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The Diplomatic Correspondence of the American Revolution, Vol. 09

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Title: The Diplomatic Correspondence of the American Revolution, Vol. 09

Editor: Jared Sparks


        
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Produced by Frank van Drogen, Chris Logan and the Online
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by the Bibliothèque nationale de France (BnF/Gallica) at
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THE

DIPLOMATIC CORRESPONDENCE

OF THE

AMERICAN REVOLUTION.

VOL. IX.




THE

DIPLOMATIC CORRESPONDENCE

OF THE

AMERICAN REVOLUTION;

BEING

THE LETTERS OF BENJAMIN FRANKLIN, SILAS DEANE, JOHN ADAMS, JOHN JAY,
ARTHUR LEE, WILLIAM LEE, RALPH IZARD, FRANCIS DANA, WILLIAM
CARMICHAEL, HENRY LAURENS, JOHN LAURENS, M. DE LAFAYETTE, M. DUMAS,
AND OTHERS, CONCERNING THE FOREIGN RELATIONS OF THE UNITED STATES
DURING THE WHOLE REVOLUTION;

TOGETHER WITH

THE LETTERS IN REPLY FROM THE SECRET COMMITTEE OF CONGRESS, AND THE
SECRETARY OF FOREIGN AFFAIRS.

ALSO,

THE ENTIRE CORRESPONDENCE OF THE FRENCH MINISTERS, GERARD AND LUZERNE,
WITH CONGRESS.


Published under the Direction of the President of the United States,
from the original Manuscripts in the Department of State, conformably
to a Resolution of Congress, of March 27th, 1818.


EDITED

BY JARED SPARKS.


VOL. IX.


BOSTON:

NATHAN HALE AND GRAY & BOWEN;

G. & C. & H. CARVILL, NEW YORK; P. THOMPSON, WASHINGTON.


1830.




Steam Power Press--W. L. Lewis' Print.

No. 6, Congress Street, Boston.




CONTENTS

OF THE

NINTH VOLUME.


WILLIAM CARMICHAEL'S CORRESPONDENCE.

                                                                 Page.

    To the Committee of Secret Correspondence. Amsterdam,
    November 2d, 1776,                                               5

        Sent by Mr Deane on a mission to Berlin.--Disposition of
        the Dutch.--Financial credit of the different
        powers.--Credit of the United States.--Plan for
        attacking the English coasts.--The conduct of Congress
        in relation to Portugal has made a favorable
        impression.--Offers of a House in Amsterdam to discount
        bills of Congress, drawn on certain conditions.

    To William Bingham, at Martinique. Paris, June 25th to July
    6th, 1777,                                                      14

        Reasons for opening a correspondence with him.--Causes
        of the temporising policy of France.--The English loan
        completed at home.--Dispute between Spain and
        Portugal.--Warlike preparations of France and Spain.

    To the President of Congress. Yorktown, June 17th, 1778,        19

        Receives information of his appointment as Secretary to
        the Commissioners.

    To the President of Congress. Off Reedy Island, November
    25th, 1779,                                                     19

        Acknowledges the reception of certain resolutions of
        Congress.

    To the President of Congress. Martinique, December 27th,
    1779,                                                           20

        Naval operations of the English and French in the West
        Indian Seas.

    To John Jay. Madrid, February 18th, 1780,                       21

        Interview with the Count de Florida Blanca, who promises
        to answer Mr Jay's letter.--Advises Mr Jay to prepare
        for a journey to Madrid.--Mr Lee's correspondence.

    To the President of Congress. Madrid, February 19th, 1780,      23

        Favorable reception.--Kindness of the French Ambassador
        and of M. Gerard.--English forces.

    To the Committee of Foreign Affairs. Aranjues, May 28th,
    1780,                                                           24

        Difficulty of communication.--Dispositions of the
        Spanish Court.--English policy in Spain.--Dispositions
        of the other European powers.--Bills on Mr Jay.

    To the Committee of Foreign Affairs. Madrid, July 17th,
    1780,                                                           30

        Mr Cumberland, English agent at Madrid.

    To the Committee of Foreign Affairs. St Ildefonso, August
    22d, 1780,                                                      32

        Finances of Spain.--Mr Cumberland.--Armed
        neutrality.--Naval forces and operations of France and
        Spain.--M. Gardoqui succeeds M. Miralles.

    To the Committee of Foreign Affairs. St Ildefonso, September
    9th, 1780,                                                      38

        Failure of the Spanish loan attributed to M.
        Necker.--Scheme of the loan.--Unsettled policy of
        Spain.--Armed neutrality.--The navigation of the
        Mississippi the chief obstacle to the opening of
        negotiations with Spain.

    To the Committee of Foreign Affairs. St Ildefonso, September
    25th, 1780,                                                     43

        Supplies from Spain.--Conference with the Count de
        Florida Blanca.--The Count declares that Spain will
        never relinquish the exclusive navigation of the
        Mississippi.--Finances of the belligerent powers.--The
        Count de Montmorin.

    To the Committee of Foreign Affairs. Madrid, October 15th,
    1780,                                                           47

        The Spanish government finds it difficult to raise
        money.--The armed neutrality and Holland.--Revolt in
        Peru.

    To the Committee of Foreign Affairs. Madrid, November 28th,
    1780,                                                           50

        Finances and financial operations of Spain.--Vigorous
        preparations of England.--Spain aims at the exclusive
        possession of the Gulf of Mexico.--The European powers
        are jealous of the House of Bourbon.--Suggests the
        expediency in securing the alliance of Spain by further
        concessions.--Proceedings in Holland.--The Count de
        Vergennes informs Mr Jay that France cannot pay the
        bills drawn on him.

    To the Committee of Foreign Affairs. Madrid, December 19th,
    1780,                                                           56

        Amount of bills drawn on Mr Jay.--Accession of Holland
        to the armed neutrality.--Disposition of the
        Emperor.--Mr Cumberland continues to reside at Madrid.

    To the Committee of Foreign Affairs. Madrid, January 4th,
    1781,                                                           58

        England declares war against Holland.--Supplies promised
        by Spain.

    To the Committee of Foreign Affairs. Madrid, January 29th,
    1781,                                                           59

        Offer of mediation by the German Emperor and the Empress
        of Russia.--Spanish policy in regard to America.

    To the Committee of Foreign Affairs. Madrid, February 22d,
    1781,                                                           62

        Supplies.--Imperial offer of mediation.--Russia
        unfavorably disposed towards England.--English
        preparations.--French preparations.

    To the Committee of Foreign Affairs. Madrid, March 4th,
    1781,                                                           66

        M. Gardoqui.--The correspondence of the American
        Ministers is known to the European governments, by
        opening the letters.

    To the Committee of Foreign Affairs. Madrid, March 11th,
    1781,                                                           68

        Mr Cumberland intends to leave Spain.--Naval forces of
        the belligerents.--Bad consequences of the mutiny of the
        Pennsylvania line.

    To the Committee of Foreign Affairs. Aranjues, May 25th,
    1781,                                                           69

        Secret armament preparing at Cadiz.--Difficulty of
        communicating safely with America.

    To the Committee of Foreign Affairs. Aranjues, May 26th,
    1781,                                                           70

        Naval operations.--Supplies granted by France.--Probable
        destination of the force raising in the South of Spain.

    To the Committee of Foreign Affairs. Aranjues, June 2d,
    1781,                                                           72

        Dismission of M. Necker disagreeable to the Court of
        Spain.--M. Necker not favorable to the granting of
        supplies to the United States.--His character.--Proposed
        mediation by the Court of Vienna.

    James Lovell to William Carmichael. Philadelphia, June 15th,
    1781,                                                           74

        His communications have been valuable to Congress.

    To the Committee of Foreign Affairs. St Ildefonso, August
    16th, 1781,                                                     75

        Progress of the negotiations.--Loans raised by
        Spain.--Bills on Mr Jay.--Apprehensions that the demands
        of Spain may delay the general peace.

    To the Committee of Foreign Affairs. St Ildefonso, September
    28th, 1781,                                                     78

        The Court promises to appoint a person to treat.--M. Del
        Campo.--Little prospect of a general negotiation.

    To the Committee of Foreign Affairs. Madrid, October 5th,
    1781,                                                           81

        No progress has been made in the
        negotiation.--Complaints against Commodore Gillon.--The
        rebellion in Peru quelled.

    To the Committee of Foreign Affairs. Madrid, November 17th,
    1781,                                                           84

        Arrest of an English agent.--No progress towards opening
        a conference with Mr Jay.--Animosity of the Irish at the
        Spanish Court against America.--Account of M.
        Cabarrus.--Spanish expedition against their
        Colonies.--French naval expeditions.--State of affairs
        in Holland and France.

    Robert R. Livingston to William Carmichael. Philadelphia,
    December 20th, 1781,                                            91

        Mr Carmichael's communications valuable to
        Congress.--Commodore Gillon is not in a United States
        ship.--Delays of Spain beget feelings of ill-will in
        America.--Evacuation of Wilmington.

    To Robert R. Livingston. Madrid, December 20th, 1781,           94

        Motives of his correspondence.--Delays of
        Spain.--General satisfaction in Spain at the capture of
        Lord Cornwallis.--Imperial and Swedish Ambassador desire
        to favor the trade with America.--Advances by M.
        Cabarrus.--State of the sieges of Gibraltar and
        Mahon.--M. Cabarrus's plan of a new bank.--Spain
        endeavors to discourage the commerce of foreigners in
        her ports.--Attempt to exclude salt-fish, by the sale of
        indulgences permitting the use of meat on fast
        days.--Character of the Spanish Ministry.

    To Robert R. Livingston. Madrid, December 24th, 1781,          102

        Mr Jay receives promises of supplies.--The Count de
        Florida Blanca also promises to interfere with Portugal
        in favor of the United States.--Probable consequences
        of the death of the Empress.--Proceedings of England.

    To Robert R. Livingston. Madrid, Feb. 18th, 1782,              105

        Difficulty of meeting the drafts.--Financial
        embarrassments of the Spanish Court.--Capitulation of
        Mahon.--Imperial mediation.--Reply of Lord Stormont to
        the proposal.

    To Robert R. Livingston. Madrid, February 27th, 1782,          111

        Mr Jay is unable to obtain supplies.--No progress made
        toward negotiations.--The King of England is said to be
        determined to push the war in America.

    To Robert R. Livingston. Madrid, April 14th, 1782,             113

        Mr Jay obliged to protest bills.--Conduct of the Spanish
        Minister on this occasion.--The Spanish Court delays
        negotiations from policy.--Colonial
        disturbances.--Reforms of the Emperor.

    Robert R. Livingston to William Carmichael. Philadelphia,
    May 1st, 1782,                                                 120

        Desires a continuance of his correspondence.--Affair of
        Captain Huddy.

    To Robert R. Livingston. Madrid, June 12th, 1782,              122

        The Spanish Ministers show no inclination to
        treat.--Jealousy of the House of Bourbon among the
        European powers.--Financial difficulties of
        Spain.--Siege of Gibraltar.

    Robert R. Livingston to William Carmichael. Philadelphia,
    July 6th, 1782,                                                124

        Complains of want of information.--Payment of salaries.

    To Robert R. Livingston. St Ildefonso, July 8th, 1782,         126

        Interview with the Count de Florida
        Blanca.--Conversation with M. Del Campo.--New offer of
        mediation from the Imperial Courts.

    To Robert R. Livingston. St Ildefonso, July 22d, 1782,         129

        Count de Florida Blanca's answer to the proposed
        mediation.--The neutral powers desire a Congress.

    To Robert R. Livingston. St Ildefonso, September 8th, 1782,    132

        Interview with the Count de Florida Blanca.

    Robert R. Livingston to William Carmichael. Philadelphia,
    September 12th, 1782,                                          135

        State of affairs in America.

    To Robert R. Livingston. St Ildefonso, September 29th, 1782,   137

        Failure of the attack on Gibraltar.--Financial
        embarrassments of Spain.--State of the negotiations at
        Paris.--The preparations for war continue.

    Count de Florida Blanca to William Carmichael. St Lorenzo,
    October 14th, 1782,                                            141

        The English frigate carried into Cadiz by American
        seamen is ordered to be sold, and the proceeds to be
        deposited to the credit of Congress.

    To Robert R. Livingston. Madrid, October 29th, 1782,           142

        The progress of the negotiations will be impeded by
        Spain.

    Robert R. Livingston to William Carmichael. Philadelphia,
    November 28th, 1782,                                           144

        America will make no peace inconsistent with her
        engagements to her allies.--State of the military forces
        in America.

    To Robert R. Livingston. Madrid, December 10th, 1782,          147

        Terms of the treaty between Great Britain and the United
        States.

    To Robert R. Livingston. Madrid, December 30th, 1782,          149

        Dissatisfaction of Spain with the conclusion of the
        treaty.--Letter from M. de Lafayette.--Financial
        operations in Spain.--Receives the ceremonial visits of
        the _Corps Diplomatique_.--Intends to leave Spain, if
        the Court does not change its conduct.--Divisions in
        Holland.

    To Robert R. Livingston. Madrid, January 18th, 1783,           154

        Interruptions of the communication with
        America.--Endeavors to induce the Ministry to receive
        him formally.--M. Gardoqui will soon be despatched on a
        mission.--The Ministry desires peace.

    To Robert R. Livingston. Madrid, February 21st, 1783,          158

        Is formally received as _Chargé d'Affaires_ of the
        United States, through the influence of M. de Lafayette.

    To Robert R. Livingston. Madrid, March 13th, 1783,             161

        Dines with the Count de Florida Blanca.--Supposed
        motives of the offer of mediation by the Imperial
        Courts.--Reported confederacy of Russia, Austria, and
        Prussia for the partition of Turkey.--State of affairs
        in England.--Friendly propositions from other
        powers.--The army and navy commissaries have agreed to
        obtain supplies from America.--Proposes M. Josè Llanos
        as Minister to the United States.--Recommends the
        nomination of distinguished Spaniards as members of
        American societies.

    Robert R. Livingston to William Carmichael. Philadelphia,
    May 7th, 1783,                                                 169

        The past conduct of Spain has not been such as to
        conciliate America.--She ought not to exclude America
        from the privileges allowed to Great
        Britain.--Operations of the provisional treaty.

    To Robert R. Livingston. Madrid, July 19th, 1783,              172

        Receives assurances of the favorable disposition of the
        King.--The Spanish-Americans treat him as their
        countryman.--Plans of Austria and Russia.--Mr Fox raises
        difficulties to the conclusion of the Definitive
        Treaty.--Points in the treaty with Spain.--Spanish
        expedition against Algiers.

    To Robert R. Livingston. Madrid, July 22d, 1783,               179

        Dispersion of the armament against Algiers by stress of
        weather.--Slow progress of the negotiations at Paris.

    From the Saxon Minister in Spain to William Carmichael.
    Madrid, July 28th, 1783,                                       181

        Establishment of commercial relations with America.

    To Robert R. Livingston. Madrid, July 29th, 1783,              183

        Proceedings relative to the formation of commercial
        connexions between Saxony and the United States.--Treaty
        between France, Spain and Portugal.

    To Robert R. Livingston. Madrid, August 2d, 1783,              184

        M. Thieriot appointed Saxon Commissary-General of
        Commerce in America.

    To Robert R. Livingston. St Ildefonso, August 30th, 1783,      185

        Interview with the Count de Florida Blanca.--Objections
        of that Minister to his presentation.--Second interview
        on the same subject.--The King consents to fix a day for
        his presentation.--The presentation.


JOHN LAURENS'S CORRESPONDENCE.

    Instructions to John Laurens. In Congress, December 23d,
    1780,                                                          199

    Additional Instructions to John Laurens. In Congress,
    December 27th, 1780,                                           201

    To the President of Congress. Philadelphia, January 3d,
    1781,                                                          203

        Method of obtaining supplies.

    To the President of Congress. Boston, February 4th, 1781,      204

        Delay of his departure.

    To the President of Congress. Boston, February 7th, 1781,      206

        Preparations for sailing completed.

    To the President of Congress. L'Orient, March 11th, 1781,      207

        Remains at L'Orient in expectation of an interview with
        the Marquis de Castries.--Naval preparations at Brest.

    To the President of Congress. Passy, March 20th, 1781,         208

        Conversation with the Marquis de Castries.--Answer of
        the Count de Vergennes to the application of Congress
        for aid, granting six millions.--Urges the necessity of
        further aid.--Naval forces of the belligerents at sea.

    Memorial to the Count de Vergennes,                            211

        On the necessity of further aid in money, and of a naval
        superiority of the allies.--Answer to the objections
        made to the raising of a loan in France by the United
        States.

    Questions proposed to Colonel Laurens, with his Answers to
    them. Paris, March 29th, 1781,                                 218

        Advantages of augmenting the army.--Causes of the
        weakness of the southern army.

    To the President of Congress. Versailles, April 9th, 1781,     220

        France consents to guaranty a loan of ten millions to be
        opened in Holland.--Solicitations for supplies.

    Memorial from Colonel John Laurens to Count de Vergennes,      222

        Represents the grant already made to be insufficient and
        requests supplies in arms, &c. on credit.--Desires the
        amount of the loan proposed to be raised in Holland may
        be advanced by France.--Urges the necessity of
        maintaining a naval superiority in the American seas.

    To the President of Congress. Paris, April 24th, 1781,         226

        Remittance of the aid in specie.--Reasons for engaging
        the South Carolina ship, the Indian, for the
        conveyance.--Nature of supplies in arms, ammunition, &c.

    Memorial from John Laurens to the Director-General of
    Finance,                                                       230

        Urging the increase of the intended remittance of
        specie.

    To the President of Congress. Paris, May 15th, 1781,           231

        Failure of the plan of obtaining remittances from Vera
        Cruz.--Refusal of Holland to countenance the proposed
        loan in that country.--Promises of additional succors
        from France.

    Count de Vergennes to John Laurens. Versailles, May 16th,
    1781,                                                          233

        Disposition of the six millions granted by
        France.--Additional grant of four millions.--The
        proposed loan of ten millions shall be advanced by
        France.--Military and naval operations.

    To the President of Congress. Philadelphia, September 2d,
    1781,                                                          235

        General account of his proceedings on his late mission
        to France, as contained in the preceding letters.

    To the President of Congress. Philadelphia, September 6th,
    1781,                                                          247

        Confinement of Henry Laurens in the Tower.


CORRESPONDENCE OF C. W. F. DUMAS.

    B. Franklin to M. Dumas. Philadelphia, December 19th, 1775,    255

        Acknowledges the reception of certain works of M.
        Dumas.--Requests him to sound the Ministers to discover
        if America can expect countenance from any of the
        European powers in declaring independence.--State of the
        country.--Desires that skilful engineers may be sent
        out.

    B. Franklin to C. W. F. Dumas. Philadelphia, March 22d,
    1776,                                                          260

        Introducing Mr Deane.

    To B. Franklin, Chairman of the Committee of Secret
    Correspondence. Utrecht, April 30th, 1776,                     260

        Conversation with the French Minister relative to
        rendering assistance to the Colonies.--Writings of M.
        Dumas.--Receives a letter without signature, desiring a
        meeting at the Hague.

    To the Committee of Secret Correspondence. Utrecht, May
    14th, 1776,                                                    267

        Interview with the writer of the letter from the
        Hague.--Letter from Mr A. Lee recommending Hortalez.

    To the Committee of Secret Correspondence. August 10th,
    1776,                                                          271

        Extract of a letter from Mr Lee, recommending Hortalez
        to his confidence.--Correspondence with the person with
        whom he had the interview at the Hague.--Interview with
        the same person and with the Spanish Ambassador.--Mr
        Ellis requests him to write to America that there is a
        strong American party in England.

