elling all night succeeded in reaching Abergeldie at about the same hour the next evening'. It was too late for conversation with his lordship that night, but on Wednesday morning, the 25th, I was favored with abundant opportunity for full and free conversation, the substance of which I now propose to submit to your consideration. I began by saying that I had been instructed to bring to his lordship's notice a matter that had excited great uneasiness in the minds of the authorities in the United States. I referred to the condition of Mexico, and to the rumors of certain movements making on the part of some of the powers of Europe in regard to her. The reason assigned for them was the late decree of the ruling party in that country, suspending the payment of interest on the debt to for- eigners ; but the proposed action was represented as going further than the practice heretofore customary in such cases, of occupation of certain ports as temporary security, in order to bring about some satisfactory arrangement. It was generally believed that it contemplated an actual intervention in the domestic affairs of that country, and even the imposition of a government over the people by the agency of an external military force. There seemed to be reason for supposing that Spain, at least, was preparing to transport troops and to send a navy with some such object. The disposition of France looked not altogether unfavorable to the same plan, and I had noticed in the newspapers that petitions were in circulation for signatures in London, and elsewhere, praying the co-oj)e- ration of Great Britain to that end. It was this particular feature of armed intervention in the domestic affairs of Mexico that excited the alarm of my government. Had the matter been confined to a mere attempt to secure the payment of a debt, I did not know that it would have led to any extraordinary proceeding on the part of the United States. But as it looked now, it was an effort to introduce a new principle of action into American affairs. It was the inauguration of a policy on the part of some of the powers of Europe in oppo- sition to which the government of the United States had committed itself forty years ago, and Avhich that of Great Britain had not favored then nor at any time since. I said I trusted I need not enlarge on the consequences to which such a policy might lead, to the effect it would have in implicating America in all the straggles of Europe, from which it had always striven to keep aloof, and to bring on combinations not merely between the different States of North and South America, but also the formation of counter alliances by them all with tlie other States of Europe. This must be prompted by the instinct of self preservation if by nothing else. For there was no telling, if such a project Avere executed in the case of one American State, how soon it might be repeated in another. And the United States might, in their present difficulties, be made the subject of a similar experiment. For these reasons they were anxious to be prepared with some plan to remove the difficulty. To that end I had been directed to propose to her Majesty's government to postpone action for the present on her part, in order that the United States might be enabled to mature some an-angemeut with M(!xico to provide for the payment of the interest on her debt, at least for a certain period, and thus remove the immediate cause of dissatisfaction. It was proposed to guarantee this payment by treaty, on such terras as might be agreed ujion with Mexico. I had reason to believe that over- tures had already been made by the minister of the United States in that country for a negotiation on that basis, which it Avas hoped might do away with H. Ex. Doc. 100 13 194 THE PEESENT CONDITION OF MEXICO. any supposed necessity for the extraordinaiy measure presumed to be in agi- tation. His lordship heard me very patiently to the end, and then drew out of his pocket a despatch from Lord Lyons, giving a pretty exact report of the par- ticulars of the arrangement proposed by yourself in your paper of instructions to Mr. Corwin, a copy of which was furnished to me from the department. Of the conditions mentioned in it I had said nothing in my remarks, both in obedi- ence to your directions and because they did not seem to me to be essential to the argument. Neither did his lordship make any especial reference to them in his reply. The objection that he made was that the proposed aiTangement did not, by any means, meet the cause of complaint. Great Britain had much more to object to in the action of Mexico than the mere suspension of the interest on her debt. The conduct of the different parties in that country had been such as to render it difficult to keep any terms with the country at all. There was no safety to the lives or security to the property of English subjects. Some time since, when General Miramon was in power, a large sum belonging to English subjects, which had been put up to send by a conducta, had been taken by violence and divided among his adherents. No repayment had ever been made, or satisfaction given for this flagrant act of robbery, either by him or any one else, nor had the obligation of acknowledging the wrong been respected by those who came after him. The last act of suspension of the payment of interest on the debt was a wrong, but cumulative in its nature, and was not the only cause of complaint. Hence the plan of the United States, confined only to that one, did not seem quite co-extensive with the case. His lordship then proceeded to remark that there was some misconception prevailing in regard to the precise condition in which the matter stood at this moment. He read extracts from the despatches of the British envoy at Madrid, reporting a conversation on the subject with the Spanish prime minister, O'Donnell, from which it would appear that the latter had not acknowledged any specific form of action as determined upon by Spain, and had gone so far as to concede that any scheme of forcing a government upon Mexico would be " chimerical," and that all efforts to do so would be " open to grave objection." It thus appears that, as yet, there is really no agreement at all between the English and Spanish government on this subject; and yet more, that the answer of Spain, thus made, was substantially drawn out in the form of a dis- avowal of an intention imputed by Great Britain, which the latter was not disposed to countenance. Furthermore, his lordship told me that he had ex- pressed a desire that, before any action should be taken by either of the powers, the matter should be opened to the United States, and some plan, not of inter- vention, but of settlement, adopted with their co-operation. Of course this would requhe time. In this proposal France had concurred, though not without hesitation. Spain, on the other hand, had consented to wait, but not a greac while. She would go forward alone to demand indemnity, if no result was obtained before the end of October or the first of November. Such was the present state of the question; and as a proof of it he showed me a telegram just received from the foreign office, in London, giving the contents of the last despatch from Spain to that effect. I replied that the course of Spain would not excite miich surprise at home, for it had already been evident in the case of Dominica what motives stimulated her haste. The same intention to profit by our period of disorders was visible enough in this instance. I had little doubt she was meditating a restoration of her power in Mexico through the agency of the church and Spanish faction there. But I had been informed, from good aiithority, that any such scheme would only be likely to aggravate all existing difficulties there, instead of removing them. It would revive all old hatred and embitter a new contest. I trusted that I might be permitted to report to my government that Great Britain had had no participation in such projects, and, THE PRESENT CONDITION OF MEXICO. 195 at least, tliat slie contemplated no domestic intervention. To this he replied in the affii-mative. I said this asstirance would be a great relief to ns in the United States. I had not supposed it could be otherwise. It was contrary to all my impressions of her system in the case of a former attempt of the same kind. His lordship frankly admitted that such a proceeding Avas calculated to alarm the United States. To use the terms of Mr. O'Donnell, that it was " open to grave objection," was the least that coiald be said of it. It might, indeed, be that the exaggerated representations of the Spanish and priest party in Mexico were made to Spain to induce that country to effect its restoration to power by the intervention of troops. But there was no reason for believing any real good likely to come out of it. The truth was that there was little hope of the estab- lishment of any siable form of government at all. Certainly the people were not prepared for any system like that of the United States. Hence it was that though intervention be admitted to be inadmissible, it yet remained to know what was best to be done. If Spain persisted in her intention of going forward, he supposed it would become necessary for Great Britain to take some action too. He believed that the United States had some claims likewise, which had been acknowledged in the treaty that had failed of ratification by the Senate. He sliould be very glad if any co-operation of all the powers could have the effect of siistaining any mode of government which the people of Mexico might themselves voluntarily establish. I said that no country was more interested in the maintenance of a solid organization of government in Mexico than the United States. Everything that could fairly and honestly be done to favor the development of the spontaneous will of the people of that country might, I thought, be safely promised. But there we should stop. Whatever might have been the tendencies heretofore, the designs of the present administration were really friendly. Their good offices would be tendered in any way that might relieve Mexico from its present embarrassments. Yet if there were no question of domestic intervention involved, I presumed that the United States would not seek to interpose objections to any ordinary mode of gaining redress for the commission of flagrant wrongs. Here the conversation ended on this subject. But the next morning, just before my departure, his lordship took me aside for a few minutes, to say that he had, in the interval, received a despatch from Lord Palmerston, in which he had taken the same view of the proposal of the United States that he did. That is, that the remedy did not cover the extent of the complaint. His lordship also had suggested that a counter proposition should be made to the United States. And he himself thought so favorably of it that he should direct a communication • of it to be made, by instructions, to Lord Lyons, in his next despatch. I said I was glad to receive the announcement, and should communicate it to my government. I believed that it would be ready cheerfully to entertain any proposition which avoided as a basis the principle of domestic intervention. And I understood, as the result of my interview, that no such proposition was iu .agitation. * * # # # # * I have the honor to be, sir, your obedient servant, CHARLES FRANCIS ADAMS. Hon. Wm. H. Seward, Secretary/ of State, WasJiington, D. C. 196 THE PEESENT CONDITIOX OF MEXICO. 3Ir. Ada7ns to Mr. Seward. No. 54.] Legation of the United States, London, October 4, 1861. Sir : By reference to a leading article in tlie Times of tliis morning, yon will at once perceive the condition of tlie negotiation in regard to Mexican affairs between the three powers, and the direction sought to )je given to public opinion here on that subject. It is plain that Spain contemplates a movement in which Great Britain can have no sympathy. At the same time the representations from Mexico come worse and worse ; and the statement that au attempt had been made on the life of M. de Saligny, the French minister, has liad some effect in stiffening the attitude of the Emperor. In the meanwhile, I have been in the receipt of a long confidential communi- cation from M. Andres Oseguera, the gentleman heretofore mentioned as having had a conference with me, a report of which was contained hi my despatch. No. 44, of the 14th September, substantially recapitulating the chief points of that conversation, but closing with a request for my good offices with Lord Russell, to procure for some representative of the Mexican authorities an opportunity to com- municate with her Majesty's government in regard to the difiiculties between the two countries. In consequence of this note, I called, on Monday last, to see M. Oseguera, and not finding him at home I asked him to call on me the next day, which he did. I then, in answer to his application, explained the change in my position, caused by the reception of .later instructions from my government, ex- pressed my desire to do anything in my power to pave the way to a better un- derstanding between the two countries to which the United States were equally well wishers, and then defined the extent to which I was willing to accede to his request. I said that in view of the Avithdrawal of the British minister in Mexico from his relations with the government there, I should not venture to propose any acknowledgment or reception of a Mexican minister here. But if what he desired was that I should informally try the disposition of the head of the foreign office, to receive and listen to any representations that might be made to him by a person not clothed with any formal ofiicial character, but yet authorized to speak on behalf of the Mexican government, I signified my readi- ness to go thus far. I added that from some incidental expression of surprise let fall by Lord Russell in my last conversation with him, that there should be no representative of Mexico here, whilst there was one at Paris, I inferred that there might be an opening for the success of siTch an application. M. Oseguera replied that he should feel much obliged to me if I would take the course indi- cated ; and he went on to mention a gentleman, heretofore the secretary of le- gation for Mexico at that place, Mr. Huice, as the person whom M. La Fuente, the minister at Paris, would empower to act for his government, if agreeable to his lordship. I said that Avith this understanding I would proceed to make the overture. Accordingly, the nest day, that is, on Tuesday, the 1st of this month, I called at the foreign office, and in the absence of Lord Russell, who is still in Scotland, I had an interview with Mr. Hammond, one of the under secretaries. I ex- plained to him my position ui the premises, being that simply of a common friend making an effort to open the way to an understanding between two disa- greeing parties. I had been asked to present the question whether Lord RusseU would consent to receive an informal agent of the Mexican authorities. I was willing to go thus far from a belief that it would be agreeable to my govern- ment, and not from any express authority. Mr. Hammond said that he would write to his lordship and communicate my message. He asked me if I knew how matters stood at Paris, and then men- THE PEESENT CONDITION OF MEXICO. 197 tioned tlie rumor of tlie attack on M. cle Salignj, wLicIi I liave already refen-ed to. I said that I liad heard nothing of it, neither did I believe M. Oseguera could have heard of it when I last saw him. I then took my leave. I have the honor to be, sir, your obedient servant, CHARLES FRANCIS ADAMS. Hon. William H. Seward, Secretary of State, Washington, D. C. Mr. Seward to Mr. Adams. No. 99.] Department of State, Was7iington, October 10, 1861. Sir : Your despatch of September 14, No. 44, was duly received. It treats two subjects, one the extraordinary proceedings of her Majesty's government in the matter of her consul at Charleston, Mr. Bunch, the other the attitude of G-reat Britain and France towards Mexico. I shall consider only the latter subject in this paper. My despatch No. 71, of the 24th of August last, has informed you of our overtures to Mexico, and our propositions concu.rrent therewith to Great Britain and France for an assumption on our part of the payment of interest on the Mexican bonds as a condition of forbearance on the part of those states to the Mexican republic. My despatch No. 94, of the 24th ultimo, instructed you to ask explanations of her Majesty's government concerning the designs of the naval demonstration which rumor reports is about to be made by Great Britain and France against Mexico. Since those instructions were given we learn, upon what seems to be sufl&cient authority, that the government of Spain is meditating a demonstration against Mexico, but it is not certainly known whether that demonstration is to be made alone or in concert with the designs of Great Britain and France. Some explanations have been informally given on this subject by the Spanish govern- ment to our minister at Madrid importing that no design of conquest is enter- tained by Spain in this movement. I shall, however, simultaneously with sending this despatch, instruct Mr. Schurz to recall the subject to the attention of the Spanish government, with a view, if possible, to induce it to practice forbearance. A copy of the communication to Mr. Schurz will accompany this despatch, and you will inform Lord Russell that this government is deeply anxious for the safety, peace, and prosperity of Mexico. Consulting the spirit rather than the letter of my previous instructions, and considering them enlarged so a& to embrace the new danger with which Mexico is threatened, you will confer with him and ascertain whether any and what proposition that we can make to Spain, attended, if necessary, with a modification of our former propo- sition to Mexico and France and England, would receive the favorable considera- tion of the British government and engage its good offices to secure a forbearance of those three powers from hostile designs against the Mexican republic. The negotiation on this subject is attended with embarrassments and delays. We have not yet received a I'cply from Mexico to our overtures already made. Operations may be definitively matured on the other side of the Atlantic while we are considering how we can most effectually and properly engage in prevent- ing the necessity for them. I shall therefore expect you to consider carefully the whole case as you find it, and rather to propose to me what this government shall do than to wait for new suggestions from me in the premises. I am, sir, yoiu' obedient sei-vant, WILLIAM H. SEWARD. Charles Francis Adams, Esq., Sfc, Sfc., Sfc. 198 THE PEESENT CONDITION OF MEXICO. Mr. Adams to Mr. Seward. [Extract.] No. 57.] Legation of the United States, London, October 11, 1861. Sir : I laave tlie honor to acknowledge the receipt of the instructions con- tained in your despatch, No. 94, dated the 24th of September, to ask explanations of the government here as to the contemplated movements in respect to Mexico. My despatch, No. 50, addressed to the department four days after the date of yours, must by this time have come to hand, and have furnished some idea of the intentions of her Majesty's ministers ; whilst the course indicated to me as about to be taken by Lord Russell, through the agency of Lord Lyons, will have brought to your notice the precise form of policy they have concluded to adopt. This position of things would seem to release me from the necessity of charging myself further with the matter, at least for the present. In the mean- while the answer of Lord Russell to the petition presented to him from the merchants is published in all the papers, and seems to be gi^Ting a new turn to the piiblic sentiment on the subject in London. In my number 54, dated the 4th instant, I gave some account of an informal visit paid by me on the 1st instant to the foreign office, at the solicitation of M. Oseguera, of the Mexican legation at Paris, to learn Avhether his lordshijD would receive informally an authorized agent of Mexico. I have since received an unofficial note from Mr. Hammond, informing me that his lordship would receive such a person on his return to town about the 19th of the month. In the meantime, however, M. Oseguera sent me a note announcing that he had been recalled to Paris, and apprising me that the authorized person to whom he had referred would soon make himself known to me. But as yet I have seen nothing of him. I have the honor to be, sir, yom- obedient servant, CHARLES FRANCIS ADAMS. Hon. William H. Seward, Secretary of State, Washington, D. C. Mr. Seward to Mr. Adams. [Extract.] No. 100.] Department of State, Washington, October 12, 1861. Sir : Your despatch of September 19, No. 46, has been duly received. I have already in the latest instructions sent you (No. 99, of the 10th instant) anticipated the subject of Mexican aifairs, and I need add nothing on that sub- ject, except that I have transmitted a cojDy of the last-mentioned paper to Mr. Dayton, and requested him to be governed by its directions. I am, sir, your obedient servant, WILLIAM H. SEWARD. Charles Francis Adams, Esq., §f ., &fc., Sfc. THE PRESENT CONDITION OF MEXICO. 199 Mr. Seward to Mr. Adams. No. 101.] Department of State, WasMngton, October 14, 1861. Sir : Your despatch of September 28, No. 50, has been received. It contains an account of your visit to Lord Russell, at his residence in Abergeldie castle, and your consultation with him there on the subject of the difficulties between Great Britain and France on the one part, and Mexico on the other part. The difficulties between Spain and Mexico were also treated of in the same conversation. The result was that a counter proposition would be sent to me. I do not see that a more favorable turn of this matter could have reasonably been expected I am, sir, your obedient servant, WILLIAM H. SEWAED. Charles Francis Adams, <^c., S^c., 8^. Mr. Seward to Mr. Adams. No. 106.] ' Department of State, Wasliington, October 19, 1861. Sir : Your despatch No. 54, written under the date of October 4, has been re- ceived. Your proceedings in behalf of Mr. Oseguera were prudent and just. I hope that he may be successful in averting the dangers which are impending over his mafortunate country. I am, sir, your obedient servant. WILLIAM H. SEWARD. Charles Francis Adams, Sfc, ^., S^. Mr. Adams to Mr. Seicard. [Extract.] No. 62.] Legation of the United States, London, October 24, 1861. Sir : In my despatch. No. 57, dated the 11th of the present month, I had the honor to report the result of my informal application at the foreign office in be- lialf of a representative of the authorities of Mexico. I there stated that M. Oseguera, who had solicited my aid, had left London, and that the other person to wliom in his note to me he had referred as about to take his place, had not made liiniself known to me. As the day appointed for the conference, the 19th, drew nigh, and as Mr. Hammond's private note to me seemed to assume that M, La Fuente himself was to be the person to call upon Lord Russell, I determined to write at once to M. Oseguera, at I'aris, apprising him of this fact, and leaving it to M. La Fuente to determine what he should do in the premises. The effect was to bring M. La Fuente to London on Friday, the 18th of the month. In the meanwhile Lord Russell had rec[uested a change of the time of the couference 200 THE PRESENT CONDITION OF MEXICO. to that very day. So tliat, when M. La Fuente was annoiinced as coming to see me at noon, it was not without some little trouble that I succeeded in making the appointment effective for that evening at a quarter before five o'clock. M. La Fuente does not speak English, neither is he a very perfect master of French. As a consequence, it has not been easy to confer with him on the two occasions upon which he has been to see me, once before and once after his con- ference with Lord Russell. I did not gather from him that he had succeeded in eliciting anything more definite from his lordship than I had obtained myself. He seemed more anxious to make inquiries of me as to the nature of the pro- position to be made to the United States, as well as to the rumored disposition of the latter to accept it. Lord Russell had been as silent to him in regard to his projects as he was to me. As to the other question, I pointed out the obvi- ous impossibility that such a rumor should be true, inasmuch as the time ne- cessary to receive a return from America had not elapsed. For the rest M. La Fuente seemed to be of opinion that any attempt by Spain to set up an authority in Mexico would certainly fail. I asked him whether there might not be a re- petition of the drama played in Dominica, and a formal invitation to assume the power from certain self-constituted atithorities of the priest and old Spanish parties in Mexico. He admitted the possibility, but he considered the preponderance of opposition so great over the broad surface of the country as to render the plan scarcely practicable. Yet he seemed utterly unprovided with any scheme to ward off the danger or to smooth the difficulties in which his country is involved. He is still in town, and he took leave expressing the hope of seeing me again before his return to France. I shall endeavor to call upon him before long. On Thursday I returned the visit of Mr. Moreira, the Brazilian minister, and I seized the occasion casually to get his views upon this proceeding of Spain. I found him not disposed to give much credit to the notion that any establishment of authority was contemplated. He considered it far too visionary. Hon. William H. Seward, Secretary of State, Washington, D. C. Mr. Seward to Mr. Adams. No, lll.J Department of State, Washington, Octoher 28, 1861. Sir : Your despatch of October 11, No. 57, has been received. I have thus far nothing from Lord Lyons on the subject of European intervention in Mexico. Of course T have nothing new to say on that subject. I hope the delay of movements is indicative of moderation, I am, sir, your obedient servant, WILLIAM H. SEWARD. Charles Francis Adams, Esq., 8fc., h^c, ^. Mr. Adams to Mr. Seicard. [Extracts] No. 66.] Legation of the United States, London, November 1, 1861. Sir : I have to acknowledge the reception of despatches from the department, .No, 99 and No, 100, respectively dated the 10th and the 12th of October, They THE PEESENT CONDITION OF MEXICO. " 201 botli relate to the Mexican question, upon Ayliicli I have ah-eady made a report of my action in my despatches Nos, 50 and 62, the first of which, at least, must by this time be in your hands. It will clearly appear from the representation there made of the state in which the matter was left after my conference with Lord Russell, that it is utterly out of my power to propose a course of action for the government of the United States as suggested in your No. 99. As his lordship did not think fit to make me acquainted with the nature of the plan he was about to submit to your consideration through Lord Lyons, I must wait to learn it from you, as well as the reception which it has met with from the Presi- dent. In the meantime, rumors continue to fly about in the newspapers of the adoption of a scheme of co-operation between the three governments, which, in my belief, are as yet the ofiFspring of the wishes of interested parties rather than of established facts. There can be no doubt, however, that negotiation is actively in process for the attainment of some positive result, and that in the meantime the necessary force is ordered to be in preparation to execute what may be finally determined on. Yesterday I had the honor of another visit from M. La Fuente. But it seemed to be rather for the pu^-pose of gaining than imparting information. He had not yet received his despatches from home, or any authentic intelligence of the late events in Mexico. Indeed, he was indebted to me for a copy of the Mexican Extraordinary of the 27th of September, which I happened to have received the night before, confirming a report he had heard of a reactionary movement in the Sierra by the priest party, in conjunction with numbers of Spanish offi- cers, and raising the Spanish flag. But he seems as much unprepared with any remedy as ever. The truth is that the condition of the country is such as posi- tively to iuHte interference from abroad, and the great obstacle to it interposed by the ordinary position of the United States is so far diminished by their ex- isting divisions as to give full play to the revival of ambitious national dreams in Spain. All this I can well understand. But the policy of Great Britain in appearing even indirectly to give countenance to them is not as yet clear to me. It may be that she proposes to take a part in order to retain a right to control the result. ******* You will permit me here, however, to make a single remark in this connexion upon the importance of appearing to divest the United States of any personal and selfish interest in the action it may think proper to adopt. The view customarily taken in Europe is that their government is disposed to resist all foreign intervention in Mexico, not upon any principle, but simply because it is itself expecting, in due course of time, to absorb the whole country for its own benefit. Hence any proposal like that which I had the honor to receive, based upon the mortgage of portions of Mexican territory as security for engagements entered into by the United States, naturally becomes the ground of an outcry that this is but the preliminary to an entry for inevitable foreclosure. And then follows the argument that if this process be legitimate in one case, why not equally in all. As against Great Britain and France it would be difficult to oppose to this the abstract principle contained in what has been denominated the Monroe doctrine, however just in substance. But both those countries have of late years been disposed to give more and more weight to the doctrine of non-intervention in the internal government of nations where there may be a conflict with the general sentiment of the population. If this be acknowledged in the case of the smaller states of Italy, in Europe, it is difficult to understand how it can be denied in the more remote regions of the world. Certainly the states of America, north and south, are sufficiently distant from the theatre of contention on this side of the globe to entitle them to claim immunity from the danger of being swept by force into the vortex of its local passions. There can be no doubt that, as it regards. Europe, the voice of all the independent American nations, is the same. They want no dictation, nor any resumption 202 THE PRESENT CONDITION OF MEXICO. of their old relations. If tliey fail in performing their honest engagements, they make themselves liable in their property, but not in their persons or their political rights. Any attempt to transcend that broad line of distinction is a mere appeal to force, which can carry with it no obligation one moment beyond the period when it may be successfully overthrown. And the principle is broad enough to make the maintenance of it in one country equally the cause of all the rest. I have the honor to be, sir, your obedient servant, CHAELES FRANCIS ADAMS. Hon. William H. Seward, Secretary of State, Washington, D. C. Mr. Adams to Mr. Seward. [Extract.] No. 68.] Legation of the United States, luondon, Novemher 8, 1861. Sir : You will probably receive by the present opportunity a copy of the convention entered into by the three powers on Thursday, the 31st of October last, and signed at this place by Lord Eussell, Count Flahault, and M. Isturiz. I have not yet seen it, but I am given to understand that it involves a joint possession of so much of Mexico as may be deemed necessary to secure a full reparation for all the injuries complained of, and leaves it open to the United States to become a party to the undertaking, if it shall think lit. I transmit herewith a copy of the London Morning Post of yesterday, which contains what may be regarded as a semi-official explanation of the views of this government on that subject. I received another visit from M. La Fuente on Wednesday, and we talked the matter over again quite freely ; but I did not discover that he had either any new views to present or additional information. I think he expresses more apprehension of a repetition of what he calls the "comedy of St. Domingo" than he did. But it seems to me that this is rendered less, rather than more, likely by the junction of the other two powers. ********* I have the honor to be, sir, your obedient servant, CHARLES FRANCIS ADAMS. Hon. William H, Seward, Secretary of State, Washington, D. C. London, Thursday, Novemher 7, 1861. The Moniteur officially announces the fact, of which the better-informed class of persons in this country had been probably for some days aware, that the Mexican convention was concluded on Thursday last. This document was signed by Earl Russell, Count Flahault, and M. Isturiz, in this capital ; and we believe that, as soon as we shall be able to lay the text before our readers, it will be found, both in its general tenor and in the specific provisions which it contains, to bear out the character which we assigned to the intervention when we first announced it in our impression of the 24th of September. We then showed that our case against the Mexican government was altogether ex- ceptional, and was such as had no parallel in our grievances against any other THE PEESENT CONDITION OF MEXICO. 203 state, wlietlier in Europe or America. It was not simply that tliese grievances were of long standing, that the government of the country had become utterly demoralized, and that the rights which one state, according to international law, has against the other, were ignored, and their redress withheld. There had been both pecuniary wrongs and personal wrongs endured by the three parties to the convention of a nature altogether special and peculiar. There was, on the one hand, the personal protection due to British, French, and Spanish sub- jects who were denizens in Mexico ; and there was, on the other hand, the property of bondholders, (chiefly English,) which had been formally secured upon mortgages of the public income, while the successive Mexican governments had diverted the latter from its due application. There can be no doiibt that we are perfectly justified in insisting that a government in professed alliance with ourselves (as that of Mexico is) shall protect British subjects within its territories, and the same justification of course applies to France and Spain in their relations with the Mexican authorities. Neither can there be any doubt that we are equally justified in insisting upon the payment of our pecuniary claims where there has been a formal hypothecation of public income for their liquidation, and a fraudulent repudiation of the pledges thus entered upon, as well as, in a particular instance, a violent robbery of property secured under the seal of the British legation. To deal first with the question of the personal security of the subjects of the three contracting powers in Mexico. The principle which we have always recognized as governing our relations with foreign countries is, that the foreign govermnent is responsible for the acts of its subjects. So long as civil war lasted in that country, we should be ready to adopt this principle with some reservation in actual practice ; and even when a government, imperfectly secure in its domestic authority, evinced a disposition to do its utmost in defence of British life and property, we should not be harsh in exacting a rigorous security for our subjects which could be hardly attainable in fact. But when this foreign government evinces an utter indifference to the lives of our fellow-subjects, oiir right of redress arises in all its force. Europeans have been unsafe even in the streets of the Mexican capital at midday ; " Death to the foreigners" has been the common cry of the people ; and when our representatives have demanded the redress to which we are entitled, they have been refused the very slightest assistance and protection for the future. We have, therefore, no alternative but to assume that the Mexican government, though not perhaps in actual com- plicity with the robbers and bandits by whom British subjects have been at- tacked, at any rate offers no opposition to their pillage. Let the government be as feeble as it may, we are entitled to require that it shall protect our sub- jects to the extent of its ability ; and we cannot but charge upon its indifference, if not upon its complicity, much of the grievance which we have now to redress. If private wrongs of this kind ever call for public indemnification — if British subjects can ever demand security for their personal safety for the future — it is certainly in the present case of Mexico. In turning from the more strictly personal to the more strictly pecuniary grievances which we have against Mexico, it may be fairly asked what is the good of a mortgage if it is not to operate as a security ; and what becomes of the " security" if the mortgagors are not permitted to foreclose ? A simple loan contracted by one country with another in itself imports a solemn obligation ; and if there is any analogy whatever between international and municipal law in this respect, there ought to be a right of redress where the terms of the com- pact are fraudulently repudiated by the power which has incurred the debt. But if this ])e so with a simple loan, much more is it the case where there has been a formal hypothecation of sea-coast custom-houses as a security for the payment of interest due in consideration of it. Indeed, the very selection of seaport customs dues as a mortgage to a maritime power bears much of the 204 THE PEESENT CONDITION OF MEXICO. character of an acknowledgment of the right of that power to interfere in the event of default taking place. To take an example from European states. We granted a loan to Turkey, in 1854, upon the security of the Egyptian tribute. Turkey, indeed, has faithfully met all her obligations. But, supposing that she had failed to pay the interest due upon this loan, either we should have had a distinct lien upon the Egyptian tribute, or the pretended security would have amounted to nothing at all. In the case of Mexico, however, there has been not only simple failure, but protracted failure, and a virtual repudiation which is obviously fraudulent, to say nothing of the open robbery committed by Mira- mon's government. We can hardly conceive, therefore, a wider misapplication of terms than to describe an insistance on the securities deliberately pledged by the Mexican government as equivalent to " a collection of bad debts," as it has been termed in one or two quarters. The customs revenue of the country war- rants the supposition that the debts are capable of collection, and therefore good. The law of morahty must bear in international jurisprudence an analogy to municipal jurisprudence if there is to be any confidence and security in trans- actions between one people and another. We, however, have yet to learn that there is any necessity for vindicating a convention which, at all events, cannot be duly criticized until its purport is fully known ; and we believe that it will tend to establish a principle of morality between government and government which will impart fresh stability to all international transactions. Mr. Seward to Mr. Adams. No. li9.J Department of State, Washington, November 9, 1861. Sir : Your despatch of October 24 (No. 62) has been received. The rendering of your good ofiSces to Mr. Oseguera is entirely approved. I wish, indeed, that it were possible for you or for me to do more than seems now to be practicable for the benefit of Mexico to assure her peace. As things stand,^ we can only be watchful of occasions for that purpose, and jealous of our own rigljts and interests. We are waiting with some solicitude for the communication concerning the Mexican question promised you by Earl Russell. I am, sir, your obedient servant, WILLIAM H. SEWAED. Charles Francis Adams, Esq., S^c, ^e., Sfc. Mr. Adams to Mr. Seward. [Extract.] No. 71.j Legation of the United States, London, November 14, 1861. ********* Before taking my leave I seized the opportunity to speak a word upon the subject of the confidential communication made in your No. 110. I asked whether his lordship was apprised of the facts there stated. He said yes. Lord Cowley had written to him about it. The proceeding did not seem to have a very definite shape. It was rather a suggestion than anything else. THE PEESENT CONDITION OF MEXICO. 205 And wlien asked wliether Lord Lyons would be directed to follow suit, the answer had been in the negative. I dropped the matter at that point, and went on to speak of the convention about Mexico. I said that what pretended to be the substance of that paper had already appeared in the journals, French and English, but as there was some discrepancy in the statements, I should feel myself much favored with the opportunity to have a sight of it. I presumed it had been already sent to my government, as I saw that an opening was left to it to become a party if it pleased. His lordship said the convention had not yet been signed. It prob- ably would be in the course of the week, and I should have a copy of it. I then observed that M. La Fuente, who was still here, expressed great appre- hension of the effects of it in destroying all that was left of authority in Mexico. On the other hand, the Spanish press did not pretend to conceal their confident expectation of a re-establishment of the national authority. His lordship replied that intervention was expressly disavowed in the treaty. As to the present existence of authority, there was none. If that which claimed it had acted with moderation, and had given notice of their embarrassments and acknowl- edged their obligations, it would have been something. But to proclaim coolly a refusal to pay an undeniable promise was intolerable. Sir Charles Wyke had written that the present mode was the only one by which to bring round any remedy for the evil, and so the government had concluded to adopt it. I then took my leave of his lordship. I have the honor to be, sir, your obedient servant, OHAELES FRANCIS ADAMS. Mr. Seward to Mr. Adams. No. 128.] Department of State, Washington, November 21,, 1861. Sir : Your despatch of November 1 (No. 66) has been received. It treats of the Mexican question. But thus far I have not received from Lord Lyons the note on that subject which we were authorized to expect. On the contrary, I hear informally that a convention has been concluded between Spain, France, and Great Britain, providing for concerted hostilities, and that this treaty is to be submitted to the United States, with consent that they shall become a party. I hear also that the treaty stipulates against any political designs, and confines the expedition merely to the redress of grievances. I hear from Mexico at last. The Mexican government accepts our proposition to assume or guarantee her debt upon security to be given to us. But the British and French having virtually declined to accept this arrangement, the whole matter remains in a very unsatisfactory state, and I am unable to see at this moment what course we can take to afford relief or security to Mexico. I am, sir, yom* obedient servant, WILLIAM H. SEWARD. Charles Francis Adams, S^., &j-c., Sfc. Mr. Seward to Mr. Adams. No. 133.] Department of State, Washington, November 25, 1861. Sir : Your despatch of November 8 (No. 68) has been submitted to the Pre sident. Mr. Mercier, the mhiister of France, has unofficially communicated to 206 THE PEESENT CONDITION OF MEXICO. me tlie treaty of Spain, France, and England in regard to Mexico, wliicli I un- derstand will be formally laid before us immediately by the three contracting powers. I shall be able to give you the result of the President's deliberations upon it by the next mail ; meantime it seems difficult to find out what can be done to avert the calamities which threaten our unhappy neighbor, though she has our sympathies guaranteed, as all just sympathies are, by enlightened views of in- terests of our own. I am, sir, your obedient servant, WILLIAM H. SEWAED. Charles Francis Adams, Esq., &^., Sfc., ^c. Mr. Seward to Mr. Adams. No, 148.] Department of State, Washington, Decemher 18, 1861. Sir : I transmit for your information the copy of a note, of the 4th instant, addressed by me to the diplomatic representatives of Spain, France, and Great Britain accredited to this government, relative to the proposed accession of the United States to the convention which was concluded at London on the 31st of October last between those powers for the redress of their grievances against the republic of Mexico. I am, sir, your obedient servant, WILLIAM H. SEWAED, Charles Francis Adams, Esq., ^c, S^c., Sfc. Mr. Seward to Mr. Adams. No. 161.] Department of State, Washington, January 8, 1862. Sir : I have to acknowledge the receipt of your despatch (No. 71) of the 14th of November last. I am, sir, your obedient servant, WILLIAM H. SEWAED. Charles Francis Adams, Esq., ^c, S^c, S^. Mr. Adams to Mr. Seward. [Extract.] No. 106.] , Legation of the United States, Zdondon, January 24, 1862. You will doubtless have had your attention drawn before this time to the course which the Mexican intervention is taking. On the reception of the news of the landing of the Spanish force and its occupation of Vera Cruz, the an- nouncement is made of the outfit of a French force designed to follow up the advantage. It is no longer concealed that tlie intention is to advance to the THE PEESENT CONDITION OF MEXICO. 207 capital, and to establisli a firm government, loitli tJie consent of the people, at that place. But who are meant by that term does not appear. This issue is by no means palatable to the government here, though it is difficult to imagine that they could have been blind to it. Feeble murmurs of discontent are heard, but they "^dll scarcely be likely to count for much in the face of the obligation under which the action of the Emperor in the Trent case has placed them. The military occupation will go on, and will not cease with the limits now assigned to it. It is not difficult to understand the nature of the fulcrum thus obtained for operations in a new and a different quarter, should the occasion be made to use it. The expedition to the city of Mexico may not stop until it shows itself in the heart of the Louisiana purchase. * * . *■ # # # # # # Mr. Seward to Mr. Adams. No. 191.J Department of State, Washington, February 19, 1862. Sir : -Although I have adverted in other instructions to the subjects discussed in your despatch of January. 24, (IsTo. 106,) it is only now that I have found leisure to acknowledge the reception of that paper. I shall carefully observe the progress of affairs in Mexico. If, indeed, our own Union were likely to fall, and the southern portion of the United States were to pass under a European protectorate, we could have small ground to hope that we could save Mexico from Eiiropean reconquest and subjugation. But with reassurances of our own safety comes up to us an absolute confidence that no part of the continent will lose republican institutions and self-govern- ment. We have acted, and shall continue to act, with frankness and justice towards the three j)ower3 who are mvading Mexico, as well as with liberality to the gov- ernment of Mexico itself. We do this distinctly relying on the assurances we have received from those powers that they will seek no political objects in then" mvasion. If they should forfeit these pledges their broken faith would be rewarded with only serious complications, ending in results disastrous to them- selves. But we will not allow ourselves to indulge apprehensions that could only be justified by distrust of the good faith of the three great states concerned. I am, sir, your obedient servant, WILLIAM H. SEWARD. Charles Francis Adams, Esq., S^c., S^c., S^. Mr. Seward to Mr. Adams. No. 198.] Department of State, Washington, March 3, 1862. Sir : We observe indications of a growing opinion in Europe that the de- monstrations which are being made by Spanish, French, and British forces against Mexico are likely to be attended with a revolution in that country which will bring in a monarchical government there, in which the crown wiU be assumed by some foreign prince. This country is deeply concerned in the peace of nations, and aims to be loyal 208 THE PRESENT CONDITION OF MEXICO. at the same time in all its relations, as well to the allies as to Mexico. The President has therefore instructed me to submit his views on the new aspect of affairs to the parties concerned. He has relied upon the assurances given to this government by the allies that they were seeking no political objects and only a redress of grievances. He does not doubt the sincerity of the allies, and his confidence in their good faith, if it could be shaken, would be reinspired by explanations apparently made in their behalf that the governments of Spain, France, and Great Britain are not intending to intervene and will not intervene to effect a change of the constitutional form of government now existing in Mexico, or to produce any political change there in opposition to the will of the Mexican people. Indeed, he understands the allies to be unanimous in declaring that the proposed revolution in Mexico is moved only by Mexican citizens now in Europe. The President, however, deems it his duty to express to the allies, in alL candor and frankness, the opinion that no monarchical government which could be foiinded in Mexico, in the presence of foreign navies and armies in the waters and upon the soil of Mexico, would have any prospect of security or perma- nency. Secondly, that the instability of such a monarchy there would be enhanced if the throne should be assigned to any person not of Mexican nativity. That under such circumstances the new government must speedily fall unless it could draw into its support European alliances, which, relating back to the pre- sent invasion, would, in fact, make it the beginning of a permanent policy of armed European monarchical intervention injurious and practically hostile to the most general system of government on the continent of America, and this would be the beginning rather than the ending of revolution in Mexico. These views are grounded upon some knowledge of the political sentiments and habits of society in America. In such a case it is not to be doubted that the permanent interests and sym- pathies of this country would be with the other American republics. It is not intended on this occasion to predict the course of events which might happen as a consequence of the proceeding contemplated, either on this continent or in Europe. It is sufficient to say that, in the President's opinion, the emancipation of this continent from European control has been the principal feature in its history during the last century. It is not probable that a revoluiion in a con- trary directioji would be successful in an immediately succeeding century, while population in America is so rapidly increasing, resources so rapidly developing, and society so steadily forming itself upon principles of democratic American government. Nor is it necessary to suggest to the allies the improbability that European nations could steadily agree upon a policy favorable to such a counter- revolution as one conducive to their own interests, or to suggest that, however studiously the allies may act to avoid lending the aid of their land and naval forces to domestic revolutions in Mexico, the result would nevertheless be trace- able to the presence of those forces there, although for a different purpose, since it may be deemed certain that but for their presence there no such revolution could probably have been attempted or even conceived. The Senate of the United States has not, indeed, given its official sanction to the precise measures which the President has proposed for lending our aid to the existing government in Mexico, with the approval of the allies, to relieve it from its present embarrassments. This, however, is only a question of domestic administration. It would be very erroneous to regard such a disagreement as indicating any serious difference of opinion in this government or among the American people in their cordial good wishes for the safety, welfare, and stability of the republican system of government in that coimtry. I am, sir, your obedient servant, WILLIAM H. SEWARD. Charles Francis Adams, Esq., ^c, 8fc., ^. THE PRESENT CONDITION OF MEXICO. 209 Mr. Adams to Mr. Seward. [Extract ] No. 115.] Legation of the United States, London, Fehruary 14, 1862. Sir : You will receive by tliis steamer copies of the documents published by- order of tlie British government relating to foreign affairs, numbered from 1 to 6. It is deserving of notice that the documents issued by the government of the United States in connexion with the President's message, on the same subject, have been also reprinted in extenso in a separate volume. That portion of these papers relating to the Mexican imbroglio will, of comse, attract your immediate attention. It would seem as if her Majesty's ministers were finding themselves already plunged far more deeply in the enterprise than they at first contemplated, and were on the point of being pushed into a complete abandonment of the long-established maxims of British policy. In this con- nexion I was led with some curiosity to examine Lord Russell's note to Lord Cowley of the 27th of September, giving an abstract of my conversation with him on this subject, and to compare it with my own report of the same, trans- mitted to you in my despatch, No. 50, of the 28th of the same month. In the earlier portion of the conference there is a substantial agreement, but it is worthy of note that the particular assurance given at its close, with authority to be communicated to you, is alluded to in his lordship's letter only as it may be found in the second of the two conditional bases of union directed to be presented to the consideration of the government of France. The facts attending the present condition of the question, so far as I can gather them, are these : The Spanish government, impatient of delays, as indi- cated at the beginning, took the initiative, and despatched a much stronger force of troops to Mexico than had been contemplated by the other powers. Scarcely had they reached the country before new and material modifications of the original plans were given out to be rendered necessary by the emergency. On . receiving the intelligence the French government, fearful of losing the whole control of the movement, at once ordered forth a re- enforcement of land troops, without, however, discouraging the change introduced into the plan of the expedition. It then became noised abroad that a distinct proposal had been made to the Archduke Maximilian of Austria to accept the position of king of the country, but by whom this proposal had been made did not clearly appear. The allegation noAv is, that it came from certain influential representatives of that country now in Europe. Very possibly Generals Almonte and Miramon may have been of the number, but at least no American could fail at once to see the vanity of such popular sentiment as they embody, or to comprehend the uses to Avhicli they have been put by persons who are ready to make that senti- ment out of the bayonets of Europe. Of the motives for this action the conjec- tures of people widely differ. Some pretend to say that this offer to an Austrian prince was intended to secure the settlement of Italy by the surrender of Venetia and the temporal power of the Pope. Others affect to regard it as designed ultimately to establish a French principality all around the Gulf coast. How- ever this may be, the fact of intervention is certainly avowed by Spain and France, and it finds its defenders even in Great Britain. It remains only to examine the position of the latter power in connexion with the matter. We all remember the somewhat exaggerated egotism of George Canning, when he said, " I called that country into existence," as well as all the later policy which secured those regions as a field for British commerce and enterprise against a relapse under the narrow exclusiveness of Spain. We also know how earnestly England has proclaimed the doctrine of non-intervention H. Ex. Doc. 100 14 210 THE PRESENT CONDITION OF MEXICO. in the domestic questions of European states that are seeking to ruake good their rights to establish their own institutions. Moreover, the distinctness with which Lord Russell, at our interview in September last, authorized me to declare this, as the principle of British action in regard to Mexico, is doubtless fresh in your recollection of my account of it ; yet the fact is not the less clear to all the world that at this moment Great Britain actually occupies the post of holding the door, whilst her two associates, with her kuowledge, go in, fully prepared, if they can, to perpetrate the act which she, at the outset, made them denounce, at the same time that she disavowed every idea of being made to par- ticipate in it. It is deserving of notice, in this connexion, that all the process which terminated in the convention between the three powers took place during the period of recess, when no cabinet consultations whatever are held. There is reason for believing that the business was conducted by Lord Russell, mainly under the direction of Lord Palmerston, and that many of the ministers were taken by surprise on learning that it was completed. I hear that some are not satisfied with the situation, and are anxious to retreat from it. Such is the present state of the question. In the meantime it is expected that the sub- ject will be brought to the consideration of Parliament by the opposition in such a form as to compel the government to the adoption of a less equivocal line of policy. ******* I have the honor to be, sir, your obedient servant, CHARLES FRANCIS ADAMS. Hon. William H. Seward, Secretary of State, JVasJiington, D. C. Mr. Seward to Mr. Adams. No. 204.] Department of State, Washington, March 10, 1862. Sir : Your despatch of February 14 (No. 115) has been received. The discussion of the intervention of the allies in Mexico which it contains has been found of great value. I have already furnished you with full accounts of what this government has done in regard to it. Your own sagacity -udll enable you to discern the spirit in which we are acting upon that important subject. Probably the great change that has occurred in the aspect of affairs here will not be without its beneficial influence in Mexico as well as in Europe. I am, sir, your obedient servant, WILLIAM H. SEWARD. ' Charles Francis Adams, Esq., ^r., ^r., Sfc. Mr. Seioard to Mr. Dayton. No. 49.] Department of State, Wasliington, Septeniber 2, 1861. Sir : I have to invite your attention to the enclosed copy of a despatch of the 24th ultimo, addressed by this department to the minister of the United States at Mexico, relative to the present state of affairs in that country. I am, sir, respectfully, your obedient servant, WILLIAM H. SEWARD. William L. Dayton, Esq., Sfc., ^., Sfc. THE PRESENT CONDITION OF MEXICO. 211 Mr. Dayton to Mr. Sezvard. No. 49.] Paris, Septemher 25, 1861. Sir: Despatches 49, 51, 52, 53, 54, and 55 were received yesterday, and tlieir contents respectively noted. I will, at the earliest opportunity, consult with the present minister at this court from Mexico, with a view to some concert of action in reference to the proposition in despatch 49. Without some understanding with him as to the views of the Mexican gov- ernment, it is not probahle much can be accomplished. With much respect, I am your obedient servant, WM. L. DAYTON. His Excellency William H. Seward, Secretary of State. Mr. Seward to Mr. Dayton. Department of State, Washington, October 11„ 1861'.. Sir : Your despatch of September 25 (No. 49) has just been received. I transmit herewith a copy of my despatch No. 99 to Mr. Adams, relating to the impending designs of Spain, France, and Great Britain in regard to Mexico. You will please regard those instrvictions as addressed to yourself. I am, sir, your obedient seiwant, William L. Dayton, Esq., b^c, ^., ^. WILLIAM H. SEWARD. Mr. Dayton to Mr. Seward. No. 51.] Paris, Septemher 27, 1861. Sir : Immediately after the receipt of yours in respect to the assumption by the United States of the interest at three per cent, on the debt due to the Mexican bondholders, I sought an interview with Mr. Fuentes, the minister who represents the present government of Mexico at Paris. Of course I was not ignorant of the condition of the diplomatic relations between France and Mexico, yet I felt that the aid of the Mexican minister might, ui a certain event, be of service. I found him not only willing but anxious to co-operate with me in bringing about any arrangement which would relieve his unfortunate country from the threatened interference by England and France. His own interviews with Mr. Thouvenel had not been attended with any favorable result. I addressed a note to Mr. Thouvenel on the 25tli soliciting an interview, which was promptly granted for the 27th. I have just returned from that interview. Mr. Thouvenel was already in possession of your proposition, made, he said, to Lord Lyons, in the absence of Mr. Mercier, and which he represented as sub- stantially the same as that now presented by me. He gave lue no reason to suppose the proposition would be accepted, btit the contrary. He said you had not understood the character of the French claims, and that your propo- sition did not cover them at all. That those claims were not dra^viug interest as ^funded debt, but the capital {^i5 to 30 millions of francs) was to be paid. This they intended to collect by taking possession of the ports of Vera Cruz 212 THE PEESENT CONDITION OF MEXICO. and Tarnpico, and appropriating certain portions of the revenne to the payment of the capital of the debt, and the balance of the revenue, as I understood, was to go to the support of the government. This was the plan intimated, though I think he said it was not definitely agreed upon. I told him that the government of the United States feared the complications to which this might lead, and was desirous that Mexico should remain an independent power on our continent. That we shotild view with great anxiety any course of action upon the part of foreign powers which looked to its extinction. He answered somewhat pointedly that, so far as he could jndge from the past, its danger of extinction had been rather from the United States than elsewhere, to which, I am constrained to say, I made no very satisfactory reply. I told him, however, that the question now was of the future, not of the past. I said to him, further, that it seemed to me that if these foreign powers seized upon the revenues of Mexico, although no other forcible action was taken against her, that the government must, of necessity, fall to pieces ; it could not exist without adequate means for its administration. To this he answered, tliat perhaps Mexico might find herself in the condition of China, the authorities of which, not long since, returned thanks to England and France for the share of revenue they allowed from certain ports in their possession, Avhich was greater, as the authorities said, than they had ever received before. He assured me, however, that whatever England and France might do, it would be done in reference to realizing their money debt only, and that they had no purpose whatever to obtain any foothold in Mexico, or to occupy permanently any portion of its territory. He repeated this with emphasis. He furthermore stated, explicitly, that should Spain come in, as one of the powers acting in concert with France and England, for her claims, it would be with a distinct under- standing that she, too, should not attempt to hold any part of the territory. I was somewhat particular in my inquiries vipon this point, because I could not forbear the belief that Spain might look to a reassertion of her former rule over Mexico or some part of it. Mr. Thouvenel said if I chose to put my proposition in writing he would examine it with care, and give me a written answer. I told him, however, as the proposition had already been communicated by Lord Lyons, and was dis- tinctly understood, I did not think it necessary at present to go further. I may do so after confemng by letter with Mr. Adams, and ascertaining what are the dispositions manifested in England in reference to this offer. The amount of the Mexican debt held in England is so much larger than in France that perhaps (if the debt is all they seek) the proposition will be more favorably received there than here. If such should be so, I Avill then again present it formally to the French government, and, perhaps, with better prospects of success. I cannot but feel, however, that all these governments are disposed to take advantage of the present distracted condition of the United States. Should rebellion at an early day be suppressed, and leave us with a large and disciplined army on foot, and a navy increased, different dispositions may develop them- selves. But I have no wish to comment upon this view of the question. With much respect I have the honor to be, respectfully, your obedient servant, WM. L. DAYTON. His Excellency Wm. H. Seward, Secretary of State, &c. THE PKESENT CONDITION OF MEXICO. 213 Mr. Seward to Mr. Dayton. No. 68.] Department of State, Wasliington, October 19, 1861. Sir: Your despatch of September 27, No. 51, was duly received. Your proceedings on tlie subject of the controversy between France and Mexico, and the tender you had been instructed to make on the part of this government, are entirely satisfactory. I learn from Mr. Adams that the British government and the French intend to make a counter proposition to the United States. I am, sir, your obedient servant, WILLIAM H. SEWARD. William L. Dayton, Esq., S^., &fc., S^c. Mr. Dayton to Mr. Seward. [Extract ] No. 74.] Paris, NovemherQ, 1861. Sir : Your despatch No. 67, enclosing a copy of your despatch (No. 99) to Mr. Adams in reference to the affairs of France, Great Britain, and Spain, and Mexico, was duly received; but the matter was matured by the three govern- ments first named before the arrival of this despatch, and was consummated by treaty on the 31st of October last. Had it come earlier, hoAvever, it would have been useless to solicit the kind offices of France with Spain when she wholly decHned an acceptance of our propositions in reference to her own claims. Indeed, it seemed to me as if she had no disposition to have them settled by us. Steamers sail next Monday for the West Indies, where troops will be taken on board for the expedition. There will be quite an imposing fleet which these allies will have in the Gulf, as much, I fear, to watch the condition of things in our own country as to look after Mexico. But as the treaty has been, or immediately will be, sent over to you, with an invitation (somewhat late, as I told Mr. Thouvenel,) for the United States to participate, it is needless for me to dwell ixpon details. The French fleet, consisting, if I understood aright, of one large vessel-of-war, four frigates, two gunboats, and four advice boats, (small tenders,) ^y\\\ sail for the West Indies on Monday next to take troops, principally Spanish, I presume, from Cuba, and expect to reach Vera Cruz about the 25th of this month. Mr. Thouvenel said the United States had "griefs" to settle with Mexico as well as they. I availed myself of the occasion to say that I was happy that it was thought at least due to the United States that we should have an mvitation (though somewhat late) to join in the expedition if we chose. I further told him I had been informed that it was a long time since suggested by Spain and Great Britain that the United States should be taken into conference on tins subject, but that France had objected. He answered that this was not so, but It was directly the contrary; that France had first made the proposi- tion as early as August last, as her correspondence with the British government would show. * * * * # »°# i^ With much respect, I have the honor to be your obedient servant, „. ^ „ AVILLIAM L. DAYTON. His Excellency William H. Sew^ard, ^y;., Sfc., Sfc. 214 THE PRESENT CONDITION OF MEXICO. Mr. Dayton to Mr. Seward. [Extract.] No. 62.] Paris, October 16, 1861. Sir : Despalches Nos. 59, 60, 61, and 62 are duly received, and contents noted. Despatch No. 60 applies to affairs between England, France, and Mexico. Immediately tipon the receipt of your despatch No. 49, enclosing a copy of that which had been sent to Mr. Corwin, (which, I inferred, you intended should be acted upon by Mr. Adams and myself without further instructions,) I applied to Mr. Thouvenel for an interview. My despatch to you of the 27th of Septem- ber last gives the result of that intervieAv, and anticipates ' therefore the action required of me in your despatch No. 60. Mr. Thouvenel's statement of the purpose of the proposed action on the part 'of England and France toAvards Mexico was full and explicit, so far as the same had been understood or agreed upon between England and France. Mr. Schurz, at Madrid, is satisfied that there is to be an attempt on the part of Spain to have one of the royal family of that country called upon by the people of Mexico to assume the throne. It is to be a call of the people of the same nature and got up in the same way as in the case of St. Domingo ! But he has doubtless given you all information on this point. At his urgent request I have given him the information as to the contemplated action of England and France, which I received here. He was informed by Mr. Calderon that Great Britain and Spain were desirous of associating the United States with them on their proposed expedition to or against Mexico. ******** With much respect I have the honor to be yoiu' obedient servant, WM. L. DAYTON. His Excellency William H. Seward, Secretary of State, 8fc., &c., Sfc. Mr. Seward to Mr. Dayton. [Extract.] No. 79.] Department of State, Washington, November 4, 1861. Sir: Your despatch of October 16 (No. 62) has been received. We cannot observe the proceedings in Spain, France, and Great Britain in regard to Mexico Avithout deep concern. But their effects upon our own interests are likely to be only incidental. ******** WILLIAM H. SEWARD. William L. Dayton, Esq., S^c., S^., Sfc. THE PRESENT CONDITION OF MEXICO. 215 Mr. Setcard to Mr. Dayton. [Extract.] j;j-Q_ g5 1 Department of State, Washington, Novemher 23, 1861. g ********* Mr. Mercier has just informally aunoiinced to us the execution of the conven- tion between Spain, France, and Great Britain. We therefore have the subject under consideration. I am, sir, your obedient servant, WILLIAil H. SEWAKD. WiLLfAM L. Dayton, Esq., 4^., S^c, &fc. Mr. Dayton to Mr. Seward. [Extract.] j;j"o. 75.1 Paris, 'Noi-emler 7, 1861. gjjj. ********* Your despatch No. 68 informs me of Mr. Adams's communication of an intended counter proposition to be made by England and France to our govern- ment in respect to Mexican affairs. Of this I had heard before, and it made me less anxious as to the question here ; for the fact that a counter proposition was to be made and answered would of necessity, as I thought, occupy tune, and give the United States a chance for reflection and, perhaps, action. The prompt consummation of this matter in London has rather taken me by surprise. I fear that some misunderstanding of each other's meaning may have occurred upon the part of Mr. Adams and Earl Russell, or one of them. _ At all events, a point has been reached at a much earlier day than an intimation of such intended proposition led me to anticipate. I am, sir, with respect, your obedient servant, WM. L. DAYTON. His Excellency William H. Seward, ^r., 4pc., h^. Mr. Seward to Mr. Dayton. No. 92.1 Department op State, Washington, December 18, 1861. Sir : I transmit for your information the copy of a note of the 4th instant, addressed by me to the diplomatic representatives of Spain, France, and Great Britain, accredited to this government, relative to the proposed accession of the United States to the convention, which was concluded at London on the 31st of October last between those powers, for the redress of their grievances against the republic of Mexico. I am, sir, your obedient servant, WILLIAM H. SEWARD. William L. Dayton, Esq., Sfc., Sfc., S^v. 216 , THE PKESENT CONDITION OF MEXICO. Mr. Dayton to Mr. Seward. [Extract.] No. 103.] Paris, January 15, 1862. Sir : I liave the honor to acknowledge the receipt of your despatch No. 92 with the copy of a note addressed to the representatives of Spain, France, and Great Britain, accredited to the government of the United States. ********** I have the honor to be, sir, your obedient servant, WM. L. DAYTON. His Excellency William H. Seward, Secretary of State, Sfc., Sfc., Sfc. Mr. Dayton to Mr. Seward. [Extract.] No. 113.] Paris, Fehruary 13, 1862. gijj. * * *■* * * * * * I am not surprised to hear that more difficulty to the parties allied against Mexico is likely to arise than was contemplated. If serious resistance is made, it is not improbable that France may send out an increased force, and at an early day. It is now believed that her purposes, as respects the future of Mexico, conflict with those of Spain, and that each of these powers has a special object of its own to answer. ********** With much respect, your obedient servant, WM. L. DAYTON. His Excellency William H. Seward, Secretary of State, 4rc., ^r., S^. Mr. Seward to Mr. Dayton. No. 121.] Department of State, Washington, Mareh 3, 1862. Sir : We observe indications of a growing opinion in Europe that the demon- strations which are being made by Spanish, French, and British forces against Mexico are likely to be attended with a revolution in that country, which will bring in a monarchical government there, in which the crown will be assumed by some foreign prince. This country is deeply concerned in the peace of nations, and aims to be loyal at the same time in all its relations as well to the allies as to Mexico. The President has, therefore, instructed me to submit his views on the new aspect of affairs to the parties concerned. He has relied upon the assurances given to this government by the allies that they were seeking no political objects, and only a redress of grievances. He does not doubt the sincerity of the allies, and his confidence in their good faith, if it could be shaken, would be reinspired by explanations apparently made in their behalf, that the governments of Spain, France, and Great Britain are not intending to intervene, and will not intervene to effect a change of the constitu- THE PKESENT CONDITION OF MEXICO. 217 tional form of gorernment now existing in Mexico, or to produce any political cliange tliei-e in opposition to the will of the Mexican people. Indeed, he un- derstands the allies to be unanimous in declaring that the proposed revolution in Mexico is moved only by Mexican citizens now in Europe. The President, however, deems it his duty to express to the allies, in all can- dor and frankness, the opinion that no monarchical government which could be founded in Mexico, in the presence of foreign navies and armies in the waters and upon the soil of Mexico, would have any prospect of security or perma- nence. Secondly, that the instability of such a monarchy there would be en- hanced if the throne should be assigned to any person not of Mexican nativity. That, under such circumstances, the new government must speedily fall, unless it could draw into its support European alliances which, relating back to the first invasion, would, in fact, make it the beginning of a permanent policy of armed European monarchical intervention, injurious and practically hostile to the most general system of government prevailing on the continent of America, and this would be the beginning rather than the endipg of revolution in Mexico. These views are grounded upon some knowledge of the political sentiments and habits of society in America. In such a case it is not to be doubted that the permanent interests and sym- pathies of this country would be with the other American republics. It is not intended, on this occasion, to predict the course of events which might happen as a consequence of the proceeding contemplated, either on this continent or in Europe. It is sufficient to say that, in the President's opinion, the emancipation of this continent from European control has been the princi- pal feature in its history during the last century. It is not probable that a revo- lution in a contrary direction would be successful in an immediately succeeding century, while population in America is so rapidly increasing, resources so rapidly developing, and society so steadily forming itself upon principles of de- mocratic American government. Nor is it necessary to suggest to the allies the improbability that European nations could steadily agree upon a policy favor- able to such a counter revolution as one conducive to their own interests. I will only remark that, however studiously the allies may act to avoid lending the aid of their land and naval forces to domestic revolutions in Mexico, the result would, nevertheless, be traceable to the presence of those forces there, although for a different purpose, since it may be deemed certain that, but for their presence there, no such revolution could probably have been attempted or even conceived. The Senate of the United States has not indeed given its official sanction to the precise measures which the President has proposed for lending our aid to the existing government in Mexico, with the approval of the allies, to relieve it from its present embarrassments. This, however, is only a question of domestic administration. It would be very erroneous to regard such a disagreement as indicating any serious difference of opinion in this government or among the American people in their cordial good wishes for the safety, welfare, and sta- bility of the republican system of government in that country. I am, sir, your obedient servant. William L. Bayton, Esq., Sfc., Sfc-., Sfc. WILLIAM H. SEWAED. Mr. Seward to Mr. Dayton. No. 126.] Department of State, WasJiington, March 10, 1862. . Sir: Your despatch of Febniary 21 has been received. We are giving carei'ul attention to affairs in Mexico. Whatever political designs may have 218 THE PRESENT CONDITION OF MEXICO. •found, place, though disclaimed among the motives assigned for the expedition to that country, they seem likely to fail through three causes — want of agree- ment among the parties intervening, unlooked for resistance on the part of Mexico, and the changed aspect of public affairs in the United States. I am, sir, your obedient servant, William L. Dayton, Esq., 8fc., Sfc., 8fc. WILLIAM H. SEWARD. Mr. Seward to Mr. Dayton. No. 135.] Department of State, Washington, March 31, 1862. Sir : I transmit extracts* from a despatch lately received from our very intel- ligent consul at Havana, which will direct your attention to the operations of the French government in Mexico. We have acted with moderation and with good faith towards the three powers which invited our co-operation in their combined expedition to that disturbed and unhappy country. We have relied upon their disclaimers of all political designs against the Mexican republic. But we cannot shut out from our sight the indications which, unexplained, are calculated to induce a belief that the government of France has lent favoring attention to Mexican emissaries, who have proposed to subvert the republican American system in Mexico and to import into that country a throne, and even a monarch from Europe. You will intimate to Mr. Thouvenel that rumors of this kind have reached the President and awakened some anxiety on his part. You will say that you are not authorized to ask explanations, but you are sure that if any can be made, which will be calculated to relieve that anxiety, they will be very welcome, in- somuch as the United States desire nothing so much as to maintain a good understanding and the most cordial relations with the government and the people of France. It will hardly be necessary to do more in assigning your reasons for this pro- ceeding on your part than to say that we have more than once, and with perfect distinctness and candor, infonned all the parties to the alliance that we cannot look with indifference upon any armed European intervention for political ends in a country situated so near and connected with us so closely as Mexico. I am, sir, your obedient servant, William L. Dayton, Esq.. Sfc,., Sfc., Sfc. WILLIAM H. SEWARD. Mr. Dayton to Mr. Seward. [Extract.] No. 131.] Paris, March 31, 1862. Sir ;******** "I then referred Mr. Thouvenel to your despatch, No. 121, in reference to the action of the allies towards Mexico. He said France could do no more than she had already done, and that was to reassure us of her purpose not to inter- fere in any way with the internal government of Mexico. That their sole pur- * These extracts, being of a confidential character, are reserved. THE PRESENT CONDITION OF MEXICO. 219 pose Avas to obtain payment of their claims, and reparation for the wrongs and iiTJuries done to tliem. " I stated, in reply, that the President reposed entire confidence in these assurances, but, feeling great interest in the wellbeing of Mexico and its insti- tutions, he felt that the occasion justified the expression of some general views in reference to the present and probable future of that country. To prevent misapprehension as to these views, I informed him that, although your despatch did not authorize me to give a copy, yet I would leave it in his hands to be read. " This was accordingly done." I am, sir, your obedient servant, WM. L. DAYTON. Mr. Sc7mrz to Mr. Seward. No. 15.J Legation of the United States, San Ildefonso, September 7, 1861. Sir : Yesterday's papers, which reached us this morning, were filled with ar- ticles discussing the probability of an intervention of France and England in Mexico, and urging the Sjianish government to join the two great powers in the enterprise. The tone of the ministerial journals led me to believe that an im- derstanding had already bee^ arrived at between those three governments, and I immediately called upon Mr, Calderon OoUantes for the purpose of ascertain- ing wtat had been done and what was in contemplation. I opened the conversation by referring to the above-mentioned newspaper ar- ticles and adding, that in everything that happened in Mexico, a state contigu- ous to our frontiers, the United States had a natural interest, and that it was a legitimate desire on our part to be informed of the plans which foreign powers might entertain with relation to that republic. As to the present case I had no instructions, nor even an expression of opinion from my government, but I ad- dressed myself of my own motion to her Majesty's secretary of state, hoping that, in a matter of such importance, her Majesty's government would, with its accustomed frankness, communicate its intentions to a power as interested and at the same time as friendly as the United States. I desired to know whether an understanding had been arrived at between Spain, France, and England, as to an intervention in Mexico, and what were the objects of that intervention. Mr. Calderon replied that he had no information as to the intentions of Eng- land and France, except from newspaper statements, and that neither her Ma- jesty's representatives near the courts of France and England, nor the French and English legations here, had communicated with him on the subject. He was, however, bound to say that the present government of Mexico had given her C^atholic Majesty's government just cause to complain. It had driven her Majei^ty's ambassador from the city of Mexico on groundless pretexts, and openly refused to fulfil treaty obligations solemnly stipulated by the preceding government of the Mexican republic. Spain was therefore amply justified in resorting to warlike mcasvu-es for the redress of these grievances, but she had forborne so long in order not to expose herself to the imputation of interfering in favor of one of the political parties existing in the Mexican republic. It was, indeed, most desirable that the institutions of Mexico should be placed upon a solid and pcnnancnt basis, and tliat a government be established which might be relied upon to fulfil its treaty obligations and to do justice to foreign powers. But it liad always been a ruling principal with her Majesty's government not to interfere with the internal affairs of any state or nation. As to France and England he was inclined to think that they would act promptly and vigorously, 220 THE PRESENT CONDITION OF MEXICO. and in that case it would be impossible for Spain to remain idle. If, however, Spain did take part in tliis intervention, it would be solely for the redress of her grievances, and not for the purpose of imposing new institutions upon the Mexi- can people against their own will. I then gave Mr. Calderon to understand that enterprises like this, if under- taken Avithout an understanding among all parties interested, were apt to lead to serious misunderstandings and difficulties, and he replied the European powers engaged in this matter, well knowing the interest the United States take in everything that concerns Mexico, would endeavor to come to an agreement (se mettre d'accord) Avith the United States government, and at all events, as far as Spain was concerned, we might rely upon her frankness and loyalty. A large majority of the journals I have seen express themselves in favor of the measure, and I am inclined to think the war, if undertaken, will be popular with the Spanish people. I am, sir, with great respect, your obedient servant, C. SCHURZ. Hon. William H. Seward, Secretary of State, Washington, D. C. Mr. Schurz to Mr. Seward. No. 17.] Legation of the United States, San Ildefonso, September 14, 1861. Sir : On reading my despatch. No. 15, containing a report of my conversa- tion with Mr. Calderon Collantes on the subject of Mexican affairs to this gen- tleman, he requests me to state to you a little more explicitly that his languf^|,, in respect to endeavoring to come to an understanding with the United Statfegf must be understood as having reference only to the case that Spain, in cori^ nexion with France and England, should at any time conceive the project of , interfering with the internal affairs and governmental instructions of that M republic, in which case she would endeavor to come to an understanding or^fff this subject with the United States. But she (Spain) claims and reserves th^^ right to keep peace or to go to war with Mexico for the redress of her owdl grievances, without any previous understanding with the government of 'th^ United States ; our government having been already informed, since the^imJ of Mr. Dodge, that Spain had grievances to settle with Mexico which migt^ make armed hostilities against that republic necessary. But that Spain, if thesi were undertaken, would go to that country solely Avith the object of redressing these grievances, and with no idea of conq^uest or forcibly changing the form of government there established. / I am, sir, with great respect, your obedient servant, 0. SOH^Z. Hon. William H, Seward, § Secretary of State, Washington. Mr. Seward to Mr. Schurz. No. 37.] Department of State, Washington, October 14, 1861. Sir : The attitudes which Spain, France, and Great Britain are assuming towards Mexico have excited a very deep interest on the part of the United THE PRESENT CONDITION OF MEXICO. 221 States. Toil have given us what information you possess on tlie subject in your despatclies Nos. 15, 16, and 17. Nevertheless, the objects and the character of the hostilities which Spain meditates against Mexico are only very imperfectly understood by us, though we do not doubt the entire frankness of the Spanish government in the communications it has made to you. We can well enough imagine that the Spanish government had not matured its own plans at the time when the conversations relating to them occurred between Mr. Calderon Collantes and yourself, and it seems still more probable that those plans might receive modifications at any time upon ascertaining the pin-poses and views of Great Britain and France in jegard to expeditions of their own against Mexico. I proceed, in the midst of this uncertainty, to give you the views and senti- ments of the United States in regard to the expeditions in c[uestion, that you may make them known to Mr. Calderon Collantes. The United States desire to be distinctly understood as deeming the freedom, integrity, and independence of Mexico important to the welfare of the Mexican people. The United States, by reason of their position as a neighbor of Mexico, and the republican form of their constitution, similar to that of Mexico, deem it im- portant to their own safety and welfare that no European or other foreign power shall subjugate that country and hold it as a conquest, establishing there a gov- ernment of whatever form, independent of the voluntary choice of its people. The United States, however, do not question the right of Spain, or of France, or Great Brij;ain, to levy war against Mexico for the redress of injuries sustained by the invading state, and of the justice of the war such state may rightfully judge for herself. Fourthly. The United States do not question the right of the invading states to combine as allies. The United States having had some reason to suppose that the ground of the hostilities which Great Britain and France are preparing to institute against Mexico is the sequestration of the commercial revenues of that country, which had been pledged to the payment of the interest due upon bonds of the Mexican government held by subjects of Great Britain and France, have made overtures to those two powers and to Mexico, to relieve the controversy by assuming the payment of the interest on those bonds for a term of years. Thus far we have no answer from either party to that proposition. We do not understand the grievances which Spain alleges against Mexico well enough to enable us to make any direct overtures to Spain in behalf of Mexico or to Mexico herself; but you will take an early opportunity to read this despatch to Mr. Calderon Collantes, whereby he may be assured of our desire, with the consent of the parties, to intervene with the tender of our good offices, and to express a willingness, but in no case without such assent, to assume some responsibility and incur some sacrifice to avert the necessity of a war between two nations, both of which, we trust, in common with the United States, would desire to remain at peace if they could do so consistently with their own convictions of honor and justice. The declai'ations made by Mr. Calderon Collantes to you, as you have, with his consent, reported them to us, that if Spain should agree to enter into any arrangements with Great Britain and France, concerning any proceedings against Mexico, which might affect the political organization of that republic, she would seasonably consult us upon the subject; and that if she shall determine to pro- ceed alone against Mexico, she will do so only to obtain a redress of grievances without any purpose or end of conquest, or of afiecting the political relations of Mexico, are satisfactory to the President on the points thus presented, while they, at the same time, induce us to hope that the proposition, which on our behalf is now submitted, will be received in the friendly spirit in which it is made. 222 THE PRESENT CONDITION OF MEXICO. I will add only that in any case, whetlier Spain shall proceed alone or in con- junction with other jjowers in her hostilities to Mexico, on account of the near- ness of that country to our own, we shall expect the utmost care to be taken on her part that no rights of American citizens in Mexico, nor any rights of this government in territories contiguous to the seat of war, shall be disturbed or affected. With that view we shall always have a naval force near the scene of possible conflict. I am, sir, your obedient servant, WILLIAM H. SEWAKD. Carl Schurz, Esq., ^c, ^., S^c. Mr. Seivard to Mr. ScJiurz. No. 38.] Department of State, WasMngton, October 14, 1861. Sir: Your despatches of September 20, No. 20, and of September 21, No. 21, have just been received. I have anticipated the subject in a communication which will go simultaneously with this acknowledgment. I forbear from giving you the information of the proceedings in Great Britain, on the subject of affairs in Mexico, which I have received, because you are nearer London, and are prob- ably at all times earlier informed of what occurs there than this government is, I am, sii', your obedient servant, WILLIAM H, SEWARD. Carl Schurz, Esq., 8fc., Sfc, Sfc. Mr. Schurz to Mr. Seward. No. 26.] Legation of the United States, Madrid, October, 4, 1861. Sir : The n^otiations between England, France, and Spain, relative to the expedition against Mexico, have not led to any positive result so far, and it appears somewhat doubtful whether they ever will. What I learn about them, through the public papers, and through my channels of private information, seems to confirm the correctness of the views I expressed in my despatch No. 21. As I predicted, England, desiring to limit the expedition to a mere collec- tion of port duties, stands on one, and France and Spain, having further objects in view, on the other side. I had a conversation with Sir John Oramj)ton to- day, in the course of which he assixred me that he had no doubt England would firmly maintain the ground she had taken, and peremptorily refuse to engage in any enterprise beyond a mere redress of grievances. The semi-official journals of Madrid are declaiming fiercely against the selfish and narrow-muided policy advocated by the English press. England, it seems, demands that, while the negotiations are going on, Spain shall suspend her preparations for the expedition. The ministerial papers have alternately stated that this request would be acceded to, and that the prepara- tions would be pushed on with the utmost vigor. I am informed to-day, in a private way, that orders have been sent to the captain general of Cuba to sus- pend operations, and to delay the sending of agents into the Mexican territory until otherwise directed. But I am inclined to thiuk, whatever she may be obliged to do at present to please her allies, she will not abandon her projects unless THE PEESENT CONDITION OF MEXICO. 