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[Telegram.-Corunna, February 13, 1865. ]]

Perry, American Chargé d'Affaires :

Pledges were given by the French government to our late Minister Dayton that the ram should not be transferred to the rebels. Cannot Bigelow, at Paris, obtain the intervention of French, with that of the Spanish government, to arrest the ram now fitting out at Ferrol, or to detain her until her case has been thoroughly investigated?

CRAVEN,

Commanding the Niagara.

Mr. Perry to Mr. Seward.

No. 167.]

LEGATION OF THE UNITED STATES,
Madrid, February 15, 1865.

SIR: I have the honor to enclose two telegrams, received from Consular Agent Fernandez at Ferrol, and Captain Craven, aboard the Niagara, at Corunna, received at 2 o'clock yesterday.

They inform me of the appearance of a consort of the Stonewall at Ferrola steamer under the English flag, with men, ammunition, and other supplies destined for the iron-clad.

I enclose, also, a copy of the note I immediately addressed to Mr. Benavides, and sent it with orders to deliver only into his hands, or those of the assistant secretary.

I then sought Mr. Benavides personally, and found him in the Cortes. We had a short conference in one of the committee-rooms, and the minister started immediately for his department to have the orders I solicited sent off to Ferrol without delay. This was done promptly and resolutely before my note had yet reached Mr. Benavides, who found it afterwards at his department.

I had also seen the assistant secretary of state and Sir John Crampton, to whom I showed the telegrams, and said I should expect his support, if any were necessary, to prevent the operations attempted by this English steamer. No such aid, however, was required.

At night I sent off the telegrams Nos. 6 and 7 to Mr. Fernandez and Captain Craven, and this morning received from Mr. Fernandez telegram No. 8, which informs me that the Niagara had moved over to Ferrol and laid herself alongside the Stonewall; that the latter would be complete in the work permitted her to-day; that my telegram had been received, and that it was all right.

I also sent again to Mr. Harvey the enclosed telegrams, urging the Sacramento to get off for Corunna, and one to Mr. Bigelow, informing him of this new feature in the situation of things at Ferrol.

With the highest respect, sir, your obedient servant,

Hon. WILLIAM H. SEWARD, &c., &c.,

Washington.

HORATIO J. PERRY.

No. 1.

[Enclosure A, despatch No. 167, February 18.]

[Telegram.-Translation.]

Ferrol, 14th February, 11h. 35m. a. m.-Received Madrid, 14th February, 12h. 34m. p. m.

To the Chargé d'Affaires of the United States :

Stonewall will be ready to-day. English steamer came in called Louisa Anna Fanny. Very suspicious; we watch her.

Sent out at 12h. 40m. p. m., of February 14.

FERNANDEZ.

No. 2.

[Telegram.-Corunna, February 14.]

Perry, American Chargé d'Affaires :

I have this moment information of the arrival at Ferrol of an English blockade runner, named Louisa Anna Fanny, with men, ammunition, and other supplies for the Stonewall. CRAVEN, Niagara.

Sent out at 1h. 20m. p. m., of the 14th February.

No. 3.

[Telegram.-Madrid, February 14-1 o'clock p. m.]

To American Minister at Lisbon:

For God's sake get the Sacramento off immediately. The Stonewall will be ready to sail to-morrow. A second steamer under English flag has just entered Ferrol. Very suspicious. Supposed consort of the Stonewall. The Niagara watches both.

PERRY.

No. 4.

[Telegram.-Madrid, February 14-3 o'clock p. m.]

The American Minister, Lisbon:

The new-comer is a blockade-runner with men, ammunition, and supplies for the Stonewall.

No, 5.

PERRY.

[Telegram.-Madrid, February 14—34 o'clock p. m.]

[Official service.]

To the Chargé d'Affaires of the United States, Paris:

A blockade-runner steamer under English flag has entered Ferrol with men, ammunition, and supplies for the Stonewall. This ship will be ready to sail to-day. The Niagara is vigilant. The Sacramento is still at Lisbon, in spite of all my efforts.

PERRY.

No. 6.

[Telegram.-Translation.-Madrid, February 14-night.]

To the Consular Agent of the United States, Ferrol :

Orders have been given not to permit the transshipment of men, ammunition, and supplies from the Louisa Anna Fanny to the Stonewall, and that the latter should not better her condition in these things whilst she is in Spanish waters. Watch over their execution.

PERRY.

No. 7.

[Telegram.-Madrid, February 14-night.]

Captain Craven, on board Niagara, Corunna :

Peremptory orders have been sent to prevent the Stonewall from taking any men, ammunition, or supplies from the Louisa Anna Fanny, or from any other quarter, while in Spanish jurisdiction.

PERRY.

No. 8.