    Arthur Lee to C. W. F. Dumas. London, July 6th, 1776,          276

        Introducing Mr Ellis.--State of affairs in America.

    Silas Deane to C. W. F. Dumas. Paris, July 26th, 1776,         277

        Desires to correspond with him.--Wishes to know if there
        would be any personal risk in visiting Holland.

    Arthur Lee to C. W. F. Dumas. London, August 13th, 1776,       278

        The Colonial expenses of Great Britain were undertaken
        for her own benefit.--Scotch hostile to America.

    Silas Deane to C. W. F. Dumas. Paris, August 18th, 1776,       280

        Intends visiting Holland in a private character.--The
        American Colonies do not desire aid nor alliances, but
        only free commerce.

    William Lee to C. W. F. Dumas. London, September 10th, 1776,   282

        The declaration of Independence changes the character of
        the contest between Great Britain and America.--England
        uses every means to prevent the interference of France.

    Silas Deane to C. W. F. Dumas. Paris, September 11th, 1776,    283

        If free commerce were allowed America, the Colonies
        would need no assistance.--The English Ambassador is
        acquainted with Mr Deane's official character.

    Arthur Lee to C. W. F. Dumas. London, September 23d, 1776,     285

        Sentiments of the English nation.--Character of the
        English Ministry.

    To the Committee of Secret Correspondence. September 30th,
    1776,                                                          288

        Communicates his letters from America in a certain
        quarter.--Reasons for signing an assumed name.

    B. Franklin to C. W. F. Dumas. Philadelphia, October 1st,
    1776,                                                          290

        Acknowledging the receipt of letters.

    Silas Deane to C. W. F. Dumas. Paris, October 3d, 1776,        291

        Obtains an opportunity of sounding the sentiments of the
        Prussian Cabinet.

    Silas Deane to C. W. F. Dumas. Paris, October 6th, 1776,       291

        Disposition of the American people in regard to an
        accommodation.--American commerce.

    Silas Deane to C. W. F. Dumas. Paris, October 9th, 1776,       294

        Introducing Mr Carmichael.

    Silas Deane to C. W. F. Dumas. Paris, October 13th, 1776,      295

        Treatment of an American citizen in Holland.

    William Carmichael to C. W. F. Dumas. Amsterdam, October
    22d, 1776,                                                     296

        Informing him of his intended visit.

    Committee of Secret Correspondence to C. W. F. Dumas.
    Philadelphia, October 24th, 1776,                              297

        Dr Franklin appointed Commissioner to the French
        Court.--Committee of Secret Correspondence.

    William Carmichael to C. W. F. Dumas. Amsterdam, October
    27th, 1776,                                                    298

        Requesting certain papers.

    Arthur Lee to C. W. F. Dumas. London, November 15th, 1776,     299

        Disposition of the British Court.--The Rockingham party
        proposes to secede from Parliament.--Cause of the
        advantage gained by the English on Long Island.

    Silas Deane to C. W. F. Dumas. Without date,                   301

        Difficulties of his situation.--Prospect of ultimate
        success.

    Silas Deane to C. W. F. Dumas. Paris, December 13th, 1776,     304

        Arrival of Dr Franklin in France.

    William Carmichael to C. W. F. Dumas. Havre, January 21st,
    1777,                                                          304

        Return from a tour in Germany.--Impolicy of the present
        measures of France.

    Arthur Lee to C. W. F. Dumas. Paris, January 26th, 1777,       305

        Want of intelligence from America.--Interest of Holland
        to secure the commerce with America.

    B. Franklin to C. W. F. Dumas. Paris, January 29th, 1777,      307

        Forwarding letters from America.

    William Lee to C. W. F. Dumas. London, March 21st, 1777,       308

        State of the British and American forces.

    Silas Deane to C. W. F. Dumas. Paris, April 2d, 1777,          309

        Enclosing a remittance.

    To the Committee of Foreign Affairs. The Hague, April 12th,
    1777,                                                          310

        Inadequacy of the allowance hitherto made him.

    William Carmichael to C. W. F. Dumas. Paris, April 28th,
    1777,                                                          312

        Dangers of the temporizing policy of the European powers
        toward America.--Mr Carmichael is offered a pension on
        condition of bringing the Colonies to terms.--The
        acknowledgment of the independence of America by the
        European States is all that is necessary to her success.

    The Committee of Foreign Affairs to C. W. F. Dumas.
    Philadelphia, May 8th, 1777,                                   314

        Desiring him to communicate information to the
        Commissioners at Paris.

    William Carmichael to C. W. F. Dumas. Paris, May 9th, 1777,    315

        English papers intercepted.--False rumors propagated by
        the English Ministry.--Arrogant policy of that Court.

    B. Franklin to C. W. F. Dumas. Passy, near Paris, May 12th,
    1777,                                                          317

        Communicates advices from America.

    To the Committee of Foreign Affairs. Amsterdam, May 16th,
    1777,                                                          318

        The author of 'Advice to Hessians,' threatened with
        arrest.

    Silas Deane to C. W. F. Dumas. Paris, June 7th, 1777,          319

        Reports of reconciliation spread by English
        agents.--There will be no accommodation without an
        acknowledgment of independence.--The balance of power in
        Europe is a mere chimera.--One power must finally
        preponderate.--Growing importance of Russia.

    William Carmichael to C. W. F. Dumas. Paris, June 13th,
    1777,                                                          323

        American privateering.--Preparations for the war in
        England.--Had the English operations been successful in
        America, the same tone would have been assumed towards
        France as Holland.

    To the Committee of Foreign Affairs. June 14th, 1777,          326

        Disposition of the Dutch towards America.--Success is
        necessary to gain Holland.--The Dutch houses refuse to
        take up the English loan.--Ignorance of American affairs
        in Europe.

    To the Committee of Foreign Affairs. August 22d, 1777,         327

        Subject to persecutions on account of his agency in the
        American service.--Dutch vessels captured by the
        English.

    To the Committee of Foreign Affairs. The Hague, October
    14th, 1777,                                                    329

        Meeting and proceedings of the States-General.

    To the Committee of Foreign Affairs. December 16th, 1777,      330

        Impression produced by the news of Burgoyne's
        capture.--Proceedings of the States-General.

    To the Committee of Foreign Affairs. The Hague, April 14th,
    1778,                                                          332

        Effect of the declaration of France in Holland.--The
        Republic will maintain her neutrality.

    To M. Van Berckel, Pensionary of Amsterdam. July 27th, 1778,   333

        Communicating the treaty between France and the United
        States.

    M. Van Berckel to C. W. F. Dumas. Amsterdam, July 31st,
    1778,                                                          334

        Disposition of the Regency of Amsterdam to enter into
        amicable and commercial relations with the United
        States.

    To M. Van Berckel. The Hague, August 17th, 1778,               335

        Rejection of the propositions of the British
        Commissioners by the United States.--Extract of a letter
        from W. Lee, complaining of the indecision of Holland.

    To the Committee of Foreign Affairs. The Hague, December 3d,
    1778,                                                          337

        Amsterdam protests against the resolution of the States,
        refusing a convoy to ships carrying naval stores to
        France.

    Memorial, presented by his Excellency, the Duc de la
    Vauguyon, Ambassador of France, to the States-General of the
    United Provinces. The Hague, December 7th, 1778,               338

        Necessity that Holland should protect her commerce, if
        she desires to enjoy the privileges of neutrality.

    To the Commissioners at Paris. The Hague, December 18th,
    1778,                                                          340

        The Admiralty gives an evasive answer to the Memorial of
        the French Ambassador.--This answer adopted by the
        States.--Amsterdam protests.--The English Court declares
        its intention of seizing Dutch ships carrying munitions
        of war to France.

    To the Committee of Foreign Affairs. The Hague, December
    25th, 1778,                                                    342

        Resolution of the States and protest of
        Amsterdam.--Desires letters of credence.--Inadequacy of
        his compensation.

    To the Committee of Foreign Affairs. The Hague, January 1st,
    1779,                                                          345

        Containing a note of the Duc de la Vauguyon, explanatory
        of his Memorial; the answer of the States of Holland to
        the same, and the protest of Amsterdam against the
        answer.--The answer adopted by the
        States-General.--English influence at the Dutch
        Court.--The French Ambassador has a declaration of his
        Court excluding Holland from the French order in favor
        of neutrals.

    To the Commissioners at Paris. The Hague, January 12th,
    1779,                                                          351

        Proceedings of the States of Holland.--The American
        interest gains ground.--The Duc de la Vauguyon presents
        to the States-General the order excluding Holland from
        the privileges of neutrals.--Proceedings in relation to
        the same.

    To the Committee of Foreign Affairs. The Hague, March 1st,
    1779,                                                          357

        Desires to be invested with the character of _Chargé
        d'Affaires_ of the United States.--His past services.

    To the Committee of Foreign Affairs. The Hague, April 29th,
    1779,                                                          359

        Assembly of the States of Holland.--Misrepresentations
        on American affairs.

    To the Committee of Foreign Affairs. The Hague, May 15th,
    1779,                                                          360

        Naval force ordered to be equipped by the
        States-General, for purposes of convoy.

    M. Chaumont to C. W. F. Dumas. Passy, September 2d, 1779,      364

        Requesting him to render all necessary aid to the
        squadron of Commodore Jones.--Catalogue of the vessels
        composing the squadron.

    To B. Franklin. The Hague, September 14th, 1779,               365

        Proceedings in Holland and France relative to the
        granting convoys to Dutch commerce.

    To the Committee of Foreign Affairs. The Hague, September
    20th, 1779,                                                    366

        Intends going to Texel to meet Commodore Jones.

    Agreement between John Paul Jones and Captain Pearson,         367

        Relative to British prisoners in the squadron of
        Commodore Jones.

    The College of Admiralty of Amsterdam to the States-General.
    Amsterdam, Oct. 8th, 1779,                                     369

        On the request of Commodore Jones to be permitted to
        land his prisoners.

    Placard of 1756, referred to in the above letter,              370

        Containing directions for foreign vessels bringing
        prizes into Dutch ports.

    From the College of Admiralty of Amsterdam to the
    States-General. Amsterdam, Oct. 12th, 1779,                    373

        Proposing to grant permission to land the sick and
        wounded from Commodore Jones's squadron.

    Permission to land the sick and wounded of the English
    vessels taken by Paul Jones. Extract from the records of
    their High Mightinesses. October 15th, 1779,                   375

    Instructions of Holland and West Friesland to their
    Deputies,                                                      376

        Directing them to order the squadron of Commodore Jones
        to sail as soon as possible, according to the general
        practice of Holland in regard to belligerents bringing
        prizes into the Dutch ports.

    The Duc de la Vauguyon to John Paul Jones. The Hague,
    October 29th, 1779,                                            378

        Informing him that he will receive instructions at
        Dunkirk.

    Sir Joseph Yorke to the States-General. The Hague, October
    29th, 1779,                                                    379

        Demanding the seizure of the King's vessels in the hands
        of Paul Jones, a pirate and rebel.

    John Paul Jones to Lieutenant Colonel Weibert, in the
    service of the United States,                                  381

        Instructions for the care and safe keeping of the
        wounded prisoners landed on the island of Texel.

    John Paul Jones to the Duc de la Vauguyon. Texel, November
    4th, 1779,                                                     382

        Interview with the Commandant of the Road.--Causes of
        the delay of sailing.

    M. Dumas to the Duc de la Vauguyon. Helder, November 9th,
    1779,                                                          384

        Proceedings of Commodore Jones.

    To the Duc de la Vauguyon. On board the Serapis, November
    11th, 1779,                                                    386

        Visit to the Dutch Vice-Admiral in company with
        Commodore Jones.

    The Duc de la Vauguyon to C. W. F. Dumas. The Hague,
    November 11th, 1779,                                           387

        Landing of the prisoners.

    The Duc de la Vauguyon to C. W. F. Dumas. The Hague,
    November 12th, 1779,                                           388

        Directing Commodore Jones not to sail till he has
        received instructions.

    To the Duc de la Vauguyon. Nov. 13th, 1779,                    388

        The Dutch Vice-Admiral urges the departure of Commodore
        Jones.

    The Duc de la Vauguyon to C. W. F. Dumas. Amsterdam,
    November 17th, 1779,                                           389

        The States of Holland adopt a resolution to compel
        Commodore Jones to set sail.

    To the Committee of Foreign Affairs. The Hague, December
    9th, 1779,                                                     389

        Urgency of the Dutch Vice-Admiral for the departure of
        Commodore Jones.--M. Dumas reads to him a declaration,
        promising to set sail with the first fair wind.

    To the Committee of Foreign Affairs. December 10th, 1779,      391

        Resolutions of the States-General relative to Sir Joseph
        Yorke's demand of the seizure of Commodore Jones and his
        prizes.

    To the Committee of Foreign Affairs. The Hague, December
    11th, 1779,                                                    395

        Further proceedings relative to the squadron of
        Commodore Jones in consequence of the transference of
        the Commodore to the Alliance.

    John Paul Jones to the Duc de la Vauguyon. Alliance, Texel,
    December 13th, 1779,                                           396

        Rejecting the offer of a letter of marque from
        France.--Expresses his indignation at the offer.

    John Paul Jones to B. Franklin. Alliance, Texel, December
    13th, 1779,                                                    399

        Remarks on his treatment by the French Court.

    John Paul Jones to C. W. F. Dumas. Alliance, December 13th,
    1779,                                                          400

        Enclosing the preceding letters.

    Vice-Admiral Reynst to John Paul Jones. Amsterdam, December
    17th, 1779,                                                    401

        Requiring to be informed of the character of the
        Alliance, and demanding that the French flag be hoisted
        on board that frigate, or that she be put to sea without
        delay.

    John Paul Jones to Vice-Admiral P. H. Reynst. Alliance,
    Texel, December 17th, 1779,                                    401

        Refuses to hoist the French flag.--Is ready to put to
        sea whenever the pilot will conduct his ship.

    John Paul Jones to C. W. F. Dumas. Alliance, Texel, December
    17th, 1779,                                                    402

        Thanking him for his advice.

    M. de Livoncourt, French Navy Agent at Amsterdam, to John
    Paul Jones. Helder, December 17th, 1779,                       402

        Requesting him to hoist the French flag.--Reasons for
        addressing to him the commission alluded to in a
        preceding letter.

    John Paul Jones to C. W. F. Dumas. Alliance, at Sea,
    December 27th, 1779,                                           403

        Succeeds in getting to sea.

    To the Committee of Foreign Affairs. The Hague, December
    30th, 1779,                                                    404

        Difficulties on account of the Alliance.--Desires to be
        formally named agent of Congress.

    B. Franklin to C. W. F. Dumas. Passy, January 27th, 1780,      405

        Regrets his differences with the Ambassador.

    To the Committee of Foreign Affairs. The Hague, March 15th,
    1780,                                                          406

        Transmits the plan of a treaty between the United States
        and Holland.

    To the President of Congress. The Hague, March 21st, 1780,     407

        Enumeration of his services and sacrifices.--Inadequacy
        of his compensation.--Complains of William and Arthur
        Lee.

    B. Franklin to C. W. F. Dumas. Passy, March 29th, 1780,        412

        Acknowledging the receipt of certain papers and
        requesting information.

    To the President of Congress. The Hague, April 13th, 1780,     413

        Deliberations on the Russian Memorial to the
        States-General.--Resolutions in favor of unlimited
        convoys and declining succors to England, adopted by
        several Provinces.--Necessity of an American Minister in
        Holland.

    B. Franklin to C. W. F. Dumas. Passy, April 23d, 1780,         414

        Receives visits from gentlemen from Holland, who desire
        information relative to the rumored treaty between
        Amsterdam and the United States.

    To the President of Congress. The Hague, May 21st, 1780,       416

        Dissatisfaction of the northern powers with the conduct
        of England.--Address of Amsterdam to the States.--Claim
        of M. Van der Perre to a ship captured by Commodore
        Jones.

    John Adams to C. W. F. Dumas. Paris, June 6th, 1780,           417

        Relative to a certain letter of General Clinton,
        suspected of being a forgery.--Duplicity of the British
        agents in America.

    Protest of the City of Amsterdam. Extracted from the
    Resolutions of the Council of that City of the 29th of June,
    1780, and inserted in the Acts of the Provincial Assembly of
    Holland, at the Hague, July 1st, 1780,                         419

        Urging a connexion with the neutral powers.

    James Lovell to C. W. F. Dumas. Philadelphia, July 10th,
    1780,                                                          425

        Services of M. Dumas.--Introduces Mr Searle.

    To the President of Congress. The Hague, July 15th, 1780,      426

        Intrigues of England in Holland and Germany.--Affair of
        the choice of a Coadjutor of Munster and Cologne.

    To the President of Congress. The Hague, July 22d, 1780,       427

        Rumors unfavorable to America.--Declaration of Denmark.

    William Carmichael to C. W. F. Dumas. Madrid, July 24th,
    1780,                                                          429

        The Americans will not be discouraged by their
        reverses.--False report of Mr Jay's being sent from
        Spain.

    To the President of Congress. The Hague, July 25th, 1780,      430

        Past services.--Inadequate compensation.

    John Paul Jones to C. W. F. Dumas. Ariel, Road of Croix,
    September 8th, 1780,                                           433

        Reception in Paris.

    To the President of Congress. The Hague, September 12th,
    1780,                                                          435

        Naval operations.--Affairs of Europe.

    To B. Franklin. The Hague, October 3d, 1780,                   437

        Proposed terms of accession to the armed neutrality by
        Holland.--Plan of the Empress.

    Extract of Letters from London to C. W. F. Dumas. London,
    October 6th, 1780,                                             439

        Treatment of Mr Laurens in the Tower.

    To the President of Congress. Amsterdam, December 19th,
    1780,                                                          441

        Proceedings of the Provincial States of
        Holland.--Accession of the Republic to the armed
        neutrality.

    Robert Morris to C. W. F. Dumas. Philadelphia, December
    24th, 1780,                                                    445

        Attacks on his character.

    To the President of Congress. The Hague, February 5th, 1781,   446

        Proceedings in regard to the armed neutrality.--Reported
        rupture between Russia and England.

    To the President of Congress. The Hague, February 22d, 1781,   448

        Delays in the decision of the Court on the conduct of
        Amsterdam.

    To the President of Congress. The Hague, March 5th, 1781,      449

        Disposition of the Empress to support the demands of
        Holland against England.--The proposed imperial
        mediation will be founded on an acknowledgment of the
        independence of the United States.

    To the President of Congress. The Hague, March 22d, 1781,      450

        Causes of the delays in Holland.--Proceedings of the
        merchants of Amsterdam and Rotterdam relative to the
        seizure of St Eustatia.

    General J. H. Bedaulx to C. W. F. Dumas. Nimeguen, April
    28th, 1781,                                                    452

        Requesting information concerning his nephew in America.

    To the President of Congress. The Hague, May 1st, 1781,        453

        Mr Adams visits the Grand Pensionary, preparatory to
        presenting himself in the character of Minister of the
        United States.--The Grand Pensionary, the President of
        the States-General, and the Prince of Orange decline
        receiving the Memorial of Mr Adams.--Mr Adams causes it
        to be printed.--The President and the Privy Counsellor
        of the Prince decline receiving a letter from Mr Adams,
        announcing the completion of the
        confederation.--Amsterdam demands the exclusion of the
        Duke of Brunswick from the public councils.--Imperial
        mediation.--Coolness of the Emperor toward the Duke of
        Brunswick.