223 gi'eat changes at home should modify the character of her government. At all events, I would suggest to you that it will be necessary to watch her movements iu the western hemisphere as closely as possible. I am infoi-med that Miramon, who has been living at Paris for some time, is shortly expected here. There can hardly be any doubt as to what he will come for. I have solicited an interview with Mr. Calderon for the purpose of question- ing him as to the plan the Spanish government means to carry out in Mexico. I shall send my report by next mail, I am, &ir, your obedient servant. Hon. William H. Seward, Secretary of State, Washington, D. C. C. SCHURZ. Mr. Schurz to Mr. Seward. No. 27.] Legation of the United States, Madrid, October 9, 1861. Sir : Yesterday I had a conversation with Mr. Calderon OoUantes, of which I will give* you the principal points. I do not deem it necessary to write out a full report, partly because it was of a rather desultory character, and partly be- cause we shall have to go over the same ground again, and then in a more formal manner, as soon as your despatch. No. 30, with accompanying documents, of which I have, to my great surprise, received notice through Mr. Calderon, will be in my hands. I reminded Mr. Calderon of our conversation at St. Udefonso concerning the intervention of Spain in Mexico, and added that, as it now seemed to be gener- ally conceded that Spain intended to go beyond a mere redress of grievances, I desired to be informed by him what the plans of the Spanish government were. The government of the United States had a right to expect that no friendly power would undertake to effect important changes in a country bordering on the United States without consulting the government at "Washington. Mr. Calderon assured me that Spain intended nothing but to obtain satisfac- tion for the wrongs inflicted upon her by Mexico ; that it was, indeed, very de- sirable that a solid government should be established there capable of giving guarantees for future good behavior, but that their internal arrangements should be left to the free choice of the Mexican people. On this point he confined himself to the assurances given me at San Ildefonso, and I may add that I give to those assurances the same interpretation. I questioned him as to the progress of the negotiation between Spain, France, and England, and he replied that these negotiations had not yet come to a close ; that Spain would wait a reasonable time, and that if within that time no agree- ment on a plan of joint action had been arrived at, Spain Avould act alone ; that meanwhile orders had been sent to the captain general of Cuba to suspend, or rathei- not to commence, active operations, but that the preparations for the ex- pedition were carried on with great activity, thus confimiing the report I gave you in my despatch No. 26. I asked him whether Spain intended to disembark troops and to operate in the interior of the Mexican republic. He replied that this was a military matter, of which he knew nothing. (There is, however, no doubt that such is the plan of the govcrimicnt.) He add(;d that England had made the proposition to invite the United States to take part in the enterprise, and that Spain had seconded the proposition. He intimated that France was not in favor of it, and I doubt 224 THE PRESENT CONDITION OF MEXICO. whetlier Spain is sincerely so. I addressed a letter to Mr. Dayton, informing him of this circumstance, and suggesting the propriety of speaking to Mr. Thou- venel about it. The only comment I have to offer on Mr. Oalderon's remarks is, that I deem the utmost vigilance on the part of the United States in the direction indicated in my despatch, No. 22, as necessary as ever, although the resistance offered by England may have rendered the execution of the plans entertained by the court of Spain more difficult than was at first anticipated. A skilful intrigue in Mexico, successfully carried through, might still render the Spanish government master of the situation. The preparations for the expedition are not carried on as rapidly as was ex- pected. The frigates Leattaci and Concepcion, which were to have sailed on October 1, are now announced to sail on October 13. I am, sir, with the greatest respect, your obedient servant, C. SCHURZ. Hon. William H. Seward, Secretary of State, Washington, D. C. Mr. Seward to Mr. Sclmrz. No. 42.] Department of State, Washington, October 28, 1861. Sir : Tour despatch of October 4, No. 26, has been received. The information which it gives us concerning the progress of the movement from Spain against Mexico is important as well as interesting. But it seems proper to reserve instructions until the result of your expected interview Avith Mr. Calderon Oollantes shall be known here. I am, sir, your ©bedient servant, WILLIAM H. SEWARD. Carl Schurz, Esq., <^., ^c, ?^c. Mr. Sc/mrz to Mr. Seward. No. 29.] Legatioxn of the United States, Madrid, October 15, 1861. Sir : General Miramon, ex-president of the Mexican republic, arrived here a few days ago, accompanied by his family and a few Mexicans. I have endeavored to learn as much as possible about his movements and plans, and ascertained the following : Miramon has had interviews with Mr. Calderon Collantes, General Narvaez, and several prominent statesmen, and it is very probable that there exists an understanding between him and the Spanish government. In two or three days he will leave Madrid for Cadiz, and sail thence, as he and his friends say, directly for Mexico. He professes to be in great haste, and conversations between him and his friends, which have been reported to me, put it beyond a doubt that the object of his voyage is a political one. What this object is I have not been able to ascertain. He expresses himself frankly about the impossibility of maintaining a republic in Mexico, and says that it will be necessary to adopt another form of government. His idea is, that a constituent congress shall be convoked for the purpose of voting a constitutional monarchy THE PEESENT CONDITION OF MEXICO. 225 and electing a king. This agrees with a plan which is now exteusivelj discussed in the Spanish press. It may be the policy of the Spanish government to avail itself of Miramon in Mexico, as it availed itself of Santana in San Domingo, although for a different object. The ministerial journals continue to indulge in high sounding declama- tions about the "mission of Spain" in Mexico, and some of them in bitte^ in- vectives against England. I am, sir, your obedient servant, C. SOHUEZ. Hon. William H. Seward, Secretary of State, Washington, D. C. Mr. Scliurz to Mr. Seward. No. 36.] Legation of the United States, Madrid, November 3, 1861. Sir : I have the honor to acknowledge the receipt of your despatches Nos. 35, 36, 37, and 38. Immediately upon their arrival, I called upon Mr. Calderon Collantes, and read to him your despatch No. 37. I hasten to write for to-day's mail a short account of the conversation which followed. Mr. Calderon expressed himself mu.ch gratified with the general tone of the despatch and the friendly intentions entertained by the government of the United States. He added that he had no knowledge of the proposition submitted by the United States to France and England. Spain was at present unable to en- tertain any offer of mediation between herself and Mexico ; for the convention for joint action had just been signed by the representatives of the three powers, and Spain was not at liberty to act alone. Moreover, she had declined a similar offer made to her by France and England at the time when her resolution to proceed to hostilities had been made public. The financial question pending between Spain and Mexico might indeed have been arranged by mediation, but the point of honor, and especially the question of the guarantees to be given by Mexico for the rights and security of Spanish subjects residing in that republic, could not be settled by any mediation. Spain could not be satisfied with any reparation of affronts suffered or any guarantees for the security of her subjects unless they came in a direct way from the Mexican government itself. I then endeavored, by putting questions and volunteering suggestions, to obtain from Mr. Calderon an explanation of the nature of the guarantees and reparations demanded by Spain, and of the manner in which they were to be obtained. I asked Mr. Calderon whether Spain would make any formal and distinct demands on Mexico. Mr. Calderon replied by recounting the history of the out- rages suffered by Spanish subjects at the hands of Mexicans and of the promises made by the Mexican government that the repetition of such outrages should be prevented. But the outrages had been repeated, again and again, and it was now the duty of Spain to see to it, that a state of things be established in Mexico which would afford sufficient protection and security to Spanish subjects. I asked in what way Spain expected to bring about such a state of things in Mexico, since it seemed that Spain did not consider the present government of that republic able to give sufficient guarantees. Mr. Calderon replied that Spain did not mean to impose a new government upon Mexico ; but that the appear- ance of the combined expedition in the Mexican waters, and the occupation of Vera Cruz and Tampico, would probably produce a moral effect sufficiently H. Ex. Doc. 100 15 226 THE PRESENT CONDITION OF MEXICO. great to induce tlie Mexican people to rally around some man of power and au- thority capable of placing the government of that country upon a solid basis. It might, for instance., give new strength and a new impulse to the conservative party in Mexico, and enable it to establish a strong government. I interposed the question, whether it was true, as the newspapers stated, that the .allied powers intended to procure the convocation of a kind of constitutional convention in Mexico, and to constitute, in this way, a new government. Mr. Calderon replied that this . plan had been discussed by the three powers, but that it had been definitively rejected. I then asked in what way Spain meant to obtain her guarantees, in case the appearance of the combined expedition in the Mexican waters should not pro- duce the anticipated moral effect on the Mexican people. Mr. Calderon replied, that the Spanish government had not fixed upon any definite plan of action to be carried out in that emergency. In general, the action of Spain would depend very much upon circumstances. Plenipotentiaries would be sent out with the expedition, and they would receive powers ample enough to shape their action according to emergencies. I remarked that emergencies might arise which might render mediation be- tween the three powers and Mexico admissible on the spot, and I had no doubt that the government of the United States would extend the tender of its good offices to such a case ; I asked, therefore, whether Spaia would empower her pleni- potentiary to accept such tender on the spot, if thereby things could be satisfac- torily arranged, and warlike measures avoided. Mr. Calderon replied that this would not depend upon Spain alone ; that the three powers would act jointly in every case; and that, therefore, no mediation could be accepted, except by common consent. The instructions to be given to the plenipotentiaries had, however, not yet been determined upon, and the matter might be taken into consideration. Mr. Calderon informed me that the invita- tion addressed by the three powers to the United States to accede to this con- vention was probably already on its way across the Atlantic, and that a good understanding was desired and anticipated. He added that in no case would Spain force a new form of government upon the Mexican people, nor would she suffer any other poAver to do so. He would, in this respect, be satisfied with the choice of the Mexican people, and it was indifferent to her whether they would establish a monarchy or preserve a republican form of government. Mr. Calderon infonned me further that all the papers relating to this affair would be submitted to the cortes, whose session will commence on the 8th instant, and that the policy of the government will be distinctly defined in the Queen's speech. * ^. * * * * * I am, sir, your obedient servant, 0. SCHUKZ. Hon. "William H. Seward, Secretary of State, Washington, D. G. Mr. Seward to Mr. Schurz, No. 48.] , Department of State, Washington, November 9, 1861. Sir: Tour despatch of October 15 (No. 29) has been received. It is very interesting, and the information is conveys concerning the aspect of the Mexican question that presents itself to the public of Madrid is important. I am, sir, your obedient servant. WILLIAM H. SEWAED. Carl Schurz, Esq., &'c„ d-c, &c., Madrid. THE PRESENT CONDITION OF MEXICO. 227 Mr. Schurz to Mr. Seward. No. 38.] Legation of the United States, Madrid, November 7, 1861. SiE : 111 my despatch No. 29, dated October 15, I gave yon Bome informa- tion concerning the movements of General Miramon. The statement that he would sail for Mexico from Cadiz has proved incoi-rect. He did, indeed, go to Cadiz with that intention, but for some reason, which I have not been able to ascertain, he returned to Madrid. Here he was received by General O'Donnell, and several other public men, with great distinction. He appeared publicly in O'Donnell's staff at the late field manoeuvres of the garrison of Madrid. I am informed he will soon go to Paris, and then sail for Mexico. That there is an understanding between him and the leading men of the Spanish government as to the object of the expedition against Mexico can hardly be doubted. I am, su', your obedient servant, C. SCHURZ. Hon, William H. Seward, Secretary of State, WasJiington, D. C. Mr. Seward to Mr. Schurz. No. 51.] Department op State, Washington, November 11, 1861. Sm : Your despatch of September 27 (No. 22) has been received, I have abeady advised you to the extent of our knowledge concerning the intentions of France and Great Britain in regard to the Mexican question. Thus far, we have not any direct communication from the government of either of those coun- tries. It seems, therefore, only necessary for me to add, that the position you have taken upon that subject, as you have made it known to me, seeing to be judicious and is approved. I am, sii', your obedient servant, WILLIAM H. SEWAED. Carl Schurz, Esc[., <^c., ^-c., 4^. Mr. Seward to Mr. Schurz. No. 56?^ Department of State, Washington, November 23, 1861. Sir : Your despatch of November 3 (No. 36) has been received. We are expecting daily direct communications from the Spanish, French, and British governments concerning then designs against Mexico. Your proceedings in the matter, and your conversation with Mr. Calderon Collantes upon it, were judicious, and the tone of his replies was frank and liberal. We wish a continuance of peace for Mexico only less than we desire a return of peace with miion for ourselves. Withoiit seeing just now what we can do to promote the former object, we shall persevere in our labors in that dkection. I am, sir, your obedient servant, WILLIAM H. SEWAUD. Oarl Schurz, Esq., (S:c., &c., &c. 228 THE PRESENT CONDITION OP MEXICO. Mr. Seward to Mr. Schurz. iq'o. 59.1 Department of State, Washington, December 6, 1861. Sir : Your despatcli of tlie 7tli of November, No. 38, has been duly received. The prudence and diligence wlaicb you have exercised in keeping us well in- formed in regard to the subject of the policy of Spain towards Mexico are very highly appreciated. I am, sir, your obedient servant, WILLIAM H. SEWARD. Carl Schurz, Esq., 8fc., Sfc., Sfc. Mr. Seward to Mr. Schurz. No. 60.] Department of State, Washington, December 11, 1861. Sir: Your despatch of November 14 (No. 41) has been received. The light it throws upon the position of Spain, her sovereign, court, and general, in regard to Mexico, is exceedingly interesting, and I trust that we shall be able to make it useful. I am charged by the Pressident to express his decided approbation of the paper. You will receive herewith a copy of my reply to the plenipotentiaries of the three powers on the subject of Mexico. We expect hourly to hear from Mr. Corwin, when we shall be able, perhaps, to foUow up the policy indicated in that communication. I am, sir, your obedient servant, WILLIAM H. SEWARD. Carl Schurz, Esq., S^., &fc., S^c. THE PEESENT CONDITION OF MEXICO. 229 OOREESPONDENOE EESPECTINQ THE AFFAIES OF MEXICO, PEESENTED TO BOTH HOUSES OF PAELIAMENT BY COMMAND OP RES MAJESTY.— 1862. TABLE OP CONTENTS. No. 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 From whom and to whom. Date. To Sir C. Wyke. do- Mr. Mathew .do. .do. To Sir C. Wyke. Mr. Mathew Sir C. Wyke.. -do. -do. -do. 1861. Mar. 30 AprU 17 Mar. 26 April 6 April 19 May 30 May 12 May 27 .—do..., June 24 .—do.... .do. .do. .do. To Sir C. Wyke. do Sir C. Wyke. do.... June 25 June 27 June 28 Aug. 21 .-..do—. July 11 July 26 Subject. Instructions on proceeding to Mexico. Murder of Mr. Bodmer. To demand redress. Enclosing a note from Senor Zarco, the minister for foreign affairs, offering to secure religious liberty to foreigners in Mexico. Correspondence with Seuor Zarco relative to Brit- ish claims. Observations. Proposed settlement of the claim of Dr. Duval's family by a grant of nationalized property. He has accepted it. Approval of proceedings with regard to the claim of Dr. Duval's family. General state of affairs. Arrival of Sir C. Wyke. Conversation with Sefior Guzman respecting the legation robbery. Government not prepared to repay the "conducta" money stolen by Sefior Degollado. Secularization of the church property. Position of the government. Correspondence with the Mexican government re- lative to the robbery of $600,000 belonging to the bondholders from the British legation house. Correspondence respecting the money taken from the Laguna Seca conducta. Necessity for employing force to obtain redress from the Mexican government. Captain Aid- ham's views as to the course to be adopted.^ Enclosing an extract from the ' ' Mexican Extra- ordinary," giving an account of the outrages on British subjects. State of the country. Military successes of the church party. Demands to be made on the Mexican government. Her Majesty's government insist on the restora- tion of the $660,000 taken from the British legation. Murder of Mr. H. M. Beale. Stoppage of all payments on account of foreign debt. Correspondence with the government. Suspension of diplomatic relations. 230 THE PRESKNT CONDITIOlSr OF MEXICO. Table of contents — Continued. From whom and to •whom. Date. Subject. SirC. Wyke. To Sir C. Wyke. Earl Cowley To Sir C. Wyke. do.... Earl Cowley do Sir J. Crampton , do Lord Lyons. To Sir J. Crampton To Earl Cowley 1861. July 28 Aug. 31 Sept. 5 Sept. 10 -do. .do. M. Isturiz... Earl Cowley. To Earl Cowley. do To Sir J. Crampton. To M. Istariz To Lord Lyons . - . . To SirC. Wyke Sept. 17 Sept. 13 Sept. 16 Sept. 10 Sept. 23 ,...do . ....do.... Sept. 24 Sept. 27 ....do.... .do. .do. Sept. 28 ...do.... Outrages by General Marquez. The country in a state of anarchy. Approval of his having suspended relations. French government will send instructions to their minister, M. de Saligny, similar to those sent to Sir C. Wyke. Proposal that Spain should be invited to join in the proposed proceedings. Her Majesty's government must hold the Mexican nation responsible for outrages on British sub- jects. Approval of his conduct. Instructions as to breaking off relations. Spanish government intend to occupy Vera Cruz and Tampico, but will act in concert with Eng- land and France. Explanations from the Spanish minister as to the intentions of his government. Views of the Spanish government with regard to Mexico. Expedition in preparation to act against Mexico. Spain desirous of joining Great Britain and France. Proposed convention between the United States and Mexico, by which the former were to pay the interest on the foreign debt in considera- tion of certain grants of land, &c. Rights on Vera Cruz and Tampico custom-houses secured to the British government. Will Spain wait till France and Great Britain have agreed upon their plan of operations ? Despatch from M. Thouvenel communicated by M. de Flahault. Proposal to seek the co-opera- tion of the United States. Her Majesty's gov- ernment wish to act in concert with the French governmen,t. Intentions of Spain towards Mexico. Advantage of the joint action of the three powers. French government request to know the plan of action proposed by the British government. Objections to any plan for the United States undertaking to pay the interest on the foreign debt. Explanation received from Mr. Adams as to the proposals the United States government wishes to make in regard to Mexico. Counter pro- position made to him. Enclosing a copy of Sir J. Crampton' s despatch of the 13th instant. Conditions considered essential in any joint inter- vention in Mexico. Her Majesty's government will consider the pro- posals of the Spanish government. Conversation with Mr. Adams. To speak in the same sense to Mr. Seward. In case of leaving Mexico to keep in communi- cation with Admiral Milne. Instructions not yet determined ou. THE PEESENT CONDITION OF MEXICO. Table of contents — Contimied. 231 From whom and to whom. Subject. SirC. Wyke... , do do do do - do To Earl Cowley Earl Cowley .. To Earl Cowley To Sir J. Crampton . Sir J. Crampton do Earl Cowley . To Earl Cowley Earl Cowley Sir J. Crampton Lord Lyons SirC. Wyke. To admiralty Lord Lyons - To admiralty To SirC. Wyke To Earl Cowley To SirC. Wyke 1861. Aug. 8 Auar. 12 Aug. 23 Aug. 24 Aug. 26 Aug. 27 Sept. 30 Oct Oct, ....do.... Sept. 21 Sept, 24 Oct. 10 Oct. 12 Oct. 18 Oct. 9 Oct 14 Sept 29 Oct. 30 Oct 17 Oct 31 ....do-... Nov. 1 ....do.-.. Letter addressed to Seiior Zamacona justifying the suspension of relations. Enclosing extract fi'om "Estafette," giving au account of the trial of the perpetrators of the legation robbery. Progress of events. Attempt on the life of the Freucli minister. Correspondence with the government. Enclosiug a decree imposing a tax of 1 per cent, on capital. Correspondence with British mer- chants. History of the British convention fund. State of affairs. Objections to forcible interference in the internal affairs of Mexico. Opinion expressed by M. Thouvenel as to inter- ference in Mexico. The Queen prepared to enter into a convention with France and Spain with regard to Mexico. United States to be invited also to give their adhesion. To propose a joint convention as above. Views of Marshal O'Donnell as to seeking the co- operation of the United States. He disclaims any intention of reconquering Mexico. Spanish government will respect the r^hts of Great Britain on the Vera Cruz and Tampico customs. French government ready to join the convention. Consider an engagement not to interfere by force in the internal policy of Mexico essential to the convention. Convention to be negotiated in London. Spanish government ready to sign a joint con- vention as to the establishment of an improved form of government in Mexico. Interview with Mr. Seward. Views of her majes- ty's government respecting Mexico communi- cated to him. State of affairs. Probable effects of foreign in- tervention. Reinforcements to be sent to the North American and West Indian squadron. Mr. Seward still anxious that the plan proposed by the United States for the payment of the foreign debt should be adopted. Naval force to be despatched to Vera Cruz. In- structions to be given to Admiral Milne and Maitland. Plan of operations. Enclosing convention signed with French and Spanish ministers. To act as British commis- sioners. Instructions. Enclosing a copy of the instructions to Sir C. Wyke. To proceed to Jamaica and join Admiral Milne. Further instructions to be sent. 232 THE PEESENT COMDITION OF MEXICO. Table of contents — Continued. From whom and to whom. Date. Subject. To Earl Cowley. To Sir J. Crampton. .. To Earl Cowley To Sir J. Crampton. .. ToSirC. Wyke Admiralty To Earl Cowley To Sir J. Crampton . . . To admiralty Sir J. Crampton . . To admiralty 1861. Nov. 1 ...do.... ...do-... ...-do.... do ....do.... ...-do.... ...-do.... ...-do.... Earl Cowley .do. ....do.... Nov. 6 Nov. 5 -do. .do. -do. To Lord Lyons , To admiralty.., .do. 80 To Sir C. Wyke. do To admiralty. Earl Cowley To Earl Cowley, To admiralty . . Earl Cowley Sir J. Crampton. Sir C. Wyke. do.... To Sir J. Crampton. Nov. 6 Nov. 7 Nov. 8 Nov. 15 ....do.... ....do.... Nov. 14 Nov. 16 Nov. 18 Nov. 19 ..-.do.... Oct. 28 ..--do..., Nov. 28 Enclosing convention. -Instructions to be sent to Sir C. Wyke. Do. do. Draft of further instructions to Sir C. Wyke. Enclosing draft of further instructions to Sir C. Wyke. Instruction as to interference in the internal affairs of Mexico. Proposed rendezvous for allied fleets. Enclosing a copy of the above. M. de Flahaulfc informed. Enclosing a copy of the above. M. Isturiz in- formed. Arrangements for conveyance of Sir C. Wyke. Spanish force to be sent to Mexico. Arrangements with regard to the French expe- ditionary force. M. de Saligny to be French commissioner and joint plenipotentiary with the French admiral. His instructions being prepared. French government concur in draft of further instructions to Sir C. Wyke. French government concur as to rendezvous. Amount of French force. Enclosing copy of convention. To invite the ad^ hesion of the United States government. Suggesting that the date of rendezvous should be settled by Admiral Milne with the French and Spanish commanders. In case of difference of opinion with regard to the negotiations, the opinions of Sir C. Wyke to prevail over that of Admiral Milne. In case of operations against the capital, the British force not to advance beyond Vera Cruz. As to operations on the Pacific coast. Instructions to be sent to Admiral Maitland as to operations on the Pacific coast. Probability of the Spanish expedition having already started. Copies of despatches to Sir C. Wyke and to ad- miralty of the 15th instant. Enclosing copy of despatch from Earl Cowley of the 14th instant. French expedition to stop at Teneriffe. Appointment of General Prim as Spanish com- mander-in-chief and plenipotentiary. Monthly report on the state of affairs. Negotiations with the Mexican government. Pro- posed convention for the settlement of British demands. Informing him of Sir C. Wyke's negotiations. Her Majesty's government consider that the joint convention affords greater security for the due fulfilment of any Mexican engage- ments. What are the terms the Spanish gov- ernment will require ? THE PRESENT CONDITION OF MEXICO. Tahle of contents — Continued. 233 No. From whom and to whom. Date. Subject. 1861. 91 To Earl Cowley Dec. 2 Similar to the above. What are the terms the French government will require ? 92 do Dec. 4 Reduced force to be sent to Mexico. 93 To Sir J. Crampton ...do.... Similar to the above. 91 Earl Cowley Dec. 3 Terms to be demanded to be left to the decision of the French commissioners. 95 Lord Lyons. ____-_.. Nov. 29 Delay in presenting the convention to the United States government in consequence of the Span- ish minister not having received his full powers and instructions. 96 do Dec 3 Copy of note enclosing the convention, and in- viting the adherence of the United States gov- ernment. 97 Sir J. Crampton Dea 10 Spanish government informed of the reduced force to be sent to Mexico. 98 do Dec. 15 Demands to be made by Spanish government on Mexico. 99 M, Istmiz. .._._... Dec. 22 Explanation respecting the sailing of the Spanish expedition from Cuba. The commander in- structed to act in concert with the forces of the allies. 100 To Sir J. Crampton... Dec. 24 Copy of the above. 101 do ....do.... Sir C. Wyke to communicate to the Spanish com- missioners the terms of the British demands. 102 Lord Lyons. -.-.-... Dec. 6 Note from Mr. Seward refusing to accede to the joint convention. 103 do Dec. 9 Copy of a joint note acknowledging Mr. Seward's note. Acknowledging note of 2 2d instant. 104 ToM. Isturiz Dec. 24 105 To Sir J. Crampton Dec. 27 Copies of despatches from Lord Lyons of the 3d, 6 th, and 9 th instant. 106 SirC. Wyke Nov. 25 Progress of his negotiations Convention signed with government, but thrown out by congress. 107 do Nov. 28 Address from British merchants and his reply. 108 do ....do.... Reported intrigues of General Doblado. 109 do ....do.... Proposed proceedings in consequence of the rejec- tion of the convention. Has presented the 1862. British ultimatum. 110 Admiralty ...... .... Jan. 2 Particulars respecting the Spanish expedition. 1861. 111 Lord Lyons....- . Dec. 21 Proceedings of the United States minister in Mexico. 1862. 112 M. Isturiz. Jan. 13 Instructions given by governor-general of Cuba to the commander of the Mexican expedition. 113 Jan. 16 Receipt of tlie above. Cannot understand why Spanish expedition did not await the arrival of the British and French forces. 114 Earl Cowley Jan. 17 French expedition to be reinforced. 115 M. Isturiz Jan. 18 Further explanations respecting the Spanish ex- pedition. lie To Earl Cowley Jan. 20 Interview with M. de Flahault. French rein- forcements to be sent. No further British force will be detached for Mexico. 117 ToM. Isturiz Jan. 23 Not satisfied with his explanations, but accept the assurance that the Spanish government will observe the terms of the joint convention. 234 THE PRESENT CONDITION OF MEXICO. Table of contents — Continued. No. From whom and to whom. Date. Subject. • 118 119 120 1?! To Sir J. Crampton Earl Cowley ToSirCWyke Sir C. Wyke. 1862. Jan. 19 Jan. 24 Jan. 27 1861. Dec. 14 Dec 29 ....do.... Representations to be made respecting the Span- ish expedition. Kumor respecting Archduke Maximilian being made king of Mexico. Instructions as to any change of the Mexican gov- ernment. Measures to be taken on the Pacific coast. Intends to proceed to Vera Cruz. British inter- ests left in charge of the Belgian minister. Arrival at Vera Crua. Eeasons for not proceed- ing to Jamaica, Proceedings of the Spanish at Vera Cruz. Aspect of affairs. 122 123 do.. do THE PRESENT CONDITION OF MEXICO. 235 CORRESPOrofflCE EELATIIG TO MEHCM AFFAIES, No. 1. Lord J. Russdl to Sir C. Wyke. [Extract.] Foreign Office, March 30, 1861. A passage to Vera Ornz haviBg been ordered for you on board tbe contract packet appointed to leave Soutbampton on tbe 2d of April, you will embark on board tbat vessel, and on your arrival at Vera Cruz proceed at once to Mexico. Tou will probably find Mr. Matbew abeady in diplomatic communication with ^ the constitutional government; for her Majesty's government can hardly doubt that it will have willingly acceded to the conditions on which the re-establish- ment of friendly intercourse has been made to depend. The instructions addressed to Mr. Mathew, both before and since the final triumph of the hberal party, made the recognition by Great Britain of the con- stitutional government contingent upon the acknowledgment by that govern- ment of the liability of Mexico for the claims of British subjects, who, either in their persons or in their property, for a long series of years can be proved to have suffered wrong at the hands of successive governments in Mexico. If Mr. Mathew should not have obtained any such concession from the con- stitutional government before your arrival, you must use your own discretion as to the time at which you should present your credentials. It is, of course, de- sirable that the re-establishment of regular diplomatic intercourse with Mexico should not be delayed ; but it might happen that the manifestation ofany undue eagerness on your part to bring about such a state of things might encourage the constitutional government to withhold the preliminary concession which Mr. Mathew was instructed to require. Her Majesty's government have all along declared that they had no desire to prejudge the quarrel between the two parties who have been long arrayed against each other in Mexico, or to side with one party against the other. Had the party of General Miramon shown a due regard for international obligations and for the rights of British subjects, the British legation would not have been with- drawn from the city of Mexico. That step was forced upon her Majesty's gov- ernment by continual disregard of the rights of British subjects and of the obli- gations of international engagements, which rendered it impossible for her Majesty's government to continue to hold relations with the constituted authori- ties. But if the newly-estabhshed government should evince a disposition to act on different principles, you will state to it, without hesitation, that the friendly feelings of her Majesty's government for Mexico have undergone no change, notwithstanding the grievous wrongs which British subjects have sus- tained at the hands of the successive governments of that republic ; that the policy of ^ the British government with regard to Mexico is a policy of non- intervention, and that the British government .desire to see Mexico free and in- dependent, and in a position to regulate the civil administration of the country, to maintain internal peace, and to discharge its international duties without the active intervention of any foreign power whatever. Her Majesty's government cannot doubt that such assurances as these will induce the Mexican government to rely with confidence, on the disinterestedness of any advice or suggestions which you may see occasion, to offer to it, though I would caution you against obtruding such advice upon it, and still more against entering into any contest 236 THE PEESENT CONDITION OF MEXICO. witli tlie representative of any other power for exclusive influence over tlie councils of tlie government. I would, moreover, particularly caution you against taking any part in the political questions which may arise between contending parties in the state. A British minister 'can never safely interfere in such matters ; but, as the repre- sentative of a country possessing liberal institutions, and therefore desiring to see other nations enjoying the same blessing, he will always be looked upon with respect, and will have more real influence for good in proportion as he keeps aloof from the factions or disputes of rival parties in the state. Your earliest attention after your arrival in Mexico must be given to th^e question of British claims. Tou are aware that it has not been the custom of« her Majesty's government, although they have always held themselves free to do so, to interfere authoritatively on behalf of those who have chosen to lend their money to foreign governments, and the Mexican bondholders have not been an exception to this rule. The constitutional government, however, while established at Vera Cruz, under the presidency of Senor Juarez, concluded with Captain Duulop two years ago an arrangement by which it was stipulated that, twenty-five per cent, of the customs receipts at Vera Cruz and Tampico should be assigned to the British bondholders, and sixteen per cent, to the holders of convention bonds. That convention was confirmed and extended by the ar- rangement lately made by Captain Aldham. The claims of the bondholders, therefore, to the extent provided for in those aiTangements, have acquired the character of an international obligation, and you shoxild accordingly insist upon the pimctual fulfilment of the obligations thus contracted. The bondholders, moreover, have sixstained a grievous loss by the robbery of a large sum of money belonging to them which had been deposited for security in the house of her Majesty's legation, and if Mr. Mathew should not have suc- ceeded before your aiTival in making a satisfactory arrangement for the early restitution of the amount thus plundered, you will insist upon such arrangement , being imiiiediately entered into with yourself. Her Majesty's government will not admit as an excuse for hesitation in this respect the plea that the robbery was committed by the late government ; for as regards this, as indeed all other claims, her Majesty's government cannot admit that the party who committed the wrong is alone responsible. Great Britain does not recognize any party as .constituting the republic in its dealings with foreign nations, but holds -the entire republic, by whatever party the government of it may from time to time be ad- ministered, to be responsible for wrongs done to British subjects by any party or persons at any time administering the powers of government. Her Majesty's government do not, indeed, anticipate any determined refusal on the part of the constitutional government to afford redress in this particular case ; but if you should meet with any such resistance, you will apprise the Mexican government that you are authorized and enjoined at once to call upon her Majesty's naval forces to support, and, if necessary, to enforce, your demand for reparation. The fact that the scene of the outrage was the residence of the British mission gives her Majesty's government a special right to enforce repa^ ration in this particular case. The robbery committed by General Degollado, when acting under the orders of the government established at Vera Cruz, on a conducta of specie on its way to the coast, in which specie British subjects were largely interested, stands next in order as an act of violence for which reparation must be obtained ; and I do not doubt that there will be no hesitation hi making good the losses sustained by that transaction. It is unnecessary for me on this occasion to go through the list of claims of British subjects which it will be your duty to press for settlement. Mr. Mathew has been instructed to present a list of such claims to the ministers of the re- public and to demand a settlement of them. THE PRESENT CONDITION OF MEXICO. 237 Yoti will find on examining this list that the several claims, although diflFer- ing in degree, are all of a nature to require reparation, and it will be your duty to arrange with the Mexican government the manner in which such reparation shall be made. Whatever arrangement you may make should be recorded in a convention. For this purpose her Majesty has been pleased to grant you a full power under the great seal. The general British claims may probably be classed under two heads : those the validity of which has been recognized, and idiose the validity of which is BtUl to be ascertained. As regards the first class, the convention should be confined to providing for the manner in which the amounts already agreed upon should be paid ; for her Majesty's government will not allow cases already examined and determined to be reopened for prospective benefit either of British parties or of the Mexican government. As regards the second class, the convention should provide for examining the claims and for the liquidation of such as may be pronounced valid, either in "whole or in part, on the same principle and in the same manner as may be stipu- lated in regard to the first class. Whether the examination of such claims shall be made by a mixed commission or not must be left to your discretion to de- termine. As regards the first class of claims, they should be severally specified in the convention, with the sums payable in respect of each ; but such enumeration will, of course, not be practicable as regards the second class, which must re- main open for the insertion of any claims brought forward before a specific day. As regards the time at which either class of the claims shall be paid, her Majesty's government are aware that some degree of indulgence may be necessary. The troubles which have for many years past distracted the republic have, as a natural result, impoverished the country, and made it difficult for the constitu- tional government to raise at once funds sufficient to provide for the immediate wants of the civil administration, and for the liabilities of the country towards foreign creditors and claimants. But you must be careful not to allow any tem- porary forbearance which you may show in pressing for the liquidation of Brit- ish claims to be construed into indifference. So far from that, you will lose no opportunity of pointing out the necessity of taking measures for developing the resources of the country, on the ground that the result of such development will be to supply the treasury not only with the means of meeting the expenses of the civil government, but also with those for satisfying all international claims. An opinion has got abroad that the constitutional government will probably adopt some measure in regard to ecclesiastical property which will place at its disposal a large sum of money. It is not the part of her Majesty's government to say whether this act should be sanctioned or not, but if by any measures of the Mexican government, which they consider right and expedient, the public treasur-y should be imme- diately or prospectively replenished, her Majesty's government may fairly urge that British claimants should have the benefit of such a state of things, and ob- tain an earlier settlement of their outstanding claims. The only question affecting the internal polity of Mexico, in regard to which her Majesty's government would feel warranted in offering advice unsolicited, is that of freedom for religious worship. Putting aside all considerations of a moral character, which are so strongly in fevor of a general liberty of conscience, it is impossible to doubt that Mexico would find great political advantage in throwing down the barrier which now prevents Christians of different sects from settling in the country, and in thereby encournging the immigration from other countries of persons whose activity and skill would contribute to improve the resources of the country. 238 THE PEESENT CONDITION OF MEXICO. I enclose a despatcli on this subject wLicli I addressed to Lord Oowley in July last. You are so well acquainted with tlie peculiarities of the Spanish character that it is needless for me to dilate on the best means of dealing with the people with whom you may be brought into contact. They are to be influenced by mod- erate language and considerate demeanor, but they resist and defy attempts to intimidate or coerce. But it may be that with alLyour tact and forbearance you will fail to obtain a hearing for well-founded representations on behalf of British subjects ; and in such cases you may, by referring quietly to the presence of her Majesty's ships-of-war on the coasts of Mexico, leave the Mexican government to infer that those ships are available for your support if your just demands should be re- jected, or if the engagements entered into with you should be disregarded. As regards the question of article 10 of the convention of 1826, you will find tliat the construction of that article has been a fruitful source of discussion be- tween the two governments, more especially during the rule of General Mirar- mon, when forced loans, under one denomination or another, but more usually, of late, under that of a tax on capital, were continually attempted to be levied on her Majesty's subjects. You will judge how far any overture on jwur part far clearing up doubts in regard to this ai'ticle, and for securing for British sub- jects exemption from all extraordinary contributions, under whatever denomina- tion they may be levied, would meet with a favorable reception on the part of tlie Mexican government, and if you see a probability of such being the case, you will frame and refer home for consideration the draft of an additional arti- cle to the convention of 1826, to which the Mexican government would be likely to agree. If any differences should arise between the Mexican government and foreign powers you will not hesitate to employ such influence as you may possess fox preventing those differences from leading to an open rupture. But in taking such a course you must be careful not to assume for yourself, or for your gov- ernment, any responsibility, and you must avoid any uncalled for assumption of mediation. With the representatives of foreign states accredited to the republic you will eaideavor to live in harmony. You will always bear in mind that neither in Mexico nor in any part of the world do her Majesty's government seek any eisclusive political influence, nor any commercial advantages which they are not ready to share with all the nations of the earth. The only object at which they aim is to secure for this country its proper place in the family of nations, and their only desire is to employ any influence which Great Britain may pos- sess for the promotion of general peace and the development of commercial industry. Enclosure in No. 1. Lord, J. Russell to Earl Cowley. [Extract,] Foreign Office, July 17, 1860. I have to state to yon that her Majesty's goveiiunent do not at all pretend to impose religious toleration as a basis in Mexico. But it appears to her Majesty's government that to restrict a quiet and obe- dient subject of the state from worshipping God in such manner as he thinks most acceptable to his Creator, whether alone or in communion with others, is a barbaious abuse of power. All that the civil magistrate can ask is obedience THE PRESENT CONDITION OF MEXICO. 239 in civil matters, and the right of religions freedom is so natural and so obvious tliat it is probable Mexico never will be tranquil so long as men are punished for entertaining a belief diflferent from that of the government. When, there- fore, there is a question of renewing our offer of mediation, her Majesty's gov- ej-ment will express in a separate despatch their conviction that a tyranny over men's consciences ought to be abandoned by the government of Mexico. No. 2. Ld)rd J. RmseU to Sir C. WyJce. Foreign Office, April 17, 1861. Sir : I have received from Mr. Mathew and from her Majesty's consul in Mex- ico an account of the barbarous murder of Mr. Edward Bodmer, the British vice consul at Tasco, whilst endeavoring to save the life of a Mexican citizen, who was assaulted by some soldiers belonging to a section of General Vicario's army. I have now to instruct you to urge the Mexican government to spare no efforts to brmg the perpetrators of this atrocious outrage to justice, and you will at the same time demand ample reparation for the widow ajid family of Mr. Bodmer. I am, &c, J. EUSSELL. No. 3. Mr. Mathew to Lord J. Russell, Mexico, March 2Q, 1861. My Lord : I have received a note, of which I have the honor to enclose a translation, from Senor Zarco, expressing the desire of the Mexican government to secui-e to her Majesty's subjects in Mexico the rights of worship according to their conscience, by an additional, or more correctly I believe, by a separate article to the international treaty. A shnilar communication has, I understand, been addressed to the ministers of the United States and Pi-ussia, who inform me that they entertain no doubt that the proposal will be gladly accepted by their respective governments. From the class of persons who are likely to be attracted to this country, in mining and other pursuits, by the prolongation of peace, I believe that to no nation will this privilege be more important than to her Majesty's subjects, and I venture to assure myself that your lordship will receive with much satisfac- tion the proposal of the Mexican government for insuring this right under the guarantee of treaties. I havB, &0., GEORGE B. MATHEW. Enclosure in No. 3. S^ior Zarco to Mr. Mathew. [Translation.] Mexico, March 25, 1861, The undersigned, &c-., has the honor to address Mr. Mathew by special com Inand of his excellency the president, and to inform him that the constitutional government of Me^co is desirous to afford foreigners full protection and security 240 THE PRESENT CONDITION OF MEXICO. with proper guarantees, and that consequently it is ready to add^an additional article to the treaty already existing between Great Britain and Mexico, whereby it shall be stipulated that foreigners may carry out freely, publicly, and under the protection of the law, their several forms of religion, and worship God ac- cording to the dictates of their own conscience. The preliminary steps in this matter can be entered upon in this capital, should Mr. Mathew be provided with the powers necessary for such transactions ; otherwise at the court of St. James, so soon as the representative of Mexico shall have presented his credentials. The undersigned, &c. FRANCISCO ZARCO. No. 4. Mr. Mathew to Lord J. Rtissel. Mexico, April 5, 1861 My Lord : In a recent and prolonged conversation with Senor Zarco, minis ter for foreign affairs, relative to British claims, that gentleman earnestly assured me of the desire entertained by his government to meet my just demands on behalf of her Majesty's subjects in every manner that the deplorable financial condition of Mexico would admit ; and further expi-essed the readiness of the Mexican government to do whatever your lordship might deem proper for pre- venting a recurrence of the exactions lately suffered by British subjects from misinterpi'etation or deficiencies in the international treaty, from which many of the existing reclamations have arisen. I thought it, therefore, desirable to address him a brief note on these subjects, in order to be enabled to submit to your lordship some definite proposals and views. The unsettled condition and future prospects of Mexico, and the experience of the last three years, render it, I feel convinced, of obvious importance that all articles of disputed interpretation in the treaty should be clearly defined, and that such additions should be made to it as your lordship may think conducive to the security of her Majesty's subjects, and to the advantage of British in terests. I have much pleasure in being able to lay before your lordship, by the en- closed translation of Senor Zarco's reply, the official declaration of the desire of the Mexican government to meet these objects. This government, as your lordship will observe, propose to refer all British reclamations, not yet recognized by it, to the examination and final decision of a mixed commission, and to assign for the gradual discharge of all English claims thus or previously admitted a stated portion of their revenues. It is distinctly understood that this proposal which I have now to submit to your lordship's consideration has no reference to the special agreement already entered into by the Mexican government for the repayment of the British money seized in the " conductas " at Lagos and Tampico, nor to the negotiation ia progress between the Mexican government and the agent of the bondholders for the restoration of the money plundered at this legation. Senor Zarco proceeds to state the willingness of his government to define or extend, as your lordship may think best, in the usual manner, the privileges to be mutually enjoyed by British and Mexican subjects respectively, and makes, in the name of the Mexican government, the declaration that they stipulate from the present moment for the extension of the right of exemption from forced THE PEESENT CONDITION OF MEXICO. 241 loans in tlie nintli article to exemption from extraordinary contributions, from which her Majesty's subjects have so severely suffered. "He observes that he has proposed by a separate note (the subject-matter of ray despatch of the 26th of March) to secure to her Majesty's subjects, by a separate article, the free right of public worship, and he transmits a copy of the now existing law for that object, which I have the honor to enclose. I think your lordship will not disapprove of my having thus taken the earliest opportunity of bringing these matters to issue. I am not aware of any other points in the international treaty calling for notice, except that of intestate estates ; but I may at the same time bring to your consideration the questions affected by the late proposed and, I imagine, discarded treaty with the United States, of any exclusive rights of transit for merchandise or of isthmus juris- diction. I have, &c. GEOKGE B. MATHEW. Enclosure 1 ia No. 4. Mr. Mathew to BeJior Zarco, Mexico, March 22, 1861. The undersigned refers with much pleasure to his recent conversation with his excellency Senor Don Francisco Zarco respecting some proposed mode of liquidation, by mutual arrangement, of the heavy claims of British subjects agamst Mexico, and he would be glad to be enabled to transmit, for the con- sideration of his government, the views entertained by his excellency and the Mexican cabinet. The consideration of this subject natui-ally led to remarks upon certain alleged doubts with regard to the wording of the present international treaty between Great Britain and Mexico, upon infractions of which many of the British claims are founded, which his excellency Seiior Zarco informed him had attracted the serious consideration of his government. The undersigned would have great satisfaction at the same time, therefore, in laying before his government any general suggestions which his excellency Sefior Zarco may think fit to communicate to him, with the view of securing, beyond the possibility of doubt or question, in Great Britain and in Mexico, to the natives of each country, the rights and privileges to which the two govern- ments have declared them entitled in civil and religious matters. The undersigned, &c. GEOEGE B. MATHEW. Enclosure 2 in No. 4. Sefior Zarco to Mr. Matheto. [Translation ] National Palace, Mexico, MarcJi 27, 1861. The undersigned, &c., has the honor of acknowledging the receipt of the note which Mr. Mathew, &c., was pleased to address him, under date of the 22d in- stant, in which, referring to a recent conversation he had with the undersigned re- specting British claims, he expresses a desire to know what are the intentions of the Mexican government as to their liquidation and settlement. H. Ex. Doc. 100 16 242 THE PKESENT CONDITION OF MEXICO. The undersigned, who has already expressed to her Majesty's charge d'affaires how sincere is the wish of the Mexican government to offer every kind of secu- rity for faithfully complying with the treaties, and to attend to all claims founded in justice, has also laid before him the great difficulties which at this moment impede an immediate and satisfactory settlement ; difficulties which are the natural consequences of a three years' civil war, and by which the public treasury has been drained, and the burdens weighing upon the revenue have been greatly increased. The undersigned has been gratified by perceiving that her Britannic Majesty's worthy representative has justly estimated the good will of the Mexican govern- ment, and is not unconscious of the obstacles which are but superficially noticed in this note. The undersigned has requested from the finance department a circumstantial statement of the assignments of the duties of the maritime custom-houses granted for the payment of foreign claims ; and as soon as this statement is made out he will have the honor of submitting it to her Britannic Majesty's charge d'affaires, in order that he may be pleased to take it into his consideration. In the meantime the undersigned can inform his excellency that the desire of the Mexican goverijment is to examine all British claims in order to ascertain their exact amount, to submit all that may be pending and not yet recognized (should her Britannic Majesty's government concur) to the scrutiny and decis- ion, without appeal, of a mixed commission, whose organization would be the subject of arrangement between the two governments, and to assign for the pay- ment of all claims thus admitted all that part of the national revenues that can be disposed of, reserving only what is absolutely necessary for covering the estimated expenditure, into which every economy, compatible with the existence of government, has been already commenced to be introduced. The undersigned would truly wish to be able to make more flattering prom- ises to her Britannic Majesty's charge d'affaires, but he prefers (and thinks it more consonant with rectitude) to use only the sincere language of truth, and to state that only which is within the limits of possibility in the present cir- cumstances of the country. The government of the undersigned recollect with satisfaction that Mr. Mathew, on the day of his official reception, offered them the full moral support of Great Britain, and they confidently hope, from the sentiments of justice and benevolence which animate the government of her Britannic Majesty, that they will see in this statement a proof of good faith, and of the sincere desire of the Mexican government to meet their just and well-founded reclamations. The undersigned takes leave to observe that when peace has been consoli dated in the republic, and the government has been enabled to direct theii' attention to the improvement of all the branches of the public administration, the increase of their revenues will be gradual and progressive, and the product, therefore, of whatever assignments may have been made of these revenues will be greater for the payment of British claims. ,The undersigned likewise observes that a general arrangement and the formation of a common fund would have the advantage of offering a greater degree of equity to British claimants, for they would thus avoid preferences in favor of some and to the detriment of others, occurrences which might take place independently of the desire of the Mexican government, and even of the British legation, who occasionally recommend and give ear to certain cases without being able to do the same for all the cases of like nature. As Mr. Mathew, in the note to which the undersigned has the honor of replying, has been pleased to suggest the propriety of laying down the clear meaning of some of the articles of the existing treaty of friendship between Great Britain and Mexico, the infraction of which has caused many of the recla- mations, the government of the undersigned perceives no sort of inconvenience THE PEESENT CONDITION OF MEXICO. 243 in making witli that of Great Britain sucli declarations as may seem best suited to prevent for tlie future all species of doubt or questions of interpretation, so that the natives of each country may enjoy when resident in the other clear and defined rights. Although, in order to arrive at this result, it may be needful to open negotia- tions, and to give the proper instructions to plenipotentiaries, the government of the undersigned declare that from the present moment they agree, with respect to the stipulations in the 10th article of the treaty of December 26, 1826, to extend the exemption from forced loans to extraordinary contribution^, limit- ing their obligation of paying to such contributions as may be legally estab- lished in accordance with the constitution of the republic, and to those which the States may impose in conformity with their particular laws and their muni- cipal regulations. The government of Mexico are prepared, with regard to any explanation or modification of any other articles of the treaty, to take into consideration any proposals or suggestions made on the part of Great Britain ; and in considering such they will entertain no other view than that of maintaiaing and of strength- ening more and more the friendly relations that happily exist between the two countries, reserving to themselves the right of proposing on their part the modi- fications which, on a careful examination, they may deem conducive to the main- tenance of these relations and the legitimate interests of the republic. With respect to the question of granting to the natives of both countries reciprocally the right of religious liberty, the undersigned has already made known to Mr. Mathew in his note of the 25th instant that the government of Mexico is willing to secure, by an additional article to the treaty, the necessary stipulation for insuring to British subjects the free exercise of their worship, and the right of adoring God according to the inspirations of their conscience. Foreign residents in Mexico enjoy this right since the triumph of the legiti- mate government, who have proclaimed, defended, and sustained the great prin- ciple of religious liberty; and such is the desire of the government to see it carried out fully into practice, that they have not awaited in proclaiming it for the suggestion of friendly powers, and they will concede the liberty of worship to all mankind, even though they should know that on this point due reciprocity had been denied to Mexican citizens in any other country of the world. In order that Mr. Mathew may form an exact idea of the principles which on this point serve as a guide to the government of the republic, and which he may commvmicate to that of her Britannic Majesty, the undersigned has the honor to enclose a copy of the decree of the 4th December last, which regulates the liberty of worship in this country, and whose provisions the undersigned hopes may be the basis accepted by the government of Great Britain for the stipula- tion proposed by the undersigned in his note of the 25th instant. The undersigned, &c. FRANCISCO ZAECO. No. 5. Mr. Matheio to Lord J. Russell. Mexico, April 19, 1861. My Lord : A public and religious ceremony having been announced to take place at Tacubaya in commemoration of the murders of prisoners and other per- sons committed there in the month of April, 1859, by order of Generals Mira- mon and Marquez, I deemed it a fitting moment to call the consideration of the 244 THE PEESENT CONDITION OF MEXICO. Mexican government to the claim of ^ the widow and family of the unfortunate Dr. Duval. Senor Zarco, in a note of which I have the honor to enclose a translation, informed me that the president was willing to assign nationalized property of the value of $25,000 for their benefit. Conscious of the all but impossibility under which the government labored of finding other means, I conceived it im- portant to the interest of Dr. Duval's family to place the offer of Senor Zarco in the hands of a respectable person, Mr. Knight, as their representative to carry it into effect ; but at the same time I deemed it right to guard myself in my reply, of which a copy is herewith transmitted, against the possible presumption of having admitted the disclaimer contained in Senor Zarco's note of pecuniary responsibility on the part of the government. T 113 vp occ GEORGE B. MATHEW. Enclosure 1 in No. 5. Senor Zarco to Mr. Mathew. [Translation.] Mexico, April 12, 1861. The undersigned, &c., in reply to Mr. Mathew's note respecting certain indemnity for the family of Dr. Duval, has the honor to inform him that, not- withstanding their desire to meet his wishes in the present instance, the Mexican government neither are nor can be held responsible, whether they be judged by international law, the laws of Mexico itself, or by the general principles of jus- tice, for the crimes of certain people calling themselves a government, and lately in possession of the capital, much less when such crimes come under the cate- gory of murders, as in the case of the unfortunate Dr. Duval. Consequently, the undersigned cannot but feel that Mr. Mathew will perceive how impossible it would be for the present government, with the principles they hold, to impose upon the country the payment of such indemnities as could not fail to give rise to a responsibility quite inadmissible. Nevertheless, the constitutional goverment, from feelings of humanity and justice, would not be indisposed to grant some kind of voluntary indemnity in such instances as the present one, and, as regards the family of Dr. Duval, would be willing to set aside house property to the amount of $25,000, the sum specified by Mr. Mathew, an arrangement which could be carried out either in actual houses or in covenant property, the latter having been secularized. The undersigned, &c. FRANCISCO ZARCO. Enclosure 2 in No. 5. Mr. Mathew to Senor Zarco. Mexico, April 18, 1861. The undersigned, &c., begs to acknowledge the notes addressed to him by his excellency Senor Don Francisco Zarco, &c., under dates of the 12th, 13th, 15th, and 16th instant. He feels most fully assured of the sentiments of reprobation with which the government of whom his excellency is a justly distinguished member must regard THE PEESENT CONDITION OF MEXICO. 245 any acts of outrage and exaction from whicli her Majesty's subjects in Mexico may have suffered, and for which they naturally look to that country for the compensation due to them, still less can he doubt the indignation with which they must view such atrocious and cowardly acts of assassination as that of which the unfortunate Dr. Duval was a victim, deeds whose advisers and per- petrators will yet, he trusts, meet condign punishment. The undersigned has received with sincere gratification the notification that his excellency the president has determined to assign immediately property of the value of ^25,000 for the benefit of Dr. Duval's widow and family, and has requested Mr, Knight, as their agent and friend in this capital, to wait upon his excellency Senor Zarco, and to concert with him all necessary steps for carrying his excellency's benevolent commands into immediate effect. The imdersigned, &c. GEORGE B. MATHEW. No. 6. Lord J. Russell to Sir C. Wyke. Foreign Office, May 30, 1861. Sir : Her Majesty's government approve Mr. Mathew's proceedings as re- ported in his despatch of the 19th ultimo, with reference to the proposed assign- ment of national property of the value of ^25,000 to the widow of the late Dr. Duval. I am, &c. ' ■ J. RUSSELL. No. 7. M.r. MatJiew to Lord J. Russell. [Extract.] Mexico, May 12, 1861. There has been but little change in the affairs of Mexico for the last two months. Senor Prieto was succeeded in the ministry of finance by Seiior Mata, whose previous nomination as minister to England I had the honor of notifying^ to your lordship, and Avho has only agreed to fill the office until the meeting of congress. The death of Seiior Lerdo de Tejada, the ablest, if not the only financier in the republic, has been severely felt at the present crisis. It seems doubtful whether Senor Mata will proceed to London; the name of Seiior Gomez Farias has been mentioned to me by Senor Zarco, in the event of a new appointment. Senor Fuente, a lawyer of some note, left Mexico by the last packet on a mission to Paris, and probably to Spain, his departure having been long delayed by the difficulty of procuring even the small sum of money necessary for his journey and support. To this complete deficiency of resources must be attributed the continued existence and increase, in various parts of the country, of guerilla bodies under the Spaniards Cobos and Vicario, and under the infamous Marquez, who pur- sues still his course of murder and rapine. Two petty attempts to create disturbances in this capital were discovered and put down in time. 246 THE PRESENT CONDITION OF MEXICO. In other respects public tranquillity lias not been disturbed, and however faulty and weak the present government may be, they who witnessed the mur- ders, the acts of atrocity and of plunder, almost of daily occurrence, under the government of Greneral Miramon and his counsellors, SeSor Diaz and General Marquez, cannot but appreciate the existence of law and justice. Foreigners, especially, who suffered so heavily under that arbitrary rule, and by the hatred and intolerance towards them, which is a dogma of the church party in Mexico, cannot but make a broad distinction between the past and the present. President Juarez, though deficient in the energy necessary for the present crisis, is an upright and well-intentioned man, excellent in all the private rela- tions of life, but the mere fact of his being an Indian exposes him to the hostil- ity and sneers of the dregs of Spanish society, and of those of mixed blood, who ludicrously arrogate to themselves the higher social position in Mexico. I have already made known to your lordship my opinion of the objectionable nature of the federal constitution now in force ; and I have not concealed my fear for the future peace of Mexico, from the utter want of patriotism among the higher classes, and from the demoralization and restlessness produced among all by the prolonged state of civil warfare. A desire for change is already stated to exist in certain quarters, and the idea of the selection of a military dictator has been put forward; but it is scarcely needful to observe that such a step would be no palliation of the present wants, and no preventive of the future dangers of the country. General St. Anna was the ablest man of that class that Mexico has produced, and the temporary good effect of his energetic character is unquestionable ; bvit that due appreciation of equal justice, of social rights, and of peaceful prosperity, by which alone nationality can be maintained, cannot be created by the strong hand of arbitrary power. The hope of Mexico rests upon the maintenance of peace. A wise basis of civil and of religious liberty has been laid down, and peace only is needed for the development of constitutional principles, and for the gradual enlightenment of the people. But seeing, as I do, so many native and foreign elements at work to disturb the existing state of things, I cannot but entertain a conviction that unless the present government or principles of government are in some way avowedly up- held by England or the United States — by a protecting alliance, or by the declaration that no revolutionary movements would be permitted in any of the seaports on either ocean — further deplorable convulsions will afflict this unfor- tunate country, to the heavy injury of British interests and commerce, and to the disgrace of humanity. I do not believe it possible that the church party, or that the former rule of intolerance and of gross superstition can ever be restored to power; so far, at least, has been secured by the result of the last civil war — the first contest for principles, it may be remarked, in this republic. But the result of the intrigues of various parties Anth different views and hopes, and the difficulties and em- barrassments purposely brought to bear upon a weak and bankrupt government, may cause an early dismemberment of the republic, and its division into many petty States. The most imminent peril, however, to Mexico, and one which will equally press on any future as on the present government, is the deplorable state of its finances. On the one hand, the supreme government have no power to raise taxes, save with the consent of the States, (and the country, though possessed of great internal wealth, is, for the present year or more, utterly ruined and exhausted by the late war;) and on the other, the resources now receivable by the government are avowedly unequal to more than half the amount of the ex- penditure actually requisite. THE PEE SENT CONDITION OF MEXICO. 247 The chief revenues arise from the import duties, and not only are these grad- ually but surely diminishing, from the smuggling consequent on the high duties so unwisely imposed on cottons and woollens, and other goods of general con- sumption, but at this moment in Vera Cruz, the chief port of the republic, no less than 77 per cent, are claimed by foreign creditors. Of this amount — 27 per cent, are assigned to the London bondholders. 24 per cent, to the "British convention," which numbers very few English holders. 10 per cent, extra to replace a,rrears. 10 per cent, to replace the money at the mint of Gruanasuato. 8 per cent, for the French convention. 77 The Mexican government has been accused, and not without some reason, of having frittered away the church property recently nationalized ; but it must be remembered that, while forced contributions, plunder, and immense supplies from the church and its supporters have enabled Generals Zuloaga and Miramon to sustain the civil war for three years, the constitutional government abstained from such acts, and have the sole robbery of the conducta at Lagos, towards the close of the war, to answer for. Their resources, during this lengthened period, were drawn from advances by individuals, on bonds for far larger sums, payable at the close of the war, and from the actual sale of a great part of this property at 25, 20, and even 15 per cent, of its supposed value. The advantageous disposal of the remainder was most detrimentally affected by the circulation of reports calculated to prevent the restoration of confidence, and the consequent investment of money. in the purchase of nationalized prop- erty; and the government have consequently been obliged by their necessities, after trying in vain every better mode of sale, to dispose of the property on "pagares" (or promissory notes) to be paid off by instalments extending over several years. These "pagares," again, they are compelled to sell by auction, at a heavy discount, to provide for the daily subsistence of the troops, and the maintenance of the government. From the foregoing details your lordship will at once understand the precari- ous condition of Mexico, and that, without some foreign interposition, the dis- memberment of the republic and a national bankruptcy appear all but inevi- table. The session of the Mexican congress, after some preliminary time spent in verifying the elections, was opened on the 10th ; and I have the honor to en- close copies of the speeches of President Juarez, and of the president of the congress, on that occasion. I am sorry to say that I entertain but little hope of much practical advantage from their deliberations ; indeed, I know not that much is in their power, espe- cially with regard to the most pressing danger, the financial position of Mexico. The bondholders might, perhaps, save their capital by submitting to a tem- porary suspension of interest ; and the establishment of a more equitable tariff, which the government are pledged to me to urge upon the congress, may lay down a better future basis of revenue. But Mexico should, whatever her distress, at least commence at home ; and tlic holders of the immense internal debt should be the first to suffer for the ruin their own folly has caused or abetted. I much fear that the republic has not produced men of sufficient energy and honor to adopt this course, unsus- tained by some foreign interposition. The effort will always be made to make the foreigner the chief sufferer from the undoubtedly bankrupt state of the country. 248 THE PEESENT CONDITION OF MEXICO. One of the first acts of the congress will be to verify the election of the presi- dent, which has recently taken place throughout the country : unless one of the candidates has a majority of all the votes cast, the congress selects ; and it is thought very possibly that by this course Seiior Juarez, though highest on the list of candidates, may be defeated, and that General Ortega may be named. Her Majesty's envoy extraordinary and minister plenipoteniary. Sir Charles L. Wyke, and Mr. Johnston, arrived safely in this capital on the 9th instant. No. 8. Sir C. Wyke to Lord J. Russell. [Extract.] ; Mexico, ikfa^/ 27, 1861. In a long conversation I had with Sefior Guzman I dwelt on the astonish- ment that would naturally be felt by her Majesty's government when informed that no steps had yet been taken for the payment of the $660,000, which we must insist on being refunded to the parties from whom it had been stolen. I added that the honor of the Mexican government was directly concerned in this matter, and therefore fully expected to hear from him some explanation, Don Leon Gvxzman was profuse in his professions of being willing to do all that could in j,ustice be required of him, but whenever I attempted to get him out of generalities, he avoided the difficulty by stating that until I was fonnally installed as her Majesty's minister here, he could not officially treat the question with me, but again expressed his willingness to render every satisfaction when the proper time for so doing should arrive. As soon after the departure of the mail as possible I shall put his sincerity to the test. The term of delay granted for the repayment of the money stolen from the "conducta" by General Degollado expires on the 11th of next month, and I have every reason to believe that they are not prepared to meet the demand that will then be made upon them. No. 9. Sir C. Wyke to Lord J. Russell. [Extract.] Mexico, May 27, 1861. It will be very difficult, if not impossible, to give your lordship a correct idea of the present state of affairs in this unfortunate country, so utterly incompre- hensible is the conduct of the government which at present presides over its destinies. Animated by a blind hatred towards the church party, the present government has only thought of destroying and dissipating the immense property formerly belonging to the clergy, without, however, at the same time taking advantage of the wealth thus placed at their disposal to liquidate the many obligations which at present weigh them down and cripple their resources. The church property has generally been supposed to be worth between 60,000,000 and .80,000,000 Spanish dollars, the whole of Avhich appears to have been frittered away without the government having anything to show for it. A considerable amount has, doubtless, been spent in repaying advances at exorbi- THE PRESENT CONDITION OF MEXICO. 249 tant interest, made to tlie liberal party when they were fighting their way to power ; but still enough ought to have remained after satisfying their creditors to have left them very well off, and in a better position as to their pecuniary re- sources than that held by any other government. Since their declaration of independence, according to a decree issued by them some time ago, anybody denouncing church property has the right to purchase it on the following terms : 60 per cent, of the value of such houses or lands are to be paid in bonds of the internal debt, (which bonds are in reality only wo^th 6 per cent.,) and the remaining 40 per cent, in " pagares " or promises to pay hard cash, at sixty, and even eighty months' sight. The pagares," of course, were subsequently discounted at an enormous sacrifice, as the government was pressed for money, and willing to pay any nominal value to obtain it without delay. In this way $27,000,000 worth of church property has been squan dered in this city alone and the government, now without a sixpence, is endeavoring to raise a loan of $1,000,000 to pay their current expenses. The church party, although beaten, are not yet subdued, and several of their chiefs are within six leagues of the capital, at the head of forces varying from 4,000 to 6,000 men. The notorious Marquez is one of these, and he has lately defeated several bodies of government troops sent against him. The reHgious feelings of a fanatic population have been shocked by the de- struction of churches and convents all over the country, and the disbanded monks and friars wandering about amongst the people fan the flame of discon- tent, which is kept alive by the women, who, as a body, are all in favor of the church. Those well acquainted with the country watch this movement with anxiety, and say that, unless promptly checked, it will lead to the downfall of the present • government, and renew again all the horrors of a civil war. In the meantime congress, instead of enabling the government to put down the frightful disorder which reigns throughout the length and breadth of the land, is occupied in disputing about vain theories of so-called government on ultra- liberal principles, whilst the respectable part of the population is delivered up defenceless to the attacks of robbers and assassins, who swarm on the highroads and in the streets of the capital. The constitutional government is unable to maintain its authorty in the various States of the federation, which are becoming de facto perfectly independent, so that the same causes which, under similar cir- cumstances, broke up the confederation of Central America into five' separate republics are now at work here, and will probably produce a like result. This state of things renders one all but powerless to obtain redress from a government which is solely occupied in maintaining its existence from day to day and therefore unwilling to attend to other people's misfortunes before their own. The only hope of improvement I can see is to be found in the small moderate party who may step in perhaps before all is lost, to save their country from im- pending ruin. Patriotism, in the common acceptation of the term, appears to be unknown, and no one man of any note is to be found in the ranks of either party. Contending factions struggle for the possession of power only to gratify either their cupidity or their revenge, and in the meantime the country sinks lower and lower, whilst its population becomes brutalized and degraded to an extent frightful to contemplate. Such is the actual state of affairs in Mexico, and your lordship will perceive therefore that there is little chance of justice or redress from such people, except by the employment of force to exact that which both persuasion and menaces have hitherto failed to obtain. 250 THE PEESENT CONDITION OF MEXICO. No. 10. Sir C. Wyhe to Lord J. Russell. . [Extract] Mexico, June 24, 1861. In my despatch of the 27t}i ultimo I stated that I should take an early oppor- tunity of testing the sincerity of Don Leon Guzman, the new minister for foreign affairs, with reference to his assertion to me that the Mexican gOYernment were most anxious to atone, by any means in their power, for the outrage committed at the British legation in November last. My interview with him took place on Saturday, the 1st instant. He said that legal measures had been- instituted against the persons who had stolen the $660,000 on that occasion, and that, if they were condemned by the courts, their property would be confiscated, and the proceeds thereof employed towards paying off that sum. This I told him I had nothing whatever to do with, having merely to insist on the repayment of the money stolen, without in any way being concerned in the means by which it was to be procured. I pointed out to Senor Guzman that the speedy repayment of the sum above mentioned was essential, not only for the honor and credit of the Mexican gov- ernment, but also for the maintenance of friendly relations between the two countries. Don Leon then assured me that before the departure of the next mail he .should be able to furnish me with such explanations relative to this matter as would prove satisfactory to her Majesty's government. With regard to the money robbed from the " Laguna Seca" conducta, he in- formed me that it should be paid at the end of the four months named as the term for liquidating this claim. On the Monday following, that is to say, the 3d of June, appeared in most of the newspapers a decree issued by the president, under the authority of the congress, whereby all payments to the creditors of the national treasury were suspended for the space of one year, with the exception of the claim commonly known as that of the " Laguna Seca," and of the diplomatic conventions. As the claim arising out of the legation robbery was not specified in the list of exceptions to non-payment, I addressed a note to Seiior Guzman on the sub- ject, copy of which, together with a translation of his reply, I have the honor to enclose. Not deeming the latter satisfactory, I again wrote to him on the 7th instant, in order to maintain the position I had taken, as well also as to prove to him that I was perfectly justified in demanding an explanation as to the omission of all ^ mention of the legation robbery claim in the decree of the 29th ultimo, which I herewith enclose for your lordship's information. Copy of this note I likeAvise transmit, together with translation of his reply, in which he endeavors to establish by inference the principle that the actual perpetrators of the lega- tion outrage are alone responsible for the wrong done on that occasion. Seeing the necessity of at once checking this attempt to shift the responsibil- ity from off the shoulders of the Mexican government, I again addressed Senor Guzman on the 14th instant, which note; had the effect of producing a reply, showing considerable temper, and in which it is plainly asserted that they will do nothing that they are not strictly bound to perform by the agreement made with Mr. Mathew at the time of his recognition of the Juarez government. The tone of this communication was, taking into consideration the general style of their ofiicial correspondence, anything but courteous, and it therefore called forth a reply from me couched in even stronger terms than my note of THE PEESENT CONDITION OF MEXICO. 251 the 14tli instant. I have the honor to enclose copy of this despatch, which has remained unanswered up to the present moment, owing, I suppose, to the resig- nation of the Guzman administration. In order to avoid all confusion, I will treat of the " Laguna Seca" claim in a separate despatch, enclosing therein the correspondence which has taken place with reference to it between the Mexican government and her Majesty's lega- tion. Enclosure 1 in No. 10. Sir C. WyTce to Senor Guzman. Mexico, June 3, 1861. Sir : In the second article of a decree bearing the president's signature, and dated the 29th ultimo, but which was only brought to my notice this morning, I perceive that the payment of all claims against the national treasury, except tliose guaranteed by diplomatic conventions, and the one commonly known as that of the " Laguna Seca," is to be suspended for the period of twelve calendar months. Without entering into the grave questions that may arise out of the practical operation of this decree, I will simply call your attention on the present occa- sion to the omission of all mention in it of the claim caused by robbery from her Majesty's legation of the sum of $660,000 belonging to the English bond- holders. The settlement of this claim, which so nearly affects the honor and credit of the Mexican government, cannot surely be intended to be postponed until after the expiration of the term mentioned in said decree for the suspension of pay- ment. Your excellency will greatly oblige me by clearing up all doubt on this sub- ject, for the question involved is one of the greatest importance, as nearly affect- ing those good relations between our respective governments which it is our duty as well also, I am sure, our mutual desire to maintain. I avail, &c. C. LENNOX WYKE. Enclosure 2 in No. 10. Senor Guzman to Sir C. Wyke. [Translation.] Mexico, June 6, 1861. The undersigned, &c., has the honor of replying to the note of his excellency the British minister under date of the 3d instant, in which his excellency is pleased to ask for an explanation of the omission to include among the excep- tions to the decree of the 29th of May last, upon the subject of a general sus- pension of treasury payments, the $660,000 belonging to the London bond holdei-s, and stolen by the rebels from her Britannic Majesty's legation. In doing so, the undersigned has the honor to inform Sir Charles Wyke that the susp(;nsion of payments does not and could not include the 660,000 in question, and consequently there was no necessity to make any exception in this case. By the aiTangement made in the matter of the $660,000 the Mexican gov- 252 THE PRESENT CONDITION OF MEXICO. ernment has assigned for their payment the property of the responsible par- ties, and only in the event of sxxch property proving insufficient for the purpose did it engage itself to treat of and settle amicably the reimbursement of the whole sum. Inasmuch, then, as the money is not being paid by the national treasury, the suspension of payments referred to does not and cannot afPect it. Were, indeed, the treasury eventually called upon to make good any deficiency, the suspension, of payments could never prove an obstacle in the way of its carrying out such an arrangement. In offenng these explanations, which he doubts not will appear satisfactory to Sir C. L. Wyke, the undersigTied, &c. LEON GUZMAN. Enclosure 3 in No. 10. Decree. Le citoyen Benito Juarez, Pre'sident Interimaire Constitutionnel des Etats- Uni Mexicains, a tons leurs habitants faisons savoir : Que le Congres Souverain de la nation a bien voulu decreter ce qui suit : — Article 1. L'Executif est autorise a mettre en cours force des titres ("es- crituras") de capitaux nationaux imposes sur immeubles ruraux et urbains, en quantite suffisante pour lui procurer le 1,000,000 piastres auquel se refere le Decret du 20 du eourant, avec un escompte pouvant s'elever jusqu'au deux pour cent, mensuel. Art. 2. Sont suspendus, pour une annee, les paiements aux creanciers du Tresor national, a I'exception de celui de la conduite de Laguna Seca, et des conventions diplomatiques ; pendant ce temps, le Congres de I'Union rendra les lois de credit public, de suppression des douanes interieures et "alcabalas," de reforme de Tarif et d'etablissement de la contribution directe. Art. 3. L'Executif presentera une initiative d'arrangement pour la sus- pension des conventions diplomatiques, en rendant compte du resultat an Congres pour son approbation. Articulo 4. En dehors des exceptions qu'etablit Particle 2 I'Executif ne pourra faire d'autres paiements que ceux d'administration. Donne dans la Salle des Seances du Congres de I'Union, le 29 Mai, 1861. JOSE MARIA AOUIRRE, Depute President. GUILLERMO VALLE, Depute Secretaire. E. ROBLES GIL, Depute Secretaire. Pourquoi j'ordonne, &c. Palais du Gouvernembnt Federal a Mexico, le 29 Mai, 1861. Au Citoyen Jose Maria Oastanos, Ministre des Finances et du Credit Puhlic. Enclosure 4 in No. 10. Sir C. TVyJce to Senor Guzman. Mexico, June 7, 1861. Sir : I have the honor to acknowledge receipt of your excellency's communi- cation bearing yesterday's date, in reply to my despatch of the 3d instant, in which I requested you to inform me why all mention of the legation robbery THE PRESENT CONDITION OF MEXICO. 