[Telegram.-Translation.-Ferrol, February 15-9 o'clock a. m.]

To the Chargé d'Affaires of the United States, Madrid:

The Niagara is in this port. The Stonewall, it is now said, will be ready to-day in her works. I received your telegram; am advised all right.

FERNANDEZ.

[Enclosure B.-Despatch No. 167, of February 15.]
Mr. Perry to Mr. Benavides.

LEGATION OF THE UNITED STATES at MADRID,
February 14, 1865-24 o'clock

p. m. SIR: I am this moment informed of the arrival at Ferrol of an English steamer with men, ammunition, and other supplies for the Stonewall.

Your excellency will see the impossibility of permitting these men, ammunition, and supplies to be put on board the Stonewall in the jurisdictional waters of Spain without the gravest breach of that neutrality proclaimed in the first article of the royal decree of June 17, 1861.

Your excellency will perceive that this is a new question, entirely distinct and apart from the question of repairs, in which regret that I have not been able to agree with your excellency, and have thought it necessary to reserve the rights of my government. But I am confident that in this new question there can be no disagreement between your excellency's manner of interpreting the neutral obligations of her Majesty's government under the royal decree and my own, and beg that orders may be promptly sent to the proper authorities at Ferrol, to prevent the transshipment of men and warlike stores from the recently arrived steamer to the Stonewall; and if this has already been effected in whole or in part, to compel these things to be returned to the state in which they were before these two ships met.

I have the honor to enclose a copy of the first and third articles of the royal decree of June 17, 1861, and take advantage of the occasion to renew to your excellency the assurance of my most distinguished consideration.

To his Excellency the MINISTER OF STATE of H. C. M.

HORATIO J. PERRY.

[Translation, royal decree of 17th June, 1861.]

ARTICLE 1. It is prohibited in all the ports of the monarchy to fit out, provision, or equip any privateer vessel, whatever may be the flag she wears.

ARTICLE 3. It is prohibited to the vessels-of-war or privateers with prize to enter or remain for more than twenty-four hours in the ports of the monarchy unless it be in case that they cannot keep the seas. Whenever this case occurs the authorities will watch the vessel and oblige her to get to sea as soon as possible, without permitting her to supply herself with more than what is necessary for the moment, but in no case with arms nor munitions of war.

Legation of the United States of America,

Madrid, February 19, 1865.

DEAR SIR: The failure of this government to perform what they had agreed personally with me to do in the matter of repairs to the Stonewall was brought about, as stated, by the fear of the O'Donnell opposition, and the counsel of the representatives of France and England. Mr. Mercier said to me that, in his opinion, his own government had gone too far in the case of the Rappahannock. But I feel called upon to say, in addition, that this government would not have failed me, notwithstanding these motives, if it had not been for another circumstance.

You cannot get it out of the heads of these European governments that an ambassador or a minister is an officer with whom they must guard much more consideration than with a secretary of legation, accidentally chargé d'affaires.

In all cases of persuasion merely an officer of the lower grade will do; but whenever it comes at all to an appreciation not merely of the weight of the arguments adduced, but also to the weight of the authority at the back of the person who uses them, the secretary of legation is at an immense disadvantage. This consideration has been the turning point in the present case. I am informed, in a manner which leaves no room for doubt, that when the state department was pressed to fall back from the decision of no repairs, as already stated, and the difficulty arose that this decision had already been announced to me, it was answered by the reflection that Perry was only a secretary of legation acting ad interim, and that they would immediately send all the papers

to Mr. Tassara, who would arrange it with Mr. Seward, and get my action disapproved.

In short, they were not bound nor could they be expected to pay the same attention to a chargé acting ad interim as to a minister regularly accredited, and who must be taken to speak with the whole authority of his government. And this argument turned the scale, and the course referred to was adopted. Faithfully, your obedient servant,

Hon. WILLIAM H. SEWARD,

HORATIO J. PERRY.

Secretary of State.

Mr Seward to Mr. Perry.

. No. 68.]

DEPARTMENT OF STATE, Washington, February 20, 1865.

SIR: The Europa's mails arrived this morning, and our out-going mails must be closed to-morrow morning.

Your despatch of February 4, No. 162, is received. Collating its statements with telegraphic despatches which speak of a piratical vessel having entered Ferrol for repairs, and with despatches from Nantes and Paris in regard to one or more pirates having been clandestinely fitted out at Houat island, I find it impossible as yet to determine what has happened and what has not happened anywhere; nevertheless, I am able to approve of all your proceedings as they are represented to me. It will be your duty, as you find yourself justified by further developments, to represent to the Spanish government that the United States cannot consent to endure piratical warfare from Europe under the care of an insurrection that is without ports or courts. We ask from the governments of maritime states the enforcement upon their subjects of peace towards us, just as we enforce it upon citizens of the United States towards them. I am glad to learn that the secretary of state for foreign affairs has indicated to you a disposition to maintain these obligations. Now is a propitious time by wise administration to establish the relations between Spain and the United States upon the basis of peace and lasting friendship. Expecting, with much solicitude, the reply of her Catholic Majesty's government to your judicious representations,

I have the honor to be, sir, your obedient servant,

HORATIO J. PERRY, Esq., &c., &c., Madrid.