    To the President of Congress. The Hague, August 23d, 1781,     460

        French loan will be agreed to by the
        States-General.--Correspondence between the Stadtholder
        and Baron Lynden relative to the Duke of
        Brunswick.--Anti-Anglican proceedings in
        Holland.--Proceedings of the States of Holland in regard
        to the Duke of Brunswick's letter to the
        States-General.--French loan.

    To the President of Congress. The Hague, October 11th, 1781,   467

        Letter of Baron Lynden to the Prince of Orange in regard
        to the Duke of Brunswick.

    Robert R. Livingston to C. W. F. Dumas. Philadelphia,
    November 28th, 1781,                                           468

        Desires him to transmit journals and pamphlets.--Capture
        of Cornwallis.--Congress cannot make any addition to his
        allowance.

    To the President of Congress. Amsterdam, January 7th, 1782,    471

        The French loan has been taken up in one
        day.--Diminution of English influence in Holland.

    To the President of Congress. The Hague, January 15th, 1782,   473

        Visit to the Secretary of the States-General and the
        Deputies of the Province with Mr Adams, to demand
        permission to present his credentials.

    To the President of Congress. The Hague, January 30th, 1782,   474

        Proceedings of the States-General.

    To Robert R. Livingston. The Hague, March 29th, 1782,          475

        Friesland and Holland adopt resolutions in favor of the
        reception of Mr Adams.

    To Robert R. Livingston. Amsterdam, April 4th, 1782,           476

        Purchases a hotel for Mr Adams.--Mr Adams will probably
        be received without further delay.

    John Adams to C. W. F. Dumas. Amsterdam, May 2d, 1782,         477

        Declines the invitation to dine at Schiedam.--M. Dumas
        ought to be appointed _Chargé d'Affaires_ of the United
        States.

    Verbal message of C. W. F. Dumas to the city of Schiedam,      479

        Mr Adams declines the invitation to a dinner.

    To Robert R. Livingston. The Hague, May 10th, 1782,            479

        Reception of Mr Adams.--Transmits Mr Adams's letter
        recommending him to the attention of Congress.

    To Robert R. Livingston. The Hague, June 1st, 1782,            483

        Attempts to effect a separate peace between Holland and
        England.--Insincerity of the English in their proposals
        of peace.

    To Robert R. Livingston. The Hague, August 16th, 1782,         487

        Proceedings of the States of Holland relative to the
        negotiations at Paris.

    Robert R. Livingston to C. W. F. Dumas. Philadelphia,
    September 5th, 1782,                                           488

        Receives no communications from him.--Affairs in
        America.

    Robert R. Livingston to C. W. F. Dumas. Philadelphia,
    September 12th, 1782,                                          489

        Congress will take his requests into
        consideration.--State of things in America.

    To Robert R. Livingston. The Hague, September 27th, 1782,      491

        Proceedings in Holland relative to the naval force
        ordered to join the French fleet.--Complains of the
        neglect of Congress.

    To Robert R. Livingston. The Hague, November 15th, 1782,       494

        Reasons for the infrequency of his communication.

    To Robert R. Livingston. The Hague, December 12th, 1782,       496

        Riot at the Hague.--Representations of the Prussian
        Envoy on the dissensions in Holland.

    To Robert R. Livingston. The Hague, December 17th, 1782,       500

        Representations of the Prussian Envoy on a libel against
        the Princess of Orange.--Reply to the same.--The
        prisoners arrested on account of the disturbances at the
        Hague allowed to escape.--Obtains passports for
        Americans.

    To Robert R. Livingston. The Hague, January 11th, 1783,        503

        Proposed mission of a Minister from the Republic to the
        United States.

    To Robert R. Livingston. The Hague, January 20th, 1783,        504

        Proceedings in Holland.--Minister to the United States.

    Memorial of the Prussian Ambassador. January 20th, 1783,       505

        On the opposition to the Prince of Orange.

    To John Adams. The Hague, January 24th, 1783,                  508

        Is requested to consult Mr Adams, whether his powers
        authorise him to accede to the armed neutrality, and to
        enter into a similar negotiation with the allied
        belligerents.

    To John Adams. The Hague, January 28th, 1783,                  509

        Dissatisfaction of the Dutch with the conduct of France.

    To John Adams. The Hague, January 30th, 1783,                  511

        Same subject.

    To John Adams. The Hague, February 4th, 1783,                  512

        Same subject.--Reasons of the Count de Vergennes for
        hastening the signing of the treaty.

    To John Adams. The Hague, Feb. 18th, 1783,                     514

        Is requested to inquire if the United States will enter
        into a convention with Holland, guarantying freedom of
        navigation.--Considerations which authorise the American
        Ministers to accede to this demand.

    To Robert R. Livingston. The Hague, March 4th, 1783,           515

        Appointment of M. Van Berckel Minister to America.

    To John Adams. The Hague, March 4th, 1783,                     516

        The States adopt a resolution, giving instructions to
        their Plenipotentiaries in regard to a general peace.

    To Robert R. Livingston. The Hague, March 5th, 1783,           517

        Requesting him to make preparations for M. Van Berckel.

    To John Adams. The Hague, March 6th, 1783,                     518

        Guarantee of the freedom of navigation desired by
        Holland.

    To Robert R. Livingston. The Hague, March 27th, 1783,          519

        Domestic affairs of Holland.

    To Robert R. Livingston. The Hague, April 18th, 1783,          522

        Same subject.--Is requested to inquire of Mr Dana if he
        will negotiate a convention on the principles of the
        armed neutrality with Holland.--The Secretary of the
        States-General desires to be informed of the titles by
        which Congress is to be addressed.

    Robert R. Livingston to C. W. F. Dumas. Without date,          525

        Impropriety of a foreign Envoy engaging in the parties
        of the country where he resides.

    To Robert R. Livingston. The Hague, May 8th, 1783,             526

        Proceedings in Holland.--Difficulties in settling the
        articles of peace between Holland and Great Britain.

    To Robert R. Livingston. The Hague, May 25th, 1783,            528

        Recommending Captain Riemersma.

    Notes to the States-General. The Hague, June 5th, 1783,        529

        Laying before them the treaty and convention between the
        two Republics.

    M. Fagel to C. W. F. Dumas. The Hague, June 19th, 1783,        530

        Agrees to exchange ratifications of the treaty and
        convention.

    To Robert R. Livingston. The Hague, June 20th, 1783,           530

        Proceedings in Holland.

    To Robert R. Livingston. The Hague, June 23d, 1783,            531

        Exchanges ratifications of the treaty and convention
        between the two Republics.




THE

CORRESPONDENCE

OF

WILLIAM CARMICHAEL;

CHARGÉ D'AFFAIRES FROM THE UNITED STATES TO
THE COURT OF SPAIN.




William Carmichael was a native of Maryland. At the beginning of the
revolution he was in Europe. From London he went over to Paris in the
spring of the year 1776, and was there when Silas Deane arrived as a
commercial and political agent from the United States. He lived with
Mr Deane for some time in Paris, and aided him in his correspondence
and the transaction of his affairs. It was suggested by the Prussian
Minister, that the King would be pleased with information respecting
American commerce, and would receive at Berlin any American who could
give such information. Mr Deane proposed the enterprise to Mr
Carmichael. He performed the journey in the autumn of 1776, by way of
Amsterdam.

From Berlin he returned to Paris, where he lived on intimate terms
with the American Commissioners, occasionally executing specific
duties at their request, for more than a year, till he sailed for his
native country. He arrived at Boston in May, 1778, and soon afterwards
received an appointment which had recently been conferred on him by
Congress, as Secretary to the Commissioners at the Court of France. It
does not appear that he ever accepted this appointment, for on the
19th of November following he took his seat in Congress as a delegate
from Maryland.

Mr Carmichael remained in Congress till Mr Jay was elected Minister
Plenipotentiary to the Court of Spain. He was chosen Secretary of
Legation to the same Mission on the 28th of September, 1779, and went
to Spain in company with Mr Jay, and remained with him during the
whole of that Minister's residence in Madrid. When Mr Jay joined Dr
Franklin in Paris, June, 1782, to aid in the negotiations of peace, Mr
Carmichael was left as _Chargé d'Affaires_ at the Court of Spain.
After the peace he was regularly commissioned in that character by
Congress, and recognized as such by the King of Spain.

He continued to reside there in the same capacity during the term of
the old Confederation, and for some time after the organization of the
new government under Washington. In the year 1793, Mr Short was joined
with him in a commission for negotiating at Madrid a treaty between
Spain and the United States. Several months were passed in this
attempt, but without success. Mr Carmichael returned soon afterwards
to the United States.




THE

CORRESPONDENCE

OF

WILLIAM CARMICHAEL.

       *       *       *       *       *

              TO THE COMMITTEE OF SECRET CORRESPONDENCE.

                                         Amsterdam, November 2d, 1776.

  Gentlemen,

Previous to your attention to what follows, it will be necessary for
you to know that I have lived with Mr Deane since his first arrival at
Paris; that I took that city in my way from London to Nantes, to find
a passage to my native country, and with despatches, which Mr Arthur
Lee intrusted to my care, for the honorable Congress. Having a relapse
of a disorder, which prevented me from travelling, I stopped at Paris,
and endeavored to find out, by means of Count d'Estaing and other
persons of eminence, the sentiments of the French Court respecting our
affairs; and the moment I knew of Mr Deane's arrival, offered him all
the services in my power, and, of consequence, we have lived together
until the 10th of the present month.

At that time the agent of the King of Prussia, who had often, as Mr
Deane has informed you, made proposals of a commercial nature,
expressed a desire that some American would go to Berlin, and this he
gave us to understand was at the instance of his Sovereign, who wished
to have a clear idea of the nature of our commerce, and expressed a
curiosity, which he wished to gratify, by a minute detail of our
affairs. Mr Deane thinking this an opportunity not to be neglected to
interest a Prince, who for several years has been dreaming of making
his port of Emden, an Amsterdam, proposed it to me. However unequal to
the task, I have cheerfully accepted it; happy to find any opportunity
of showing with what a fervent zeal I am devoted to the glorious
cause, which, at present, by interesting their humanity as well as
policy, gives us so much consequence in the eyes of Europe.

Here I have endeavored to engage merchants to speculate in a direct
commerce to America, to find out the sentiments of the people in
general respecting us, to know whether, in case of necessity, the
United States would be able to negotiate a loan, whether England would
be able to obtain further credit, and by this barometer of the ability
of Princes, to discover their present situation. On these heads I have
written Mr Deane, but having an opportunity by the way of St Eustatia,
and thinking none should be neglected of giving information, though
mine, perhaps, may not be of importance enough to merit that title, I
have taken the liberty of addressing the honorable Committee. Arriving
but two days after the accounts had reached this city, of our
misfortune on Long Island, I found many, even of the sanguine friends
of America dejected, and those of England almost in a frenzy of joy.
In this disposition, it is easy to judge, no hopes could be
entertained of engaging merchants in a direct trade. I find they have
the greatest inclination to serve us, and at the same time
themselves, for no people see their interests clearer, but their fears
that we shall be subdued, the confident assertions of the friends of
England confirming these apprehensions, the prodigious sums they have
in the English funds, with this unlucky business at New York, all
conspire to prevent direct speculation.

As my letters from Paris introduced me to the first houses here, I
have had the best opportunity of knowing their sentiments, and I can
venture to say, that with many who are apparently adverse to us, it is
interest combating with principle, for insulted, searched, and
plundered as the Dutch were the last war, and are at present, there
are individuals who by no means want sensibility to feel, though the
public wants spirit to resent the injury. The States have, however, in
answer to a fresh remonstrance of General Yorke, declared that their
ports are open to vessels of all nations, and that their trade to and
from their own Colonies shall be unmolested, their subjects complying
with the ordinances issued by their High Mightinesses. In fact, their
prohibition of exporting warlike stores, extends to all British
subjects. I hope it will not be long before all Europe will own us in
another character. It is very certain, that without a very material
and apparent success of the British arms in America, a loan would be
very slowly negotiated for England here. There is nothing hinders them
now from selling out of the English funds, but their not knowing what
to do with their money; for this country may be called the treasury of
Europe, and its stock of specie is more or less, according to the
necessity of the different Princes in Europe. It being a time of
peace, the call has not been very great of late.

Having mentioned the credit of England, that of France is next to be
considered, and I am very sorry to say that has been very low here of
late. The dreadful mismanagement of the finances in the late King's
reign, and the character of the late Controller General, M. d'Olugny,
had reduced it so low, that it was impossible to borrow anything
considerable on perpetual funds. Perhaps a Minister of Finance, in
whose probity the world have a confidence, may restore their credit.
At this moment that is in some measure the case, for the French stocks
rise on the appointment of M. Taboreau. That it is possible for France
to borrow may be demonstrated; for at the time M. Turgot was removed,
he was negotiating a loan here, and was likely to succeed, for sixty
millions of guilders. The credit of Spain is extremely good, and that
kingdom may have what money it will, and on the best terms. The
Emperor's credit is also good, not as Emperor, but from his hereditary
dominion. Sweden and Denmark both have good credit. The former, the
best; they have money at four per cent; and it is not long since the
King of Sweden borrowed three millions of guilders at this interest,
to pay off old debts at five per cent. His interest is paid
punctually. Prussia has no credit here, but the King's treasury is
full by squeezing the last farthing from the people, and now and then
he draws a little money from this Republic, by reviving obsolete
claims. The credit of the Empress of Russia is very good; for she has
punctually paid the interest of twelve millions of guilders, which she
borrowed in her war with the Turks, and has lately paid off one
million and a half of the principal. These are the strongest
circumstances she could have in her favor with a mercantile people. I
have this statement of credit from persons employed in negotiating the
several loans, and, therefore, can depend upon the truth of the
information.

To come next to America, should time and necessity oblige her to look
abroad for money. In the present state of affairs, it is not probable
that a loan is practicable. But should success so attend our arms,
that it should appear evident that we are likely to support our
independence, or should either France or Spain acknowledge our
independence, in either of these cases I believe we might have money,
and when it was seen that we were punctual in our first payments of
the interest, we should have as much as we pleased. The nature of the
security, or the fund for the payment of interest, I have not been
able to imagine. But, observing in a letter to Mr Dearethart, it was
the writer's opinion, that the honorable Congress did not wish to
circulate too much paper, for fear of depreciating its value, I
thought that bills issued similar to those in circulation in the
Provinces, and lodged in a public bank in Europe, might be accepted as
a pledge or deposit for money borrowed by the United States. I beg
pardon for the crudity of the idea, and would not have mentioned it
here, but that having hinted at it in general conversation, people
thought it might, on a future occasion, be adopted.

You will please to observe, that everything here mentioned came from
an individual, who only as such avowed himself interested for his
country's fate, and for its benefit sought information.
Notwithstanding the rise of stocks, occasioned by our misfortune on
Long Island, the Dutch are selling out, and my strongest
representations have not been wanting to contribute a mite to this
circumstance. The price of our product is great. Rice sells for
twentyfive shillings sterling per cwt. and tobacco for eight stivers
and four ---- per pound. You have been threatened, that the Ukraine
would supply Europe with tobacco. It must be long before that time can
arrive. I have seen some of the tobacco here, and the best of it is
worse than the worst of our ground leaf. Four hundred thousand pounds
have been sent here this year. The Russian Ambassador said at the
Baron le Guerre's, Ambassador from Sweden, where I had the honor to
dine, that Russia soon would be able to supply the market with that
article. In this he spoke more like an Ambassador than as a merchant.
I took occasion in reply to observe, that if that was the case, and on
many other accounts, it was the interest of her Majesty that all
intercourse between Great Britain and America should be broken off,
for that then the former would be dependent on Russia for all those
articles, which hitherto the latter had supplied her with.

Having expressed a desire of knowing these reasons at large, with the
assistance of M. D---- and the approbation of Mr Deane, I purpose
giving in a little memoir on the subject, which the Ambassador assures
me shall be sent to St Petersburg. Not being so sanguine as to think,
that it will prevent Russia from supplying England with troops, should
the other demand them, but it may give a secret dilatoriness to their
assistance, which may finally operate in our favor.

If it should be determined to send any cargoes of tobacco here, on the
public account, it will perhaps be thought proper to convoy them. The
frigates destined to that service might retaliate the injuries we have
received by the destruction of Falmouth and Norfolk, by destroying the
towns and shipping of Greenock and the port of Glasgow, or Ayre and
Cambleton. I have been particularly informed of the situation of
those places until the present moment. They have no batteries to
protect, or soldiers to defend them, or quartered near enough in any
numbers to be assembled for that purpose, and not a vessel of war on
the whole coast larger than a tender, to receive men for the sea
service. Their rendezvous might be the entrance of the northern
channel, where, while they waited a junction, in case they should be
separated, they might take the outward bound ships, and by the
information obtained from them, insure their success. In returning, a
party landed on the Isle of Bute, might destroy the house of that
favorite. Little objects strike most forcibly little minds. This
affair completed, which would alarm Britain and astonish Europe, the
ships trading to the Baltic, with cargoes not only that suit, but are
necessary for our Provinces, might be their next object. This ought
all to be done in the months of March, April, and May. The destruction
of the Greenland fishery, might be the last object of the expedition.
I am confident, that not having a distrust of such attempts, the
success would be more certain. Should there be a necessity of seeking
shelter or refreshments, I have it from the Swedish Ambassador here,
that we shall find both in their ports. I only hinted to him, that it
was possible some of our adventurers might explore those seas in
search of plunder.

This is the rough outline of a plan, which the honorable Congress may,
should it in any shape be approved, digest into form. I would stake my
life on the success of the greatest part of it, if inviolable secrecy
is preserved, and the execution is trusted to persons who have not
only wealth but glory in view. If prompted by a heated and indignant
imagination, this plan should appear dangerous and impracticable, I
hope it will be imputed to the desire of retorting our injuries on
that country, which has in some measure been the cause, and is at
present endeavoring, with the rancor of private animosity, to
accumulate our distress. I entreated Mr Deane to propose some part of
it to the consideration of Congress sometime ago, and I have the
pleasure to find his opinion corresponds with my own on the subject.

The resentment, which it is said the honorable Congress have shown, on
the conduct of the King of Portugal towards us, has been attended with
a very good effect, and should a manifesto be published by that
honorable body, hinting only the necessity of taking similar measures
with all those who denied them the common rights of mankind, I am
persuaded it would be to our advantage. It was the dread of such a
blow to their trade, that was one of the strongest arguments made use
of by the merchants of this country, in their petition to the States.
I need not mention to you anything respecting what is like to take
place in Europe another year, for of that ere this, you, I hope, have
information. I will only say, that the greater part contemplates with
pleasure the gloomy prospect for England; there is not an Envoy of the
most petty State in Italy, but exults at it. The want of intelligence
from America, hurts the cause prodigiously in Europe, and the anxiety
of those who have its interest at heart, is from that circumstance,
inconceivable. I hope I need not offer assurances to convince the
honorable Congress of the zeal with which I wish to serve them. To be
directed by that honorable body in what manner to do it most
effectually, will be the happiest circumstance of my life.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

_P. S._ I cannot seal this letter without recommending Colonel Prevet,
should the fortune of war put him into our hands, to all the
indulgence, to himself and family, his situation will possibly admit
of. Mr Grand, his wife's father, an eminent merchant here, animated
with that love of liberty which distinguishes his country,
(Switzerland) offers all the services in his power to the public, and
a thousand civilities to its individuals. If by the same fortune, Mr
Dowdswell, of the first regiment of guards, should fall into our
hands, his father's merits and his own reluctance, will give him the
same indulgence.