253 had been omitted from that article of the decree of the 29th ultimo which speci- fies the exceptions that are to be made to the suspension of payment of all claims against the national treasury for the space of twelve calendar months. In the second paragraph of your above-named despatch, your excellency in- forms me that the decree of the 29th could not affect the case of the legation robbery, and that consequently there was no necessity to mention the claim arising therefrom in the list of exceptions to the general rule of a suspension of payments; and yet, in the concluding sentence of the third paragraph, you in- form me that if the means adopted for the liquidation of this claim should prove insufficient, that then the national treasury would make up the deficit. Seeing that this must eventually be the case, your excellency will easily understand why I was anxious to obtain the assurance Avhich you have now given me, that the payment shall be made out of the national treasury, for the means you have hitherto adopted to repay the money stolen have not produced the desired result. As I had the honor of stating to you in our recent conversation with reference to this matter, the prompt settlement of this claim equally affects the honor of both governments, an opinion in which you fully concurred, at the same time assuring me that before the departure of the next European mail you would be able to prove to me the honorable intentions of your government in doing all ia their power to satisfy the just demands of that of her Majesty. Fully trusting in that assurance, I will no longer dwell upon a subject the importance of which is well known to your excellency ; indeed, I should not again have alluded to it, were it not for my desire to prevent the possibility of any misunderstanding arising with reference to it. I avail, &c. C. LENNOX WYKE, Enclosure 5 ia No. 10. Senor Guzman to Sir C. Wyke, [Translation.] Mexico, June 12, 1861. "With your excellency's note of the 3d instant, which the undersigned had the honor of receiving on the 4th, the question raised by your excellency about no exception having been made in the decree of the 29th for the robbery committed by the rebels at the British legation should have terminated. But, hke your excellency, the undersigned is desirous of preventing any misunderstanding upon this point, and considers himself, therefore, under the necessity of explaining matters. Now there is a palpable difference between asserting, as did the undersigned, that, in the event of the legation robbery not being covered by the property of the perpetrators thereof, the Mexican government were under an obligation to treat about and arrange the reimbursement of the moneys taken, and positively affirming that under similar circumstances the deficiency would have to be cov- ered by the national treasury. The undersigned hinted, indeed, at the possibility of such a contingency, but he never did, nor could he, say that it was a certainty ; such a statement was out of the question, inasmuch as it is not possible to give a positive assurance about any matter which has to be treated of and settled, before the treatment and settlement shall have taken place. With regard to the loyal intentions of the Mexican government, of which the 254 THE PKESENT CONDITION OF MEXICO. undersigned lias assured your excellency — your excellency at the same time being pleased to acknowledge them — the undersigned can state that stringent orders have been given for expediting the judicial inquiries which have been in- stituted, so as to permit of the money stolen .from the legation being repaid by whatever property of the responsible parties has been or may be embargoed. The undersigned, &c. LEON GUZMAN. Enclosure 6 ia No. 10. Sir C. Wh/ke to Senor Guzman. Mexico, June 14, 1861. Sir : Unwilling as I am to prolong a correspondence which I fear will lead to no practical result for some time to come, yet I cannot pass over in silence your excellency's note of the 12th instant, written in reply to mine of the 7th, without at once protesting against the doctrine therein attempted to be established by inference, to the effect that the actual perpetrators of the legation outrage are alone responsible, in their persons and property, for the wrong done on the 17th of November last. Now, according to every principle of international law having reference to cases in any way similar to the one in point, her Majesty's government is per- fectly justified in holding the State of Mexico (I use the word in its largest sense) responsible for the insult done to their legation, and the robbery of British prop- erty committed on that occasion, without in any way occupying themselves with the mere individuals who acquired so unfortunate a notoriety by a crime which it should have been tlie first duty of the present government to punish and atone for. It was an express stipulation on the part of her Majesty government, before recognizing that of President Juarez, that this obligation should be complied with, and Mr. Mathew, late her Majesty's charge d'affaires, was so fully con- vinced of the sincerity of his excellency's then cabinet in this matter, that he at once proffered the recognition he had to offer, without waiting to see the accom- plishment of a duty which was binding, in honor as well as justice, on the parties who had inherited the advantages as well as the responsibilities of their prede- cessors. If Mr. Mathew's confidence has been misplaced, that can in no way affect the rights of her Majesty's government in this matter, which, as represented by me, I now again insist on, as well for the principle involved as for the interests of the parties concerned. When I had the honor of communicating verbally with your excellency on this subject, I had hoped that you had clearly understood the view taken of this question by her Majesty's government, and the more so as, according to those principles of international law now universally acknowledged, there is only one way of looking at it. I avail, &c. C. LENNOX WYIO:. THE PEESENT CONDITION OF MEXICO. 255 Enclosure 7 in No. 10. Senor Guzman to Sir C. WyJce. [Translation.] National Palace, Mexico, June 15, 1861. Tlie undersigned, &c., lias the lienor to address himself to his excellency Sir Charles Lennox Wyke, &c., and to inform him that, without insisting upon con- tinuing the correspondence that his excellency was pleased to commence, and which, according to the declaration in his note of the 14th instant, he does not desire to prolong, the undersigned must take notice of the protest that his ex- cellency makes "against the doctrine which is attempted to be established by inference, to the effect that the actual perpetrators of the legation outrage are alone responsible in their persons and property for the wrong done on the 17th of November last." Without entering into a question which is irrelevant, and confining himself to his note of the 12tli instant, the undersigned finds himself compelled to explain matters by observing that in his said note of the 12th no doctrines were laid down, but facts were recalled ; facts consigned in an agreement concluded be- tween the agent accredited by the English government and the minister, of foreign affairs of the Mexican government. The government of the undersigned is disposed to treat questions of right on the ground of justice and reason, but will not prejudice them, nor allow them to be prejudiced, by introducing them incidentally and out of their place, or con- trary to established foi-ms. Thus, then, and without its being understood that the doctrines noted down by his excellency are accepted or rejected, the under- signed has the honor to assure him that in the matter of the legation robbery he will be strictly bound by the agreement entered into by the representatives of both governments, without discussing whether it be good or bad, inasmuch as the opportunity of so doing has passed. The midersigned hopes that his excellency will do him the justice to admit that he cannot occupy himself in this note with the other questions that his ex- cellency introduces into his note, because, if upon this principle we were to go on mixing up questions indiscriminately, their solution would become more and more intricate and eventually impossible. If, on the contrary, we give to each one the independent place its nature requu-es, its solution will be as easy as it will be prompt. The undersigned, &c. LEON GUZMAN. Enclosure 8 in No. 10. Sir. C. Wyke to Senor Guzman. Mexico, June 18, 1861. Sir : I have the honor to acknowledge receipt of you excellency's note of the 15th instant, a careful perusal of which leads me to infer that you think you have a right to complain of the tone of my communication of the 14th, to which it is a reply. In that despatch I endeavored, in terms as clear and concise as possible, to put the question which has given rise to the present correspondence in its proper light, and in doing so I conceive I was fulfilling a duty imperative on me to per- 256 THE PEESENT CONDITION OF MEXICO, form, as no possible misunderstanding as to the views of her Majesty's govern- ment with reference to this matter must arise, as far as it lies in my power to prevent it. On the 17th of November last an outrage was committed by the de facto government of Mexico on the legation of a friendly power, which was not only a disgrace to its perpetrators, but a direct, act of felony on the subjects of that power ; and this crime up to the present moment remains unatoned for. It is not by the vain promises of an agreement, never yet acted up to, that such a scandal can either be forgotten or forgiven, and therefore I should be de- ceiving you were I not clearly to point out that her Majesty's government will hold the republic of Mexico and its government directly responsible for what is complained of. In succeeding to the offices of your predecessors, you have inherited their responsibilities, and international law renders these as binding on you as if the last three years' civil war had never existed, and you had peaceably succeeded to the places of the former administration. ' The continuance of the good rela- tions now existing between our respective governments renders the clear under- standing of this principle absolutely necessary, and therefore no false delicacy shall prevent my insisting upon it, however ungracious it may appear on my part thus repeatedly urging it upon your excellency's attention. You inform me that no doctrine was laid down in your excellency's note of thfe 12th, but that acts were therein recalled, "acts consigned in an agreement concluded between the accredited agents of our respective governments." I have looked in vain in that communication for the mention of any act of reparation, and have found only promises of redress to the effect that the per- sonal property of the individuals who committed the outrages shall, if condemned by the legal authorities, be held liable to indemnify the losses sustained by British subjects on the occasion referred to. Now, in the first place, the legal process which you mention has, up to the present moment, resulted in absolutely nothing; and in the second, had it even produced the full effects which you desired, the pecuniary resources thus ob- tained would have proved quite inadequate to cover the loss sustained, as it is notorious that the value of the united property of all the parties concerned in the legation robbery would not exceed.one-sixth part of the money stolen on that occasion. Your excellency informs me that your government is disposed to treat ques- tions of right on the grounds of justice and reason, but will not allow them to be prejudiced by being introduced incidentally and out of place, in violation of established form. It is in complete accordance with the rule that you have thus laid down that I now again call upon your government to treat this grave question on the prin- ciples of justice and right, by adopting serious measures for repairing the wrong done instead of repeating promises which have hitherto led to nothing, and which never can lead, as already pointed out, to anything but a partial repara- tion of an insult and an injury to the nation which I have the honor to re- present. I see no use whatever in prolonging a correspondence on this subject, which must be treated according to the well-defined principles of international law, and not according to the partial wishes of one of the parties interested in it. Having thus placed you in possession of the views of her Majesty's govern- ment with reference to this question, I avail, &c., C. LENNOX WYKE THE PEESENT CONDITION OF MEXICO. 257 No. 11. , Si?- C. IVyke to Lord J. Russell. Mexico, Jime 24, 1861. My Lord : On the recognition of tlie Juarez government by Mr. Matliew it was agreed on with them that the remainder of the money due from the robbery of the "Laguna Seca" conducta shoukl be repaid within four months from the dkte of such recognition. The term having expired on the 11th instant, I then addressed a note to Senor Guzman on the subject, copy of which I have herewith the honor to enclose,, together with the translation of his excellency's reply, by which your lordship. Avill perceive that the difficulty of the situation and the penury of the treasury are urged as excuses for not fulfilling their engagement by the payment in specie of the debt owing. Such being the case he offers compensation in the shape of convents, farms recently belonging to the church, or even the national palace itself; and if these should not suffice, his excellency proposes that each in- dividual claim shall be admitted to the full amount in payment of duties on any future importations made by any of the parties having such claims. Nothing- can apparently be fairer than such a proposal, but to anybody actually on the spot its unsatisfactory nature is at once apparent for the foUoAving reasons : Were this government to be upset and the church party to return to power, any such grants as those above named would at once be repudiated; and the remission of duties, which is the most plausible of the proposals made, might at any moment be set aside by a decree founded on the urgent necessities of the government for ready money to carry on their current expenses. On my cummunicating a copy of Senor Gruzman's note of the 12fch, through Consul Grlennie, to the parties interested, they, after due consideration, refused the offer made on these grounds ; at the same time saying that what they wanted was ready money to meet the engagements which had devolved on them in con- sequence of the robbery of the "Laguna Seca" conducta, which refusal I con- veyed to Senor Gruzman in a note dated the 22d instant, copy of which I have now the honor to enclose. Knowing the utter impossibility of obtaining ready money from a government which is actually penniless, I recommended the parties interested not to refuse listening to any further proposals that the Mexican commissioners might have to make them, and they, in compliance with my recommendation, have accord- ingly named two members of their body to represent them in the conferences now about to take place with reference to this matter. Thus stands the case at present, and I fear that in this instance also the interests of British subjects will again be sacrificed to the reckless folly and bad*faith of this government. I have, &c. 0. LENNOX WYKE Enclosure 1 in No. 11. Sir C. IVyke to SeTior Guzmayi. Mexico, June 11, 1861. Sir : A few days ago I had the honor of explaining to your excellency the present position of what is generally known as the "Laguna Seca" conducta claim, and as on that occasion I gathered from your excellency's remarks that the Mexican government considered itself bound to carry out in ail sincerity the H. Ex. Doc. 100 17 258 THE PRESENT CONDITION OF MEXICO. arrangements for repayment laid down in Seilor Zarco's note to Mr. Mathew of the 12tli of February last, I request your excellency to inform me, at your earliest convenience, to whom the sufferers by the above-named robbery are to apply, at the ports of Vera Cruz and Tampico, for the sum of money forcibly taken from them by Senor Degoilado at Laguna Seca. This sum, as I believe your excellency is aware, amounts, with interest, to $285,569 38, and I may further add that every British subject interested in the question is furnished with, and ready to produce, the documents necessary to prove the legitimacy of his particular reclamation. I avail, &c. C. LENNOX WYKE. Enclosure 2 in No. 11. SeTior Guzman to Sir C. Wyke. [Translation.] Mexico, 'June 12, 1861. The undersigned, &c., has the honor to reply to the note of his excellency Sir C. Lennox Wyke, &c., under date of yesterday, and to inform him that the government of Mexico always has been and ever will be ready to fuMl its en- D-ao-ements with British subjects. This is more especially the case with respect to the funds seized by General Degoilado at Laguna Seca, so much so that even when the government was compelled to make a general suspension of payments care was taken not to include therein the funds in question. The government has spared no effort to get together sufficient moneys for meeting the debt, the payment of which, with the fullest intention of acting up to their engagements, they had fixed for the 11th instant. The difficulties, however, of the moment, combined T>dth the penury of the treasury — facts which are now publicly notorious, and have doubtless come to the knowledge of your excellency — have rendered of no avail the efforts of government, and frustrated their best intentions ; still good security has been given, and no small portion of the Laguna Seca credits taken as cash-payments. Thus, then, the undersigned is under the painful necessity of informing your excellency that it will be quite impossible for the government to fulfil, at the specified time, their engagements in the matter of Laguna Seca, and they are consequently placed in the painful position of having to enter into some fresh arrangement with the parties interested therein. , If the financial crisis was of less import, if the government could count upon their actual resources being sufiicient to cover even a portion of their most pressing liabilities, they would assign part of those resources for the settlement of the above preferential claim. Owing, however, to the extreme scarcity of money, and to the certainty thkt for the moment cash-payments are quite out of the question, they prefer avowing honestly their actual j^osition to hazarding some new promise, which they would find themselves under the painful neces- sity of breaking. The government recognizes the just rights of the creditors, and are resolved upon making every possible sacrifice in order to satisfy them. Government can dispose of convents and other valuable property. These, and even the national palace, are at the creditors' disposal; they may take their choice, and whatever they select shall at once be consigned to them at an equitable and conventional price. These same creditors, moreover, can count upon their credits being admitted • as cash in any transactions, whether on account of duties, or otherwise, which they may have with government. THE PRESENT CONDITION OF MEXICO. 259 In order satisfactorily to arrange their business, Mr. Deputy Mata and Senor Zarco liave been appointed commissioners to treat with the parties interested, who, on then- part, may Hkewise talk over the matter with those gentlemen, and make whatever propositions they may deem suitable, always remembering that the government will leave nothing undone to bring the question at issue to an ami- cable and successful termination. The undersigned, &c. LEON GUZMAN. Enclosure 3 in No. 11. Sir C. Wyke to Senor Guzman. Mexico, June 22, 1861. Sir : On the receipt of your excellency's note of the 12th instant I commu- nicated a copy of it to those persons directly interested in the question to which it referred. It was only yesterday that I was made acquainted with their views on the subject, which I will now put you in possession of as briefly as possible. They naturally cannot accept the plea of poverty put forward to excuse the non-pay- ment of so sacred an obligation as that contracted by the Mexican government with her Majesty's late charge d'affaires on the occasion of that government re- ceivmg the formal recognition of Great Britain, when the repayment within the space of four months of the money belonging to British subjects that had been stolen from the conducta of the Laguna Seca was one of the express conditions on which that recognition depended. Since that engagement was entered into several millions of hard dollars have passed through the hands of the Mexican government, so that they cannot, with anything like reason, plead their poverty as an excuse for not having provided the funds necessary to meet the demand now brought against them. It is clear that as specie was stolen money should be repaid, for it is with currency alone, or good bills to the same amount, that the engagements of the sufferers in this affair can be duly met. Farms, convents, or even the national palace itself, may be valuable property in its way, and yet not at all suit the wants of those who, as in the present instance, would not be able to convert it into ready money for their immediate necessities. For these reasons the parties interested cannot accept the offer of indemnifi- cation made to them in your excellency's letter to me above mentioned, and must hold the Mexican government responsible for all loss and prejudice accruing to them through that govornment failing to repay the. money owing within the time specified. As, however, it would not be courteous absolutely to refuse the offer made in your excellency's letter of the 12th, I have recommended the parties interested to name two amongst their number to wait on the commissioners appointed by your excellency, in order to leam from those gentlemen what further steps the Mexican government intends taking with a view of satisfying this pending claim against them. I have just learned that Mr. Whitehead and Mr. Watson have been appointed by the English merchants to confer with your commissioners, Don Jose M. Mata and Don Francisco Zarco, and I trust that, in the conferences about to be held between them, some means may be found for protecting the interests, and at the same time satisfying the just demands, of those persons in whose name I have had the honor to address you. I avail, &c. 0. LENNOX WYKE. 260 THE PEESENT CONDITION OF MEXICO. No. 12. Sir C Wyhe to Lord J. Russell. [Extract.] Mexico, June 25, 1861. A perusal of my preceding despatches and their enclosures will prove to joixr lordship that no further reliance can be placed on the promises or even the formal engagements of the Mexican government. If the old church party succeeds in driving from power the present ultra liberal administration, we shall then be even still worse off, as will be seen by the enclosed copy of a decree recently sent to me by ex-President Zuloaga, avIio, with his lieutenant, Marquez, is at the head of a considerable armed force, which, after twice defeating the government troops, is at this very moment attacking the gates of the city of Mexico. It will thiTS be seen that, with the contending parties, we have not a chance of obtaining justice from either as long as we confine ourselves to remonstrating instead of employing coercion. Under such circumstances it appears to me that only two courses are open to us, viz : either to withdraw the mission altogether from a country where its dig- nity is compromised, and where, consequently, it has become useless, or else to support its influence by such means as will compel obedience to oiir just demands, and obtain that redress for the wrongs and grievances of British subjects which they are lawfully entitled to claim. There is but one way of obtaining such redress, and that is by employing her Majesty's naval forces simultaneously at the ports on both coasts of this repub- lic, when the moral effect produced would equal the material pressure, and insure prompt compliance with any conditions which we might choose to impose. Captain Aldham, who during the last three years has gained a very clear insight into the Mexican character, and the manner of evading their engage- ments so peculiar to their officials, is of opinion that the time for leniency is past, and that if we mean to protect the lives and properties of British subjects coercive measures must now be employed. Before he left the station I consulted with him upon the best means of using such coercion should it become inevitable, and I will now convey his views to your lordship in as few words as possible. He thinks that a blockade is not advisable, on account of the large force that would be required for that purpose on so extensive a line of coast, to say nothing of the commercial difficulties to which it would give rise, besides the fact that by so blockading we should actually be robbing ourselves of the percentage on the duties levied at Vera Cruz and Tampico. This plan, then, presenting so many objections. Captain Aldham is of opinion that the next best thing to be done is to take possession of the custom-houses of Vera Cruz, Tampico, and Matamoros, on the Atlantic ; and of either Acapulco, Mazatlan, or San Bias, on the Pacific ; to lower the duties on all goods landed at those places ; and to pay ourselves by the percentage to which we are enti- tled, but which we now never obtain, owmg to the rascality of the Mexican authorities, who either suspend payment altogether, or only give us one-fifth of what we ought to receive. Reducing the tariff would paturally largely increase the importations, and thus enable us rapidly to pay off long arrears of what is now owing to us, and which we shall never obtain without some measure of this sort being adopted. It may be urged against this plan, that the Mexican government would place THE PEESENT CONDITION OF MEXICO. 261 a line of interior custom-liouses for levying other duties, and thus partially defeat the object we have in view. Bnt this objection is easily set aside by anybody really knowing the country, as the badly paid and venal officers serving on this second line would not be able to resist the temptations which the importers at the ports who had paid only a low entrance duty would know how to throw in their way ; besides, the Mexican traders themselves would not allow such an impost to be levied, and would, for their own interests, force the goods into the interior, when, by their sale, they would realize large profits. In order to take and hold these places, Captain Aldham considers that a squadron of from six to ten vessels-of-war should be employed ; some of these should be of the frigate class, and others gunboats drawing not more than from seven to eight feet of water. ^ Vera Cruz and Tampico are the most important places on the Atlantic, owing to their trade and the specie shipped there, and these are the only places on either coast which would, in Captain Aldham's opinion, require any force to take possession of. Two frigates at the anchorage, and a garrison of 300 men for the Castle of San Juan de Ulloa, would be sufficient to hold the former town, it being completely commanded by the castle which is roomy and airy, and not unfitted, Captain Aldham says, for a British garrison. Tampico lies some seven miles up the river, which has seldom more than six to ten feet of water on the bar. There would be no difficulty in taking the place, and a gan-ison.of from 100 to 200 men, with one or two gunboats, he thinks enough to hold it. On the Pacific coast, Acapulco is probably the most important place for trade ; Mazatlan comes next, and then San Bias. The former has a good anchorage, but its climate is unhealthy. Mazatlan could easily be garrisoned by a small force, and there is high gi'ound overlooking the town already fortified, San Bias is an open roadstead, and unsafe in the rainy season; it is of im- portance from its trade and the specie shipped there. For the object we have in view, I think taking one or two of these places quite sufficient, and the naval officer in command on that coast could use his discretion as to which of them he should occupy. Should her Majesty's government adopt a course which I am convinced will pre- vent all future difficulties with Mexico, the sooner measures are taken for carrying this plan into execution the better, for the sake of putting a stop to an accumu- lation of grievances and claims which will go on increasing until this govern- ment is taught that it cannot set every principle of justice at defiance with impunity. The French' have only a small debt of ^190,000 to recover, which is being chiefly paid off by 25 per cent, of the import duties levied at Vera Cruz on car- goes brought in French ships. The Spanish claim 8 per cent, on all import duties for some claim of theirs which is in suspense, and therefore the interest thereon is not paid. Besides this they have what is known as the Padre Moran claim of ?§825,000, which receives about a sixth of the sum assigned to the British convention. I mention these obligations to foreign governments because they would gladly see our occupation of these ports, from a knowledge that, under our administra- tion, justice would be awarded to all, and that the money thus collected would be fairly distributed amongst the various claimants. From the moment that we sliow our determination no longer to suffer British subjects to be robbed and murdered with impunity we shall be respected, and every rational Mexican will approve of a measure which they themselves are the first to say is necessary, in order to put a stop to the excesses daily and hourly committed under a government as corrupt as it is powerless to maintain order, or cause its own laws to be execnted. 262 THE PRESENT CONDITION OF MEXICO. Enclosure in No. 12. Decree. [Translation.] Felix Zuloaga, general of brigade and president ad interim of tlie Mexican republic, to its inhabitants. Be it known — That in virtue of the full powers with which I am invested, I have been pleased to decree the following : Article 1. The party in Mexico that at present assumes the title of govern- ment, not possessing any character of legality, aft its acts are null and void, and for the same reason the government of Tacubaya does not recognize any engage- ments that may be entered into with the government that has intruded itself into power. Art. 2. Every individual who shall lend to the faction denominated " Con- stitutional" any sort of help, whether as a loan or in any other manner, shall pay afterwards to the government of Tacubaya double the quantity that he may have furnished, and will remain subject to the penalties which he may have incurred, as settled by the law, as an enemy of his country. Art. 3. All foreigners, of whatever nationality they may be, are included in the preceding articles. Given at headquarters, at Tepeji del Rio, this 4th of June, 1861. FELIX ZULOAGA. Don Antonio Andradb, Under Secretary of State charged witJi the Department. I have the honor to communicate the above to your excellency for your in- formation, and for the due fulfilment of the same. God and order ! J. ANTO. ANDEADE. . Tepeji del Eio, June 4, 1861, No. 13. Sir C. TVyhe to Lord J. Russell. Mexico, June 27, 1861. My Lord : Although the enclosed extract from this day's " Mexican Extra- ordinary" gives an account of the outrages perpetrated on British subjects which is not accurate in all its details, I still think it worthy of your lordship's notice, as showing at a glance the amount of wrong done, which still remains to be atoned for. The list is unfortu.nately by no means complete, but I forward it as it is, in order that your lordship may form an idea of the indignation felt by the English community in Mexico at being subjected to such brutality, without ever obtain- ing redress from the successive governments of this republic, each of which invariably asserts that it is not responsible for the acts of its predecessor. I have, &c. C. LENNOX WYKE. THE PEESENT CONDITION OF MEXICO, 263 Enclosure in No. 13. Extract from the ''Mexican Extraordinary''' of June 27, 1861. Foreign Interests in Mexico. — No. 2. British claims of the small and most distressing class. Ou the 25tli of last month we refen-ed at some length to the condition of British interests in Mexico. We now resume the subject, and shall notice on this occasion a portion of the most flagrant outrages which have heen perpetrated upon British residents, leaving for another occasion the publication of more, and our own lengthened remarks. The robbery of the legation and the various "eonductas" are subjects fresh in the memory of every one, and as these outrages affect the interests of the Avealthy and influential, they are likely to absorb that attention whicl^i should, we submit, be shared by the humbler sufferer. Our mission is to lay facts before the world and thus to excite action, and it little matters whether it be from motives of duty or from shame, so long as our proper protectors are made to move. In continuation we give a brief notice of some of the objects of our present article : Mr. Bodmer's case. — This gentleman, who was her Majesty's vice-consul at Tasco, was shot in the balcony of his house whilst endeavoring to save an un- fortiTuate Mexican from ill-treatment at the hands of some of Vicario's troops, who had made a sudden irruption into the toAvn. Mr. Bodmer was a man uni- versally respected; upon three several occasions had he saved the city of Tasco from being sacked by one or other of the contending parties. He held a very lucrative appointment in the mine of the Pedregal, and has left a widow and three children, totally unprovided for. Mr. BurnancVs casd. — This gentleman was the first to establish a manufactory of glass in this country. In the year 1852 he erected on some property, situated about five leagues from the city of Mexico, a manufactory on a very considerable scale, and had just got it into working order, ;vvhen the whole of the premises Avere arbitrarily taken possession of by Santa Anna, and it was not until the end of 1856, when Oomonfort came to the head of affairs, that the property was restored to him, but in so dilapidated and ruined a condition that it was two years before he could place the factory in a proper state to resume operations. In March 1860 the factory was attacked by a portion of the liberal forces and sacked, and on the 2d of April of the same year another body of men belonging to the same party entered the premises at night, attacked Mr. Burnand, inflicted on him sixteen sabre cuts, broke three of his ribs, left him for dead, and effectually de- stroyed all that had been spared by their predecessors. The life of Mr. Burnand was for a long time despaired of, his left arm had to be amputated, and he is noAv a man wreck. The shock was so great that his poor Avife lost her senses, and his eldest daughter has -now since been subject to epileptic fits. From being a man of considerable property, Mr. Burnand has been reduced almost to a state of starvation. Maimed, mutilated, and reduced in health, it is no longer in his power by his own exertion to provide for his unfortunate family, and all he has to look to is the reparation that may be exacted from the Mexican nation for these repeated and fearful outrages. Shoiild this case fall under the observation of her Majesty's ministers, as Ave trust it Avill, sin-ely immediate steps Avill be taken to relieve this gentleman and his family from the utter state of destitution into which they have been plunged. Dr. DuvaVs case. — Dr. IJuval Avas an Englishman, born at Kensington, near London. When the constitutional forces entered Tacubaya, on the 22d of March, 264 THE PRESENT CONDITION OF MEXICO. 1859, lie was at the head of the medical staff, a position he retained until the day of his death. On the 11th of April, Marquez entered Tacnbaya at the head of the reactionary forces, and, in taking possession of the hospital of San Diego, promised most solemnly that the lives of the sick and wounded, as well as those of the medical men, were safe. At half-past 7 o'clock of the same evening, however, m spite of this assurance, and in violation of the oi;diiiary laws of civilized warfare. Dr. Duval, in company with seven other medical men, was taken out and shot. ^ He was not allowed to commtmicate with any of his countrymen, and it was not until the following- morning that this monstrous murder became generally known, Notwithstanding the most strenuous efforts made by the Miramon government, with the connivance of Mr. Otway, to justify this horrid proceeding, so damning was the evidence that the British government could do no otherwise- than insist upon some pecuniary compensation for the widow and child of their murdered citizen. The amount fixed was $25,000, but no steps were taken to exact this sum from the murderers during their continuance in power, nor has the same, as far as we can learn, been paid. Mr. Newall's case. — Mr. Newall, an inhabitant of Zacatecas, a member of one of the oldest and most respected firms in the country, as agent for Mr. Davis, of San Luis Potosi, received the sum of $15,950, and gave the usvial receipt. This receipt fell into the hands of Marquez, who sent for Mr. Newall, and required of him, at once, to hand over the money. Mr. Newall replied that it was im- possible for him to do so, as the money was not his. The general then called in a guard and said, " Take this man, put him in ' capilla,' (the place assigned to criminals for the few hours previous to their execution,) and without further orders shoot him to-morrow morning before six o'clock." Mr. Newall was marched off, thrown into "capilla," and would, no doubt, have be,en shot, had not some of his friends raised the money amongst themselves, and paying it into the hands of Marquez, obtained his release. The English government showed their appreciation of the conduct of a citizen, who, at the risk of his life, refused to betray a trust reposed in him by another, by awarding him the very magnificent sum of 66500, the estimated value of a British merchant's life in Mexico. 3Ir. Pitman^s case. — Mr. Pitman, of the firm of Simpson & Pitman, of San Luis Potosi, was imprisoned and made to pay the sum of $5,100, under the fol- lowing circumstances : When the constitutional forces were in possession of San Luis, Mr. Pitman, in the usual course of business, upon the admission of goods, paid the duties to the properly constituted authorities. Subsequently Miramon, the leader of the church faction, took possession of the town, and he demanded the payment over again of the same duties. Mr. Pitman, for refusing this exaction, was thrown into prison, and would have been marched off as a common soldier, had he not, to avoid the latter alternative, paid the amount. Mr. Davis's case. — This gentleman, in June, 1858, was assessed at $2,000 in a forced loan imposed upon the merchants of San Luis Potosi by G-eneral Mira- mon. This amount he refused to pay, as contrary to existing treaties. He was seized by Miramon, thrown into prison, subsequently marched off as a common soldier with the troops sent against the opposite faction, and only rescued by a friend who paid the $2,000, and obtained his release. Cases of Messrs. Whitehead and Potts. — These gentlemen were both banished from the country for expressing their horror at the atrocities that followed the massacre at Tacubaya, on the 11th April, 1859. Application was made to Mr. Otway in writing, pointing out to him the im- minent peril to which Englishmen were exposed if abandoned to the unbridled and savage will of Miramon and Marquez, who, without even a form of trial, slaughtered so many innocent victims at Tacubaya, and in cold blood, rather ■ THE PRESENT CONDITION OF MEXICO. 265 more than two years ago. Amongst the murdered men was Dr. Duval, an English surgeon, who, with other medical men, was dragged from the bedside of the wounded, while amputating the shattered limbs and stanching the gushing arteries of numbers of poor creatures, who, from want of assistance, perished during that memorable and dreadful night. Lamentation brought them no aid. Marquez and Miraihon had murdered the only ones who could give them com- fort, and they bled to death ! Another English victim waSj at the same time, Avaiting the moment of execu- tion. Greorge Selly, a peaceable resident of Tacubaya, was seized and forced from his house, and, as poor Dr. Duval, without trial or inquiry, was taken out to be shot, but was miraculously saved by the timely interference of a Mexican officer, who met him on his way to the place of execution. As has been already mentioned, a brief statement of these horrors, signed by almost every Englishman here, was laid before Mr. Otway, imploring him to use his influence to check these cruelties, and asking protection for English- men from the grasp of these sanguinary men ; and, strange as it may seem, this document, by means better known than explained, made its appearance in the palace, where it was translated and published in pamphlet form, and the Miramon government accused the signers of having published it. The conse- quence of this was that orders were issued for the immediate banishment of five of those whose signatures appeared on the ' petition, Messrs. Potts and Whitehead being of the number. Remonstrances and repeated denials on their part to Mr. Otway of all knowl- edge or complicity in the affair were unavailing ; so, to satisfy the wishes and assist a zealous partisan in carrying out his treacherous designs against those he was paid to protect, the order was enforced, and these gentlemen left the country and laid their cases before Lord John Russell, who, on becoming acquainted with the outrage, demanded the withdrawal of the passports and fair indemnities. The amounts of these reclamations have been fixed in both cases in accord- ance with instructions from home, and demands have been made upon the Mexican government, and even payment promised; but, as these demands have not been insisted upon, the subject has remained where it was a year ago, whilst millions of dollars have been allowed to find their way into the pockets of people to whom the nation owed nothing. Those whose interests have been almost ruined by violence and jjhnidei' meet with but indifference and neglect. 3Ir. Jo?ies's claim. — In the year 1826 Mr. R. Lancaster Jones was secretary to her Britannic Majesty's consul general in Mexico. On the solicitation of the governor of the State of Jalisco, and according to the popular spirit of the day in England, he went to Guadalajara and established a school on the Lancas- terian system. The Mexican government, permanently to secure his services, guaranteed him a fixed salary of $2,000 a year. From 1S26 to 1834 this salary was paid, but in the latter year Mr. Jones was turned out of his employ- ment without any pretext and left destitute. The case was brought imder the notice of the British legation, and in the year 1852 an arrangement was come to by which the Mexican government acknoAvledged the justice of the case and their indebtedness to Mr. Jones in $28,000. Not one dollar of this sum was ever paid to Mr. Jones, who died some years back in very distressed circumstances. The amount, with interest, is now claimed by the widow and children. A more cruel case it is almost impossible to conceive. A man holding an honorable and lucrative emjjloyment was, from purely philantliropic motives, induced to give it up, upon the promise of an annuity of $2,000 a year. After the interval of eiglit years tlie annuity is withheld, and tlie man and liis family are k'ft in absolute want. The robbery of a " conducta " may be a more striking event, and may more internally affect the interests of British merchants, 266 THE PEESENT CONDITION OF MEXICO. but can it be a comparisdii, in point of hardsbip, witli tbe case of Mr. Jones 1 And yet, forsootb, this injured man and his family have been allowed to drag through twenty-six years of suffering, and up to the present moment no steps have been taken by our government to compel the payment of a sum which the Mexican government, in a settlement with her Majesty's legation, have themselves ..admitted to be due. George Selly. — Was residing in Taciibaya at the time the constitutional forces retired on the 11th April, 1859. About 12 o'clock on that day, Avhilst 'at breakfast with his wife and child, was seized in his own house and conducted to San Diego, and there confined with Duval and the other victims of the famed massacre, whose fate he providentially escaped. He was kept there until the middle of the next day, and then led in triumph, at the head of the prisoners, through the streets of Mexico; was then taken to the citadel, locked up in a filthy dungeon, and there kept until the following day, when he vas led out, in company with two others, and marched to Tacubaya to be shot, and providen- tially saved by the interference of a Mexican general, who met him on his way and who prevailed upon the officer in command to defer the execution, which gave time for the interference of Mr. Otway to take steps. The pi-etext for this barbarous treatment was that George Selly had mixed himself up with the liberal party ; this was disproved by the evidence of twenty- two of the most respectable inhabitants of Tacubaya, and the utmost that could be laid to his charge was, that during the continuance of the liberal forces in Tacubaya, he, as a means of livelihood, supplied the mess of four of the oificers. After much delay, from the unrighteous opposition of Mr. Otway, his govern- ment, more than a year back, declared that " Selly's entire innocence had been amply vindicated, and had established his claim to be compensated for the indignities to which he has been exposed." For this fearful outrage a sum of $'2,500 has, it is said, been asked as compensation, but no steps taken to enforce payment. Selly is a poor man. The case of Mr. Lrjnch. — On the 11th June, 1858, General Miramon, com- manding the reactionary forces at San Luis Potosi, imposed a forced loan upon the merchants of that town. Mr. Pitman, an English merchant residing in that . town, was assessed at $10,000, and required to pay the amount before night of the same day (11th June) on pain of imprisonment. The assessment in this case ap- pears to have been excessive, as firms possessing larger capitals had been assessed in much smaller sums. Mr. Pitman called upon the general to remonstrate with him upon these arbitrary proceedings, but was unable to see him. He was, how- ever, informed by others that it was Miramon's determination to carry out the loan, and that all Avho refused to pay, natives or foreigners, would be marched off as common soldiers with the troops about to leave that night. Mr. Pitman then -applied to Mr. Chabot, the English consul, but all that gentleman's exer- tions on his behalf proved unavailing. Mr. Pitman and his lady, fearing personal violence, took up their residence in Mr. Chabot's house, leaving his establishment in charge of Mr. Lynch, his confidential clerk, never for one moment supposing that any outrage would be committed against this latter gentleman. At six o'clock, however, of the following morning, the house was entered by order of Miramon. Mr. Lynch was taken to prison, and would have been marched off as a common soldier, had not Mr. Pitman requested Mr. Chabot to pay $6,000, the amoimt to which the assess- ment had been reduced, and so obtained his release. ' Case of Mr. R. J. Terry. — On the 18th October, 1858, this gentleman was arbitrarily arrested and thrown into prison by General Zuloaga, then president of the capital, and kept in close confinement for several days, without being allowed to communicate with his consul, friends, or counsel. He was detained in prison and under arrest tAventy-eight days, without being brought to trial, or any charge or accusation being made against him ; without being consigned to THE PEESENT CONDITION OF MEXICO. 267 any judge, or any declaration taken from liim, and even without being informed of the cause of his arrest ; and, finally, he was expelled the country at a few hours' notice, without being accused of any crime or misdemeanor. The consequence was, that he was suddenly obliged to close, settle, and wind up, at any sacrifice, or abandon all his accounts and business transactions to a considerable magnitude he had pending in this country after a continued resi- dence in it for nearly eighteen years. Those outrageous proceedings have caused his total ruin, and he now finds himself, after having spent the best years of his life in acquiring, by his honest industry, comparative affluence, reduced to want and ruin. On his arrival in England he applied to the British government for protection and redress, and after overcoming innumerable difficulties, has lately returned to this country under authority and at the suggestion of the foreign office, with the "^dew of prosecuting his claim there, but as yet has done so without any result. The alleged pretext for his prosecution was his supposed sympathy with the party now in power; the real motive or cause, as is well known here, being private matters of too delicate a nature to be made the subject of our comment. 3Ir. WorralVs case. — Mr. Worrall was assessed for a forced loan, and on applying at the legation for advice, was shown by Mr. Otwa/ a despatch from Lord Malmesbury, which recommends British subjects to pay such forced loans under protest and on compulsion. In consequence of having made this protest, Mr. Worrall was arrested a few days afterwards in the public streets of Mexico, by Lagarde, and sent off to Vera Cruz next morning, having thus to abandon heavy private interests in this country. On submitting his claim for indemnity at the foreign office. Lord Malmesbury wrote him stating " that there was no justification for the conduct of the Mexican government in your case, and that it was his lordship's intention to instruct her * Majesty's minister in Mexico to require that you shall be properly compensated for the treatment you have undergone and the losses you have sustained." Although a convention was signed by Mr. Otway in March, 1859, assigning Mr. Worrall an indemnity, and although this government even directed Mr. Won-all, through the foreign office, to apply to Messrs. Barings for its amount,, yet no money was remitted, and up to the present moment not a dollar has been paid. Very little Acouragement is given to British subjects standing up for treaty rights if the present case is a fair instance of home protection. Claim of Messrs. Bates, Jamison ^ Co. — This claim is now represented by Messrs. Bates, Barton & Co., of the city of Mexico, and is for a sum of 88,815 02, the unpaid balance of a government order for $98,000 for import duties illegally exacted. The interest has only been calculated up to the mouth of April, 1859. Mr. Charles B. Lamhley. — Plunder of his house, on two separate occasions, by soldiers under the command of chiefs of the constitutional party. Mr. Thomas Gillow. — Repeated embargoes of wagons, mules, and horses for the transport of cannon and military stores. As this claimant farms a very considerable estate, it is unnecessary to point out how serious must have been all consequential damages, in addition to those of the mere embargo. Mr. John, lanes. — Plunder of his store at Ejutla, in the department of Oajaca, by soldiers of the central government party, under the command of Cobos. There are a number more claims of the same character preferred by Englishmen resident in Oajaca, of which we have not yet received full details. Mr. Daniel Owen. — Plunder of his goods by soldiers of the central govern- ment, under the command of General Echeagaray, on the 17th April, 1858. Mr. John Sumner. — Plunder of his house at Tklpam, on the 17th October 268 THE PEESENT CONDITION OF MEXICO 1858, by a party of soldiers under the command of the constitutional chief, Don Ignacio Delgado. Mr. Thomas Fuller. — Embargo by General Pueblita in November, 1856, of wagons, mules, and effects belonging to Mr. Fuller's extensive carrying estab- lishment, thereby disabling him from fulfilling a contract with the Real del Monte Mining Company for carrying ore from that company's mines at Pachuca to their ore depot at Real del Monte. The loss of this contract, in itself a most profitable one, is attested by the certificate of the director of the Real del Monte Company. It entailed upon Mr. Fuller very heavy additional expenses, as he had to maintain upwards of one hundred pack-mules without work. Subse- quently he was compelled to break up a very profitable carrying business, and sell the mules he was unable to maintain, in consequence of the loss of his con- tract, for a little more than half their original cost. In fact, this cruel outrage created such an embarrassment in the affairs of Mr. Fuller as to bring him to the verge of ruin, from which he has not recovered, and for which his claim will be very insufficient compensation. Mr. Willia)n Hooper. — Plunder of effects, consisting of wearing apparel, books, papers, accounts, and mathematical and other scientific instruments, by a body of revolutionary troops during the sacking of the city of Culiacan, department of Sinaloa, in the month of March, 1852, as attested by the judge of that city, Don Eustaquio Buelua, in a judicial document under date of 10th Mai'ch, 1856. Mr. Elliot Turnbtdl. — This claim originated in the forcible entry of a large body of troops into Turnbull's hacienda, about ten miles from the city of Puebla, in the month of May, 1858, and of robberies and destruction of property com- mitted by them. Mr Turnbull was especially recommended by her Majesty's ministers to obtain the necessary proofs. These proofs are now in his posses- sion, and consist of sworn declarations of several witnesses to the act, taken before the judge of the district. Extra duties illegally exacted. Messrs. Grraham, Geaves & Co $10,623 74 Messrs. Bates, Barton & Co 4,929 87 •Messrs. Watermeyer, Kauffman & Co 5,545 22 Messrs. J. J. Schmidt & Co ♦ 5,246 82 These claims originated in the following manner : By a sudden and unex- pected decree issued by the general government on the 31st of May, 1858, an extra 10 per cent. " internation" duty, and 20 per cent, import duty, were imposed on all goods coming from Vera Cruz. This imposition, contrary to the express stipulations of the existing tariff, Avas at once most energetically pro- tested against by her Majesty's minister. The decree, although not repealed, was never again acted upon by the Mexican government — a clear admission of its illegality. The number of instances in which foreign governments have demanded and compelled restitution of sums thus illegally exacted are too well known to require enumeration, and it is unnecessary for us to point out how impossible it would be to carry out successfully any commercial transactions under a system of tariif at any moment admitting of sudden and arbitrary changes by the Mexi- can government, or the illegality of their act : the sums exacted during the temporary operation of the decree still remain unpaid. These sums, requiring no farther proof or verification than the production of custom-house receipts, ought, we submit, to be considered as admitted claims. Matamoros Fire Claim.— fi'lns is a claim for goods destroyed by fire at Matamoros in October, 1851. The goods were warehoused in a house occupied THE PEESENT CONDITION OF MEXICO. 269 by the government forces under G-eneral Avalos. The town was suddenly- attacked by Carbajal, at the head of the rebel forces. The block of houses in w^iich the goods were placed formed a prominent point in the line of defence, and was fortified and held by a portion of the government troops. It was sub- sequently set fire to by the rebels, and the whole of the goods were destroyed. No notice was given by General Avalos of his intention to fortify the block, nor was any time given or opportunity afforded for the removal of the goods. A certificate of General Avalos proves the occupation and fortification of the premises for the purposes of defence, and their destruction by fire. No valid objection has ever been raised by the Mexican government to this claim, and their liability to make good the losses inflicted upon the losers, Messrs. Bates, Jamison & Co., under such circumstances, cannot admit of a doubt. The principle has been so clearly laid down in numberless cases, that to hold a different doctrine would be subversive of the very first principles of international law. To admit of a different principle in a country like Mexico, ever torn by internecine strife, would be to place the property of neutrals unconditionally at the mercy of military chiefs. The decree issiied by President Juarez upon the occasion of the bombardment of Vera Cruz by General Mira- mon, in the month of April last year, providing for the indemnification of neu- trals w^hose property had suffered by that bombardment, places the question beyond dispute. The subject has been frequently urged upon the consideration of the Mexican government, but hitherto without results. The claim now put forward by Messrs. Bates, Barton & Co., as successors to Bates, Jamison & Co., is for — 226 packages of merchandise destroyed under the circumstances above detailed, of the value, of $'37,144 04 And interest, at 6 per cent., to April, 1859 20,389 07 Total ! 57,524 11 The foregoing list of claims against the Mexican nation, although it does not contain all, presents such a frightful catalogue of murder, spoliation, and robbery, that, except it was vouched for on the most solemn and truest grounds, would be scarcely cj-edited; scarcely credited, indeed, as having happened in a so-called civilized country against the siibjects of a friendly nation ; and yet this cata- logue of outrage is still very incomplete, for many individuals, such as Staines, Egerton, Gibson, and others, have lost their lives by attacks in the streets, in their dwelling-houses, and on the public roads. Justice has, indeed, here iron hands and leaden feet, but they are never lifted in favor of the defenceless foreigner ; some little show of mquiry, a body, for, although unmarried, he had a considerable family made up of poor orphan children, who were fed, clothed, and cared for through his industry. His last act of kindness to Mrs. Wylie proves the true character of the deceased more than anything else. His first thought was to save the aged and infirm, and then go to face the danger. The death of this imfortunate man has, mth reason, created a deep feeling of alarm amongst the foreign residents of this place, who cannot longer look upon their situation but as precarious in the extreme. Had many others fallen as Mr. Beale has fallen, there might have been some explanation of the act — that they had been partisans, meddlers with the affairs of the country, or some of the many base reasons which have been advanced to palliate the murder of others of our countrymen. But here nothing of the kind can be advanced. Mr. Beale was "a foreigner," (a British subject,) and for being such has been mur- dered. The fact cannot be changed. We have not only the testimony of a child who witnessed the murder of Mr. Beale, and heard the threats of the assassins, but we have the fact that the houses of other foreigners in the same place were broken into, inquiries made for the owners, and, Avhen they were found absent, the repetition of the same cries of "Death to foreigners!" and threats to come back and murder them also. It was providential that no others shared the fate of Mr. Beale. The authors of this atrocity are supposed to be of the clergy forces scattered through the valley. This is natural to suppose, although the fact will probably never be proved. It matters little, however, of what force or party they are. It is alarming enough to know they have mtu'dered one of our countrymen, and have threatened to serve all of us in the same way, and that they are still at large to do as they please. Nothing has been done, as far as we can learn, to bring the criminals to justice, and we fear that it will be the fate of this case to pass like those of Staines, Gibson, Duval, Egerton, Bodmer, and others — one wail of horror, a home and hearth desolated, one or two formal stereotyped protests, and eternal THE PRESENT CONDITION OF MEXICO. 275 silence. Surely we are an abandoned people. But the most ten-ible part of our abandonment is the anxiety, which no foreigner can free himself of, as to who niav be the next victim. Enclosure 2 in No. 17. Sir C. Wyke to Sehor Magarola. - Mexico, July 8, 1861. Sir : I yesterday learnt with feeling of horror and indignation, which I will not attempt to describe, the barbarous murder of a British subject named Beale, at a farm called "Napoles," by a party of thirty or forty men, who, after destroy- ing their victim, left the house without removing a single article from it, thereby proving that their sole motive was vengeance against a, man universally known as kind-hearted and inofiPensive, and who had never taken any part in the dis- sensions which distract this unfortunate country. His son-in-law, who lives in Tacubaya, on hearing what had occured, searched in vain throughout the village for some legal authority to proceed to the spot with him in order to verify the facts and draw up a proces verbal duly proving the crime, and the circumstances under which it had been committed. Failing in his object, he next applied to the British consul in this city, who, on address- ing the authorities here, was informed that the corpse must be brought into Mexico, as there was no person competent in Tacubaya to perform the legal formalities necessary to be fulfilled in such a case as this. It is perfectly incredible that the government should thus leave a place like Tacubaya, within three miles of the capital, inhabited by thousands of people, and containing much valuable property, totally destitute of any authority what- ever, either civil or military, to protect the lives of those who have every right to claim the protection of a government which is bound to watch over them. In bringing this dreadful case to your notice I must request that you will immediately inform me what steps have been taken for the detection and punish- ment of the assassins who have committed this murder, and let me know at the same time what measures have been adopted to prevent outrages of a similar nature being again perpretrated in a place close to the gates of the capital. If I had supposed Tacubaya had been thus left defenceless I should have warned all my countrymen to leave a place which everybody thought was under the direct and immediate protection of the general commanding the district. In conclusion I must again urge on you the necessity of giving me an immediate reply to the demand I now address you, not only for the sake of justice to the deceased, but also for the due protection of those British subjects still resident in the actual vicinity of the city. I avail, &c. C. LENNOX WYKE. Enclosure 3 in No. 17. Senior Magarola to Sir C. Wyke. [Translation.] National Palace, Mexico July 8, 1861. Sir: Before re>ceiving your excellency's note of this day's date tlie govern- ment had been informed of the assassination committed on the person of the 276 THE PEESENT CONDITION OF MEXICO. Britieli subject Beale, and had, in consequence, ordered all the necessary mea- sures for the investigation of the deed and the prosecution of the culprits so soon as they shotdd be arrested. The government itself, full of indignation at this crime, desires that its authors should suffer condign punishment, and has again given orders to the general-in- chief and to the governor of the district to take active measures, and to inform this department of what has already been done, and what it is their intention to do, not only in this case, but also about the matter which your excellency was pleased to lay before me. As soon as the information referred to has been received in this department I shall have the pleasure to transmit it to your excellency, assuring you in the meanwhile that this government will spare no effort, as far as it may be in its power, to give its protection to the life and property of the inhabitants of the district. I avail, &c., LUCAS DE PALACIO Y MAGAROLA. No. 18. Sir C. Wyke to Lord J. Russell. [Extract.] ' Mexico, July 26, 1861, After a perusal of the despatches I had the honor of addressing to you by the last mail, your lordship will, probably, not be surprised to learn that this government, encouraged by the apparent impunity with which they stopped payment of the assignments stipulated for by the agreements entered into with Captains Dunlop and Aldham, should have gone a step further, and suspended all payments assigned to their foreign claimants by the British, French, and Spanish conventions. This scandalous and dishonest act was announced in a new financial law issued by congress on the 17th instant, and published in newspapers and placards in the form of a decree by the president's order on the 19th. In this document, of which I have now the honor to enclose a translation, your lordship will perceive by article 1 that all payments, including the assign- ments destined for the London bondholders and the foreign conventions, are suspended for the space of two years. By article 13 the "contra registro," or duty on consumption of all foreign merchandise, is doubled within the federal district during the government's good pleasure, to enable them by these means, and those proposed by a tax on tobacco, to pay off in preference the debts con- tracted since the 29th of May last, as well as those they may incur for the expenses entailed on them in maintaining the public peace, or, in other words, carrying on the civil war. These are the two articles of the decree that directly affect foreigners ; the others bear more upon native interests, such as articles 12 and 13, by which the government is authorized to place an impost on tobacco, and to augment by 50 per cent., up to the end of December next, the excise duties on national products within the federal district, comprising an area of eighty-nine square miles, with a population of about 300,000 souls. The "Junta," mentioned in article 6, is what we should term a special finance committee appointed for the reduction of the national debt by means of funds accru- ing from property formerly belonging to the church and other corporate bodies. Two members of the Junta are to be named from the different creditors of the THE PRESENT CONDITION OF MEXICO. 277 iState; but those foreigners to wliom such an appointment has been offered have refused it with indignation. Such is the scheme hj which this government propose to free themselves from their engagements towards foreign powers, and to procu.re money sufficient to enable them to go on in the old scrambling disorderly way, living from hand to mouth by augmenting duties, levying contributions, and repudiating engagements which they are bound in honor to fulfil. The same evening that this decree was published I wrote a note to Senor ^lamacona, minister for foreign affairs, asking him whether it was really authentic, as I could not bring myself to believe that the government actually meant thus to set at defiance an international obligation such as the British convention, which could not be put on one side at the will of one of the contracting parties, unless with the sanction of the other, and this too without in any way announcing their intention of doing so to this legation. In his reply of the 21st, herewith enclosed, your lordship will perceive the very lame attempt he makes to account for this uuportant omission, for even the "visit to which he refers was made twenty-four hours after the decree had been placarded in the streets of this capital. The second note, dated the 21st, translation of which I likewise enclose, is the one announcing the publication of the decree, to which he alludes in the first note as having been already sent to me, but which in reality only reached me an hour and a half after I had received the other. My letter of the 22 d refutes the arguments he uses to justify the decree, and contradicts the insinuation that I must have known of its being about to be issued. My note of the 23d is an answer to the official announcement of the decree, by which I solemnly protest against it, and warn Senor Zamacona that unless this obnoxious measure is withdrawn in forty-eight hours I shall suspend all further official intercourse with the Mexican government until I receive instructions from her Majesty's government with reference to this matter. The full forty-eight hours having expired without my having received any answer whatever to this communication, I again addressed him on the evening of the 25th, formally suspending my relations as I had threatened to do. An hour later I received two notes from his excellency, by the former of which he endeavors to make out that there is no necessity whatever for the step I have taken, and requested me, therefore, still to maintain my official relations with this government; this was in answer to my note written on the evening of the .23d, and the latter, in reply to the one of the 25th, complams that the full term of forty-eight hours was not accorded, for my note, w"hich was written the day before at 5 o'clock, had not been received by him until 7 p. m. As in the first of these Senor Zamacona states the impossibility, according to his view of the case, of withdrawing the decree, I could not, after the announcement of my determination, reply to him officially, and I therefore answered some incorrect statements contained in his note by a private letter, copy of which I have the honor likewise to enclose. It is very evident by the tone of these communications that they are now alarmed at the turn affairs have taken ; but their wretched vanity and pride will prevent them from taking any step to remedy the evil, and therefore I see no chance of the measure being withdrawn. Your lordship will thus perceive that it has become impossible any longer to suffer the illegal and outrageous proceedings of a government which neither re- spects itself nor its most solemn engagements. It is only by adopting coercive measures that we can force them to give up a system of violent spoliation, which in rciality is nearly as prejudicial to themselves as to those foreigners who are so unfortunate as to have brought their capital and industry to a country so misgoverned. On the publicjxtion of the decree, the British merchants resident here ad- 278 THE PRESENT CONDITION OF MEXICO. dressed a letter to me, praying for my interference in their behalf, against the increase of duties on all foreign articles of consumption thus imposed on them. I enclose copy of their letter, together with my reply thereto. As long as the present dishonest and incapable administration remains in power, things will go from bad to worse ; but with a government formed of re spectable men, could such be found, the resources of the country are so great that it might easily fulfil its engagements, and increase three-fold the amount of its exportations, not only of the precious metals, but of those productions for which they receive British manufactured goods in exchange. Mexico furnishes two-thirds of the silver now in circulation, and might be made one of the richest and most prosperous countries in the world ; so that it becomes the interest of Great Britain to put a stop, by force if necessary, -to its present state of anarchy, and insist on its government paying what it owes to British siibjects. The moderate party, which is now cowed by the two opposing ultra factions in the State, would then raise its head, and encouraged by adopting the measures I pointed out as necessary in my last month's coiTCspondence, probably establish by themselves such a government as we require ; but without this moral support they fear to move, and hence the continuation of the deplorable state of things now existing. M. de Saligny, the French minister here, has acted in concert with me through- out this affair, and although the interests he has' to defend are trifling in com- parison to ours, he has used even stronger language ,than I have, for he does not merely suspend, but actually breaks off all official intercourse with the govern- ment, unless they rescind the decree of the 17th instant. I have not the least hesitation in saying that unless her Majesty's government take the most decided measures for proving to this government that it cannot thus act with impunity, British subjects resident here will remain defenceless, and their property be at the mercy of a set of men who disregard their most solemn engagements, whenever such interfere with either their caprice or rapa- city. From the tone of their notes to me anybody not on the spot would imagine that dire necessity had alone compelled them thus to act, whereas in reality, 6,000,000 of hard dollars have actually passed through their hands within the last half year, to say nothing of the immense amount of church property in this district alone which has been dissipated in a manner, according to public rumor, utterly discreditable to the members of the government. Awaiting your lordship's instructions, I have, &c. P. S. — I have herewith the honor to transmit translations of another long pri- vate note from Senor Zamacona, containing only a repetition of the same sort o arguments he has used before. When I reply to it 1 shall merely acknowledge reception of a communication which in no way really affects the question at issue. Enclosure 1 in No. 18. Decree. [Translation.] The citizen Benito Juarez, constitutional President of the United Mexican States, to the inhabitants, know ye : That the sovereign congress of the union has deemed it well to address me the following decree : Article 1. From the date of this law, the government of the union will re- cover the complete product of the federal revenues, deducting from them only THE PRESENT CONDITION OF MEXICO. 279^ the expenses of the administration of collecting, and all payments are suspended for two years, including the assignments for the loan made in London and for the foreign conventions. Art. 2. The maritime custom-houses and all the other collecting offices of the federal revenixes will surrender all their products into the general treasury, being exclusively subject to the orders of the ministry of finances. On the 15th and on the last day of each month they will forward to the ministry a statement of their receipts and disbursements. Art. 3. Within the term of one month the government will form and publish an economical estimate of all public expenses, based on the estimate of the 31st December, 1855, conveniently reduced. The government is to subject itself to- this economical estimate from the day of its publication, and congress only has- the faculty of making changes afterwards. Art. 4. The payments in this estimate are to be made in the following manner : 1. The armed force in campaign and in garrison. The material of war. The invalids and disabled soldiers. These payments are to be made complete, but no surplus can be admitted. 2. The civil list in active service and the military list not in service. These payments, if under three hundred dollars, are to be made complete ; if above three hundred dollars they are to be made in strict and equal proportion. 3. The classes pensioned by the nation are to be paid in strict and equal pro- portion, if the classes above mentioned have been paid before, as is ordered by the decree. Art. 5. If an order, not included in the estimates, is sent to the general treasury by government, an observation must be made by a communication of the government ; if repeated, the treasurer is to communicate it immediately to congress. If the treasurer does not make the observations here mentioned, he is to be destituted immediately. Art. 6. A superior committee of hacienda is instituted, composed of one president and four members named by government, with the sanction of con- gress. Two of them, at least, must be creditors of the nation. Art. 7. The attributes of the junta are the following: — 1. To pay the loan made in London and the foreign conventions ; 2. To pay the creditors not comprised in the law of the 30th November, 1850; 3. To pay legal and posterior credits against the nation up to the 30th June of this year, including those comprised in the law of the 17th December, 1860j 4. To receive the payment of what is due to the nation, if it be unknown to the collecting offices ; 5. To administer and sell the nationalized clergy property, and to execute all the attributes of the law of disamortization and nationalization. 6. To make arrangements, with the sanction of government, with all the per- sons interested in, or that have any business relative to, nationalized property ; 7. To distribute all the funds collected amongst the creditors of the nation. The pi-oduct of the suppressed convents is to be applied to the creditors of the conducta of Laguna Seca, and after covering the estimates of the nunneries, the remainder is to be distributed to the creditors in the foreign conventions. Art. 8. In order that the junta may be able to fill the attributes confeiTed upon it by government, the following is assigned to it : — All the " pagares" existing in the special disamortization office; the product of all pending redemption ; tlie capitals not redeemed belonging to the nation, the buildings of the suppressed convents, the lands and all existhig materials. In tlie States and territories all the lands, convents, and buildings comprised in the law of nationalization, and all the products, except the 20 per cent, belong- itig to tlie same States and territories. The buildings and capitals expressly excepted by government are not comprised in this article. Art, 9. All this property will form a fund distinct of public credit ; the 280 THE PRESENT CONDITION OF MEXICO. • employers in the district, the chiefs ("gefes superiores") of the finance depart- ment in the States and territories are to forward immediately to the junta the titles, deeds, notices, and corresponding documents. Art. 10. In the special law published for the conversion of public debt, the part to be delivered by the States is to be fixed and regulated. Art. 11. The government is authorized to publish a decree taxing tobacco ; this tax is to be collected for the federal treasury in all the republic. Art. 12. The government is authorized to increase, during the remaining months of this year, the alcabala of one-half per cent, more on national pro- ducts, excepting the articles of agricultural and manufacturing industry specified in the decree of the 24th September, 1855. Art. 13. The duty of " contra-registro" on foreign goods is increased to double in the district ; this increase is to be paid as long as the government may deem it necessary to fulfil the object of the following article. Art. 14. With the new product of the alcabala, the "contra-registro" and the tax imposed upon tobacco, the government will pay with preference all the debts contracted from the 29th of last May, and all those that it may contract for the re-establishment of public tranquillity, leaving extant all the orders that have been given on account of " refacciones" for the payment of the money taken in Laguna Seca. Art. 15. The governors of States and the employes of the collecting de- partment have no intervention whatever in the federal revenues. Art. 16. The government is authorized to reform and organize within one month all the offices on such a base that their estimates be reduced, and is authorized to increase the salaries of some employes, and to reduce their number. Given in the sessions hall of the congress of the union, on the 17th of July, 1861. GABINO BUSTAMANTE, Deputy Treddcnt. FEANCISCO CENDEJAS, Secretary. E. ROBLES GIL, Deputy Secretary. For which I order that it be printed, published, circulated, and given due respect. Given in the national palace in Mexico, the 17th July, 1861. BENITO JUAREZ. Enclosure 2 in No. 18. Sir C. Wyhe to Senor Zamacona. Mexico, July 19, 1861. Sir : A printed paper, as strange in compilation as in the nature of its con- tents, was this day hawked about the principal thoroughfares of the city, and has now, I see, been reprinted in the columns of this evening's " Siglo." According to the wording of this document, it would appear that congress has thought fit to make a free gift of other people's property to the government of the republic by suspending for the space of two years the payment of all as- signments, as well to the London bondholders as to the parties interested in the foreign conventions. Until I hear from you to the contrary, I am bound to consider this announce- ment in the light of a fixlsehood ; for I cannot bring myself to believe that a government which respects itself could sanction a gross violation of its most THE PRESENT CONDITION OF MEXICO. 281 sacred obligations to other nations, and then proclaim the fact of their having done so in a manner which, if possible, aggravates the offence. That the representatives of those nations who are thus slighted and injured should be allowed to learn, in the first instance by handbills circulated in the streets, that you have repudiated your engagements, is as unaccountable as the policy which could dictate a measure alike fatal to the character and credit of the republic. I will not dwell on other obnoxious paragraphs of this publication, as at pre- sent I cannot believe it to be authentic ; for when your excellency did me the honor of calling on me to-day, you in no way alluded to a subject which would otherwise surely have formed the chief topic of your conversation. Awaiting a reply at your earliest convenience, I avail, &c. C. LENNOX WYKE. Enclosure 3 in No. 18. Senor Zatnacona to Sir C. WyTce. [Translation.] Mexico, Jidy 21, 1861. The undersigned, minister for foreign affairs, has had the honor of receiving from his excellency Sir Charles Lennox Wyke, her Britannic Majesty's envoy extraordinary and minister plenipotentiary, the note in which his excellency requests to be informed whether the decree of the federal congress providing for a total suspension of payments, not excepting those of the London bondholders and diplomatic conventions, is or is not authentic. His excellency's request might have been looked upon as anticipated by the explanation the undersigned had the pleasure of making yesterday at the lega- tion only a few minutes after the note, to which this is a reply, had been sent to the foreign office, indeed while it was yet on its way there; but the private character of that explanation renders it incumbent upon the undersigned to recapitulate a portion of it in the present communication. In the first place, he begs to assure Sir Charles Wyke that so soon as the decree of yesterday was made known to him through the department of finance, he proposed to bring it at once to the cognizance of his excellency, though anxious that this step should be preceded by a visit, at which it was the inten- tion of the undersigned to give' Sir Charles Wyke a fuller and more detailed explanation of the decree in question, its purport, and probable results, than was compatible Avith the limits ©f an official note. In the meanwhile, however, the decree was duly and formally published and printed in the daily newspapers, and this will account for his excellency the British minister having seen it before he received either an explanatory communication or visit from the undersigned. Sir Charles Wyke will now allow the undersigned the liberty of stating that he does not consider his excellency has formed a correct estimate of this decree, when he says the congress therein makes a free gift to the government of other people's property. Her Majesty's worthy representative likewise goes on to qualify the act of congress as a total suspension of payments for the space of two years ; still it will not escape his keen judgment that the application of the term " free gift" to what is merely the act of ratifying certain obligations, and specifying the mode of fulfilling the same, amounts to a misnomer. Neither can the undersigned agree with Sir Charles Wyke in his opuiion that 282 THE PEESENT CONDITION OF MEXICO. tlie decree in question is a violation of Mexico's most sacred obligations towards other nations. Snch a phrase would imply the idea of a voluntary and delib- erate act ; whereas the republic, in suspending the payments due to the diplomatic conventions, yielded not to the dictates of its own free will, but solely to the force of circumstances, which have rendered it morally and physically impossible for the nation to continue making those payments which have hitherto been made by means of the most strenuous exertions. When, then, such efforts have been unavailing, the government may be permitted to say so Avithout any Avant of respect either for itself or for those nations with Avhom they may have en- gagements. To every obligation there is attached the tacit condition of possible fulfilment or non-fulfilment, and nobody has ever been judged faithless to his engagements for having, Avhen compelled to suspend payment, stated the simple fact of such engagements being incompatible with possibility. Of such a nature is the statement contained in the decree that has now passed congress, and her Majesty's minister should not be astonished that it did so pass congress, or that it was afterwards published without the previous consent of the diplomatic representatives in their character of protectors to foreign creditors, for it must be treated of as the mere declaration of a simple fact, in no way tending to the modification or prejudice of the interests connected with the public debt. It will not have escaped the clear judgment of Sir Charles Wyke, acquainted as is his excellency with the actual situation of the republic, that the suspension of payments which has lately been decreed, which only expresses what has long been the public feeling, and has formed the subject of confidential conversations with some members of the corps diplomatique, as well also as with some of those most interested in the foreign debt, has been brought about by an imperious necessity, which did not admit of any preliminary arrangement or adjustment. The government had to choose between two evils — either tq respond to public opinion by adopting the only existing means of preserving order and reorgan- izing the whole administrative system, or to look quietly on and leave society to become an easy prey to the prevailing anarchy. Government, considering the preservation of order to be its first duty, and believing that for the positive good of all who had interests at stake in the country some one plan should be undertaken which would tend to consolidate those same interests, presumed they might count, to a certain extent, upon the assent of the creditors. Sir Charles Wyke, then, will thus understand why the imdersigned, holding as he does these opinions, can neither look upon the decree originating this note as repudiating national engagements, nor as prejudicial to the good fame and credit of the republic. In order the better to understand the true force and purport of the decree, the undersigned would beg to refer her Majesty's minister to the note which has been addressed to the legation for the purpose of announcing to his excellency the act of congress ; and if Sir Charles Wyke considers that in the visit which the undersigned had the honor of paying yesterday at the mission he was only performing such an act of courtesy as should always precede any official or con- fidential conferences upon matters of business, his excellency will cease to wonder at the absence of special reference to the subject of this communication during the conversation Avhich then took place.. The undersigned, &c. MANUEL DE ZAMACONA THE PRESENT CONDITION OF MEXICO. 