The New York Herald Newspaper, February 8, 1872, Page 7

NEW YORK HERALD, THURSDAY, FEBRUARY 8, 1872—TRIPLE SHEET. 7 ~ ‘THR WASHINGTON TREATY. American Opinions Our Case. On ‘WHAT BEN BUTLER THINKS. Glaims Presented We Agreed Not to Present. England Cannot Be Forced Into a Conflict. WHAT SENATOR SUMNER SAYS. {To Recede Were to Barter American Honor ani Bignliy.? Sate Consequential Damages Not a Weak Case. Unanimous Support of the Govern- ment on the Question. Weplorable Condition of Our Na- vy—Our Land Defences. The British Commissioners Aware of Our Full Claims. Animated Debate On the Alabama Claims in the British Parliament. ‘An Irish Member's Description of the English Army, Navy and Treaty with America. PREMIER GLADSTONE'S HOPES. WASHINGTON, Feb. 7, 1872, Our complications with England. were the sub- dect of general conversation to-day, both at the Capitol and in the departments, but no new points ‘were ovolved. Congress did not touch the question im any way, thereby disappointing the junior secre- Varies and ATTACHES OF THE BRITISH LEGATION, ‘who flitted about the corridors all me morning, ‘and were early in tne diplomatic gallery of the Senate, anticipating a renewai of the debate on Mr. Edmunds’ resolution. The general vellef is that the ‘Vermont Senator has come tv the conclusion that {his resolution is mopportune, and therefore he will mot call it up in the Senate for some days. When ‘the proper time arrives 1t is understood that a Movement will be made looking to the REPEAL OF OUR MARITIME RECIPROCITY Laws, fo far as Great Britain is concerned, and an effort ‘will be made to secure the enactment of discriml- Mating duties and @ tonnage tax. General Butler, ‘with whom the Treaty of Washington has never (been a favorite document, it 1s sald, is sure to offer Buch @ resolution if Great Britain persists in her present course or shows & disposition to withdraw from the Geneva Conference. In conversauon to- @ay General Butler said the difficulty vetween the ‘United States and England ig a very piainone. We Presented a case which we AGREED NOT TO PRESENT nd England objects. This is also the view of pome of the democrats, but few ot the latter are so pronounced in their opinions. Continuing the con- ‘wersation the champion of the Massachusetts fisher- men get out his opinions at some length, declaring ‘shat the claim for consequential damages is a strong ‘one, but our members of the Joint High Commis ston FRITTERED AWAY OUR BIGHT TO PRESENT IT. ‘The terms and implications of the treaty are that Only specific acts and specific damages can be con- aldered; and ‘to show you,” he said, ‘that this is wo opinion after the fact, I refer you to my Philadel- phis. speech last October. Engiand says she is @atisfied with the treaty,” he continued, “but not ‘with oar infringement of its terms; and while Iam as much opposed to England as any one, yet I be eve we have no legal right to present such a case ‘as we have prepared and presented. We cannot, Of course, withdraw or modify it now, ana WHAT WILL BB DONE BY ENGLAND femains to be seen. In regard to Sumner’s views, Butler said the facts are that Senator Sumner’s Opinions embodied in his speech upon the Jonnson- @larendon treaty were entirely ignored in making ‘the Treaty of Washington; but those views have ‘been rehashed In the case presented to the tribunal. ‘What will be the result of this disturbance no ono ean tell; but THERE WILL BE NO WAR. England can never be driven into a confilct with this country, no matter what comes of this discus. SENATOR SUMNER DIFFERS ENTIRELY from the views of General Butier, and though not Dellicose, is calm and determined. He looxs tne whole issue in the face deliberately and frmly, and aid to the representative of the HERALD:— “Whatever is put forth by the Queen in relation tothe demands of Ergland and discussed by the Prime Minister becomes a very grave subject; very grave, sir. Whatever may follow the present agita- tion no one oan tell. It is a matter tor conjecture only. The idea of asking the withdrawal of the Case of this country is a novel one, and, of course, an never be thought of by this country. It would be BARTBRING AMERICAN HONOR AND DIGNITY. If we have a weak case, a fallacious case, a fool- ish case, as ts alleged, the place to show it 1s before the Geneva Tribunal, and there only. What action may be taken by the Committee on Foreign Rela- tions I cannot tell, a8 I have not the honor of being & member of that committee, but they may investi- gate it and report apon it to the Senate, What ac- tion they may take I cannot teil, but they wiil no doubt discuss it witha view to preserving pea 40d harmony, but firmly and without the willing: eas to forego any of our rights and privileges. The Auestion of consevuential damages I consider BY No MEANS A WEAK ONE.” ‘The Senator declares that he stil adberes to the Principles laid down in his speech in the Senate on the Jobnson-Clarendon