Since I wrote the above, Mr Grand has assured me, that should the
honorable Congress determine to negotiate loans in Europe, and would
draw bills accepted by the principal merchants in America, payable at
two, three, and five years' sight, and send them to their house, they
should be discounted by them at five per cent interest. This was the
manner in which money was raised for the city of Leipsic during the
last war. The gentlemen of the committee will please to observe, that
this is to be kept very secret, for no loan can be publicly negotiated
here as yet. The firm of this house is Messrs Horneca, Fizeaux & Co.
and is one of the most capital in this city. Should any cargoes be
consigned here on public account, perhaps it may be thought proper to
address them to these gentlemen. I can assure you, gentlemen, and that
from my own knowledge, that many bills remitted from America, and
supposed to be drawn on account of Congress, have been refused payment
by the English Ministry knowing beforehand when they would be
presented for payment, and by that means, having an opportunity of
bribing, threatening, or flattering the parties on whom they were
drawn, either to refuse payment absolutely, or at least noting them
for protest, in order to hurt the credit of our merchants in Europe. I
do think that the less connexion, for this and other reasons, we have
in future with houses whose principal business depends on Great
Britain, the better. I beg pardon for giving my opinion thus freely,
but it is the effect of my zeal.

                                                                 W. C.

       *       *       *       *       *

                  TO WILLIAM BINGHAM AT MARTINIQUE.

                                   Paris, June 25th to July 6th, 1777.

  Sir,

A letter from a person unknown to you but by name, had need of a long
introduction to apologise for the address, but not being a man of
ceremony myself, and besides having but little time for formality, I
content myself with saying, that engaged in the same cause with
yourself, I have assisted Mr Deane since his arrival in Europe, and
know intimately well our affairs abroad, their situation here, and in
such Courts, where it has been thought necessary to address ourselves
for countenance and assistance. I have of course been no stranger to
your correspondence, and have been sorry to find so punctual a
correspondent should have any reason to complain of the want of
punctuality in others. This is not owing to want of inclination in Mr
Deane, but to the multiplicity of business which occupies his whole
time; for Mr Lee is absent, being at Berlin, where I first broke the
ice last autumn,[1] and the age of Dr Franklin in some measure hinders
him from taking so active a part in the drudgery of business as his
great zeal and abilities would otherwise enable him to execute. He is
the master to whom we children in politics all look up for counsel,
and whose name is everywhere a passport, to be well received. As I
trouble you therefore with forwarding some letters to my friends, I
wish to pay the postage by any European intelligence in my power to
communicate.

I have another motive to incite me, which is, that I think your
situation of singular consequence to bring on a war so necessary to
assure our independence, and which the weak system of this Court seems
studiously to avoid. Either from this weakness, or from a jealousy,
that by a precipitate interference, our independence would be too soon
and too formidably established, the Court shuns everything in Europe
which might appear a glaring violation of their treaties with England.
This line of conduct has delayed the stores so long promised, and at
last sends to Martinique, what ought to have been on the continent in
February at furthest. This occasioned the loss of the Seine, which was
despatched half laden, that such necessary articles as tents and
fusils, might get early to America, the captain having positive orders
to proceed thither without touching at the Islands, and I myself
protested to the ship's owners, that Mr Deane would have no concern in
the risk, if on any account but stress of weather, the vessel
proceeded to the West Indies. As such is their miserable policy, it is
our business to force on a war, in spite of their inclinations to the
contrary, for which purpose, I see nothing so likely as fitting out
privateers from the ports and Islands of France. Here we are too near
the sun and the business is dangerous; with you it may be done more
easily, and indeed has already been attended with happy effects, as
you will see by the enclosed copy of a letter from the Chamber of
Commerce at Liverpool to that of Bristol. The natural antipathy of the
nation is such, that their passions being once fully excited, they
will proceed to such acts of reprisal and mutual violence, as will
occasion clamors and altercations, which no soft words can palliate.
As I pretend to know something of the counsels of both nations, I know
there are strong advocates for war in both. The more reasons they have
to produce in favor of their system, the sooner it will be adopted.

In England, when General Howe's successes in the Jersies, and the
prospect of getting possession of Philadelphia, made the Ministry hope
for a speedy termination of their dispute with us, I know war with
France was nearly determined on. The insolence of apparent success
dictated that Memorial, which Sir Joseph Yorke presented to their High
Mightinesses, and which you have undoubtedly seen. One of a still more
insolent nature was prepared and even sent to Lord Stormont here, and
a refusal and even delay of compliance with the requisitions therein
made, was to have been the harbinger of war, and the immediate
destruction of the French commerce and Islands. Happily for our
enemies, the news of our success at Trenton prevented its delivery.

In France, the nation and some of the Ministers wish to act
vigorously, but are retarded in all their operations by the imbecility
of age, or the more powerful operation of English gold. As the English
Ministry seem convinced of the pacific, or rather undecided, state of
the rulers here, they hasten, by the most vigorous exertions against
us, to end the war, and are less reserved in the treatment of the
French prisoners abroad. Could they be provoked to unequivocal proofs
of violence, it would be a good point gained. This your situation may
bring about, by encouraging the arming of vessels manned by Frenchmen,
and by prompting the captains to provoke unjustifiable reprisals, on
the part of the inhabitants of the English Islands.

To you, filled with liberal ideas, and a high sense of the interest of
the French nation, to give us powerful support, these hints may appear
extraordinary, but from experience I can assure you, that public
councils, at least in Europe, are directed more by caprice, or the
interest of _individuals_, than by a generous concern for the whole.
At a distance, we think more of the wisdom of statesmen than they
merit. The nearer we approach them the less is our reverence. If our
enemies are not successful, they mean to close with us on the best
terms they can, sensible, that if this great effort does not succeed,
they have little to hope in future. This is an animating reason for us
to persevere in the glorious contest. In the meantime, it is our
business to keep up the spirits of our common people to the utmost.
For which reason, what I write you is in confidence, or for the
inspection of the Committee only, if it may be thought to merit their
notice.

The English have completed their loan among themselves. No foreigners
have assisted them, although the terms to the lender are better than
any yet offered by that nation, except once. Foreigners know that they
have yet several millions to fund, for which they must offer still
better terms. The Spaniards have refused the mediation of France and
England in their dispute with Portugal, being determined to prosecute
the war until Portugal demands peace, and makes reparation. They have
taken the important Island of St Catharine's, on the coast of Brazil,
without loss, and mean vigorously to prosecute their operations on
Brazil. This I have from undoubted authority, one of the family
Ministers. A report prevails, that the Indians of the east have fallen
on their oppressors, and have taken Madras. India stock has,
consequently, fallen. Both France and Spain continue their armaments
as if preparing for some great event. This obliges England to do the
same. All their naval and army contracts are for five years, and they
employ as many workmen in their dock yards, as they did in the height
of the last war. You will serve us essentially, by pushing the
cruisers who visit you into the European seas, particularly those of
the north, in the months of August, September, and October, directing
them to send their prizes into France or Spain. It would render our
negotiation with Prussia more successful, if a tobacco ship could by
any means be pushed into Emden, which ship might make her returns in
manufactures necessary for us, and fifteen or twenty per cent cheaper
than we can have them here. Urge it to the honorable Committee.

I am, &c.

                                                   WILLIAM CARMICHAEL.

_P. S._ Two vessels with stores are just despatched from different
ports. Forward them, my Dear Sir, immediately to our dear country.
Captains Wickes, Johnson, and Nicholson, have just destroyed sixteen
vessels on the English and Irish coast. I am despatching Conyngham
from hence on the same business in a privateer. I begin to think war
unavoidable.

                                                                 W. C.

_Dunkirk, July 6th._


FOOTNOTES:

[1] Mr Carmichael's letters from Berlin, if he ever wrote any, are
missing.

       *       *       *       *       *

                    TO THE PRESIDENT OF CONGRESS.

                                            Yorktown, June 17th, 1778.

  Sir,

Since my arrival here, I have been informed of the honor conferred on
me by Congress, in being appointed Secretary to the Commissioners at
the Court of France, an honor which greatly overpays the feeble
efforts of my zeal, and is more than I could expect, considering the
well founded pretensions of others to their notice.

I beg leave through you, Sir, to express my grateful sensibility of
this proof of their confidence, as well as the ardent desire I have of
meriting it in future.[2]

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.


FOOTNOTES:

[2] It does not appear that Mr Carmichael ever accepted this
appointment. He was chosen a delegate to Congress from Maryland, and
joined that body on the 19th of November, 1778.

       *       *       *       *       *

                    TO THE PRESIDENT OF CONGRESS.

                                Off Reedy Island, November 25th, 1779.

  Sir,

I received at Chester, the copies of the resolves, you did me the
honor to enclose me, and shall punctually comply with your request, by
forwarding them as soon as I arrive, to Dr Franklin and Mr Johnson. I
am sorry that the business with respect to the latter, is left in its
present state, because there are very few men, who neglect a certain
and profitable occupation, to engage in another where they are sure of
offending, without an equal certainty of an adequate reward for their
trouble and impartiality.

I am much obliged to you for your good wishes, although I must
candidly own they would be still more agreeable accompanied by a ship
of the line, for we are informed that the Romulus and Roebuck, are
waiting for us to intercept us, and were they animated, would, like
the Death and Sin of Milton, bless their lucky stars 'destined to that
good hour.' I beg you to make the proper compliments for me to the
gentlemen of your family.

I have the honor to be, Sir, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                    TO THE PRESIDENT OF CONGRESS.

                                      Martinique, December 27th, 1779.

  Sir,

I take the liberty of enclosing to your Excellency, a paper containing
a relation of a late affair, between part of the small squadron
commanded by M. la Motte Piquet, and the English fleet, under the
orders of Sir Peter Parker. It was given me by direction of the French
Admiral, that a true account of this action, which has done him much
honor here, might be published in America.

On the 23d of this month, Admiral Arbuthnot arrived at Barbadoes with
six or seven sail of the line, and sixteen regiments. An attack on the
Grenadas or Dominica, is daily expected. The latter is well fortified
and garrisoned by twelve hundred men. The Marquis de Bouillè seems to
have no apprehensions for any of their Islands, except those lately
taken from the enemy.

Mr Jay informs Congress by this opportunity, of the misfortune which
befel us, and the reasons which induced the officers to bring the ship
to this Island.[3] I can only express my regret for the delay, which
this accident will occasion in the execution of the business with
which Congress has done us the honor to intrust us. With the highest
sentiments of respect,

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.


FOOTNOTES:

[3] See _Jay's Correspondence_, Vol. VII. p. 174.

       *       *       *       *       *

                             TO JOHN JAY.

                                          Madrid, February 18th, 1780.

  Dear Sir,

I did myself the honor of writing to you by a courier whom the French
Ambassador despatched to Cadiz yesterday morning; since which, I have
been introduced to their Excellencies, delivered your letter to the
latter, and explained to the former the reasons, which induce you to
address the other, with which he was perfectly satisfied. Don Joseph
de Galves told me, that he should give your letter to the Count de
Florida Blanca, whose business it was to lay it before the King, and
receive his orders on the subject, and that the Count or himself would
be directed to answer it. I repeated the substance of your
instructions to me as far as they respect him, and was answered, that
he would take an opportunity of conversing with me on our affairs, and
would inform me through the French Ambassador, when it would be
convenient for him to receive me. Some compliments passed with respect
to the characters he had received of us, which it is unnecessary to
repeat.

The Count de Florida Blanca told me that he would lay your letter
before the King the same night for his consideration. I took this
opportunity of mentioning the pleasure it would give Congress to hear
of your reception at Madrid, from the earnest desire they had to
cultivate the King's friendship, that their expectations were
sanguine, having been led to believe the dispositions of the Court
were favorable, by the suggestions of persons supposed to be well
acquainted with its intentions, that the hopes of the people were also
great, and I hinted, that there were several vessels about to sail
from Bilboa, and the ports of France, by which you would be happy to
communicate this news to Congress, and to gratify the expectations of
the people.

He then told me he had informed the King of your arrival at Cadiz,
although they had understood your original destination was to France;
that the King had ordered him to receive your overtures, and that I
was at liberty to give you this information, and after a pause, added,
that on Monday he hoped to have it in his power to return an answer.
You will please to observe, that it had not been read by either when
this conversation passed. He also told me, that he would take an
opportunity to converse with me, and would inform me when it would be
convenient for him to see me through the channel beforementioned.

On Monday next I go to the Pardo, by their appointment. Here I see
every day a person, who I believe to be sent by them to converse with
me, although I appear to know nothing of his connexion with the Court.
I think you may make the necessary preparations for your journey on
the receipt of this. Messrs Adams and Dana were at Bordeaux the 2d
instant. They mean to proceed to Amsterdam from thence, so that the
plan spoken of has taken place. They go in a good time, as the Dutch
are at present much irritated against Great Britain.

Mr Arthur Lee corresponded with the Count de Florida Blanca, but if I
am well informed, the correspondence consisted of American news on the
one part, and compliment on the other.[4] M. Gerard leaves this
tomorrow, he has had conversations with the Spanish Ministers, of
about two hours at one time and three at another. I am in a way of
obtaining most of the information you desired. I beg you to present
the proper compliments to your lady and Colonel Livingston.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.


FOOTNOTES:

[4] See _Arthur Lee's Correspondence_, Vol. II. pp. 36-54.

       *       *       *       *       *

                    TO THE PRESIDENT OF CONGRESS.

                                          Madrid, February 19th, 1780.

  Sir,

The short time I remained at Cadiz, and the constant employment in
which I was engaged of copying Mr Jay's letters and making the
necessary preparations for my journey, prevented me from doing myself
the honor of writing to your Excellency from thence. But having now an
opportunity by M. Gerard to France, and an offer from M. Gardoqui to
forward my letters by the way of Bilboa, I enclose to Congress copies
of those I have written to Mr Jay since my arrival in this city, as
they contain the most material intelligence I have been able to
procure. I have every reason to be pleased with the disposition of
those whom I have seen here, as well foreigners as natives, and I
cannot sufficiently express my gratitude for the liberal and friendly
manner in which I have been received by the Count de Montmorin, the
Ambassador of France, which I should impute entirely to M. Gerard's
good offices, was not his own good will and desire to conform to the
favorable disposition of his Court apparent. M. Gerard in the circle
of foreign Ministers, is more of an American than a Frenchman, and I
should do him injustice if I did not mention it.

The English squadron sailed from Gibraltar the 13th instant, and part
of it is said to be destined for the West Indies. The French will have
seventytwo sail of the line in actual service this year. The troops,
at the disposition of the person mentioned in the first[5] letter to
Mr Jay, will amount to near four thousand, and consist chiefly of
Germans; six sail of the line will escort them, and I am well informed
they will sail in less than two months. It is said the English
Ministry will be able to procure the necessary supplies for the
present year, owing to their late successes. I beg leave, through your
Excellency, to assure Congress of my unremitted attention to merit the
confidence reposed in me.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.


FOOTNOTES:

[5] See _Jay's Correspondence_, Vol. VII. p. 207.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                             Aranjues, May 28th, 1780.

  Gentlemen,

Mr Jay having judged it proper for me to reside at this place while
the Court remains here, I did not know until his letters for Congress
were closed, that Mr Harrison, who charges himself with the care of
them to Cadiz, was on the point of setting out from Madrid for that
city. This prevented me from assisting him in copying papers, which he
tells me he has transmitted by this opportunity. I regret exceedingly,
my not having received earlier information, because I wished to convey
several papers, which I do not choose to trust to the ordinary post.
Our situation in this respect is very disagreeable and delicate, for
we can neither send nor receive letters without their being subject to
the inspection of others, and, indeed, we have sometimes the
mortification to hear of the arrival of letters from America in the
sea-ports, which, notwithstanding, never reach us. Our opportunities
of information thus become very precarious, and I am much afraid, that
the same cause will frequently interrupt our correspondence with
Congress.

Before Mr Jay arrived in the capital, I did myself the honor to inform
his Excellency, the President, of my arrival at Madrid, and enclosed
him copies of the letters I wrote to Mr Jay, on the subject of his
reception, and of the disposition in which the Court appeared to be.
As I sent several copies of these letters, I subjoined all that
occurred worthy of the notice of Congress in the interval of the
departure of several copies. Not having had any instructions to
address myself to Congress, unless in the absence of Mr Jay, or in
case of any event that deprived the public of his services, I know not
whether I may not appear officious at present; particularly as I have
already communicated to him regularly, all the intelligence I have
been able to procure, as also my reflections on that intelligence,
which his ability and long experience in affairs, will enable him to
put in a much clearer point of view than I can pretend to do. If I
err, I hope the Committee will set me right, and instruct me how to
conduct myself in future.

The King, the Prince of Asturias, and the Ministry, appear favorable
to our cause, but I am much afraid their ability to assist us in the
article of money, is neither equal to our expectations, or their
desires to serve us. The papers sent by Mr Jay, will show the
sentiments of this Court with respect to the object of his mission. I
think the negotiation will be attended with more delay than Congress
had reason to apprehend when we left America. This Court manifest a
strong desire of excluding every other nation from the navigation of
the Mississippi, and indeed of the Gulf of Mexico. The situation of
the affairs of America will undoubtedly regulate the conduct of
Congress on this subject, and I hope it will be such as to enable them
to adhere to the rights of all the States.

Our enemies are making use of the time before Spain takes a decided
opinion, to sow jealousies between us. Governor Johnson sounded the
dispositions of this Court early last winter. At the close of it Sir
John Dalrymple obtained permission to come to Madrid, on the pretence
of the bad state of health of his lady. His strange Memorial to the
Count de Florida Blanca, is transmitted to you.[6] I have no doubts
that other attempts will be made to bring about a negotiation. If they
succeed no better than Sir John's, we shall not have much to apprehend
on that score. The Count de Florida Blanca appears to act with much
candor, and gives Mr Jay such strong and frequent assurances of the
King's favorable intentions, and his own disposition to second them,
that I hope we may rely on what he tells us. His character for probity
is high in this country, and among the foreign Ministers at this
Court. As I have frequent opportunities of mixing with the latter, I
have not omitted to give them proper impressions of our strength,
union, and firmness, without seeming too solicitous to do it. It is
possible, that if the neutral maritime powers were fully persuaded of
this unanimity and firmness, and were sincerely disposed to bring
about a peace, instead of regarding with pleasure the mutual losses of
the House of Bourbon and Great Britain, they might end the war by
declaring their disposition to acknowledge our independence.

The King of Prussia seems to be a cool calculator, prepared to profit
by the general distress. Denmark is influenced by Russia, and Sweden
by France. Great Britain also still retains some influence in Denmark.
The Court of Vienna will be adverse to us, as long as the Empress
Queen exists. How the Emperor is inclined, I do not know. Sardinia and
Portugal are friendly and attached to England. The Dutch are divided
into parties, neither of which is strong enough to give firmness and
decision to the conduct of the Republic. The Stadtholder and his party
find means to thwart and retard all the vigorous resolves, which the
French and republican party engage the state to enter into, to support
their honor and dignity. The hopes entertained in Great Britain of the
influence of the former party, and the proneness of the King and his
Ministers to violent measures, induced the late extraordinary conduct
of that Court, with respect to the Dutch. They will submit to this and
more, rather than go to war. If the Empress of Russia is determined to
support her late declaration, and to coincide effectually with the
powers whom she has invited to accede to it, Great Britain must,
however, recede from her present conduct, or offend highly the neutral
powers.