283 Enclosure 4 ia No, IS. Senor Zamacona to Sir C. Wyke. [Translation.] Mexico, Juhj 21, 1861. Tbe undersigned, &;c., has the honor to inform his excellency Sir C. Lennox Wyke, &c., that the decree which forms the enclosure to this note has passed the federal congress of the republic, and that the undersigned brings it to the cognizance of his excellency on account of 'its connexion Avith the diplomatic conventions and their payments. From the known ability and sound sense of her Bidtannic Majesty's minister, the Mexican government are led to hope that his excellency, so far from seeing in the above decree any cause for alarm on account of those interests which are under the protection of the British legation, will, on the contrary, perceive in this act of the legislature a proof that the republic is anxious to arrive at an estimate of their resources ; to organize those resources in the most profitable manner ; to cut at the root of such abuses as have hitherto brought censure upon the government, the supreme power being the first to submit to the restric- tions and other conditions necessary for this object ; and, at the same time, to place the engagements and obligations of the nation upon such a footing as will insure them in future a sure and lasting inviolability. To fulfil faithfully their international compacts, the Mexican government have made almost superhuman efforts, and can show results of no ordinary kind ;, such, for instance, as the present balance-sheet of the Mexican debt, whereby it is seen that no very notable change has been brought about therein by the continuous state of revolution. During this crisis, on the contrary, the position of foreign creditors has improved. In the midst of its greatest embarrassments the nation has gone even so far as to increase the rate of interest for paying off the public debt, and has thus deprived itself of the very means which Avere at its disposal for terminating the civil war ; in other words, the nation has paid its creditors their gold with the blood of its citizens. Since the revolution began the republic has been thirsting after peace, order^ and security ; yet the government, fully convinced though they were of being able to right themselves if only they could count upon any means that would really admit of action, hesitated long before laying hands upon the funds des- tined for the payment of their foreign debt. So great, indeed, was their respect for these funds that they preferred to sacrifice their obligations to Mexicans, to trample under foot the most cherished principles of their country, nay, even to imprison persons of the highest respectability, in order to obtain resources from the sums paid for their release, rather than touch a cent of the assignments des- tined for the diplomatic conventions and the London debt. So hateful an expedient, although it has served to prove their good faith to- wards other nations, has not been and never can be efficacious ; so that the gov- ernment has now to start afresh, as they should do, upon different principles, and with the fixed purpose of thoroughly reorganizing their plan of administra- tion, and of having recourse, not to temporary expedients, but such a system of taxation as from its nature will, while adding fresh vigor to government, abolish once and for all the old system of forced imposts. To carry out this principle the republic has need of its entire revenue and of conscientious and practical persons to administer the same ; and this is the inten- tion of the law which the undersigned has the honor of placing in Sir Charles Wyke's hands. The present government of the republic has to meet, on the one hand, the demands of society and civilization for order, aod guarantees, on the other, those 284 THE PEESENT CONDITION OF MEXICO. of the foreign creditors for nearly the entirety of the puhlic revenue. So cir- cumstanced, no government could hesitate as to the course to be taken. The nation, then, has yielded to the cry of society and ckilization, has given way before a pressure too heavy for it to bear, but it has done so merely in order to recover strength and then return to the charge. The government of the undersigned originated the measures contained in the enclosed decree ; and possibly they are the first rulers in the country who have religiously and honestly undertaken seriously to consider the nature of their obligations, and to discover the best means of meeting them. It is impossible for Mexico to attempt any administrative reform, or the re- ■establishment of peace and order, if she has to support the burdan of the national debt. To enable her, however, to remove whatever has led to those numerous ques- tions which have so incessantly occupied the attention of foreign representatives and the finance department, and to do away with the system of forced imports — to enable her to free herself from the necessity of breaking through her own liberal principles and overtaxing foreign imports — to enable her, in short, to pro- cure some portion of the money now paid by the maritime custom-houses to- wards the extinction of the debt — .it is necessary she should be allowed a short respite wherein to recover herself, as well as the full use for a few days of her entire revenue. In that case, by proper management and economy, public order and tranquillity would be re-established, and the revenue of the country, with the exception of what was absolutely 'requisite for the proper protection of society, set apart to meet the payment of arrears. The government of the undersigned considers that a debtor, so long as he is actuated by honorable feelings and a full determination to carry out his engage- ments, does not forfeit his dignity in presenting himself to his creditor and frankly confessing he is, though temporarily so, unable to pay his debts ; and the sole object which that government now has in view is to prove to the world that they are really and truly resolved upon attempting administrative reforms in the country, as the only means left likely to produce any amelioration in its political condition. They perfectly understand that they have to struggle against the unfavorable impression caused by the abuses and irregularities allowed in former times ; yet it does not escape them that they have inherited this fresh difiiculty in addition to the others which they have now to combat, though they are not ashamed of such difficulties, inasmuch as this is no exceptional case in the annals of Mexican revolutions, nor is it the work of the present adminis- tration. A nation, like an individual, has the right to ask to be judged by its own acts, and not according to preconceived prejudices or partial comparisons. When the president of the republic convened the members of the present government they each and all, with heartfelt sincerity and honesty of purpose, hailed the idea of at once fearlessly grappling Avith the difficulties of the problem upon the solution of which depended the great question of reform. They saw that the nation lacked not the material elements of such a work, but merely their proper organization. Nor were moral elements wanting ; for were there not proofs to the contrary in the general longing for the time when, upon the spu- rious and self-interested promises of a frivolous and corrupt minority, there should be built up lasting institutions, under whose protecting influence Mexi- cans and foreigners alike would deem their honor, lives, and property secure 1 The government saw that the nation was weary of its state of anarchy ; that it cursed the abuses and the recklessness which had brought upon it discredit and ruin. They saw, in fact, that the majoiity in the country asked but hon- esty of purpose from the ruling power, and they did not hesitate to consecrate their effijrts exclusively to respond to so just a call. The cabinet, of which the undersigned is a member, takes pride in its firmness THE PRESENT CONDITION OF MEXICO. 285 of purpose, and considers that it merits the sympathy and co-operation of foreign representatives, whose presence in the republic is not solely for the protection of specified interests or nationalities, since their mission is equally one dedicated to the cause of humanity and civilization. Sad, indeed, would it be if history had one day to recount how that this country^ after the most trying vicissitudes, came to be ruled over by men who, without any supernatural gifts, and animated solely by their patriotism and their expe- rience, shrunk not from making one final effort — an effort such as nevter yet had been made — to establish in Mexico the rule of reason and morality, yet that this effort Avas shipwrecked on the prejudices and scepticism of the most enlight- ened nations of the world in respect to Mexico's future and Mexico's capabilities for reform. Every impartial person must look upon what is now passing as a proof of the energy and loyalty which Mexico is displaying in her endeavors to attain that position which reason and prudence dictates. Government, at the outset, has procured and dedicated to the interests of the public debt all the national pro- perty. They have initiated a system of economy which is already in operation : and as a result thereof, have imposed upon themselves and their subordinates such restrictions and self-denial as have never yet been imposed by any former administration. They have further been occujoied with the details of a pro- gramme based upon those principles of economy which experience has proved to be necessary. Great progi'ess, too, has been made towards establishing public order and tranquillity by the steps taken by government for tracing out clearly the position which the States hold in respect to the supreme federal power. Moreover, the Departments of State now are denied to those who would hold office simply to speculate in the gains of the reigning disorder and confusion, and the present rulers of Mexico would sooner sink under their difficulties than yield an inch of the ground on which they have taken their stand in defence of reform and morality. All those who have interests in the country, all indeed who would see civili- zation on the increase, should aid the government in attaining the objects they have in view, instead of throwing obstacles in their way. The great European powers are extending their sympathies at the present hour to those countries who are striving to join the rest of mankind in the great work of civilization,, and Mexico would fain hope that she is not alone to be excepted. The very creditors of Mexico themselves should, the undersigned thinks, in their own interests, feel that great encouragement is given to them at the present moment ; for it is not the republic alone that is now concerned in the proper regulation of the public debt under surer guarantees, and in the necessity of consolidating the same. The creditors of the nation have even a higher interest at stake, inasmuch as by no other means than those already mentioned can they expect to obtain greater advantages than those they now possess, notwithstand- ing that they have gi'adiially acquired for themselves almost the entire revenue of the country. This very circumstance is regarded, and with reason, as a proof of non- stability, while it equally produces distrust in people's minds, a state of things no less prejudicial to the republic generally than to its creditors. Upon this point natural instinct cannot be deceived. As matters now stand, whether in respect to the country or the creditors, it might be possible that the drain upon the. revenue could be continued for the space of a few months, but it would be possible only at the price of certain ruin, alike to the country and the creditors. Had the government hesitated to adopt the measures for a radical financial reform, to which sufficient reference has already been made, they would have been either compelled, against their principles and inclination, to impose fresh taxes upon foreign importations, or quietly to submit to every interest connected 286 THE PRESENT CONDITION OF MEXICO. ,witli social order being swallowed up in the flood of anarchy — an idea too horrible to be thought of. To avoid either of these extremes the government, guided by their conscience and feelings of patriotism, suggested the plan contained in the enclosed decree. If, as it is to be ho^Ded, it sliould meet with support and sympathy from other nations, Mexico would be able to raise her voice and proclaim aloud that she had entered upon the one road that could lead to her salvation. Should it be otherwise, the nation must perish, and with her all those interests which are so closely connected with her future prosperity. Be this as it may, the govern- ment that in these stormy days rules over the destiny of Mexico, M'ill have had the honor and glory of initiating and doing battle for the only means left that could save their country. The undersigned would feel obliged to her Majesty's envoy extraordinary if liis excellency would transmit a copy of this note to his government, and avail himself, &c. MANUEL DE ZAMACONA. Enclosure 5 in No. 18. Sir C. JVyke to Senor Zamacona. Mexico, July 22, 1851. Sir : In reply to your communication bearing yesterday's date, which I have just had the honor to receive, I will endeavor to answer seriatim the objections you have to offer to the statements contained in my note to your excellency of the 19th instant. You state the reasons why the financial decree was not sooner communicated to this legation, and say tjiat you were anxious personally to explain to me the motives which had originated it ; but what I complained of was, that it should have passed into a law without the intention even of carrying it into execution ever having been announced to me. When two parties bind themselves to perform certain stipulations, neither of them has the right to free himself from such obligations without having first of all obtained the consent of the other contracting party. With regard to what you say about the impropriety of my calling this act of the congress a giving away of other peoples property without their consent, permit me to observe that I am perfectly justified in making that assertion, for in matters of this nature time is often equivalent to money, and the arbitrary act of stopping all payments for the space of two years is depriving the parties interested of their money for that space of time, which is a dead loss of so much value to them. The imperious necessity which you urge as an excuse for the act cannot in any way justify the manner in which you have made yourselves sole judges of that necessity, without first of all urging it on the forbearance of your creditors, in order to obtain their consent to what you wei'e about to do.. A starving man may justify, in his own eyes, the fact of his stealing a loaf on the ground that imperious necessity impelled him thereto ; but such an argu- ment cannot, in a moral point of view, justify his violation of the law, which remains as positive, apart from all sentimentality, as if the crime had not had an excuse. If he was actually starving, he should have first asked the baker to assuage his hunger, but doing so of his own free will, without permission, is acting exactly as the Mexican government has done towards its creditors on the present occasion. Although, as your excellency truly observes, the law just published does not THE PRESENT CONDITION OF MEXICO. 287 certainly affect the riglit.s of the parties interested, yet it does most positively touch their material interests by depriving them of payments on which they had counted to fulfil their other engagements. With regard to the hope of immediate relief which you seem to entertain from the operation of this measure, I am convinced that it will, on the contrary, greatly aggravate the actual difficulties under which you are now laboring, and that for reasons so evident that I will not now advance them. I am not aware that the project of this law was shown to other diplomatic agents, but I certainly never heard of it before under its present form, and therefore, as far as I am concerned, the case stands exactly as I have stated it. With regard to the light in which your excellency views this question, as ex- pressed in your above-named note, you will, I am sure, excuse me for stating that it cannot be treated of partially, without also taking into consideration the opinions of those who directly suffer from the practical operation of siich ideas as emanating from yourself and^ the other members of the government who submitted the project to the congress. With respect to what you mention about a note addressed by your excellency to this legation with reference to this matter, I must inform you that it has never reached me, and that, therefore, I had a full right to complain, as I did in my communication to you of the 19 th, of having first of all heard of this extraor- dinary measure of the government by seeing it in printed bills placarded through the public streets of the capital. I have, &c. ■ C. LENNOX WYKE. P. S. — Since writing the foregoing lines, the note of your excellency alluded to above as missing, has been put into my hands, it having reached this legation an hour and a half later than the one to which this is a reply. C. L. W. Enclosure 6 iu No. 18. Sir C. Wyke to Sehor Zamaccyna. Mexico, July 23, 1861. Sir: Your excellency's note of the 21st instant reached me yesterday after- noon, by which I learn that the decree forming its enclosure has passed the federal congress of the republic, and that you forward it to me as directly bearing on the stipulations of the diplomatic convention for the payment of British claims concluded between Great Britain and Mexico in the year 1S51. I have already so fully explained to you, in my notes of the 19th and 22d of this month, what I think of this decree, and the maimer in which it has been issued, that any further observations of mine with reference to it would only be superfluous, and prolong a correspondence which should never have been called for at all. As to the appeal you make to the indulgence and forbearance of her Majesty's government, in order to obtain their sanction to a measure which is of itself sufficient forever to deprive you of their confidence, I need only remind you that such indulgence has already been too far abused by the utter failure of all your engagements in the affairs of the Calle de Capuchin;is and Laguna Seca for it to be again extended to those who, instead of feeling grateful for it, only seem to count on its exercise in order to free themselves from every obligation, however binding it may be. Apart from theae cousideratious, however, the carrying out of this financial 288 THE PRESENT CONDITION OF MEXICO. law, so far from benefiting tlie nation, will only plunge it into tenfold greater difficulties by largely increasing its obligations to its creditors, and at tlie same time striking at tlie root of its credit and commercial prosperity. That Avliicli is in itself wrong can never come right, for it is a well knoA^ii axiom that spoliation, as a source of revenue, soon exhausts itself. It is not by such means that the resources of the country can be augmented,, but by a determination to make every sacrifice, and incur every privation, with a view of maintaining your honor and fulfilling your engagements. This deter- mination, once adopted and manfully put in practice, would at once inspire con- fidence and rally round you those whose sympathies you now appeal to in vain, because they doubt, from past experience, both your prudence and your smcerity. In using language thus strong you must not attribute to me a desire to offend^ which is, indeed, far from my intention, but I have a duty to perform both to my own government and to that to which I am accredited, which impels me fearlessly to tell the truth and warn you against the mevitable consequences of a step alike fatal to your own interests, as well as to those of my countrymen affected by that law. It now only remains for me to protest most solemnly, as I hereby do, against this decree, at the same time that I hold the republic responsible for all and every damage and prejudice caused by it to the interests of those whom I repre- sent in this matter; and further to warn your excellency that, unless the said decree is withdrawn within forty-eight hours from this present time, I shall, until I receive fresh instructions, suspend all official intercourse with the Mexican government, as any longer maintaining such under existing circumstances would be incompatible with the dignity of the nation I have the honor to represent. In compliance with your request, I will transmit a copy of your excellency's note of the 21st instant to hei Majesty's government. I avail, &c., C. LENNOX WYKE. Enclosure 7 in No. 18. Sir C. Wylce to Se/ior Zamacona. Mexico, July 25, 1861, 5 jj.m. Sir; The day before yesterday, at this hour, I had the honor of informing your excellency that, if the decree of the 17th instant was not withdrawn within forty-eight hours I should feel it my duty to suspend all official intercoui'se with the Mexican government until I should receive instructions from her Britannic Majesty's government as to the next step to be taken in the matter, which not only implies the breach of a solemn international compact, but also carries with it so great a slight as almost to amoLtnt to a direct insult to the nation I have the honor to represent. The term having now expired within which I should have received a reply, and none having reached me, I take your silence as a refusal of my demand ; and I therefore, from this time forward, suspend all official relations with the government of this republic until that of her Majesty shall adopt such measures as they shall deem necessary under circumstances so unprecedented. I have, &c., 0. LENNOX WYKE. THE PRESENT CONDITION OF MEXICO. 289 Enclosure 8 in No. 18. Semr Zamacona to Sir C. WyJce. [Translation.] Mexico, July 25, 1861. Tlie commtmication whicli Ms excellency her Britannic Majesty's minister was pleased, under yesterday's date, to address to tlie undersigned upon the subject of the decree of the sovereign congress proclaiming a total suspension of pay- ments, not excepting those of the diplomatic conventions and the London debt, has rendered it incumbent upon the undersigned to make certain explanations, without which it might be supposed that his government had accepted as hre- futable some of the facts and statements therein adduced by Sir Charles Wyke. Once for all, then, the undersigned rejects the notion entertained by his excel- lency m his notes of the 19th and 22d instants, that the decree of the 17th implies an act of spoliation. This act of the legislature carries with it no legal right whatever to rob for- eign creditors of what belongs to them. The nation, in whose house of repre- sentatives the decree in question was carried with scarcely a dissenting voice, has never sought to disavow the rights- which have accrued to others from inter- national compacts. Still she has been forced to declare that, for some time to come, such rights cannot continue to be a drain upon the revenue of the mari- time custom-house, for that revenue, the only one government possesses for immediate pm-poses, does not suflfice for the actual exigencies, temporary though they be, of the country and society, and at the same time for the payment of the interest and principal of the public debt. Government have obligations to perform both towards society and their creditors. They cannot perform both at once, and consequently, by the decree which has originated this note, govern- ment have done nothing more than place those obligations in their legitimate order, without attacking or disavowing any of them. His excellency her Majesty's envoy extraordinary, while attempting to clothe the act of congress in the garb of spoliation, has in one of his former notes em- ployed a simile, the inaptitude of which is strikingly perceptible. His excellency compares the government at this moment to a person who, impelled by hunger, assaults and robs a provision merchant. Now, two ruling principles are implied in such an act, one of aggi-ession, the other of robbery, neither of which can even be assumed in respect to the conduct of government towards its creditors. Of not a sixpence have these same creditors been deprived; and if one had to employ a simile to qualify the conduct of government, it would be rather that of a father overwhelmed with debts, who, with only a small sum at his disposal, scarcely sufficient to maintain his children, employed it in the purchase of bread instead of in the payment of his bills. "Were her Britannic Majesty's representative a member of the family, would his excellency be eager to qualify his father's conduct by the name of spoliation 1 In every-day life one is accustomed to see people who suspend payment, owing to pecuniary embarrassments, yet nobody seeks to call them thieves. Now. in the decree upon which her Britannic Majesty's minister passes so severe a sen- tence, not a single word is there which can give rise to the idea of thieving pro- pensities. Payments, it is true, are stopped, because government cannot pay out of the funds assigned to it. They are stopped because the nation, to be orderly and at the same time methodical in the accounts of the public debt, wants, as soon as possible, a government; yet still, with feelings of loyalty and with a solicitude worthy both of being more justly appreciated, she has given her creditors a two-fold guarantee — firstly, in the plan itself, so complete, so impar- tial, a plan wherein looms a prospect of solid stability; and, secondly, in the H. Ex. Doc. 100—19 290 THE PEESENT CONDITION OF MEXICO. assignment of a special fund of several millions, (most of wHcli can shortly be realized,) whereby, even during the period of suspension, (in their case nominal,) the foreign creditors will obtain even better security than what was given them in the maritime custom-houses. It is not, M. le Ministre, about sacrifices or money that Mexico is haggling ; that which she is defending are the principles of order; that which she is longing for is system and organization, without which she is lost ; and she is searching after prudence and method, so that she ipay never again be accused of slovenliness and mismanagement by those who regard as a national vice what is but a phenomenon inseparable from a state of revolution. It is well, too, to state accurately the attitude of Mexico before her creditors, both as it was and is; for it is not such a one as his excellency her Majesty's envoy describes in his last note. To judge therefrom, our republic has never been aught than an indigent debtor, who, from time immemorial, has responded with ingratitude and bad faith to the undeniable generosity and indulgence of her creditors. The undersigned shuts his eyes purposely to the history of the foreign debt, for neither would he wish to employ the bitter tone of Sir Charles Wyke's note, nor give the slightest indication of Mexico's belonging to the set of faithless debtors who, to avoid payment, dispute the legality of their obligations. Mfcico, on the contrary, recognizes in a high degree her engagements, and will abide by them, moreover, without taking exception at the antecedents of the original contract. But the imdersigned is convinced that, when this correspondence shall have come to light, all who are familiar with the history of our external debt, all who are acquainted with the primary elements of the British convention, and know how the parties interested therein were allowed the advantages of increased interest in the midst of a ruinous civil war, and in the days of Mexico's hardest struggle, will see something strange in the allusion of his excellency her Majesty's minister to the indulgence of which the foreign creditors were so prodigal, but which the republic so systematically abused. Had the demands of the creditors been somewhat fewer, then, perhaps, the fulfilment of international engagements might have come within the range of possibility. Mexico, however, has been like those fields where the harvests have been out of proportion to the fertility of the soil, and the day comes when the land becomes impoverished, yields nothing, and is obliged to lie fallow for one or two years. The undersigned considers he should not pass over in silence the charge which is made against his government of having failed to fulfil their engagements in respect to the funds seized at the British legation by functionaries of the re- action, and to the money-convoy "occupied" at Laguna Seca. In the first case, government, with the consent of the legation, engaged simply to make the perpetrators of the act responsible, and if such means did not lead to the desired result, viz, indemnity, to discuss others which might do so. No one, then, can say that until now government has not fulfilled their engagement in this case. As for the afPair of Laguna) Seca, when government undertook to repay, within the space of four months, what remained unpaid of the amount " occupied " out of the "conducta," they did so at a time when they could not foresee that the remnant of the reaction would turn refractory, and oblige them to enter upon an expensive campaign, which would upset all then- financial calculations. Notwithstanding this, however, they have made every kind of sacrifice, monetary and otherwise, to keep intact this special debt — to an extent, indeed, that has left them in possession of but a small available surplus. No one who does justice to the Mexican nation can refuse to acknowledge the exemplary THE PEESENT CONDITION OF MEXICO. 291 mauner iu which she has endeavored to satisfy; her creditors, to the unstable disparagement of national interests. The actual amount assigned for the payment of the foreign debt during the residence of the constitutional government at Vera Cruz, and that, too, at a time when the re-establishment of peace was being laboriouslj worked out, and when, conseq^uently, the country could ill-sustain the heavy demands made upon it, sj)eaks volumes in itself. The little faith manifested by his excellency Sir Charles Wyke as to the results of the financial law, and the small value he puts upon the guarantees it g-ives to foreign creditors, do not seem to be shared in by the parties themselves who are interested in the. diplomatic conventions, since it is only within the last few days that government had all but concluded an arrangement with them, the basis of which would not have interfered with their present rate of interest, but it could not be perfected o^viug to her Majesty's envoy extraordinary having refused to sanction it. The same may be said of the creditors in the matter of the Laguna Seca "conducta." Guided by natural instinct — so infallible a rule where individual interests are concerned — they did not, like Sir Charles Wyke, entertain any doubts about the prudence and sincerity of the government. And touching these saididoubts, amounting, as they do, fo an insult, his excellency will permit the undersigned to exhort him to commune with his conscience, and ask it whether or not the tone of his excellency's last communication is such as should be used by a creditor, calling himself generous and indulgent, towards a friend who is ■ in his debt and overwhelmed by difficulties. It cannot escape the enlightened understanding of his excellency the repre- sentative of Great Britain that, in demanding from the government of the under- signed the withdrawal, within forty -eight hours, of the late decree, he simply demands an impossibility. Neither could the government initiate the withdi-awal, for it would be eG[uivalent to initiating the reign of anarchy and a general disso-- lution of society; nor could congress, who had carried this law almost by acclamation, and who were con^dnced of its vital importance to the republic, listen for a moment to such a proposition. The protest with which his excellency her Majesty's envoy extraordinary concludes his note appears to the undersigned so much the more superfluous, as iu his very first note upon this subject the undersigned had, so to speak, also protested, but against the supposition that the last act of congress in any waj affected the lawful rights of the persons interested in the public debt. The undersigned will foi'ther take the liberty of stating, with all due deference and respect to Sir Charles Wyke's sound judgment, that, very far from seeing in the suspension of relations, now announced by his excellency as representative of Great Britain, an act due to the honor and dignity of England, he thinks it not improbable that all nations who consider the matter impartially will look- upon this step as absolutely uncalled for ; and he therefore trusts that his exp- ediency, while awaiting the instructions to which he alludes, will continue his friendly relations to this government, for the intenaiption of which there can be no possible cause, while their maintainance will surely contribute to the satis- factory solution of the present difficulty. The undersigned, &c. MANUEL DE ZAMACONA. 292 THE PEESENT CONDITION OF MEXICO. Enclosure 9 in No. 18. Senor Zomacona to Sir C. Wyhe. [Translation.] Mexico, July 25, 1861. Tlie undersigned, &c., lias this moment had the honor of receiving from his excellency Sir 0. Lennox Wyke, &c., the note in which his excellency is pleased to announce the suspension of his relations with the government of Mexico. Sir Charles Wyke must have received the communication which the under- signed had the honor of addressing at 5 o'clock this afternoon; this will prove the utter absence of any motive for a suspension of relations between the gov- ernment of Great Britain and that of the Mexican republic. Neither can there be any cause for the resolution taken by Sir Charles Wyke, in the expiration of the forty-eight hours fixed by his excellency in his note of the 23d instant, (as the term to be allowed to government for answering the ultimatum,) inasmuch as it was only 7 o'clock in the evening of the 23d that the above note was received at government house. The undersigned, in calling attention to "his last communication, avails, &c. MANUEL DE ZAMACONA. Enclosure 10 in No.*l8. Sir C. Wyke to Senor Zamacona. [Private.] Mexico, July 26, 1861. Dear Sir : At 7 o'clock yesterday evening, that is, two hours after the expiration of the forty-eight hours in which I had required a reply to my note of the 23d instant, I received yours dated the 25th, to which, consequently, I can only reply by a private letter, as its contents have in no way changed the resolution which both the French minister and myself have been driven to adopt by the extraordinary and unjustifiable conduct of the Mexican government with reference to the decree of the 17th instant. A careful perusal of your above-mentioned note has convinced me that mine of the 23d, to which it is a reply, has not been properly translated to you, as you put some things into my mouth which I never said, and so twist the sense of others as to give them a totally different meaning from what they really convey. Passing by this, however, I will only revert to the really essential part of your note, which is the refusal to rescind a financial scheme, the maintenance of which, besides plunging the republic into fvirther pecuniary difficulties, will have the effect of bringing it into collision with the two first maritime powers of the world, and that, too, in a qiiarrel which you have originated, and where, permit me to say, you are quite in the wrong. As I am in thus writing to you unfettered by the reserve imposed in an official correspondence, I may tell you frankly that you are leaning on a broken reed when you trust to the sympathy of those whose interests Mexico has systemati- cally sacrificed to her own. This is proved by the history of the foreign debt as applicable to the bondholders, which it would be well that you should care- fully study, and you will then see that the repeated engagements made, with them have, up to the present moment, always been either entirely evaded or THE PEESENT CONDITION OF MEXICO. 293 only partially executed, as, for instance, when, after consenting to a reduction of interest of from five per cent, to three per cent, on the condition of receiving certain payments from the duties levied in the Pacific ports, they do not receive one sixpence from that source, and are only very partially paid from the Atlantic custom-houses. I will not dwell on the long and dreadful list of murders committed on my imfortunate countrymen, which, with one exception, I believe, have remained unpunished from the date of your independence down to the recent dreadful butchery of poor Mr. Beale at Napolis. Do you think that these lamentable facts are calculated to gain our sympathy or inspire us with confidence in a people who thus violate their engagements with us, and kill our fellow-subjects with perfect impunity 1 It is really time that the government of Mexico should open their eyes to the natural consequences produced by such conduct, and should become aware of the unfavorable opinion entertained of them in Europe. Whose fault is it that the country has been deluged in blood ever since the declaration of its independence but that of its own citizens, in constantly making revolutions and carrying on a series of fratricidal wars amongst themselves, which have reduced one of the finest countries in the world to misery, and so degraded its popiilation as to make them dangerous, not only to themselves, but to everybody coming into contact with them ? You appeal to the generous sentiments of creditors towards an unfortunate debtor bowed down by his difficulties, forgetting that that debtor, with only common prudence within the last six months, might, at this moment, be actually free from debt, had he not wilfully and recklessly squandered the millions he then had at his disposal. As to the mode of payment proposed to certain British claimants, to which you allude in your yesterday's note, it was so impracticable as to be unacceptable to all of them when its real nature was pointed out to them. With regard to what you say about the Laguna Seca robbery and the lega- tion outrage, it is useless for the Mexican government to deceive itself by calling the former an " occupation of funds," and the latter a deed performed by the " functionaries of the reaction." The first was a theft and the second an un- heard-of violation of international law, committed by a government recognized by every European nation, and for both these crimes, as yet unatoned for, Great Britain will surely hold this republic fully responsible. I have already extended this letter to an undue length, and must therefore conclude, but before doing so let me again urge you, for your own sakes, to retrieve the fatal error you have made with regard to this decree by immedi- ately withdrawing it, for other-wise all official intercourse between this legation and your government becomes impossible, and you will remain with the respon- sibility attaching to an act which, both in form and substance, is perfectly un- justifiable. Trusting that you will receive what I have now written in the spirit which really dictated these lines, I will take leave of a subject which is a much more serious one than seems to be supj)osed by the Mexican government. In a second note of yours received yesterday, you complained that my note, "s^T^itten at 5 o'clock on the 23d, only reached you at 7 o'clock on that day, and that consequently, in writing to you yesterday at 5 o'clock, you had had only forty-six, instead of forty-eight hours' delay before the suspension of official relations. This I regret, but it was not my fault, as on both days I despatched my note from here at half-past five in the afternoon. In point of fact, however, the two hours thus lost are of no importance, as you refuse to Avithdraw the ob- noxious decree. Believe me, &c., C. LENNOX WYKE. 294 THE PEESENT CONDITION OF MEXICO. Enclosure 11 in No. 18. Messrs. Graliam, Geaves S^^ Co., and others, to Sir C. Wyke. Mexico, July 23, 1861. Sir : We, the undersigned, British merchants, beg leave most respectfully to solicit yonr excellency's powerful assistance under the following circumstances : By article 13 of the government decree of July 17, which has been recently published, (copy of which we enclose,) the duty styled " contra-registro " is in- creased from 20 to 40 per cent, on the amount of import duty. This double " contra-registro " duty is recoverable immediately, and therefore even goods which were forwarded last month (and but for the unprecedented bad state of the roads would have arrived before the decree in question was issued) are also subject to the increase referred to, and which is the more unjust and severe as goods have been sold to arrive under the existing tariff, and conse- quently a dead loss is at once sustained. It is to be observed, also, that, as this additional duty is recoverable in the federal district, or in the capital of the republic only, all the other States are exempt from the charge, and consequently offering a further inducement to the , illegitimate trader through the northern frontier, to the extra detriment, not to say ruin, of the Vera Cruz merchant. We would further beg leave to point out, for the consideration of your excel- lency, that the measure now adopted by government is in every way analogous to the one of the year 1839, when the duty then called " consume " duty Avas increased from 16f to 50 per cent., but which, through the influence of her Ma- jesty's legation, was abolished ; and we believe to be correct in stating that a diplomatic convention was made at the time between Sir Richard Pakenham and the Mexican government, to the effect that no increase of duties affecting British commerce could from that time forward be enforced, except with a prior notice of six months, a record of which, if we may be allowed to remark, will probably be found in the archives of her Majesty's legation for the years 1840-'41, and there exists an acknowledged, though imsettled claim, at the present day, for that increase of duty, which had been exacted on British goods during the first six months. We have, &c., GRAHAM, GEAVES & CO., And others. Enclosure 12 in No. 18. Sir C. Wyke to Messrs. Graham, Geaves Sf Co., and others. Mexico, July 24, 1861. Gentlemen : I have to acknowledge receipt of your .letter bearing yester- day's date, by which you request my assistance to prevent the execution of article 13 of the decree of the 17tli instant, by which a double "contra-registro" duty is not only levied on goods imported into the federal district, but is also claimed from the date of the decree. I fully concur in the justice of your observations on the subject, for the tax is not only injurious to the legitimate comiherce of the country, but is also, in my opinion, a shameful robbery of those merchants who have sold their goods " to arrive." I should not, therefore, have hesitated in protesting against the THE PEESENT CONDITION OF MEXICO. 295 immediate application of the double " contra-registro " duty, but, as you are probably aware, tlie decree in question contains infractions of international en gagements of a most serious character ; and I have therefore, on these grounds, Avhilst protesting against the decree, declared to the Mexican government that if it is not withdrawn within forty-eight hours I shall suspend all official intercourse with them until I receive further instructions with reference to this matter from her Majesty's government. I am, &c., 0. LENNOX WYKE. Enclosure 13 in No. 18. Senor Zamacona to Sir C. Wyke. [Ti'anslation.] Mexico, My 27, 1861. My Dear Sir : I have had the honor of receiving your letter of yesterday, and I am glad that it gives me the opportunity of asking you to listen once more to the voice of one who is as sincere as he is honorable ; of one whose love for his country is only excelled by his love of justice and reason ; of one who is confident that you will be brought to do justice to the intentions of the Mexican government, for, as if by inspiration, he knows you to be possessed of similarity of sentiment with himself. It cannot be that, talented and generous as you are, you have yet thought it strange that government should refuse to withdraw the decree of the 17th instant. Your conscience must tell you, M. le Ministre, that it is an impossibility you ask of government, for how could they entertain your proposition? The mere preliminaries for the suspension of a law which had passed congress would take up more time than what you have allowed for deciding whether or not our official relations were to be maintained. This single fact would account for the position taken up by government, as well as for their determination to meet boldly dangers and difficulties even greater than those which you have had the goodness to warn me against. Such a step as the one you now propose if taken by Mexico could not but prove suicidal to her political standing as a nation, for it would be ec[uivalent to the surrender of her constitution and her sovereignty into the keeping of the foreign diplomatic body, and that too in a matter where my inmost conviction tells me that justice is on our side. Still, as in the correspondence which has passed between us during the last few days I had seen the opposite doctrine sustained and heard the conduct of my government qualified repeatedly as unjustifiable, I began to distrust my own convictions about equity and common sense, so much so that I sought to justify myself and my country by a reference to international law ; and I can only say, now tliat the work o£ reference is over, that my former convictions are only the more confirmed. I perceive, M. le Ministre, that writers on international law hold it to be a general principle, that any change of circumstances or the positive inability of one of the parties in a contract to fulfil the same docs of itself nullify a bond ; and since I likewise, in my turn, may be permitted to avail myself of the advantages of a private letter, I will take the liberty of doing what might be considered in the light of pedantry were I writing to you officially, and make certain quotations which bear upon this question. 296 THE PRESENT CONDITION OF MEXICO. Grotius and Oorcellus liold that " tlie oTbligation wliicli results from a compact becomes mill and void so soon as its fulfilment becomes impossible." Wlieaton t6o bas tbe following passage : " Treaties may be avoided, even subsecjnent to ratification, upon tbe ground of tbe impossibility, physical or moral, of fulfilling tbeir stipulations. Physical impossibility is where the party making the stipula- tion is disabled from fulfilling it for want of the necessary physical means depending on himself." In Martens we read, " Physical impossibility in a nation to fulfil treaty engagements absolves it from the obligations of the compact, but not from the obligations to make indemnity should it be proved that the physical impossibility could have been foreseen, or that it was caused by the nation itself." And Heffter has the following remarkable sentence : *' The con- tracting party may refuse to fulfil his engagements when their fulfilment becomes impossible and is likely to remain so, even though the contract be violated, more especially if private duties or the rights and well-being of a people are concerned." I could go on quoting, but I should exceed the limits of this note were I to bring forward the numerous authorities upon this recognized principle of inter- national law. There is, M. le Ministre, something inexj)licably harsh in denying the right of Mexico to the sympathy of her creditors, and in saying that she has systematically sacrificed their interests to her own. I had already, before receiving your advice, studied the history of the English debt, and my research has shown me that from the very date of the London loan the republic has been a loser, its actual loss amounting to something like $8,000,000 ; that when bonds were issued in the year 1824 she did nothing less than make good at par what she could have made good at 50 per cent.; that later on she lost several millions in the failure of those British firms who had been mixed up in the business, yet that still, notwithstanding the civil war which has for years been raging in the country, she has made the bondholders such remittances as cannot but have filled their pockets beyond what could have been expected, considering the circumstances of the country. But this refers solely to the exterior debt, which perhaps has sufiered less than anything else from the vicissitudes Mexico has had to undergo, since, at all events, this particular debt has been attended to with something like the very care and method which the government is desirous of employing in respect to the entire public debt. While her Majesty's legation is talking about the history of the exterior debt, it would be well if, instead of turning their attention solely to the question of the London loan, which has no diplomatic character whatever, they looked into the matter of the British convention and stated frankly who really have been the sufferers in this business, and who have had to make sacrifices and undergo hardships. Let them say whether or not the republic has come off scot-free, when in the midst of her difficulties she has gone on punctually paying the assignments of the British convention and even increasing the rate of interest , on those assignments. In one of my last official communications I mentioned to you that feelings of delicacy prevented my entering into the details of the convention question. I can, however, in a private letter call your attention to the kind of elements composing this diplomatic arrangement, and to the consequences resvilting there- from ; indeed, it is only a few days ago that an English paper in this capital brought the matter to light, and proved nothing less than that Mexico had been paying for some tobacco concern at the rate of two ounces for each box of cigars. As to the complaints which you have made about the robberies and murders that of late have been committed in the republic, though they have not solely been committed upon the persons of Englishmen, but equally upon Mexicans, nobody need have less cause to blush than thoSfe who, like the present govern- ment, are giving the most positive proofs of how much they are taken up with THE PEESENT CONDITION OF MEXICO. 297 this siibject, and of tlieir anxiety to put a stop at any price to sncTi atrocities, and who were actually on the point of procuring the means of carrying out their intentions Avhen those means Avere protested against by the British legation. Who, you ask, is to blame for the present state of aflPairs and for the wars which have been desolating the republic ? I will tell you in all frankness, M. le Ministre, and you must not be astonished at what I am going to say. If, as I suppose, you are well acquainted with what has happened since the date of our independence, you will find that the origin of the evil can be traced to circumstances over which neither our race in general, nor this generation in particular, had any control. It was no work of theirs ; while, as for what has taken place within the last few years, foreign diplomatic agents are in a great measure responsible for having recognized and given moral support to a handful of rebels Avho were utterly repudiated by the nation at large. Such, at all events, is public opinion. In your last letter you still hold to the general but exaggerated notion, that many millions of the late church property have been needlessly squandered away. My opinion upon this point, M. le Ministre, may be considered worth something, for no journalist has advocated more strenuously than I have done the necessity of a proper and organized administration of the property in question ; yet I am sure that if the matter were reduced to figures, and the actual value of the church property put on paper, with the positive depreciation that value has undergone owing to the civil war; and if, moreover, there be taken into con- sideration the sums paid from this source towards the extinction of the national debt, the discount at which government has been compelled to transact their negotiation in order to realize this property and the surplus which still remains, I am sure, I repeat, that the charge of having squandered away millions will be found exaggerated. I cannot understand why you should qualify as impracticable the arrangement which the parties interested in the British convention had entered into with government. This, or any other analogous one, would be very feasible upon the bases laid down in the decree of the 17th for the guidance of the special finance committee. This decree has in no way sacrificed the rights of the public debt ; and nothing is asked for either by the government, the congress, or the country but the permission to attempt the pacification of the country and carry out their administrative reform. They claim but this. With respect to what you are pleased to say about the conduct of the chiefs of the federal army in having "occupied" certain funds at Laguna Seca, I will simply ask you whether you conceive the word "robbery" implies the idea of a future indemnity, such as was made voluntarily and at a great sacrifice on this occasion, as is proved by the trifling sum which still remains unpaid. As for the outrage at the British legation, I must correct a slight error you have made in referring to this act. It is not true that the authors of this outrage at the time of its commission, were recognized by the representatives of friendly powers. I thank you, in conclusion, most suicerely for the kind language you employ, while exhorting me to facilitate the renewal of our relations by the withdrawal of the decree of the 17th instant; but it appears to me that the interest^you profess in the matter would have lost none of its weight, and would have giined in dignity, had you accompanied it, by way of incentive, with some proposition for an arrangement not incompatable with the honor of the nation, and less uufeasi])le than the essentially impracticable one you have already made us. Hoping that you will have the goodness to consider well the observations I now offer, and flattering myself that they may lead to the re-establishment of our official intercourse, for the interruption of Avhich there is as yet no motive, I beg, &c. MANUEL DE ZAMACONA. 298 THE PEESENT CONDITION OF MEXICO. No. 19. Sir C. Wyke to Lord J. Russell. Mexico, July 28, 1861. M\ Lord : Since this clay last month, when I had the honor of writing to your lordship, describing the state of affairs in this unfortunate country, matters here have only been going from bad to worse, and every day's experience only more clearly proves the imbecility and bad faith of a government now generally detested, and against which various conspiracies are on foot. Marquez, at the head of about 4,000 men, still ravages the country, burning villages and levying contributions, without mercy, on the unfortunate inhabitants of whatever district he passes through, whilst the government troops, under the command of General Ortega, go running about the country in the hope of catch- ing the rebels, who elude their pursuit apparently with the greatest facility. On the 28th of last month, Marquez, with a force amounting to nearly 5,000 men, marched upon Real del Monte, at which place there are some very valua- ble mines .belonging to a mixed English anci Mexican company. Having easily overcome the government troops stationed near the place, his people rushed tumultuously into the village, burst open the doors of the houses, which they pillaged without mercy, ill-treating the inhabitants, and breaking the prison gates in order to liberate more than ninety of the worst criminals in the republic, Avho had been condemned to work in the mines. Fortunately no lives were lost, but the surgeon of the company, Dr. Griffin, received a sword-cut through the face, and the 160 English miners employed in the works were all more or less ill- treated, besides being robbed of their property to the amount, in the aggregate, of $3,898, a serious loss to these poor men, some of whom were thus deprived of their hard-earned savings to the amount of .$200 and $300 each. Marquez himself levied a contribution on the company of $80,000, besides occasioning them a loss, during the three days he staid there, by the stoppage of works, stealing of horses, &c., amounting to the value of $20,000. I enclose copy of a letter dated the 16th instant, Avhich I have only just received, signed by the director and all the Englishmen employed there, by which your lordship will see that these poor people write to ask me what guarantee there is for the safety of their lives and property. Marquez has, I hear, since then threatened another visit to the place, for the purpose of levying fresh contributions. Other bands, under Mejia and Velez, hold the roads leading to the interior of the republic, and carry out the same system of pillage and murder, ha-vdug recently razed to the ground the town of Huichapam, and put to death many of its inhabitants. The horrible murder, at Napoles, of poor Mr. Beale, a British subject, I have already mentioned to your lordship in a separate despatch, and I need only add, that notAvithstanding the incessant applications made to this government by both myself and her Majesty's consul, the murderers remain still at large, ready to destroy the next unprotected foreigner whom they may surprise in an insolated place. The fate of this poor man is like that of Stajines, Gibson, Duval, Bod- mer, and a long list of others, Avhose deaths still remain unatoned for and unavenged. Senor Comonfort, ex-president of the republic, has arrived at Monterey, in Nuevo Leon, Avhere it is said the governor has made a " pronunciamento " in his favor, Avhich will very likely be joined in by the neighbouring States, and probably aided by a party in this capital, who are thoroughly disgusted with the Aveak and tyrannical government of Seiior Juarez. Senor Llave has taken possession of the government of Vera Cruz, and this THE PEESENT CONDITION OF MEXICO. 299 State, it is thouglit, would immediately separate from the union in the event of a rupture with foreign powers. The general dissolution of all authority in this, wretched country has so much alarmed foreigners resident here that they are obliged to look to their own efforts to protect their lives and properties, and, with this object in view, are about to arm and organize themselves into a compact body for miitual defence. This measure has been sanctioned by their several representatives, and consented to by the government, on the express condition stipulated for by my colleagues and myself — that they were to remain strictly neutral in all the quarrels of the nation, and only act against those who actually attacked them. I have, &c., C. LENNOX WYKE. Enclosure in No. 19. The Suh-DirectoT and Miners employed at Real del Monte to Sir C. Wyke. Eeal del Monte, July 16, 1861. Sir : "We, the undersigned, British subjects, residents of Real del Monte and Pachuca, take the liberty of addressing you on a most momentoiis question, in a word, to ask you, as her Majesty's representative, what guarantee we have for the safety of our lives and property. "Without referring to antecedents, such as the constant entrance of parties of rebels, or anti-government forces, whereby we have been kept in a perpetual state of alarm and anxiety, we at once beg to call your serious attention,' and through you that of the English government, to what we suifered lately by the inroad of the forces under Marquez. Our houses were forcibly entered, our females insulted, our lives threatened, and our property robbed to a large extent, to say nothing of the heavy losses occasioned to the company, of which we have the honor to form part, in forced loans, horses and arms taken, and the complete paralyzation of all works for days, thereby ; as our interests are so mixed up with the prosperity or otherwise of the said company, sixch a loss as they have sustained lately must be felt by all. On former occasions two Englishmen were killed, and on this one was wounded, several were fired at, beaten, and narrowly escaped with their lives, and aU this without the least provocation or slightest show of resistance on our part. "We have the honor to subjoin a list of most of the property lost by the Eng- lish residents here; the original list, which is in the company's office, beai'S the signature of General Cobos, as approved by him. tVe have &c. STEWAET J. AULD, Suh-Dlrector. RIOHD. SKINFILL, Mine Manager G. M. MURRAY, Treasurer. Wj\I. R. U. griffin, Surgeon. (Here follow 129 signatures of English miners.) 300 THE PEESENT COA^DITION OF MEXICO. No. 20. Earl Russell to Sir C. WyJce. Foreign Office, August 31, 1861. Sir : I liave received and laid before tlie Queen jour despatclies to tliat of tlie 28th ultimo, inclusive. I have to inform you that your conduct, as stated in your despatch of the 26th ultimo, is approved by her Majesty's government. Further instructions will be sent, and, in the meantime, you will act on my instructions of the 21st of August. I am, &c. RUSSELL. No. 21. Earl Cowley to Earl Russell. [Extract.] Paris, S,epterriber 5, 1861. M. Thouvenel said that he was so desirous of acting in complete unison with her Majesty's government in Mexican affairs, that he had determined on furnish- ing M. Dubois de Saligny with instructions completely identical with those transmitted by your lordship to Sir Charles Wyke. His excellency then requested me to ask your lordship whether it might not be advisable to ask the association of the Spanish government in any measures which might be taken with regard to Mexico. His excellency observed that should a hostile demonstration become necessary, Spain possessed resources at the Havana which might be of great assistance to Great Britain and France. No. 22. Earl Russell to Sir C. Wyke, Foreign Office, September 10, 1861. Sir: With reference to your despatch of the 11th of July, reporting the mur- der of Mr. Beale, and to your despatch of the 28th of that month, enclosing a representation from British miners at Real del Monte, I have to state to you that such atrocious outrages upon life and property committed towards British sub- jects cannot be extenuated by any condition of anarchy or civil war which may exist in Mexico, and that her Majesty's government must hold the Mexican na- tion answerable for such infamous proceedings. I am, &c., RUSSELL. THE PRESENT CONDITION OF J^IEXICO. 301 No. 23. Edrl Russell to Sir C. WyJce. Foreign Office, Septemher 10, 1861. Sir : I have received your despatches of the 26th aud 28th of July, and I have to convey to you the enth-e approval of her Majesty's government of your conduct as therein reported. The suspension for two years of all payments in discharge of debt, at a time when the Mexican government can afford to spend 6,000,000 dollars in six months, is a shameless breach of faith, which cannot be in the slightest degree excused by the pretences put forward by Seiior Zamacona in its defence. Seiior Zamacona asserts that the present government of Mexico are actively employed in maintaining internal and social order, in reorganizing the adminis- tration of the republic, in introducing rigid economy into all the branches of the public service, and in vigorously putting an end to the civil war and restoring internal peace to the country. But it is notorious that every one of these asser- tions is directly the reverse of the truth. It is well known that life and property are nowhere safe, not even in the streets of the capital ; that the administration is as corrupt and as reckless of any interests but their own personal advantage as any that has heretofore governed in Mexico ; that great anarchy and disorder prevail in all the departments of the government ; and that so far from their hav- ing applied the resources of the state to a vigorous suppression of the civil war, the opposite party under the adherents of Miramon were, by the last accounts, in great force within a short distance of the capital, and not unlikely to become its masters. Her Majesty's government, it is needless to say, cannot accept such excuses for the wrongs of which her Majesty's subjects in Mexico have been the victims, and therefore, if the proposals contained in my despatches of the 21st ultimo are not accepted by the Mexican government, you will finally break off relations, and put yourself in communication ynth. Rear- Admiral MUne, who will receive instructions from the admiralty on this subject. I am, cScc, EUSSELL. No. 24. Earl Cowley to Earl Russell. Paris, 8epteviber 10, 1861. My Lord : A communication has been made by the Spanish ambassador to this government that orders have been sent to the captain-general at the Havana to take possession of Vera Cruz and Tampico for the protection of Spanish interests in Mexico. The Spanish government at the same time professes its deske to act in con- cert with Great Britain and France. I have, &c., COWLEY. 302 THE PEESENT CONDITION OF MEXICO. No. 25. Earl Cowley to Earl Russell. [Extract.] Paris, September 17, 1861, I met the Spanish ambassador at M. Thouvenel's this morning, who imme- diately turned the conversation on the affairs of Mexico, expressing the hope that the governments of Great Britain, France, and Spain, would concert meas- ures for common action in order to obtain the satisfaction due to them from the Mexican government. I replied to M. Mon that I had heard from M. Thouvenel that the Spanish government had the intention of acting alone in this matter, and had already given orders for the occupation of Vera Cruz and Tampico ; that having trans- mitted this information to her Majesty's government. Sir John Crampton had been instructed to make inquiries of the Spanish government, and that Marshal O'Donnell had denied that any orders of the kind had been given ; I should be glad, therefore, to ascertain how this matter really stood. M. Mon replied that I must be aware that the Spanish government had more than once meditated the employment of force to obtain the satisfaction due to them in Mexico, but that they had much rather act in concert with Great Britain and France. It would only be in case of the refusal of those two powers to co- operate with Spain that she would proceed to act alone. I related to M. Thouvenel what had passed between myself and M. Mon, ob- sersdng that the Spanish ambassador's language to me did not quite tally with what his excellency had stated, the last time I had seen him, had been M. Mon's language to himself. M. Thouvenel answered that he had not intended to convey more to me than that orders had been transmitted to the Havana to make every preparation for an expedition against Mexico, the Spanish government hoping to employ it in co-operation with British and French ships. M. Thouvenel proceeded to express the hope that her Majesty's government would not refuse this cooperation, ob- serving that 3,000 Spanish infantry could be sent from the Havana. I should mention that when the Spanish ambassador urged the joint action of the three governments, I stated to him the value which her Majesty's govern- ment must attach to freedom of religious profession and worship. M. Mon said that he considered that questions of that nature ought to be left to the decision of the Mexican government. He abjured at the same time, on the part of Spain, all desire to impose any particular government on Mexico ; all she desired was a government chosen by the Mexicans, which would make itself respected and would scrupulously fulfil engagements taken with foreign powers. No. 26. ^ir J. Crampton to Earl Russell. San Ildefonso, September 13, 1861. My Lord : In a late conversation with Marshal O'Donnell his excellency spoke of the present deplorable condition of Mexico. Spain, he remarked, had suspended her diplomatic relations with the Mexican government, and he perceived both France and England had taken the same step. But would this be sufficient 1 He thought not. The motives of the THE PEESENT CONDITIOJ^ OF MEXICO. 303 tliree governments in following this course were evidently the same, viz : to enforce redress for the intolerable wrongs inflicted upon their respective subjects by the anarchical governments which succeeded each other in that distracted country. It appeared to him, therefore, to be both possible and very desirable that England, France, and Spain should come to an understanding as to the adoption of some common course in enforcing upon Mexico the observance of her inter- national duties. " With respect to Spain," the marshal added, " the number of our subjects in Mexico is so great, and the interests involved so considerable, that I have no hesitation in telling you that we at all events must take decided measures to protect them. In short, we shall go there, not certainly with any view of con- quest or exclusive advantage, but for the protection of our rights." I observed that I was not at present in possession of the precise views of her Majesty's government as to what had lately taken place in Mexico, or the rem- edies 's\'hich would be applicable to what seemed an almost hopeless state of affairs. I was, however, aware that British subjects had suffered repeated acts of oppression and denial of justice in Mexico, and I had seen it reported that our diplomatic relations with that covmtry had been suspended. I would not fail, consequently, to acquaint your lordship with what has now fallen from his excellency on this matter. On piu-suing the subject I did not find Marshal O'Donnell prepared to suggest any definite plan of action on the part of the powers whose joint intervention he recommended. His excellency remarked, however, that the notion which had at different times been put forward of establishing by foreign intervention a constitutional monarchy in Mexico was, in his opinion, very chimerical, and he seemed entirely to concur in the justness of a remark which I made in regard to this matter, viz : that any engagement which should bind England, France, and Spain to a permanent intervention and tutelage of any sort in the internal affairs of a country so situated as Mexico would be liable to grave objections. I am the more particular in drawing your lordship's attention to this opinion of Marshal O'Donnell, because a large portion of the Spanish press has lately been advocating an intervention of this sort, and the establishment of a monarchy in Mexico, and indulging in wild speculations as to the recovery by Spain of her ancient possessions in America and the " Indies." I have, &c., JOHN F. CEAMPTON. No. 27. Sir J. Crampton to Earl Russell. ' San Ildefonso, Septmiber 16, 1861. My Lord : Upon the receipt of your lordship's telegram of the 14th instant, informing me that Lord Cowley had reported that the Spanish ambassador at Paris had announced that the captain-general of Cuba had been ordered to take possession of Vera Cruz or Tampico for the protection of Spanish interests in Mexico, and that the Spanish government at the same time proposes to act in concert with England and France, I immediately waited upon Marshal O'Donnell and requested him to inform me whether this announcement had been made. His excellency replied that, with respect to the desire of Spain to adopt a common course with France and England for obtaining satisfaction from Mexico for the wrongs inflicted upon their respective subjects, both M. Mon and M. 304 THE PEESENT CONDITION OF MEXICO. Isturiz had been instructed in the same terms to express this desire to the French and British governments, and to add that if those governments declined to adopt the coursep roposed, Spain would nevertheless feel it necessary to take, singly, such measiires as might be necessary to vindicate her rights. As re- garded the statement that the captain-general of Cuba had been ordered to take possession of Vera Cruz or Tampico, or to undertake any "military operations against Mexico, it must have originated in a misapprehension, because he could assure me that no such orders had been given. It was the Avish of the Spanish government, the marshal added, to act in con- cert with France and England in regard to this matter, and he had desired to ascertain the disposition of the two governments to do so previously to deciding upon the measures which would be necessary to eflfect the object in view. All that the Spanish government had done, therefore, was to take such pre- paratory measures as were necessary to place them in a position to act effica- ciously when the proper time came. With this view orders had been given to reinforce the garrison of Cuba by an addition of 4,000 troops, and to increase tire naval force of Spain in the West Indies. The amount of the army in Ou.ba would be raised to about 25,000 men, and the naval force (the present amount of which his excellency did not mention) would be increased by the presence of tlie four screw frigates in which it was proposed to embark the troops from Spain. Two of these frigates were now about to sail ; the remaining two would be ready at the end of the present month. With regard to military operations against Mexico the marshal remarked that nothing could be undertaken before the commencement of November. The j^ellow fever prevailed at Vera Cruz and other parts of the coast during the present month, and the hurricanes which never failed to take place in the Gulf of Mexico during the equinox put any such operations out of the question before that period. There would, consequently, be. ample time for the Spanish gov- ernment to ascertain whether the French and English governments were dis- posed to act in concert with them, and to take measures for so doing in case those governments should agree to adopt that course. I have, &c., JOHN F. ORAMPTON. No. 28. Lord Lyons to Ea7-l Russell. Washington, Septemher 10, 1861. My Lord : Mr. Seward told me this morning that he had authorized the United States minister in Mexico to conclude a convention with that republic, in virtue of which the United States should assume the obligation to pay three per cent, interest on the foreign debt of Mexico during the period for which the payment of the interest on this debt is suspended by the recent decree of the Mexican government. The lands, minerals, &c., of certain provinces of Mexico were to be pledged to the United States, as a guarantee that Mexico would re- pay to them, with six per cent, interest, the sum which they woidd thus ad- vance for her. The particulars of the scheme were, Mr. Seward said, to be communicated to the governments of Great Britain and France, and the validity of the convention was to be conditional upon those governments engaging not to take any measures against Mexico to enforce the payment of the interest of the loan until time had been given to submit the convention to the ratification of the United States THE PEESENT CONDITION OF MEXICO. 305 Senate at the session which begins in December next. It was also to be a condition that if the convention should be ratified by the United States Senate, Great Britain and France should engage not to make any demand upon Mexico for the interest, except upon its failing to be punctually paid by the United States. The inducement to the United States to take upon themselves the payment appeared to be the extreme importance to them of the independence of Mexico. So far as I could ascertain, the instructions to the American minister with regard to this convention do not direct him to propose an alliance offensive and defen- sive between the two republics, nor, indeed, any other stipulations than those I have mentioned. I have, &c., LYONS. No. 29. Eai'l Russell to Sir J. Crampton. Foreign Office, September 23, 1861. Sir : With reference to the affairs of Mexico, I have to state to you that it is most desirable that complications in this question should be avoided. Certain rights on the customs of Vera Cruz and Tampico have been secured to her Majesty's government by convention. To secure these and other rights the government of Mexico has been invited to give the control of those customs to British commissioners, who, it is under- stood, should also pay to other nations the sums due to them, and secured on the same customs. No orders have as yet been given by her Majesty's government for the em- ployment of force in Mexico, and they would be glad to knoT\r if the Spanish government will agree to postpone their action till England and France can have time to confer as to acting in concert. ^ I am, &c., EUSSELL. No. 30. Harl Russell to Earl Coicley. Foreign Office, September 23, 1861. My Lord : The Count de Flahault has communicated to me the substance of a despatch from his government on the affairs of Mexico. In this despatch M. Thouvenel, referring to the instructions recently given by the two powers to their representatives in Mexico, and which, if the demands presented therein to be made on the Mexican government are acquiesced in, will admit o^' the resumption of official relations on their part with the goveAiment of the republic, proceeds to say that it is necessary to provide for the two contin- gencies, of a refusal on the part of the Mexican government, or of the overthrow of tlie Juarez government before the English and French ministers receive their instructions. M. Thouvenel then adverts to the measures of coercion to which, in the first case, the two governments might have recourse, and to the importance of coming to an early understanding on that point ; and he goes on to say that, even sup- II. Ex. Doc. 100 20 306 THE PEESENT CONDITIO?^ OF MEXICO. posing tlie second contingency to be realized, tlie tTvo governments wonld, nevertheless, have to devise means for obtaining redress of grievances, and for insuring tlie payments of the debts which have been formally acknowledged. M. Thouvenel is, however, of opinion that the two governments should carry their common understanding still further, and devise means for promoting the political reorganization of Mexico ; and M. Thouvenel expresses his willing- ness to take as a basis the measm-es fonnerly suggested by her Majesty's gov- ernment, as affording the best means of arriving at the pacification of the coun- try, namely, the publication of a genei*al amnesty, and the convocation of an extraordinary congress. He expresses his opinion, however, that the cabinet of Madiid should be invited to conciu- in the course to be taken by the two powers, and that the cabinet of Washington should also have the opportunity afforded to it of joining the other powers. Finally, M. Thouvenel adverts to a communication just made to him by the Spanish ambassador of the intended despatch of a Spanish force from the Havana to the coast of Mexico, and of the readiness of the court of Madrid to act in con- cert with France and England. Upon this matter I "n-ish you to observe to M. Thouvenel that the demands of Great Britain upon Mexico are founded upon two principles : 1. The right to rec[uire secui'ity for the lives, and respect for the property of British subjects in Mexico. 2. The right to exact the fulfilment of obligations contracted towards Great Britain by the government of Mexico. On these two principles are founded the claims urged by Sir C. TYyke. The British government is ready to prosecute these claims by its own means, or to join with other powers who have claims founded on similar principles regarding then- own subjects. Her Majesty's government are glad to find by M. Thouvenel's despatch that the government of his Imperial Majesty takes the same view of this matter, and her Majesty's government will willingly enter into concert with the government of France as to the coiu-se to be pursued. Her Majesty's government also fully concurs with M. Thouvenel in thinking that before any active steps are taken in this matter by the Eurppean powers, an offer of co-operation ought to be made by them to the government of the United States. The interest of the United State in the peace and prosperity of Mexico is such that her Majesty's govern- ment agree "^dth M. Thouvenel in thinking that full commimication should be made to the United States government. * It does not appear that the Spanish government have as yet sent any precise orders for the immediate employment of then' forces in Mexico. There is, there- fore, time for deliberation and concert. With respect to the measures to be taken for the future peace and tranquillity of Mexico, her Majesty's government are ready to discuss the subject with France, Spain, and the United States. But it is evident that much must de- pend on the actiial state of affairs at the time when our forces may be ready to act on the shores of Mexico. The measures sus's-ested some time a^o by her Majesty's govennnent appear to be inapplicable to the present state of aflfau-s. I am, &:c., KUSSELL. THE PRESENT CONDITION *0F MEXICO. 307 No. 31. M. Isturiz to Earl Russell. [Translation.] London, September 23, 1861. My Lord : The despatches wliicli I have lately received from my government announce to me an important fact. The injuries which the republic of Mexico seems determined to inflict upon us being unceasingly repeated, and all the measures of consideration which Spain is always inclined to adopt, so far as honor will permit, having been ex- hausted, the government of the Queen my august sovereign has at length resolved to obtain by force the reparation that is due to it. The despatches of my government also inform me that Sir John Orampton, the representative of Great Britain in Madrid, is already aware of this resolu- tion, and of the sentiments which dictate it, so that I might almost dispense with communicating it to your excellency. HoAvever, it has appeared proper to me not to omit it, so that your excellency may be fully informed of this affair through the most direct channel. The government of the Queen, my mistress, has therefore made arrangements to operate energetically in Mexico, and hopes to obtain the satisfaction that it claims, although it does not disguise from itself that the result of any demonstra- tion of this sort would be more permanent if other governments, those of Eng- land and France, for example, having injuries to avenge, should think proper to unite their forces to those of Spain. A combination of this kind would perhaps avert the repetition of such scan- dals, and contribute to the recognition by the Mexicans of the necessity of con- stituting a government which would give security at home, and sufficient guar- antees abroad. With this object, I have, &c., XAVIEE E. ISTUEIZ. No. 32. Earl Cowley to Earl Russell. [Extract.] Paris, September 24, 1S61.. I had the honor to receive, this morning, your lordship's despatch of yester- day's date, giving me the substance of a communication Avhich had been made to you by Count de Flahault on the affairs of Mexico, and stating the willing- ness of her Majesty's government to concert with the French and other govern- ments recognizing the same principles of action as her Majesty's government, the course which should be pursued by them in that country. M. Thouvenel, on my communicating to him your lordship's despatch, ex- pressed his concurrence in the views of her Majesty's government, but he re- marked that as your lordship seemed to be of opinion that the measures suggested' some time ago for the pacification of Mexico were inapplicable to the present state of affairs, he should be glad to receive from you the plan of action which, you now propose to follow. ^ I inquired of M. Thouvenel whether he was in possession of any intelligence, either from Washington or from Mr. Dayton, of a proposal made by the United 308 THE PRESENT CONDITION OF MEXICO. States 'government to that of Mexico with regard to the payment of the interest on the Mexican foreign debt; and finding that no intelhgence on the subject had reached his excellency, I stated to him the substance of Lord Lyons's de- spatch to yonr lordship of the 10th instant. M, Thouvenel expressed the opin- ion that these proposals of the United States must be dealt with before the other governments interested in the Mexican question conld settle any plan of common action, and he expressed himself very anxious to know the opinion of her Majesty's government. It might not be possible, he said, to prevent the United States offering money to Mexico, or to prevent Mexico receiving money from the United States, but neither England nor Franee ought in any way to recognize the transaction. I said that I trusted that, in case of Mr. Dayton making any representation on this subject, M. Thouvenel would abstain from all reply until I should be in a position to inform him of the views of her Majesty's government, and his ex- cellency promised me to follow this course. No. 33. Earl F^ussell to Earl Goicley. Foreign Office, Sici^ember 27, 1861. My Lord : I received from Mr. Adams on the 25th instant an explanation of the proposals the United States wish to make to Great Britain and France in the affairs of Mexico. He said that the United States government were considerably alarmed at the statements made in the newspap.ers regarding an intervention in Mexico, which was supposed to be in the contemplation of Great Britain, France, and Spain. The United States government were aware that Great Britain, France, and Spain, as well as the United States, had many grievances to complain of on the part of the government of Mexico ; but a direct intervention, with a Adew to organize a new government in Mexico, and especially the active participation of Spain in such an enterprise, vi^ould excite strong feelings in the United States. It would be considered as that kind of direct interference in the internal affairs of America to which the United States had always been opposed. In fact, there was a sort of u.nderstanding that so long as European powers did not interfere in America, the United States might abstain from European alliances ; biit if a combination of powers were to .^organize a government in Mexico, the United States would feel themselves compelled to choose their allies in Europe, and take their part in the wars and treaties of Europe. The United States government thought that such a necessity woitld be avoided if Great Britain and France would accept the payment of interest by the United States of the debt due by Mexico to Great Britain and France ; this advance to be continued only for a time till Mexico should be able to defray her OAvn obli- gations. I replied by relating to him, in the first place, what had taken place in Mexico itself. I then stated the overture of M. Thouvenel, including the proposal to make offers to the government of the United States to act in co-operation with ns on this subject. That we had replied we had but two objects in view : 1. Security to the persons and property of British subjects. 2. The fulfilment of all the obligations of Mexico to her Majesty. Mr. Adams, I continued, would see that our demands embraced not only the payment of interest on a debt which might be settled by naming a fixed sum, be it more or less, but also com- THE PRESENT CONDITION OF MEXICO. 309 prehended satisfaction for the injuries done to British subjects ; that we could hardly transfer these obligations to the United States without raising an indefi- nite number of questions of detail, upon which Great Britain and Mexico would have to appeal to the equity of the United States ; that I thought it the interest of our two countries to have as few entangling questions and clashing interests as possible. I shoiild be afraid that our friendly relations might be endangered if we increased the number of points upon which we might come into collision ; that, without giving him a final answer, I could tell him at once that I thought the proposition of his government open to very grave objections. "Without entering further upon its merits, however, I had a counter proposi- tion to make, which I thought deserved the serious consideration of his govern- ment, to whom I begged it might be submitted. I was as apprehensive as he was of an attempt to build upon the foundation of debts and injuries a claim to organize a new government in Mexico ; that I was convinced that, of all countries, Mexico was the one where intervention in its internal affairs would bring the most severe disappointment upon its authors ; that the factions in that country were too hostile to each other and too sanguinary in then tempers to be recognized by a small force of Europeans in the name of order and moderation. But might not the evils we both feared be guarded against by defining terms of co-operation with Spain which would exclude in- terference in the internal affairs of Mexico ? Would not this be a better course than leaving Spain to seek her own vindication and afterwards opposing the results of her operations 1 I read to Mr. Adams part of Sir John Crampton's despatch of the 13th instant, to show him that Marshal O'Donnell was by no means desirous of un- dertaking the reconquest of the Indies. Mr. Adams promised me that he would communicate this view to his govern- ment. Her Majesty's government are of opinion that if any combined operations are to be taken against Mexico they should be founded on these two bases : 1. The combined powers of France, Great Britain, Spain, and the United States feel themselves compelled by the lawless and flagitious conduct of the authorities of Mexico to seek from those authorities protection for the persons and property of their subjects and a fulfilment of the obligations contracted by the repiiblic of Mexico towards their governments. 2. The said combined powers hereby declare that they do not seek any aug- mentation of territory, or any special advantage, and that they will not en- deavor to interfere in the internal affairs of Mexico or with the free choice of its form of government by its people. You will read- this despatch to M. Thouvenel, and give him a copy of it. I am, &c., EUSSELL. No. 34. Eaii Russell to Earl Coivley. Foreign Office, Septemher 27, 1861. My Lord: With reference to my preceding despatch of this day's date, I transmit herewith, for your excellency's infonnation, copy of a despatch from her Majesty's minister at Madrid* upon the subject of the state of aftairs at Mexico, and which is alluded to in my above-mentioned despatch. I am, &c., EUSSELL. <>No. 26. 310 THE PEESENT CONDITION OF MEXICO. No. 35. Earl Russell to Sir J. Crampton. Foreign Office, September 27, 1861. Sir : I enclose a copy of a note wliicli Mr. Isturiz Las sent me.* Her Majesty's government have many injuries to complain of in regard to Mexico, especially tlie atrocious robbery committed in the house of her Majesty's legation at Mexico, and against which the Spanish minister in Mexico protested in vain. Her Majesty's government would willingly co-operate with those of France and Spain in enforcing redress for these wrongs. There are, however, two con- ditions which her Majesty's government deem essential : The first is, that the co-operation of the United States should be invited. The second is, that the combined powers should not interfere by force in the internal government of Mexico. Her Majesty's government would be happy to see the Mexicans constitute a government " which would give security at home and sufficient guarantees abroad." But her Majesty's government are persuaded that any attempt to effect this desirable purpose by force of arms would fail in its purpose. If the force were Spanish, one of the contending parties would be fiercely opposed to it ; if it Avere English, the opposite party would be as strongly its antagonist. Nor is any other foreign force likely to be received with favor. The Mexicans themselves can alone put an end to the anarchy and violence which have torn Mexico to pieces during the last years. I trust this view is in accordance with the sentiments of the Duke of Tetuan and the government of her Catholic Majesty. I am, &c., KUSSELL. No. 36. Earl Russell to M. de Isturiz. Foreign Office, September 27, 1861. Sir : I have the honor to acknowledge the receipt of your note of the 23d instant, acquainting me with the course which your government propose to pur- sue with a view to obtaining satisfaction for the injuries inflicted on Spanish subjects in Mexico, and pointing out the advantage of concerted action on the part of England, France, and Spain, for the purpose of putting an end to the present state of affairs in that republic; and I beg leave to assure you, in reply that the question shall be dl^ly considered by her Majesty's government. I am, &c., EUSSELL. « No. 31. THE PRESENT CONDITION OF MEXICO. 311 No. 37. Earl Russell to Lord Lyo7is. Foreign Office, September 28, 1861. My Lord : I transmit to your lorclsliip herewith a copy of a despatch which I have addressed to Earl Cowley,* giving his excellency an account of a con- versation which I have had with Mr. Adams respecting the proposal of the government of the United States in regard to Mexico, referred to in your de- spatch of the 10th instant, and I have to instruct your lordship to speak to Mr. Seward in the same sense as that in which I spoke to Mr. Adams. I am, &c., EUSSELL. No. 38. Earl Russell to Sir C. Wyke. Foreign Office, September 28,' 1861. Sir: I have to state to you, with reference to my despatches of the 21st of August and of the 10th of September, that if circumstances should have caused you to quit the territory of the Mexican republic, you are at liberty to use your own discretion as to the direc.tion in Avhich you shall proceed, keeping, how- ever, in the neighborhood of Admiral Milne, and having means of ready com- munication with him. You will, of course, give notice to Rear- Admiral Milne ; but that officer will not yet have received the instructions from the admiralty to which I alluded in my despatch of the 10th of this month, inasmuch as her Majesty's government are still in communication with the governments of other powers having similar interests in Mexico to those of this country, as to the course which should be pursued under the existing state of things in that republic. I am, &c., RUSSELL. No. 39. Sir C. Wyke to Lord J. Russell. Mexico, Augttst 8, 1861. My Lord : Li the postscript of my despatch of the 26th ultimo I stated that I should merely acknowledge receipt of the private note I had just received from Seiior Zamacona, but on reflection I thought it better not to leave unan- SAVcred the false and incorrect statements it contained, and I therefore replied to him on the 30th ultimo, copy of which note I have now the honor to enclose for your lordship's information. I have, &c., C. LENNOX WYKE. <>No. 33. 