Treaty. “Ma Opinions ten” be says, “are my opiplons 1 damages was ogein IQueduced 1m tho House of | ‘us wil not necd many volunteer eoldiers 10, (@.” He does not share the opinion that we are | Commons to-day, and gave rise to another exciting asking for more than we expected or more than we | discussion, shall get. Tne treaty, he thinks, does not INFRINGE IN ANY WAY ON OUR RIGHT to present our case to the tribunal as best pleases ‘us, nor will it preveng the arbitrators trom giving us an award in accordance witn the principles he ad- vocated in opposing the former treaty with England. “Have you read my speech, sir?’ said the Sen- ator, “it embodies everything I have to say on the subject, and I see no reason why I should not adhere to it in this crisis, GRAVE 43 18 THE CRIBIS.” It is plain from all this that Mr. Sumner will not yield an inch to the Englisn demand but stand py the case tothe end. This disposition is universal among the public men now in Washington, no- body agreeing for a moment to anything like concession or withdrawal. A long search to-day failed to discover a man who was WILLING TO SAY BACK DOWN once, and the speech of Mr, Gladstone, as reported this morning, has had the effect of getting up in- dignation where before there was only calm des termination. “wl ama, PUBLIO SENTIMENT. There is notitag warlike ju the tone of public sentiment. hore, but something akin to inaifference whether England throws down the gauntlet of backs down herself. Itis admitted that our navy {g 10 @ deplorable condition, and even the construc- tion of the ten steam vessels, as proposed by the bill now under consideration by the House Com- mittee on Naval Affairs, would not strengthen our force to any greatextent. By the time the vessels could be completed other véssels now iu commis- sion and carrying 128 guns would have tu be thrown aside as UNFIT FOR ACTIVE SERVIOB. Among these are mentioned the Guerriere, which has just returned from the Mediterranean; tho Congress, sent out for the last time; the Severn, just put out of commission; the Worcester, replacing the Severn in the North Atlantic fleet for such time ag she may be seaworthy, and the Nantasket and Swatara, of the North Allantic fleet, and the Re- gaca, of the Pacific fleet. These were hurriedly butit during the late war, and being made of umseasoned white oak timber, they could not be repaired to any advantage. It is the duty of the War Department to protect the cities and ports of the country, and it is the opinion of our leading naval officers that upon the army would the DEFENCE OF OUR HARBORS Mostiy depend. In this matter the views of the President printed in the HERALD on Tuesday are especially valuable, looking as they dia toa system of torpedo defence which would make our leading cities impregnable to a _ Britisn fleet. For the present the whcle question ts s0 entirely a question of diplomacy that it is impos- sible to obcain opinions on the possible military and naval future beyona those which the HERALD has already published. The Secretary of State denies that any recent letter of his to General Schenck has been published, and nothing has come to hand to-day which the State Department is willing to make public, British Members of the Joint High Commis- sion Aware of the Extent of Our Claims. WASHINGTON, Feb. 7, 1872. The position taken by gentlemen viosely connected with the administration of the government 1s that the British High Commissioners perfectly under- stood the views of the American High Vommis- sioners in the negotiation of the Treaty of Wash- ington, both from its terms and the assertions in the protocol, and that, therefore, our government ts altogether justified in presenting the case as it nas, claiming consequential damages. In case the Board of Arbitrators shall not award @ gross sum in satisfaction of the so-called Ala- bama claims, this government 1s willing to stand by the decision of the arbitrators. It 1s known that, though the British Commissioners had full powers, they frequently consulted their home government and acted in accordance ‘with its wishes in all they aid, Jt is oMctally as- serted that ir the claim for consequential damages had not beon presented and was not to be passed upon, there might be a complaint by the people of the United States that provi- sion was made for @ partial settlement only of the differences between the two countries, Such claim was therefore presented for a, full settlement in the interest of peace, ana to preclude future disputes. This government has not yet received the text of the letter from Lord Granville to General Schenck, and, therefore, cannot take official action upon tt, There is no probability what- ever that our government will withdraw any part of its statement of the case, but will leave the British government to pursue its own course or the ‘Tribunal of Arbitrators to act in the premises accord- mg to treaty stipulation, nor is it likely