The negotiation between Russia and Holland proceeds slowly. The Court
party in England has gained once more its superiority in Parliament; a
feigned sickness of the speaker, Sir Fletcher Norton, gave the
Minister time to rally his forces, since which opposition grows more
feeble every day. That of Ireland, for want of system and union among
its members, and by the promises of places and honors, is a little
staggered. There is however a fermentation in both nations, which the
continuance of the war and its consequent distresses will probably
increase, if not bring to maturity. The distresses of our army last
winter, the depreciation of our paper money, the exaggerated accounts
of our divisions, and our apparent inactivity, have had a bad effect
in Europe, which I hope the firmness and unanimity of Congress, added
to the exertions of our ally, and those of this Court, will entirely
efface.

The expedition, which sailed from Cadiz the 28th ultimo, consisting of
twelve sail of the line, besides frigates, and eleven thousand five
hundred men, proceeds to the Windward Islands, and there joins M. de
Guichen, or goes against Jamaica or the Floridas, as circumstances may
render it proper. Another expedition from France, follows M. Ternay's,
I believe, to reinforce M. de Guichen, who, if I am not deceived, will
join the Spaniards to the leeward in the hurricane months, and if
necessary and practicable, send eight or ten ships to our coasts in
the beginning of the autumn. This depends, however, much on the
events of war. Spain in concurrence with France, will have between
forty and fifty sail of the line, to oppose the grand English fleet,
which I am informed will sail the last of this month or the beginning
of next. The allied fleet is not in such readiness. Strong interest is
making for the Count d'Estaing to command in chief, and I think he
will be nominated.

A very little time will determine the fate of the bills drawn on Mr
Jay. I received the first last week, in a letter from M. Nesbitt of
L'Orient who very prudently did not negotiate it, until he consulted
me on the subject. I am also informed, that bills on Mr Laurens are in
circulation, and we have not yet heard of his arrival. I have written
to Dr Franklin, and Messrs Adams and Dana, and if I have not heard
from them oftener, I impute it to the miscarriage of their letters,
which was the case of those of Dr Franklin, the first two months after
my arrival at Madrid. Mr Jay will transmit an account of the revenues,
and expenses of Spain, with which I have furnished him, which will
show, that Congress cannot depend on such pecuniary assistance from
this nation as they expected.

Mr Jay's situation has been particularly disagreeable; the sum
allotted by Congress, by no means accords with his necessary expenses,
even if he received his salary as it became due. I do not complain,
although I have been obliged since my departure from America to expend
more than six hundred and fifty pounds sterling, and have not as yet
received more than two hundred pounds of my salary. Almost everything
that passes, even in Congress, is known here, either by intercepted
letters, or otherwise. You, Gentlemen, will conceive, how delicate Mr
Jay's situation must be, if he delivers faithfully his sentiments of
men and measures. I must repeat again, however, that there is a great
appearance of candor and good faith. The Count de Florida Blanca, and
M. Galvez speak with much apparent civility and frankness, and seem
desirous of doing all that is possible to succor us consistent with
the actual situation of their finances, the former particularly. I
have sent a copy of this via Bilboa, and another from Cadiz. I have
not yet had the pleasure of receiving one letter from any one member
of Congress.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.


FOOTNOTES:

[6] See this Memorial in _John Jay's Correspondence_, Vol. VII. p.
268.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                              Madrid, July 17th, 1780.

  Gentlemen,

Since writing the preceding letter, bills to the amount of about
fifteen thousand dollars have been presented, and at a time when the
news of our misfortune at Charleston made an impression much to our
disadvantage. These bills however are accepted, and the Count de
Florida Blanca appears to interest himself more than ever in
contributing to aid us, repeating in the strongest manner his Catholic
Majesty's favorable intentions. What he hinted at with respect to the
attempts of the enemy, to thwart Mr Jay's negotiations has proved
true. A Mr Cumberland, Secretary to Lord George Germain, has obtained
permission to come to Madrid, and is actually here at present. But as
his Excellency has promised to communicate his proposals, whatever
they may be, on the subject of an accommodation, we cannot entertain a
doubt, but that he will do it with the same frankness, with which he
made known to us those of Sir John Dalrymple. The Count de Montmorin,
Ambassador for France here, is not the least alarmed by the reception
of this gentleman, and that Court is full as much interested as we are
in the object for which he is sent. Mr Jay will transmit to Congress a
narrative, which I have given him, of this gentleman's motions.

We have likewise received an account of the death of M. Miralles. He
will soon have a successor, by whom we shall write more fully, and I
hope more to the satisfaction of Congress. Nothing can hurt us here,
or in Europe, so long as we are united, firm, and vigorous. I
experienced at first a little coldness from the foreign Ministers at
this Court, after the news of the surrender of Charleston, but that is
worn off.

The public papers will announce the disturbances, which have lately
arisen at London; all is at present quiet in that quarter, and
government seems to have acquired fresh confidence and vigor. The
Count d'Estaing is expected at St Ildefonso the 1st of next month, to
go from thence to take the command of the united fleets, which will
consist of thirtysix sail of the line, from Cadiz, including the
French from Toulon, and other French ports, and twelve or fifteen from
Brest. The last advices import that the English squadron amounted to
twentyeight, chiefly capital ships; they left port about the 20th ult.
The rest of Europe is in the same situation that I have already
mentioned.

Since writing my letter of the 28th of May, I received a letter from
the Baron de Schulenburg,[7] of which the enclosed is a copy, in
answer to a civil letter, which I wrote him on my arrival here,
representing the situation of our affairs in a favorable light. I
daily expect another letter from him more particular, in consequence
of an address, which I have transmitted to him, by which he may write
to me in safety. I have cultivated the friendship of the foreign
Ministers and their Secretaries as often as I have had occasion, and
as I have always avoided an appearance of prejudice, I flatter myself,
that I have been listened to with attention. My conduct has been the
same with those of this nation with whom I have found means to be
acquainted, and I doubt not, with time and patience, we shall
ultimately succeed. I cannot speak too highly of the conduct of the
Count de Montmorin, personally or politically. M. Gerard in his
letters to me, expresses the same attachment as ever to our cause, and
his late acquisition of dignity and consequence, puts it more in his
power to be useful to us. As yet, Mr Jay has received but one letter
from Congress, which conveyed their resolves respecting the bills of
exchange drawn on him. I beg leave to acknowledge the receipt of a
letter from Mr Houston last week, which I shall answer, if possible,
by this opportunity.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.


FOOTNOTES:

[7] Missing.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                       St Ildefonso, August 22d, 1780.

  Gentlemen,

In the course of this month I did myself the honor of writing to you
by the General Pickering from Bilboa, and the Captain Kyan from Cadiz,
as also via France. In these letters I informed you of the situation
of our affairs here, and of that of Europe in general; since which, we
have advanced very little. The Minister had informed Mr Jay, on the
5th of July, that he had sent for a person to succeed M. Miralles, and
that on his arrival, arrangements would be made with respect to the
bills presented to Mr Jay for payment, and that he would then enter
into discussions on the other objects of Mr Jay's mission. Before and
since that period, bills to the amount of thirty thousand dollars have
been presented, of which Mr Jay has accepted for fourteen thousand, by
the direction of the Minister, and none of the others have as yet been
protested.

You will see by a state of the finances of this country, which in
compliance with Mr Jay's instructions to me, at my departure from
Cadiz, I have had the honor to give him, that their revenues and
resources since the war have greatly diminished, and that previous to
that period, they were by no means so flourishing as Congress had
reason to suppose. In most of the conferences with the Minister, the
scarcity of cash has been objected more than the want of inclination,
and hints have been thrown out, that it would be much more convenient
for the Court, to grant the United States aids in money from their
possessions in America than in Europe. Although hopes have been as
constantly given, that a part of the sum drawn for would be furnished
at the end of the present year, or commencement of the next, and that
measures in the mean time might be taken to prevent embarrassments, in
case of the arrival of bills after that period, great surprise has
been expressed, that Congress should take such a step without
previously informing the Court of their intentions, and obtaining its
approbation of the measure. Congress will therefore judge of the
propriety of disposing of any bills, that may remain unsold, until it
is fully ascertained, that they will be punctually paid. Mr Jay, now
at Madrid, where the death of his child, and the consequent distresses
of his family, detain him a few days, will undoubtedly transmit more
ample intelligence on this subject, with the various papers in his
possession necessary to explain it. This Court has been obliged to
make considerable loans, for their own current expenses, the nature of
which I hope to be able to explain in a future letter. It has lately
obtained seven millions, five hundred thousand current dollars, in
France and elsewhere. The loan is for nine millions, and from the
nature of it will create a temporary paper circulation to that amount
in this kingdom. I shall transmit to Congress, as soon as it becomes
public, a full detail of its operations.

Mr Cumberland, whom I mentioned in my last, and whose name you will
find in all the European gazettes, is still at Madrid, from whence he
has lately had permission to send a courier to London, but as the
Spanish Minister has engaged to impart any serious proposals he may
make, and as the French Ambassador expresses no uneasiness from the
residence of this gentleman in Spain, although this circumstance at
this crisis is extraordinary, we cannot presume there can be solid
ground for apprehension. Considerable revolutions, however, have
happened in the system of politics of this country, ever since the
accession of the House of Bourbon, and where governments are often
more influenced by the counsels, and sometimes the caprices of
individuals, than from regard to the real and permanent interest of a
nation, there is always something to fear. Congress judging from the
assurances of the Minister, and the King's character, which is
remarkable for steadiness, on the one part, and from the circumstance
of Mr Cumberland's residence here, and the constant endeavors of our
enemies by every insidious art to misrepresent our situation, on the
other, will be best able to draw conclusions from the whole.

The treaty proposed by Russia to the neutral maritime powers, to
secure their commerce, and protect their navigation, has been or will
be acceded to by Sweden, Denmark, the Hanseatic towns, and Holland,
and a Russian squadron is expected in the Channel daily. Portugal, it
is said, influenced by England, will not accede to this treaty, which
will put a stop to the piratical conduct of that country. France and
Spain exclaim, against the partiality of Portugal to Great Britain,
and I have been informed, but I do not pretend to vouch for the
authenticity of the intelligence, that strong representations have
been made to that Court, either to shut its ports against the armed
vessels of the nations at war, or to take a part in it. The French
Minister to that Court said something to the same purpose to me at
Madrid, on his way to Lisbon. The English at present sell their prizes
there, without the formality of condemnation.

The Count d'Estaing is now here, and on every occasion manifests the
strongest attachment to the United States and their interests. The
general opinion gives him the command of a part, if not the whole of
the combined fleets, which amount to thirty six sail of the line, now
at sea, commanded by M. Cordova. The English fleet under Geary, is
also cruizing between Ushant and Cape St Vincent, to prevent the
junction of the ships from Brest and Ferrol with the Spanish Admiral,
and to protect their outward end homeward bound convoys, and to
intercept those of the allies.

I had written thus far, when a courier arrived with the important news
of the combined fleets having fallen in with, and taken fiftysix sail
out of sixty, destined to the East and West Indies, Madeira and
Quebec. I have requested Mr Harrison at Cadiz to enclose to the
Committee a list of the prizes, and the nature of their cargoes, as it
has not yet been received here. This will be severely felt in England,
and will occasion more clamor against the Ministry, than all their
naval losses since the war. Mr Jay has heard from Congress but once
since we have been in Spain, and very seldom from our other
correspondents, the last letters from Paris, mention that Messrs
Franklin, Adams, and Dana, were well, and that Mr Adams was going to
Holland.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

_P. S._ Since sending off a copy of the preceding letter, I have the
pleasure to inform you, that the gentleman expected by the Minister
has arrived, and proves to be Don Diego Gardoqui, who is already known
by his former correspondence with America. Our affairs are once more
in train, some bills have been accepted since his arrival, but nothing
certain has been as yet determined, and indeed I fear the Court is too
much pressed for money, to do anything considerable for us here in
that way. Probably this gentleman will be sent to America, by whom we
shall have an opportunity, I hope, of conveying the final
determination of the Court with respect to our affairs. The
navigation of the Mississippi appears to be the great, and if we can
credit the assertions of men in power, the sole obstacle.

Mr Cumberland has been here, and is expected again with his family in
a few days. I have been informed, that he has offered on the part of
Great Britain, to restore to Spain what they lost by the treaty of
Paris, and has been permitted to reside at this Court in expectation
of being authorised to make further concessions, and indeed on no
other principle can I account for his residence here at this crisis. I
mentioned in my letter of the 22d ult., that representations had been
made to the Court of Portugal, either to shut its ports against the
armed vessels of all nations at war, or take a part in it. I have the
honor to inform you, that the above Court has consented to the first
of these propositions, although this is not yet public. Another vessel
has arrived at Nantes from Philadelphia, by which neither Mr Jay nor
myself have received any letters. The Russian fleet, consisting of
fifteen sail of the line, and four frigates, is arrived in England.
Admiral Geary returned to Spithead the 19th ult. This fleet, it is
said, will soon be sent to sea, although he had upwards of two
thousand sick when he returned to port. Stocks fell considerably in
England when the news arrived of the loss of the convoy
beforementioned.

A fleet of seven sail of the line sailed from Ferrol the 22d ult. to
convoy off the coast a fleet of transports for the French islands, and
probably to cruise to intercept the homeward and outward bound fleets
of the enemy. This circumstance joined to the late loss of the convoy,
has raised insurance prodigiously in London. The Parliament does not
meet until the 28th of September.

                                                                 W. C.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                    St Ildefonso, September 9th, 1780.

  Gentlemen,

I did myself the honor of writing to you the 6th instant, via Cadiz,
Bilboa, and France, informing you that the person mentioned in my
letters of last month, as chosen by the Minister to succeed M.
Miralles, had arrived here, and proves to be M. James Gardoqui, and
that since his arrival, our affairs are once more in train. I also
mentioned that the Ministry were negotiating loans, to answer
extraordinary expenses. I expected to have been able to send the
Committee a full account of the nature of these loans, as I founded my
hopes of the Court's paying the bills drawn on Mr Jay, by means of the
supplies obtained in this way. I am therefore very sorry to inform the
Committee, that the success of the most considerable has not answered
the expectations of the Ministers, and what is worse, they impute its
failure to the interference of M. Necker and others, influenced by
that Minister, which has created a soreness, that for the moment must
be disagreeable to our ally, and may be disadvantageous to us, unless
more important considerations obviate the ill effects to be
apprehended from such disappointment, and the personal disgust and
resentment consequent thereof.

A person with whom I am well acquainted, is the projector of the loan
abovementioned, and although for near three months I have known that
such a measure was in agitation, I was not able to discover the plan,
it having been preserved with great secrecy, in order to secure its
successful and complete operation. As this measure is so far important
to Congress, as it may influence the conduct of the Court with
respect to money matters, and affect the credit of the nation in
future, on which all the vigor of military operations in a great
measure depends, I will endeavor to give the outlines of the money
negotiation to the Committee, and will forward the plan and the King's
ordinance thereon as soon as I receive them.

The original design of this loan was to procure nine millions of
dollars, or thirtysix millions of livres in four months, and possibly
to enlarge the sum according to exigencies. The projector was to
receive ten per cent for expenses and profit, which he was at liberty
to divide as he thought proper with the original lenders. To these, I
think, he gave three, or three and a half per cent for the use of
their money for four months, which money they were to remit in bills
of exchange on Spain, and to redraw at the end of four months for
their principal and interest. The great secret of the operation is,
that government instead of repaying their bills in specie, issues
paper to repay them, the credit of which is guarantied by the Crown
and the different Chambers or Councils of the Kingdom, viz of Castile,
&c. &c. This paper bears an interest of four per cent. A _cedula_, or
royal ordinance, will be published the 20th or 21st of this month,
which gives it currency, and inflicts severe penalties on any one who
refuses it as a legal payment. M. Necker did not discover the latter
part of the scheme until large sums had been remitted from France, and
I suppose, fearing that its operation would be complete before his
representations of what he thought its evil tendency, could be
attended to here, he immediately gave orders not to receive the bills
of exchange of the houses concerned in this measure at the _Caisse
Royale_ in France. Besides, the house of Gerardot, Haller & Co. one of
the most considerable in Europe, and of which he was once the head,
and his brother is still a partner, wrote circular letters to all
parts of Europe discrediting the loan.

The consequence has been, that the persons in France and elsewhere,
whose bills were refused at the _Caisse Royale_ have been pushed here
so hard by their creditors, that the Spanish government has been
obliged to make considerable remittances to support their credit, that
further advances of money have been stopped, and that bills of
exchange on Spain have sold at a loss of one and one and a half per
cent. This has irritated the merchants here, and perhaps we may be the
innocent victims. For I am persuaded, that Spain, without obtaining it
by loans, has not money in Europe to afford us considerable aids, how
great soever her inclination may be to assist us, and I think the
Committee will be of the same opinion, on reading the information I
gave Mr Jay on the subject of the revenues of this country, in
consequence of his instructions to me at Cadiz.

I shall be happy to have it in my power to inform the Committee, that
my apprehensions have been ill grounded.

The fate of our bills must soon be determined. More than forty
thousand dollars have been presented, of which the amount of about
fourteen thousand have been accepted by order of the Minister. The
Count d'Estaing will leave this in a few days, and go to Cadiz; by the
time he can arrive at that port, the whole of the combined fleet will
be assembled; thirtysix sail are now at Cadiz, seven on a cruise, and
two of a hundred and one hundred and ten guns are on their voyage from
Brest. The Count will urge a vigorous and decisive conduct, and seems
to enjoy the King's esteem, and the good will of most of the Ministers
and Courtiers.

The English emissary, Mr Cumberland, is still at Madrid, and is
permitted to receive from and send couriers to London. The conduct of
the Court appears unaccountable, and I cannot persuade myself, that it
can be agreeable to France, although the Count de Montmorin frequently
assures me, that we need not have any inquietude on account of the
gentleman's residence. He no doubt, however, endeavors to insinuate
many things to our disadvantage, and makes propositions to alienate
Spain from the alliance with France, and from supporting the United
States. Those about him are perpetually circulating bad news from
America, and assert with confidence, that several States and many
individuals in others, are negotiating to make their peace with Great
Britain. Spain may possibly be amusing his employers, as he is
employed to amuse the Spanish Ministry.

The treaty for an armed neutrality was signed by Sweden the 4th of
August; Denmark had not signed it the 8th of the same month, but there
is no doubt she will. The English party in Holland opposed and
retarded it there as long as possible, and finally clogged it with
such conditions as they hope will prostrate the negotiation; for
instance, they propose to the contracting powers, to guaranty all
their possessions in Europe, Asia, and America, but as the States have
gone so far, they will scarce recede, should this article be refused
by the others. The eyes of Europe are anxiously turned to America and
the West Indies; the friends of liberty hope everything from our union
and perseverance, and the expectations of our enemies are founded on
the reverse. Neither Mr Jay nor myself have received letters from
Congress since we left America, except one from the Committee,
enclosing the bills of exchange, so that we are without intelligence,
without money, or the certainty of conveying to Congress as regularly
as we wish, the information necessary for them to receive, which will
plead my apology with the Committee for the repetitions they will meet
in this letter of what several other letters contain.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

_P. S._ The declaration of Portugal, shutting their ports against the
armed vessels of the nations at war, which I mentioned in a letter of
the 6th, has not yet been made public. It is supposed that the present
Parliament will be dissolved and a new one called, while the influence
of the present Ministry continues high. Considering the scarcity of
cash in this country, and the present situation of affairs, perhaps
Congress will do well to stop drawing on Mr Jay, until they receive
information that their bills will be paid punctually. There appears no
forwardness in this Court to enter into treaty; the navigation of the
Mississippi is the great obstacle; the situation of America will guide
the determinations of Congress, and I hope it will be such as to
enable them to preserve the rights of all the States. Negotiations
will, probably, be set on foot this winter, and it is likely this
Court will be the theatre of them. As Spain has as yet taken no
decided part in our revolution, England will rather choose to apply to
this Court, and keep up the old idea of restoring peace by her
mediation, than that of Versailles. Hints have been given, that it
would be more convenient for Spain to furnish the States with money in
America than here, but as they seem to think that America has not
proposed an equivalent for what they demand, I am afraid assistance
will be given very faintly.