312 THE PEESENT CONDITION OF MEXICO. Enclosure in No. 39. Sir C. Wyke to Senor Zamacona. [Extract.] Mexico, July 30, 1861. I can really see no good reason for continuing a correspondence whicli cannot in any way alter, as yon seem to suppose it may do, the resolution I liave adopted to suspend all official relations with your government; yet, out of courtesy to one so well entitled to it as yourself, I will not leave unanswered your note of the 27th, with the premise, however, that having fulfilled this duty, all further communications relative to this matter must cease. It is remarkable that, mutually desirous as we are of stating the truth, we should each feel the greaitest astonishment at the other's entertaining so diamet- rically opposite an opinion upon a subject which, on being calmly considered, can only be lot>ked at in one point of view. If you feel surprise that I should have demanded the repeal of the decree of the lYth instant, how much greater must mine have been on finding that your government had dared to issue it without consulting with me as the representative of that power which was the other contracting party to a convention which said decree shamefully violated. I cannot appreciate the false pride which, according to what you state, was the principal reason for not complying with what I demanded; for when either a nation or an individual is in the wrong, it is not dishonorable to confess it, and to offer reparation for the offence given. Had your government withdrawn the decree, they would not have been disgraced by giving way, as you assert, to the dictation of foreign diplomacy, but they would simply have retrieved a false step, and, in doing so, relieved themselves from an amount of responsibility of which at present they seem to have no idea. In order to sustain your argument you make a number of quotations from various authors who have written on international law; but apart from the fact that such quotations are valueless without their context, there is one amongst them that directly condemns a measure whicli you have always said was meant to relieve the State from its pecuniary difficulties. De Martens, you say, states that the party -violating an engagement is liable to indemnify the other party where such breach of contract has been caused by the offender's fault. Now, the government of President Juarez on coming to power was possessed of ample means to liquidate all the engagements binding on the republic, but by their Avilful recklessness and want of common prudence they dissipated their resources, and then fell into the difficulties from which they are now vainly en- deavoring to extricate themselves by repudiating their obligations ; they there- fore clearly become liable to indemnify Great Britain, and thus, as I have all along told you, you aggravate instead of mitigate the evil of your povertyby the decree of the 17th. You go on to say that many of your misfortunes have been occasioned by diplomatic agents here having acknowledged a government which you dislike ; and, in reply, I can only once more observe that such agents were obliged, on the principle now universally recognized, to acknowledge a real bona fide de facto government holding the capital and the archives of the nation. As for your remarks about church property, let me remind you that it is diffi- cult to overcome the inexorable logic of facts by a few well-turned phrases ; we all know what that property was, and we are now equally well aware that your government is in a state of peaury, and with respect to the means proposed for paying the English claimants, I thought I had abeady told you that they had THE PEESENT CONDITION OF MEXICO. 313 been condemned, on reflection, by tbe parties tliemselves, and not tbrough any obstacle tbat I bad thrown in tbe way. In tbe matter of tbe Lagnna Seca "condncta," I repeat tbat I am justified in calHng robbery tbe act of taking by force tbat wbicb belongs to anotber and not returning it ; promises and fair words go for notbing in sucb a case as tbis ; and I also beg again to assert tbat tbe government wbicb committed tbe legation outrage was a de facto government recognized by tbe agents of European powers resident bere. Under tbese circumstances, and witb tbe greatest desire to meet your wishes, allow me bere to observe tbat I can really find notbing in your note but what confirms me still more in a resolution forced on me by tbe obstinacy of your government, and wbicb my duty likewise absolutely compelled me to adopt. If you bad studied tbe history of the Mexican debt to the EngHsh bond- holders with the attention that it really deserves, you wou.ld have learnt tbat the latter have in reality sacrificed, in order to relieve the republic at various times, the enormous sum of upwards of $59,000,000. Tbe last great concession made was in 1850, when the interest was reduced from five to three per cent,, a trcinsaction which your own financial agent, Senor Payno, boasts of in his state- ment of 1852 as having benefited tbe republic to tbe amount of $25,581,570. You have further thought fit to attack tbe nature of the British convention, and I must therefore remind you that it was founded entirely on British claims, the justice of which the Mexican government acknowledged in signing tbat act, and tbat if a great many of tbe bonds are now held by Mexicans instead of Englishmen, it has so come about in the natural course of money transactions on 'change, where bonds and shares p^-ss from hand to hand according to the wants of buyers and fellers. With regard to what you say in reply to my complaint of so many English- men having been butchered witb impunity by your countrymen, it is no satis- faction to me to learn as a set-off tbat some Mexicans have also been murdered by their fellow-citizens without tbe crime having been punished. These crimes, and the senseless wars carried on here since the declaration of your independence, are to be attributed to the bad passions of a vitiated popu- lation, which alone can be held responsible for a state of things unparalleled in the annals of the civilized world. I cannot, in justice to myself, conclude this letter without telling you frankly tbat I consider the mere fact of my havmg under existing circumstances ex- pressed an interest in tbe solution of tbe present question, ought to have saved me from the reproof of having proposed to your government what was incom- patible both witb my 0A^'Tl and their dignity; and excuse me for adding tbat sucb a proposition as I have made to you does not necessarily become undigni- fied and impracticable simply because you, an interested person, are pleased to say so. No.-40. Sir C. Wyhe to Lord J. Russell. [Extract.] Mexico, August 12, 1861. In my despatch of the 27tb of May last I pointed out to your lordship tbe nature of the terms accepted by Mr. Mathew on his recognition of tbe Juarez government, for tbe repayment of tbe $660,000 robbed from the British legation in the month of November last, by which that government promised to reimburse the money so stolen, by confiscating for that purpose the private property of all those persons found guilty, by a legal sentence, of participating in that outrage. 314 THE PEESENT CONDITION OF MEXICO. The enclosed extract from Saturday's "Estafette" gives an account of tlie sentence which has been passed on three of the persons implicated, viz : Don Isidro Diaz, Francisco Montero, and Teofilo IMarin, the first of whom was min- ister of justice and legal adviser to General Miramon. The wretched quibble bj which the accused are declared innocent of robbery, while found guilty of "occupying" funds belonging to the English bondholders, is quite in character with all that is now occurring here, and proves the utter degradation of a government whose judges even make use of a slang phrase, such as "ocupacion" has become, in order not to employ the word properly qualifying a crime which, instead of punishing, they seek to palliate by such unworthy means. This sentence will, of course, have the eflPect of absolving Marquez and all others implicated in the robbery, as it frees them from the danger of criminal prosecution for what is now designated as merely a civil misdemeanor, the only punishmeut for which is dismissal from ofiices long ago forfeited by all the parties engaged in this affair. As far as we are concerned, therefore, in our relations with the Mexican gov- ernment the case stands thus : They deny their responsibility for any acts of their predecessors, whose pri- vate property they say should be confiscated to repay the money stolen ; and when measures are apparently taken for that purpose, the judge who tries the case declares that the accused are only guilty of a misdemeanor, and, therefore, that their property is safe from confiscation for so trifling an offence, for which they Ccm only be proceeded against by civil process, as for the recovery of a debt, which under the circumstances would be an absurdity. We thus neither obtain justice nor compensation, unless her Majesty's government are determined to obtain both, by employing the only means likely to succeed with a govern- ment so utterly unprincipled as this. Enclosure in No. 40. Extract from the ''Estafette" of August 10, 1861. Les Proces Politiques. — Le juge de district a rendu sa sentence dans le proces intente a MM. Isidro Diaz, Francisco Montero, et Teofilo Marin. L'ac- quittement a ete prononce sur le chef de vol des fonds de la convention Anglaise. Les considerans sur lesquels s'appuie cette decision judiciaire meritent d'etre connus ; aussi reproduisons nous ici le texte de la sentence : " Juzgado de district de Mexico. — En la ville de Mexico, le 3 Aout, 1861, le citoyen Licencie Jesus Maria de Herrera, deuxieme Supple ant de Juzgado de district de la capitale de la republique : vu les pieces du proces intente a MM. Francisco Montero, Isidro Diaz, et Teofilo Marin, pour vol des fonds de la con- vention Anglaise (tels sont les termes contenus dans I'acte d'accusation) commis le 17 Novembre, 1860, dans la maison situee Rue de Oapuchinas et portant le No. 11, a declare : "Oonsiderant que la saisie ('ocupacion') de fonds publics ou particuliers executee par des individus qui sont en etat de rebellion contre le gouvernement legitime, ou, en d'autres termes, que le fait de s'emparer par la ^dolence de valeurs appartenant a des particuliers ou a des corporations, aux etats ou au tresor public de la federation, constitue un cas expressement prevu par les lois du pays, et notamment par la loi du 22 Fevrier, 1832, declaree en pleine vigueur par I'Ar- ticle 58 de la loi du 6 Decembre, 1856, prescrivant les peiues encourues pour delits contre la nation, contre I'ordre et la paix publique; THE PEESENT CONDITION OF MEXICO. 315 " Oonsiderant que ces faits entrainent pour leurs auteurs et les complices de ces derniers, non la responsabilite criminelle, mais une responsabilite purement civile, (* responsabilidad puramente civil,') attendu que la susdite loi de Fevrier, 1832, se borne ^ les declarer responsables solidairement dans leurs biens propres ('responsables de mancomun in solidum con sus bienes propios,') sans autre peine que le perte des bonneurs et des emplois dont, au moment de consommer la saisie ('ocupaciones') jouissaient les individus en revolte contre le gouvernement ; " Oonsiderant qu'en raison de ce qui precede, il existe une difference substan- tielle entre les saisies (' ocupaciones ') de fonds publics ou particuliers operees par les agents de la rebellion dans le but de favoriser et soutenir celle-ci, et les vols commis par des individus n'ayant pas ce caractere et n'ayant d'autre but que de tirer un avantage personnel de I'argent dont ils s'emparent; attendu que le pre- mier cas constitue simplement un delit politique qui aux yeux de la loi n'a d'autre c-onsequence que la responsabilite purement civile ('responsabilidad puramente civil,') tandis que le second constitue un delit de I'ordre commun qualifie de vol et dont les auteurs et leurs' complices sont designes sous le nom de voleurs ('ladrones ') et meritent les peines qui re'sultent non seulement de la responsabilite civile mais des delits criminels ; "Oonsiderant comme etant comprise dans la premiere categorie la saisie des fonds destines au paiement des creanciers Anglais, executee par ordre des cbefs rebelles Miramon et Marquez, le 17 Novembre, 1860, dans la maison portant le No. 11 de la Rue de Capuchinas de cette ville, attendu que ce fait a tons les caracteres definis par la loi du 22 Fevrier, 1832 ; "Oonsiderant que, en raison de ce qui precede, les auteurs et complices de la saisie doivent etre considere's simplement comme passibles de la responsabilite civile ('responsabilidad civil') pour le seul fait de la saisie, dans les termes in- diques par la susdite loi, attendu que la responsabilite criminelle ne resulte que des delits de I'ordre coiumun qui ont pu se commettre a I'occasion de la saisie, soit qu'ils consistent dans la violence exercee contre les personnes en les mal- traitant, en les blessant, ou en leur donnant la mort, soit qu'ils se rapportent aux cboses, en for§ant les serrures, en brisant les coffres ou en violant les scelles destines a proteger les valeurs saisies ; " Oonsiderant qu'il resulte, soit du proces-verbal inscrit aux feuillets 7, 8, 9, et 10 du dossier principal, et dresse par ' I'escribano Negreiros ' sur les faits qui se passerent lors de I'occupation des fonds des creanciers Anglais, le 17 Novem- bre, 1860, soit des declarations foumies par MM. Antonio Barreda et Ricardo Ituarte, enregistrees aux feuillets 4 et 12 du dossier des preuves, ainsi que de celles fournies par MM. Ignacio de la Barrera et Juan Ramirez, feuillets 7 et 9 verso du dit dossier ; que M. Francisco Montero n'est pas intervenu, et m^me n'etait pas present lorsque, pendant I'accomplissement de la saisie (' ocupacion ') les delits dont il est question ont pu se commettre, attendu que, bien que sa signature figure au proces-verbal, le notaire ne fait pas figurer son nom parmi ceux des personnes qui ont ete temoins des faits expressement enonces dans le corps de ce document ; d'autre part qu'il faut donner a cette insertion la valeur attribute aux declarations de MM. Andres Maria Peza, Luis Oarrion, et Angel Buneuabad, inscrites aux feuillets 5 verso, 6 recto, 8 recto et verso, et 11 recto et verso du susdit dossier des preuves, c'est-a-dire, que le fait s'est bornfe a recevoir la somme saisie, et que M. Francisco Montero n'a pas ete present a I'accomplissement des faits, attendu qu'il est prouve qu'il se presenta au lieu de la saisie apres que les fonds avaient etd enleves et transportes dans la cour de la maison portant le numero 11 ; " Oonsiderant que ce simple fait no rend pas M. Francisco Montero responsa- ble des actes plus ou moins criminels qui ont pu s'accomplir avant et pendant la saisie (' ocupacion ') dans renceinte des pieces ou se trouvaient deposees les fonds de la convention Anglais, et qu'il constitue Texcrcice d'une des attribu- tions naturelles de son emploi de commissaire de I'armee reactionnaire, ce qui 316 THE PEESENT CONDITION OF MEXICO. constitiie la responsabilite politiqiie qui incombe, d'apres la constitution et les lois en vigueur, a tons ceux qui servent les gouveniements emanes cle la rebellion ; " Oonsiderant que cette derniere responsabilite meme ne pese pas sur le susdit Don Francisco Montero, attendu que les circulaires publiees pai'le gouvernement national les 8 Mars et 30 Avril de la presente annee bornent Taction de la justice aux cliefs (' cabecillas ') de rebellion et a ceux qui en qualite de ministres d'etat ont servi les administrations illegitimes de Miramon et de Zuloaga, et que les circulair^ amnistient (' amnistiando ') tons les autres employes d'un ordre secondaire, au nombre desquels doit dtre place le commissaire general de I'armee (' comisario general del ejercito ') ; " Considerant qui s'il est vrai qu'il pent resulter contre M. Francisco Montero un motif plus grave de responsabilite du fait de sa presence dans la maison ou les fouds ont ete saisis, par cela seul qu'il les a re9us (circonstance pleinement prouvee dans le proces,) il n'en est pas de meme en ce qui conceme M. Isidro Diaz et M. Teofilo Marin, auxquels, bien qu'il n'existe contre eux aiTcune preuve relativement a la saisie des fonds de la convention Anglaise, le jiTge charge de I'instruction de la cause a attribud une responsabilite de simple probabilite (' mera probabilidad '), suppleant par le fait de la presomption (' conciencia de hombre ') a I'absence de preuves legales et autlientiques ; "Oonsiderant enfin qu'il est impropre (' impropia ') et contraire aux termes expres de la loi du 22 Fevrier, 1832, de qualifier de vol par bande (' robo en cuadrilla'), comme il a ete fait dans I'acte ■ d'accusation, la saisie des fonds des- tines au paiement des creaneiers Anglais, attendu les faits dnonces dans les premiers motifs; d'ou il resulte que la loi du 5 Janvier, 1857, relative au juge- ment des voleurs, des homicides, des auteurs de voies de fait et des vagabonds ('ladrones, homicidas, heridores y vagos ') ne pouvait pas servir de guide dans I'instruction du proces et dans la decision, vu qu'elle ne traite pas de delits communs (' responsabilidades comunes ') qui sent du ressort de la justice ordi- nah-e, mais de delits politiques et civils ('politicosy civiles '), lesquels sont exclusivement du ressort des tribunaux de la federation, aux teimes des lois speciales du 22 Fevrier, 1832, et du 6 Ddcembre, 1856; " II devait absoudre et il a absout en ce qui concerne cette accusation, con- formement aux dispositions de la susditeloi du 22 Fevrier, 1832, MM. Francisco Montero, Isidro Diaz et Teofilo Marin, et il devait declarer et a declare le premier passible de la peine prescrite par la dite loi en ce qui concerne les emplois et charges honorifiques dont il pouvait jouir au moment de la saisie (' ocupacion ') des fonds de la convention Anglaise ; et ce sans prejudice du droit des tiers et notamment de ceux du tresor public dont le representant legal sera fonde a proceder judiciairement. " Cette sentence sera communiquee au Promoteu^r F'scal, aux acciises et a leurs defenseurs ; apres quoi elle sera portee devant le tribunal superieur, pour etre approuvee, modifiee, ou revoquee, selon la justice. Ainsi par les presentes il a ete juge definitivement, rendu sentence, ordonne et sigue. " En foi de quoi j'ai signe, "Lie. JESUS MARIA DE HERRERA. "A. GILBERTO MORENO, Secretaire." No. 41. Sir C. TVi/Jce to Lord J. Russell. Mexico, August 23, 1861. My Lord : On the 14th instant General Ortega returned to this capital with the division under his command, amounting to between 3,000 and 4,000 men, THE PRESENT CONDITION OF MEXICO. 317 after having liad two days' previously a night skirmish at Jalatlaco with the forces of General Marquez, who retreated, leaving some guns and'about eighty prisoners in the hands of the enemy. Ortega, who was heartily tired of the campaign, and anxious to return to this city with a view of intriguing against Juarez and getting himself elected presi- dent, magnified this affair into au important victory, and declared that the re- a'ctionary forces were annihilated and the rebellion put down. So far from this beiug the case, however, we have since learnt that Marquez is still at the head of 4,000 men, and that Megia, another chief of the same faction, has nearly 3,000 cavalry and infantry under his orders. These forces are in the centre of the comitry, and interrupt all direct communication between this place and the interior of the republic. The partisans of Ortega were noisy in their joyful demonstrations in honor of this so-called victory, and paraded the streets at night with music and a torchlight procession. At about 10 o'.clock a large party of them drew up in front of the French legation, where they remained about twenty minutes, shouting "Death to the French minister and death to all Frenchmen ! " In the course of the same evening a shot was fired at M. de Saligny, the French minister, whilst he was walking up and down an interior corridor of his house. The ball struck and flattened against a pillar near which he was passing, fortunately without injuring him, as the fragment of detached stone hit him on the right arm. On his colleagues beiug made acquainted with this infamous attempt on his life,- a meeting of the corps diplomatique was held at Mr. Corwin's, the American minister, for the purpose of addressing the government collectively, not only vdih reference to this attack on one of the members of their body, but also to remonstrate against the demonstration before the French legation having been allowed to take place without any interference whatever on the part of the police. I have the honor to enclose herewith copies of the correspondence which took place between the corps diplomatique and this government, Avhich, as usual in all cases of outrage, has hitherto led to no result whatever beyond specious promises of redress. Since this event General Ortega has been sworn in as head of the supreme coiu't of justice, which gives him the legal right of succession to the presidency in the event of anything happening to Juarez, who, by his utter incapacity, has proved himself so unworthy of the post he now holds. A meeting of the con- gress has been summoned for the 30th instant, when it is supposed an effort will be made to get rid of him, and elect General Ortega in his stead. I have, &c., 0. LENNOX WYKE. Enclosiu'e 1 in No. 41. T/ic rc2)resentatives of the United^ States, Belgium, Ecuador, and Prussia, to Sen or Zaonacona. Mexico, /e 16 ylo2ment populaire, dans lequcl so trouA^aicnt plusieurs soldats en iinifonne, s'est arret(;e dcvant la porte dc la Ligation do France, en poussant les oris de " Mucrau los Franceses ! " " Muera el niinistro de Fiiftncia! " 318 THE PEESENT CONDITION OF MEXICO. cris qui out clur^ dix a quinze minutes, satis que la police sesoit presentde pour faire cesser ce desordre et cet outrage public. En portant ce fait a la connaissance de votre excellence, nous devons insister sur la necessite q'une enqiiete, severe sur la punition des coupables, et surtout celles des agents de police, qui n'out rien fait pour reprimer un pariel exces. Nous devons aussi signaler a votre excellence un autre fait qui, san avoir le_ meme caractere de publicite, est plus grave encore et aurait pu avoir des conse- quences funestes. l)eux heures avant Tattroupement susmentionnee, un coup de feu a ete tire sur la personne du ministre de France pendant qu'il se prome- nait seul dans la gallerie interieure de son liotel. Nous esperons que cette nouvelle tentative d'assassinat mettra enfin un terme a I'insouciance avec laqvielle le gouvernement a paru tolerer jusqu'ici les assas- sinats d'etrangers, qui se repetent presque journellement sans que les autoritees prennent les mesures suffisantes pour leur repression. Agreez, &c., THOMAS OORWIN. E. DE WAGNER. FRACO. DE EN PASTOR. AUGT. KINT ROODENBEOK. Enclosure 2 in No. 41. Senor Zamacona to M. de Wagner. [Translation.] Government House, Mexico, August 17, 1861. The undersigned receives at tliis moment, wliicli is 4 in tlie evening, the note wliicli tlie minister of tlie United States, in conjunction with the represen- tatives of Prussia, Belgium, and Ecuador, has been pleased to address to him, in which he denounces to him the hostile demonstration which, he says, took place at the door of the French legation, and the attempt at assassination of which he declares the French minister to have been the object a little while before. Notwithstanding all the gravity of those acts, and the pubhcity which is at- tributed to one of them, the collective note to which this is a reply has been the first information relative to this matter received by the undersigned, who cer- tainly deplores profoundly, that in treating of events of such gravity the French minister should not have employed a more expeditious manner of informing the government, and thus have enabled it to investigate immediately into the real state of the case, and punish the guilty if it appeared that there were any. The information has been given to the government after three days, and in a note dra^vn up apparently since yesterday. In order to repair this delay, the undersigned has immediately transmitted the note which he answers to the ministry of justice, in order that a serious ju- dicial investigation may be made concerning the facts which are denounced to him. The judge to whom this is intrusted will doubtless share the interest felt by the president for the investigation of the truth of Avhat has taken place, and it is to be hoped that the result of this measure will not give occasion for the imputation to be repeated to the government, that it is indifferent to the per- sonal security of foreigners. Aud,with reference to this offensive imputation, the undersigned, on seeing it THE PEESENT CONDITION OF MEXICO. 319 stated in tlie note whicli lie auswejs, has experienced two most bitter impressions : one tliat is natural to -whoever feels himself the object of an unjust reproach, and the other that which is felt in seeing persons generally benevolent and dis- creet serve as a medium for accusations which perhaps have their origin in ill- will and hasty judgments. It cannot have escaped the perspicacity of Baron de Wagner what superhuman efforts the Mexican government has made, and is making, for the re-establishment of peace and order, with which will come the remedy for all the evils experienced at the present time, not only by the for- eigners resident in the republic, but also by the Mexicans. But the guardian spirit of the government is most evident with reference to the former, and in proof thereof could be cited the measures that it has taken in consequence of the attack upon Captain Aldham, of the English navy, and of the assassination of Mr. Beale ; measures which, on account of the suspension of relations with the representative of Great Britain, have not been able to be communicated to him. In answering with this statement the aforesaid collective note of the diplo- matic corps, the undersigned, &c., MANUEL MA. DE ZAMACONA. Enclosure 3 in No. 41. M. de Wagner to Senor Zamacona. Mexico, ce 21, Aout, 1861. Le sotissigne, ministre resident de Prusse, a eu Thonneur de recevoir I'office de son excellence M. de Zamacona du 17, relatif aux attentats commis a la le- gation de France. Le soussigne s'est empresse de s'associer a la demarche collective du 16 de ce mois, esperant qu'elle offrirait an gouvemement Mexicain I'occasion de re- prouver hautement ces odieux attentats, et d'en poursuivre les auteurs. L'opin- ion que le soussigne et les autres membres du corps diplomatique ont enoncde sur I'attitude du gouvemement Mexicain a I'egard des nombreux assassinats qui se commettent, est bassee sur des faits comme ceu.x qui se trouvent consignes sur la feuille ci-jointe. Cette opinion, qui est tres general, se maintiendra taut qu'on se borne a ordonner seulement des enquetes sans que les malfaiteurs soient, eu effet, poursuivis, attrapds, et punis. Le soussigne ignore si les crimes enumeres dans I'annexe ont regu leur chati- ment. Si les lois et les juges ne sont pas assez severes, les facultes extraordi- naires dii gouvemement doivent y suppleer ; car si les assassins, les malfaiteurs, et les voleurs de totite espece restent impunis, les consequences seront aussi fu- nestes pour les victimes que pour la republique. Le soussigne, &c., E. DE WAGNER. Enclosure 4 in No. 41. Statement of outrages committed upon foreigners in Mexico. Assassinat du vice-consul d'Angletcrre, Bodmer, a Tasco. Do, du Sicur Richard Rule a Pachuca. Do. du Dr. Gibson pres d'Acapulco. Do. du Sieur Stephen Bennett a Pachuca. Do. du vSieur Beale a Napolcs. Do. de Madame Chauricr entre Pachuca et Mexico. 320 THE PRESENT CONDITION OF MEXICO. Attentat avec blessiires mortelles centre le Capitaine Aldliam. Do. du Sieur Rojas centre le Consul Allsopp a Tepic. Do. contre M. Lettsom, charge d'affaires d'Angleterre, pres de Tacubaya. Do. contre M. Burnaud a Cuajimalpa. Les atiteures de ces attentats n'ont pas ete punis. Attentat avec blessiires mortelles commis dans la rue de San Juan de Letran, sur M. Charles Wagner, attache a la legation de Prusse. Attentat contre MM. Brecker, pere, fils, et neveii, au moulin de Belen, pres de Tacubaya, vols et depredations. Attentat et vol commis sur Guillaume Hulver shorn dans la rue deCapiichinas par trois voleurs a clieval. Attentat et enlevement du Sieur Heidlmann pres de Ciiernavaca. Attaque de la diligence et vol du ministre de Prusse pres d'Ayotla et du Peiion. Attaque nocturne contre le brasseur Striittmayer pres d'Alameda. On ignore le resultat des enquetes, et si les malfaiteurs on ete punis. Attentats commis contre des Francais e??. 1861. Louis G-audry, marchand tailleur a Mexico, rue San Francisco, fut assailli par plusieurs bandits devant la porte de son habitation, et blesse d'un coup de poignard, le Janvier, 1861. Pran9ois' Barateigt, cordonnier a Mexico, fut assailli a 7 heures du soir dans la rue de la Providence par six hommes. II fut blesse d'un coup de poignard, puis depouille meme d'une partie de ses vetements, 21 Janvier. Louis Majerus, petit marchand, alors etabli a Tacubaya. Ayant eii affaire a Piiebla dans la fin de Janvier, il y fut assassine et depouille dans la rue le second jour de son arrivee dans cette ville. La police I'ayant ramasse baigne dans son sang, il supplia les agents de le transporter a son logement, ou il se serait fait soigner. La loi, lui repondit-on, exigeat qii'il allat en prison pour etre in- terroge et de la a I'hopital. Tandis que le pauvre blesse etait ainsi traine comme piece de conviction d'un crime demeiire impuni, la chambre d'auberge dans la- qiielle il avait laisse ses bagages fut completement devalisee, et il a fallu que ses amis de Puebla lui fournisseut du linge,- des habits, et de I'argeut pour se rendre a son domicile. Ajoutons que le juge qui fut charge de I'instruction de cette affaire s'est con- stammeut refuse a remettre a Majerus, ni au vice-consul de France, aucun docu- ment constatant les faits, notoires a Puebla. En Fevrier les Sieiirs Augustin Coffe et Alexandre Bordemann furent mal- traites, blesses et injustement emprisonnes par les autorites de Minatillon. Ces sevices durerent jusqu'au 22 Avril, qu'un batiment de guerre viut les prendre pour les mener a Vera Cruz. Pierre Maiirel, hotelier a Rio Frio, puis au Palmas, sur la route de Puebla, a ete deux fois pille, puis enleve par des brigands, en Janvier et Avril. Pierre Lement, assassine le 11 Mars a Pinar, entrp Puebla et Perote, au lieu ou deux jours aiiparavant avait ete tue Mr. Yorkc. Louis Mathieu Bonhomme, proprietaire rural, fut assassine a Velmonte, sin- la route de Duraugo, a dix-huit lieues de cette ville, le 3 Avril. Alexis Maurice, conducteur de charriots, a ete enleve, maltraite, et plusieurs fois mis a rauQon par des brigands en Avril, Juiu, et Juillet. Lucien Fix, administrateiir d'une hacienda de M. de la Torre, dans le terri- toire d'lturbide, enleve le 18 Avril par des brigands, et relache moyennant ran^on apres des jours de souffi-ances. Madame Eugenie Maison, assassine pres Cordova le 12 Mars et decedee le 21 Avril. THE PRESENT CONDITION OF MEXICO. 321 Pierre Lacoste, commer^ant, assassine a Rosas, sur la route cle Queretaro a Mexico, a dix-huit lieiies de la capitale, le 9 Mai, Auguste Firmin Davesue, maitre meunier, assassine le 18 Mai, dans le moulin du Battaut a trois lieues de Mexico. Les assassins, qui furent meme reconnus et designes a la justice, se promenent tranquillement dans le pays, et y gaspil- lent en paix le produit du crime, car ils ont du se partager 5,000 a 6,000 piastres. Benjamin Jaffre, contre-maitre au moulin du Battant, assailli par les brigands qui voulm-ent tuer Davesne ; il fut blesse a la tete de plusieurs coups de crosse et laisse sans connaissance le 18 Mai. Aujourd'lmi gueri de ses blessures, Jean Baptiste Delaporte, assassine a Otumbilla, a buit lieues de Mexico, le 2 Aout. Les assassins, qui sont parfaitement connus et tons voleurs de profes- sion, n'ont point ete inquietes jusqu'ici. Louis Cruerrier, jeuue artisan demeurant a Mexico, fut enleve dans le village de San Aiitonio, le 26 Juin. Apres avoir ete grievement blesse par les brigands armes qui I'avaient trouve sur la route, et les avoir peniblement suivis pendant une journee et une nuit, il a pu s'ecbapper et rejoindre sa famille. Jean Caire, proprietaire rural, a ete enleve sur sa propriete de Salazar, le 2 Juin. Relacbe moyennant ran^on. Louis Acbo, fils, enleve de I'hacienda de son pere, pres Puebla en Juin. Re- lacbe moyeunant $1,000. Jaques Londais, commer^ant, attaque et blesse par des brigands dans la rue de San Clara, le 21 Juillet. Joseph Louis Tbinesse, tailleur, depouille et roue de coups par des soldats du gouveruement, a un quart de lieue de Ouernavaca, le 24 Juillet. Paul Dairo, marcband colporteur, assassine a Huicbilaque a deux lieues de Ouernavaca, le 2 Aout. Jaques Bernard, commerQant, attaque par quatre soldats dans la rue de Zuleta, blesse de coups de sabre et vole, le 28 Juillet. Benoit Deffis, negociaut a Temascaltepec, enleve par des soldats dits pro- nonces, emprisonne, maltraite de toute fa9on, et relacbe apres trois joui'S de souffrance, et sa maison pillee, le 28 Juillet. Pierre Dubart, seul employe de la maison Ecbenique, de Temascaltepec, enlevd et traite conune M. Deffis, et la maison egalemeut pillee par les memes, le 28 Juillet. Henri HanvUle, mineur a Temascaltepec, se trouvant absent le 28 Juillet a ^te pUle. Adrien Daste, directeur de mines, a eu ses cbevaux volees. Auguste Daussart, brasseur, a ete attaque par plusieurs bandits, et a 6t6 blessd dans rue San Francisco, le 11 Aout. Joseph Agand, maitre meunier, au moulin del Sacono, commune de Tlalma- nalco, pres de Obalco. Le 17 Aout courant dix bommes de la garde de surete de Cbalco sont venus demander les ecuries du moulin pour I'usage de la petite garnison. Apres s'etre introduits dans I'etablissement sous ce pretexte, et avoir place des sentinelles au dehors, ils ont trouve un autre pretexte pour attirer le Sieur Agand et quelques autres employes dans la chapelle du moulin, ou ils les ont enfermes. Apres quoi ils ont pille le moulin, sans oublier les effets persoaf- nels du Sieur Agand et des domestiques. Cinq des soldats bandits ont ete reconnus par I'alcalde de Tlalmanalco, qui les a designes au prdffit, mais inutile- ment. Lc 18 Aout courant, M. Victor Prudhorame, industriel fort inofiPensif de Mexico, a ete bratalement frappe au visage par un lieutenant colonel qui passa rapidement a cote de lui un pistolet a la main, lancant en meme temps I'epithete de "estrangero." n. Ex. Doc. 100 21 322 THE PEESENT CONDITION OF MEXICO. No. 42. Sir C. WyJce to Lord J. Russell. [Extract.] Mexico, August 24, 1861. I have the honor to enclose translation of a decree isstied the night before last by this government, imposing a tax of 1 per cent, on all capital exceeding 2,000 dollars, to be paid to the government as follows : One-third on the day- following the publication of the decree, another at the end of eight days, and the remaining third at the expiration of a fortnight. Those persons not comply- ing with these stipulations are to be punished by fines of 50 per cent, on such contributions. Nothing can possibly be more arbitrary or unjust than this, as ■ many persons during the whole of yesterday remained in ignorance that such a . decree had been published and placarded during the night at the corners of two or three of the principal streets of the capital. This tax at first was only to be levied within the district of Mexico, but by an additional decree, j)ublished yesterday, I hear it is to be le\ded on the capital, wherever it may be, of all .inhabitants of the district whose fortunes may exceed the sum mentioned. On this being known, the British merchants here addressed a letter to me on ,the subject, which I have the honor to enclose, together with my reply thereto. Were this principle once admitted, the door would be open to all sorts of illegal exactions on the part of a government so rapacious and utterly unprinci- pled as this. Finding that their decree of the 17th ultimo, suspending the con- vention payments, did not produce as much as they expected, they are now de- .termined to obtain funds by forced contributions, for this tax is nothing else ;under another form. I was glad to find that all my colleagues here took the same view of the case as I did, and recommended their countrymen respectively to resist the payment of this impost, except on compulsion and under protest. Mr. Corwin, the United States minister, alone refrained from doing so, and al- though urged by us, in a meeting which took place to-day at his house, to join the Prussian minister and the charges d'affaires of Belgium and Ecuador in re- monstrating with the government on the injustice of this measure, we could not persuade him to do so, although he must be aware that had he acted with us, .this government would never dare, in their present precarious position, to set at rdefiance the remonstrances of the whole corps diplomatique. Baron Wagner, the Prussian minister, yesterday called on Senor Zamacona, •and recommended him at once to withdraw the decree, or not to apply it to foreigners resident here, as he knew that, with the exception of the Americans, 'they had all been recommended by their representatives only to pay the tax on tcompulsion and under protest. The government again urges necessity as their excuse, saymg that, as the commercial body of Mexico would not advance them the sum of 400,000 dollars a month for their expenses, on the guarantee of the maritime custom-houses, an offer which they had made and which had been refused, they had no other alter- native but to do what they have done. If one once acknowledges their right to tax capital for 1 per cent., they may, when next in want of money, levy 10, 15, or 20 per cent, on it, and thus ruin the whole commercial body here. Were the money thus obtained spent in restoring order, or in affording pro- tection to the lives and properties of those so taxed, there would be some excuse for BO arbitrary a measure ; but, instead of this, the disorder reigning here be- comes every day greater, whilst many of the smaller shopkeepers are utterly bankrupt from the paralyzation of all trade. THE PEESENT CONDITION OF MEXICO. 323 Under these circumstances, I trust your lordsliip will approve of tlie advice I liave given to tlie English merchants here, and the more so, as it is in strict accordance with the instructions issued to my predecessors when a similar tax was imposed by the former government. Enclosure 1 in No. 42. Decree. [Traduction.] Le citoyen Juan Jose Baz, gouverneur du district fdddral, a ses habitants faisons savoir: Qu'il m'a ete adresse, par le ministere des finances et du credit public, le decret suivant: Le citoyen Benito Juarez, president constitutionnel des etats-unis Mexicans, a leurs habitants faisons savoir : Qu'en vertu des facultes que concede au gouverfiement le decret du 4 Juin dernier, j'ai decrete ce qui suit: Article uniqxie. — II est etabli, dans le district, une contribution de un pour cent sur les capitaux qui excedent $2,000; elle sera payable de la maniere suivante, a la direction generale des contributions directes : un tiers le jom' qui suivra la publication du. present decret, un autre tiers dans les huit jours, et le dernier tiers dans les quinze jours. De ceux qui ne verseront pas leurs cotes dans les delais exprime's, on les exigera, au moyen de la faculte economico-coactive, avec les surcharges que fixent les lois en vigeur. Pourquoi j 'ordonne, &c. Donne au Palais National, a Mexico, le 21 Aout, 1861. BENITO JUAEEZ. Au citoyen Jose H. Nunez, Secretaire d'Etat et des Finances et du Credit Pichlic. Et je vous le transmets pour son accomplissement. Dieu et liberte ! Mexico, le 21 Aout, 1861. JOSE H. NUNEZ. Au citoyen Gouverneur du District. Et pour qu'il arrive a la connaissance de tons j 'ordonne qu'on I'imprime, qu'on le public, «&c. Mexico, le 22 Aout, 1861. JUAN JOSE BAZ. JOSE M. DEL CASTILLO VELASOO, Secretaire. 324 THE PRESENT CONDITION OF MEXICO. Enclosure 2 in No. 42. Messrs. Graham, Geaves 8f Co., and otiiers, to Sir C. Wyke. Mexico, August 23, 1861. Sir : We Tbeg to call your attention to a decree whicli has appeared in some of the papers this morning, by which a contribution of 1 per cent, is imposed upon all capitals exceeding $2,000. At a time when we had great hopes that reparation would be demanded by her Majesty's government for similar exactions under the late administration, we cannot but express our surprise at the present illegal demand of the Mexican government ; but we consider that the form of the present decree may probably be understood to exclude foreigners. You will observe by the annexed copy of the decree in question that the 1 per cent, is to be levied in the federal district only, and does not therefore come under the denomination of the general taxa- tion of the country to which we are bound to contribute. The first payment of one-third of tbe amou.nt is to be paid in this very day, amder the heaviest penalties in case of delay, and we therefore beg that you will favor us with your opinion as to whether we are obliged to contribute to a sys- tem of taxation against which so may objections have already been raised by her Majesty's legation on previous occasions, and which in the present case ap- pears clearly most unjust, both on account bf its partial action and of the illegal principle, now renewed, of imposing forced loans upon us at the will of govern- ment, under the false name of taxes. We beg to add that the fixed taxes under a very heavy assessment have already been exacted from us in advance, and are paid up to the 31st of De- cember npxt. Should the right of government be now admitted to the present capital tax, our past experience proves that we are sure to be called upon every few days for further contributions, which, as we all know, are purely req^uned for war purposes. We have, &c., GRAHAM, GEAVES & Co., And others. Enclosure 3 in No. 42. Sir C. WyTce to Messrs. Graham, Geaves Sf Co., and others. Mexico, Avgust 23, 1861. Gentlemen: In reply to your communication bearing this day's date, asking my opinion as to whether you are obliged to pay the new tax of 1 per cent, on capi- tal, against the principle of which, when similar taxes were formerly levied, her Majesty's legation, you say, had protested; I would recommend you only to pay said tax on compulsion and under protest, after duly notifying the same to those persons authorized to levy it. I am, &c., C. LElSrt^OX WYKE. THE PEESENT CONDITION OF MEXICO. 325 No. 43. Sir C. Wyhe to Lord J. Russell. Mexico, August 26, 1861. My Lord : Tlie question of the Britisli convention has been brought under the consideration of her Majesty's government so frequently, and ahvays, hitherto, as a cause of complaint on the part of those interested in it, that I regret ex- cessively again to recur to the subject. I am compelled, however, to do so on the present occasion, not only because the Mexican government have of late publicly attacked the convention, but be- cause there are certain matters of importance connected with it which require, I consider, some explanation on my part, in order to clear up the doubts which have been and still are entertained with respect to the origin and management of this fund. Before I proceed to the discussion of this now complicated question, I would mention that, in order to avoid as much as possible a continued repetition of figures in the body of this despatch, I have had drawn up in the mission the enclosed memorandum, which I trust may be found useful for purposes of reference, if at any future period the Mexican government or private individuals carry their complaints and accusations directly before the foreign office. I will now endeavor to trace the history of the convention from its commence- ment. In 1842 her Majesty's minister at Mexico, Mr. Pakenham, concluded a diplomatic arrangement for the payment of certain recognized claims; and in 1851 it was evident that, so far from having carried out this arrangement, the Mexican government had incurred additional liabilities, which they were equally unable to meet, and which rendered a fresh arrangement of some sort absolutely necessary. Hence it was that Mr. Doyle, on the 4th of December, 1851, signed the con- vention which has given rise to so many and such needless difficulties, and in which were included as well the claims under the Pakenham convention as other- credits which had been severally recognized by the British and Mexican gov- verments. The creditors met at the national treasury, and, after the usual preliminaries on both sides, it was agreed that the claims, amounting to $4,984,914, should be treated as a consolidated fund, to be paid off upon the generally received princi- ples of debtor and creditor; that is to say, the government obliged themselves to pay interest on this consolidated fund at the rate of 3 per cent, per annum, with a sinking fund of 5 per cent. ; it being further stipulated that five years after the ratification of the convention the interest was to be raised to 4 per cent., and the sinking fund to 6 per cent. For this purpose the Mexican government were supposed — I say supposed, for reasons which will hereafter appear, — to mortgage to us 12 per cent, per an- num of their entire customs revenue, upon the condition that if this assignment of 12 per cent, more than sufficed for the interest and sinking fund, the commis- sioner appointed by the creditors for receiving their money was to return to the treasury any surplus, whereas in the contrary case, the treasury was to meet any deficit by the first drafts they received from any of their maritime custom- ho uses. The manner in which this 12 per cent, of import duties was mortgaged to us I will explain in its proper place, for it has seriously afiected us, and, indeed, may be said to have been the origin of all subsequent troubles. It so happened, to continue my narrative, that at the end of the first year, i. c, in December, of 1852, the stipulated custom-house assignments were not forthcoming, consequently it became necessary to call upon government to fulfil 326 THE PEESENT CONDITION OF MEXICO. tlieir engagements upon this point ; and on tte 27tli of November of tlie same year a sub-convention (copy of which is enclosed herewith, as meriting your lordship's attention) was signed by Mr. Doyle, whereby a further custom-house assignment of 3 per cent, was set aside solely for paying this deficit, to cease so soon as the deficit was made good. To all intents and purposes, however, the original assignment of 12 per cent, now became 15 per cent, permanently, because, although this increase of 3 per cent, was originally only meant to cover a particular class of arrears, it never did so; on the contrary, arrears went on accumulating instead of diminishing, more assignments were asked for and granted, and ultimately we were sup- posed to have mortgaged to us 29 per cent, of import duties, wherewith to satisfy interest and sinking fund, the interest, by an arrangement made by Mr. Otway, having been increased from 4 to 6 per cent., while the sinking fund remained, as stipulated in the 5th article of the original convention, at 6 per cent, per annum. Such is the history of the British convention ; and it will now be my duty to explain, as far as may be, the complications and difficulties which have en- sued, and which in many cases could, and most certainly should, have been avoided. First in the list of complainants come the government themselves, who were the other contracting party to the Doyle convention, and they begin by attack- ing the very elements of the convention, which they allege to be suppositious, and lay especial stress upon the introduction into the an-angement of what are commonly known as the " tobacco bonds." To avoid entering here into a lengthy and unnecessary discussion upon a question which for many years occupied the attention of her Majesty's govern- ment, I will simply state, though for the sake of reference I beg to enclose a short account of this particular grievance, that Messrs. Martinez del Rio, who are naturalized British subjects, and the present agents of the convention, be- came possessors, imder a guarantee from the supreme government, of certain of these "tobacco bonds," to the amount of about $2,500,000. Their tenure thereof had been sanctioned by her Majesty's government, and when afterwards the Mexican government, in spite of their guarantee, attempted to dispute the right of tenure, Mr. Doyle received positive instructions from home to support Messrs. Martinez, and to insist upon justice being done to them. A plan of settlement was proposed, but though partly initiated by the Mexican govern- ment, never canied into effect. This happened in 1849, and it seemed only naturalthat two years later what had now assumed the character of a claim, and might almost be said to have formed a convention of itself, should be admitted into the new compact con- cluded by Mr. Doyle in 1851. This is the first objection to the convention, and I cannot help thinking that it must be looked upon as perfectly groundless. Next in order follow the complaints raised by certain private individuals who, either after the fashion of a Mr. Grant, one of convention bondholders, attack the convention generally, or like Messrs. Bourdillon and Moran, (the latter being in no way connected with the convention of that name to which I shall have occasion to refer,) paid agents for claims not included in the convention, persist in affirming that their clients' interests have been damaged by the illegitimate uses to which the convention custom-house assignments have been turned. In 1852, as your lordship will have observed, a special increase of 3 per cent. on the customs revenue was allotted to pay off a particular deficit, with the proviso that it was to cease as soon as the deficit was made good. A Mr. Dal- ton, whose case has been before the foreign office since 1857, had, I believe, obtained from the Mexican government the reversion of this 3 per cent, when- ever it again became government property, and in 1860 his agents, Messrs. THE PRESENT CONDITION OF MEXICO. 327 Bourdillon and Moran, did tlieir utmost to procure tliis reversion, upon tlie ground tliat tlie original object for wliicli tlie 3 per cent, of import duties was assigned had long ago been accomplislied, and that the convention had no further right to it. The Mexican government were onlj too glad to seize such an opportunity, and eagerly acquiesced in the assertion that the 3 per cent, had reverted to them, upon what plea I cannot say, for, so far from laying any claim to it, they had themselves sanctioned its running on as part and parcel of the convention custom-house assignments, had even of their own free-will added a something to it, as "will be seem by article 2 of Mr Otway's convention, which forms en- closure No. 4 of this despatch, and never thought of its reversion until Messrs, Bourdillon and Moran, Mr. Dalton's agents, appeared on the stage in 1860. Be this, however, as it may, the enclosed document will, I feel assured, set the matter to rights ; for thereby and subsequent, be it remarked, to the appli- cation of Mr. Dalton's agents it becomes evident that this person could in no way interfere with the British convention, and, indeed, I know that he himself had proposed to the Mexican government a new arrangement for the payment of what was owing to him. At any rate, however, our priority of claim to this said 3 per cent, cannot be questioned, for it is proved (memorandum, paper D) that notwithstanding the gradual, though in reality merely nominal, increase of our custom-house assign- ments from 12 to 29 per cent., not even the original assignment of 12 per cent, has ever yet been paid up. If, then, we have never received in fall the first assignment of all, it surely cannot be illogical to infer that we have not obtained anything over and above that first assignment, and consequently that, inasmuch as the above-mentioned additional assignment has never yet been paid, it cannot possibly have fulfilled the object for which it was granted. There is one point which both the Mexican government and these private individuals appear to have overlooked when attacking the convention; they do not remember that, be the elements of a convention or compact what they may, they cannot suffer change for good or bad, when once that convention or com- pact has been ratified, unless it be with the full consent of both contracting par- ties ; and it ill becomes any Englishman, especially at the present moment, to attempt to overthrow a diplomatic arrangement which had obtained the sanction and support of his government, and when the very stipulations thereof compen- sate him, as in the case of Mr. Grant, for losses which would never have been made good to him but for the intervention of her Majesty's legation. I now come to the real and most serious difficulty connected with this con- vention, and would that its solution were simpler; yet I am at a loss to conceive how the actual error which led to this difficulty escaped the observation of my predecessors, or was allowed to be perpetuated up to the present date by the very agents of the fund, whose duty it most certainly was to have had it rectified. It so happened that two days after the ratification of Mr. Doyle's convention, i. e., on the 6th of December, 1861, Senor Sayas, the Spanish minister in Mex- ico, signed on behalf of some of his countrymen a convention almost identical with our own. The interest on the debt thereby recognized Avas the same, the sinking fund the same, and it was equally stipulated in both conventions that a ccrtaia government order, which was to authorize the custom-hoxise to set aside the proper proportion of custom-house assignments for the payment of the said interest and sinking fund, " should be considered as having been inserted in and as foi-ming part" of the convention for which it was intended. The Sayas or, as it is generally called, the Padre Moran convention, was only for a sum of $983,000, whereas, as I have already stated, ours represented $4,984,914, yet, strange to say, the government order, which was to be looked upon as quite as sacred as any part of either convention, was one and the same 328 THE PRESENT CONDITION OF MEXICO. in eacli case. This order sliall, however, speak for itself; and yonr lordsliip will observe tliat the 12 per cent, of import duties, which, as I stated above, was supposed to have been mortgaged to us, is by- the order set aside for the purpose of satisfying the conditions of both the Padre Moran and the British conven- tions ; no division of the 12 per cent, is made therein, no proper proportion thereof is defined, the 12 per cent, stands there as much the property of the one as of the other convention. Now, even supposing, for the sake of argument, that the Mexican government had intended there should be but one order, and that 12 per cent, of the import , duties was to suiSce for paying the interest and sinking fund of both conven- tions, one might have expected to discover in the order some clear definition of the proportion that the 12 per cent, was to bear to each convention. It was, however, otherwise, and the consequence is that our own and the Spanish convention have, as it were, been merged into one. The agencies of the two conventions, which once were separate, have ceased to be so. Messrs. Martinez del Rio from the very beginning were recognized as the sole agents for both, though, in point of fact, that of Padre Moran, as a Spanish convention, became a dead letter, and, to all intents and purposes, might as well have never existed, since all applications to this legation for support and protection have been made by Messrs. Martinez del Eio ia their capacity as agents for the British convention. Up till now we have been allowed to slumber on in the full assurance that the original, as well as every additional custom-house assignment was ours. Such, however, has not been the case ; from 1851 to 1860 her Majesty's government, this legation, and British ships-of-war, have been laboring on behalf not only of British but of Spanish interests, for out of every assignment we have received, with the exception of that obtained by Captain Aldham, a sixth part has regu- larly been handed over by Messrs. Martinez del Rio to the sister convention, while no violation of contract has ever taken place ; but we, and we alone, have been appealed to by them for redress, and it was not until early in 1861 that Messrs. Martinez del Rio breathed a word that could imply the fact of their having thus practically and systematically amalgamated the two conventions. Why, or wherefore, they should have made an exception to their general line of conduct in the case of the Aldham convention I am unable to say. It is suffi- cient that they did so, and it appears to me that the letter, copy of which I herewith enclose, addressed by them to Mr.Mathew, in reference to this subject, is proof enough that a doubt must always have existed in their minds as to the propriety of claiming British protection for a convention with which we had nothing in the world to do. It is useless for these gentlemen to assert that in issuing one order the Mexi- can government intended the two conventions to draw from one and the same fund, that the proportion of the custom-house assignments to those conventions was naturally in the ratio of the two debts, and that consequently their conduct can be justified. If such, indeed, was the intention of the Mexican government, surely it could not also have been then intention to make one convention responsible for what belonged to another convention, and that other convention of a totally different nationality. This would have been absurd, and I fear, therefore, that but one construction can be put upon the whole affair ; the order on the custom-houses was simply a piece of trickery on the part of the Mexican government, nobody took the trouble to counteract it, and we alone have been the dupes to our own prejudice, but to the profit of others. There is one fact which cannot be disputed. A certain order, the very es- sence, if I may use the expression, of both conventions, but which does not exist at the time of ratification, becomes by anticipation an actual part of both. By that order, not a sej^arate one, be it remarked, for each convention, 12 per THE PEESENT CONDITION OF MEXICO. ^ 329 cent, of import duties is to be set apart for satisfying tlie demands of botli con- ventions ; consequently there enters an idea of partition, tlie entire 12 per cent, being the sole property of neither convention : we, therefore, have no right to the whole, nor has the Spanish convention any right to it, but we have been made responsible for the whole, and our agents have applied to ns for protection when the whole was not given to us ; moreover, Mr. Doyle in his snb-convention states positively that the whole is onrs in virtue of the actual convention, while the actual convention proves it is not ours by article IV, for that article and the original custom-house orders are, I might almost say, synonymous terms, and the latter distinctly states that it is not ours. The 12 per cent, of import duties then is ours, and is not ours : it is ours, because we have claimed it and our claim has not been questioned ; it is not ours, because whenever it has been obtained a sixth part has always been taken away from us. It is now perhaps too late to remedy the evil that has been done, but hence- forward it will be our fault if Spain does not look after Spanish, and England after English interests, whenever the moment arrives for reinstating the conven- tions in the position they lost through the government decree of the 17th ultimo, which amongst other payments suspended those belonging to diplomatic arrangements. Far be it from me to make any direct accusation against those who have been principally to blame in this matter, but I cannot acquit Messrs. Martinez del Rio of great and culpable negligence. As agents of the British convention fund they ought to have known that whatever may have been the object of the Mexican government in issuing but one custom-house order for two conventions, it never could have been intended that the British legation alone was to see that order carried out, to the prejudice of its own and the profit of Spanish interests; it was their bounden duty to have called the attention of the legation to the existing state of affairs, and they left that duty undone. ^ I need not, of course, assure your lordship that in thus accusing Messrs. Martinez del Rio of great negligence, I have no intention or wish whatever to cast a slur upon their character as honorable men : still I feel that, in the inter- ests of all parties concerned, it' would be much better, for obvious reasons, to place the agency in other hands ; and I do not think I can recommend to your lordship a better or fitter person to succeed Messrs. Martinez del Rio than Mr. Consul Glennie, who is now auditor of the fund, and who, I feel sure, has the esteem of all those who are connected therewith. It appears to me, too, that it would be more becoming for the convention to have its agency in our consulate, and I cannot help thinking that such an appointment as the one I have now the honor of j)roposiDg to your lordship would tend greatly to diminish the existing causes of complaint. I have only now further to call your lordship's attention to the fact that there are but few Englishmen holders of convention stock at the present time ; it has passed on 'change into other hands, principally Mexican, and I have, for pur- poses of reference, accompanied my memorandum on the convention with a list of those who were bondholders when the first dividend took place, as well as of those who are now holders of convention stock ; and it is worthy of remark, that even during the first six months after the ratification of the Doyle compact, bonds were eagerly bought up in the money market, so great was at that time the confidence inspired by an agreement for the due fulfilment of which Great Britain Avas supposed to be a responsible party. Such, my lord, is the account of the British convention, pafet and present; its length may, perhaps, seem to require some apology on my part. Had I, how- ever, curtailed it, I much fear I should have failed in the original object I had in view, and that so far from being useful at a future period for reference, this 330 THE PEESENT CONDITION OF MEXICO. despatcli and its enclosures would merely have added to the difficulties con- nected with the convention. While, then, I sincerely trust that, in its present state, this will not be found to be the case, may I request your lordship, should my proposals meet with your approbation, to be good enough to send me such instructions as will admit of immediate action, not only as regards the future agency of the British convention, but also as regards the restoration of the Spanish convention to the protection of its rightful owners ? Everything connected with the so-called British convention has got into such a tangle of confusion, that it would have been impossible for me to have under- stood the actual state of the case without the assistance of Mr. Walsham, whose experience here, joined to the untiring assiduity he has displayed in elucidating the whole question, and putting the numerous enclosures of this despatch into proper order, have been of the greatest service in enabling me to transmit a statement which I hope may hereafter prove useful for reference, whenever the subject of this convention and its numerous complications shall again be brought under the notice of the foreign office. I am, &c., C. LENNOX WYKE. Enclosure 1 in No. 43, Memorandum on the British convention. On the 15th of October, 1842, Mr. Pakenham signed a convention with the Mexican government, in which it was stipulated that certain recognized claims, amounting to about $250,000, should be formed into a consolidated fund,^to be paid off, capital and interest, by a percentage on the import duties at the mari- time custom-houses of Vera Cruz and Tampico. This convention was not carried out by the Mexican government ; and on the 4th of December, 1851, Mr. Doyle signed a fresh one, in which not only the claims under the Pakenham convention, (see annexed paper A,) but others, which had been recognized by both the English and Mexican governments, and had indeed formed separate diplomatic an-angements, were included, (see papers B and 0.) By Mr. Doyle's convention the claims, amounting to $4,984,914, were likewise formed into a consolidated fund, the Mexican government obliging itself to pay thereupon 5 per cent, as sinking fund, and 3 per cent, as interest, until the debt should be paid off. To meet this 5 per cent, and 3 per cent., it was agreed that a certain portion of the annual customs revenue should be set apart, and half-yearly dividends take place; and it was further stipulated that in 1857 the sinking fund should be raised to 6 per cent., and the interest to 4 per cent. Now it so happened, that two days after Mr. Doyle had signed his convention, Seiior Sayas, Spanish minister in Mexico, also signed a convention on behalf of some Philippine missionaries, which is generally known as the " Padre Moran" convention, and which, singularly enough, was made upon exactly the same basis as our own. Its consolidated fund was $983,000, the sinking fund 5 per. cent., and the interest 3 per cent. This 5 per cent, and 3 per cent, were to be increased respectively to 6 per cent, and 4 per cent, at a stated period, and to be satisfied, as in our case, by yearly custom-house assignments, whenever it could be found out what amount of assignment would be necessary. Instead, however, of fixing this amount at the time of ratification, the Mexi- THE PEESENT CONDITION OF MEXICO. 331 can government only did so some two months afterwards by a cixstom-lionse order setting apart 12 per cent, of import duties for paying the sinking fund and interest of both conventions, but unfortunately without specifying in what pro- portion this 12 per cent, was to be made. At first each convention had its own agent in Mexico, but later on Messrs. Martinez del Eio, naturalized British subjects, took charge of both, and from that time it would seem the Padre Moran convention lost its nationality; for we, though until now unaware of the fact, have always collected its portion of custom-house assignments, as will hereafter appear. The original custom-house assignment for both conventions was 12 per cent. At the end of 1852 it had not been paid, and to meet the deficit the Mexican government assigned an additional 3 per cent, until it should be made good; but this 3 per cent, had simply reference to the English part of the deficit, as ap- pears from Mr. Doyle's sub-convention (forming enclosure No. 3 in the despatch,) for there is no evidence that any steps were taken in this direction by the Spanish representative; yet as Messrs. Martinez del Rio had previously, on their own responsibility, apportioned to the Padre Moran convention a sixth part of what the custom-house did pay in 1852, so also they now riiade over a sixth part of the additional 3 per cent. In 1852, therefore, the state of the conventions was — British convention. — Sinking fund, 5 per cent.; interest, 3 per cent.; custom- house assignment, 12 per cent., and 3 per cent, for arrears. Padre Moran convention. — Sinking fund, 5 per cent.; interest, 3 per cent.; custom-house assignment, 12 per cent., and 3 per cent, for arrears. In 1857, the interest and sinking fund of both conventions became, as origi- nally stipulated therein, sinking fund, 6 per cent.; interest, 4 per cent.; the only difference in the custom-house assignment being that the 3 per cent., originally intended to pay off a particular class of arrears, was now merged into the body of assignments, which therefore stood at 15 per cent. In 1858 the Mexican government, apparently of their own free will, increased this 15 per cent, to 16 per cent., and Mr. Otway, in the same year, had the interest of the, British convention raised to 6 per cent. Thus, at this period, the following was the progress made in both conventions : British convention. — Sinking fund, 6 per cent.; interest, 6 per cent.; custom- house assignment, 16 per cent. Padre Moran convention. — Sinking fund, 6 per cent.; interest, 4 per cent.; custom-house assig-nmeut, 16 per cent. In 1859 the arrears on the sinking fund had accumulated to $1,800,000, and it was then that Captain Dunlop, senior naval officer in the Gulf of Mexico, obtained an additional 8 per cent, of import duties; and in 1860, when the custom-houses of Vera Cruz and Tampico had seized assignments to the amount of $350,000, Captain Aldham, who had succeeded Captain Dunlop, made a further convention, by which 5 per cent, more of import duties was to be set aside, though only in the custom-houses of Vera Cruz and Tamj)ico. Both the 8 per cent, of Captain Dunlop and the 5 per cent, of Captain Aldham were to cease as soon as they had respectively satisfied the $1,800,000 arrears, and $350,000 ("occupation") above referred to. It is certain that Captain Aldham's 5 per cent, was upon all import duties from all vessels at the ports of Vera Cruz and Tampico. The 8 per cent., however, of Captain Dunlop would appear to refer to the custom-houses generally, and to have been upon all import duties from all except French vessels. Both the 8 per cent, and the 5 per cent, were solely for the specific object above referred to, and were to cease directly that object was attained, so that the regular custom-house assignment upon all import duties from all A-essels was, as has been stated, only 16 per cent.; and yet if the statement (see paper D) 332 THE PEESENT CONDITION OF MEXICO. made by Messrs. Martinez del Rio he correct, even tlie original assignment of 12 per cent, has never been paid, mncb less that of 16 per cent. Between 1852 and 1861 the proper amonnt of interest had been paid upon the consolidated fund of the British convention, viz: $1,744,604 14, and nearly the proper amount of interest upon the consolidated fund of the Padre Moran convention, viz: $320,197 99, instead of $344,961 50; (see papers E and F,) whereas the sinking fund of the two conventions, which during the same period stand at $2,592,165, British convention; $511,160, Padre Moran convention, have only respectively been paid $810,634, and $157,280. Of course conven- tion stock has frequently changed hands in the money market, and this will account for so many of the present holders of bonds being foreigners. — (See paper G.) Table sliowing the various clianges wliich have taken place in the British and Padre Moran conventions between 1851 and 1860. Sinking fund and interest to be paid to British convention. Custom-house assign- ments to satisfy both conventions. Sinking fund and interest under Padre Moran' s convention. Mr. Doyle's convention. 1851. Sinking fund, 5 per cent .. ) Interest, 3 per cent j 1852. Sinking fund, 5 per cent .. \ Interest, 3 percent _. j 1857. Sinking fund, 6 per cent .. j Interest, 4 per cent \ Mr. Otway's convention. 1858. Sinking fund, 6 per cent .. ) Interest, 6 per cent j Captain Dunlop's convention. 1859. Sinking fund, 6 per cent .. | Interest, 6 percent j Captain Aldham's convention. 1860. Sinking fund, 6 per cent .. ) Interest, 6 per cent j 12 per cent _- 12 per cent, and 3 per cent , (arrears.) 15 per cent 16 per cent 21 per cent 29 per cent Sinking fund, 5 per cent. Interest, 3 per cent. Sinlting fund, 5 per cent. Interest, 3 per cent. Sinking fund, 6 per cent. Interest, 4 per cent. Sinlving fund, 6 per cent. Interest, 4' per cent. Sinking fund, 6 per cent. Interest, 4 per cent. Ceased to participate in extra assignments. Mexico, Aiigust 20, 1861. THE PEESENT CONDITION OF MEXICO. 333 A. Tahenliavi convention, Agent P. de Ansoategui; concluded by Mr. Takenliam, on the 15th of Octoher, 1842, with the consent and approbatioji of both the British and Mexican governments, as is proved by the despatches marhed in the margin. Original capital $287, 412 09 Interest to jSTovember 30, 1850 160, 804 45 448,216 54 Amount paid off to same date 291, 654 95 Balance included in Doyle convention 156, 561 59 Parties representing Pakenliam convention : Jecker, Torre & Co $67, 246 59 Manning & Mcintosh 52, 573 71 Viuda Eclieverria e liijos 27, 813 57 Drusina & Co : 13, 717 27 J. J. de Eozas 12, 203 12 Aguero Gonzalez & Co 13, 850 56 Alexander Grant 54, 483 03 C. A. Fornaelion '. . , * 2, 332 00 Martinez del Eio, Brothers 32, 561 79 Domingo de Ansoategui 4, 067 70 G. J. Martinez del Rio 250 00 Bates Jamison & Co 1,600 00 E. J. Perry 3, 862 75 Ernesto Masson, for G. & J. Campbell 500 00 Thomas H. WorraU 350 00 287,412 09 B. Diplmnatlc arrangement commenced on behalf of Messrs. Montgomery, Nicod Sf Co., by Mr. Pakenham, continued by Mr. Doyle in 1843-'44, and con- cluded by Mr. Banlchead in 1844. Amount of capital on January 1, 1843 |1, 036, 489 25 Paid as " refacciou," on May 27 and September 23 112, 980 00 1, 149, 469 25 Interest up to December 3, 1851 845, 743 70 1,995,212 95' Amount received up to same date 842, 491 77 Balance included in Doyle convention 1, 152, 721 J § 334 THE PEESENT CONDITION OF MEXICO. Parties interested in above arrangement : Martinez del Rio, Brothers Stephen Miller J). Manterola, for Echeverria C. de Lnchet B. Maqna Frederick Montgomery W. Mackintosh M. Mead M. Moreda J. B. Jecker $563, 127 22 11, 402 67 22, 748 04 65, 427 11 121, 878 81 116, 728 02 3, 000 00 119, 728 02 22, 805 34 2, 624 02 1, 149, 469 25 c. Diplomatic arrangement concluded hy Mr. Doyle with the Mexicaii government in 1849, on behalf of Messrs. Martinez del Rio, agents at that time for what was knoion as the ^^ tobacco claiTns;^^ liquidated up to December 3, 1851. Amount of "tobacco bonds" $2, 745, 000 00 Amount of "interior debt" tonds 717, 000 00 $3, 462, 000 00 Amount received 384, 000 00 Capital impaid on December 31, 1851* 3, 078, 000 00 Due for interest to same date 601, 727 91 Less received from the treasury 4, 095 84 597,632 07 Balance included in Doyle convention 3, 675, 632 07 *Parties interested in the above arrangement : Martinez del Eio Brothers $1, 003, 348 97 J. S. Beugough 251, 899 03 J. A. de Bertegui 841, 122 61 Benito Maqua 354, 053 55 Muriel Brothers 155, 974 87 Edward J. Perry 31, 837 33 Rafael Beraza 18, 521 85 Manuel Escandon 156, 749 65 Viuda de Echeverria 138, 158 25 F. Fagoaga 74, 627 32 Aguero Gonzalez y Ca 43, 005 47 J. Rodriguez de S. Miguel, for Madame Arismendi 8, 601 10 3,078,000 00 THE PRESENT CONDITION OF MEXICO. 335 D. Statement of the amount received fro7n all the custom-houses on account of the convention fund, from 1852 to 1859. 1852. 1853. 1854. 1855. 1856. 1857. 1858. 1859. ,914 24 406, 198 2^ 540,514 26 343, 107 52 301,917 05 104, 087 25 130, 593 16 420, 149 87 2,508,481 61 The annual estimated produce of the import duties is from $7,000,000 to $8,000,000, Ibut even taking the very low figure of $5,000,000, it will be seen that in no one year has the original assignment of 12 per cent, been paid. E. British Convention — Original capital, $4,984,914 84. Date. Sums that ought to have heen paid on account of — Date. Sums actually paid on ac- count of — Capital. Interest. Capital. Interest. June 4, 1852 $124,622 87 124,622 87 124,622 87 124,622 87 124,622 87 124,622 87 124,622 87 124,622 87 124,622 87 124,622 87 149,547 45 149,547 45 149,547 45 149,547 45 149,547 45 149,547 45 149,547 45 149,547 45 149,547 45 $74,773 72 74,773 72 73,872 45 73,872 45 71,233 37 71,233 37 66,720 77 64,851 43 64,851 43 64,851 43 83,485 60 83,485 60 125,228 40 125,228 40 125,228 40 125,228 40 125,228 40 125,228 40 125,228 40 July 31, 1852 Dec. 4,1852 Sept. 5, 1853 Dec. 80, 1853 June 5, 1854 Dec. 28, 1854 June 15, 1855 Dec. 20, 1855 July 12,1856 Dec. 27, 1856 Jan. 25, 1858 May 20, 1858 May 12, 1859 Sept. 14, 1859 Jan. 5,1860 Apr. 12, 1860 July 16, 1860 May 1,1861 July 12, 1861 $74,773 72 74,773 72 73,872 45 73,872 45 71,233 37 Dec. 4,1852 June 4, 1853 Dec. 4, 1853 June 4, 1854 $60,084 84 175,939 05 Dec. 4,1854 June 4, 1855 Dec. 4, 1855 300,839 61 124,622 87 71,233.73 66,720 77 64,851 43 June 4, 1856 64 851 43 Dec. 4, 1856 June 4, 1857 149,148 47 64,851 43 83,485 60 Dec. 4,1857 83,485 60 June 4, 1858 125,228 40 Dec. 4, 1858 125, 228 40 June 4, 1859 125,228 40 Dec. 4, 1859 125,228 40 June 4, 1860 125,228 40 Dec. 4,1860 125,228 40 June 1,1861 125,228 40 Total... 2,592,155 75 1,744,604 14 810,634 84 1,744,604 14 336 THE PEESENT CONDITION OF MEXICO. Padre Moran's Convention — Original capital, $983,000. Date. June Dec. June Dec. June Dec. June Dec. June Dec. June Dec. June Dec. June Dec. June Dec. June Sums which ought to have been paid on account of — Capital. 3 4 1852 4 1852 ) 4 1853 4 1853 4 1854 4 1854 4, 1855 4, 1855 4, 1856 4, 1856 4, 1857 4, 1857 4, 1858 4, 1858 4, 1859 4, 1859 4, 1860 4, 1860 i, 1861 al... Tol $24,575 00 24,575 00 24,575 00 24,575 00 24,575 00 24,575 00 24,575 00 24,575 00 24,575 00 24,575 00 29,490 00 29,490 00 29,490 00 29,490 00 29,490 00 29,490 00 29,490 00 29,490 00 29,490 00 Interest. 511,160 00 $14,745 00 14,745 00 14,597 55 14,597 55 14,086 63 14,086 63 13,196 78 12,828 15 12,828 15 12,828 15 16,514 40 16,514 40 24,771 60 24,771 60 24,771 60 24,771 60 24,771 60 24,771 60 24,771 60 344,969 59 Date. July Dec. Sept. Dec. June Dec. June Dec. July Dec. Jan. May May Sept. Jan. Apr. July May 31,1852 4,1852 5,1853 30,1853 5,1854 28,1854 15, 1855 20,1855 12,1856 27,1856 25. 1858 20,1858 12. 1859 14.1859 5, 1860 12. 1860 16, 1860 1,1861 Suias actually paid on ac- count of — Capital. ),830 00 34,060 95 59,324 05 24,575 00 29.490 00 157,280 00 Interest. $14,745 00 14,745 00 14,597 55 14,597 55 14,086 63 14,086 63 13, 196 78 12,828 15 12,828 15 12,828 15 16,514 40 16,514 40 24,771 60 24,771 60 24,771 60 24,771 60 24,771 60 24,771 60 320,197 99 G. CoNVENCiON Inglesa, lo dividendo, Julio 31 de 1852. Martinez del Rio Hermanos U, 670, 000 00 G. J. Martinez del Rio 15, 000 00 J. P. Martinez del Rio 12, 000 00 E. J. Perry 51, 000 00 Alejandro Grant 97, 000 00 Puifael Beraza 22, 000 00 1,867,000 00 J. A. de Beistegui 1, 006, 000 00 B. DeMacua 546, 000 00 J. S. Bengougli 301, 000 00 Manuel Escandon 187, 000 00 Muriel Hermanos 186, 000 00 Viuda de Echeverria e liijos 182, 000 00 J. B. Ecliave, por Testamentaria de D. Manterola 129, 000 00 J. B. Ecliave, por Testamentaria de J. M. Eclieverria 23, 000 00 McCalmont Geaves j Oa., Testamentaria de F. Montgomery . 117, 000 00 McCalmont Geaves j Ca., por la Oompana Unida 9, 000 00 J. B. Jecker -• 103,000 00 THE PRESENT CONDITION OF MEXICO. 337 Jecker, Torre, y Ca., por C. de Lucliet Id id . . Gme. Oocliraii Id '. id. .M. IVIoreda Id id. .Estevan Miller J. M. Flores, Testamentaria de F. Fagoaga Agiiero Gronzales y Ca Schmidt, Higson j Oa . : C. Wliiteliead J, Rodriguez de S. Miguel J. J. de Rosas C. G. Kaufimann Benjamin Laurent Concurso de Guillermo de Drusina 7 Ca . . . C. A. Fornaclion Manning j Mackintosh Bates, Jamison, y Ca , 'S5, 000 00 28, 000 00 22, 000 00 11, 000 00 90, 000 00 57, 000 00 13, 000 00 7, 000 00 10, 000 00 7, 000 00 6, ,000 00 5, ,000 00 3, ,000 00 2, ,000 00 2, ,000 00 914 84 Convencion Inglesa 4, 984, 914 84 Convencion Espanola (names not given) 983, 000 00 Names of proprietors or agents given in tlie account of the 2d dividend of the Spanish convention, made Decemher 4, 1852. M. J. de Lizardi $368, 625 00 Cayetano Rubio 245, 750 00 McOalmont Geaves & Ca., por M. de Emhil y Ca 184, 312 50 Jecker, Torre, y Ca 184, 312 50 983,000 00 Convencion Inglesa, 19o dividendo, Julio 12 de 1861. Martinez del Rio Hermanos $417, 876 63 E. J. Perry 50, 880 00 Jose de Ansoategui 45, 254 66 514,011 29 Carlos Byrn 1, 117, 698 94 Hermenegildo de Viya 50, 000 00 Id — por Viya Hermanos 97, 103 45 Id. . .por Francisco Giflfard , 200, 603 46 Id. . .por Rafael Beraza 18, 480 00 Id. . .por J. de Munoz y Munoz 5, 793 10 Francisco G. de Luzarraga 308, 000 00 Francisco Morphy 206, 724 14 Graham Geaves y Ca 88, 908 89 Id por F. Montgomery 98, 280 00 Antonio M. Priaui 170, 000 00 J. B. Echave 20, 000 00 Id por Testamentaria de D. Manterola 108, 360 00 Id por J. M. Echevcrrift 19, 320 00 H. Ex. Doc. 100 22 338 THE PRESENT CONDITION OF MEXICO. Viuda cle Eclieverria 6 hijos $120, 103 02 N. Davidson 100, 000 00 Manuel Soriano 100, 000 00 Alejandro Grant 100, 000 00 Agdero Gonzales j Ca 38, 880 00 Miguel Bucli 50, 000 00 Francisco Bucli 10, 000 00 Kaymnndo Mora 69, 613 98 Martin Carrera 68, 275 86 Manuel M. Rubio 55, 600 00 Benjamin Barton 43, 000 00 J. J. Schmidt j Ca., por Schmidt, Higson, y Ca 10, 920 00 Teodore Chavez ^ 46, 551 73 Manuel Hernandez 38, 000 00 Jorge S. Whitehead 36, 666 62 C, y J. Whitehead 3, 242 23 J. B. Jecker y Ca., por Guillermo Cochran 23, 520 00 Id por Estevan Miller 9, 240 00 Francisco Colina • 30, 000 00 Juan Antonio de Beistegui 25, 000 00 Juan Antonio de Beistegui por Testamentaria de Azurmendi . 3, 754 19 J. Velasquez de Leon 26, 827 59 Jose C. Murphy 24^512 81 G. R. Glennie 14, 600 00 P. Eclieverria, por Menores Echeverria 12, 432 00 A. Pamanes 9, 793 10 C. G. Kauffman 8, 400 00 J. Rodriguez de San Miguel 8, 400 00 J. J. de Rosas 5, 880 00 J. M. Landa, por E. Mugaburu 1, 383 61 Convencion Inglesa 4, 174, 280 00 Convencion Espanola. Carlos Byrn $309, 645 00 Francisco J. de Luzarraga 254, 822 50 Juan Antonio de Beistegui 154, 822 50 Miguel Bringas 103, 240 22 Francisco Morphy 3, 189 78 825,720 00 Enclosure 2 in No. 43. THE PAKENHAM CONVENTION, SIGNED OCTOBER 15, 1842. Whereas it is expedient that a defi- Por cuanto es conveniente que se nite arrangement be concluded for the concluya un an-eglo definitive para el payment of certain sums acknowledged pago de ciertas cantidades reconocidas to be due by the Mexican government por el gobierno Mexicano a favor de to siibjects of her Britannic Majesty, varios subditos de su Magestad Brit- the discharge of which has, in some anica, cuyo pago, en algunos casos en THE PRESENT CONDITION OF MEXICO. 339 cases in the whole, and in others in part, been hitherto prevented by un- foreseen circumstances; the government of the Mexican republic have, from a desire to meet the wishes of that of Great Britain, consented to conclude with her Majesty's minister plenipo- tentiary a formal agreement for the above purpose ; wherefore the under- signed, her Britannic Majesty's minister plenipotentiary, having met in formal conference, by previous appointment, in the office of foreign affairs, the minister »)f that department and the minister of finance, they have agreed to the fol- lowing articles : la totalidad, y en otros en parte, no ha podido hasta ahora verificarse por cir- cunstancias imprevistas, el gobierno de la republica Slexicana, dispuesto de conformarse con los deseos del de la Gran Bretana, ha convenido en concluir con el ministro plenipotenciario de su Magestad un convenio formal para el objeto indicado : a cuyo fin, reimidos en conferencia formal citada previa- mente en el ministerio de relaciones exteriores y gobemacion,los infrascritos ministros del citado ramo y del de hacienda, con el espresado ministro plenipotenciario de su Magestad Bri- tanica, han convenido en los articulos siffuientes : Article I. Of the import duties accruing at the ports of Vera Cruz and Tampico, from and afte*' the date of the present agree- ment, there shall be set apart two per cent, in the former and one per cent, in the latter port, to be applied to the pay- ment of the sums acknowledged to be due up to this date to British subjects. The proceeds of these appropriations shall be paid over to the agent of the parties interested in them, to be dis- tributed in proportion to their respective credits. The duties already disposed of by the government in their whole amount previously to the date of this agreement are not included in these appropriations, it being understood that the portion of the duties assigned by the present article shall not henceforward be disposed of for any other object. Article II. Such of the said credits as have hitherto gained interest by virtue of pre-existing agreements shidl continue to gain interest at the rate in each case stipulated ; and such as have not hitherto been entitled to interest shall hereafter be entitled to it at the rate of twelve per cent, per annum. Articulo I. De los productos de los derechos de importacion que se causaren en los puertos de Vera Cruz y Tampico, desde la fecha del presente convenio en ade- lante, se separard un dos por ciento en el primero, y el uno por ciento en el segundo, que se aplicara al pago delas cantidades reconocidas hasta el dia a favor de subditos Britanicos. Los pro- ductos de estas asignaciones se entre- garan al agente que designen los inter- esados en ellas, para que las distribuya en justa -prorata con proporcion al monto de los creditos que representen. No se comprenden en estas asigna- ciones los derechos de que en totalidad haya dispuesto el gobierno con anteri oridad a la fecha de este convenio, en- tendiendose que en lo sucesivo no se dispondra para otro objeto de la parte de derechos consignada por el presente articulo. Articulo II. Los creditos que hasta el dia han ganado iuteres a virtud de convenios pre-cxistentes,seguiran gozandalo segun la cuota estipulada en cada case ; y los que hasta ahora no lo han disfrutado, tendra derecho a el a razon de un doce por ciento anual. 340 THE PRESENT CONDITION OF MEXICO. Article III. It is moreover agreed that tlie iu- terest accruing up to this date, and not yet discharged, shall be computed and added to the respective capitals ; and this new capital shall be entitled to interest at the rate of twelve per cent, per annum up to the date of its dis- charge. Article IV. In order to prevent any doubt or misapprehension as to the description of credits to be entitled to the benefit of the present agreement, it is declared that its application shall extend only to such credits as have been acknow- ledged by the Mexican government through the interference of the British mission, including the sums exacted from time to time from the subjects of her Majesty under the head of forced loans. Article V. It is formally declared by the parties to this agreement that it shall be con- sidered as having the same force and effect, and being equally binding, as a convention between the two govern- ments. In witness whereof we, the ministers aforesaid, have signed it, and sealed it with our respective seals. Done at Mexico, this fifteenth day of October, one thousand eight hundred and forty -two. L. s. l.s. L.S. E. PAKENHMI. J. M. DE BOCANEGRA. G. INGUERAS. Articulo III. Se conviene ademas que los intereses vencidos hasta esta fecha, que no han sido satisfechos, se liquidaran y agre- garan al capital respectivo, y este auevo capital disfrutara tambien del beneficio del doce por ciento de interes anual hasta su pago. Articulo IV. En obvio de cualquiera duda 6 mala inteligencia en cuanto a la clase de creditos que han de disfrutar de las ventajas del presente convenio, se de- clara que ellas se aplicaran solamente a los creditos que han sido reconocidos por el gobierno de Mexico a solicitud de la legacion Britanica, entre los que comprenden las cantidades exigidas en diversas epocas a subditos de su Magestad en clase de prestamos for- zosos. Articulo V. Se declara solemnemente por ambas partes que el presente convenio se con- siderara de la misma fuerza y valor que una convencion entre los dos gobi- ernos, y que sera igualmente obliga- torio. En fe de lo cual los espresados minis- tros lo firmamos, y sellamos con nues- tros sellos respectivos. Fecho en Mexico, a quince de Octu- bre, de mil ochocientos cuarenta y dos. L. s.] J. M. DE BOCANEGRA. L.S.] G. INGUERAS. L.S.I R. PAKENHAM. Enclosure 3 in No. 43. SUB-CONVENTION, SIGNED BY MR. DOYLE, NOVEMBER 27, 1852. In virtue of the convention signed En virtud de la convencion que se on the 4th of December, 1851,* be- firmo el dia 4 de Diciembre de 1851* tween the minister for foreign afftiirs of por el excelentisimo seiior ministro de the Mexican republic and her Britannic relaciones de la repiiblica Mexicana y See Enclosure 5 in No. 43. THE PRESENT CONDITION OF MEXICO. 341 Majesty's cliargd d'affaires in that re- pixblic, it was agreed that twelve per cent, of the sums received at the mari- time custom-houses should be set apart for the payment of the three per cent, interest and of five per cent, destined to pay off the capital of the sums in- cluded in that convention, and that "if at the end of the year the amounts due for interest and for paying off the capi- tal should not be covered, the general treasury, without waiting for any further orders, was to pay the amount due with the first drafts it received from the maritime custom-houses." It has been ascertained that, in con- sequence of the revolutionary move- ments which have been for some time existing, and which unfortunately still exist in various parts of the republic, there will be a large deficit on the 4th proximo in the amount necessary to pay the sums stipulated upon in the aforesaid convention. With the view, however, of proving the entu-e good faith with which the Mexican govern- ment is resolved to carry the conven- tion of the 4th of last December into effect, and which has been partially delayed on the present occasion by the unforeseen circumstances above-men- tioned, a formal conference by previous appointment took place this day in the office of foreign affairs, the minister of that department, the minister of finance, and her Britannic Majesty's minister plenipotentiary being present, when the followmg agreement was come to, namely : That for the payment of the sums which may be ascertained to be due in the liquidation to be made on the 4th of next December, of the three per cent, interest, and of the five per cent, destined to pay off the capital under the English convention, there be set apart from that date a further sum of three per cent, of the import duties in the mai'itime custom-houses of Vera Cruz, Tampico, Acapulco, Manzanillo, Altata, and Guaymas, and in those of San Bias and Mazatlan, as soon as they return to the obedience they owe to the general government. el encargado de negocios de sn Mages- tad Britanica en dicha republica, se convenio que se separaria un doce por ciento de los derechos de importacion en las aduanas maritimas para pagar el tres por ciento de reditos y cinco por ciento de amortizacion de las sumas comprendidas en esa convencion, y que " si al fin del ano no estuvieran cubier- tas los inter eses y el cinco por ciento de amortizacion, la tesoreria general, sin necesidad de nueva orden, cubriria el deficit con la primeras libranzas que recibiera de las aduanas maritimas." Mas habiendose reconocido que, a consecuencia de los movimientos revo- lucionarios que de algun tiempo a esta parte se ban presentado, y qu.e por desgracia todavia existen actualmente en varios puntos de la republica, habra un dfeficit considerable para completar la suma que corresponde al dividendo que se debia pagar el dia 4 del proximo Diciembre conforme a la citada con- vencion ; y con el fin de manifestar la absoluta buena fe que el gobierno Mexi- cano quiere mostrar en el cuinplimiento de la convencion del 4 de Diciembre ultimo, y que en esta ocasion se ha diferido parcialmente por las circun- stancias imprevistas ya menciouadas, se cito una conferencia fonnal, la cual se ha efectu^do el dia de hoy en el ministerio de relaciones, estando pre- sentes los senores ministros de rela- ciones y de hacienda, y el senor minis- tro plenipotenciario de su ]\Iagestad Britanica, y se convino en el arreglo siguiente : Se destina para el pago de la canti- dad que por la proxima liquidacion re- sulte dcberse a la convencion Inglesa, por el tres por ciento de reditos y cinco por ciento de amortizacion correspon- dientes al ano que termina el 4 de Dici- embre proximo, un tres por ciento mas de lo que tiene senalado de los derechos de importacion que se causen en las aduanas maritimas de Vera Cruz, Tam- pico, Acapulco, Manzanillo, Altata, y Guaymas, y en las de San Bias y Ma- zatlan, cuando vuelvau el orden. 