that our counsel will take any action in order to accommo- date the Britisn government, THE SITUATION IN ENGLAND Earl Gra ille’s Cirealar and Definition of the Treaty. ‘ Lonpon, Feb, 7, 1872. % Earl Granville’s despatch contains no threat to witndraw {rom the arbitration, and makes neither a demand nor a proposal. It simply calls attention, in temperate and conciliatory language, to the meaning that England attacnes to the treaty. THE PEOPLE MORB PRUDENT THAN THE PREMIER. Mr. Gladstone’s speeches yesterday and to-day are widely criticised as mischievous, offensive and needlessly irritating, and it is believed that several members of the Cabinet strongly disapprove of their passionate tone. ‘ AMERICAN MODIFICATION OR BRITISH WITHDRAW. FROM ARBITRATION. The Cabinet and people are unanimous for abandoning the arbitration unless pe American claims are modified. ‘There 1s no intention to offer an affront to America. THE ASPECT SERIOUS, BUT SLIGHTLY HOPRFUL, ‘The situation is regarded in the highest English and American quarters as extremely grave, but not hopeless. EX-MINISTER ADAMS’ RETURN, Hon, Charles Prancis Adams goes home on Saturday. DEBATE IN PARLIAMENT. ‘Animated. Discussion On the Alabama Claims Question—The English High Commissioners Sharply Criticised—Triumph of American Diplomacy—The British Army and Navy as Described by an Irish Member of Parliament. TELEGRAMS TO THE REW YORK WERALO. ——TLoxpo, Feb. 7, 1872 ‘The subject of the Treaty of Washington and the ciaimsa of the American government for indirect Mr. RaLpa Osporne, member for Waterford city, addressed the House at lengtn,*and in the course of his remarks said the Alabama question was the most momentous one England had been called to pass upon within a century. He compared the acute lawyers who composed the Amert- can Commission with the novices who represented England, and said the latter nad been completely outwitted, ‘If,’ said he, “lawyers haa Planned the English case we could escape witn the Payment of the £6,000,000 sterling. The American Commissioners had served their country well and achieved a triumph.” Mr, OsBORNE, continuing, said the trouble lay at home, The government had armies which could not march and ships which were unseaworthy, and now they had a treaty which they could not stand ‘upon, Mr. ARrnur J. Orway, formerly Under Secretary of State for Foreign Affairs, blamed the government for all the trouble which had been wrought. He ‘thought, however, yaat the American re Would recede from its éxtrmé demands, but said that “in case It did not, England, having admitted the principle of indirect claims, must be prepared to meet the enormous demanus of the United States.” Mr. GLADSTONE and several other members de- fended the action of the Commissisners and of the government, and said the hoped the American claim for indirect damages woulda be witbdrawn. THE WAR FEELING IN THE CITY. The all-prevailing subject of conversation yester- day among all classes throughout the city was the possibility of a war between England and the United States, growing out of the respective attt- tudes assumed by the two governments in the mat- ter of the Alabama olaims, It was talked over in the morning in cars, in omnibuses and on ferryboats, as people hurried to their business, It was the subiect of Jater conversations in count- ing houses, in stores and on ’Change. Wall street was agiow with the topic. Humble laborers in humble workshops, in the intervais of their toil, discussed with impassioned ardor tie all-absorb- ing theme. It formed the _ all-prevailing staple of talk in city groggeries, from the gilded palaces of highest estate,to the lowest liquor dens of the metropolis, Strangers meeting at din- ner in the public dining saioons caught the spirit of infection and interchanged their views in the mat- ter. Stokes forthe nonce was forgotten. Inaict- ments against city officials were not thought of, Bedford’s Grand Jury became a thing of the shadowy past. The day’s work over the theme was renewed with increased zeal. At home, at the clubs, at the opera, at the theatres, at balls, at parties, all the phaseswf the question were discussed, In short, among all classes of peo- ple 1t was the first thing talked about in the morn- ing, the chief thing talked about during the day, and the last thing talked about at night. Of course forming the basis of all this talk wera THE LATEST DESPATCHES contained in the telegraphic columns of the morn- ing papers. These only served to Intensify the gene- ral eagerness on the subject of new developments, All day crowds thronged about the newspaper bul- letin boards to see if there were any later news, and the extras sung out by the newsboys were bought with an alacrity unparalleled since the war of the rebeliion—the most positive proof that could be offered of the present feverish CONDITION OF THE POPULAR PULSE. It is umnecessary to state that foremost in importance, and that