                                                                 W. C.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                   St Ildefonso, September 25th, 1780.

  Gentlemen,

I did myself the honor of addressing you the 6th and 9th instant, and
in the latter expressed an apprehension, that Congress would not
receive the pecuniary aid they expected in this country. I am now
sorry to inform you, that on the 13th, Mr Jay was told by order of the
Minister, that their own exigencies would not permit the King to
provide funds for the payment of more of the bills than had been
already accepted. I make no reflections on this event, and hope the
Committee will suspend theirs, until Congress shall have received from
Mr Jay, a relation of all that has passed here since the month of June
last, with the papers necessary to elucidate it. In a day or two after
the above information, his Majesty was pleased to offer his
responsibility to facilitate a loan for one hundred and fifty thousand
dollars in favor of the United States, and to promise some clothing,
&c. &c.

On the 23d, Mr Jay had a long conference with the Count de Florida
Blanca, the particulars of which I immediately reduced to writing, as
I have done with respect to others which preceded this, copies of the
most material parts of which Mr Jay will, probably, forward to
Congress with his other despatches. In this conference, the Count
spoke with much pleasure of a resolution of Congress, permitting the
exportation of flour, for the use of the Spanish fleets and armies in
the West Indies, as also of measures taken by them to make a
diversion to the southward, to facilitate their operations against
Pensacola, &c. &c. He said to Mr Jay, that the King had directed him
to convey his thanks to Congress for those marks of their friendly
disposition, and gave the strongest assurances, that his Majesty would
never consent to a pacification, which did not include the interests
of America, declaring at the same time, that the negotiations for
peace were more remote than ever, although, as he observed, the King
had been offered all he could desire from England, in order to induce
him to a separate peace. He informed Mr Jay he had received
intelligence, that Great Britain once more proposed to send
Commissioners to treat with Congress, that this measure was under the
consideration of the Privy Council, and would, probably, be adopted.

I seize the earliest opportunity of conveying to the Committee thus
much of the conference, as most important for Congress to know, to
which I add, that the Minister promised to take immediate measures for
putting it in the power of Mr Jay, to evidence and avail himself of
the responsibility of the King, and forwarding from Cadiz clothing for
ten regiments, for the use of the American army. In the course of this
conference, the Count de Florida Blanca asserted with warmth, that the
King would never relinquish the navigation of the Mississippi, and the
Ministry regarded the exclusive right to it as the principal advantage
Spain would obtain by the war. This being the bar to the treaty, it
seems not improbable, that this Court will not be in a hurry to treat
with us, but rather trust to her interest in a general Congress for
peace to obtain her favorite objects, preserving, in the meantime,
such a line of conduct, as will enable her, in some measure, to be a
mediator in it, with which idea she has been, and is flattered by
England.

Mr Cumberland, whom I have frequently mentioned in former letters,
still remains at Madrid. The Abbé Hussey, his coadjutor, has just
received a passport to go to Lisbon, from whence he will, probably,
embark for London, and return with the ultimatum of that Court, and
intelligence for the Spanish Minister, for it is not improbable, he
may be a better spy than negotiator. All this, however, is conjecture.
In all probability, great efforts will be made next campaign in
America, if the war continues, as we are told it will. The great
objects of it are in that part of the world. France is engaged at all
hazards to support our independence, and will do it, and Spain is
desirous of possessing the entire navigation of the Gulf of Mexico. I
take the liberty of repeating these reflections to the Committee, as
they arise from conversations on this subject with persons in a
situation to be well informed.

The different powers at war will, however, find some difficulty to
procure money. England has not completed her last loans. France has
begun to tax, and must continue to do so, notwithstanding the great
economy of their Minister of Finances. The last operations of this
Court to procure money, of which I gave the Committee a sketch in my
last letter, and the state of the revenues, which I gave Mr Jay in my
answer to his instructions, will show them the wants of this country.
The interference of M. Necker in the operation beforementioned,
deprived this Court of near two millions of _pesos_, and greatly
irritated the Ministry. I hope, however, their resentments have
subsided. This failure, they give as one reason for not being able to
advance the money we expected, to enable Mr Jay to pay the bills
drawn on him by Congress. Mr Jay has, however, at all hazards,
accepted those which have been presented, and is taking every step in
his power to provide money to pay them, as also those that may be
disposed of in America, previous to the advice he has given Congress
on this head.

The English Ministry are likely to have a large majority in the new
Parliament, which is generally the case in time of war. The great
neutral maritime powers of Europe, seem to regard the present war as
an event favorable to the augmentation of their commerce, and will,
probably, do so, until one or the other of the contending parties
engaged in it appear to have a decided superiority. Portugal seems
better disposed to the allies than heretofore. This change is,
probably, the result of fear, more than of affection. The combined
fleet at Cadiz, consists of fortythree sail of the line, besides
frigates, &c. &c. The Count d'Estaing commands the French part of the
fleet, and the whole is in readiness to put to sea. During his
residence at this Court I was frequently with him, and he professes
the same ardent desire to serve us as ever.

I cannot forbear mentioning to the Committee, my sense of the friendly
and polite conduct of the Count de Montmorin to me ever since my
arrival here, nor can I conclude, without remarking the good effects
that our union, vigor, and perseverance have had in Europe. A
continuance of these will render us respectable to our enemies, and of
consequence to our friends.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                           Madrid, October 15th, 1780.

  Gentlemen,

My last to the Committee was of the 25th ultimo, since which time Mr
Jay has received a letter from Dr Franklin, to whom, as well as to the
Count de Vergennes, he wrote on the subject of his disappointment in
money matters here; this letter has given us much pleasure. The Court
of France continues to manifest the same generous conduct towards us
as ever, notwithstanding its own embarrassments for money. It has in
fact agreed to furnish another million of livres, to answer new
demands and old claims. Among the former, Dr Franklin comprised the
twentyfive thousand dollars drawn by the order of Congress on Mr Jay.
Only two bills of that sum have as yet been presented, and between
eighty and one hundred thousand of those first drawn, all of which
have been accepted.

Every post augments the sum, and we are still uncertain whether money
will be procured in time to pay them, particularly should the bills
for the whole soon come to hand. The Minister apparently has
endeavored, and is endeavoring, to procure money for this purpose. M.
Gardoqui, who will probably succeed M. Miralles, and a gentleman who
planned the loan I mentioned in my letter of the 9th ultimo, are
interesting themselves in this business. If either of these gentlemen
can procure money, or if the Crown can obtain it by other means, it is
probable that Mr Jay will be furnished with a part, if not the whole
of the money necessary for this use. But I am still afraid its ability
will not correspond with our wants and our wishes. The Court has given
orders to enable Mr Harrison at Cadiz, to obtain and ship the
clothing for ten regiments, mentioned in my last. This gentleman is a
native of Maryland, is well known in that State, and has on this, as
on all occasions, manifested a disinterested zeal in the service of
his country.

There is no alteration in the political state of Europe since my last,
and no event of consequence in the operations of the war. The
convention for the armed neutrality is not finally concluded, but I am
told the Empress of Russia is determined to maintain the system
proposed by her. The States of Holland have not yet acceded to it.
Their Plenipotentiaries were instructed to add some articles; one of
which is, to procure the restitution of their vessels unlawfully
captured by the English, another to make it a common cause, in case
the Republic should be molested in consequence of her accession, and
also that her possessions in all parts of the world, should be
guarantied by the contracting parties. Their mediation is also
proposed to bring about an accommodation between the powers at war.
These articles in the instructions, were inserted by the friends of
England, in order to retard, if not defeat the measure, so far as it
respected the States. It has leaked out from the Court of Petersburg,
perhaps expressly, that the English Minister at that Court, declared
to the Empress, that the King was disposed to respect the neutrality,
provided Holland was excluded. This has come to the knowledge of the
plenipotentiaries, and it is supposed on being known to the States,
will hasten the conclusion of the affair, which must put an end to the
piratical rapacity of Great Britain, or involve her in new and great
difficulties.

Two Russian vessels, captured and carried into England, have been
released, while Dutch vessels with similar cargoes are condemned. The
Court of Portugal has given orders to equip several vessels of war,
and seems inclined at present to preserve a strict neutrality,
prompted to this more by fear than inclination. The combined fleet is
still at Cadiz, it consists of between forty and fifty sail of the
line, and has provisions on board for six months. The Count d'Estaing
has provided clothing for the winter, for his seamen and marines, and
M. de Guichen is expected with much impatience. His destination is a
secret, but I think he has a strong desire of visiting our part of the
world once more. He will not be inactive, if he can avoid being so.

The Committee will probably take notice of an article in the foreign
papers, which mentions a revolt in Peru. This if true and serious as
represented, would be an event as important as disagreeable. I have as
yet no reason to believe it of the nature represented, if true. The
Ministry have taken no extraordinary measures, in consequence of this
intelligence, except the fitting out some packet boats for that part
of the world, which may be done to obtain more regular advice, than
they have had from thence for some time past. If it should appear,
that there is any foundation for this report, you may depend on my
endeavors to give the earliest and most accurate information I can
obtain with respect to the causes and consequences of such an event.

Mr Jay means to send soon large packets to Congress, to which I beg
leave to refer the Committee for more minute details on the subject of
this and my other letters, than I can furnish it, from not being in
possession of the various papers, and communications which respect
the mission.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                          Madrid, November 28th, 1780.

  Gentlemen,

I did myself the honor of addressing the Committee frequently in the
course of the last month; this letter, therefore, can furnish little
besides a confirmation of what I then believed to be the disposition
of the Court, of the state of Europe, and of this part of it more
particularly, derived from the best information in my power to obtain.

I have in a great measure confined my inquiries to two objects, the
situation of the finances of Spain and its disposition toward us and
our ally. Every day gives me reason to think the former are critically
circumstanced. I know from good authority the ways and means for the
next year are not devised yet, and I have great reason to believe that
the necessary funds cannot be procured by taxation, because the
augmentation of the present year's taxes has not produced what the
Ministry expected, and neither the commerce nor produce of Spain will
permit further efforts in this way. In short, the current expenses of
1780 have exceeded the revenue twentyfive millions of dollars, and
notwithstanding, the arrearages to the public creditors are
considerable.

The loan for nine millions of dollars, mentioned in my former letters,
is not yet completed, in part owing to the obstacles thrown in its way
by M. Necker. The resentment of the Spanish Ministry, which this
interference excited, has not yet subsided, and I am afraid the
prejudices thereby excited will not soon be eradicated, although
common interest may stifle them apparently at present. The mode of
raising money in the manner heretofore mentioned may become the only
plan practicable, should others now in contemplation not succeed, and
Spain may be obliged to have recourse to paper, from inability to
procure money by other methods.

The Court of Great Britain is well informed of their situation through
Mr Cumberland, their emissary here, who spends a great deal of money.
Influenced by which, and other advices, the King has, in his speech to
Parliament, openly avowed his determination to prosecute the war with
vigor, and he will be supported by a great majority in both houses.
From the best information I have been able to collect, I am sorry to
tell you, that the nation will be able to borrow the sum demanded for
the expenditures of 1781, which with the usual vote of credit at the
end of the session, will amount to sixteen millions sterling at least.
The scheme of the Ministry to effect this is not yet public, but I am
told, it will be on similar conditions to those of the present year.
Ninetytwo thousand men are voted for the marine, and I have reason to
think a considerable reinforcement will be sent early to the
southward, and that agreeably to a proposition of Sir J. Amherst, the
enemy means to occupy and fortify strongly a port near the month of
Chesapeake Bay, from which with a strong garrison and a naval force,
they hope to interrupt the navigation of the Bay, and by frequent
incursions prevent the States of Maryland and Virginia from sending
supplies of men, &c. &c. to the Carolinas. Among the troops mentioned
to be embarked there, are three regiments of light dragoons. Your
servants nearer Great Britain will give you more accurate information.

I am persuaded that our ally will take early measures for defeating
these designs. This latter information is derived indirectly from
conversations with men in a situation to be well informed. The
disposition of this Court depends much on its hopes of obtaining the
objects for which it commenced the war, and I should not merit the
confidence reposed in me if I did not tell you plainly, that I believe
that the exclusive possession of the Gulf of Mexico is the favorite
object, and that if they cannot obtain it by a connexion with the
United States, they will endeavor to procure it, by a general, if not
by a separate peace, to which the King's good faith is, perhaps, at
present the greatest obstacle. The Congress knows best the situation
of their affairs, and I hope it may be such as to enable them to
preserve the rights of all the States.

As I have frequent occasions of seeing the foreign Ministers here, and
their Secretaries, I am too often obliged to remark their partiality
for Great Britain, and jealousy of the house of Bourbon, particularly
those of Russia, Vienna, Sardinia, Portugal, and Holland. Some of
these, in my opinion, are the best spies England employs here.
Jealousy on the one hand, and on the other compassion and admiration,
begin to take the place of envy and interest. The transition from
these to friendship and support is not difficult, if their masters do
not differ in sentiments from their servants. Our perseverance, vigor,
and exertions occasion a hesitation with respect to the event of the
war, which augments or diminishes in proportion to their ideas of the
intentions of this Court, which leads me to think it probable, that
if Spain would enter into positive engagements with the United States,
the hopes of the enemy to divide the allies would be at an end; the
neutral powers would think our independence certain, and would
endeavor to terminate the war, while Great Britain is in such a
situation as to be able to preserve her other possessions.

Should the situation of affairs in America be in a worse situation
than I hope they are, and should the Congress judge it necessary for
their establishment to make further advances and sacrifices, permit me
to take the liberty of observing, that these offers should be
accompanied with a proviso of this Court's avowing the independence of
the States immediately, otherwise the offers should be considered as
null, and no pretensions formed thereon in a treaty for a general
peace. At the same time, it might suit the States to procure a sum in
specie from the Spanish settlements in America, and to obtain certain
advantages of preference in the admission of the produce of their
fisheries into the ports of Spain. I think it my duty to write you
fully and freely the sentiments which arise from the opportunity of
information you have given me, and should be happy to give you such as
would be more acceptable to you, and more conformable to my wishes.

Mr Jay has received and accepted your bills to the amount of fifteen
thousand dollars, and I hope will be enabled to pay them; but this
business has thwarted the other part of his mission here, in showing
our necessities so plainly. For this Court seems to expect equivalents
for services rendered, and the interest of money advanced to us is not
its object. This leads me to repeat what I mentioned in a former
letter, of the King's satisfaction for a resolution of Congress,
permitting the exportation of flour to the Havana, and that every
similar manifestation of amity will much contribute to counteract the
intrigues of the enemy here. The Minister of the Indies lately assured
me, that his Majesty had directed him to return thanks, through the
Chevalier de la Luzerne, for the respect shown at the interment of M.
Miralles.

Having mentioned this gentleman, I am induced to speak of his intended
successor, M. Gardoqui, who has now been named near five months, yet
is still here. This detention is one reason among many others, which
makes me fear the Court has not taken a decisive part for the next
year, although the last declarations of the Minister on this subject
were clear and positive. I have purposely omitted speaking of the
operations of the war in Europe, and other articles of intelligence,
in order to have it in my power to give you the latest I have
received. I hear from England, that Mr Laurens is closely confined,
and treated as a prisoner of State. The Committee may be persuaded,
that retaliation on some of the English prisoners of consequence, will
be regarded in Europe as a proof of the confidence of Congress in the
support of the people.

A copy of the proposed treaty with the States of Holland, was taken
among the papers of Mr Laurens, and sent by the British Ministry to
the Stadtholder, who endeavored to criminate the Pensionary of
Amsterdam and those concerned with him, in consequence of this
discovery. He is, however, supported by the Regency, and this step of
the Stadtholder, not having the effect intended, Sir Joseph Yorke has
presented a violent and menacing Memorial to the States, demanding the
punishment of the Pensionary and his accomplices.[8] I am advised that
this Memorial has irritated in place of intimidating, and that since
four of the seven States have agreed to accede to the armed
neutrality, the persons attacked by the British Court have no
apprehensions, and, possibly, the capture of these papers may
eventually be of great advantage to the United States, by
precipitating the conduct of England, and obliging the States to take
a part contrary to their dispositions, and, perhaps, to the interest
of one or other nation. The situation of M. Dumas is rendered more
critical by this circumstance, and it would be injustice to him not to
mention, that he is indefatigable to contribute to our information by
his correspondence, and by his frequent publications to represent our
situation in the most favorable point of view.

Mr Jay will transmit Congress a full state of our affairs here, with
all the papers necessary to elucidate it. I have seen but one letter
from Congress since my residence in Spain, from which I conjecture Mr
Jay has received but one. He informs me he has written Congress, that
it has not been my fault, that all copies of letters for their
inspection did not appear with my signature. In the month of May, I
answered in writing the instructions he gave me at Cadiz, as I did
_viva voce_ at Aranjues in April, before he entered Madrid. I should
not mention this circumstance to the Committee, if I did not know that
copies of these instructions had been forwarded to Congress, and only
abstracts of the most important part of my answer sent them; I will
take the liberty, therefore, of sending by the first safe opportunity
the whole of my answer, from no other motive than that of evincing my
desire to comply in every point with the duties of the trust reposed
in me.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

_P. S. December 8th._--The Count d'Estaing sailed the 7th ult. from
Cadiz, and, as yet, we have no news of his arrival in France. Mr
Cumberland is still here, and waits an answer to despatches sent by
the Abbé Hussey to England, which is daily expected. Mr Jay has
received a letter from the Count de Vergennes, that France cannot
provide for the payment of your bills here. But I always hope the
credit of America must not be ruined for want of £100,000 sterling,
although, personally, your servants have not money to pay their debts.

                                                                 W. C.


FOOTNOTES:

[8] See all the above papers in the Annual Register for 1780, pp.
356-380.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                          Madrid, December 19th, 1780.

  Gentlemen,

I wrote to the Committee the 20th ult. to which letter I beg leave to
refer them. Having now an opportunity of writing by a vessel, which
conveys a copy of my last, I seize it to inform them that the
situation of our affairs here is much the same as at that period. Mr
Jay has received near eighteen thousand dollars to pay the bills first
accepted, and this, with the twentyfive thousand expected from France,
will give us a respite until the month of March. In the interval, I
hope the Court will enable Mr Jay to answer the others as they become
due, though this will depend much on the facility it finds to procure
money. I have reason to think that the Ministry expect some treasure
from America, that they hope to negotiate in Holland a loan of forty
millions of reals, and another at home and abroad for eight millions
of dollars. I shall be glad to see these expectations realised.

The States of Holland have acceded to the armed neutrality;
notwithstanding this, the English contrive to take their ships every
day, and it is not improbable, that orders have been given to attack
their possessions in the East Indies. No satisfaction has, as yet,
been given by the States in answer to the Memorial of Sir Joseph
Yorke, mentioned in my last. The Dutch Minister and his Secretary have
each told me, that it would be considered as words, and answered as
such.