342 TPIE PEESENT CONDITION OF MEXICO. This increase of three per cent, will Este aumento del tres por ciento cease as soon as the deficit is made cesara en cuanto este cubierto el deficit good. espresado. [L.S.] PEKCY W. DOYLE. " [l.s.] M. YANEZ. Enclosure 4 in No. 43. THE OTWAY CONVENTION, SIGNED AUGUST 10, 1858. At a conference held between the undersigned minister plenipotentiary of her Britannic Majesty and the minister for foreign affairs of the Mexican re- public, with the object of drawing up in due form the new an-angements rela- tive to the fulfilment of the convention of 4th December, 1851, for the pay- ment of claims of British subjects against the national treasury, which, by approval and sanction of his excel- lency the acting president of the re- public, were agreed to on the 31st of last month, in conformity with the con- tents of the confidential note addressed by the latter to the former on the same date, bearing in mind the previous ck- cvimstances of this transaction, the ex- planations in various conferences with reference thereto, the statement given in writing on the 23d of the same month by Messrs. Martinez del Eio Brothers, as parties interested in the same convention and agents thereof, and moreover all that which was stated verbally by Messrs. Martinez del Rio in the last conference as to the losses and injuries sustained in consequence of the delays and want of punctuality in the payments, the large amount which on this account is due to them, and the rights to which, in viitue of the said convention, they are entitled, especially those conceded by article VII, of which they might take advan- tage, as the case provided against has now arisen, being desu'ous of not car- rying matters to this extremity, but, on the contrary, to conciliate inasmuch as possible the interests of the creditors with the distressed position of the national finances in consequence of the circumstances in which the country Reunidos los infrascritos ministro de relaciones esteriores de la republica Mexicana y ministro plenipotenciario de su Magestad Britanica con el objeto de extender en debida forma los arre- glos relativos al cumplimiento de la convencion de 4 de Diciembre de 1851, sobre pago de creditos de subditos Ingleses contra el erario nacional que, con aprobacion de su excelencia el presidente interino de la republica que- daron acordados desde el 31 del mes proximo anterior, segun la nota confi- dencial que el primero paso al segundo en la misma techa, teniendo en con- sideracion los antecedentes de este ne- gocio, lo mahifestado en diversas con- ferencias acerca de el, lo espuesto por escrito en 23 del mismo por los Sefiores Martinez del Rio, Hermanos, como in- teresados y agentes de la referida con- vencion, y cuanto de palabra espreso el Sefior Martinez del Rio en la ultima conferencia sobre los daQos y peijuicios que han sufrido con ocasion de las dila- ciones y falta de puntual cumplimiento en el pago, la crecida suma que por tal motivo se les debe, y los derechos que por tal convencion les competen, espe- cialmente los que les dejo a salvo el articulo VII, de que pudieran hoy hacer uso por haber llegado el case previsto en el deseando no llevar las cosas a este estremo, sino conciliar cuanto sea posible los intereses de los acreedores con el estado angustioso del erario por las circunstancias en que actualmente se encuentra la nacion, y aprovechando los buenos sentimientos que siempre han mostrado los espre- sados acreedores, animado el gobierno por su parte de los mas sinceros deseos de proteger, cuanto esta a su alcance, THE PEESENT CONDITION OF MEXICO. 343 finds itself, and profiting by the favor- ble disposition always evinced by the said creditors, and, at tbe same time, the government being on their part animated by the most sincere desire to protect, in as far as may be in their power, the interests of British subjects, have aarreed as follows : los iatereses de los siibditos Britanicos, ban acordada los articulos siguientes : Article I. For the exact fulfilment, strict ob- servance, and in\-iolability of the con- vention of December 4, 1851, regard- ing British claims, and with the view of repairing in some degree the injuries sustained by the parties therein con- cerned from the want of the punctual payment of the quotas assigned, all dividends which from this time forward shall be declared on account of interest, shall be so at the rate of six per cent. per annum in lieu of three and four as hitherto stipulated. Article II. The payments will continue to be made on the terms stipulated in the aforesaid convention, setting aside for that purpose the assigned quota of six- teen per cent, of the import duties of the maritime custom-houses, without any alteration or change whatever, and remitting the same in bUls, as agreed upon, for delivery to Messrs. Martinez del Rio Brothers. Article III. The amounts which have been omit- ted to be paid to the parties interested, and to which they have a just and in- disputable right, will be made good to them whenever the government shaU possess sufficient means, it being im- possible to effect this at the present moment, in consequence of their urgent necessities and limited resources. Article IV. The aforesaid convention of the 4th of December, 1851, and all the provi- sions necessary for its exact fulfilment, Articulo I. Para el exacto cumplimiento, estricta observancia, e inviolabilidad de la con- vencion de 4 de Diciembre, de 1851, sobre creditos Ingleses, y reparar de alguna manera los perjuicios que ban sufrido los comprendidos en ella por falta de pago puntual de los cuotas senaladas, todo dividendo que se haga desde esta fecha en adelante por cuenta de reditos sera a razon de seis por ciento al ano en vez del tres y cuatro que estaba estipulado. Articulo II. Los pages continuard,n haciendose en los terminos espresados en dicha con- vencion, separandose al efecto en las aduanas maritimas sin variaciou la cuota fijada de diez y seis por ciento de los derechos de importacion, remitiendose en libranzas, como esta dispuesto, para su entrega 4 los Senores Martinez del Rio, Hermanos. Articulo III. Las cantidades que ban dejado de pagarse ^ los interesados, d, que tienen derecho justo e indisputable, les serdn satisfechas cuaudo el gobierno tenga recvuTos bastantes, no pudiendo verifi- carse desde luego por sus urgentes atenciones y las escasezes del erario. Articulo IV. Quedan en todo su vigor y fuerza la citada convencion de 4 de Diciembre de 1851, y las disposiciones que se 344 THE PKESENT CONDITION OF MEXICO. remain in full force and vigor witliout further alteration or change than what is expressly laid down and stipvxlated in the present agreement as to the in- crease of interest, without its being in any way thereby understood to be modified, changed, altered, or with less force and vigor than heretofore, inas- much as that which is now agreed to is for the sole object and purpose, as already stated, of confirming and rati- fying the inviolability and punctual observance thereof; it will, conse- quently, hold the same force as though it had been literally inserted in the same, and Article VII thereof extended to the present agreement. In witness whereof, we, the said minister plenipotentiary of her Britan- nic Majesty and minister for foreign affairs of the republic of Mexico, have signed the present protocol, and have affixed thereto our respective seals. Done in the city of Mexico on the tenth day of the month of August, in the year of our Lord one thousand eight hundred and fifty-eight. [l. s.] L. C. OTWAY. hubieren dictado para su exacto cum- plimiento sin mas diferencia que lo es- presamente estipulado en el presente convenio sobre aumento de redito, no entendiendose por esto iuovada, altera- da, 6 con menos valor que antes; pues lo pactado ahora es como se ha dicho para confirmar y asegurar su inviola- bilidad y puntual observancia; tendra. por tanto la misma fuerza que si literal- mente se hallara inserto en ella; hacien- dose estensivo ^ este arreglo lo con- tenido en su Articulo VII. En fe de lo cual los espresados min- istro de relaciones esteriores de la re- publica Mexicana y ministro plenipo- tenciario de su Magestad Britanica, hemos firmado y sellado con nuestros sellos respectivos al presente protocolo, en la ciudad de Mexico, a diez de Agosto, de mil ochocientos ciucuenta y ocho. [l. s.] J. M. DE CASTILLO Y LANZAS. Enclosure 5 in No. 43. THE DOYLE CONVENTION, SIGNED DECEMBER 4, 1851. Habiendo el gobierno de la republica Mexicana hecho presente la imposibilidad en que se encuentra de cumplir ciertos convenios y arreglos que existen entre el gobierno Mexican© y varios subditos Britanicos, celebrados bajo la garantia de la legacion de su Magestad Britanica, porque la penuria del erario federal lo ha obligado a suspender el pago de las cuotas a que por aquellos convenios y aiTe- glos estaba obligado ; despues de largas y repetidas conferencias en que se han examinado detenidamente el estado de las rentas de la republica, las cuantiosas obligaciones que sobre ellas pesan, y la conveniencia comun de fundar un arreglo sobre condiciones exiquibles y no sobre unas de dificil 6 incierto cu.mplimiento que ademas del peijuicio que causarian a los acreedores podrian comprometer la consers'acion de la buena armonia que existe entre los gobiernos de ambos paises, deseando el de Mexico hacer justicia a las demandas de sus acreedores hasta donde se lo permiten sus recursos y la obligacion y derecho de conservarse, y convenidos los acreedores en hacer el sacrificio de sus reclamos bajo las bases de un arreglo tan equitativo como lo permita la situacion pecuniaria del gobierno contandose con la garantia y seguridad de que serd, exactamente cumplido, los iufrascritos ministro de relaciones de los Estados Unidos Mexicanos, autorizado por el decreto de diez y siete de Octubre del corriente ano, y encargado de negocios de su Magestad Britanica, reunidos en conferencia diplomatica han convem'do en los artlculos siguientes : THE PRESENT CONDITION OF MEXICO. 345 Articulo I. Los reclamantes interesados en las convenciones y arreglos existentes que coiTen con el nombre de la casa de Martinez del Rio hermanos, de Montgomery Nicod y Compafiia, representados por la casa de Jecker y Compafiia y de con- vencion Pakenham firmada el 15 de Octubre de 1842, se presentaran a la tesoreria general para liacer la liquidacion de sus creditos con arreglo 4 este convenio, y la citada oficina lo verificara precisamente dentro del teiToino de treinta dias contados desde el de su fecba. Articulo IT. El gobierno Mesicano se obliga A pagai* anualmente cinco por ciento de amorti- zacion de ese fondo consolidado, y tres por ciento de interes annal calctdado sobre la disminucion progresiva que ocasiona la amortizacion. Articulo III. El pago de las cantidades anuales que se destinan a la amortizacion e intere- ses de los creditos comprendidos en el presente convenio se verificara por semestres vencidos, en manos del comisionado que al efecto nombraren los acreedores comprendidos en el. Para bacer efectivas las estipulaciones con- tenidas en el articulo anterior, el gobierno Mexicano se obliga a consignar sobre el producto de los derecbos de importacion que se cobren en las aduanas estab- lecidas en los puertos de la repiiblica, un tanto por ciento bastante para cubrir el monto del cinco por ciento de amortizacion, y del tres por ciento de interes que se seiiala a los creditos comprendidos en el presente convenio. Para que en ningun tiempo pueda diferirse 6 suspenderse el pago de ese cinco y tres por ciento, el gobierno Mexicano se obliga a pasar una orden a los administradores de la espresada renta, senalandoles la cuota de los derecbos espresados que deben remitir en libranzas separadas a la tesoreria general a favor de diebo comisionado, las cuales libranzas deberan serle entregadas en cuanto las reciba la espresada tesoreria. Si al fin del ano no estuvieren cubiertos los intereses y el cinco por ciento de amortizacion, la tesoreria general, sin necesidad de nueva orden, cubrira el deficit con las primeras libranzas que reciba de las aduanas maritimas ; y el comisionado, por su parte, si bubiese recibido mayor cantidad que la que importen los espresados intereses y amortizacion anual, devolvera a la tesoreria general el escedente. Articulo IV. El ministro de relaciones de la republica pasara al encargado de negocios de su Magestad Britanica una copia de la orden que por el de bacienda se trasmita a los administradores de aduanas en cumplimiento del articulo anterior, la cual se considerara como si estuviese inserta y formara pai'te del presente convenio. , Articulo Y. Deseando el gobierno Mexicano dar pruebas inequivocas de la justicia y equi- dad con que se propone proceder en este arreglo, se obliga a mcjorar la condicion de sus acreedores, aumentando despues del quiuto ano, contado desde esta fecba, el interes concedido al capital y a su amortizacion. En consccuencia, se obliga a pagarles el cuatro por ciento anual de interes y el seis por ciento anual de amortizacion al cumplirsc diclio quinto aiio, de tal mancra que este aumento cm- piece tl corrcr desde el sesto. Articulo VI. Como el congi-eso Mexicano esta tratando de bacer una ley para el pago de la dcuda interior, los iuteresados comprcudidos en el presente convenio qucdau cada 346 THE PRESENT CONDITION OF MEXICO. uno de ellos en libertad de trasladar bus creditos al fondo que en virtud de ella se creare, liaciendo saber su resolucion al ministro de relaciones, quien la com- municara a la legacion de su Magestad Britanica. ^ Articulo VII. Queda espresamente estipulado j convenido que en caso de qtiebrantarse, sus- penderse, 6 diferirse por el tesoro Mexicano el cumplimiento de cualquiera de las obligaciones que contrae en presente convenio, queda este de becbo anulado, y convenciones existentes. En fe de lo cual los espresados ministro de relaciones y encargado de negocios de su Magestad Britanica lo firmamos y sellamos con nuestros sellos respectivos, en la ciudad de Mexico, a 4 de Diciembre de 1851. L. s. L. S. PERCY W. DOYLE. JOSf: F. RAMIREZ. THE SAYAS OR PADRE MARAN CONVENTION, SIGNED DECEMBER 6, 1851. Habiendo becbo presente el gobiemo de la republica Mexicana la imposibilidad en que se encuentra de cumplir ciertos convenios j arreglos que se celebraron entre el mismo gobiemo j el Reverendo Padre Moran, apoderado de las Misiones Apostolicas de Filipinas, de la orden de Santo Domingo, bajo la garaniia de la legacion de su Magestad Oatolica, porque la penuria del erario federal le ha obligado a suspender el pago de las cuotas que por aquellos se asiguaron para la estincion de varios creditos, despues de largas y repetidas conferencias en que se han examinado detenidamente el estado de . las rentas de la republica, las cuantiosas obligaciones que sobre ellas pesan, y la conveniencia comun de fundar un arreglo sobre condiciones exequibles y no sobre unas de dificil 6 incierto cumplimiento, que ademas del perjuicio que causarian k los acreedores podrian suscitar dificidtades entre los gobiernos de Espana y de Mexico ; deseando este ultimo hacer justicia a las demandas de sus acreedores hasta donde se lo permitan sus recursos, y obligacion y derecbo de conservarse, convenido Don Oajetano Rubio, dueno actual de los creditos que pertenecieron 4 las espresadas misiones, en bacer el sacrificio de sus derecbos entrando en una transaccion bajo las bases de un arreglo tan equitativo como lo permita la situacion peciiniaria del gobierno Mexicano, y con la garantia y seguridad de que sera exactamente cumplido, los infrascritos ministro de relaciones de los Estados Unidos Mexicanos, aiitorizado por el decreto de 17 de Octubre del corriente ano, y enviado extraordinario y ministro plenipotenciario de su Magestad Catolica, reunidos en conferencia, han convenido en los articulos siguientes : Articulo I. Don Cayetano Rubio, actual poseedor de los dreditos que pertenecieron a los padres misioneros dominicos, comprendidos en los arreglos y convenios que cor- ren con el nombre de su apoderado el Reverendo Padre Moran, se presentara a la tesoreria general para hacer la liquidacion de los espresados creditos con ar- reglo al presente convenio, y la citada oficina la verificara precisamente dentro del termino de treinta dias contados desde el de su fecha. Articulo II. El gobierno Mexicano se obliga ^ pagar anualmente cinco por ciento de amortizacion de ese fondo consolidado, y tres por ciento de interes anuel calcu- lado sobre la diminucion progresiva que ocasione la amortizacion. THE PRESENT CONDITION OF MEXICO. 347 Articulo III. El pago de las cantidades anuales que se destinan 4 la amortizacion e intereses de los creditos comprendidos en el presente convenio, se verificara por semestres vencidos en manos de Don Cayetano Rubio. Para hacer efectivas las estipu- laciones contenidas en el articulo anterior, el gobierno Mexicano se obliga a eon- signar sobre el producto de los derecbos de importacion que se cobren en las aduanas establecidas en los puertos de la repiiblica un tanto por ciento bastante para cubrirse el monto del cinco por ciento de amortizacion y del tres por ciento de interes que se senala a los creditos comprendidos en el presente convenio. Para que en niugun tiempo pueda diferirse 6 suspenderse el pago de ese ciaco y tres, por ciento, el gobieruo Mexicano se obliga i, pasar una ordeu a los adminis- tradoes de la espresada renta, senalandoles la cuota de los derecbos espresados que deben remitir en libranzas separadas a la tesoreria general a favor de dicbo Seaor Rubio, las cuales libranzas deberan serle entregadas, en cuanto las reciba la espresada tesoreria. Si al fin del auo no estuvieren cabiertos los intereses j el cinco por ciento de amortizacion, la tesoreria general, sin necesidad de nueva orden, cubrird el deficit con las primeras libranzas que reciba de las aduanas maritimas, j el Seuor Rubio por su parte, si bubiere recibido mayor cantidad que la que importen los espresados intereses y amortizacion anual, devolverd a la tesoreria general el escedente. Articulo IV. El ministro de relaciones de la republica pasai'4 al ministro plenipotenciario de su Magestad Oatolica una copia de la orden que por el de bacienda se trans- mita a los administradores de las aduanas, en cumplimiento del articulo anterior, la cual se considerara como si estuviese inserta, y formard parte del presente convenio. Articulo V. Deseando el gobiemo Mexicano dar pruebas inequivocas de la justicia y equi- dad con que se propone proceder en este arreglo, se obliga d. mejorar la condicion del credito d. que se refiere' aumentando despues del quinto aiio, contado desde esta fecba, el interes concedido al capital y a su amortizacion. En consecuencia, se obliga a pagar al Seiior Don Caytano Rubio, el quatro por ciento anual de interes, y el seis por ciento anual de amortizacion, al cumplirse dicbo quinto ano, de tal manera que este aumento empiece d correr desde el sesto. Articulo VI. Como el congreso Mexicano esta tratando de bacer una ley para el pago de la deuda interior, Don Cayetano Rubio queda en libertad de trasladar los credi- tos a que se refiere el presente convenio al fondo que en virtud de ella se creare, liaciendo saber su resolucion al ministerio de relaciones, quien la comunica a la legacion de su Magestad Catolica. Articulo VII. Queda espresamente estipulado y convenido, que en caso de quebrantarse, suspenderse 6 diferirse por el tesoro Mexicano el cumplimiento de cualquiera de las obligaciones que contrae en el presente convenio, queda este de hecbo anul- ado, y el Senor Rubio rcstituido en el gocc do los derecbos adquiridos en los arreglos y couvenciones cclcbradas con el Reverendo Padre Morau. 348 THE PRESENT CONDITION OP MEXICO. En fe de lo cual, espresados Ministro de relaciones de la repilblica Mexicana, y enviado estraordinario y ministro pleuipotenciario de su Magestad Catolica, lo firmamos j sellamos con nuestro sello respectivo, en la ciudad de Mexico, a seis de Diciembre de mil ochocientos cincuenta j uno. L. s.j JOSE F. RAMIREZ. L. S.J JUAN ANTONIO Y ZATAS. [Translation which, mutatis mutandis, will serve for both conventions.] The Mexican government having declared the impossibility of its fulfilling certain conventions and agreements which exist between it and various British subjects, entered into under the guarantee of her Britannic Majesty's legation, on account of the state of penury of the federal treasury, which has caused it to suspend the payment of certain quotas set apart for the payment of those conventions and agreements, after long and repeated conferences, in which the state of the revenue of the republic has been carefully looked into, the numer- ous obligations by which it is bound, and the advantage to both parties to enter into an arrangement founded on conditions which can be carried out, and not on such as may be of difficult or uncertain execution, which besides the prejudice they would cause to the creditors themselves, might compromise the preservation of the good harmony which exists between the governments of both countries ; and being, moreover, desirous of doing justice to the demands made by its cred- itors, as far as its resources and the obligation and right it has to preserve its existence will permit, and its creditors being willing to make the sacrifice of their demands in favor of an arrangement based upon as equitable terms as the situation of the finances of the country will permit, counting upon the guaran- tee and security that it will be faithfully carried out, the undersigned, minister for foreign affairs of the United States of Mexico, authorized by the decree of 17th October of the present year, and her Britannic Majesty's charge d'affahes, having met together in a diplomatic conference, have agreed upon the following articles : Article I. The creditors interested in the existing conventions and arrangements known under the name of the house of Martinez del Rio Brothers ; of Montgomery, Nicod & Co., represented by the house of Jecker & Co.; and of the convention signed by Mr. Pakenham on the 15th of October, 1842 — shaR present themselves at the general treasury to settle the amount of their credits, ac- cording to the terms agreed upon in this convention, and that amount shall be fixed precisely within the term of thirty days, counted from the day on which this convention is signed. Article IL The Mexican government obliges itself to pay yearly a sum of five per cent, for the purpose of paying off the capital of this consolidated fund, and three per cent, a year for interest upon it, calculated on the gradual decrease of the amount of the fund caused by the paying off of the capital. Article III. The payment of the sums destined to pay off yearly the capital and interest of the credits included in the present convention shall take place every six THE PEESENT CONDITION OP MEXICO 349 montLs tlirougli a commissioner appointed for that purpose hj the creditors in- terested in tlie convention. To render effective tlie stipulations contained in the preceding article, the Mexican government obliges itself to assign from the produce of the importa- tion duties collected in the custom-houses established in the ports of the repub- lic, so much per cent, as maj be sufficient to cover the amount necessary for paying the five per cent, destined to pay off the capital and the three per cent, interest allotted to the credits included in the present convention. To prevent any delay or suspension at any time taking place in the payment of the five and three per cent, above mentioned, the Mexican government obliges itself to send an order to the collectors of the aforesaid revenue, stating to them the amount of the aforesaid duties to be sent in separate drafts to the general treasury in favor of the aforesaid commissioner, which drafts are to be made over to him as soon as they are received at the treasury. If at the end of the year the amounts due for the interest and for paying off the capital are not covered, the general treasury, without waiting for any fur- ther order, shall pay the amount due with the first drafts it receives from the maritime custom-houses ; and the commissioner, on his part, if he should have received more than is necessary for paying off the yearly amount of the capital, and the interest agreed upon, shall return the surplus to the treasury. Article IV. The miuister for foreign affairs of this republic shall send to her Britannic Majesty's charge d'affaires a copy of the order which the minister of finance sends to the collectors of the custom-houses in fulfilment of the preceding arti- cle, which article shall be considered as having been inserted in and forming part of the present convention. Article V. The Mexican government being desirous of giving unequivocal proofs of the justice and equity with which it intends to act in this arrangement, obliges itself to better the condition of its creditors, by increasing from the fifth year, counted from the present date, the interest granted for the capital, and the sum allotted for paying it off. It consequently obliges itself to pay four per cent, interest a year, and to al- low six per cent, a year for paying off the capital from the end of the fifth year, that is to say, that this increase is to take place from the beginning of the sixth year from the present date. Article VI. As the Mexican congress is about to pass a law for the pui-pose of paying off the internal debt, the persons interested in the present convention are all and each one at liberty to-transfer their credits into the fund which may be created for the above purpose, making their intention known to the minister of foreign afffiirs, who will communicate it to her Britannic Majesty's legation. Article VII. It is especially stipulated and agreed that, in the event of any part of the ob- ligations contracted by the present convention being broken through, or their fulfilment delayed or suspended by the Mexican treasury, this convention be- comes at once thereby annulled, and the creditors restored to the possession of the rights acquired in the conventions and arrangements already existing. 350 THE PRESENT CONDITION OF MEXICO. In witness whereof we, tlie aforesaid minister for foreign afPairs of the Mexi- can republic, and her Britannic Majesty's charg(^ d'afiaires, have signed and sealed the above convention with our respective seals. Done at Mexico, the fourth day of December, one thousand eight hundred and fifty-one. I L. S. [l. s. PERCY W. DOYLE. JOSE J. RAMIREZ. Enclosure 6 in No 43. Oustom-liotise order wJiicli formed part of the Doyle and Fadre Moran conven- tions, though not issued till two months after the ratification of the two con- ventions. Secrbtaria de Estado y del Despacho de Hacienda, Seccion 2, Num. 37. Para que tengan su puntual cumplimiento las convenciones celebradas en 4 y 6 de Diciembre del aiio proximo pasado con el SeSor Encargado de Negocios de su Magestad Britanica y el excelentisimo Senor Enviado Extraordinario de su Magestad Catolica sobre la amortizacion gradual y pago de intereses a razon de 3 por ciento anual de los creditos reconocidos por el gobierno i, favor de varios subditos Ingleses, y del que tienen contra el erario las misiones de Filipinas representadas por el Reverendo Padre Fr. Josd M. Moran, y pertene- ciente hoy a Don Cayetano Rubio, el excelentisimo Senor Presidente ha tenido a bien disponer que esa tesoreria general prevenga 4 las aduanas maritimas que de'los derechos de importacion que se causen en ellas, separen el 12 por ciento que es lo que por ahora se necesita para la indicada amortizacion y pago de rdditos ; remitiendo su importe sin demora de ninguna clase a esa tesoreria general en libranzas pagaderas ^ los plazos (?el arancel a favor de los Seiiores Martinez del Rio hermanos, quienes las recibird, de esa oficina para dar d su importe la aplicacion correspondiente como comisionados nombrados al efecto por los respectivos acreedores, llevandose por easa propia tesoreria la cuenta respectiva de las sumas que se abonen en cuenta de los mencionados creditos, previa la correspondiente Hquidacion de su monto. Como por las circunstancias en que aun se encuentra el Estado de Yucatan no es posible que por ahora se haga en las aduanas maritimas de Campeche y Sisal la separacion del indicado 12 por ciento por la diminucion que sufririan los recursos destinados d las tropas ocupadas en la guerra contra los indigenas, el excelentisimo SeSor Presidente ha dispuesto que entretanto las espresadas aduanas pueden hacer la remision del repetido 12 por ciento den uuicamente noticia a esa tesoreria, cada mes, de lo que importe la misma cuota para que lo reintegre la aduana de Vera Cruz por cuenta de la parte libre para el gobierno de los derechos de importacion. Deseando el excelentisimo Senor Presidente que lo estipulado en las men- cionadas convenciones sea exactamente cumplido como exige el decoro de la nacion, ha dispuesto que V. SS. encarguen muy particulannente d los adminis- tradores de las aduanas maritimas respectivas, la puntual observancia de las prevenciones precedentes sin distraer para ningun otro objeto las cantidades pertenecientes al fondo de que se trata, en el concepto de que su excelencia verd con desagrado cualquiera omision 6 descuido que note en el particular, y tomard, en el caso las providencias que convengan. Todo lo que de orden suprema comunico a V. SS. para su inteligencia y fines indicados. Dios y libertad. Mexico, Febrero 9 de 1852. (Firmado) M. DE ESPARZA. Senores Ministros de la Tesoreria General. THE PRESENT CONDITION OF MEXICO. 351 [Translation ] Department of Finance, Section 2, No. 37. Mexico, Fehruary 9, 1852. To give full force and effect to the conventions wLicli were concluded respec- tively on the 4th and 6th of December, 1851, by her Britannic Majesty's charge d'affaires and her Catholic Majesty's envoy extraordinary, in reference to the sinking funds and three per cent, interest, destined to pay off gradually certain British claims which have been recognized by the government, as well as those of the Philippine missionaries, represented by the Eeverend Francis J. Moran, and now in the hands of Mr. Rubio, his excellency the president has been pleased to ordain that the general treasury do make known to the maritime custom-houses that 12 per cent, of the import duties is to be set apart for the present requirements of the sinking funds and interest of both conventions, the amount produced by this 12 per cent, to be remitted without any kind of delay to the general treasury by bills payable, as the custom-house taiiff directs, in favor of Messrs. Martinez del Rio, the appointed agents of the respective cred- itors, who will receive these bills from the treasury and apply them to the purposes for which they are intended, the treasury having, previous to their liquidation, taken an accotmt of the several sums thus handed over for the pay- ment of the above-mentioned credits. Owing to the present state of Yucatan, it will be impossible for the moment to set aside 12 per cent, of import duties in the maritime custom-houses of 0am- peche and Sisal, as this would tend to diminish the resources required for the maintenance of the troops now engaged in the Yucatan war, and consequently his excellency the president has further ordained that, until the said custom- houses are in a position to make this assignment of 12 per cent, they are simply to notify to the treasury every month the amount that it has actually produced, and the equivalent will then be paid from the free portion of the revenue at the custom-house of Vera Oruz. The president wishes that the stipulations of the above-mentioned conventions should be can-ied out in a manner befiting the national honor. The authorities, therefore, of the several custom-houses must be especially enjoined punctually to carry out the conditions of this order, and in no case to employ for other purposes the moneys belonging to the convention funds, as any omission or shortcomings on their part would cause his excellency displeasure, and obhge him to act accordingly. All which I am commanded to communicate to the general treasury for their guidance in carrying into effect the above order. God and liberty. M. DE ESPARZA. The Commissioners of the General Treasury. Enclosnre 7 in No. 43. Messrs. Martinez del Rio to Mr. Mathew. Mexico, May 24, 1861. Sir : "We beg leave to request that you will have the goodness to infoiTu us whether the additional five per cent, assigned in virtue of the arrangement made by Captain Aldham for repaying the amount taken by the Mexican government 352 THE PRESENT CONDITION OF MEXICO. is to be applied exclusively to the British convention, or to that of the Padre Moran as well ? As the money seized by the Mexican government belonged to the two con- ventions, and the extra assignment was intended to repay that money, we are in doubt how the said five per cent, is to be considered, and shall feel much obliged by your informing us in what manner we are to act. We have, &c., MARTINEZ DEL EIO, Agents for the 'British Convention. Enclosure 8 in No. 43. Mr. Mathew to Messrs. Martinez del Rio. Mexico, May 24, 1861. Gentlemen : In reply to your letter of this date, I have no hesitation in stating that the steps taken by Captain Aldham, at my request, with respect to the repayment of the sums due to the British convention, referred solely to that fund and not to the convention of the Padre Moran, of which you happen to be also agents, and which is, I believe, under Spanish protection, I am, &c., GEORGE B. MATHEW. Enclosure 9 in No. 43. The Minister of Finance to Messrs. Martinez del Rio. [Translation.] Mexico, June 14, 1S60. In reply to your communication of the 5th instant, respecting certain bonds issued to Mr. Henry Dalton by the general treasury as if belonging to the British convention, the supreme government has desired me to tell you that there are documents existing in this department proving that, by the consent of Mr. Dalton himself, the bonds which were issued to him could in no way affect the British convention fund ; consequently, this gentleman may present himself before the supreme government whenever he likes to do so, and establish the right of his claim, it being understood that such claim, be its present con- dition what it may, cannot affect the interests of the aforesaid convention. God and liberty. TOVAR. No. 44. Sir C. Wyke to Lord J. Russell. Mexico, August 27, 1861. My Lord : During the past month the position of affairs has not materially changed in this country, where the hatred and contempt felt for the government THE PEESENT CONDITION OF MEXICO. 606 eeem daily to increase. Murders and robberies continue to be perpetrated with tlie greatest impunity, and tlie precincts of a legation have not saved the French minister from an attack on his life, as already reported to your lordship in a former despatch. On the 3d instant the diligence arrived from Pachuca containing a wounded Frenchman, who subsequently died, and the dead body of poor Mrs. Chawner, a pretty young Englishwoman of only twenty-four years of age, who, with her husband, was coming to Mexico from the mines of Real del Monte, where he has been employed for some time past as a laborer. They were attacked by robbers at about six leagues from this city, who, having been beaten off by the other passengers, have not again been heard of. Since then, an Englishman of the nsime of Mathews has been stabbed in one of the most frequented streets of this capital, and other foreigners have been similarly assaulted, but no further deaths have occurred that I am aware of. In all these cases the assailants have come off with perfect impunity, and the government has not even had the de- cency to express regret for these outrages, which they are apparently unwilling or unable to prevent. A more disgraceful state of things than that now existing here it is impossible to conceive in any country pretending to call itself a civilized nation. Mrs. Chawner was the daughter of Stephen Bennett, who was murdered at Pachuca in the month of April last. General Ortega, who, at the head of a considerable force, has for the last two months been vainly endeavoring to put down the rebellion, at length surprised Marquez at Jalatlaco on the night of the 12th or 13th instant, when he suc- ceeded in capturing some guns and making seventy or eighty prisoners, Marquez escaping in the confusion, with the rest of his forces. Instead of following up his success, Ortega immediately returned to Mexico, and thus left Marquez at liberty to reorganize his defeated troops and effect a junction with Mejia, and they both now hold their old position with between 6,000 and 7,000 men. The friends of Ortega have taken advantage of his pretended success to bring him forward as a candidate for the presidency, and, as all parties are thoroughly disgusted with Juarez, it is not improbable that they may succeed, if any legal means can be found of getting rid of the latter. Congress has been summoned to meet on the 30th, when, doubtless, some effort will be made ia the sense indicated. In the meantime Don Ignacio Comonfort, ex-president of the republic, has arrived at Monterey, and is supposed to be intriguing with Doblado, Vidaurri, and several other governors of States in that part of the country, to put himself at the head of a coalition which would be strong enough, could Marquez and Mejia, as chiefs of the reactionary party, be got rid of, to upset Juarez and counteract Ortega. Many people assert that Doblado, who is governor of Guana- juato, and, as such, at the head of 8,000 men, is working for himself and using Comonfort as a tool; but I believe nobody here knows really what is going on, except that all feel certain that something is about to occur, for the present state of things cannot last much longer. The civil war now raging, and the weakness of the government, have encour- aged the Indian population to rise against the whites at Ixmiquilpam, about twenty leagues from here, where they have committed dreadful atrocities, thus adding a new element of discord and misery to those already existing. This movement, if not at once checked, may lead to terrible results, as the immense majority of the inhabitants of this republic belong to the Indian race, Mdiich, if properly led, is quite strong enough utterly to exterminate the degenerated and vitiated descendants of the old Spanish conquerors. The tax on capital now being levied, of which I have treated in a separate despatch, has only tended still further to discredit the government and increase the number of its enemies, as nobody now can tell when he may not be called H. Ex. Doc. 100 23 351 THE PRESENT CONDITION OF MEXICO. on to supply the necessities of an administration which is as rapacious as it is dishonest and incapable. The decree of the 17th ultimo has had the effect of paralyzing all business at Vera Gruz, where the merchants refuse to remove their goods from the custom- house, and the govenimient is thus deprived of the duties which they expected to obtain free from any encumbrance. All the respectable classes look forward with hope to a foreign intervention as the sole means of saving them from ruin, and preventing a dissolution of the confederation, as well as a general rising of the Indians against the white popu- lation. If either Great Britain or France adopt coercive measures to obtain redress for the violation of the conventions, and the many other grievances we have to complain of, then the moderate party may take courage and be able to form a government which would afford some hope for the future ; but without such moral stipport and assistance they are afraid to move, and will remain the victims of the two contending factions, whose dissensions have already caused so much misery and bloodshed. I have, &c., 0. LENNOX WYKE. No. 45. Earl Russell to Earl Cowley. [Extract ] Foreign Office, September 30, 1861. To forcible interference in the internal affairs of an independent nation her Majesty's government are, on principle, opposed. It remains to be considered whether Mexico forms an exception to the general rule. Undoubtedly, in regard to the evils to be remedied, few cases of internal anarchy, bloodshed, and murder can exceed the atrocities perpetrated in Mexico. But,, on the other hand, there is no case in which a remedy by foreign inter- ference appears so hopeless. The contending factioiijs are spread over a vast extent of country ; they do not obey any one, two, or three cliiefs, but are split into fr-agmeuts, each of which robs, pillages, and murders on its own account. No foreign army would be likely to establish any permanent or pervading authority over these scattered bodies. In the next place, the Spanish troops, which form the most available force for the occupation of any forts or positions which may be taken, are peculiarly an object of dislike and apprehension to one of the two parties which divide the country. This dislike arises from a fear that the power of a dominant church might be restored, with the abuses and religious intolerance which accompany it. For opposite reasons British interference would be just as odioufi to the church party. I may add to these reasons the universal alarm which would be excited, both in the United States and in the southern States, at the contemplation of Em-opean interference in the domestic quaiTcls of an American independent republic Without at all yielding to the extravagant pretensions implied by what is called the Monroe doctrine, it would be, as a matter of expediency, unwise to provoke the ill-feeling of North America, unless some paramount object were in prospect and tolerably sure of attainment. The Spanish government ai-e of opinion tliat the successful action of Great THE PRESENT CONDITION OF MEXICO. 355 Britain, France, and Spain, to enforce tlieir just demands, wotild induce the Mex- icans to institute a government more capable than any which has lately existed to preserve the relations of peace and friendship with foreign powers. Should such be the indirect effect of naval and military operations, her Majesty's gov- ernment would cordially rejoice ; but they think this effect is more likely to follow a conduct studiously observant of the respect due to an independent na- tion, than to be the result of an attempt to improve by foreign force the domestic institutions of Mexico. No. 46. Earl Cowley to Earl RusselL [Extract.] Paris, October 2, 1861. M. Thouvenel having been in the countiy when I received your lordship's instructions to communicate to him your despatch of the 27th ultimo, containino- an account of a conversation which you had had with Mr. Adams on the affaiil of Mexico and the views of her Majesty's government as to the course which should be pursued, I sent him a copy of it. An opportunity for seeing him did not occur until to-day, and I had in the meantime received yoiu- lordship's despatch of the 30th ultimo, relating to the employment of a foreign force ui that country, which I read to his excellency before our conversation commenced. M. Thouvenel said that he had made no proposal to impose, or to influence by an armed force, an arbitration in the internal affairs of Mexico. He had thought it very likely that the employment of force for those legitimate pur- poses which the British and French governments had in view might encourao^ the well-disposed part of the Mexican people, who might feel the gall of the yoke to which they were subjected, to profit by the moment to throw it off and to substitute something better in its place; and he must confess that, should such turn out to be the case, he did not see why a movement of the kind, if it proved to be decidedly popular, should not receive the support of the pmvei-s who had come to Mexico to seek from an acknowledged bad government redress for injm-ies done to their subjects and for violated engagements towards them- selves. While, therefore, partaking in principle yoiu- lordship's views, and admitting the inexpediency of forcible interference m the internal affairs of an independent nation, he drew a distinction between forcible interference and the indirect encouragement, arising out of the presence of forces called to those shores for othei- piurposes, given to the Mexican people to emerge from an odious tyranny. No. 47. Earl Russell to Earl Cmclet/. Foreign Office, October 5, 1861. My Lord : I have to acqaaint your excellency that the Queen is prepared to enter into a convention with France and Spain, the object of which would be to secure the fulfilment by the govenuneut of Mexico of its obligations towards 356 THE PRESENT CONDITION OP MEXICO. tlie respective governments, and to obtain redress for injuries done in Mexico to tlieir respective subjects. In the opinion of ber Majesty's government it -would be proper to insert in any sucb convention a stipulation providing tbat tbe forces of the contracting parties shall not be employed for any other objects than those which I have specified, and especially that they shall not interfere with the internal govern- ment of Mexico. Her Majesty's government consider that the government of the United States should be invited to adhere to any such convention ; but they would not think it necessary that, in anticipation of meeting with the concurrence of the United States, the three powers should defer the commencement of the contemplated operations against Mexico. If the government of the Emperor should be willing to enter into such a convention as I have described, a draught of it shall forthwith be sent to your excellency for communication to M. Thouvenel. I have directed Sir John Crampton to make a similar overture to the Spanish government. I am, &c., EUSSELL. No. 48. Earl Russell to Sir J. Crampton. Foreign Office, October 5, 1861. Sir : I have to acquaint you that the Queen is prepared to enter into a con- vention with France and Spain, the object of which would be to secure the fulfilment by the government of Mexico of its obligations towards the respective governments, and to obtain redress for injuries done in Mexico to their respective subjects. In the opinion of her Majesty's government it would be proper to insert in any such convention a stipulation providing that the forces of the contracting parties should not be employed for any other objects than those which I have specified, and especially that they should not interfere with the internal govern- ment of Mexico. Her Majesty's government consider that the government of the United States should be invited to adhere to any such convention ; but they would not think it necessary that, in anticipation of meeting with the concurrence of the United States, the three powers should defer the commencement of the contemplated operations against Mexico. If the government of her Catholic Majesty should be willing to enter into such a convention as I have described, a draught of it shall forthwith be sent to you for communication to Marshal O'Donnell. I have directed Earl Cowley to make a similar overture to the French govern- ment. I am, &c., KUSSELL. THE PRESENT CONDITION OF MEXICO. 357 No. 49. Sir J. Crampton to 'Earl RusseU. San Ildefonso, September 21, 1861. My Lord : On the receipt of your lordship's telegram I lost no time in making tlie inquiry therein directed, as to whether the Spanish government would object to ask the United States to act in concert with England and France in relation to the affairs of Mexico. Marshal O'Donnell, without saying anything which implied an opinion that the co-operation of the United States in this matter would in itself he objection- able, observed that the government of that country was probably too much engrossed in its internal affairs to be able at the present moment to direct its attention elsewhere ; and added that the Spanish government, which had already displayed great patience under extraordinary provocation, could at all events not now postpone the measures which it had determined to adopt, and which were called for by the country in vindication of its rights. Spain, the marshal observed, by inviting England and France to join with her in a common line of action in Mexico, had given sufficient proof that she did not desire to secure to herself any exclusive advantages in that country, and still less that she designed to avail herself of its distracted condition with a view to the conquest or reannexation of any part of it. In his opinion nothiag could be more detrimental to the true interests of Spain than the recovery of her ancient possessions in America ; whatever may have been the sentiments of former governments of Spain, a sounder view of this matter was now, he thought, well established in the minds of all persons who had duly reflected upon the subject With regard to Cuba and the Philippines it was different, because their insular position and other circumstances still rendered their position advantageous to the mother country ; but to seek to extend her dominion on the continent of America would be a most mistaken policy for Spain, even if circumstances were to favor its practicability. The recent acquisition of Spain in Santo Domingo might, his excellency remarked, appear to be a deviation from this principle ; but the proximity of Santo Domingo to Cuba rendered it a point from which the safety of the latter might be menaced were it to fall into the hands of parties hostile to Spain. I took occasion to remark that, although I was not in possession of your lordsh.ip's views upon this subject, farther than they might be inferred fk»m the question I had just put to his excellency, there were circumstances which, in my opinion, rendered it desirable that the government of the United States should, at all events, be invited to act in concert with the European powers in regard to Mexico. The extreme jealousy felt by every political party in America in regard to intei-vention or interference of any sort by European powers in the affairs of the New World was well known. Her Majesty's government, it was true, could never recognize what was commonly called, the " Mom-oe doctrine," nor did I believe that any other European government was likely to subscribe to it. But the repeated announcement of this maxim by successive Presidents of the United States as a fundamental principle of thek policy, and its eager acceptance as such by the American people, rendered it sufficiently evident that European intervention in the affairs of Mexico would be viewed by them as an infringement of an imagined right, and if now undertaken without their being consulted, and at a time when it would appear to them that advantage was taken of their internal troubles to make light of their influence, and perhaps to realize projects repugnant to their political sympathies, a strong fceliug of resentment would not fail to bo created, in which both sections of the now divided Union would concur. Although this feeling might not, under present 358 THE PRESENT CONDITION OF MEXICO. circumstances, manifest itself in measures of actual hostility, influences could, nevertheless, be brought to bear by parties in the United States upon the affairs of Mexico, sufficiently powerful to cause embarrassment to Spain or any other European power which had a political object to achieve in that country. Marshal O'Donnell did not deny that there was some force in these con- siderations, and replied that as it was no part of the design of Spain to take advantage of the powerless condition of the United States with a view of either reconquering Mexico or of re-establishing monarchy there, he did not see that there existed any positive objection to the concurrence of the United States in the measures proposed by Spain. With regard to the expediency, however, of a proposal to that effect being made by Spain to the United States, he would re^juest me to speak with M. Oalderon Collantes, when the question would be brought by that minister under the unmediate consideration of the cabinet. On communicating with M. Oalderon OoUantes I found his excellency in no way mdisposed to take the subject into consideration, and he promised shortly to inform me of the decision of the cabinet. M. Oalderon did not seem to an- ticipate any objection to the proposalof her Majesty's government to invite the United States to join in a common line of action with Great Britain, France, and Spain. His excellency, however, made the same reserve as Marshal O'Donnell had done, viz : that Spain could in no case postpone her action in order to secure the co-operation of the American government. I have, &c., JOHN F. CRAMPTON. No. 50. Sir J. Crampton to Earl Russell. [Extract ] San Ildefonso, September 24, 1861. I took the earliest opportunity after the receipt of your lordship's telegram to call Marshal O'Donnell's attention to the rights of her Majesty's government upon the customs revenue of Vera Oruz and Tampico. These rights, I observed, were sanctioned by a convention with Mexico ; and her Majesty's government had claimed of the Mexican government that the customs of those ports should be placed under the control of British commis- sioners with a view to the satisfaction of British claims, it being understood that- those connnissioners should also pay the sxmis due by Mexico to other nations, and which were guaranteed by mortgage on the revenues of the same customs, I added that I made this commimication by direction of her Majesty's gov- ernment, in order to avoid any misunderstanding which might arise in regard to the rights of Great Britain at Vera Oruz and Tampico in ease Spain should find it necessary to take military posseasion of those ports. Marshal O'Donnell replied tliat in case it was found necessary to occupy Vera Oruz and Tampico, and that such occupation was effected by the combined action of England, France, and Spain, as he hoped would be the case, the three powers would have no difficulty in apportioning their respective claims upon the customs revenues there collected under their authority. If, on the other hand, Spain were to act alone and to hold possession of Vera Oniz and Tampico, she would not on that account be the less ready to recognize, and to the best of her power enforce, the legitimate rights which Gre^t Britain and other friendly powers might have previously acquired there. As matters now stood, it ap- THE PEESENT CONDITION OF MEXICO 359 peared that Mexico, by an act of her congress, Iiacl repudiated the claims of all nations upon her custom-house revenues, and conseq[uently the blockade or militaiy occupation of her ports by Spain could not, by causing a suspension of commerce, place the interests of the parties to whom their customs revenue was pledged in a worse position than they now were ; but if Spain were thus enabled to enforce her own claims, she would undoubtedly respect those of other nations. Marshal O'Donnell expressed the opinion that if England, France, and Spain were to combine their forces no resistance would be attempted by Mexico. If Spain acted alone it might be otherwise, and this made him desire that a com- mon line of action might be agreed upon. This being his view, I inquired whether the Spanish government would not consent to defer its action until Great Britain and France could concert together as to the best measures to be taken. Marshal O'Donnell replied that paramount considerations rendered it impos- sible for Spain to consent to delay the measures she had decided upon beyond the period which he had previously mentioned to me, viz : the beginning of November, before which time naval or military operations on the coasts of Mexico could not be undertaken, on account of the prevalence of the yellow fever and the West India hm-ricanes. The grievances of which the Spanish government had to complain were of long standing, and they had waited with patience for more than six months in the vain hope of some satisfaction for them being afforded, and more especially for the indignity offered in the dismissal of the Spanish minister from Mexico, Cortes would assemble in the course of next month, and the Spanish government v/ould be unable to justify themselves before that body and the nation if they were to defer, beyond what was rendered necessary by material obstacles, the vindication of its rights and dignity. This inevitable delay would, however, he expressed the hope, afford time for England and France to concert together, and with Spain, the measures necessary for combined action. Marshal O'Donnell renewed to me on this occasion the assurances he had formerly given, that Spain had no views of conquest upon Mexico, and that he was entirely opposed to the notion of re-establishing, by foreign influence, a monarchical form of government in that country, or otherwise meddling with the internal administration of its government. No. 51. Earl Cowley to Earl Russell. [Extract.] Paris, Octoher 10, 1861. I saw M. Thouvenel this afternoon on the subject of the proposed convention for regulating the joint action of Great Britain, France, and Spain in the expe- dition to be undertaken against Mexico, and I read to him your lordship's despatch of the 5th instant upon this subject received this morning. ]\r. Thouvenel said that he Avas quite ready to join her Majesty's government in signing a convention for the purposes recited by your lordship ; that lie agreed entirely in the principles which your lordship had laid down as those which should guide the action of the allied powers. M. Thouvenel disclaimed, as he had done on a former occasion, any desire to impose any particular form of government in Mexico. 360 THE PEESENT CONDITION OF MEXICO No. 52. Earl Russell to Earl Cowley. [Extract.] Foreign Office, Octoher 12, 1861. I have received jom: excellency's despatch of the 10th instant, reporting jonr conversation with M. Thouvenel on the course which her Majesty's government proposed should be adopted towards Mexico by the governments of England, France, and Spain, as explained to you in my despatch of the 4th instant. I have to state to your excellency that her Majesty's government consider an engagement not to interfere by force in the internal affairs of Mexico to be an essential part of the convention. I understand from Sir John Crampton that, while reserving to themselves the right of exerting moral influence for the establishment of a better order of things in Mexico, the Spanish government agree with her Majesty's government that force ought not to be used for that purpose. No. 53. Earl Cowley to Earl Russell. [Extract.]! Paris, Octoher 18, 1861. Sir: M. Thouvenel infoi-ms me that the Emperor is willing that M. de Flahault should negotiate the treaty concerning Mexico in London, and full powers will be sent to him on Tuesday next. No. 54. Sir J. Crampton to Earl Russell. [Extract.] Madrid, Octoher 9, 1861. On the receipt of your lordship's telegram of the 5th instant I sought an interview with Marshal O'Donnell, as well as with M. Calderon Collantes, and stated that her Majesty's government were prepared to enter into a convention with France and Spain for the purpose of obtaining reparation from Mexico for the injuries received by their respective subjects, and for securing the fulfilment of the obligations entered into by Mexico towards their respective governments. I observed that her Majesty's government proposed that it should be pro-' vided by an article of the convention, that the forces of the contracting parties axe not to be employed for any ulterior object, and especially that they are not to interfere with the internal government of Mexico. I said that her Majesty's government desire that the government of the United States should be invited to adhere to the convention; adduig, liowever, that her Majesty's government THE PKESENT CONDITION OF ]^IEXICO. 361 did not consider that any delay in tlie commencement of active operations ought to be pennitted on this account. Marshal O'Donnell replied that the proposal of her Majesty's government should be immediately submitted to the consideration of the cabinet. This was accordingly done, and M. Calderon Collantes, on the 8th instant, communicated to me the views of her Catholic Majesty's government in regard to' the proposed convention. The Spanish government, M. Calderon said, were very willing to conclude with England and France a convention for the objects which I had stated to him on the part of her Majesty's government. They agreed to the insertion of an article in the convention to the effect that the forces of the high contracting parties should not be employed for any ulterior object. Spain, his excellency remarked, had no such object in view ; she neither sought to reconquer any part of Mexico nor to re-establish a monarchical govern- ment there in favor of any European prince or other person ; nor had she any intention of endeavoring to place one or the other of the contending factions in Mexico at the head of the government of the republic. The Spanish govern- ment felt no difficulty, therefore, in concurring with her Majesty's government in the opinion that no armed intervention in the internal government of Mexico should be attempted. The only point, consequently, in regard to which he could perceive any shade of difference in the views of her Majesty's government and those of Spain in this respect was that her Catholic Majesty's government was of opinion that, con- sidering the great influence which must necessarily be exercised by the very presence of the combined forces of England, France, and Spain upon the internal state of Mexico, it would be well that they should endeavor to profit by the im- pression which could not fail to be created thereby upon the Mexican people, to exercise a moral influence upon the contending parties, with a view of inducing them to lay down their arms, and come to an understanding for the formation of a government which would ofier some guarantee to the allies for the fulfilment of the engagements of Mexico towards their respective governments, for a better observance of her international duties in future, and one which would afford some prospect, at least, of a cessation of the miseries to which that unfortunate country had so long been exposed. This, his excellency said, he thought the three powers were bound in honor to attempt, both on the groimds of humanity and of policy; and perhaps more on the ground of humanity than of policy. It was not generally borne in mind, M. Calderon remarked, that at the bottom of the civil strife in Mexico there was a contest between two races. The Spanish race Avas at all times in a minority in that coimtry; and, from natural causes, the disproportion between it and the original Indian race was continually increasing. If these causes continued to operate unchecked by the moral superiority of the European element, and were aggravated by a continual reciir- rence of' intestine struggles, there could be no dou.bt that the germs of civiliza- tion which had been originally planted by Spain would be crushed out, and the country would relapse into something of the same condition in which it was found by Hernan Cortez. This was a consummation which he thought the European powers ought to make at least an effort to prevent. I remarked, in reply, that I did not doubt her Majesty's government would entirely concur with his excellency in thinking that the object which he proposed to himself was both a politic and a humane one; and if by moral influence was meant the offer of advice to the Mexican government to refrain from ciA'il strife, her Majesty's government would, I felt sure, not hesitate now to do, conjoiutly with Spain and France, what they had done singly on more than one occasion. If, however, more than this was intended by the Spanish government, I confess I felt at a loss as to the means of effecting any real change in the state of Mexico without the application of actual force, or without exerting the influence of the 362 THE' PRESENT CONDITION OF MEXICO. intervening powers in favor of one or the other of the contending factions. Besides this, it appeared evident to me that the object proposed, if it were to be effected at all, must be the work of time, and, consequently, could not be effected within anj- definite period. I would, therefore, inquire whether the Spanish government contemplated the continuance of the occupation of the Mexican ports until such time as a government such as they should desire to see established in Mexico should be constituted. M. Calderou replied, certainly not; the Spanish occupation would be limited to what was necessary for obtaining the redress of wrongs inflicted upon Spanish subjects, and satisfaction for acts inconsistent with the rights and dignity of the Spanish government; and would, if possible, not be prolonged beyond the period at which tlie climate would render the stay of the troops and vessels dangerous to their health and safety. No. 55. Lord LyoTis to Earl Rtcssell. [Extract.] Washington, October 14, 1861. I had the day before yesterday the honor to receive your lordship's despatch of the 28th ultimo, relative to the affairs of Mexico. I had, a few hours later in the day, an interview yfixh Mr. Seward. In the course of conversation he introduced the subject of Mexico. I found that he had not yet received Mr. Adams's I'eport of the conversation v/hich he held with your lordship on the 25th ultimo, concerning the proposal of the United States to assume the payment of the interest of the Mexican debt to Great Britain and France, He told me that he had already sent instructions to the United States ministers in London and Paris which would enlarge their powers of negotiation, and which would in pai-ticular enable them to engage that the United States should provide for the interest of the debt to Spain, and also for the satisfaction, to a certain extent, (as I understood,) of the general claims of Great Britain, France, and Spain, upon Mexico. He was, he said, on the point of sending similar instructions to the United States minister at Madrid. He had been informed that the Spanish government having heard that England and France were about to intervene in Mexico, had determined to be beforehand with them, and had already prepared an expedition, which was ready to sail from Cuba, Would it not be wise to avoid the complications which could not biit folloAv such an expedition, by assenting to an arrangement which would provide for the material interests of the three European powers, and postpone to a more favor- able moment difficult and dangerous questions ? I said to Mr. Seward that I presumed that he would receive in the course of the day reports from Mr. Adams and Mr. Dayton of the manner in which his proposals had been received by your lordship and M. Thouvenel. He would, I observed, find that grave objections to them were entertained both in London and in Paris. I proceeded, in obedience to your lordship's instructions, to speak to Mr. Seward in the sense in which your lordship had spoken to Mr. Adams, as set forth in your despatch to Earl Oowley, dated the 27th ultimo. I said in particular that her Majesty's government were as apprehensive as Mr. Seward himself could be of an attempt to build upon a foundation of debts due and injuries inflicted by Mexico a pretension to establish a new government in that THE PRESENT CONDITION OF MEXICO. 363 conntrj. Her Majesty's government thought, however, (I proceeded to observe,) tliat the most effectual mode of guarding against this danger would be for Great ■Britain, the United States, and France to join Spain in a coiirse of action the objects and limits of which should be strictly defined beforehand. This certainly appeared more prudent than to allow Spain to act alone now, and afterwards to oppose the results of her operations if she should go too far. Mr. Seward appeared to be unwilling to abandon his own plan, which would, he said, have the advantage of rendering all interference on the part of European powers in the affairs of Mexico entirely superfluous. No. 56. Sir C. Wyke to Earl Russell. [Extract.] Mexico, Septeinher 29, 1861. During the past month nothing of any particular importance has taken place here. The opposition, after endeavoring to get rid of President Juarez, has been crippled by the desertion of twelve of its members, and parties in con- gress have become equalized, and each now prevents the other from carrying any measure of an important character. General Ortega, after his unsuccessful campaign against Marquez, was deprived of his command, and has now returned to his . native State of Zacatecas, of which he is governor. His rival, General Doblado, has succeeded hun as com- mander-in-chief of the forces, and is abotit, in his turn, to attack Marquez and the other chiefs of the reactionary party, who still remain at the head of between 7,000 and 8,000 men, with which they have hitherto completely baffled all the efforts of the government to subdue them. The executive has lost all real authority over the different States of the con- federation, which are now vktually independent, and, whenever it suits them, set at defiance any orders they may receive from the supreme government. Some anxiety is beginning to be felt as to the measures likely to be adopted by England and France, in consequence of the violation of the diplomatic con- ventions; but these people console themselves with the reflection that " when the day cometh sufficient is the evil thereof." Sliould the different ports be occupied by our naval forces, they propose to withdraw the custom-houses further inland, with a view of levying duties on all goods proceeding from the coasts to the capital. This is a project which they will find some difficulty in carrying out, from their utter want of system and regular organization. With the moral support given by our occupation to the moderate and respect- able party, they will j)robably be strong enough to turn out the present admin- istration and form a government which would be glad to treat with us, and thus re-establish those friendly relations with foreign powers bo necessary to the real welfare of the republic 364 THE PRESENT CONDITION OF MEXICO. No. 57. Earl Russell to tlie Lords Commissioners of the Admiralty. Foreign Office, October 30, 1861. My Lords : I am commanded by tlie Queen to signify to your lordships her Majesty's pleasure, that with a view to the operations on the coast of Mexico, to be carried out by the combined forces of England, France, and Spain, her Majesty's squadron on the North American and West Indian station should, as soon as convenient, be re-enforced, and a detachment of 700 supernumerary marines should be embarked on board the squadron. I am, &c., EUSSELL. No, 58. Lord Lyons to Earl Russell. Washington, October 17, 1861. My Lord: Mr. Seward mentioned to me yesterday that he had received a despatch from Mr, Adams, stating that he had waited upon your lordship in Scotland, and communicated to you the proposal that the United States should assume the payment of the interest on the foreign debt of Mexico. Mr. Seward told me that Mr. Adams reported that your lordship had not agreed to the pro- posal, but had stated your intention to make a counter proposal. This, Mr. Seward said, was perhaps as favorable a reception of his plan as could be ex- pected at the first moment. He proceeded to inform me that he had received a communication from M. Tassara, the Spanish minister here, stating that the expedition which Spain was prepared to send against Mexico was intended solely to seek redress for the wrongs suffered by Spain herself, and not at all to interfere with the internal affairs of Mexico, or to change the form of government in that country. Mr. Seward added that M. Tassara had further informed him that it was tinder consideration whether Spain should make the expedition alone or in con- junction with England and France. If the latter course Avere adopted, the con- cert of the United States would (M. Tassara had assured Mr. Seward) be invited by the three powers. Mr. Seward appeared to be very unwilling to admit that his own proposal to assume the payment of the interest of the debt was not likely to be accepted either in London, Paris, or Madrid. I have, &C., LYONS. No. 59. Earl Russell to the Lords Commissicniers of th£ Admiralty. Foreign Office, October 31, 1861, My Lords : I have the honor to acquaint your lordships that I have this day signed, on behalf of her Majesty, with the plenipotentiaries of France and Spain, a convention having for its object the adoption of measures of coercion against THE PRESENT, CONDITION OF MEXICO. 365 Mexico for tlie protection of the persons and properties of the subjects of the respective States, and for securing a fulfilment of the obligations contracted by the republic of Mexico towards the sovereigns of Great Britain, France, and Spain. In pursuance of the provisions of this convention the contracting powers pro- pose to employ on the coast of Mexico a sufficient naval and military force, and I am accordingly to signify to yoiir lordships her Majesty's pleasure that a force consisting of two line-of-battle ships, four frigates, and an adequate number of smaller vessels, should be sent to Vera Cruz, and that a body of supernumerary marines, to the amount of 700 men, should be embarked on board those ships, with a view to their being landed and employed on shore, if circumstances should require it. I am further to signify to your lordships her Majesty's pleasure that the admiral, or other senior officer in command of this force, should be instructed to place himself in communication with the officers commanding the French and Spanish forces, and in concert with them to demand : 1. Full satisfaction and reparation for the wrongs suflPered by the three nations ; and 2. That the forts of Vera Cruz should be at once delivered up to the forces (rf the three nations as a guarantee for the performance of such conditions as may be agreed upon. I have further to state to your lordships that it is the intention of the three powers severally to name a commissioner to frame, in concert with the officer commanding the naval forces of the three powers, the articles an assent to which will be demanded of the Mexican government, or of the persons exercising authority in Mexico ; and that Sir Charles Wyke, her Majesty's envoy extraor- dinary and minister plenipotentiary, will be empowered to act as commissioner on behalf of her Majesty, and with that view he will be instructed to embark on board the ship of the British admiral, or of the officer in command of her Majesty's forces. The troops and marines of the combined forces will remain in possession of the forts of Vera Cruz a,nd other forts, if taken, until further order. Her Majesty has been pleased, likewise, to signify her pleasure that Rear- Ad- miral Maitland should be instructed to possess himself of the harbor of Aca- pulco, or any other port on the Pacific coast of Mexico, with the exception of Mazatlan, which he may consider necessary to occupy with a view to secure the objects of the convention; but Mazatlan is not to be occupied without special orders. I enclose, for your lordships' information, a copy of the convention* under which these operations are to be carried out, although some days must elapse before the ratifications of it can be exchanged. I am, &c., RUSSELL. No. 60. Earl Russell to Sir C. Wyke. Foreign Office, October SI, 18G1. Sir : I transmit to you herewith confidentially, inasmuch as the ratifications of it have not yet been exchanged, a copy of a convention* which I have signed this day with the plenipotentiaries of France and Spain respecting the ** Eaclosure m No. 60. 366 THE PEESENT CONDITION OP MEXICO. measures of coercion whicli England, France, and Spain are prepared jointly to adopt for tlie protection of the persons and properties of their respective sub- jects in Mexico, and for securing the fulfilment of the obligations contracted by the republic of Mexico towards the respective sovereigns. I also enclose a copy of a letter which I have addressed to the lords commis- sioners of the admiralty,* signifying her Majesty's pleasure as to the measures to be taken on the part of her Majesty in fulfilment of the engagements under- taken by her in this convention; and in conformity with what is stated in' my letter, I have to instruct you to embark on board the ship of the admiral or of the senior officer commanding her Majesty's ships, and at the proper time to undertake the duties of commissioner on behalf of her Majesty under the convention, and to frame, in concert with Admiral Milne, and with the commis- sioners of France and Spain, and the officers commanding the naval forces of tliose two countries, the articles an assent to which will be demanded of the Mexican government, or of the persons exercising authority in Mexico. You will instruct her Majesty's consuls at the ports which may be determined on, to collect, in concert with the French and Spanish consuls at those ports, tlie customs duties, and to pay them over according to such rules as the com- missioners may jointly lay down. I am, &c., KUSSELL. Enclosure in No . 60. Convention hetiveen her Majesty, the Queen of Spain, and the Emperor of tlie French, relative to combined operations against Mexico, signed at London, October 31, 186l,t Sa Majeste la Reine du Royaume Uni de la Grande Bretagne et d'Irlande, sa Majeste la Seine d'Espagne, et sa Majeste I'Empereur des Fran^ais, se trouvant placees par la conduite arbiti'aire et vexatoire des autorites de la repub- lique du Slexique dans la necessite d'exiger de ces autorites une protection plus efficace pour les personnes et les proprietes de leurs sujets, ainsi que I'execution des obligations contractees envers elles par la republique du Mexique, se sont entendues pour conclure entre elles une convention dans le but de combiner leur a>ction commune, etj a cet effet, ont nomm^ pou.r leurs pl(5nipotentiaires, savoir : Sa Majeste la Reine du Royaume Uni de la Grande Bretagne et d'Irlande, le tres honorable Jean Comte Russell, Vicomte Amberley de Amberley et Ard- salla, pair du Royaume Uni, conseiller de sa Majestd Britannique en son conseil prive, principal secretaire d'dtat de sa Majestd, pour les affaires, etrangeres; SaMajeste la Reine d'Espagne, Don Xavier de Isturiz y Montero, chevalier de I'ordre insigne du toison d'or, grand croix de I'ordre royal et distingue de Charles III, de I'ordre imperial de la legion d'honneur de France, des ordres de la conception de Villaviciosa et Christ de Portugal, senateur du Royaume, ancieu president du conseil de ministres et premier secrf^taire d'etat de sa Majeste Oatholique, et son envoye extraordinaire et ministre plenipotentiaire pres sa Majeste Britannique; Et sa Majestd I'Empereur des Frau^ais, son excellence le Comte de Flahault de la Billarderie, senateur, general de division, gTand croix de la legion d'hon- neur, ambassadeur extraordinaire de sa Majesty Imperiale pres sa Majestd Britannique; Lesquels, apres s'etre communique reciproquement leurs pleins pouvoirs re- Bpectifs, trouves en bonne et due forme, sont tomb^ d'accord pour arreter les articles suivants: ®No. 59. fEatifications exchanged at London NoTcmber 15, 1861. THE PHESENT CONDITION OF MEXICO. 367 Article I. Sa Majeste la Reine du Royaume Uni de la Grande Bretagne et d'Irlande, sa Maje.st(i la Reiue d'Espagne, et sa Majestd I'Empereur des Franyais, s'en- gageut a arreter atissitot aprys la signature de la prt^sente convention, les dis- positions necessaires pour euvoyer sur les cotes du Mexicjue des forces de teiTe et do mer conibinees dont I'eflPectif sera determine par iin ^change ulterieur de communications entre leurs gouvernemeuts, mais dont I'ensemble devra dtre suffisant pour pouvoir saisir et occuper les difftirentes forteresses et positions militaires du littoral Mexicain. Les commandants des forces alli^^es seront, en ontre, autorisds h accomplir les autres operations qui seraient jugees, sur les lieux, les plus propres a realiser le but specific dans le preambule de la presente convention, et notamraent, a as- surer la sdcuritd des residents etrangers. Touts les mesures dont il s'agit dans cet article eeront prises au nom et pour le cOmpte des hautes parties contractantes, sans acception de la nationality par- ticuliei-e des forces employees a les exccuter. Article II. Les liautes parties contractantes s'engagent k ne recherclier pour elles-mdmes, dans I'emploi des mesures coercitives prevues par la prdsente convention, aucune acquisition de territoire ni aucun avantage particulier, et k n'exercer, dans les affaires interieures du Mexique, aucune influence de nature k porter atteinte au droit de la nation Mexicaine de choisir et de constituer librement la forme de son gouvernemM.it. Article III. Une c/nmnissian composee de trois commissaires, un nomm^ par chacune des puissances contractantes, sera dtablie avec plein pouvoir de statuer sm* toutes les questions que pourrait soulever Temploi ou la distribution des sommes d'argent qui seront recouvi-ees an Mexique, en ayant dgard aux droits respectifs des trois parties contivactantes. Article IV. Les liautes parties contractantes d(^sirant, en outre, que les mesures qu'elles oat I'intention d'adoptcr n'aient pas un caractere exclusif, et sacliant que le gouveraenient desEtats Unis a, de son cote, des reclamations a faire valoir, comme elles, centre la rupubliquc Mexicaine, conviennent qu'aussitot aprfes la signatui'e de la presente convention, il en sera communique une copie au gouvernement des Etats Unis ; que ce gouvernement sera invite a y acctider ; et qu'en prevision de cette accession leurs ministrcs respectifs a Wasliington seront immediatement' munis de pleins pouvoirs a I'effet de conclure et de signer, collectivement ou separument, avec le plenipotentiaire designd par le President des Etats Unis, une convention identique, sauf suppression du present article, i\ celle qu'elles signent a la date de ce jour. Mais comme les Lautes parties contractantes s'exposeraient, en apportant quclque retard a la mise ^ exdcution des Ai'ticlea I et II de la priiscnte convention, a manquer le but qu'elles desirent atteindre, dies sont tombees d'accord de ne pas ctiffcrer, en atic d'obtenir I'accession du gouvernement Aci Etats Unis, le commencement des operations bus mentionudes au dela de I'dpoque a laquello leurs forces combiudes pouiTOut etre rdunics dans les parages de Vera Cruz. 368 THE PRESENT CONDITION OF MEXICO. Article V. La presente convention sera ratifiee, et les ratifications en seront ecliangdes k Londres, dans le delai de quinze jours. En foi de quoi les plenipotentiaires respectifs I'ont signd, et j ont appose le sceau de leurs armes. Fait a Londres, en triple original, le trente-tinieme jour du mois d'Octobre, de I'an de grace mil liuit cent soixante-un. [l. s.] RUSSELL. [l. s.] xavier de isturiz. [l. s.] FLAHAULT. . [Translation.] Her Majesty the Queen of tlie United Kingdom of Great Britain and L-eland, her Majesty the Queen of Spain, and his Majesty the Emperor of the French, feeling themselves compelled by the arbitrary and vexatious conduct of the authorities of the republic of Mexico to demand from those authorities more efficacious protection for the persons and properties of their subjects, as well as a fulfilment of the obligations contracted towards their Majesties by the republic of Mexico, have agreed to conclude a convention with a view to combine their common action, and, for this purpose, have named as their plenipotentiaries, that is to say : Her Majesty the QueeA of the United Kingdom of Great Britain and Ireland, the right honorable John Earl Russell, Viscount Amberley of Amberley and Ardsalla, a peer of the United Kingdom, a member of her Britannic Majesty's privy council, her Majesty's principal secretary of state for foreign affairs; Her Majesty the Queen of Spain, Don Xavier de Isturiz j\ Montero, knight of the illustrious order of the golden fleece, grand cross of the royal and distinguished order of Charles III, of the imperial order of the legion of honor of France, of the orders of the conception of Villaviciosa and Christ of Portugal, senator of the kingdom, late president of the council of ministers, and first secretary of state of her Catholic Majesty, and her envoy extraordinary and minister plenipotentiary to her Britannic Majesty; And his Majesty the Emperor of the French, his excellency the Count de Flahault de la Billarderie, senator, general of division, grand cross of the legion of honor, his Imperial Majesty's ambassador extraordinary to her Bri- tannic Majesty; Who, after having reciprocally communicated their respective full powers, found m good and due form, have agreed upon the following articles : Article I. Her Majesty the Queen of the United Kingdom of Great Britain and Ireland, her Majesty the Queen of Spain, and his Majesty the Emperor of the French, engage to make, immediately after the signature of the present convention, the necessary arrangements for despatching to the coasts of Mexico combined naval and military forces, the strength of which shall be determined by a further in- terchange of communications between their governments, but of which the total shall be sufficient to seize and occupy the several fortresses and military positions on the Mexican coast. The commanders of the allied forces shall be, moreover, authorized to execute the other operations which may be considered, on the spot, most suitable to effect the object specified in the preamble of the present convention, and specifically to insure the security of foreign residents THE PEESENT CONDITION OF MEXICO. 369 All the measures contemplated in this article shall be taken in the name and on account of the high contracting parties, without reference to the particular nationality of the forces employed to execute them. Article II. The high contractiag parties engage not to seek for themselves, in the employ- ment of the coercive measures contemplated by the present convention, any acquisition of territory nor any special advantage, and not to exercise in the internal affairs of Mexico any influence of a nature to prejudice the right of the Mexican nation to choose and to constitute freely the form of its government. Article III. A commission composed of three commissioners, one to be named by each of the contracting powers, shall be established with full authority to determine all questions that may arise as to the application or distribution of the sums of money which may be recovered from Mexico, having regard to the respective rights of the three contracting parties. Article IV. The high contracting parties desiring, moreover, that the measures which they intend to adopt should not bear an exclusive character, and being aware that the government of the United States on its part has, like them, claims to enforce upon the Mexican republic, agree that immediately after the signature of the present convention a copy thereof shall be communicated to the government of the United States; that that government shall be invited to 'accede to it; and that in anticipation of that accession then- respective ministers at Washington shall be at once furnished with full powers for the pui-pose of concluding and signing, collectively or separately, with the plenipotentiary designated by the President of the United States, a convention identic, save the suppression of the present article, with that which they sign this day. But as by delaying to put into execution articles first and second of the present convention the high con- tracting parties would incur a risk of failing in the object which they desire to attain, they have agreed not to defer, with the view of obtaining the accession of the government of the United States, the commencement of the above-men- tioned operations beyond the time at which their combined forces can be assem- bled in the neighborhood of Vera Cruz. Article V. The present convention shall be ratified, and the ratifications thereof shall be exchanged at London within fifteen days. In witness whereof the respective plenipotentiaries have signed it, and have affixed thereto the seal of their arms. Done at London, in triplicate, the thirty -first day of the month of October, in the year of our Lord one thousand eight hundi-ed and sixty-one. L. S. L. s. L. S. RUSSELL. XAVIER DE ISTURIZ. FLAHAULT. H. Ex. Doc. 100 24 370 THE PRESENT CONDITION OF MEXICO. No. 61. Earl Russell to Ea7'l Coicley. Foreign Office, November 1, 1861. My Lord : I transmitli to you herewith a copy of a despatch which I have addressed to Sir C. Wyke,* directing him to repair to Jamaica, and from thence to proceed to join the admiral wherever he may he. I am, &c. EUSSELL. No. 62. Earl Russell to Sir C. Wyke. Foreign Office, Novemher 1, 1861. Sir : I have to instruct you forthwith to repair to Jamaica with all the mem- hers of her Majesty's mission. Admiral Milne has heen directed to send a ship-of-war without delay to Vera Cruz, to receive you on hoard and convey you and your suite to Jamaica; and subsequently to convey you and one of the attaches of her Majesty's mission from Jamaica to Bermuda, or wherever the admiral may he. You will leave the rest of the mission at Jamaica until you require their services. In joining the admiral you will embark on hoard the flag-ship. The admiral will deliver to you the further instructions for your guidance, which will be sent to his care. I am, &c. EUSSELL. No. 63. Earl Russell to Earl Cowley. Foreign Office, Novemher 1, 1861. My Lord: I transmit to your excellency herewith a copy of conventionf which I yesterday signed with the plenipotentiaries of France and Spain, on the subject of the measures to be adopted towards Mexico. I also enclose drafts of the instructions which, in order to give effect to the provisions of this convention, I have, by the Queen's commands, addressed to the board of admiralty and to her Majesty's minister in Mexico.^ I have com- mmiicated copies of these drafts to the French ambassador and Spanish minister. I shall instruct Sir Charles Wyke, by the mail of to-morrow, to repair to Jamaica, and there await further instructions. Her Majesty's naval forces, of which the expedition, so far as this country is concerned, is to be composed, are already, or will be shortly, at Bermuda ,• and I will inform Count Flahault, and will enable your excellency to apprise M. Thouvenel in what manner and at what place it may, in the opinion of the No. 62. t Enclosure in No. 60. % Nos. 59 and 60. THE PRESENT CONDITION OF MEXICO. 371 board of admiralty, be advisable tbat the tbree squadrons should unite, so as to proceed in company to tbe coast of Mexico. It will remaia for tbe tbree powers to instruct tbeir ministers at "Wasbington to make to tbe government of tbe United States tbe communication contem- plated by tbe 4tb article of tbe convention. Her Majesty's government propose to send tbeir instructions to Lord Lyons by tbe mail of tbe 9tb of November. I am, &c. RUSSELL. P. S. — Sir C. Wyke will receive bis furtber instructions on board tbe admi- ral's sbip. No. 64. Earl Russell to Sir J. Crampton, Foreign Office, November 1, 1861. Sir : I transmit to you berewitb a copy of a convention* wbicb I yesterday signed witb tbe plenipotentiaries of France and Spain on tbe subject of tbe measures to be adopted towards Mexico. I also enclose drafts of tbe instructions wbicb, in order to give effect to tbe provisions of tbis convention, I bave, by tbe Queen's commands, addressed to tbe board of admiralty and to ber Majesty's minister in Mexico. + I bave communicated copies of tbese drafts to tbe Frencb ambassador and Spanisb minister. I sball instruct Sir 0. Wyke, by tbe mail of to-morrow, to repau' to Jamaica, and tbere await furtber instructions. Her Majesty's naval forces of wbicb tbe expedition, so far as tbis country is concerned, is to be composed, are'already, or will be sbortly, at Bermuda; and I will inform M. de Isturiz, and will enable you to apprise tbe Spanisb govern- ment, in wbat manner and at wbat place it may, in tbe opinion of tbe board of admiralty, be advisable tbat tbe tbree sc[uadrons sbould unite, so as to proceed in company to tbe coast of Mexico. It will remain for tbe tbree powers to instruct tbeir ministers at Wasbington to make to tbe government of tbe United States tbe communication contem- plated by tbe 4tb article of tbe convention. Her Majesty's government propose to send tbeir instructions to Lord Lyons by tbe mail of tbe 9tb of November. I am, &c. RUSSELL. No. %5. Earl Russell to Earl Cowley. Foreign Office, November 1, 1861. My Lord : Witb reference to my previous despatcb of tbis day's dnte, | I enclose, for your excellency's information, and for communication to M. Tbou- venel, a draft of a furtber instruction wbicb it is my intention to address to Sir Charles Wyke witb reference to tbe 2d article of tbe convention respecting tbe ' measures to be taken towards Mexico. § I am, &c. RUSSELL. ^Enclosure in No. 60. f Nob. 69 and 60. % No.. 63. § No. 67. 