WILLIAM H. SEWARD.

Mr. Perry to Mr. Seward.

No. 168.]

LEGATION OF THE UNITED STATES,
Madrid, February 20, 1865.

SIR: I had the honor to send you telegrams on the 17th and 18th instant, through our consuls at Liverpool and Queenstown, which will reach you a week previous to this despatch.

I enclose to-day copies of the series of my telegrams on the subject of the Stonewall from the night of the 9th to the night of the 18th instant, 22 in number, a part of which ought to have accompanied my despatches Nos. 166 and 167, as will be seen by their dates and contents.

I am happy to inform you that since my protest of the 9th instant I find the current of this business changed in all quarters, and I trust it is no longer premature to announce that the career of this formidable ram as a vessel-of-war hostile to the United States is now definitively closed.

On the morning of the 10th instant I saw Mr. Mercier, the French ambassador, and put in his hand a copy of my protest of the night before.

He had on his table also a copy of the letter I addressed to Mr. Bigelow, chargé d'affaires at Paris, dated the 8th instant, (enclosure with despatch No. 165, marked D.) Mr. Mercier was evidently moved by these papers; he defended, however, the ground that the Spanish government were bound to allow all those repairs which belonged to the navigabilité or seaworthiness of the ship. I maintained the distinction between an iron-clad ram and a wooden ship of the ordinary build, fit for peace or war; but above all, I said, pleasantly but firmly, that the United States were resolved to put an end to this fitting out of naval expeditions in Europe to be used against us in America. The case of the Stonewall lay between France and Spain. The ship had been built, manned and equipped in the waters of France, till it took the full form of a formidable. armed expedition against the United States, organized and completed in France, except so far as belonged to the repairs of the ship sought to be made in Spain. It struck me that in so far as the ambassador could magnify the theoretical importance of the work doing in Spain, by just so much would he diminish the part of responsibility belonging to France in this enterprise. I hoped that instead of persuading the Spaniards, as he sought to persuade me, that they could put this machine of war into good working order without engaging their responsibility with the United States, he would consider whether it would not avoid a good many disagreeable complications if we could stop this expedition entirely, just where it is. He said that Mr. Drouyn de Lhuys had sent him no instructions, and there had been plenty of time to send him a telegram if the minister had wished him to take any part in the matter. I inquired whether Mr. Bigelow would have enjoyed a sufficient dergee of contact with Mr. Drouyn de Lhuys to have impressed the latter with the circumstances of this case, as we looked upon them and as he (Mr. Mercier) well knew they would be regarded in the United States. Mr. Mercier gave his testimony to the zeal and ability of Mr. Bigelow, and was certain he would not have left undone anything that could be done. I most heartily concurred in the same opinion, but nevertheless urged Mr. Mercier to himself write to Mr. Drouyn de Lhuys, giving him his ideas of the matter in case that minister might wish to take any action. That interview closed cordially, without Mr. Mercier's giving me any definite reply, the whole being conducted in the tone of a frank and friendly morning call, with as little of an official air as possible.

On Friday, the 17th instant, Mr. Mercier sent to the Spanish minister of state (Mr. Benavides) a little note enclosing a telegraphic instruction from Mr. Drouyn de Lhuys to Mr. Mercier, informing him that a commission rogatoire had issued from the French government to inquire into the circumstances of the abduction of several French sailors by the Stonewall, as was alleged, against their will, and directing him to request the Spanish government to detain that ship until this business could be settled. I saw the original note and the telegram as it was deciphered and sent to the Spanish state department.

Mr. Benavides informed me, on the 18th instant, also, that I was under obligations to Mr. Mercier for many good offices in this business of the repairs of the Stonewall; that he had recently seen him several times, and talked with him in a manner much to favor my pretensions in this matter.

Mr. Mercier, however, has not himself communicated a word to me about his action, since our interview of the 10th instant, which was as related.

On the 11th instant I received from Mr. Bigelow the letter marked B, informing me that no assistance was to be expected from the French government. This letter was written on the 8th instant, the day previous to my protest. The repairs on the Stonewall were diminished, in fact, as reported to you in my No. 166, of 14th instant. On the 15th they were completed, leaving her in such state, that on the evening of the 17th I received the telegram No. 10 from

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