The Empress Queen is dead, which leaves the Emperor to act at full
liberty. He is said to be ambitious and revengeful, and well disposed
to Great Britain. I know that his Envoy at this Court is strongly
attached to the interests of that country; but his father, the Prince
de Kaunitz, was too long the favorite of the mother, to expect to hold
the same influence with the son. It is to be hoped, that the ensuing
campaign will pass, before the Emperor can be in a situation to
embroil the affairs of Europe.

The Count d'Estaing, who sailed from Cadiz the 7th ultimo, was not
arrived in France at the departure of the last courier. This is an
unlucky circumstance, as it will retard the operations of the ensuing
year. Mr Cumberland is still here, and entertains hopes of success, or
affects to do so. The Count de Montmorin seems to have no
apprehensions, and while that is the case, I flatter myself that we
need not be uneasy at a circumstance, which in itself is very
extraordinary. I do not think, however, that M. Gardoqui will leave
Spain, until all hopes of negotiation cease. We have no advices, or
indeed arrivals, since the departure of the frigate, which brought the
son of M. Rochambeau to France. Many of the letters taken with Mr
Laurens have been published in England. I take the liberty of
reminding the Committee, that I have never had the honor, as yet, to
receive their orders.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                            Madrid, January 4th, 1781.

  Gentlemen,

I wrote you the 24th ultimo,[9] since which I am advised, that the
Abbé Hussey is on his way from Lisbon to this capital, as is supposed
with further propositions on the part of England. I think they will be
as fruitless as the former. I have the pleasure of informing you, that
on the 19th ultimo, Great Britain declared war in form against
Holland. A courier brought the news this morning, which has given
great pleasure to the Court, if one may be allowed to judge from
appearances. Expresses were immediately despatched by the Ministry to
the sea-ports, to advise the Dutch consuls of this event, and to offer
the protection of convoys, &c. &c.

It is supposed, that the Empress of Russia will resent this
declaration of England, as it is posterior to the notification of the
accession of the Republic to the armed neutrality, which is the real
though not the alleged cause of the war, for I make no doubt events
will discover, that this measure was resolved the instant the English
Ministry knew, that the accession of the States to that treaty was
inevitable. I shall take care to give you minute and regular advice of
the consequences likely to result from this event; meantime permit me
to felicitate you on the acquisition of new friends.

The English fleet returned to Portsmouth in a bad condition, without
having made any attempt against that of Count d'Estaing, of which they
were thrice in view. The French fleet was not arrived when the courier
who brought the agreeable intelligence before mentioned left France.
This Court expects to obtain the sums necessary for the expenses of
the year. I hope to transmit the plan of the proposed loan in my next
letters.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

_P. S._ Lest my letter of the 24th ultimo should miscarry, I repeat,
that the Court has engaged to supply Mr Jay with three millions of
reals, in addition to eighteen thousand dollars already furnished,
which with the twentyfive thousand promised by France, will nearly pay
the bills already presented, and I hope ways and means will be found,
to provide for the payment of the residue, drawn and sold before
reception of Mr Jay's letters of advice.

                                                                 W. C.


FOOTNOTES:

[9] Missing.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                           Madrid, January 29th, 1781.

  Gentlemen,

My last advised the Committee of the declaration of Great Britain
against Holland; the capture of a great number of prizes, in
consequence of this unexpected attack encourages the former, and has
greatly irritated the latter. The States, Zealand excepted, seem
disposed to act with vigor against the common enemy. If they
persevere, they may finally disappoint their rapacious projects. They
depend on the interference of Russia, and I believe with reason,
although a day or two ago, the Count de Kaunitz, the Imperial
Ambassador here, offered his master's mediation, in conjunction with
the Empress of Russia to terminate the differences subsisting between
the belligerent powers. No answer to this offer has yet been given.
The Minister from Russia has not yet received the orders of his Court
thereon.

The offer is rather ill timed, and I have reason to think is not very
agreeable to the Courts of Versailles and Madrid, which will act with
entire union on this occasion, and as long as the present King of
Spain lives, it is probable, that this good understanding will
continue on the whole continent, although there are some here, I
believe, who would wish to see it interrupted. While it subsists Spain
will not abandon our interests, though it may not support them with
such good will, as they would have been induced to do by the
obligations of previous engagements with the United States. It is not
likely that these will soon take place, notwithstanding the appearance
of good will, and repeated assurances which Mr Jay has received of his
Majesty's favorable disposition. Nor will the late change of measures
adopted by Congress effect this, if I am not misinformed. I have not
seen these resolutions in full, nor do I know that Mr Jay has received
them, but I have reason to believe, that the Court has a knowledge of
them, either by intercepted letters, or by a direct communication from
America. In short I repeat to the Committee, what I have taken the
liberty of remarking before, that it was probably the policy of this
Court to leave the adjustment of their claims to be settled at the
general negotiation of a treaty of peace, and to reserve to
themselves the liberty of acting then according to circumstances,
unless they can previously secure in their own manner their favorite
objects. This accords with the conduct they have hitherto observed,
and with maxims of policy long adopted and persevered in by this
Court.

In the meantime, they show a decided disposition to continue the war.
They expect some treasure from America. They are likely to procure
eight millions of dollars on loan, and have propositions from other
quarters. The taxes have been augmented this year, the produce of the
last having, as I have been told, fallen short of the expectations of
the Ministry. They have thirtysix sail of the line under sailing
orders at Cadiz, which fleet will probably cruise to meet the treasure
ships expected, and to intercept the succors destined to Gibraltar.
They have ordered a press throughout the kingdom to fill up their
regiments. The ships with the treasure were to sail from Vera Cruz to
the Havana the 11th of October. The Court seems apprehensive of the
Emperor's intentions, and cultivates the friendship of the King of
Prussia, for which purpose it is about to send a Minister to Berlin,
where they have had none for many years past. This matter is not yet
public, and will undoubtedly chagrin the Court of Vienna.

Mr Jay has been promised a part of the three millions of reals,
mentioned in my former letters, to enable him to discharge the bills,
which become due the ensuing month, and, I suppose, will receive the
whole as the bills become payable, until the sum is exhausted, before
which time, funds must be provided for such as have since been
presented, or may hereafter come to hand. It is with pain I have
lately entered to the amount of between thirty or forty thousand
dollars, at three months' sight, as there is yet no certainty of their
being paid, yet I flatter myself that the Court, with the good
disposition it appears to have, will not suffer our credit to be
ruined, after what it has done and promised to do to preserve it.

M. Gardoqui, so often mentioned, will embark in six weeks or two
months. Mr Cumberland is still here, inspiring all the distrust and
jealousy in his power to prejudice our affairs. I hope, however, he
will soon be dismissed. Vigorous preparations are making in France,
and I flatter myself that the Count d'Estaing will once more visit our
coasts in force. I believe he desires it, and I am told he is on good
terms with the new Minister of Marine. The Count de Vergennes was in a
bad state of health by the last advices from Paris, but for
information from that quarter, I refer the Committee to letters I
suppose Congress will receive from Dr Franklin. It is with hesitation
I venture to give my sentiments, and if I should be deceived, it is
not for want of pains, but of opportunity of obtaining more accurate
information.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                           Madrid, February 22d, 1781.

  Gentlemen,

My last was of the 29th ult. since which, I have deferred writing, in
hopes of having it in my power to give the Committee more distinct
information of the actual situation of affairs in Europe at this
important crisis, when its attention is turned to the conduct of the
Empress of Russia and the armed neutrality, and to that of the
Emperor, who, notwithstanding the offer of mediation, I had the honor
to mention in my last, is, as I am informed, regarded with a jealous
and suspicious eye. But the vessels, which take on board part of the
clothing, of which I advised you at the time, and since it was
promised, being about to sail, I seize the present occasion of
writing, lest another from the ports of this kingdom should not soon
present itself.

Our affairs here are in much the same state as when I last wrote the
Committee. No further progress has been made in the negotiation. Mr
Jay has received various letters and papers from Congress, dated in
October. This day he has obtained an order for thirtytwo thousand
dollars, to pay for part of the clothing to be shipped at Cadiz, of
which he has not yet received the invoices, and to discharge the bills
due this month. The Minister promises to furnish the whole of the
three millions of reals mentioned in former letters, and to contribute
to our further relief, as far as the exigencies of the State will
permit him. These, I have reason to think, are urgent and great, and
that the funds arising from the revenues and loans are, for the most
part, appropriated before they are received.

I am not informed, that any positive answer has been given yet to the
Emperor's offer of mediation. It is ill-timed, and I believe, in
reality, is not well taken. I know that this Court is about to send a
Minister to Berlin, where they have had none for a long time. The
circumstances of such an appointment at this juncture, seem to imply
apprehensions of the Emperor's intentions. I enclose two extracts of
letters sent to me by M. Dumas, which contain intelligence that
indicates the intentions of the Empress of Russia. The first letter I
know to be genuine, for I saw the substance of it here in _good_
hands, before I received M. Dumas's letter. If the Empress does not
openly declare against England, she will, at all events, protect the
Dutch commerce, and this must terminate speedily in open hostilities.
I have observed, of late, a change of conduct in the Russian
Ambassador at this Court, whom I have an opportunity of meeting
frequently in company; from being cold and distant, he is complaisant
and affable. I also find him very attentive to the French Ambassador.

Portugal has been much pressed by Russia to accede to the treaty of
the armed neutrality, but the English party at this Court is too
strong to expect success from these applications. The attachment of
this King to his deceased sister, and at present to his niece, the
Queen of Portugal, will prevent any violent measures being taken by
our ally or Spain, to force that nation to adopt other measures. The
republican party in Holland are in good spirits. Zealand has dropped
the opposition it made to hostile measures, so that at present there
is an unanimity in the States on that interesting point.

The troops for America were embarked, or embarking, the last of the
past month. They consist of three or four thousand men (recruits
included), and of Fullarton's and another ragged regiment, to use the
words of Mr Edmund Jennings, who gives this information. The greater
part of these, it is supposed, are destined to the East Indies, and
Commodore Johnson is named by the public to command an expedition,
which is to attack the Cape of Good Hope on its passage. The Ministry
in England is the same. They have a great majority in Parliament. The
Protestant associations begin to stir a little. Lord G. Gordon is
acquitted. Stocks have fallen considerably since the Dutch war, not
less than two and a half or three per cent. The subscriptions for the
loans of the present year, it is generally believed, will be paid in
slowly. Our ally pushes the preparations for the present campaign
vigorously, but on the 14th instant the commander was not named for
the fleet, which is to sail next month for the American seas, and
which I am told, will consist of twentyfive sail of the line. I have
no exact account of the number of troops to be embarked, but the
lowest computation makes them consist of seven thousand men. The Count
de Maurepas was ill by the last advices from Paris.

The Spanish squadron of thirty sail of the line is at sea, that of
England it is supposed will sail about this period of time. Mr
Cumberland gives out, that he has demanded a passport of the Court,
but that he is told to have patience. I hope, however, he will not
stay here long. M. Gardoqui will, probably, embark in all next month
or the beginning of April. I beg the Committee to consider the
intelligence I give them from time to time, particularly that from
other countries, as the latest and most authentic I can procure, but
for the truth of which I cannot vouch.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                              Madrid, March 4th, 1781.

  Gentlemen,

I have received the enclosed letters from M. Dumas since my last of
the 22d ultimo, copies of which I sent to Cadiz, to be forwarded in
the vessels, that take from thence part of the clothing mentioned in
my former letters. The remainder will I hope soon be embarked on board
of other vessels, lately arrived in that port from America. As soon as
Mr Jay receives the invoices, I will transmit copies thereof to the
Committee. I also enclose the last accurate state of the British sea
force in Europe. The squadron supposed to be destined for the relief
of Gibraltar, sailed the 18th ultimo. The Spanish fleet, of nearly
thirty sail of the line, is now at sea to impede their operations, so
that important advices are daily expected from the coast. The exact
number of the English squadron is not known. Count de Grasse is
finally chosen to command the Brest squadron for the American seas,
and is by this time nearly ready to sail.

Our affairs are in much the same situation as heretofore. It is not
yet known here what part the Empress of Russia will take, although it
is generally believed, it cannot be but unfavorable to Great Britain.
Mr Cumberland is still here. M. Gardoqui will embark the last of this
or first of next month. I make no doubt before his departure, Mr Jay
will know the character by which he is to announce him to Congress. I
have no reason to believe, that he will not have formal credentials
from the Court, for otherwise, notwithstanding the information given
in consequence of Mr Jay's conference relative to him with the
Minister, I suppose Congress can only regard him as an individual.

A late publication in the _Courier de l'Europe_, extracted from
Rivington's Gazette, asserting a mutiny of a considerable number of
continental troops in the beginning of January, made considerable
impression here, which happily we have had it in our power to remove
by some arrivals from the northward. Considerable apprehensions and
jealousies are entertained of the views of the States, of forming
powerful establishments on the Ohio and Mississippi, in consequence of
some publications in our papers, and other advices received by the
Court, which has much better and more regular intelligence of our
affairs than Mr Jay. This must be the case as long as the letters of
Congress are confided to the common post in France and in this
country. The difference of expense could not be so considerable to the
public, as might be conceived, and the advantages are important. I am
persuaded the Ministers of the above named nations, receive more
information from the letters written to the public servants of
Congress in Europe, than from those they employ in America. All the
couriers of the Empress of Russia are officers of her army. We have at
present, I presume, many young men on half pay in consequence of the
late arrangements of our army, who would be happy to make these
voyages in the public packets, who might be limited or brought to
strict account for their expenses, and receive instructions from the
Committee to answer public purposes, and be promoted or disgraced
according to their execution of them. I beg the Committee will impute
these suggestions to the true motive, a regard to the public service.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                             Madrid, March 11th, 1781.

  Gentlemen,

Since my last of the 4th instant, I know of a certainty, that Mr
Cumberland, so often mentioned in former letters, will soon leave this
kingdom, and pursue his voyage to England by way of France. His
departure would indicate, that all negotiations for an accommodation
were at an end, if there was not reason to believe, that conferences
on that subject are likely to take place in consequence of the offer
of mediation made to the belligerent powers by the Emperor. As I have
not the last mentioned intelligence from our _friends_, I give it with
hesitation and not as certain. In a little time I hope to have it in
my power, to give fuller information to the Committee on this subject.

The Count de Grasse left Paris the end of February, to take the
command of the fleet for the American seas. I am afraid this fleet, or
even a part of it, will not appear on our coasts until the month of
July. I form my conjectures however from very minute circumstances,
and may perhaps be deceived. The English grand fleet has not yet made
its appearance. A very numerous convoy of provision vessels, &c. &c.
sail with it for the East and West Indies and for America. Mr Adams
has opened a loan in Holland for one million of florins, of which we
shall soon know the probable success. I send enclosed the plan of the
loan in the first copy of this letter, but finding it published in the
Dutch and foreign papers, I suppose the Committee will receive it
before this can reach them. The mutiny of the Pennsylvania line has
had a bad effect in Europe, and our enemies have been indefatigable
to represent it in the worst colors. I hope Congress has been able to
pacify the discontented, and that as they have hitherto done, they
will still overcome all obstacles to the freedom, tranquillity, and
importance, of the United States.

I have the honor to be, Sir, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                             Aranjues, May 25th, 1781.

  Gentlemen,

Since my last of the 16th instant, the French Ambassador has received
the agreeable intelligence, that M. de la Motte Piquet fell in with
the St Eustatia fleet, consisting of thirtyfour sail, of which he
captured twentyfour, their escort, two seventyfour gun ships and two
frigates, having escaped by their superior swiftness; four other
vessels of the same fleet I hear are taken. The captain of a packet
boat, arrived at Corunna from Newport, says, that he was chased in the
latitude of the Azores by the English fleet, which consisted of
eighteen sail of the line. The Spanish squadron has not been heard of
since it sailed.

Thirtysix transports, of two hundred and two hundred and fifty tons,
are taken up at Cadiz on government account, and provisions for eight
thousand men for four months are ordered. The destination of the
armament is a secret, but there is reason to think it is either
intended for the West Indies or for their own settlements in Peru. If
for the former, it will hardly commence its operations before the
month of November, when the Count de Grasse will be able to join it,
after his return from our coasts.

Many bills, drawn by Congress last year, have already been presented
and accepted by Mr Jay; the funds are not yet provided for their
payment, but I hope the advices lately received from Congress will
produce a change of conduct in this Court. I allude to a letter from
the Committee, which came in the Virginia to Cadiz. I am persuaded the
Minister was informed of its contents before it reached Mr Jay, for
the packets were stopped at Cadiz, and bore evident marks of having
been inspected.

The Committee must be sensible, that a negotiation will ever be
carried on to our disadvantage, when the parties with whom their
Minister treats, are thus early informed of the most secret intentions
of Congress. This apprehension renders my correspondence with the
Committee more irregular than it would otherwise be, for I am often
obliged to wait ten days or more, for safe opportunities of conveying
my letters by private hands to Cadiz, Bilboa, or the ports of France,
to prevent a previous examination of them here.

I hope soon to write by M. Gardoqui, but I have so often advised you
of this gentleman's intended departure, and then been so often
disappointed, that I cannot give full belief to the late information I
have received on this subject.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                             Aranjues, May 26th, 1781.

  Gentlemen,

The Court being at this place at present, Mr Jay has judged proper to
reside here until it returns to Madrid, from which city I addressed
the Committee the 23d ult. Mr Jay, since his arrival here, has seen
the Minister and been civilly received. He will inform Congress of
what passed on this occasion. M. de la Motte Piquet, whose squadron
could not be ready in time to join M. de Cordova, and enable the
Spanish fleet to oppose that of England, destined to relieve
Gibraltar, sailed on a cruise the 24th ult. to intercept the homeward
bound fleet from St Eustatia, or one from the leeward Islands. The
English squadron, after relieving Gibraltar, is gone to cruise off the
Azores or the Canaries, to intercept the fleet from the Havana with
treasure, the amount of which I mentioned in my last; this, at least,
is the opinion of several well informed people here. That of Spain has
cruised for it to escort it into port, I believe, on a presumption,
that the English would return to port, or detach a part of their
squadron to reinforce their others in various parts of the world.
Should the latter be the case, and these fleets should encounter, that
of Spain will have greatly the advantage in number, it consisting of
thirtytwo sail of the line.

I have the pleasure of informing Congress, that the Court of France
has engaged to guaranty a loan of ten millions of livres for the
States, and to make large advances in stores and cash immediately. I
wish it was in my power to furnish as agreeable accounts from this
Court. The negotiation is in the same situation as when I had last the
honor to write to the Committee, my sentiments of the motives for this
conduct are still the same. The mediation seems at a stand, and,
probably, will not be renewed before the end of the campaign. Troops
have been ordered to march towards Gibraltar from various parts of
the kingdom, but I have some reason to think, with a view to another
object, viz. either to be sent to the West Indies or to Peru, where,
it is said, there appears a spirit of disaffection, which creates some
apprehensions here.

The crop is likely to be more abundant throughout Spain, than it has
been for many years past. I have not as yet heard, that Russia has
taken a decided part in favor of the Dutch. Their squadron in the
Mediterranean and at Lisbon are ordered home. The Portuguese preserve
a strict neutrality at present. M. Gardoqui is still here, but I hope
will embark next month. I have not had the honor of hearing from the
Committee since I have been in Europe, and Mr Jay informs me, that he
has received but three letters from Congress since his residence here.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                              Aranjues, June 2d, 1781.