372 THE PRESENT CONDITION OF MEXICO No. 66. Earl Russell to Sir J. Crampton. Foreign Office, November 1, 1861. Sir : With reference to my previous despatcli of this day's date, I enclose^ for your information, and for communication to the Spanish government, a draft of a farther instrtiction which it is my intention to address to Sir C. Wyke with reference to the 2d article of the convention respecting the measures to be taken towards Mexico.* I am, &c. EUSSELL. No. 67. Earl Russell to Sir C. Wyke. Foreign Office, November 1, 1861. Sir : You should be most careful to observe with strictness article 2 of the convention signed yesterday between Great Britain, France, and Spain, by which it is provided that no influence shall be used in the internal affairs of Mexico calculated to prejudice the right of the Mexican nation freely to choose and establish its own form of government. Should any Mexican, or any party in Mexico, ask your advice on such sub- jects, you will say that any regular form of government which shall protect the lives and properties of natives and of foreigners, and shall not permit British subjects to be attacked or annoyed on account of their occupations, their rights of property, or their religion, will secure the moral support of the British gov- ernment. I am, &c. RUSSELL. No. 68. The Secretary to the Ad?niralty to Mr. Hammond. Admiralty, November 1, 1861. Sir : Earl Russell having expressed his desire to be furnished with the views of my lords commissioners of the admiralty as to the most convenient rendez- vous for the combined English, French, and Spanish squadrons about to be sent to Mexico, I am commanded by their lordships to acquaint you as follows : The Spaniards having a good harbor at Havana, on the direct road to Vera Cruz, will probably assemble at that port. The French ships going from Europe will most likely touch at Guadalupe ; but as that island and Martinique are a long way from the entrance of the Gulf of Mexico, it seems probable that the French squadron would go on to Havana, or rather to Jamaica, as the more direct route, the latter island having the safe harbor of Port Royal, where water, coals, and provisions can be fiUed up. « No. 67. THE PEESENT CONDITION OF MEXICO. 373 The Englisli ships would also naturally assemble at Port Royal, and, assum- ing that the joint French and English squadrons meet there, the best rendezvous that could be given for the Spanish squadron to join them would be fifteen miles northwest of Cape St. Antonio, at the western end of Cuba. This cape is moderately high, and has a revolving light on it visible twenty miles, so that by night or by day it could be easily kept in sight. It is 175 miles, or one day's sail from Havana, and 540 miles, or three days' sail from Port Royal; and when the day of departure from Port Royal is fixed an aviso or despatch-vessel might be sent on the day before from Port Royal to Port Sagua, on the south coast of Cuba, (whence, no doubt, there is telegraphic communication to Havana,) to apprise the Spanish admiral. From Cape St. Antonio to Vera Cruz the distance is 650 miles, or rather more than three days' sail ; but there is no place on the coast of Mexico at which a convenient rendezvous could be given, and it seems desirable that the combined squadrons should approach the coast in company. When the "nortes" or "northers" blow, the anchorage of Anton Lizardo, about twelve miles southeast of Vera Cruz, will be found a safe shelter, with space for a large fleet. I am, &c. W. a. ROMAINE. No. 69. Earl Rtissell to Earl Cowley. Foreign Office, November 1, 1861. My Lord : I transmit to your excellency herewith, for communication to M. Thouvenel, a copy of a letter which I have received from the board of admiralty respecting the manner in which the junction of the allied squadrons on their way to the coast of Mexico should be effected.* The Count de Flahault has been informed of the substance of this letter. I am, &c. RUSSELL. No. 70. Earl Russell to Sir J. Crampton. Foreign Office, Noveinber 1, 1861. Sir : I transmit to you herewith, for communication to the Spanish govern- ment, a copy of a letter which I have received from the board of admiralty respecting the manner in which the junction of the allied squadrons on their way to the coast of Mexico should be efiected,* M. de Isturiz has been informed of the contents of this memorandum. I am, &c. RUSSELL. c](^o. 68. 374 THE PEESENT CONDITION OF MEXICO. No. 71. Earl Russell to the Lords Commissioners of the Admiralty. Foreign Office, November 1, 1861. My Lords : Her Majesty lias been pleased to direct that a man-of-war should be at once sent to Vera Cruz to bring Sir 0. Wyke and the members of his mission to Jamaica. Sir 0. Wyke and one of his attaches should be conveyed from Jamaica to Bermuda, or wherever Admiral Sir A. Milne may be, and received on board his flag-ship, leaving the rest of the mission at Jamaica. I am, &c. RUSSELL. No. 72. Bir J. Crampton to Earl Russell. [Extract.] Madrid, Novemher 1, 1861. Marshal O'Donnell, in reply to my question as to the number of Spanish ships and troops intended to be sent on the expedition, replied that, as nearly as he could at present judge, the squadron would consist of 12 or 14 vessels, of different sizes, carrying altogether about 300 guns. These would be accompa- nied by two large steam transports, and the number of troops would amoxmt to between 4,000 and 5,000 men. No. 73. Mr. Hammond to the Secretary to the Admiralty. Foreign Office, November 6, 1861. Sir : I am directed by Earl Russell to request that you will acquaint the lords commissioners of the admiralty that he communicated to the French am- bassador the substance of your letter of the 1st instant, respecting the place at which the junction of the allied squadrons, about to proceed to Mexico, should be effected ; and that the French ambassador has informed me to-day that the French naval expedition will take its departure from France on Monday next, and will touch at the French colonies in the West Indies, and probably at Ja- maica, on its way to .Havana, where it is expected to arrive between the 15th and 20th of December. Arrangements have already been made for its obtaining provisions and sup- plies at Havana, which, it is calculated, it will require four or five days to em- bark, so that the French expedition will probably be able to proceed on the 20th or 25th of December to the point off Cape St. Antonio, at which it was proposed in yom- letter that the squadrons should imite. I am, &c. E. HAMMOND. THE PEESENT CONDITION OF MEXICO. 375 No. 74. Earl Cowley to Earl Russell. Paris, November 5, 1861. My Lord : M. Dubois de Saligny is to be the French commissioner under ai-ticle third of the convention of the 31st ultimo. He will also be named first plenipotentiary with Admkal Jurien de la Graviere to frame, in concert with the plenipotentiaries of Great Britain and Spain, the demands to be made on the Mexican government. His instructions are not yet ready, but M, Thouvenel about to occupy himself on them. I have, &c. COWLEY. No. 75. Earl Cowley to Earl B/nssell. Paris, Novemhcr 5, 1861. My Lord : I have communicated to M. Thouvenel, as instructed by your lordship's despatch of the 1st instant,* the draft of a further instruction, enclosed therein, which it is your lordship's intention to address to Sir Charles Wyke with reference to article 2 of the convention, respecting the measures to be taken towards Mexico, and his excellency expressed his full concurrence in them. I have, &c. COWLEY. No. 76. Earl Cowley to Earl Russell. Paris, November 5, 1861. My Lord : M. Thouvenel had already received from M. de Flahault, before I could communicate them to his excellency, the observations of the board of admiralty respecting the manner in which the junction of the allied squadrons on their way to the coast of Mexico should be effected, to which your lordship's despatch of the 1st instantt relates. His excellency said that he had already spoken with the minister of marine, and had found that arrangements had been made for the French squadi'on to take its final departure for Mexico from the Havana, whence it could put to sea in company with the Spanish squadron. There was no objection to Cape St. Antonio as the rendezvous of the allied squadrons. The French squadron will leave Toulon on Monday next, but will call at Algiers to embark 500 Zouaves. The French admiral will then be enabled to land about 2,500 men. I have, &c. COWLEY. <^ No. 65. t No. 69. 376 THE PRESENT CONDITION OF MEXICO. No. 77. Earl Russell to Loi'd Lyons. Foreign Office, November 6, 1861. My Lord : I transmit to you herewitli a copy of a convention* between her Majesty tlie Queen of Spain and tte Emperor of tlie Frencli, for combined operations against Mexico, which was signed at London on the 31st of October. Tour lordship will perceive that by article IV of this convention the con- tracting parties engage to communicate a copy of it to the government of the United States, and to invite that government to accede to it ; and that, in anti- cipation of its consenting to do so, the representatives of the three powers at Washington shall be immediately furnished with full powers authorizing them, either jointly or separately, to conclude and sign with the plenipotentiary who may be named by the President of the United States an identical convention, with the omission merely of article IV. I have accordingly to instruct your lordship to make a proposal to that effect to the Secretary of State of the United States, in such form as may be agi-eed upon between yourself and the French and Spanish ministers, and you will receive the requisite full power to enable you, either jointly with them or sep- arately, to sign the convention with a plenipotentiary of the United States. You will take care not to conclude this matter, either in form or substance, without coming to a complete and clear understanding with the French and Spanish ministers. I am, &c. RUSSELL. No. 78. M.r. Haramond to the Secretary to the Admiralty. Foreign Office, Novemher 7, 1861. Sir : I am directed by Earl Eussell, with reference to my letter of yesterday, to request that you will acquaint the lords commissioners of the admiralty that his lordship would suggest that Rear Admiral Milne should be instructed to assemble the ships of his squadron at Port Royal, Jamaica, and should settle with the commanders of the French and Spanish squadrons, which will assemble at the Havana, on what date the British squadron shall appear off Cape St. Antonio to effect a junction with them. I am, &c. E. HAMMOND. No. 79. Earl Russell to the Lords Commissioners of the Admiralty. * Foreign Office, Novemher 8, 1861. My Lords : With reference to my letter of the 31st of October, signifying to your lordships the Queen's commands as to the instructions to be given to * Enclosure in No. 60. THE PEESENT CONDITION OF MEXICO. 377 Rear Admiral Milne for tlie guidance of his conduct in regard to aflPairs of Mexico, and more particularly to that passage in those instructions in which I refer to "the intention of the three powers severally to. name a commissioner to frame, in concert with the officers commanding the naval forces of the three powers, the articles, an assent to which will be demanded of the Mexican gov- ernment, or of the persons exercising authority in Mexico," I have the honor to state to your lordships that Admiral Milne should be informed that, in the event of any difference of opinion between himself and Sir Charles Wyke as to the terms in which those articles should be framed, the opinion of Sir Charles Wyke, so far as Great Britain is concerned, should prevail. I am, &c. RUSSELL. No. 80. Earl Russell to Sir C. WyJce. [Extract ] Foreign Office, November 15, 1861. The instructions of the Emperor of the French are similar in substance to those which I have transmitted to you. The French government have contemplated a case of which I had net taken notice. It is supposed that the Mexicans may withdraw from Vera Cruz, de- stroying their fortifications, and refuse to enter into any agreement or nego- tiation whatever. In such a case the French government maintain that the allied powers could not allow themselves to be baffled ; they could not pennit their subjects to be ill-treated and defrauded, nor three powerful governments to be defied with impunity. The French government in such a case, therefore, suppose that the allied forces would march on Mexico, and there require the reparation which had not been obtained on the coast. I have nothing to say against this reasoning or the measures in contemplation. But, as regards her Majesty's forces, you are aware that no land forces have been directed to join the British portion of the expedition. A body of seven hundred marines is the whole force set apart for this service which can be em- ployed on shore for any length of time. Neither the constitution of this force nor its amount would allow of its being employed in a march upon Mexico. You will, therefore, if such a case should arise, decline to direct the marines to take part in the operations against Mexico ; but it is essential that uniformity should be preserved in the demands to be made upon the de facto authorities of Mexico. I do not think it necessary to give you more detailed information. Her Ma- jesty's government have entire reliance upon your judgment and discretion. They would be unwilling to fetter that discretion by minute directions upon hypothetical cases. They would prefer, in regard to operations of much diffi- culty, where concert is necessary and the aspect of affairs may vary from day to day, to leave you to the guidance of your own judgment, enlightened as that judgment will be by local information and experience. Her Majesty's govern- ment arc confident that Sir A. Mihie and yourself will, in the performance of your present arduous duties, be guided by that zeal for the public service and by that judgment and discrimination of which you have both given satisfac- tory proofs. 378 THE PEESENT CONDITION OF MEXICO. No. 81. Earl Russell to Sir C. Wyhe. Foreign Office, Novemher 15, 1861. Sir : I enclose for your information and guidance a copy of a further letter wliich I have addressed to the lords commissioners of the admiralty,* modi- fying to a certain extent that part of my previous letter of the 31st of October ' which related to operations on the Pacific coast of Mexico. Her Majesty's government are of opinion that if the Mexican authorities should accede to the teiTQS which will be proposed to them, and should put the allied forces in possession of Vera Cruz, it may be unnecessary to undertake operations on the Pacific coast ; but, at all events, they think it best, before any such operations are commenced, that you, in conjunction with Admiral Milne, and with the ministers and commanders of France and Spain, should have the opportunity of determining whether such operations are desirable. If such is the case, you will apprise Rear Admiral Maitland of the result of your deliberations, and in requesting him to proceed to execute the contingent instructions with which he is furnished by the lords of the admiralty, you will further inform him of the steps which he should take for collecing the duties of customs at the ports which he may occupy, and of the manner in which he should dispose of the money which he may thereby raise. It is possible that the Mexican government, not opposing the occupation of Vera Cruz by the allies, may decline to enter into any convention, and may divert their exports to the ports on the Pacific. This is a contingency for which the instructions to Admiral Maitland are intended to provide. I am, &c. RUSSELL. Xo. 82. Earl Russell to the Lords Commissioners of tJie Admiralty. Foreign Office, Novemher 15, 1861. My Lords : With reference to that part of my letter to your lordships, of the 31st of October, in which I conveyed to you her Majesty's pleasure in regard to the operations to be undertaken by Rear Admiral Maitland on the coast of Mexico, in execution of the convention between England, France, and Spain, I have the honor to acquaint your lordships that her Majesty has been pleased to direct that tlie previous instruction should be so far modified as to subject Rear Admiral Maitland's action to the information that he may receive from Sir Charles Wyke. It will, therefore, be, in the first instance, sufiicient that your lordships should direct Admiral Maitland to occupy Acapulco, or other ports on the Pacific coast of Mexico, with the exception of Mazatlan, on receiving information from Sir Charles Wyke that such an operation is desirable for the purposes of the con- vention; and I will instruct Sir Charles Wyke, in the event of his making such a communication to Admiral Maitland, to acquaint him with the further steps which it may be advisable to take on obtaining possession of the ports in ques- tion. I am, &c. RUSSELL. No. 82. THE PKESENT CONDITION OF MEXICO. 379 No. 83. Eat I Cowley to Earl Russell. » Paris, November 14, 1861- My Lord : Tlie French ambassador at Madrid has informed M. Tliouvenel that intelligence had been received by the Spanish government that the Spanish expedition against Mexico was to have put to sea on the 24th ultimo. Marshal Serrano, the governor of Cuba, had taken this determination in ignorance of the negotiations pursuing between the British, French, and Spanish governments to undertake this expedition in common; but, according to calcu- lations made by the latter, it seemed probable that the despatches to Marshal Serrano, informing him of this circumstance, would have reached his excellency before the 24th ultimo, and would have prevented the departui-e of the Spanish sc[uadron. I have, &c. COWLEY. No. 84. Earl Russell to Earl Cowley. Foreign Office, Novemher 16, 1861. My Lord : I enclose, for yoiu- excellency's infonnation, and for communica- tion to the French government, copies of communications, as marked in the mar- gin,* which I have addressed to the admiralty and to Sir Charles Wyke, on the subject of the projected operations against Mexico. I am, &c. RUSSELL. No. 85. Mr. Hammond to the Secretary to the Admiralty. Foreign Office, November 18, 1861. Sir : I am directed by Earl Russell to transmit to you, for the information of the lords commissioners of the admiralty, a copy of a despatch from her Majesty's ambassador at Paris, respecting the time of departure of the Spanish squadron for the coast of Mexico.t I am, &c. E. HAMMOND. « Nos. 80, 81, and 82. f No. 84. 380 THE PEESENT CONDITION OF MEXICO. No. 86. Earl Cowley to Earl Russell. Paris, Novemher 19, 1861. My Lord : I fear that some longer time may elapse than is expected by her Majesty's government before the French squadron destined for Mexico can reach ' the Havana, as Admiral Jurien de la Graviere has insisted on all the vessels composing it rendezvousing in the first instance at Teneriffe. I have, &c. COWLEY. No. 87. Sir J. Crampton to Earl Russell. [Extract.] » Madrid, November 19, 1861. I have the honor to transmit, in translation, an extract from the official "Gazette" of this day's date, containing two royal decrees, the one appointing General Prim to be commandant-in-chief of the expeditionary corps to Mexico; the other appointing him to be plenipotentiary for the settlement of the questions pending with the republic of Mexico. Enclosure 1 in No. 87. Extract from the Madrid " Gazette'^ of Novemher 19, 1861. [Translation.] WAR DEPARTMENT. Royal Decree. In consideration of the qualifications of Lieutenant General Don Juan Prim, Marquis of Castillejos, I name him commandant-in-chief of the expeditionary corps to Mexico. Given in the palace, Novemher 3, 1861. (Signed by the royal hand.) Leopoldo O'Donnell, Minister of War. THE PEESENT CONDITION OF MEXICO. 381 Enclosure 2 in No. 87. Extract from the Madrid '• Gazette" of November 19, 1861. [Translation.] DEPAETMENT OF STATE. Royal Decree. In consideration of tlie peculiar qualifications of Don Juan Prim, Count of Rens, Marquis of Oastillejos, I appoint bim my plenipotentiary for the settle- ment of the questions pending with the republic of Mexico. Given in the palace, November 17, 1861. Satdbnino Calderon Oollantes, Minister of State. (Signed by the royal hand.) No. 88. Sir C. Wyke to Earl Russell. Mexico, Octoher 28, 1861'. My Lord : During the past month nothing worthy of note has taken place to change either for better or worse the chronic state of misery and disorder into which this unfortunate country has fallen, from the incapacity of its rulers, and the bitter spirit of party hatred which animates its contending factions. Marquez and the other chiefs of the reactionary party, after having for a while withdrawn from the immediate vicinity of Mexico, have retraced their steps, and are now within twenty leagues of the capital with a force variously estimated at between 3,000 and 4,000 men. A few days ago Marquez paid a second visit to the mining establishment of Real del Monte, in which English capital to a large amount is invested, and levied another forced contribution there to the amount of $50,000. Before he had time to do more mischief he was attacked by the government forces under General Tapia, who forced him to retreat, with the loss of six guns and the greater part of his badly armed infantry. He appears to have retired, however, in pretty good order, and having got between the government troops and the capital, actually intercepted and captured Tapia's despatches, giving an account of the late victory. The action of congress is entirely nullified by the opposition, which, without any real policy of their own, counteract every measure supported by govern- ment from a feeling of personal hostility to the president, whom they wish to displace, without apparently having chosen anybody to succeed him, should their efforts eventually be crowned with success. Every day's experience only tends to prove the utter absurdity of attempting to govern the country with the limited powers granted to the executive by the present ultra-liberal constitution, and I see no hope of improvement unless it comes from a foreign intervoition, or the formation of a rational government composed of the leading men of the moderate party, who, however, at present are void of moral courage and afraid to move, unless with some material support from abroad. I have, &c. C. LENNOX WYKE. 382 THE PKESENT CONDITION OF MEXICO. No. 89. Sir C. Wyke to Earl Russell. [Extract.] Mexico, October 28, 1861. I was mucli gratified in learning, by the receipt of your lordship's despatches of the 21st and 31st of August last, that the line of conduct I adopted in negotiating with this government to obtain the repayment of the 1660,000 stolen from the legation, and the $400,000 from the Laguna Seca conducta, as reported io my correspondence of the months of June and July last, had been entirely approved of by her Majesty's government. The instructions contained in your lordship's despatch of the 21st of August enabled me to act in the only way that can be successful with a government which, from the patient forbearance hitherto shown by her Majesty's govern- ment, had come to the conclusion that they could commit any and every outrage with impunity. I was unwilling to use the power with which your lordship had invested me by sending in an ultimatum, without first of all trying to reason them into the necessity of complying with the demands which, just in themselves, would soon be urged in such a manner as to compel the government of the republic to listen to them with attention. With this object in view, I wrote a note to Senor de Zamacona, the minister for foreign affairs, informing him that I had received by the English, mail, which had just ari'ived, instructions from her Majesty's government, the tenor of which I was anxious to acquaint him with. He immediately replied that he woxxld call on me at 4 o'clock the same day, at which hour he duly arrived at the legation. On my informing him of the nature of your lordship's instructions, and even reading them to him, in order that no doubt should exist on the subject, he was as much astonished as alarmed, and expressed an earnest wish that I should not communicate with him in writing on a subject so serious until he had acquainted the president and his colleagues, the other ministers, with the actual state of the case, after which he would call on me again and acquaint me with the views of his government. Eight days elapsed without my seeing him, and he then returned to negotiate with me for the settlement of a question the gravity of which he had at length become fully aware of. From that day to this, that is to say, during three weeks, he has been with me for two hours at least out of every twenty-four, urging the impossibility of complying with your lordship's demands, and trying to obtain better terms than those I insisted on. I told him that I was willing in every way to spare their amour ■projpre and extreme susceptibility as far as was consistent with my duty, but that the essen- tial substance of what was required must be conceded, or else I should withdraw tlie mission from the republic, which would thus have to bear the responsibility of a refusal. The two principal objections to be overcome consisted in the repayment of the $660,000 robbed from the legation, and the appointment of interventors at the different ports ; the first, because it involved the necessity of their practi- cally recognizing a principle they had hitherto always repudiated, viz., their responsibility for the acts of the other government ; and the second, because the presence of such agents was looked on as a national humiliation, which it would be disgraceful in them, as a government, to consent to. Added these was the all but impossibility of their procuring resources which THE PRESENT CONDITION OF MEXICO. 383 would enable tliem to comply witli our demands. At this jiTnctnre Mr. Oorwin, tlie United States minister, informed ttem that he had instructions to negotiate a convention with them, by which, on their giving certain guarantees, such as pledging the remains of their church property, waste lands, &c., the American government would engage to pay 3 per cent, interest annually on their English debt, for the space of five years, provided at the end of that time Mexico would repay the money so advanced with 6 per cent, interest thereon. Senor de Zamacona at once wished to hand me over to my American colleague, who, he felt sure, would guarantee the payment of the interest on the English debt, and thereby settle the very disagreeable questions existing between his government and this legation. He seemed so pleased with this new solution of his pressing difiiculties that it was qxxite painful to wake him out of his happy day-dream by the declaration that such a combination could not be entertained, and that his government alone must be held responsible for what it owed us. After he had recovered from the perception of this unpleasant truth, he reflected that the money would still be forthcoming, and that he had only first of all to receive it from the United States in order to pay it back again to Great Britain. This point once settled, we set to work again, when he immediately stumbled over the insurmountable difficulty of the appointment of interventors for the reasons already stated, and, as if that was not sufficient, declared the impossibility of finding funds from which to pay the legation and Laguna Seca robberies. To this I replied, that if they refused our conditions, we should appoint the interventors, and by seizing their ports with a naval force, pay ourselves and their other creditors out of the duties levied at such ports. This brought him back again to the point from which we had diverged, and he then said, with some degree of truth, that, independent of the difficulty of getting the president to look at the question in its proper point of view, it was useless to woimd the susceptibilities of the nation, as any agreement he made with me which had that result was certain to be repudiated by the congress, and would utterly de- feat the object we had in view. I then persuaded him that what I required could easily be reconciled with the national honor, and even prove highly ad- vantageous to the pecuniary interests of the republic, by giving it another foi-m and putting aside the name of " interventor " altogether. This point at length settled, as I will hereafter explain, the next question was where the money was 9 to come from wherewith to pay the sums before referred to, as 59 per cent, of their import duties being mortgaged to us alone, it was clear it could not be taken from the remaining 41 per cent, out of which they have to pay the French convention and other assignments to foreign creditors. Some time ago they made over 20 per cent, of some extra duties, called " mejoras materiales," to Don Manuel Escaudon for the purpose of aiding him to construct a railroad between this city and Vera Cruz. Now as this railroad plan is little better than a chimera, and they have no right to squander their money in this way whilst leaving their debts unpaid, I suggested the propriety of stopping Don Manuel's allowance, and employing one-half of it towards the liquidation of their debt to us, and keeping the other for their own more pressing necessities. I will not any longer take up your lordship's time by detailing the means by which, in long and weary interviews, I day by day gained my ground, until at length I think I may say I have carri(>d my point, and brought Senor Zamacona to agree to a settlement of the difficulty on terms which, although slightly modifi(>d in fonn from what your lordship instructed me to demand, Avill still in substance, I trust, prove satisfactory to lier Majesty's government. Our interviews oidy tenninatcd this afternoon ; and as soon after the departure of the Engli.sh mail as possible, I shall draAv^ up the articles of a convention embodying the following agreement : 384 THE PRESENT CONDITION OF MEXICO. 1. Repayment of the legation and Laguna Seca robberies, witb 6 per cent, interest on the first and 12 per cent, interest on the second, by the additional 10 per cent, on extra import duties above referred to as "mejoras materiales." 2. The payment of arrears of interest due to the London and convention bondholders to be made good by consigning SO'per cent, of the import duties at all the ports for the former, and 29 per cent, for the latter, until said an-ears are paid off, when the percentage on such duties will again revert respectively to 25 and 12 per cent, as heretofore. 3. Such sums owing to both classes of bondholders as were in the hands of the custom-house authorities at the time of the suspension of payments caused by the law of the 17th of July last, shall be paid out of the aforesaid 10 per cent. extra duties styled "mejoras materiales," which, as already stated, are set aside for paying the claims arising out of the legation and,Laguna Seca robberies ; and these payments shall be made of said extra duties when the losses caused by those robberies have been reimbursed. 4. The consuls at the different ports shall be authorized to claim the inspection of any books, accounts, documents, or manifests in the respective custom-houses, as they consider necessary to verify the receipts and accounts of the same; and, finally, any commercial house paying duties to the government on goods imported without first of all receiving the receipts from the bondholders' agents for their percentage on such duties shall, as well as the custom-house authorities, render themselves liable to be sued by law for the recovery of double the amount of such djcfties. 5. Before signing the convention containing the above stipulations, the govern- ment will address me an of&cial note engaging to use their best efforts to carry a measure through congress for the alteration of the tariff, whereby the duties on English manufactured goods shall be reduced to nearly one-half of what is now levied on them. Such, my lord, is the outline of the convention which I hope to sign with this government in the course of the ensuing month ; and if I succeed in doing so, I think the bondholders will have every reason to be satisfied with the bargain made for them. As it would have been impossible for this government to fulfil such eng^age- ments without the pecuniary aid afforded to them by the American government, and as that aid will not be forthcoming until the month of January next, the stipulations of this convention will not come into force until that period, dating from the 1st day of the month. The extended power given to our consuls, together with the agent's right to prosecute all parties defrauding the bondholders of their proper percentage on the duties, are advantages only to be equalled by those arising from extending the collection of such percentage to all the ports in the republic, instead of its being confined to Tampico and Vera Cruz. The reduction in duties will also have an immense effect in largely increasing our commercial relations wdth this country, which have hitherto been cramped by the enormous duties levied on our manufactured goods. With these people one must never count on anything until it is actually done ; therefore I must not boast of my success until the convention is actually signed, which I hope it will be within the next fortnight. As it was under the pressure of fear that this government has yielded, it be- comes absolutely necessary for our future prestige and influence here that a respectable naval force shall soon make its appearance in the waters of Vera Cruz, and in the event of the Mexican government ever failing to comply with the engagements which they have entered into, I should be authorized to employ such naval force as I could then procure from Jamaica or elsewhere, in order to force them to perform their duty, without waiting untU I could obtain instruc- tions from home to that effect. THE PRESENT CONDITION OF MEXICO. 385 With sucli power placed in mj hands I should be able to prevent much mis- chief, as well as future annovance to her Majesty's government. I cannot speak in teyms of sufficient praise of my American colleague, Mr. Corwin, who throughout this transaction has acted with me most cordially, hav- ing refused to negotiate his convention with this government until he learnt from me that I had settled all pending difficulties with them, as he was determined that the money to be advanced by his government should be applied for the purpose it was intended, and not uselessly squandered, as it otherwise would have been, to no purpose. As the interest due on the French convention is a mere trifle in comparison to ours, I have strongly urged this government to satisfy the just reclamations of the French legation with respect to its suspension, and they have assured me that they will use their best efforts to come to some satisfactory arrangement of this question with M. de Saligny. No. 90. Earl Russell to Sir J. Crampton. Foreign Office, November 28, 1861. Sir : I received last night, from Sh Charles Wyke, a despatch dated the 28th of October, the substance of which I propose now to communicate to you. I should explain, in the first instance, that in the proceedings reported in this despatch Sh Charles Wyke was engaged in carrying out the instructions con- tained in my despatch to him of the 21st of August, of which a copy is herewith enclosed for your information,* and from which you will learn the nature of the demands which he was at that time instructed to make on the government of Mexico in the name of her Majesty's government. On the receipt of this instruction Sir C. Wyke placed himself in conmmunica- tion with the Mexican authorities, with the "view, if possible, to avoid the necessity of presenting an ultimatmn. The two principal difficulties which Sir 0. Wyke had to meet in the course of the discussions which followed were, fii'st, the objection to the repayment of the sum robbed from her Majesty's legation; and, secbndly, the proposed appointment of interventors at the ports. The objection to the first of these demands was grounded on the principle that the actual aiTthorities do not hold themselves responsible for the acts of their predecessors ; and as regards the interventorg, it was urged that such an arrange- ment would be regarded as a national humiliation which it would be disgraceful for the Mexican government to consent to. The impossibility of raising funds to meet the. pecuniary demands of her Ma- jesty's government was also urged upon Sir C. Wyke. But a proposal made by the muiister of the United States placed the matter in a new aspect. That minister mformed the Mexican authorities that he had instructions to negotiate a convention with them by Avhich, on their giving certain guarantees, such as pledging the remains of the church property, Araste lands, ifcc, the Amer- ican government would engage to pay 3 per cent, per annum on the Mexican debt to England for the sj)ace of five years, provided that at the expiration of that period Mexico would repay the money so advanced, with G per cent, interest thereupon. The difficulties raised as to the repayment of the legation and Laguna Seca robberies, and as to the appointment of iaterventors, came next und^er discussion ; « No. 16. H. Ex. Doc. 100 25 386 . THE PEESENT CONDITION OF MEXICO. but Sir 0. Wyke states tliat lie eventually carried his point, and tliat he thinks he may say that he has brought Senor Zamacona, with whom the discussion was carried on, to agree to a settlement on terms which, though slightly modified from those proposed, might still prove satisfactory to her Majesty's government. The terms thus arrived at are contained in the articles herewith enclosed for your information,* and which Sir 0. Wyke proposed immediately to embody m the form of a convention, which he states that he hoped he should succeed in in- ducing the Mexican government to sign in the conrse of last month. As it was understood that it would be impossible for the Mexican government to fulfil such engagements withotit the pecuniary aid afforded to them by the American government, and as that aid was not to be forthcoming until the month of January next, it was arranged that the stipulations of the proposed conven- tion should not come into force until the 1st of January, 1862. Such is the state of the case as reported by Sir 0. Wyke; but with reference to the fact that the convention was not yet signed, and that the terms agreed upon had only been conceded under the pressure of fear. Sir 0. Wyke has urged the presence of a naval force at Vera Cruz, and that he should be authorized, in case of necessity, to have recourse to force to compel a compliance with the British demands as then made. Sir C. Wyke has further urged the Mexican government to satisfy the claims of the French legation as regards the suspension of interest due on the French convention, and the Mexican government have assured him that they would use their best efiPorts to come to some satisfactory arrangement with M. de Saligny. Having stated the history of these negotiations, and the result which has been reached, I have now to communicate to you the view which her Majesty's gov- ernment take of this transaction. The terms obtained by Sir Charles Wyke fulfil, generally speaking, the sep- arate requirements of Great Britain; but no security is obtained that those terms will be observed any better than former stipulations and engagements. That security, if to be found at all, is to be found in the convention which her Majesty has concluded with France and Spain. The advantage of having obtained the consent of the Mexican government to these conditions consists, first, in the precision with which Sir Charles Wyke has drawn up the British demands ; and, secondly, in the assent of the Mexican authorities to the terms thus laid before them. The task of the British commissioner is thus rendered easy, and the work of our respective missions will be facilitated. It would greatly add to the facility and abridge the time of negotiation if the government of the Queen of Spain should be able to communicate to her Majesty's government the terms which they would think it necessary to require for the reparation of the wrongs they have sustained at the hands of Mexico, and the safety of their subjects for the future. I am, &c., RUSSELL. No. 91. Earl Russell to Earl Cowley. Foreign Office, Decemher 2, 1861. My Lord: I received on the 27th instant, from Sir C. Wyke, a despatch dated the 28th of October, the substance of which I propose now to communicate to you. « See page 117. THE PEESENT CONDITION OF MEXICO. 387 I slioiild explain, in tlie first instance, that in the proceedings reported in this despatch Sir C. Wyke was engaged in carrying ont the instructions contained in my despatch to him of the 21st of August, of which a copy is herewith enclosed for your information,* and from which you will learn the nature of the demands which he was at that time instructed to make on the government of Mexico in the name of her Majesty's government. On the receipt of this instruction Sir 0. Wyke placed himself in communica- tion with the Mexican authorities, with the view, if possible, to avoid the necessity of jiresenting an ultimatum. The two principal difficulties which Sir C. Wyke had to meet in the discus- sions which followed were, first, the objection to the repayment of the siim robbed from her Majesty's legation; and, secondly, the proposed appointment of interventors at the ports. The objection to the first of these demands was granted on the principle that the actual authorities do not hold themselves responsible for the acts of their predecessors ; and, as regards the interventors, it was urged that such an arrange- ment would be regarded as a national humiliation, which it would be disgraceful for the Mexican government to consent to. The impossibility of raising funds to meet the pecuniary demands of her Majesty's government was also urged upon Sir 0. Wyke, but a proposal made by the minister of the United States placed the matter in a new light. That minister informed the Mexican authorities that he had instructions to negotiate a convention with them, by which, on their giving certam guarantees, such as pledging the remains of the church property, waste lands, &c., the American government would engage to pay 3 per cent, per annum on the Mexican debt to England for the space of five years, provided that at the expiration of that period Mexico would repay the money so advanced, with 6 per cent, interest thereupon. The difficulties raised as to the repayment of the legation and Laguna Seca robberies, and as to the appointment of interventors, came next under discussion; but Sir C. Wyke states that he eventually carried his point, and that he thinks he may say that he has brought Senor Zamacona, with whom the discussion was carried on, to agree to a settlement on terms which, though slightly modified, from those proposed, might still prove satisfactory to her Majesty's government. The terms thus arrived at are contained in the articles herewith enclosed for yom* information,! and Avliich Sir 0. Wyke proposes immediately to embody in the form of a convention, which he states that he hoped he should succeed in inducing the Mexican government to sign in the course of last month. As it was understood that it would be impossible for the Mexican government to fulfil such engagements without the pecuniary aid afforded to them by the American government, and as that aid was not to be forthcoming until the month of January next, it was ari'anged that the stipulations of the proposed convention should not come into force until the 1st of January, 1862. Such is the state of the case, as reported by Sir 0. Wyke; but with reference to the fact that the convention was not yet sig-ned, and that the tenns agreed upon had only been conceded under the pressure of fear. Sir 0. Wyke has urged the presence of a naval force at Vera Cruz, and that he should be authorized, in case of necessity, to have recourse to force to compel a compliance with the British demands as there made. Sh- C. Wyke has further urged the Mexican govcnmfient to satisfy the claims of the French legation as regards the suspension of interest due on the French convention, and the Mexican government have assured hina that they would use their best efforts to come to some satisfactory arrangement with M. de Saligny.. Having stated the result of these negotiations, and tlie result which has been ©No 15. t See page 117. 388 THE PRESENT CONDITION OF MEXICO. readied, I Lave now to commimicate to you the view wliicli lier Majesty's gov- ernment take of this transaction. The terms obtained by Sir 0. Wyke fulfil, generally speaking, the separate requirements of Great Britain. But no security is obtained that those terms will be observed any better than any former stipulations and engagements. That security, if to be found at all, is to be found in the convention which her Majesty has concluded with France and Spain. The advantage of having obtained the consent of the Mexican government to these conditions consists, first, in the precision which Sir 0. Wyke has drawn up the British demands ; and, secondly, in the assent of the Mexican authorities to the terms thus laid before them. The task of the British commissioners is thus rendered easy, and the work of our respective missions will be facilitated. It would greatly add to the facility and abridge the time of negotiation if the government of the Emperor of the French should be able to communicate to her Majesty's government the terms which they would think it necessary to require for the reparation of the wrongs they have sustained at the hands of Mexico, and. the safety of their subjects for the future. I am, &c., EUSSELL. No. 92. Earl Russell to Earl Cowley. Foreign Office, Decemler 4, 1861. My Lord : In the present state of our relations with the United States, her Majesty's government propose to send one line-of-battle ship and two frigates only to form part of the expedition to Mexico. The number of supernumerary marines wUl be 700. I am, &c., EUSSELL. No. 93. Earl Russell to Sir J. Crampton. Foreign Office, Decemher 4, 1861. Sir : Inthe present state of our relations with the United States, her Majesty's government propose to send one line-of-battle ship and two frigates only to form part of the expedition to Mexico. The number of supernumerary marines wiU still be 700. I am, &c., EUSSELL. THE PEESENr CONDITION OF MEXICO. 389 No. 94. Earl Cowley to Earl Russell. Paris, Decemher 3, 1861. . My Lord : I liave communicated to M. Tliouvenel your lordsliip's despatch, No. 1324, of yesterday's date, in whicli your lordship informs me of the nego- tiations which have taken place between Sir Charles Wyke and the Mexican minister for foreign affau-s for the settlement of British claims on the Mexican government. M. Thouvenel did not make any other remark than that he regretted that he could not communicate to her Majesty's government the terms which the impe- rial government would require for the reparation of the wrongs they have sus- tained, and for the safety of French subjects in future. He had not himself the necessary information to enable him to form an opinion, and he had been unable, therefore, to furnish any instructions on this head to Admiral Jurien de la Gra- viere, which he had much desired to do. All that he could say was, that the greater part of the French claims were provided for by the convention which the Mexican government had set aside ; and, with regard to the others, he must leave it to the discretion of the commissioners to examine into and settle their amount. I have, &c., COWLEY. No. 95. Lord Lyons to Earl Russell. Washington, Novemher 29, 1861. My Lord : M. Mercier and I received last week our instructions and full powers with regard to inviting the accession of the United States to the conven- tion for combined operations against Mexico, which was signed in London on the 31st of last month. But the full powers and instructions for M. Tassara, the Spanish minister, have not yet reached him. M. Mercier and I have there- fore been obliged to defer addressing to the government of the United States the fonnal invitation to accede to the convention. M. Mercier, however, on the 23d ultimo told JMr. Seward that instructions had been received by me and by himself, and that we should be glad to make the invitation, either collectively or separately, as he pleased ; in fact, to make it hi whatever form he thought most convenient. Mr. Seward said that he presumed the invitation would be in -wi-iting, but that he was indifferent about the point of form. He did not give any hint of the nature of the answer which he should make on behalf of the United States government. 5L Tassara expects to receive his instructions to-morrow or the next day. I have, &c., LYONS. 390 THE PKESENT CONDITION OF MEXICO. No. 96. Lord Lyons to Earl Russell. Washington, Decemher 3, 1861. My Lord : Witli reference to my despatch of tlie 29tli ultimo, I Lave the honor to inform your lordship that on the following day M. Tassara, the Spanish minister, received the instructions and full powers necessary to enable him to join M. Mercier and me in inviting the government of the United States to ac- cede to the convention for combined operations against Mexico, which was signed in London on the 31st of October last. We lost no time in addressing a collec- tive note to Mr. Seward, inviting, in the name of the governments of Great Britain, France, and Spain, the accession of the United States to the convention, I have the honor to enclose a copy of the note. No answer has yet been made to it. I have, &c., LYONS. Enclosure in No. 96. M.^1. Tassara and Mercier and Lord Lyons to Mr. Sieward. Washington, ce 30 Novemhre, 1861. Les Boussignes, envoyes extraordinaires et ministres plenipotentiaires de leurs Majestt^s la Reine d'Espagne, I'Empereur des Fran^ais, et la Reme du Royaume Uni de la Grande Bretagne et d'Irlande, ont I'honneur de transmettre ci-joint a I'honorable Secretaii-e d'Etat le texte d'une convention conclue a Londres le 31 Octobre^^entre leurs souverains respectifs, dans le but d'obtenir par une action commune le redressement de leurs griefs centre la republiq[ue du Mexique. Ainsi qu'il a ete stipule entre les hautes parties contractantes, les soussignes ont re9u I'ordre d'inviter le gouvernement des Etats-Unis a acceder a cet acte ; et en adressant cette invitation a I'honorable Secretaire d'Etat, ils s'empressent de I'informer qu'ils sont munis de pleins pouvoirs necessaires a I'efifet de con- clure et de signer collectivement ou separement avec le plenipotentiau'e designd par le President des Etats-Unis une convention identique. Rien ne serait plus agreable aux gouvernements d'Espagne, de France, et de la Grande Bretagne que de voir celui des Etats-Unis accueillir favorablement leur proposition, et en priant I'honorable Secretaire d'Etat de vouloir bien leur faire connaitre la decision du President, les soussignes, &c. GABRIEL J. TASSARA. HENRI MERCIER. LYONS. No. 97. Sir J. Crampton to Earl Russell. Madrid, Decemher 10, 1861. My Lord : On the receipt of your lordship's despatch of the 4th instant, I immediately informed Marshal O'Donnell that, in the present state of our rela- THE PEESENT CONDITION OF MEXICO. 391 tions with tlie United States, her Majesty's government proposed to send one line-of-battle ship and two frigates only, to form part of the expedition to Mexico. I have, &c., JOHN F. CRAMPTON. No. 98. Sir J. Crampton to Earl Russell. Madrid, Becemher 15, 1861. My Lord : I have communicated to M. Oalderon Oollantes the suhstance of yonr lordship's despatch of the 28th ultimo, giving the history of the negotia- tions between Sir 0. Wyke and the Mexican government, and the result which had been reached ; and acquainting me, at the same time, with the view which her Majesty's government take of this transaction. I told M. Oalderon Oollantes that the terms obtained by Sir Oharles Wyke fulfil, generally speaking, the separate requirements of Great Britain ; but I added that the agreement which had been thus come to with the Mexican gov- ernment in no way altered the position of her Majesty's government as regards the convention which Great Britain had concluded with France and Spain. That convention, I observed, affords in fact the only security that the terms agreed upon by the Mexican government on this occasion shall be better observed than former stipulations and engagements. The advantage, therefore, of having obtained the consent of the Mexican gov- ernment to these conditions consists in the precision with which the British de- mands have been stated, and the assent of the Mexican authorities to the terms laid before them. The task of the British commissioners was, I remarked, thus rendered easy, and the work of our respective missions would be facilitated ; but it was the opinion of her Majesty's government that it would greatly add to that facility if the government of the Queen of Spain should be able to communicate to them the terms which her Oatholic Majesty's government would think it neces- sary to requii'e for the reparation of the wrongs they had sustained at the hands of Mexico, and the safety of their subjects in future. M. Oalderon replied that he entirely entered into the views of her Majesty's government in this respect, and that, as far as Spain was concerned, nothing could be easier than to state with precision the terms which she on her part would require of the Mexican government. These terms are, in fact, embodied in the convention concluded with Miramon, and confirmed by the treaty Mon- Almontc, which had been repudiated by the succeeding government of Mexico upon the same monstrous princijile which the Mexican government had attempted to oppose to the demands of Sir 0. Wyke, viz : that the actual authorities do not consider themselves responsible to foreign nations for the acts of their prede- cessors. Upon the fulfilment of these engagements the Spanish government would insist, and all that they would demand in addition to them would be the infliction of due punishment upon the perpetrators of the assassinations which had since been committed upon Spanish subjects. This, he considered, however, to be a capital point ; for if the Mexican gov- ernment was unable or unwilling to administer justice in such flagrant cases, what hope could we entertain of their fulfilling other engagements ? If the lives of British subjects had in any instance been sacrified, he presumed that as a matter of course the punishment of the assassins would be made by her Majes- 392 THE PRESENT CONDITION OF MEXICO. ty's government a primaiy condition to any arrangement witli tlie Mexican gov- ernment. In conclusion, M. Calderon expressed the opinion that the readiest way of coming to the understanding proposed by her Majesty's government, with a view to facilitating the negotiations, would be that the commissioners of Spain and England should be instructed by their respective governments to communicate to each other the terms which each would think it necessary to insist upon in satis- faction for past wrongs, and as security for the future observance of international duties by Mexico. I have, &c., JOHN F. ORAMPTON. No. 99. M. Isturiz to Earl Russell. LoNDRES, 22 de Diciemhre de I98I. My Lord: Ouando se celebro el convenio de 31 de Octubre para arreglar la aceion mancomunada de Inglaterra, Espana, y Francia en la republica de Mejico, tuve el honor de advertir a vuestra excelencia, de parte de mi gobierno, que si no llegaban a tiempo las ordenes que iban a enviarse al capitan general de Cuba, era posible que la expedicion Espanola saliese del puerto de la Habana sin agu- ardar la llegada de las otras escuadras. Debo ahora manifestar a vuestra excelencia, de orden del gobierno de la Reina mi augusta soberana, que las ultimas noticias de Cuba recibidas en Madrid, cor- respondientes al 26 de Noviembre, hacen todavia mas posible la eventualidad de que se trata. Parece efectivamente que dispuesta hacia ya tiempo en la Habana y lista para darse a la mar la expedicion Espanola, ignorandose alii si se habia firmado el convenio entre Inglaterra, Espana y Francia, siendo por consiguiente desconocido cual seria el punto designado para la reunion de las tres escuadras ; y ocasionaudo gastos enormes el mantener la prolongacion indefinida de una ex- pedicion militar tan considerable, el capitan general de Ciiba, movido por estas poderosas consideraciones, hacia animo a aquella fecha de disponer la inmediata salida de las fuerzas Espanolas con direccion a Vera Cruz. Al dar aviso a vuestra excelencia de estos hechos, apenas necesito aiiadir que si realmente ban llegado a verificarse, el Comandante de la expedicion Espanola habra Uevado ordenes de ponerse en todo de acuerdo con las fuerzas de las dos potencias amigas y aliadas que pudieran hallarse en las aguas de Mejico ; y de todos modos, dado el caso de que el gefe Espanol haya roto las hostilidades y ocupado a Vera Cruz y el Castillo de San Juan de Ulloa, esta ocupacion se entendera hecha en nombre de las tres potencias coaligadas hasta que lleguen las escuadi'as de Ingiaten-a y Francia y se resuelva lo mas conveniente de comrm. acuerdo. Con este motive, &c. XAVIER E. ISTURIZ. [Translation.] Spanish Legation, London, December 22, 1861. My Lord: When the convention of the 31st October was concluded for de- detenniniug the joint action of England, Spain, and France, in the republic of Mexico, I had the honor to acquaint your excellency that if the orders which THE PEESENT CONDITION OF MEXICO. 393 were to be transmitted to the captain general of Cuba sliovild not reach liir& in time, it was possible that the Spanish expedition might leave the port of Havana without waitmg for the arrival of the other squadrons. I have now to infoiTa jour excellency, by order of the government of the Queen my august sovereign, that the last intelligence from Cuba received in Madrid, reaching to the 26th November, shows this event to be still more likely. It appears, in fact, that the Spanish expedition had been for some time prepared at the Havana, and was ready to put to sea, as it was unknown there whether or not the convention between England, Spain, and France had been signed, and it was therefore unknown what place would be fixed upon for the meeting of the three squadrons ; and as the indefinite procrastination of so considerable a military expedition would occasion enormous expense, the captain general of Cuba, moved by these weighty considerations, was hastening, at that date, the immediate departure of the Spanish forces to Vera Cruz. In making known these facts to your excellency, I need scarcely add that if this should have really taken place, the commandant of the Spanish expedition will have had orders to put himself, in everything, in accordance with the forces of the two friendly and allied powers which may be in the waters of Mexico ; and, at all events, supposing that the Spanish commander has commenced hos- tilities and taken possession of Vera Cruz and the Castle of San Juan de Ulloa, this possession will be understood as taken in the name of the allied powers, until the squadrons of England and France shall arrive, and the most advisable action shall be determined by common accord. I have, &c., XAVIEE E. ISTUEIZ. No. 100. Earl Rtcssell to Sir J. Crampton. Foreign Office, Decemher 24, 1861. Sir : I enclose, for your information, a copy of a note which I have received from M. Isturiz,* as to the course which would be pursued if the Spanish fleet should have left the Havana for Mexico before the anival of the allied squadrons. I am, &c., EUSSELL. No. 101. Earl Russell to Sir J. Crampton. Foreign Office, Decemher 24, 1861. Sir : With reference to the concluding paragraph in your despatch of the 15tli instant, I have to state to you that Sir C. Wyke will be instructed to act in tlie manner proposed by Seiior CoUantes, and to communicate to the commis- sioners of Spain the terais which, so far as British interests are concerned, her Majesty's government would think it necessary to insist upon as satisfaction for past wrongs, and as secm-ity for the future observance of international duties by Mexico. I am, &c., EUSSELL. « No. 99. 394 THE PEESENT CONDITION OF MEXICO. No. 102. Lord Lyons to Earl Russell. Washington, Decemher 6, 1861. My Lord : I have the honor to enclose a copy of a note addressed to M. Tassara, M. Mercier, and to me, by which the government of the United States announces its refusal to accede to the convention for combined operations against Mexico, which was signed in London on the 31st of October last. The note was sent last night to M. Tassara, without any intimation that simi- lar notes had not been sent to M. Mercier and me. It consequently did not oc- cur to M. Tassara to communicate it to us ; and it was only accidentally that I learnt of its existence just in time to procure a copy for my messenger of to-day. I have, &c., LYONS. Enclosure in No. 102. Mr. Seward to MM. Tassara and Mercier and Lord Lyons. Washington, Decemher 4, 1861. The undersigned, Secretary of State of the United States, has the honor to acknowledge the receipt of a note which was addressed to him on the 30th day of November last, by M. Gabriel G. Tassara, minister plenipotentiary of her Majesty the Queen of Spain; M. Henri Mercier, minister plenipotentiary of his Majesty the Emperor of the French; and Lord Lyons, minister plenipotentiary of her Majesty the Queen of the United Kingdom of Great Britain and L-eland. With that paper the aforesaid ministers have submitted the text of a conven- tion which was concluded at London on the 31st October last, between the sovereigns before named, with the view of obtaining, through a common action, the redress of their grievances against the republic of Mexico. Li the preamble the high contracting parties say that they have been placed, by the arbitrary and vexatious conduct of the authorities of the republic of Mex- ico, under a necessity for exacting from the authorities a more effective protec- tion for the persons and property of their subjects, as well as the execution of obligations contracted with them by the republic of Mexico, and have agreed to conclude a convention between themselves, for the purpose of combining their common action in the case. Li the first article the high contracting powers bind themselves to make, im- mediately after the signing of the convention, the necessary arrangements to send to the shores of Slexico land and sea forces combined, the effective number of which shall be determined in a further exchange of communications between the governments, but the total of which must be sufficient to enable them to seize and occupy the various fortifications and military positions of the Mexican sea- coast. Also, that the commanders of the allied forces shall be authorized to ac- complish such other operations as may, on the spot, be deemed most suitable for realizing the end specified in the preamble, and especially for insming the safety of foreign residents. And that all the measixres which are thus to be carried into effect shall be taken in the name and on account of the high contracting parties, without distinction of the particular nationality of the forces employed in executing them. In the second article the high contracting parties bind themselves not to seek THE PEESENT CONDITION .OF MEXICO. 395 for themselves, in the employment of tlie coercive measures foreseen by the present convention, any acquisition of territory, or any peculiar advantage, and not to exercise, in the subsequent affairs of Mexico, any influence of a character to impair the right of the Mexican nation to choose, and fully to constitute, the fonn of its own government. In the thnd article the high contracting parties agree that a commission, com- posed of three commissioner, one appointed by each of the contracting powers, shall be established, with full power to determine all questions which may arise from the employment and distribution of the sums of money which shall be re- ceived from Mexico, having regard to the respective rights of the contracting parties. In the fourth article the high contracting parties, expressing the desire that the measures which it is their intention to adopt may not have an exclusive character, and recognizing the fact that the government of the United States, like themselves, has claims of its own to enforce against the Mexican republic, agree that immediately after the signing of the present convention a copy of it shall be communicated to the government of the United States, and that this government shall be invited to accede to it, and that, in anticipation of such ac- cession, their respective ministers at Washington shall be provided with full powers to conclude and sign, collectively or severally, with a plenipotentiary of the United States, to be designated by the President, such an instrumeut. But as the high contracting parties would expose themselves, in making any delay in carrying into effect Articles I and II of the convention, to peril in the end which they wish to attain, they have agreed not to defer, with a view to obtain- ing the accession of the United States, the commencement of the stipulated ope- rations beyond the period at which their combined forces may be united in the vicinity of Vera Oruz. The plenipotentiaries in their note to the undersigned invite the United States to accede to the convention. The undersigned having submitted the sub- ject to the President will proceed to communicate his views thereon. First, as the undersigned has heretofore had the honor to inform each of the plenipotentiaries now addressed, the President does not feel himself at liberty to question, and he does not question, that the sovereigns represented have im- doubted right to decide for themselves the fact whether they have sustained grievances, and to resort to war with Mexico for the redress thereof, and have a right, also, to levy the war severally or jointly. Secondly, the United States have a deep interest, which, however, they are happy to believe is an interest held by them in common with the high contract- ing powers and with all other civilized states, that neither of the sovereigns by whom the convention has been concluded shall seek or obtain any acquisition of territory, or any advantage peculiar to itself, and not equally left open to the United States and every other civilized state, within the territories of Mexico ; and especially that neither one nor all of the contracting parties shall, as a result or consequence of the hostilities to be inaugurated tmder the convention, exer- cise in the suljsequent affairs of Mexico any influence of a character to impair the right of the Mexican people to choose, and freely to constitute, the form of its own government. The undersigned renews on this occasion the acknowledgment heretofore given, that each of the high contacting parties had infoi-med the United States, substantially, that they recognized this interest ; and he is authorized to express the satisfaction ot the President with the terms in which that recognition is clearly embodied in the treaty itself. It is tnie, as the high contracting parties assume, that the United States have, on their part, claims to urge against Mexico. Upon due consideration, how- ever, the President is of opinion that it would be inexpedient to seek satisfac- tion of these claims at this time, through an act of accession to the convention. 396 THE PRESENT CONDITION OF MEXICO. Among tlie reasons for tliis decision wliicli the undersigned is aiitliorized to as- sign, are, first, that the United States, so far as it is practicable, prefer to adhere to a traditional policy recommended to them by the father of then" country, and confirmed by a happy experience, which forbids their making alliances with foreign nations. Secondly, Mexico beuig a neighbor of the United States on this continent, and possessing a system of government similar to our own in many of its important features, the United States habitually*cherish a decided good wiU towards that republic, and a lively interest in its security, prosperity, and welfare. Animated by these sentiments, the United States do not feel inclined to re- sort to forcible remedies for their claims at the present moment, when the gov- ernment of Mexico is deeply disturbed by faction within, and exposed to war with foreign nations; and, of course, the same sentiments render them still more disinclined to allied war against Mexico than to war to be urged against her by themselves alone. The undersigned is further authorized to state to the plenipotentiaries, for the information of the sovereigns of Spain, France, and Great Britain, that the United States are so earnestly anxious for the safety and welfare of the republic of Mexico that they have already empowered their minister residing there to enter into a treaty with the Mexican republic, conceding to it some material aid and advantages which, it is hoped, may enable that republic to satisfy the just claims and demands of the said sovereigns, and to avert the war which those sovereigns have agreed among each other to levy against Mexico. The sover- eigns need not be informed that this proposal to Mexico has been made, not in hostility to them, but with a knowledge of the proceedings frankly communicated to them, and with the hope that they might find, through the increased ability of Mexico to result from the treaty, and her willingness to treat with them upon just terms, a mode of arresting the hostilities which it is the object of the con- vention now under consideration to inaugurate. What has thus far been done by the American minister at Mexico under these instructions has not yet become known to this government, and the infor- mation is looked for with deep interest. Should these negotiations offer any sufficient ground on which to justify a proposition to the high contracting parties in behalf of Mexico, the undersigned will hasten to submit such a proposition to those powers. But it is to be under- stood, first, that Mexico shall have acceded to such a treaty ; and, secondly, that it shall be acceptable to the President and Senate of the United States. In the meantime the high contracting parties are informed that the President deems it his duty that a naval force should remain in the Gulf of Mexico, suffi- cient to look after the interests of American citizens in Mexico during the con- flict which may arise between the high contracting parties and that republic ; and, secondly, that the American minister residing in Mexico be authorized to seek such conference in Mexico with the belligerent parties as may guard either of them against inadvertent injmy to the just rights of the United States, if any such shall be endangered. The undersigned having thus submitted all the views and sentiments of this government on this important subject to the high contracting parties in a spirit of peace and friendship not only towards Mexico, but towards the high contract- ing parties themselves, feels assured that there will be nothing in the watchful- ness which it is thus proposed to exercise that can afford any cause for anxiety to any of the parties in question. The undersigned, &c. WILLIAM H. SEWAED. THE PEESENT CONDITION OF MEXICO. 397 No. 103. Lord Lyom to Earl Russell. "Washington, Decemher 9, 1861. ' My Lord : I liave tlie honor to transmit to your lordsliip a copy of a col- lective note by which M. Tassara, M. Mercier, and I have acknowledged the receipt of Mr. Seward's note of the 4th instant, conveying the refusal of the United btates government to accede to the convention of the 31st October for combmed operations against Mexico. I purpose t^ communicate a copy of Mr. Seward's note to Sh- Charles Wvke sendmg it under flying seal to Vice-Admii-al Sir Alexander Milne. I have, &c., LYONS. Enclosure in No. 103. MM. Tassara and Mercier and Lord Lyons to Mr. Seward. Washington, ce 7 Decemhre, 1861. de leurs nln.l? ^^^^. ^^^f^^ et d'Irlande, ont I'honneur d'accuser reception a 1 honorable Secretane d'Etat de la note qu'H a bien voulu leui- adresser sous le date du 4 de ce mois, en reponse a celle par laqueUe Hs lui ont communique le . texte de la convention conclue a Londi-es entre leurs souverains dans le but de regler par une action commune leurs differends avec la republique Mexicaine, et ont mvitd le gouvernement des Etats Unis a acceder a cet acte. lis vont s'em- presser de transmettre cette reponse a leui's cours respectives Les soussigues, &c. GABRIEL J. TASSAEA. HENEI MEECIER. LYONS. No. 104. Earl Russell to M. de Isturiz. Foreign Office, December 24, 1861. .f !J' ^^^.^^.'NISTRE : I have the honor to acknowledge the receipt of yom- note ot the 22d instant, m which, m pursuance of instructions from your government, you have had the goodness to communicate to me the course which will be pur- sued if the Spanish fleet at the Havana should have left for Mexico prior to the amval of the allied sc^uadrons, and should have taken possession of Vera Cnxz 1 am, &c., RUSSELL. 398 THE PKESENT CONDITION OF MEXICO. No. 105. Earl Russell to Sir J. Cra7npton. Foreign Office, December 27, ] 861. Sir : I enclose for your iufoi-mation copies of despatclies from Lord Lyons,* reporting tire answer wliicli tlie government of tlie United States have returned to tlie invitation adressed to it to accede to the convention of tlie 31st of October for combined operations in Mexico. I am, &c., EUSSELL. No. 106. Sir C. WyJce to Earl Russell. [Extract.] Mexico, Novemher 25, 1861. By the last mail I was enabled to give your lordship some idea of the effect produced upon President Juarez and his cabinet by the instructions contained in your lordship's despatches of the 21st and 31st of August last, while I at the same time explained to your lordship for what reasons and to what extent I had taken upon myself the responsibility of modifying those instructions. The result of these modifications was, as I had the honor of stating in my despatch of the 28th ultimo, that I obtained a starting point from which to com- mence my operations with some chance of success. It would, of course, have been far easier to demand from this government a plain "yes" or "no" to the ultimatum I was instructed to present to them, but I felt sure her Majesty's* government, determined though they were to obtain from Mexico the satisfaction that had been so long denied them, would prefer doing so by ordinary means to employing force. In order, therefore to obtain what was required, I did not hesitate to adopt a line of conduct which, by being somewhat more palatable to the susceptible Mexicans, would not in reality interfere with the rec[uu'ements of her Majesty's government. Tour lordship will have seen that, even under these circumstances, it was only after the greatest trouble I obtained the outline of a convention that was em- bodied in my despatch of the 28th ultimo, above alluded to. Since that time my difficulties have greatly increased. I nevertheless continued my negotiations with this government through the medium of their minister for foreign affairs, with whom I consented to treat unofficially at the legation, and it will now be my duty to lay before your lord- ship the results which have been arrived at. First of all comes the reduction of the tariff. I had informed Seiior Zamacona that unless the govenmient consented to a honajide reduction it Avould be useless for us to think of negotiating a convention having for its basis the old system of duties ; that her Majesty's government insisted upon this point, and that it would be far better for his government to yield with a good grace than eventually to be forced into compliance with our demands. This, in the eyes of the minister for foreign affairs, seemed an insurmountable difficulty, for, said he, congress will be certain to throw out any bill that carries « Nos. 97, 103, and 104. THE PRESENT CONDITION OF MEXICO. 399 witli it even the semblance of foreign interference. This I know to he too true, and I therefore proposed that the reduction should come apparently from con- gi'ess itself, as a voluntary act resulting fi-om the report of the mixed commission which some time back had been named for examining uito the state of the present tariff. This idea struck Senor Zamacona as a good one, and he promised to do his best to have it carried out. Fresh obstacles, however, soon presented them- selves, while intrigues of every kind were being practiced to prevent congress sanctioning any reformation whatever in the tariff. Luckily at this moment the finance department was offered to a person of considerable merit, socially and politically, Senor Gonzales Echeverria, who had just returned from Europe for the purpose of settling his affairs in the country previous to leaving it for good. When, however, Seiior Echeverria looked into the state of his department he found everything in such hopeless confusion that he refused to undertake the charge. I was then asked to see him as a last hope. During our interview I was so much struck with his good common sense, and with the clear notion he had foi-med of his country's condition, that I tried to persuade him to accept office. At first he reftised, telling me that it was too late to do any good, and that he was convinced nothing but foreign intervention could now save Mexico ; but I am happy to say that I at least got him to consent to my rec[uest. His acceptance of office, added to my carefully abstaining from menacing con- gi-ess in any way, and to Senor Zamacona's untiring exertions, seem to have produced the desired effect, for when the tariff commission a few days ago pre- sented to congress their proposed reform it was duly taken into consideration, and, though not accepted as it stood, was not de facto rejected. According to the existing tariff, goods, besides paying high import duties, were compelled to satisfy endless additional duties after leaving the custom- house, and before coming into the market. The commission therefore proposed a reduction of 50 per cent, on the import duties, and a further reduction, though not of an equal amount, on the additional duties. I at once, upon this plan of reform becoming known, called a meeting of the British merchants here, in order to obtain their opinion in the matter. They, one and all, owned that the reduction was very much in favor of trade generally, but Mr. Whitehead, agent for the Loudon bondholders, considered that as the assignments due to the body he represented came out of the import duties, and as those duties were to be diminished by one-half, whereas the additional duties, which were not taxed with assignments, were not reduced in the same propor- tion, he would be the loser, inasmuch as it would require the introduction of double the amount of goods annually to enable government to pay the bond- holders their assigned quota of import duties, and that such an event could hardly be expected with the additional duties at so high a figure. I explained that so long as Mexico, by reducing her tariff, really benefited trade, we had no right to insist upon her effectually crippling herself for the sake of being able actually to square the balance-sheet of the bondholder, or fix the exact ticket to be placed on each separate piece of shhtiug that came into the country. Congress, however, threw out the proposal for a reduction of fifty per cent., and passed a law, copy of which I beg to enclose herewith, by Avhich govern- ment was authorized to reform the tariff upon a basis of forty per cent, reduction on the import duties, and to reduce the additional duties by about forty-two per cent., making a clear reduction on all duties to which foreign goods are liable of somewhat more than forty -one per cent. This plan was preferable to the first for many reasons ; though it was not quite so beneficial for trade generally, yet it affected pretty equally both the bondholder and the merchant, and had the immense advantage of taking the '400 THE PRESENT CONDITION OF MEXICO. tariff reform out of tlie liands of congress, and placing it iinder the sole control of government. When Seuor Zamacona asked me if I would consent to the system of reduc- tion on the above basis, I told him I coiild have no objection to it if government would add a clause clearly specifying that neither as regarding import, export, or additional duties, would any change whatever be allowed without at least six months' notice being given. Here a fresh dispute arose, as it appeared to the minister for foreign affairs that my request implied a doubt as to the honesty of his government. I insisted, however, upon this clause as a sine qua non. Had I not done so the govern- ment might at any moment have added to their list of additional duties upon the plea of necessity, and so entnely annulled the advantges of the new tariff system. Besides the above clause, I have obtained a further one, providing for the tariff coming into operation within four months of its publication. The government wanted it to come into operation two months after date, while the merchants required six months' law, so that I had no alternative but to take a period be- tween the two. This, my lord, is the outline of the proposed new tariff; it will not be possible to have the tariff itself worked out in detail for this mail, and I can therefore merely give your lordship an idea of the result that will be produced by en- closing a comparative statement of duties payable on a supposed cargo under the old and new systems ; by which it will be seen that a cargo of merchandise Avhich is now liable to $100,000 import duties, and to $81,000 additional duties, would, under the new system if honestly carried out, be subject to $60,000 im- port duties, and $46,500 additional duties ; thus paying $106,500 for all duties, instead of $181,000, this being equivalent, as I stated above, to a reduction on the whole duties paid by foreign merchandise of somcAvhat more than forty -one per cent. The tariff question being thus satisfactorily disposed of, I set to work again ■ on the proposed convention, but found, as I anticipated, that in the interval fresh dif&culties had sprung up, and that it would be absolutely necessary to modify the plan that we had originally proposed. This Avas a matter of comparative indifference to me, provided I obtained the essential points necessary to be secured. I Avill not weary your lordship by giving a detailed account of daily interviews with Senor Zamacona, in which as soon as one difficulty Avas got rid of another sprung up, and this in endless succession, until finally, on the 21st instant, I succeeded in persuading Senor Zamacona to sign Avith me a convention, copy of which I have hercAvith the honor to enclose. In Article I the long-disputed question of the payment of those sums of money robbed from the conducta and the British legation is at length satisfactorily settled, by an extra assignment corresponding to ten per cent, of the import duties, to be taken out of that portion of the additional duties commonly knoAvn under the denomination of " mejoras materiales." In Article II, six per cent, on the $660,000 stolen from the legation, and twelve per cent, on the money still due from the conducta robbery, is secured by an assignment on the same fund, to date from the time the money was taken. In Article III, all treaties, conventions, and agreements heretofore concluded between the tAvo high contracting parties are declared to be binding in their totality on both parties, and the supreme decrees of the 14th of October, 1850, and the 23d of January, 1857, are likewise to remain m full force and vigor in all that concerns the London bondholders. Article IV settles the manner of payment of such sums of money OAAdng to the London bondholders and the convention bondholders as were in the hands of THE PRESENT CONDITION OF MEXICO. 401 the custom-house authorities at the time all payments were suspended by the law of the 17tli of July, together with six per cent, interest thereon. Article V secures the interests of the French convention and the arrears due on other claims as arranged by Admiral Penaud ; after the payment of which the quota belonging to the British convention bondholders shall be augmented, as before agreed on, by two per cent, additional. Article VI gives the British consuls and bondholders' agents at all the ports in the republic the real bona fide powers of interventors, without outraging the national feelings, as would have been done by the means proposed in the ulti- matum. Article VII secures the due and punctual payment to the bondholders of their proper share of the duties to be paid on every cargo arriving in a manner never before obtained, thereby saving the immense loss inflicted on them by the irreg- ular way in Avhich these payments have hitherto been made to them. Article VIII settles the date from which the several assignments above alluded to shall commence. Article IX frees the Mexican government from the responsibilities of a debtor from the time these several assignments are paid to the agents of the bondholders at the several ports. Article X stipulates that in all concerning either the appointment of inter- ventors with fuller powers, or the payment of assignments such as those above alluded to, no advantage shall hereafter be accorded to any foreign nation that is not by the same act also accorded to her Majesty's government. Such, my lord, is the convention that was duly signed and sealed on the 21st instant by Sefior Zamacona and myself after the exchange of a couple of notes, copies of which I have the honor herewith to enclose. The object of these communications was, on his part, to secure the passing of the convention through Congress, as by the tone of them it would appear, that the government had been acting from a spirit of justice, instead of being under the undue pressure of menaces from this legation. ' On mine, it was to aid him in this laudable effort, as well also as to secure an official declaration from this government, binding them to the reduction of the tariff which I had in reality made the basis of my operations. I conceive that by the arrangement above detailed I had secured all the real objects we had in view, and that with the great advantage of obtaining them by means of persuasion instead of by the employment of force. That a display of such force Avould have been temporarily necessary to carry it out I think probable ; but that once made, and the determination of her Majesty's government not to be trifled with thus exemplified, all would have gone on smoothly, and we should thus have obtained all we required. How the arrangement I had thus concluded has been nullified by congi-ess having thrown out the convention by a large majority must form the subject of a separate despatch, in which I will detail all that has taken place here since its rejection. Had it been ratified by that body I should have made it the foundation for a final settlement with this government of all pending claims, as well as for ob- tai)ii)ig compensation for the relatives of such British subjects as have been murrlered here up to the present time with impunity. Such an arrangement I could, I doubt not, have made during the presence in these waters of a powerful English squadron, but now the obstinacy of the legislature has destroyed my coml)inations, and reduces the settlement of these questions to the future em- ployment of brute force. H. Ex. Doc. 100 2^ 402 .THE PKESENT CONDITION OF MEXICO. Enclosure 1 in No. 106. Lawjixing the hasesfor tlie reduction of the tariff. Le citoyen Benito Juarez, president constitutionnel des Etats-Unis Mexicains, a leurs habitans faisons savoir : Que le secretariat du souverain congres de I'union m'a adresse le decret suivant : Le congrfes de I'union a cru devoir ddcreter ce qui suit : Article I. Le gouvernement est autorise a dresser un nouveau tarif des douanes maritimes et frontieres en operant, dans celui qui est en vigueur, toutes les reformes que I'experifjnee a demontre etre indispensables pour concilier les interets du tresor, du commerce, de I'agriculture, et de I'industrie. Article II. En agissant ainsi, il se soumettra aux bases suivantes : 1. n dictera toutes les mesures indispensables afin que le travail ne fasse pas defaut aux agriculteurs, aux industriels, et aux artisans. 2. II pourra reduire jusqu'a, un quarante pour cent les droits d'importation que paient actuellement les articles etrangers, conformement au tarif en vigueur. 3. II dtablira les droits additionnels suivants : Le municipal, tel qu'il est aujourd'bui; Celui de "mejorasmateriales," trente pour cent sur les droits d 'importation; Celui d'internation, quinze pour cent sur les memes droits ; Celui de "contra-registro," trente pour cent sur les memes droits; Celui de deux et demi pour cent pour le ministfere de fomento. Article III. Le tarif que dressera le gouvernement, suivant les regies etablies dans I'article qui precede, ne pourra 6tre modifie, en tout ou en partie, tant que le congres ne dictera pas de nouvelles bases, en vertu de ses facultes constitu- fionnelles. Donne dans le salon des seances du congres de I'union, a Mexico, le 15 No- vembre, 1861. MANUEL DUBLAN, Depute President. JUAN N. GUZMAN, Depute Secretaire. M. M. OVANDO, Deplete Secretaire. Pourquoi j'ordonne que le present soit imprime, publie, mis en circulation et dument execute. Palais du gouvernement federal, a Mexico, le 18 Novembre, 1861. BENITO JUAREZ. Au citoyen Jose Gonzalez Echeverria, Ministre des Finances et du Credit Public . THE PRESENT CONDITION OF MEXICO. 403 Enclosure 2 itf^ No. 106. Schedule showing the amount of duties that would be paid under the reduced tariff voted by congress, by a cargo of merchandise lohich now pays $100,000 import duties: UNDER THE PRESENT SYSTEM. Import duties $100, 000 Additional duties: Mejoras materiales $20, 000 Intemation 10, 000 Contra-registro 30, 000 Kailway or amortization 15, 000 Departmental 6, 000 81, 000 Total amount of duties $181, 000, UNDER TARIFF VOTED BY CONGRESS. Import duties i 60, 000 Additional duties : Mejoras materiales 18, 000 Internation 9, 000 Oontra-registro 18, 000 2 J per cent, of ministry of fomento 1, 500 46, 500 Total amount of duties 106, 500 Showing a reduction of , 74, 000 Equal to 41^ per cent, on tlie whole duties. HORACE JOHNSON Mexico, November 25, 1861. Enclosure 3 in No. 106. Convention between her Britannic Majesty and the republic of Mexico for the settlement of various questions note pending between the two governments. Desirous of putting on end to the present suspension of diplomatic relations between the British legation and the government of Mexjco by an arrangement removing the cause of such suspension, and at the same time settling certain other questions in Avhich the government of her Majesty and that of the republic are mutually interested, they have resolved to conclude a treaty for that purpose, and have named as their plenipotentiaries — that is to say, her Majesty the Queen of the united kingdom of Great Britain and Ireland, Sir Charles Lennox Wyke, knight commander of the most honorable order of the bath ; her Majesty's en- voy extraordinary and minister plenipotentiary to the republic of Mexico; and his excellency the president of the republic of Mexico, Senor Don Maimel Maria de Zamacona, minister for foreign affairs, &c., &c., &c. ; who, having communi- cated to each other their respective full powers, found in good and due foiin. have agreed upon and concluded the following articles : 404 THE PRESENT CONDITION OF MEXICO. Article I. The sums still remaining due to British subjects of the moneys abstracted from the conducta at the Laguna Seca, as well as the six hundred and sixty- thousand dollars forcibly taken from the British legation in the month of No- vember last, shall be repaid to the lawful owners thereof by an assignment made for that purpose by the Mexican government corresponding to ten per cent, of the import duties, to be taken from that portion of the additional duties com- monly known under the denomination of "mejoras materiales." Article II. The rate of interest due from the time when the money Avas taken to be paid on both these sums from the same fund shall be as follows : namely, six per cent, per annum on the six hundred and sixty thousand dollars, and twelve per cent, per annum on the remainder of the money due to British subjects from the moneys abstracted from the conducta at the Laguna Seca. Article III. All treaties, conventions, and agreements heretofore concluded between the two high contracting parties shall remain binding in their totality on both parties in all affecting British and Mexican interests ; and the supreme decrees of the fourteentii of October, one thousand eight hundred and lifty, and the twenty- third of January, one thousand eight hundred and fifty-seven, do likewise re- main in full force and vigor in all that concerns the London bondholders. Article IV. Such sums of money owing to the London bondholders and convention bond- holders as were in the hands of the custom-house authorities at the time all pay- ments were suspended by the law of the seventeenth of July last, shall be paid to the owners thereof, together with six per cent, interest thereon, out of the same fund that is set apart for the legation and Laguna Seca claims, when those shall have been lic[uidated. Article V. Nothing contained in this convention shall in any way interfere with the stipu- lations of other agreements or conventions by which the goods imported in French vessels are exempt from contributing to British assignments until the French convention shall have been wholly paid oflP, as Avell as the arrears due on other claims, as arranged with Admiral Penaud, have also been liquidated, when the quota belonging to the British convention bondholders shall be augmented, as agreed on, by two per cent, additional. Article VI. The British consular agents and agents of bondholders at the diflFerent ports of the republic shall be entitled to exact the production of all custom-house books and papers as may have reference to their clients' interests, and to call for ships' manifests, bills of lading, and all other documents which, for the above-named purpose, they may consider it necessary to examine. Every month a statement of the duties incun-ed, and of the liquidation of the assignments due to the London bondholders and the convention bondholders at each of the custom-houses, shall be delivered to the British consul resident at the port, and in those places where there is no British consul, such statements shall be given to the agents of the respective funds, j)rovided there be any such on the spot. THE PEESENT COJ^DITION OF MEXICO. 405 Article VII. In order to insure with every certainty tlie fulfilment of the conditions con- tained in the preceding articles, the assignments made over to the British creditors shall henceforth be represented by certificates to be issued by the ministry of finance, according to the regulations which shall be framed by said ministry, and no importer will be permitted in future to pay the duties on his cargo without at the same time paying said assignments, Avhich shall not be paid in cash or in any other form except in the said certificates, under the penalty of a second pay- ment of double the amount, one-half in certificates, and the other in cash, which latter half shall be given to the informer of the fraud. The minister of finance shall deliver a sufficient quantity of said certificates to the representatives of both classes of bondholders in Mexico, who shall be required to keep enough of them on hand, both in this city and the ports, to enable the importers to obtain them with the facility required. For greater security these certificates must be signed by the representatives of the aforesaid bondholders, as Avell as by the aforesaid agents, and after liqui- dation they shall be remitted by the collectors of the maritime and frontier custom-houses directly to the minister of finance, for the purpose of enabling the government to take due note thereof in forming the account current of the respective debts. Article VIII. ■ The assignment of ten per cent, of the duties alluded to in article I for the pui-poses above specified shall commence from the date of the signature of this convention ; and the assignments belonging to the London bondholders and to the convention bondholders, secured to them by article III, shall begin from the first day of January, one thousand eight hundred and sixty-two. Article IX. It is understood that the Mexican government shall be free from the responsi- bility of a debtor to a creditor in so far as concerns any such sums as shall have been paid by them at the end of each month to the agents of the respective bondholders, when a liquidation of the sums so paid and received is duly made out and signed by the authorities of the custom-houses and the agents at the ports. Article X. In settling with the other foreign creditors of the republic the difficulties to which the law of the 17th of July last has given rise, no advantage shall be accorded to them with regard to the time at which the payment of the assign- ments shall be renewed, nor as regards the control that they may have in the custom-houses, which shall not by the same act be conceded to the British creditors. Article XI. The present convention shall be ratified by her Britannic Majesty and by the congress of the Mexican republic, and the ratifications shall be exchanged at London as soon as possible Avithin the space of six months. In witness Avhereof the respective plenipotentiaries have signed the same, and have affixed thereto thoir respective S(!als. Done at Mexico this twenty-first day of November, in the year of our Lord one thousand eiglit hundred and sixty-one. L. s. L. s. C. LENNOX WYKE. MANUEL MA. DE ZAMACONA. 406 THE PRESENT CONDITION OF MEXICO. Enclosure 4 in No. 106, Sir C. Wylce to Senor Zamacona. Mexico, November 20, 1861. Sir : The result of tlie various conferences I have had with your excellency appears to be that no real difficulty now exists to prevent our coming to a perfect understanding on the subject which gave rise to those conferences, in a manner alike satisfactory to the governments we have the honor respectively to represent. In order to attain so desirable an end, and to remove the evils caused by the law of the 17th of July last, as well also as to prevent any future disagreement arising from the consequences thereof, it becomes necessary now to put in writing what we have already verbally agreed on, and to settle by a formal instrument the due execiition of the following conditions : 1. Delivery by your government of the money robbed from the British lega- tion in the month of November last, amounting to the sum of $660,000, as well also of what was abstracted from the Laguna Seca conducta, which originally amounted to $400,000, but part of which has since been restored to its rightful owners. 2. That all arrears due to the bondholders arising from the suspension of payments of custom-house duties formally consigned to them by the Dunlop and Aldham compacts, as well as the British convention, shall be refunded, of course including the payments already deposited in the hands of the custom-house authorities at the time of such suspension of payments, but which had not yet been made over to the agents of said bondholders. 3. The payment of interest on all sums above specified, from the date of their abstraction or detention, as compensation to the owners thereof for the los^ and inconvenience to which they have been subjected by these arbitrary proceedings. 4. That the British consular agents at the ports shall be authorized by the government to examine the books and render an account of the receipts of the several custom-houses there, such agents receiving directly the assignments for the bondholders from the importers, in a manner hereafter to be agreed on be- tween us. As I believe we are entirely of the same opinion with reference to the advan- tages to be obtained by a reduction of the tariff, I trust that your government, with this object in view, will adopt some measure of reform in this branch of your administration so comprehensive in its nature as entirely to remove the evils caused by the present high rate of duties, which are as prejudical to foreign commerce as they are to the best interests of the republic. By a frank acceptance of these conditions no obstacle will then remain to prevent a renewal of official intercourse between your government and this legation, which, without such an arrangement, will be finally broken off, and thus lead to consequences fatal to the friendly relations which it is so desirable to maintain between the two countries. Awaiting your reply, I have, &c. C. LENNOX WYKE. THE PRESENT CONDITION OF MEXICO. 407 Enclosure 5 in No. 106. Senor Zamacona to Sir C. Wyke. [Translation.] Government House, November 21, 1861. The undersigned, minister for foreign affairs, has had the honor to receive the note, dated yesterday, which his excellency the English minister. Sir Charles Lennox Wyke, was pleased to write him. The undersigned after his repeated conferences with his excellency her Bri- tannic Majesty's minister is as much convinced as his excellency that there does not really exist any difficulty for the re-establishment of the ordinary relations between Mexico and Great Britain. He is entirely of the opinion of Sir Charles Wyke as to the great interest that the two countries have in maintaining and di-awing still closer their relations ; and the sincere desire to re-establish them has doubtless given rise to the conciliatory spirit that has reciprocally prevailed in the conferences held for that purpose, and which has so much contributed to attain it. , The question pending since a year, relative to the abstraction made in No- vember last by the usurpers of the public power of a sum belonging to the holders of Mexican bonds in London, and deposited in the CaUe de Capuchinas, gives this government an opportunity of showing its conciliatory and willing spirit, and its desire to terminate all the difficulties pending with Great Britain. Notwithstanding that the government of the republic has protested against the responsibility that might be laid to its charge on account of that odious attempt, it has also protested its desire to prevent as far as possible the losses that the holders of bonds have thereby suffered, and therefore agrees to facilitate to them the reimbursement of the sum robbed, if the said holders of bonds cede to the republic their action for indemnity from the produce of the property of the per- petrators of the crime that has been or may be sequestrated. This concession, with which the government of Mexico responds to those which his excellency her Britannic Majesty's minister has made in the arrangement of this affair, removes one of the principal difficulties pending between the two nations. This government does not then make any objection to the acceptance of the conditions contained in the note of his excellency Sir Charles Wyke, bearing yesterday's date. As regards the tariff at present in force in the republic, the undersigned be- lieves that, in fact, a reform in this matter in a liberal sense will be equally bene- ficial to the nation as to the foreign commerce ; and as this government is author- ized by congress to make it, it is at present occupied in caiTying out this work. By means of it will be removed the ills which, as indicated by her Britannic Majesty's minister, are caused by the amount of the duties at present levied on goods imported ; and his excellency will perceive it, by simply knowing that the government, following the rules that the congress has laid down for it, and tlie prhiciples of liberal political economy, will carry out the following bases in the new tariff that will be published in a few days : That the reduction on the import duties is to consist in 40 per cent, on the present amounts. That when the reform, which is to be put into operation four months after its publication, has been once made, no change shall be able to be made in the im- port, export, or additional duties, without infonning the commercial body six months beforehand. And that in the new tariff shall not be included the article that figured in the project lately presented by the committee of finance of the congress, which au- 408 THE PKESENT CONDITION OF MEXICO. tlioi'ized the States of tlie coast to place duties on tlie export of tteii' own products. The undersigned indulges in the same belief as that entertained by his excel- lency her Britannic Majesty's minister, that after the declaration contained in this note, and after the points to which it refers have been consigned in a fonnal act, for which this government is ready, there will not be any obstacle to prevent the renewal of relations between it and that legation, and drawing still closer those bonds of sympathy and common interest Avhich unite the two nations. The undersigned, &c. MANUEL MA. DE ZAMACONA. No. 107. Sir C. Wyke to Earl Russell. Mexico, Novemher 28, 1861. My Lord : I have the honor to enclose herewith* an address signed by some English merchants and other persons resident in this city, which, although ad- di'essed to me, I am requested to forward to her Majesty's government. I likewise transmit my reply thereto, to which I beg leave to call your lord- ship's attention, as it disposes of the principal grievance there complained of. I have, &c. C. LENNOX WYKE. Enclosure 1 ia No. 107. Messrs. G-raham, Geaves ^ Co., and others, to Sir C. Wyke. Mexico, Novemher 25, 1861. Sir : "We, the undersigned British merchants, and others, consider it our duty to address you at the present moment in defence of the interests which have been confided to us, as also to express our opinion in the present critical state of affairs. The particulars which we have been able to learn regarding the convention you had agreed upon with the Mexican government being rather vague and im- perfect, we are hardly able to judge of the ultimate advantages which might have accrued to British commerce had the said convention been ratified by con- gress; but in the absence of any official communication on the subject we are necessarily led to believe that the version given by the principal jom-nal of this city, "El Siglo," is, at least, tolerably correct, althougli we must confess that we doubt of its entire authencity, being, as we are, unwilling to believe that any arrangement can have been contemplated which only provided for the redress and liquidation of the larger and more prominent claims, to the exclusion of the numerous smaller, but equally deserving, claims of British residents in this cormtry. By the English papers which have lately aiTived, we have also been made acquainted with the answer which Earl Russell addressed on the 3d of October to Messrs, Rothschild, and other merchants of England interested in the Mexican trade, in answer to their petition asking for that protection for the lives of their fellow countrymen, and for their own property in Mexico, which Englishmen have a right to expect fi-om their government. THE PEESENT CONDITION OF MEXICO. 409 We Lave followed witli the utmost care and anxiety every step of your nego- tiations witli the Mexican government, and we now beg most respectfully to manifest our decided opinion that whilst we consider the course you have pursued since your arrival in Mexico as entirely in accordance with the intentions ex- pressed by Earl Russell, and whilst we fiilly acknowledge the great exertions which you have personally made to secure every advantage compatible with what we understand to be your instructions, we cannot but regard the views taken by the home government as entirely erroneous with respect to the actual state of the country, and their proposed measures as altogether insufficient to obtain either redress for past outrages or to insure any sort of confidence or security for the futui-e. You have obtained the passing of an act of congress which authorizes the re- duction of the tariff, but it cannot be denied that this innovation will be quite as advantageous to Mexico as it will be to England, and therefore it cannot be looked upon as a concession which Mexico makes, but simply as an important improvement which the country has resolved upon in consequence of the sug- gestion made by England to this effect. There are two points at issue in the present case : the first being the due repa- ration, as far as practicable, of the numerous outrages upon Englishmen and upon the English flag ; the second, the adoption of such measures as may check the recuiTence of such outrages, and by degrees put a stop to the anarchy and con- sequent ruin which has been spreading oyer this country for several years. We fully comprehend that the home government look upon the whole question with repugnance, caused principally by the difficulties which surround every plan of action, and consequently we refrain from entering into the consideration of the second point ; for, on the one hand, we feel perfectly confident that you are fidly impressed with the importance of the question, and that your own personal views must coincide with ours, whilst the limits to which we desire to reduce this note could never suffice to enter into such a vast and complicated question. As Englishmen, however, we think it our duty to use every effort in our power, and to avaU ourselves of every privilege which our constitution grants us, to induce her Majesty's government to exact that reparation for the past which may at least prove that our countrymen's blood is not to be wantonly shed, and England sneered at without the coimtry which has tolerated such atrocities being made to atone for them. We maintain that the assassination of a British consul and numerous fellow- countiymen, the marching through the streets of Englishmen as prisoners of war under the most unwarrantable circumstances, the robbery of English property by armed forces, headed by leading men of the acknowledged governments, and other acts of almost equally atrocious character, are not to be atoned for by the simple j)ayment of an insignificant sum of money ; we maintain that England cannot allow a Mexican minister of finance to appropi-iate sums of money as- signed to her under the most solemn diplomatic conventions Avithout demanding something more than the mere repayment of the sums so taken. The ministers who authorize these acts know full well that it requires three or four months at least before the action of her Majesty's government can be brought to bear against them, and they invariably take care to resign their poste before the ex- piration of such time ; they care little for the reclamations which their successors may have to deal with ; but is it anything more than common justice to demand that the whole administration, or the country, should be made aware that similar outrages must be atoned for a little sooner or later? When all our gx'ievances arose from the acts of one party in tlie country, Ave understood too well that nothing could be done; but when we Avitnessed the seizure of the bondholders' funds by the church party, and the seizure of the Tampico conducta by the constitutional party, Ave had every reason to consider 410 THE PRESENT CONDITION OF MEXICO. that the chief difficulty towards exacting reparation was removed ; nor can there be any essential difference between one de facto government robbing money deposited in the hancjs of the bondholders' agent and the next administration robbing their assignments on the coast. We do not wish you to believe that we in any way ask for impossibilities, nor that we wish to take up certain cases as pretexts to force her Majesty's gov- ernment into useless and difficult military expeditions; we do not even pretend that in a country like Mexico the punishment of the precise perpetrators of the crime should be insisted upon ; but we see little difficulty to the penalty being paid by the country. After seeing that her Majesty herself considered the question worthy of being mentioned in her speech from the throne ; after being assured that the matter was and had been long under consideration; and after Avaiting for pei'haps the most propitious moment that could possibly present itself, we are bound to say that the conduct of England is likely to impress foreign nations with but a very poor and inadequate amount of respect or consideration if the whole list of outrages is to be atoned for, and even passed over in silence, on receipt of a sum of money. Some of our number are interested in the British convention fund, many of us have private claims against the Mexican government, whilst others are only indirectly interested in any settlement or treaty Avhich may be made; but we all unite to express, in the most respectful but at the same time in the most emphatic terms, that we look upon the precise percentage of duties which may be exacted as of no importance whatever compared to the question of the securities and guarantees which may and, as we submit, ought to be demanded, and more particulnrly to the just and, so to speak, national reparation on the part of Mexico for past outrages, which, if committed by a private individual, Avould be classed as criminal in the highest degree. The principle of allowing any outrages to be committed for nothing more or less than a certain price is surely too dangerous a one to be tolerated by England. The sacred character of international treaties Avould by this means be entirely destroyed ; and it is not merely the lives and property of English residents in Mexico, but of those in remote countries all over the world, that would be exposed to dangers which our government is bound to ward off and protect us from, instead' of tolerating them with comparative impunity. English miners, merchants, and colonists would, in one word, find themselves in a weaker and more difficult position than the natives of almost any other nation. Surely this cannot be the state of things which an English cabinet can take any pride in creatmg or countenancing, nor can it be expected that British subjects can quietly and passively wait for such a result to be produced ; and it is therefore that we wish through you to impress upon her Majesty's government that no arrange- ment should be entered into which does not embrace full reparation for every just British claim, whatever may have been its origin, atonement for the violation of treaties, and ample guarantees for the future security of persons and property of British subjects resident within the republic. In conclusion, we beg to repeat that this present address is not directed to you personally, and that we have the highest motives for respecting and appreciating your own exertions since yom- arrival as her Majesty's minister ; but we most earnestly solicft that you will communicate our views to her Majesty's govern- ment, and at the same time trust that your experience of Mexico will induce you to support and advance our petition as the only means of obtaining any permanent improvement in the foreign trade of this country. We have, &c. GRAHAM, GEAVES & CO., And twenty-eighl others. THE PKESENT CONDITION OF MEXICO. 411 Enclosure 2 in No. 107. Sir C. WyTie to Messrs. Graham, Geaves and Co., and others. Mexico, Novemher 28, 1861, Gentlemen : A careM perusal of your communication dated the 25tli instant, whicli only reached me late in the afternoon of yesterday, has left me in doubt as to your precise object in requesting me to forward it to her Majesty's government. It is not by an expression of your fears and anxieties in vague and general terms that any good result can be arrived at ; such an address as the one you have sent should, to have any real value, embody the decided opinion, founded on your long experience here, as to the remedy to be applied with a view of removing the evils of which you so justly complain. Had you consulted with me personally and pointed out your wishes more distinctly, a more definite end might have been attained, and I should have been better enabled to forward those wishes, by supporting them, than I now am by the mere receipt of such a letter as yours on the eve of the mail's departure for England. The convention of the 21st instant, to which you allude, was concluded for the purpose of binding this government and nation to fulfil their engagements, in a positive and practical manner, to a large body of British subjects who have an immense stake in this country, and whose iiaterests have hitherto been shame- fully disregarded, from the fact of their being in part protected merely by agreements and memorandums passed between some of our naval officers and certain local authorities at the port of Vera Cruz, such authorities being at the time in open rebellion against a government to which we had an accredited minister at this capital. As some amongst your number were the sufferers by having no better guarantee than this, you could only have been benefited by exchanging it for the adequate protection of a solemn international obligation such as a con- vention, Avhich also secured the repayment of the moneys stolen from British legation and the conducta, with 6 per cent, on the former and 12 per cent, on the latter, in compensation for the inconvenience to which the owners of such moneys have been subjected by the arbitrary and unjustifiable acts of two successive governments. These payments, and the due fulfilment of the engagements set aside by the law of the 17th of July last, it was imperative for the honor of her Majesty's government should in the first instance be obtained, and hence the conclusion of the convention above alluded to, which satisfactorily terminated a separate and distinct question, and would have naturally cleared the way for a settlement of the other Britisli claims arising out of the numerous acts of violence against life and property, hitherto perpetrated with impunity against our fellow-subjects. You little know me, gentlemen, or the instructions I have received from her Majesty's government, if you suppose that with a British squadron in the waters of Vera Craz I should not obtain such reparation and compensation as is just and fair to demand of the Mexican government for such outrages. With regard to the opinion you express, that the views o'f her Majesty's government with respect to the actual state of this country are entinJy erroneous, and the measures they propose adopting to obtain redress insufficient, I altogether ^differ from you, aiid 1 tni.st events will prove that I am not wrong in doing so. You allude to tlie murder of a British consul and lunnerous other countrymen, the marcliing through the streets of Englishmen as prisoners of war, the robbery of English prop('rty by anned forces, &c., its being atoned for by the simple payment of an insignificant sum of money ; and further state that a minister of finance cannot be allowed to appropriate sixms of money belonging to English 412 THE PRESENT CONDITION OF MEXICO. subjects without demanding sometliing more tlian the mere i-epayment of the sums so taken. The outrages on life and person you thus describe took place before my arrival in this country, and I am not aware that they have, or are likely to be, atoned for by the payment, as you state, of an insignificant sum of money. With regard to the money taken from British subjects in the way you mention, something more will be exacted than repayment, in the shape of interest thereon, more or less in amount according to the circumstances of each particular case. Reparation for" all these outrages will be exacted by her Majesty's government, not from any particular set of men who happened to be in power when they were committed, but from the country, which is held responsible for them, and I really cannot see, therefore, what you wish for more. My foregoing remarks will have explained to you that the convention I lately concluded with Seiior Zamacona was never intended to settle these grievances, but was merely a preliminary step for removing those amongst them which, from their magnitude, were of the first importance ; this fact I had clearly stated to some amongst you, whose signatures I was therefore surprised to see to the letter to which thi^ is a reply. You say that, by my having obtained the passing of an act of congress authorizing the reduction of the tariff, I have only persuaded them to do that which is as advantageous to themselves as it is to us, and therefore it cannot be looked on as a concession which Mexico makes. If you were aware of the many days and hours' labor it has taken me to persuade them of this fact, you would, I think, set more value on a concession Avhich would never have been obtained unless it had formed the basis of the convention I have so often alluded to. This advantage, as well as the abrogation of the law of the 17th of July by congress, has been the result of my negotiations, which will now, therefore, I hope, appear to you in a less unfavorable light than when you addressed me on the 25th instant. I thank you, gentlemen, for the kind manner in which you mention the humble services I have been able to render to you since my arrival in this country, but in doing so I venture to hope you will in future believe that there is not one amongst you who is more jealous of the honor of his country than is England's representative in this republic. Your address, together with this reply to it, shall be forwarded to her Majesty's government by to-morroAv's mail. I have, &c. 0. LENNOX WYKE. No. 108. Sir C. Wyke to Earl Russell. [Extract] Mexico, November 28, 1861. General Doblado, governor of the State of Guanaxuato, who is at the head of about 8,000 men, is said to be on the eve of making a " pronunciamiento " Avith a view of getting himself elected president ; but from the extreme caution of the man's character, I think that he is hardly likely to expose himself to the risk of failure which he thus would undoubtedly have to inciir. THE PEESENT CONDITION OP MEXICO. 413 No. 109. Sir C. Wyhe to Earl Russell. [Extract.] Mexico, November 28, 1861. In my despatch of the 25th instant I had the honor of laying before your lordship, in detail, the business which had occupied my attention since the de- parture of the last European mail. My labors, as your lorpship will have seen, terminated in my having obtained a considerable reduction in the existing tariflp, and in having signed such a con- vention as promised to place our relations with the Mexican government on a somewhat better footing than they have been for some time past. It is to be sincerely regretted that congress was so carried away by party feel- ing as not to perceive the error they were committing in throwing out a conven- tion which, both in form and substance, avoided, as far as possible, any attack. upon the honor and amour propre of the nation, and yet held out to Mexico the means of coming to an equally satisfactory settlement of tbe difficulties with France and Spain whenever these two powers demanded redress at their very doors. Congress, as if frightened at what it had done, passed a resolution on the 23d instant abolishing the law of the 17th of July, and stating that the convention assignments should be again paid, as heretofore, to both classes of bondholders, as well also as those sums due to them at the time the suspension of payments was decreed. As this would, of course, not satisfy me, I had no choice left but to present at once to government an ultimatum, and demand my passports in case it was refused. On the presentation of my ultimatum Sefior de Zamacona resigned, the min- ister of war having done so the day before ; and there is now a probability of the other members of the cabinet doing so likewise, unless congress retraces its steps, for the government have sent back the convention to be reconsidered by them as a last resource. To-day I had a visit from Seiior Lerdo de Tejada, the leader of the opposition in congress, who called to ask me whether I would consent to any modification in the convention, as, if I would agree to modify the articles concerning the re- payment of the legation and conducta robberies, and the powers given to enable our consuls to act as interventors, he would engage to pass it through congress, and then accept the vacant post of minister for foreign affairs, which, under such cncumstances, he thought the president would confer upon him. My answer was a simple one, and to the effect that, having already made every concession possible in my negotiations with Senor de Zamacona, I could make no others. On receiving this answer Senor Lerdo do Tojada retired, and with him disappeared every hope of the convention's ratification. I have only now again to express to your lordship my high sense of Mr. Cor- wiu's conduct through the whole business ; he has stood by me in the most hon- orable manner, and on learning the rejection of my convention by congress, refused, in tlie most positive manner, to advance the government one; dollar of the proposed American loan. Nor can I pass over in silence the services of Senor de Zamacona, the minister for foreign affairs. He, at all events, has been sincere in trying to second my late endeavors, and his resignation of office proves that there is an exception to every rule, even as regards Mexico and the Mexi- cans. I shall start for Vera Cruz with the members of my mission as soon as I can 414 THE PRESENT CONDITION OF MEXICO. conveniently do so, leaving Mr. Consul Glennie in charge of the archives, and with him that most excellent public servant, Don Rafael Beraza, so that the merchants here shall not suffer by my absence in the courier arrangements. Havana will probably be the place where I shall await your lordship's instruc- tions, but wherever I may settle to go, I will not fail to remember the instructions contained in your lordship's despatch of September 28, in reference to the ad- miral on the station. P. S. — Since writing the above I have received the enclosed letter from the Mexican foreign office, by which your lordship will see that 1 am requested to wait for the answer to my ultimatum until the new minister for foreign affairs is appointed. Enclosure 1 in No. 109. Propositions voted hy congress abrogating the law of July 17, 1861. La Derogation de la Loi du 17 Juillet. — ^Voicile texte dela proposition presentfee et adoptee, le 23 du courant, par le congres qui I'a dispensee des for- malites du reglement ; elle a pour auteurs MM. les Deputes Sebastian Lerdo de Tejada, Manuel Ruiz, Mariano Riva Palacio, Montes, Dublan, Linares, Pino y Ramirez, Baz, Suarez Navarro et Ohico Sein. Article 1. Sont derogees les dispositions de la Loi du 17 Juillet de la pre- sente annee qui se referent aux conventions diplomatiques et a la dette con- tractee a Londres. Art. 2. Le gouvernement mettra immddiatement en voie de paiement les as- signations respectives, conformement aux dispositions et aux reglements ante- rieurs a la dite Loi. Art. 3, Le gouvernement remettra immediatement au congres une notice des sommes qui existaient au moment de I'expedition de la Loi et de celles qu'il aiu'a re9ues depuis, appartenant aux dites assignations, en initiant les lois qu'il jugera necessaires pour rembourser les dites sommes aux creanciers des conventions et de la dette contractee a Londres, et pour procurer au tresor les fonds dont il manque pour cet objet. Econojnique. — Une commission du congres declarera au president de la repub- lique la convenance que le gouvernement, en publiant la presente Loi, expose et explique officiellement les raisons de justice qu'il a cues pour rendre celle du 17 Juillet, et les motifs pour lesquels elle est derogee, en ce qui touche aux conven- tions et a la dette contractee a Londres. Enclosure 2 in No. 109. Sir C. WyJce to Senor Zamacona. Mexico, November 24, 1861. Sir : The rejection of the convention of the 21st instant by congress on the night of Friday last has, I regret to say, j)ut a term to those measures of con- ciliation by which, after six weeks' incessant labor and sacrifices, we had sought to remove the serious differences between the two countries. Under these circumstances I have but one course left open to me, and that is, THE PRESENT CONDITION OF MEXICO. 415 witliout delay to present to your excellency the ultimatum of lier Majesty's gov- ernment, requiring the acceptance of the following conditions, viz : 1. Immediate abrogation of the law of the 17th of July last. 2. That in the ports of the republic commissioners, to be named by her Ma- jesty's government, shall be placed for the purpose of appropriating to the powers having conventions with Mexico the assignments which those conven- tions prescribe shall be paid out of the receipts of the maritime custom-houses, including in the sums to be paid to the British government the amount of the conducta robbery and the money stolen from the British legation in the month of November last. 3. That the commissioners shall have the power of reducing by one-half, or in any less proportion that they think fit, the duties now levied under the exist- ing tariff. If these terms are not complied with, I shall find myself under the necessity of quitting the republic, with all the members of my mission, leaving the gov- ernment of Mexico responsible for the consequences that will ensue. I have, &c. C. LENNOX WYKE. Enclosure 3 in No. 109. Senor Arias to Sir C. Wyke. [Translation.] Government House, Mexico, November 28, 1861. The undersigned, charged temporarily with the ministry of foreign affairs, has the honor to answer the note which his excellency Sir Charles Lennox Wyke, &c., has been pleased to address to the said ministry, under date of the 24th instant, in which he communicates the conditions, the acceptance of which is demanded by her Britannic Majesty's government, in order to terminate the suspension of diplomatic relations, to which the law of the 17th of July last gave rise. The undersigned must, first of all, make his excuses to his excellency Sir Charles Wyke for the delay which he will perceive in this answer, but which will, however, have already been explained, if he knows that the minister charged with this department withdrew from it, having previously resigned, almost at the very moment that the said note of the legation was received, and if he knows also that the supreme government is making every effort with the co'ngi-ess, in order to settle the difficulties which unfortunately have arisen be- tween Great Britain and the republic of Mexico. The chief magistrate of the republic is most anxious that this should take place, and his excellency Sir Charles Wyke will not doubt it if he remembers the recent proofs Avhich the Mexican government has given of its desire for a peaceful and reasonable settlement of the difficulties pending with Great Britain. In order to obtain this result the chief obstacle has been removed by the ab- rogation of the law of July 17th ; and in consideration of this, and that there will soon be a new minister to take charge of the present negotiation, the un- dersigned confidently hopes, from Sir Charles Wyke's honest intentions and benevolent sentiments, that he will be good enough to wait only until the new minister to be named may give the due answer to the aforesaid note of his ex- cellency, and to suspend for the moment any resolution which may alter the position which the question now has. The undersigned, &c. JUAN A. D. ARIAS. 416 THE PRESENT CONDITION OF MEXICO. No. 110. The Secretary to the Admiralty to Mr. Hammond. Admiralty, January 2, 1862. Sir: I am commanded by my lords commissioners of the admiralty to send you herewitli, for the information of Earl Rnssell, a copy of a letter from Com- modore Dunlop, dated the 5th ultimo, and of its enclosures, reporting the sail- ing of the Spanish expedition from Havana for Vera Cruz on the 30th Novem- ber and the 1st and 2d of December last. I am, &c. C. PAGET. Enclosure 1 in No. 110. Commodore Dunlop to the Secretary to the Admiralty. " Challenger," at Havana, December 5, 1S61. Sir : I have the honor to transmit herewith, to be laid before the lords com- missioners of the admiralty, copy of a letter and its enclosures which I have this day addressed to Rear Admiral Sir A. Milne, K. C. B., commander-in-chief, reporting the sailing from Havana of the Spanish expedition for Vera Cruz. I am, &c. HUGH DUNLOP. Enclosure 2 in No. 110. Commodore Dunlop to Rear Admiral Sir A. Milne. " Challenger," at Havana, December 5, 1861. Sir : I have the honor to acquaint you that the Spanish expedition for Vera Cruz sailed from this place in three divisions on 30th ultimo and 1st and 2d instants under the command of Rear Admiral Rubalcava, who sailed on the 1st instant, with his flag in the paddle-stftamer " Isabel la Catolica." Enclosed is a list of the vessels forming the expedition. The troops embarked amount to 6,000 of all arms, under the command of Don Manuel Gassett. The names of the principal staff officers are enclosed. I am, &c. HUGH DUNLOP. P. S. — I shall transmit a copy of this letter and its enclosure to the secretary" of the admiralty. • H. D. THE PRESENT CONDITION OF MEXICO. 417 Enclosure 3 in No. 110. List of sMfs-of-war and transports composing the Spanish expedition to Mexico. Class. Name. i o it Captains. Paddle corvette Isabel la Catolica* 16 16 6 6 1 4 60 37 50 42 37 37 2 2 2 2 500 500 350 350 100 440 "380 380 Don Carlos del Camino ... Do Francisco de Asis ..--. Don Nicolas Chicarro ..... Paddle sloop Do Blasco de Graray . .... Don Me. Diaz Herrera . Pizarro. .. Don Juan Pita la Vega ... Paddle gunboat Paddle transport.. Screw frigate Do Gruadalquiver ...... Don Adolfo Navarite .... Velasco ......... . Don Joo6 Carranza ... Princewsa de Asturias Concepcion . Don Jos^ Alvarado Don Ml. McOrohin .. Do Leal tad . . ... Don Pedro del Castillo ... Do Blanca ...... Don Ml. de la Rigada Don Jos6 R. de Arrias Do Berenguela . ... . Do Petronila ...... ...... Don R. M. Venalet Screw transport... Do Ferrol Don ■ Pablo Lugo Vinas Don Ramon Bran Numero Tres... . Sailing transport.. Do Santa Maria. .............. Don Aleyo Rodriguez Don Sunico-- . .... Marigalante ......... ... Screw transport Do Cubana, (No. 1). .......... Cuba, (No. 11) Do Cardenas, (No. 9) . ...... Do Maisi, (No. 7) . .. Paddle transport.. Sailing transport.. Pajara del Oceano, (No. 5) Sunrise, (No. 2) Do Teresa, (No. 4) Do ,.. Favorita, (No. 6) Do Paquitii, (No. 8) ........... Do Palma, (No. 10) Flag-ship. Enclosure 4 in No. 110. List of the principal staff officers of the Spanish expedition to Mexico. Commander-in-cliief, Don Manuel Gasset; second in command, Brigadier General Don Carlos de Valgos ; chief of the staff, Colonel Don Juan Vidarte, of Bobadilla ; colonel commandant of artillery, Marqnes de la Concordia ; colonel commandant of engineers, Don Nicolas Valdes y Fernandez ; commissary gene- ral, Don Baltasar Llopisy y Caparros ; surgeon general, Don Joaquin Rosell y Fio ; colonel commandant of 1st, Brigadier Don Francisco Aparicio y Pardo ; colonel commandant of 2d, Brigadier Don Vincente Diaz de Caballas ; colonel commandant of artillery, Don Antonio Fernandez Ouevos ; colonel commandant of engineers, Don Andres Gortia, of Goyeneche. 2d battalion, Cazadores de Baileu y Union; 1st battalion, Napoles ; 1st battalion, Cuba; 4 companies 1st battalion, Napoles ; 4 companies of 2d battalion, Eey. H. Ex. Doc. 100 27 418 THE PEESENT CONDITION OF MEXICO. No. 111. Lord Lyons to Earl Russell. Washington^ December 21, 1861. My Lord : In my despatdi of tLe lOtli September last I informed your lordship that instructions had been sent to Mr. Corwin, the United States minister in Mexico, to conclude a convention with the Mexican government, in virtue of which the United States should assume the obligation to pay the interest on the foreign debt of that country. Mr. Seward told me this morning that Mr. Corwin had not concluded the pro- posed convention, but had sent, in lieu of it, a draught of a convention providing for the United States advancing to Mexico a very large sum to enable her to discharge her obligations to foreign creditors. Mr. Seward said that if Mr. Corwin had sent a convention in the terms of his draught, already signed, the President would, no doubt, have recommended it to the Senate for ratification. Since, however, a draught only had been sent, it had been detennined, in conformity with a plan occasionally adopted in important cases, to ask the Senate before- hand whether it advised the President to conclude a treaty on the terms proposed. Mr. Seward proceeded to say that Mr. Corwin would, in all probability, have signed the treaty at once, had he not been displeased by the rejection, by the Mexican congi-ess, of a " very proper" treaty negotiated by Sir Charles Wyke. Mr. Corwin had, Mr. Seward said, given Sir Charles Wyke aU the support in his power, and had declined to conclude his own treaty when he found that the treaty made by Sir Charles had been rejected. I told Mr. Seward that I had received a private letter from Sir Charles Wyke, speaking in the highest tenns of Mr. Corwin. Mr. Seward observed that, as the draught of the treaty was before the Senate in secret session, it would not be right for him to acquaint me with the exact sum to be advanced by the United States, or with other details. I have reason to suppose that Mr. Corwin was instructed not to engage for the payment of money by the United States unless the Mexican government should previously come to such an ari'angement with Great Britain as should render it pretty certain that the money would not be paid in vain ; that it would not fail to prevent the combined expedition, or at all events to prevent Great Britain taking part in it. Some of the details of Mr. Corwin's draught have transpired, or at any rate very confident assertions are made concerning them. It is stated that the sum to be advanced is, in all, $9,000,000 ; $500,000 to be paid at the expiration of thirty days from the ratification of the treaty, and a like sum at the expiration of each successive period of thirty days, until $5,000,000 have been advanced ; the remaining $4,000,000 to be advanced in half-yearly payments of $2,000,000, the first to be made six months after the payment of the last sum of $500,000. As security the American government is to have a mortgage on all the public lands, minerals, &c., of Lower California, Chihuahua, and two other provinces bordering on the United States. A commission composed of three Mexicans and two Americans is to assume the administration of the land, &c., thus mortgaged. It is understood, however, that Mr. Corwin will still be instiiicted to abstain from signing the treaty, unless there be a reasonable prospect of its attaining the object the United States government have in view, that of removing the com- bined fleets to a distance from the Gulf of Mexico and the coasts of this country. I have, &c., LYONS. THE PRESENT CONDITION OF MEXICO. 419 No. 112. M. Isturiz to Earl Russell. Legacion de Espana en Londres, 13 de Enero de 1862. My Lord : El gobiemo de la Reina mi augusta Boberana me comunica con fecha 7 del actual las instrucciones que apenas recibio en 13 de Diciembre las 6rdenes necesarias para el cumplimiento de la convencion firmada en Londres el 31 de Octubre ultimo, se apresuro ^ remitir el capitan general de Cuba ^ los gefes del ejercito j escuadra de la expedicion que babia enviado 4 Mejico, en virtud de ordenes anteriores j en completa ignorancia de los pormenores y arreglos que fueron consecuencia de la citada convencion. A mi vez tengo el bonor de transmitir a vuestra excelencia una copia de estas instrucciones, cujo tenor es sin duda el mas d proposito para asegurar, de acuerdo con lo estipulado en 31 de Octubre, la accion mancomunada de las tres potencias en la republica de Mejico. Con este, &c., XAVIEE E ISTURIZ. [Translation.] Spanish Legation, London, January 13, 1862. My Lord : Tbe government of tbe Queen my august sovereig-n communicated to me on tbe 7tb instant tbe instructions wbich tbe captain general of Cuba, so soon as be received on tbe 13tb December tbe orders necessary for carrying out tbe convention signed in London tbe 31st October last, bastened to transmit to tbe beads of tbe army and squadron of tbe expedition wbicb be bad sent to Mexico, in fiirtberance of preceding orders, and in entire ignorance of tbe details and an-angements made in consequence of tbat convention. I bave noAV tbe bonor to forward to your excellency a copy of tbose instruc- tions, tbe tenor of wbicb is doubtless most suitable to secure, in accordance witb wbat was stipulated on tbe 31st October, tbe joint action of tbe tbree powers in tbe republic of Mexico. I bave, &c., XAVIER E ISTURIZ. Enclosure in No. 112. Instructions addressed hy the captain general of Cuba, on tTie IZth of December, 1861, to the heads of the Sj)a?iish expedition to Mexico. 1. Si al recibo de este despacbo no se bubiesen emprendido ya operaciones militares debcra suspenderse toda agresion, peiTuaneciendo las tropas a bordo si en ello no bay inconveniente 6 peligro ; si en efecto lo bubiese procuranin V.EE. desembarcar y forraar un campamento atrincberado, donde permaneceril la division a la defensiva sin proceder d agresion de ningun gen^o y protegida per la escuadra. 2. Si como lo afirman todas las noticias aqui rccibidas, ban sido abandonados por los Mejicanos la plaza de Vera Cruz y el Castillo de San Juan de Ulua, y las tropas ban ocupado ya ambos puntos, deberan V.EE. conservarlos, recliazando 420 THE PRESENT CONDITION OF MEXICO. los ataqties de que pudiera ser objeto, pero sin tomar nunca la iniciativa de operacion alguna militar. 3. Eu los dos supuestos precedentes esperaran la llegada del nuevo general ministro plenipotenciario, 4 quien supougo se le lian comunicado por el gobiemo todas las instrucciones necesarias acerca de la conducta ulterior de la expedicion. Con la llegada del SeSor Prim coneidira probablemente la de los almirantes Frances 6 Ingles, j en semejante caso cumple solo A V.EE. atenerse d los acuerdos de las tres potencias. 4. Si la plaza j el castillo estuviesen en aptitud de defenderse y el ataque se liubiese emprendido, se procedera como convenga al cumplimiento de las nuevas ordenes de su Magestad si el honor de nuestras armas lo permite, j sino se Uevara a cabo lo que pueda ser necesario a la gloria del nombre Espaiiol. 5. Si el bloqueo se hubiese establecido al recibo de esta comunicacion decla- raran V.EE. en suspenso sus efectos hasta la llegada de los aliados. No pre- scindiran sin embargo de la posesion de la aduana si ya estuviesen en ella ; pero la entregaran inmediatamente d. disposicion de los plenipotenciarios luego que esten reunidos. Oomo V.EE. ban podido comprender, las cinco disposiciones precedentes se reasumen en un pensamiento general reducido a conservar un perfecto statu quo basta que lleguen los representantes de las potencias aliadas. A la discrecion de V.EE. corresponde, dado el estado de cosas que yo no puedo conocer desde aqui, armonizar lo que se ha hecho con lo demas que deba hacerse, evitando conflictos y complicaciones con las potencias firmantes del convenio. Dios, &c. FEANCISCO SERRANO. [Translation] 1. If, at the receipt of this despatch, no military operations shall have been undertaken, all aggression must be suspended, the troops remaining on board ship if there shall be no inconvenience or danger therein ; but if in fact there should be any, you will land and form an entrenched camp, where the division will remain on the defensive, without proceeding to an attack of any sort, and under protection of the squadron. 2. If, as it is asserted by all the infonnation hitherto received, the place of Vera Cniz and the Castle San Juan de Ulloa have been abandoned by the Mex- icans, and both points are in occupation of the troops, you will maintain them, repulsing any attacks that may be made against them, but without ever taking the initiative of any military operation. 3. In these two supposed cases you will await the anival of the new general minister plenipotentiary, to whom, I presume, all the instructions necessary for the ulterior conduct of the expedition will have been communicated by the gov- ernment. The arrival of Seuor Prim will probably coincide with that of the French and English admirals, and in such case you will have to attend only to the concvuTent resolves of the three powers. 4. If the place and the castle shall be in a defensive attitude and the attack shall have been commenced, you shall proceed according to the new orders of her Majesty, if the honor of our aims allow it, and if not, you will complete what may be requisite for the glory of the Spanish name. 5. If the blockade shall be established on the receipt of this communication, you will declare the eflfects thereof to be in suspense until the arrival of the allies. Nevertheless, you will not give up possession of the custom-house, if you shall be in possession of it ; but you will immediately place it at the dis- posal of the plenipotentiaries so soon as they shall have met. As you will have understood, the five preceding articles may be summed up THE PKESENT CONDITION OF MEXICO. 421 in one general idea, of maintaining a perfect statu quo until tlie arrival of the representatives of the allied powers. It is left to your discretion, accordmg to the state of things which I cannot be acquainted with from this place, to har- monize what is done with what remains to be done, avoiding conflicts and com- plications with the powers who have signed the agreement. God preserve, &c. rKANCISCO SEREANO. No. 113. Earl Russell to M. Isturiz. Foreign Office, January 16, 1862. M. LE MiNiSTRE : I beg leave to thank you for your note of the 13th instant, in which you communicate to me the instructions addressed by the captain general of Cuba to the commander of her Catholic Majesty's military and naval forces in Mexico. I have at the same time the honor to infoitn you that, whilst those instruc- tions are considered satisfactory by her Majesty's government, they have not yet been able to understand why the Spanish expedition set out before the arrival of the British and French forces. I am, &c., RUSSELL. No. 114. Earl Cowley to Earl RusselL [Extract.] Paris, January 17, 1862. M. Thouvenel informed me this afternoon that the Emperor had determined to re-enforce the expeditionary corps sent to Mexico. M. de Flahault, his excel- "lency said, would be instructed to state the reasons of this detei-mination to your lordship, and he (M. Thouvenel) hoped that it would not be opposed by her Majesty's government. No. 115. M. Isturiz to Earl Russell. Legacion de EspaSa en Londres, 18 de Enero de 1862. My Lord : He tenido el honor de recibir la comunicacion de vucstra excel- encia fecha 16 del actual, en respuesta il la dota que le dirigi el dia 13, trasla- ddndole las instrucciones enviadas por el capitan general de Cuba a los gefcs de la expedicion de Mejico. Manifiesta en ella vucstra excelencia que considera 422 THE PEESENT CONDITION OF MEXICO. satisfactorias aquellas instnicciones, pero que el gobierno de su Magestad Britanica no La podido comprender aun porque salio de Cuba la expedicion Espanola antes de la llegada de las fuerzas Inglesas j Francesas. Creia haber explicado suficientemente este punto en mi nota de 22 de Diciembre ultimo ; pero puesto quetodavia necesita aclaraciones, dire a vuestra excelenciaque, segun los despachos del capital! general de Cuba, las ordenes para suspender la expedicion, enviadas por la via de Nueva York con la esperanza de que llegasen mas pronto a su destino, no fueron recibidas en Cuba basta la mitad de Diciembre, j que el capitan gen- eral, ignorante de los pormenores del tratado y del punto fijado para la reunion de las escuadras j temeroso de Uegar tarde d Vera Cruz, juzgo oportuno no demorar la saUda de una expedicion que hacia mucbo tiempo que se ballaba Hsta de todo punto. Si en la conferencia que tuve el honor de celebrar con vuestra excelencia el dia 7 del corriente se Lubiese tocado esta duda, bubiera yo tenido el mayor gusto en desvanecerla, como espero lo quedara ahora con estas francas explicaciones. Con este, &c., XAVIER E ISTURIZ. [Translation.] Spanish Legation, London, January 18, 1862. My Lord : I have had the honor to receive your excellency's communication dated the 16th instant, ia reply to the note which I addressed you on the 13th, transmitting to you the instructions sent by the captain general of Cuba to the heads of the expedition to Mexico. In that conununication your excellency infoi-ms me that you consider those instructions satisfactory, but that her Britan- nic Majesty's government could not yet understand why the Spanish expedition left Cuba before the an-ival of the English and French forces. I thought I had sufficiently explained this point in my note of the 22d of December last, but since it still requires explanation, I have to inform your excellency that accord- ing to the despatches of the captain general of Cuba the orders to suspend the expedition, which were sent via New York in the hope that they would the sooner reach their destination, were not received in Cuba till the middle of De- cember, and that the captain general, unacquainted with the details of the treaty, and with the point fixed for the meeting of the squadrons, being also fearful of arriving too late at Vera Cruz, thought it right not to delay the departure of an expedition which had been for a long time ready in every point. If this doubt had been mentioned at the interview which I had the honor to have with your excellency on the 7th instant, I should have already had very great pleasure in clearing it up, as I hope will be done by this frank explanation. I have, &c., XAVIER E ISTURIZ. No. 116. Earl Russell to Earl Cowley. [Extract.] Foreign Office, January 20, 1862. I saw Count Flahault yesterday. His excellency informed me that he was instructed to state that the French government considered it necessary to send THE PEESENT CONDITION OF MEXICO. 423 an additional land force to Mexico. I had been prepared for this communication by your excellency's despatch of the I7th of January. Count Flahault went on to say that the precipitate step taken by General Sen-ano in commencing operations, without waiting for the forces of France and England, was calculated to enhance the difficulties of the expedition ; that it now seemed inevitable that the allied forces must advance into the interior of Mexico, and not only would the force at present agreed upon be insufficient for such an operation, but the operation itself would assume a character in regard to which the Emperor could not allow the French force to be in a position of infe- riority to that of Spain, or to run the risk of being compromised. His Imperial Majesty has therefore determined to send a re-enforcement of between 3,000 and 4,000 men to Mexico. I told Count Flahault that I very much regretted this step : I had no objec- tion to offer on behalf of her Majesty's government to the validity of the argu- ment that the forces of France should not be inferior in number to those of Spain. I would, therefore, only observe that it would not be possible for her Majesty's government to detach any greater amount of troops for operations on shore than the foi-ce of marines already sent to the Mexican coast. No. 117. Earl Russell to M. Isturiz. Foreign Office, January 23, 1862, _ M. LE MiNlSTRE : In acknowledging the receipt of your excellency's commu- nicatiori of the 18th January last, I have to state to yom- excellency that although her Majesty's government are not entirely satisfied with the explanation offered by your excellency as to the departure from Cuba of the Spanish expedition to Mexico before the time agreed upon between the three powers, they are willing to accept your excellency's declaration that it has been the intention of her Catholic Majesty's government to act in conformity with the provisions of the treaty of the 20th of November, 1861. I am, &c., RUSSELL. No. 118. Earl RusseU to Sir J. Crampton. Foreign Office, January 19, 1862. Sir : Although her Majesty's government are satisfied, from the explanations given by M. Isturiz, that the government of her Catholic Majesty has given instructions to her Catholic Majesty's commanders at Havana in conformity Avith the agreements entered into with her Majesty and his Majesty the Emperor of the French, yet the proceedhigs of Marshal Serrano are calculated to produce some uneasiness. The departure of the Spanish expedition from Havana, and the military occu- pation of Vera Cruz, to say nothing of the tone of the proclamation issued by the Spanish government, demonstrate that a combined expedition, at a great 424 THE PEESENT CONDITION OF MEXICO. distance fi-om Em-ope, is subject to the discretion at all times, to the rashness sometimes, of the separate commanders and diplomatic agents. I wish you to read to Marshal O'Donnell and M. Calderon Collantes the preamble and the article of our convention which define Avhat our intervention is intended to do, and what it is not intended to do. You will point out that the allied forces are not to be used for the purpose of depriving the Mexicans of then- undoubted right of choosing their own form of government. Should the Mexicans choose to constitute a new government which can restore order and preserve amicable relations with foreign nations, her Majesty's govern- ment will be delighted to hail the formation, and to support the consolidation, of such a government. If, on the contrary, the troops of foreign powers are to be used to set up a government repugnant to the sentiments of Mexico, and to sup- port it by military force, her Majesty's governmeiit could expect no other result from such an attempt than discord and disappointment. In such a case the allied governments would only have to choose between withdrawing from such an enterprise with some shame, or extending their interference beyond the limits, scope, and intention of the triple convention. You will explain to Marshal O'Donnell that this apprehension on our part does not arise from any suspicion of the good faith of the government of her Catholic Majesty ; but commanders acting at a distance requu-e to be very closely watched, lest they should commit then* principals to miwarrantable proceedings. You will read this despatch to M. Calderon Collantes. I am, &c., RUSSELL. No. 119. Earl Cowley to Earl Riissell. [Extract.] Paris, January 24, 1862. I have heard from so many quarters that the language of officers going with the re-enforcements to Mexico is, that it is for the purpose of placing the Arch- duke Maximilian upon the throne ot that country, that I have thought it neces- sary to question M. Thouvenel upon the subject. I inquired of M. Thouvenel whether any negotiations had been pending be- tween this government and that of Austria with reference to the Archduke Maximilian. His excellency replied in the negative. He said that the negotia- tions had been carried on by Mexicans only, who had come over for the purpose and gone to Vienna. No. 120. Earl Russell to Sir C. Wyke. Foreign Office, January 27, 1862, Sir : I have receiA^ed and laid before the Queen your despatches from the 18th to the 28th November. Since I last wrote to you, the Emperor of the French has decided to send 3,000 more troops to Vera Cruz. THE PRESENT CONDITION OF MEXICO. 425 It is supposed tliat these troops -rtIII marcli at once with the French, and a part of the Spanish troops ah-eady there, to the city of Mexico. It is said that the Archduke Ferdinand Maximilian will he invited by a large body of Mexicans to place himself on the throne of Mexico, and that the Mexi- can people will gladly hail such a change. I have little to add to my former instmctions on this head. If the Mexican people, by a spontaneous movement, place the Austrian archduke on the throne of Mexico, there is nothmg ia the convention to prevent it. On the other hand, we could be no parties to a forcible intervention for this purpose. The Mexicans must consult their own interests. I have to add to my former instructions respecting the admirals in the Atlantic and Pacific, that you will make no objection to the withdrawal of the mariaes from Vera Cruz when the unhealthy season shall arrive. You will also not object to any measures which may be concerted between the senior British naval officer at Vera Cruz and Admiral Maitland for the occupa- tion or blockade of any or all the Mexican ports on the Pacific which it may be thought necessary, for the purposes of the convention, to occupy or to blockade. Acapulco, San Bias, and Mazatlan, are the ports chiefly alluded to in this in- Bti'uction. I am, &c., RUSSELL. No. 121. Sir C. WyJce to Earl Russell. Mexico, December 14, 1861. My Lord: I have the honor to acknowledge receipt of your lordship's de- spatch of the 1st of November last, instructing me to proceed to Jamaica, with all the members of her Majesty's mission here, as soon as Admiral Sir Alexander Milne could send a vessel-of-war to Vera Cruz for that purpose. Having just heard of the arrival of her Majesty's ship "Ariadne" at that port, I yesterday wi-ote to Senor Doblado, the newly-appointed minister for foreign afiairs, requesting to be furnished with my passports, to enable me to leave the territory of the republic. » I have the honor to enclose copy of my letter to his excellency, together with his reply thereto. I quit Mexico for Vera Cruz the day after to-morrow, leaving Mr. Consul Glennie in charge of the archives of the legation ; and in the event of hostilities taking place between her Majesty's forces and those of the republic, I have re- quested M. Kint de Roodenbeeck, the Belgian charge d'affaires, to take British subjects and their interests here under his protection. I herewith enclose copy of the communication which I addressed to him with reference to this matter, together with his reply thereto. I shall wait at Vera Cruz for the English mail, which ought to arrive there on the 27th instant, and immediately after its anival shall proceed on to Jamaica to join the admiral, who expects to be there in the first week of January. I have, &c., C, LENNOX WYKE. 426 THE PRESENT CONDITION OF MEXICO Enclosure 1 in No. 121. Sir C. WyTce to Senor Dohlado. Mexico, December 13, 1861. Sir : Tlie ultimatum of lier Majesty's government, wliich 1 presented to that of the republic on the 24th ultimo, having remained up to the present moment unanswered, no other course is now open to me than to demand vaj passports, so as to enable me and the other members of her Majesty's mission to leave Mexico. Mr. Glennie, the English consul here, will remain in charge of the archives of the legation, as well also as of British subjects and their interests in the republic. Should, however, hostilities hereafter unfortunately ensue between the forces of our respective governments, it will then become necessary to place my country- men and their property here under the protection of a neutral flag, for which purpose I have requested M. Kint de Roodenbeeck, the Belgian charge d'affaires, to take charge of them, which, from the intimate relations of friend- ship existing between the governments of Belgium and Great Britain, he has most willingly consented to do. This I consider necessary more as a matter of form than for any other reason, so convinced am I that under such circumstances the government of Mexico will consider it as a point of honor to afford every protection and guarantee to British subjects whose interests may oblige them to remain as residents within the territory of the republic. In order to avoid great inconvenience both to the Mexican government as well as to the whole commercial body, I shall leave Don Rafael Beraza here to direct, as heretofore, the courier service of this legation, which 1 am sure will continue to receive every protection and assistance from your government. My intention is to leave this city for Vera Cruz on Monday next, and I should feel obliged if your excellency would give the necessary instructions in the proper quarter to furnish me with a proper escort for our due protection on the road. I have, &c., C. LENNOX WYKE. Enclosure 2 in No. 121. Senor Dohlado to Sir C. Wyke, [Translation.] Government House, Mexico, December 14, 1861. The undersigned, minister for foreign affairs, has had the honor to receive the note of his excellency Sir Charles Wyke, &c., dated the 13th instant, in which he is pleased to state that, as his ultimatum of the 24th ultimo has not been answered, the legation will be under the necessity of leaving Mexico ; adding that Mr. Glennie, British consul, remained charged with the protection of the British subjects, and that in the unfortunate event of a ruptm-e, this commission was intrusted to the Belgian chargd d'affaires, but rather as a form than for any other motive, since his excellency rests assured that Mexico will, as a point of honor, give every sort of guarantee to British subjects, and concludes by announcing that Don Rafael Beraza wiU remain in this capital in order to superintend the couriers of the legation, which legation intending to leave next THE PRESENT CONDITION OF MEXICO. 427 Monday, lie requests ttat the necessary escort should be furnished him, in order to protect him on his journey. Complying with the request of his excellency, the undersigned has the honor to annex herewith the necessary passport, at the same time that he hastens to transmit to him a copy of the circular issued on the 5th instant by the supreme government of the republic, in which the desires of that legation are anticipated, assuring, as it does, guarantees to all the foreigners residing in the country, even in the unfortimate event of a rupture. The orders are given for the placing of the escorts that have to protect the person of his excellency, Sir Charles Wyke, up to Vera Cruz, and the post- master general is agreed that Don Rafael* Beraza should remain charged with the transmission of the correspondence of the legation. The citizen president being authorized in every possible way by the supreme congress to make treaties with friendly nations without the necessity of obtain- ing the approval of that body, he has still the hope of renewing the negotia- tions with his excellency the British minister that were interrupted, always on the understanding, as is indispensable, that that legation should be sufficiently authorized by the government of her Britannic Majesty, for Mexico is disposed to do whatever may be compatible with justice and the national dignity. The undersigned, &c. MANUEL DOBLADO. Enclosure 3 in No. 121. Circular addressed to governors of States. MiNISTjERE DES RELATIONS, Mexico, le 5 Decemhre, 1861. La situation d(^licate oii en est venue la republique avec les puissances ^trangeres met la nation et le gouvemement dans le devoir imperieux de veiller plus que jamais a ce que les garanties concedees aux etrangers par les lois du pays et le droit des gens soient respectees d'une manifere inviolable. La justice du Mexique dans ses differends avec quelques unes de ces puissances offre une probabilitd que les conflits seront ecartes, lorsqu'on examinera de plus pres les motifs puissants qui sont venus s'interposer acci- dentellement comme irne difficulte dans le ddveloppement des relations cordiales que le Mexique a desird, meme au prix de grands saci'ifices, cultiver et resserrer avec les nations amies. Une preuve de ces ddsu-s est la franche et gf^ndreuse hospitality avec laquelle le pays a reQa dans' son sein les enfants de ces nations, en leur concedant les plus grandes franchises dans I'exercice du commerce, de I'agriculture, de I'indus- ti-ie et des arts. Si quelquefois des dvenements qui out porte prejudice, non seulement aux strangers, mais encore aux nationaux dans une mesure beaucoup plus grande, le Mexique n'a jamais cessd n(^anmoins de manifester sou amour pour la justice et la civilisation, ni de faire tout ce qu'exigeut ces demiferes, dans rint(ir^t de son nom et de son ddcorum. Cependant, des difficultes inattendues obligent aujourd'hui la nation si donner de nouvelles preuvcs et de plus grands tdmoignages de loyaut(i et d'honneur aux puissances dtrangeres, et a dementir, par des actes d'humanitd et d'illustration, la note de scmi-barbares qu'on doverse sur die, grace aux manoeuvres execrables et aux informations mensongeres de speculatcurs sans conscience et do quelquofi enfants denatures du Mexique qui feraient sa honte, s'il n'etait certain que les nations, comme les families, ne peuvent etre rcsponsables devaut la veritable 428 THE PEESENT CONDITION OF MEXICO. civilisation de ringTatitude et des vices personnels d'une minorite d'hommea qui, dans tons les pays et dans tous les temps, ont pretendu ternir I'eclat des societes les plus eclairees. En consideration de ce qui precede, le citojen prt^sident a bien voulu decider que je vous recommande, comme j'ai Thonneur de le faire, de veiller, aujourd'hui plus que jamais, par tous les moyens que vous suggdrera votre prudence, votre circonspection et votre patriotisme, a ce que les garanties concedees aux etrangers par les traites et par le droit des gens deviennent efficaces, en ^cartant ainsi tout motif ou tout pretexte qui put les engager a ne pas conserver la stricte neutrality a laquelle ils sont obliges dans les questions pendantes avec le gouvernement respectif. II appartient a votre jugement et a votre tact bien connus de diriger vers un but profitable I'exaltation du patriotisme, et d'empecber que les excita- tions populaires dans les conflits de la nation ne debordent centre les etrangers laborieux et pacifiques, auxquels on doit entiere protection, de m^me qu'on doit appliquer strictement la loi aux turbulents et aux seditieux. II est superflu de vous demontrer combien la situation actuelle serait aggrav^ par des desordres qui, dans les circonstances du moment, viendraient justifier dans une certaine mesure les inculpations que Ton fait au Mexique, et combien, au contraire, contribuerait au bon succes de sa defense Tattitude digne d'un peuple qui soutient, dans son ind^pendance, et son decorum, son amour pour I'bumanitd et la civilisation. En accomplissaut I'ordre du citoyen president, il m'est agrdable de vous reit- drer, &c. Dieu, liberie et reforme. JUAN DE D. AKIAS. Au Citoyen Gouverneur de VEtat de . Enclosure 4 in No. 121. Sir C. Wyke to M. de Roodenheeck. Mexico, December 13, 1861. Sir and Dear Colleague : On quitting Mexico I leave Mr. Glennie, our consul here, in cbarge of tbe arcbives of tbe legation, as weU also as of tbe in- interests of those British residents in the republic whose affairs, either public or private, will not peimit them to leave the country at the present time. For the moment such protection will prove sufficient ; bul in the event of hostilities hereafter occurring between her Majesty's forces and those of this republic, it will become necessary that Englishmen and their property here should be placed under the protection of a neutral flag. With this object in ^dew, and taking into consideration the intimate and friendly relations existing between our respective governments, I know nobody more fitting to take charge of British interests than yourself, provided you would not object to do so under the circumstances I have named ; in which case, with fuU confidence in your tact and judgment, I should feel certain that my country- men would receive every protection and assistance which you may have it in your power to afford dm-ing the absence from this capital of a British legation. I have, &c., C. LENNOX WTKE THE PRESENT CONDITION OF MEXICO. 429 Enclosure 5 in No. 121. M. de Roodenbeeck to Sir C. WyJce. Legation de Belgique, Mexico, le 14 Deoembre, 1861. Monsieur et Cher Collogue : J'ai reQU la ddp^clie en date d'hier par laquelle vous m'avez fait I'honneur de m'informer, que lors de votre depart de Mexico vous confierez les archives de la legation de sa Majeste Britannique et les interdts de vos nationaux a M. Glennie, votre consul dans cette residence ; mais que si des actes d'hostilite devaient avoir lieu entre les forces de la Grande Bretagne et celles du Mexique vous desirez que les nationaux Anglais et leurs proprietes soient places sous la protection du pavilion et de la legation Beiges. Je m'empresse de vous manifester, Monsieur et clier collegue, que je serai heureux de faire tout ce qui sera en mon pouvoir pour que durant I'eloignement de la legation de sa Majeste Britannique, vos compatriotes et leurs propretes soient parfaitement respectes. N'importe dans quelle eventuality, ils trouveront aiipres le la legation du Roi mon auguste souverain la naeme protection et la m^me assistance que mes propres nationaux. Je saisis, &c., T'KINT DE ROODENBEECK. No. 122. Sir C WyJce to Earl Russell. [Extract.] Vera Oruz, December 29, 1862, I arrived here on the evening of the 24th from Mexico, intending to leave this place in her Majesty's ship " Ariadne " for Jamaica immediately after the aiTival of the English mail, which I fully expected would have brought your lordship'a replies to my official correspondence of the 29th of October last. The steamer " Clyde " an-ived at this port the day before yesterday, without, however, having brought any despatches for me, so that I conclude they have been sent to Jamaica under the admiral's address. Yesterday morning Captain Von Donop, of her Majesty's ship "Jason," called to show me a letter from Commodore Dunlop, dated the 23d instant, from the Havana, by which I learnt that it was not the admiral's intention to proceed to Jamaica as announced, but that he was expected with the squadron at the Havana on the 26th instant en route for Vera Cruz. Under these cu-cumstances, had I proceeded even at once to that place in the "Ariadne," I should probably have crossed without meeting him on the way. This consideration induced me to remain where I was ; and by way of avoid- ing any further uncertainty, I immediately despatched Mr. AValsham in the "Ariadne " ^vith a letter for the admiral, begging his excellency at once to for- ward to me my despatches in case the present critical state of our relations with the United States should prevent his coming on here, as Captain Von Donop thought it not at all improbable that he would now return to the nortli. As this place has been in possession of the Spaniards since the 17th instant, there could be no impropriety in my remaining here, as I am no longer residing in a town mider the authority of the Mexican government. 430 THE PRESENT CONDITION OF MEXICO. The Englisli and French squadrons are expected here three or four days hence, hut they may he detained for a week or ten days more in consequence of the heavy northerly gales which so frequently hlow on this coast at the present season. Until the admiral's arrival, or Mr. Walsham's return, I of course remain igno- rant of the nature of your lordship's instructions, as well also of the stipulations of the convention which I hear has been signed hy the plenipotentiaries of England, France, and Spain. No. 123. Sir C. Wylce to Earl Russell. [Extract.] Vera Cruz, Decemher 29, 1861. On my arrival here, a few days ago, I found that Vera Cruz had formally been taken possession of, on the 17th instant, by a Spanish force^ under the command of General Gasset, composed of 6,500 men and 300 horses. They were brought here from the Havana in twenty-six transports and vessels-of-war, commanded by Admiral Rubalcava, who having summoned the place to surren- der, both castle and town were delivered up to him without resistance. All the Mexican authorities, with many of the inhabitants, retired into the interior, and nothing has since occurred to disturb the peaceable occupation of the town, which the Spaniards hold in the name of the allies as well as their own, until the arrival of the English and French admirals. They have formed an administration for the service of the custom-house, post office, town council, &c. All duties levied are to be divided hereafter, according to the claims of each nation on the government of the republic. On arriving here, the governor of the town immediately sent me a guard of honor, which I dispensed with, and both himself and the general-in-chief offered their sei-vices to me in the kindest manner. The day following I called on them, and they, as well as the admiral, then assured me that everything they had done was considered by them as a mere temporary measure employed until the arrival of the allies. Their troops are a very fine body of men, and are kept under strict discipline, so that no complaints have been made against them by the inhabitants of the town. The Mexicans are fortifying some very strong mountain passes, where they mean to resist the march of the allies on the capital ; but as long as the Span- iards keep within their lines here they do not intend to molest them, except by cutting off, as far as they can, all supplies of provisions from entering the town. As fresh meat was becoming scarce here a few days ago, General Gasset was about seizing on three of the neighboring villages to obtain cattle, but I strongly advised him not to take such a step before the arrival of the French and English forces, as by so doing he would only bring on a collision with the Mexican forces outside the town, which it was most advisable to avoid, owing to the bitter feel- ing still existing in this country against the Spaniards. The general most readily yielded to my wishes, and although the troops were already out and under arms, he consented to change his projected expedition into a mere military promenade, to be made round the outer works of the town. I at the same time wrote to General Uraga, commanding the Mexican forces outside, strongly advising him to allow provisions to enter the town for the sake THE PEESENT CONDITION OF MEXICO. 431 of his own countrymen shut up in it, and also to avoid any hostile movement trntil the anival of the allied squadrons in this harhor. This suggestion was also well received, as the general replied that he would do all in his power to carry out my wishes. I am most anxious to give time for the formation of a respectable government, who will understand that it is for their interest to receive the intervention in a fiiendly and not a hostile spirit, so as to aid them to re-establish order, and take the opinion of those who alone are entitled to have a voice in the matter. Hitherto the men of property and intelligence have been completely silenced and domineered over by the rabble, who elected from their own class the mem- bers of a congress which, besides being a disgrace to the country, rendered anything like good government impossible. The nation are now thoroughly frightened at the formidable coalition formed against them, and will be more disposed to grant what we want before blood has been shed and their passion excited, than they will be when once engaged in a struggle with the Spaniards. The rejection of my convention by the congress, as described in my last month's correspondence, had the effect of breaking up the late cabinet, and the crisis which then ensued brought General Doblado forward, who would only consent to form a government on the condition of having full powers conferred on him by congress, authorizing him to settle pending questions with the three powers as he deemed best. Having obtained these he adjourned the assembly imtil April next, and now remains unfettered to make the best arrangement he can with us. He is a man of such talent and influence in the country that the reactionary chiefs began to lay down their arms and give in their adhesion on his appoint- ment becoming known, and he is now engaged in forming his cabinet from the best men he could find, irrespective of their political opinions. His first act was to entreat me not to leave Mexico, as he was, he said, now able to conclude an ai-rangement with me that would give England positive guar- antees for the due fulfilment of their engagements towards us. As this overture was made to me after the arrival of last month's mail bringing English news- papers in which it was positively stated that a convention was about being signed, binding the three powers to a joint intervention in Mexico, I could not, of course, take advantage of an offer which, under other circumstances, I should have gladly availed myself of. Everything depends on the manner in which matters are managed here at first. If the intervention is properly received it will prove a blessing to the country ; but, on the other hand, violent measures at first will spoil all, and en- gage us in an vuidertaking the difiiculties of which can hardly be overrated. Fortunately, the Spanish commander, both military and naval, appear to be men of great prudence and discretion, and up to the present moment they have shown a spirit of justice and conciliation which speaks highly in their favor. In a long conversation I had with Admiral Rubalcava the day before yester- day, he expressed his opinion on this subject in terms nearly identical to those I have now used in giving my own. I have the honor to enclose an extract from the " Trait d'Union," in which your lordship will find the summons of the Spanish admiral demanding the sur- render of the town, as well as the president's address to the nation on the pres- ent state of affairs. 432 THE PRESENT CONDITION OF MEXICO. Enclosure ia No. 123. Extract from the "Trait d' Union" of December 19, 1861. LA. SOMMATION DU CHEF DE L'ESOADRE ESPAGNOL. OOMMANDANCE GeNeRALE DE FoRCES Na VALES DE Sa Majeste Catholique dans les Antilles. M. LE GrOUVERNEUR: La longue serie d'outrages infliges au gouvemement de sa Majesty Catholique par celui de la repiiblique Mexicaine, les violences reite- rees, coimnises centre des sujets Espagnols et robstination aveugle avec laquelle le gouvernement du Mexique s'est refuse constamment a dcouter les justes recla- mations de I'Espagne, toujours presentees avec la moderation et le decorum propres a une nation aussi noble ("liidalgo,") ont mis mon gouvernement dans le cas de rejeter tout espoir d'obtenir, par la voie de la conciliation, un reglement satisfaisant des graves differends existant entre les deux pays. Le gouvernement de sa Majeste Catholique, resolu, cependant, a obtenir repai'ation complete (" cumplida ") pour taut d'outrages, m'a ordonne de commencer mes operations en occupant la place de Vera Cruz et la chateau de San Juan de Ulua, qui seront conserves, comme gage ("prenda pretoria") jusqu'ii, ce que le gouverne- ment de sa Majestd s'assure que, dans I'avenir, la nation Espagnole sera traitee avec la consideration qui lui est due, et que les pactes qui seront celebres entre les deux gouvernements seront religieusement observes. Vous me communiquerez, par I'intermediaire de M. le Consul Fran9ais, charge de representer les interets commerciaux de I'Espagne, dans le delai le vingt- quatre heures, comptees du moment ou vous recevrez la presente sommation, si vous dtes ou non dispose a me livrer la place et le chateau ; dans I'intelligence que si la response est negative, ou si je n'ai regu aucune reponse a I'expiration du delai, vous pouvez des ce moment considerer les hostilites commencees, et I'armee Espagnole debarquera dans ce but. Je ne dois pas vous cacher que s'il est vrai que je fais la presente sommation seulement au nom de I'Espagne, suivant les instructions que j'ai re9ues, I'occu- pation de la place et du chateau servira egalement de garantie pour les droits et les reclamations qu'auront a faire valoir centre le gouvernement Mexicain, les gouvernements de la France et de la Grande Bretagne. II me reste a vous faire observer que la mission de forces Espagnoles ne se rattache en rien a la politique interieure du pays (" en nada se roza con la po- litica interior del pais") : toutes les opinions seront respectees ; on ne commettra aucun acte censurable, et du moment ou nos troupes occuperont Vera Cruz, les chefs Espagnols repondront de la securitt^ des personnes et des interets de ses habitants, quelle que soit leur nationalite. II vous appartieut ainsi qu'aux autres autoritees de donner des garanties aux etrangers jusqu'a ce que la dite occupa- tion se realise, soit pacifiquement, soit de vive force. Si les sujets Espagnols et les autres etrangers etaient persecutes et maltraites, les forces qui composent cette expedition se verraient dans la dure mais imperieuse necessit(§ de recourir aux represailles. ' " J'entretiens i'espoir que, quelle que soit votre rdsolution, vous agirez avec la prudence qu'on doit attendre, et vous penetrant que les forces Espagnoles, toujours humaines, toujours nobles et loyales, meme avec leurs ennemis, ne feront pas le premier pas dans la voie des violences reprouvdes m^me en cas de guerre, vous eviterez toute sorte de crimes dont le seul resiiltat serait de rendre plus difficile, sinon impossible, le reglement des questions internatiouales pen- dantes. Je profite, &c. Vapeur "Isabel la Catoiica," et mouillage d' Anton Lizardo, le 14 D^cembre, 1861. JOAQUIN GUTIERREZ DE RUBALCAVA. M. le GouvERNEUR de VEtat de Vera Cruz, ^c. THE PRESENT CONDITION OF MEXICO. 433 Le Gouvernement Suprhnc a M. le Gouverneur de VEtat de Vera Cruz. MiNISTERE DES RELATIONS EXTERIEURES ET DE GoBERNACION. Le citoyen president, a qui j'ai rendu compte de la communication officielle que vous a adressee le commandant des forces navales Espagnoles, et de celle que vous avez envoyee a ce clief reponse, m'ordonne de vous dire de suivre ponctuellement les instructions qui vous ont ete donnees par anticipation, pour le cas, aujourd'hui realise, de la rupture ouverte des hostilities de la part des sujets de I'Espagne, et de kisser, en matiere militaire. Taction libre au citoyen General Uraga, qui commande-en-clief I'armee Mexicaine, afin qu'il agisse egale- ment, dans sa sphere, conformement aux instructions detaillees qui lui ont ete donnees. II serait pen convenable pour le gouvernement de la republique de s'adresser a un chef qui, passant par dessus les formes du droit des gens, commence par intimer la reddition d'une place. Le cri do guerre que la nation a lance spon- tanement, marque au gouvernement le chemin qu'il doit suivre, et ce ne sera pas le citoyen president de la republique qui reculera devant une invasion etrangere, avec d'autant plus de raison que, dans la circonstance, le Mexique ne fait que repousser la force par la force, en vertu de son droit naturel incontestable. Je vous adresse egalement, par disposition supreme, un exemplaire du decret et de la circulaire qui sont envoyes aujourd'hui, par extraordinaire, aux citoyens gouverneurs des etats, en vous recommandant de seconder, avec I'energie et I'activite que commandent les circonstances, la pensee du gouvernement ; _ le citoyen president ne doute pas qu'a I'aide de cette fidele execution, I'mvasion qui menace de detruire notre liberte et natre independance sera repoussee. Liberte et reforme ! Mexico, le 17 Decembre, 1861. MANUEL DOBLADO. Au Citoyen Gouverneur de l'Etat de Vera Cruz. Circulaire aux Gouverneurs d^ Etats. MiNISTERE DES RELATIONS ExTeRIEURBS ET DE GoBERNACION. Par ordrc du citoyen president, j 'ai I'honneur de vous remettre copie des communications officielles dchangties entre le commandant des forces Espagnoles a Vera Cruz et le citoyen gouverneur de cet etat, ainsi que du decret et manifeste que le magistrat supreme de la republique a cru devoir publier aujourd'hui, pour que les etats so pn^parent a la defense de I'independance. Apres avoir epuise les moycns d'un arrangement pacifiquc entre I'Espagne ct le Mexique, le gouvernement de la republique, fort de la conscience de sa justice et ressentant rimpixlsiou de I'opinion populaire prononcee pour la guerre, accepte celle qu'ont commencee les forces Espagnoles d'une maniere si inusitee, parccque son droit de repousser la force par la force est incontestable, (ft il protcste, devant le monde civilis(^, que la responsabilite des evenements posterieurs rctombcra toute enticre ct uniquemcnt sur le gouvernement de la Reiue d'Espagnc qui a fait sienncs, d'une maniere si inconsideree, les injustes accusations sur Icsquelles ont cntcndu spv ■1, - r^ c^' :» H V oV ^ -.■ " ^ *c^ ,0 o \^ '^^. ■bo - - ' o S ^l ^o *- .0 Q. /- -^-'-^ ■ N-^ %^ ''" y s -^ ' \''