  Gentlemen,

The last post from France brought the news of M. Necker's removal from
the Ministry. This change would have been agreeable to this Court some
months ago, on account of the interference of that Minister in the
operation of the loan mentioned in former letters. At present, it
seems to be regarded in a disagreeable point of view, as M. Necker had
engaged to furnish monthly, considerable sums to persons employed to
procure money for this Court, on condition of being reimbursed in
specie in Spanish America, and on other terms that would have been
advantageous to the lenders. Part of the specie thus procured, was
intended for the payment of the French troops in North America, and,
as I have been told, for the immediate service of Congress, as part of
the sum the Court of France has lately engaged to furnish to the
United States.

I have been told, that M. Necker was not disposed to make large
advances to Congress, and, as a proof of this, it has been mentioned
to me, that he opposed the King's guarantee of a loan, which Dr
Franklin endeavored to negotiate last year at Genoa. He is said to
have been obstinately attached to his own opinions, and of a
haughtiness in supporting them, which the man who placed him could ill
brook. He felt an opposition that he could not bear, and which,
perhaps, he saw he must sink under, and, therefore, asked his
dismission, which was granted him. He is regretted as a public loss.
It would be presumption in me, to enter into a more minute detail on
this subject, as your correspondents on the spot will certainly give
the Committee much ampler information than it is in my power to do.

Since my letter of the ---- ult. I have had an opportunity of knowing,
through the same channel of intelligence mentioned in former letters,
that the Court of Vienna still persists in its good offices, to bring
about conferences for a general peace. Without being able to mention
particulars, I can assure the Committee, that in the middle of April,
the Baron de Breteuil, Ambassador of France, at the abovementioned
Court, insisted for the admission of an American Plenipotentiary at
the proposed Congress. The Prince de Kaunitz lamented this
proposition, as an obstacle that might impede a business, which the
Emperor had much at heart. I have not been able to trace the demands
of Spain, but I believe their pretensions in general, do not appear
reasonable to the Imperial Court.

We have had no news of the fleet since I had last the honor of writing
to you. There is reason to think, by news received from England, that
Darby had orders to return to that country. The expedition mentioned
in former letters, will be ready for action in the month of July. The
choice of officers to command it is not yet public. The negotiation is
in the same situation.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                 JAMES LOVELL TO WILLIAM CARMICHAEL.

                                        Philadelphia, June 15th, 1781.

  Sir,

Your several letters have been read in Congress; and your industrious
care, to give frequent, early, and general information of those things
in Europe, which may have influence upon our national affairs, has
been not only highly pleasing in itself, but has acquired value
lately, from the loss of all packets from Mr Adams, since his date of
October 24th.

I am, Sir, your friend and humble servant,

                                                         JAMES LOVELL.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                      St Ildefonso, August 16th, 1781.

  Gentlemen,

Since my last, of the 15th ult. in which I enclosed the Committee a
list of the combined fleet assembled at Cadiz, and of the troops to be
embarked under the command of the Duc de Crillon, we have advices of
the sailing of this fleet, and that the troops of the expedition
passed the Straits of Gibraltar the 23d ult. They had, however, been
detained by contrary winds, and had not left the neighborhood of
Carthagena the 7th instant. The Court expects soon to hear of their
landing in the Island of Minorca. It is the general opinion, that the
force employed is not sufficient to take Port Mahon. The character of
the General, who I have the honor to know intimately, does not accord
with this idea. The combined fleet by the last advices was cruising
off Cape Spartel. That of England, commanded by Darby, is at sea, to
the number of twentythree or twentyfive sail. The Dutch fleet sailed
on the 23d ult. and consists of seventeen sail in the whole, it is
said to be destined to the northern seas, where England has a squadron
inferior in number of vessels, under the command of Sir Hyde Parker.

Our negotiation seems to be in a better train, and it is not
improbable, that Mr Jay will be able to terminate our affairs with
Spain previous to the general negotiation, which is much talked of at
present among the _corps diplomatique_ here. The number of couriers
who pass and repass between the Courts of Versailles, this, and those
of Vienna and Petersburg gives occasion to those conjectures. Mr Adams
has been lately sent for by the Count de Vergennes, and, as I am
informed, has had conferences with that Minister. If this should be
the case, the Committee will have from the first authority, more ample
details on this subject, than can be learnt from second and third
hands.

The United Provinces of Holland, &c. appear much divided, and seem
more employed in party quarrels and private interests, than in pursuit
of measures for the public advantage and honor. I fear the republican
party lost ground by their late attack against the Duke of Brunswick.
This Court continue to borrow money, and have just concluded a loan
for three millions of dollars, to be refunded in the Havana and Vera
Cruz, one million in the present year, and two in 1782. They have
other loans in contemplation, of the general nature of which, I hope
to be able to inform the Committee in time, although it may be
difficult to obtain the minute particulars and conditions of these
loans. The French Minister is concerned in the last mentioned, and
will receive part, at least, of the three millions in question, which
I hope will ultimately centre in North America.

Mr Jay continues to accept the bills drawn on him; between twenty and
thirty thousand dollars have been accepted, for which, as yet, no
funds are provided, but I hope we have not much to fear for their
payment. I have rendered Mr Jay accounts of all our money transactions
here, which, with his usual regularity, he will transmit to Congress,
as also minute details of his other transactions here. Among the bills
presented, it may not be improper to mention, that several have been
endorsed by people in America, payable to merchants in Great Britain
and Ireland. If this does not accord with the ideas of Congress, the
treasury will be instructed to convey to Mr Jay further directions on
this subject.

Although much is said of the forwardness of the negotiations ----
peace, it is not probable that the preliminaries to be fixed on
previous to the opening of the conferences can be adjusted, until the
fate of the campaign is known, particularly if this Court acts with
its usual deliberation, which some call dilatoriness. If the
expedition against Minorca succeeds, and if money can be procured for
the operations of the war, it is the opinion of some persons who are
well informed, that the general peace will meet with more obstacles
here than elsewhere. I have already written to the Committee, that the
Court of Vienna found the pretensions of this Court extravagant. Its
great objects of the war, are the possession of the entire navigation
of the Gulf of Mexico, and Gibraltar. These are said to be the King's
objects, who is in a good state of health, and follows with the same
ardor his daily occupation of the chase. There is no talk of a change
of Ministry. The fleet from Buenos Ayres, mentioned in former letters,
is arrived, and I am afraid M. Solano will be more attentive to the
safe arrival of that from the Havana, than to the prosecution of the
plan of operations formed with our ally. The affairs of Great Britain
in the east, are in a bad situation, and in consequence thereof India
stock has fallen eight per cent.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                   St Ildefonso, September 28th, 1781.

  Gentlemen,

Since my letter of the 14th instant,[10] the Minister has notified to
Mr Jay the King's intentions of naming a person to treat with him;
there is reason to think his nomination and instructions will have his
Majesty's approbation on Sunday next, though possibly it may not be
formally communicated until the Court is at the Escurial, to which
place the royal family goes the 10th of next month.

M. Del Campo, whom I mentioned in my last, is the person who probably
will be chosen. I repeat his name lest that letter should miscarry; he
is First Under Secretary of Foreign Affairs, and acting Secretary of
the Council of State; and has the reputation of possessing great
abilities and application to business, and I believe he merits what is
said of him. He has also the entire confidence of the Count de Florida
Blanca; his residence in England as Secretary of the embassy there,
and his attention to Mr Cumberland and family while here, occasioned
some to believe him secretly inclined to the interests of that
country, but I believe without foundation, for I know that Mr
Cumberland left this country much chagrined, and I believe he was the
dupe of this gentleman's policy. I have had the satisfaction of being
on very good terms with him for several months past, and have often
expressed to him my hopes and wishes, that he might prove another M.
Gerard in our affairs. His being employed in this negotiation is so
far favorable to us as its successful issue interests his own
reputation, and will be probably a step to further honors and
employments, to which, as mentioned in my last, the public opinion
destines him. I hope the Court is now serious in its intentions to
conclude the negotiations, but it is still not improbable this
business may be delayed until the fate of the campaign is known,
unless it should be accelerated by the confirmation of news received
from Cadiz last week, of the arrival of the Count de Grasse's squadron
on the coast of Virginia, the consequent critical situation of the
army of Lord Cornwallis, and the defeat of Lord Rawdon by General
Greene.

I shall seize every opportunity of informing the Committee of the
progress made in this important business, and am happy to find by a
letter I have just had the honor to receive from Mr Lovell, dated the
15th of June, that my correspondence has contributed in any degree to
the satisfaction of Congress, but am surprised, that so few of my
letters have reached the Committee, for on reading the list of those
received and comparing it with my letter book, I find several missing,
which were sent by vessels from Bilboa and elsewhere, which I know
arrived in safety to America, particularly my answer to Mr Jay's
instructions to me at Cadiz, of which he sent only the state of the
revenues and expenses of this country in the year 1778.

I am informed by letters from Holland, that Mr Adams has had a nervous
fever, but that he is now in a fair way to recover. The South Carolina
frigate sailed from thence with the ships under her convoy, the 19th
ultimo. I hope their safe arrival will convey to Congress ample
information of the situation of their affairs in that quarter; I am
afraid the loan does not fill fast, because I have letters from a
house at Hamburg which mention, that Congress bills to a large
amount, that they had presented for acceptance, had been protested.
The republican party gains ground, and the Duke of Brunswick, though
not removed, is obliged to act with more caution, and the Stadtholder
with more resolution and force. I am informed, that the Court of
France has consented to replace the cargo lost in the Marquis de
Lafayette, but Dr Franklin is not enabled to accept any more of Mr
Jay's bills, even for our salaries.

The rumors of a general negotiation subside, owing it is said to the
obstinacy of Great Britain, and the demands of this Court. The
Imperial Minister has just received a courier from his Court, charged
with its excuses for the detention of a Spanish courier, who after
delivering his despatches to the Spanish Ambassador at Vienna, on his
journey from thence to Petersburg, was stopped in Hungary, and not
permitted to proceed until released by order of the Imperial Court.
The Imperial Minister named to the Court of Berlin from hence, will
soon go thither; his nomination is still a secret. The Spanish
squadron has returned to Cadiz. Major Franks will leave this next
week. I must do this officer the justice to observe to the Committee,
that he has conducted himself with great discretion and economy here,
and I hope that Congress will be induced by the success and expedition
with which he delivered their despatches to Mr Jay, to send in future
such as are important in a similar way.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.


FOOTNOTES:

[10] Missing.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                            Madrid, October 5th, 1781.

  Gentlemen,

On my arrival here from St Ildefonso this day, I found the enclosed
letters for his Excellency, the President of Congress, from M. Dumas.
On the 14th and 28th ult. I wrote to the Committee, that the Court
appeared more serious in its intentions of bringing on the negotiation
than it had shown itself to be for a long time. In my last, I informed
the Committee that M. Del Campo would, probably, be appointed to
negotiate with Mr Jay, and that his instructions and nomination would
have his Majesty's approbation on the night of the 30th ult. The
Minister of State once proposed to intrust M. Gardoqui with this
business. Yesterday, when I left the _Sitio_, the Court had not
formally notified the appointment to Mr Jay, but from some hints I
received from well informed persons, I have hopes that the
communication will be made either before he comes from thence
tomorrow, or directly after the Court is fixed at the Escurial. I
shall, however, be very agreeably disappointed, if much progress is
made in this affair until the fate of the campaign is known.

The last post from France and Holland brought no news of an
interesting nature. The French and Spanish troops, destined to
reinforce the Duc de Crillon's army at Minorca, are not yet embarked,
and he cannot act with effect until he receives reinforcements. It is
said the desertion from the place is considerable. The South Carolina
frigate, armed for that State in Holland, has put into Corunna, and I
am concerned to find by letters from Messrs Searle and Trumbull,
passengers on board, that Commodore Gillon's conduct is much
censured. Knowing Mr Searle's zeal and solicitude for the public
interest, I must own that his letter has influenced my opinion in a
great degree, but it would be unjust to condemn the former, before
having seen an exposition of the reasons, which have determined his
conduct, and which he has promised to forward to Mr Jay by express.

The fact is, he sailed from the Texel without the ships he had engaged
to escort, that he has cruised six or seven weeks with little success,
and that he has been obliged to put into the port abovementioned, to
refit and get a supply of provisions, which he writes he shall do
immediately. It is probable Mr Jay may think proper to send me to
Corunna in this business, which commission, I must confess, I shall
accept with reluctance, because I not only foresee the delay and
expense that must inevitably have place, if this government is obliged
to interfere, but the disgrace, which must ensue from the notoriety of
these unhappy differences between the commander and the American
gentlemen aboard. I have another motive, which arises from the nature
of the employment with which Congress has honored me, and which, with
submission, I conceive does not admit of my absence at the most
important period of the negotiation, when most knowledge is to be
acquired of the real dispositions and intentions of this Court, and
when I may avail myself of the esteem and confidence with which the
proposed negotiator has appeared to honor me for several months past.
Although, for the reasons abovementioned, and for others which I could
add, I may leave the Court at this crisis with reluctance, I shall, if
directed, proceed to Corunna, and execute the trust reposed in me,
with a zeal, assiduity, and activity, which, I hope, will always
influence my conduct, when the public interest and reputation are in
question.

I enclose a letter for his Excellency, the Chevalier de la Luzerne
from the Count de Montmorin, whose talents and warm espousal of our
interests, not only here, but at his own Court, entitle him to the
approbation and esteem of Congress. I just hear that the Court has
received advices from Buenos Ayres, dated the 7th of July. These are
very agreeable. The rebellion mentioned in my former letters is
entirely quelled, by the defeat and capture of the Indian chief at the
head of it, and his principal officers, cannon, treasure, &c. &c. It
seems two English officers are in the number of the prisoners, and
that many letters and papers were found, which discover that the
Portuguese excited and fomented these disturbances.[11]

The Havana fleet is expected daily. On its arrival, perhaps, the Court
may do something for us. But I repeat again, that little is to be
depended on in the money way. Letters from France talk of a large
expedition preparing at Brest. Its object is a secret. I shall seize
every opportunity of informing the Committee of what passes in Europe
relative to our affairs, and, in future, will multiply the copies of
my letters to ensure their safe arrival.

I have the honor to be, &c.

                                                   WILLIAM CARMICHAEL.


FOOTNOTES:

[11] This alludes to the revolt of the celebrated Peruvian Chief,
Tupac Amaru, of which an eloquent account is given by Dean Funes, in
his _Ensayo de la Historia Civil del Paraguay, Buenos Ayres y
Tucuman_. See North American Review, Vol. XX. p. 283.

       *       *       *       *       *

                 TO THE COMMITTEE OF FOREIGN AFFAIRS.

                                          Madrid, November 17th, 1781.

  Gentlemen,

On the 2d instant the pretended Ex-Jesuit, who made so much noise in
the English papers last winter and spring, was arrested at the
Escurial, where he arrived the day before from Lisbon, under an
assumed name. Commodore Johnson sent him to Rio Janeiro, in order to
pass from thence to the Spanish settlements in Peru. He pretended to
the Portuguese Governor, that he had been taken by Johnson on his way
to the Caracas, but the former from some suspicion arising from the
man's appearance and story, refused him permission to pass into the
country, which obliged him to embark for Lisbon, at which place under
his borrowed name he addressed Don Ferdinand Nunes, the Spanish
Ambassador, offering to make some important discoveries to the Count
de Florida Blanca. The former advised the Minister of these offers,
and was directed by him to furnish the person in question with cash
for his journey. It is said, that he was recognized the very day of
his arrival at the Escurial, by one who knew him at Buenos Ayres. It
is more probable, that M. Nunes knew his real character previous to
his departure from Lisbon, for the magistrate whom the Minister of the
Indies employs on such occasions, went to the Escurial with his
officers, the day he arrived there, and arrested him the same evening.
He is now in close prison, and I am told has discovered all he knew
relative to the designs of the English, to foment the spirit of revolt
existing in that country. This affair furnished conversation to the
Court the few days I resided at the Escurial, whither I went, at the
instance of the French Ambassador, to Mr Jay to be present at the
_Besa Manos_, on St Carlos's day.

I found by conversation with M. Del Campo, First Under Secretary of
Foreign Affairs, that nothing had been done by the Court to advance
the conferences for a treaty since it left St Ildefonso. In my letter
of the 5th of October, I mentioned, that the gentleman abovenamed was
nominated by the King to treat with Mr Jay; this nomination has never
been formally communicated, but I had my information from such a
quarter, that I am convinced the appointment was made, and the
instructions given near about the time mentioned in my letter.
Multiplicity of business, and the confusion occasioned by the Court's
removal from one royal residence to another, are the present pretexts
for this delay. The aspect of our affairs at the close of the
campaign, the fate of which is yet unknown, and the apprehension of
being obliged to make large advances in consequence of cementing their
connexion with the States, are perhaps the real causes; to which may
be added others of a different nature, though not less important to
Ministers and courtiers.

The palace is filled with Irish attendants, of both sexes, whose
animosity to us and our cause is as decided and inveterate as is their
attachment to it in America. The Princess of Asturias has on several
occasions, and lately in particular, treated such English as come here
with much condescension and distinction. The last instance I allude to
happened to lady Winchelson, and the Lord her son, who came from
America, (where he commanded a regiment) to Lisbon for his health.
They were accompanied by a Mr Graham and his lady, and sister, both
sisters of Lady Stormont, and visited the Escurial in their way to
France.

If the Ministers perceive any aversion in their future King and Queen
to an alliance with us, they can easily find pretexts to retard it
until they see their own justification in the urgency of the
conjuncture, that may appear to have forced them into the measure.
This however is but conjecture founded on the knowledge of some little
incidents in the interior of the palace, and strengthened by the
conduct of the Ministry, not only in the great object of Mr Jay's
mission, but also in several minute particulars in which they might
act to our satisfaction, without showing any marked partiality in our
favor. So far from Mr Jay's having been yet able to obtain further
succors, the French Ambassador has not procured the payment of moneys
advanced in the month of May, by the Marquis de Yranda, to enable Mr
Jay to discharge the bills due that month, although the Minister
engaged his word to the Ambassador to repay this sum in equal monthly
payments. In fact the Court itself is distressed, and with difficulty
finds means to answer its own engagements.

I believe I may venture to write with some certainty on this subject,
for I have been on an intimate footing with the person who has
transacted for the Court the most part of its money negotiations for
more than twelve months past. I knew and cultivated him before he was
in favor, and my introduction of him to Mr Jay, procured him the
commission on the payment of our bills, and a considerable credit in
consequence of the sums supposed to pass through his hands monthly for
this purpose. As he has been the founder of the paper system in this
country, and as he is likely soon to establish a national bank, he
will probably make some figure in the annals of this reign. His name
is Francis Cabarrus, born in Bayonne, but sent early to Spain to
acquire a knowledge in its commerce, in which his father was
considerably interested. His marriage at the age of nineteen (he is
now twentynine) displeased his family, from whom after that period he
received no assistance. With a small capital, as he himself informed
me, he came and established a soap-work in the neighborhood of this
city. While there he introduced himself to the notice of the Count de
Campomanes, by becoming a member of the patriotic society, the friends
of their country; of which the last mentioned gentleman is in a great
measure the founder. He soon conciliated his esteem, as well as that
of the Governor of the Council of Castile, to whom he became known by
means of his friend and patron M. Campomanes. Through their interest
he procured a contract to supply wheat and flour, in a time of
scarcity, and commenced banker. The last year he proposed his plan for
procuring cash for government, on terms mentioned in former letters.

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