comprising more than anything else to arouse the public feeling and attention, were the published sespatches between Minister Schenck and Secretary Fish in an extra of the Evening Telegram, the first paper in which they appeared und the first paper to an- nounce to the American people the firm stand taken by our government in this matter. Like wildfire spread the news of these despatches, and tneir tenor was specially the theme of nearly every tongue. In our great moneyed ceatre, WALL STREET, the effect was like magic. Gold, which sold in the Morning at 1097, went up at a bound to 110%. Under the influence of the same feeling the stock market weakened, and prices generally receded. In both-the Gold Room and the Stock Exchange there has net been such excitement for a long time, an excitement not so much engendered by fluctuations in prices as by @ deep-seated feeling impression that something will grow out of this; that underlying this matter are questions of grave seriousness, and that between the two great “kindred nations” WAR WAS NEVER SO IMMINENT AS NOW. “Granting the published interchange of despatches between our Minister at the Court of St. James and our Secretary of State as reliable,” said a promt- nent Wail street banker yesterday, ‘and an issue 1s made at once between the Bnglish government and the United States?” “Do you think war will be the result?’ asked the gentieman with whom he was conversing. BACK DOWN OR KNOCK UNDER. «England must back Gown or war Is inevitable.” “will England back down?” “She has no alternative but to back down or fight.” “and go you think our government will stand ” “Firm as granite.” “But the Geneva Conference has not yet an- nounced its decision upon the Alabama claims,” “Premier Gladstone in bis.speech in the House of Commons foreshadowed the action of the British government in case the Conference decide that these claims must be paid. The Premier is the mouthpiece of the government.”? “The Conference may decide against the claims,’! “They cannot,” sharply retortel the banker, and then added with emphasis, “‘and they will now” SHILLY-SHALLYING. “The British government,” said another of the solid men of Wall street, “have been shilly-shaily- ing this question. Matters are reaching a focus. ‘These claims have got tobe paid or war is inevit- able.” “In case there is @ war,’ asked a bystander, “will money values be affected much?’ “Not very seriously, in my opinion,” responded tne gentleman adaressed. “Speculators will do taeir utmost to push up gold and depreciate stocks of all kinds and government securities, but such a war as this will be will not drain heavily our Tresources. Our immense resources will haraly be affected. It will be @ holiday matter to the great war to crush the rebellion—a war, great as it was, from the effects of which the country, through its great recuperative energies, has already very nearly recovered.’ EXPORTS AND IMPORTS. ‘The question of exports and imports formed tne subject of @ lengthy conversation between two of our heaviest importers. There was very littie dis agreement in views. Both were Inclined to look on tne gloomy side of the picture as affecting their prospective business profits; aud yet down, deeper down than either of these considerations there burned in the bosoms of both a spirit ,of noble and disinterested patriotism that would merge indi- vidual profit in the greater and graver guestion of the national good. “after all,”’ said one, ‘an interruption of commerce between this government and Great Britain will be greatly more to the disadvantage or tne latter gov- ernment than to ours, We can do without Brith fabrics. They will find it hard to do without our grains and breadstuts.” “That's 80, that’s so,” satd the other, repeating the words to give them emphasis. CHARACTER OF THE WAR. ‘This was a branch of the subject quite as much talked about as any other. S fight in a war between Engiand and this country,” said @ leading military gentieman, in explanation Of nis views upon the situation. “What little fight- ing there ts on land wili be in Canada. It will be mainly'a maratime war.” “What will be the fate of Canada?’ queried his interlocutor. “We will gobble her up, of course, and all the North American British dominions beside, Though we do not need them, and though they would not be otherwise worth fighting for except in {ts death-dealing blow to the arrogance of the British government, they will greatly add tothe power and resources of the United States, The St. Lawrence River is valuable to us. The Newfound- land fisneries are valuable to us. We can defy the English government now, but with ber North American dominions added to our possessions we can defy the world,” “But won’t Canada and the other British prov- inces resist a conquest of their territory?’ “There won't be much resistance—a feeble simu- lation, and little more. Come to the real truth of the maiter, I beheve that, despite all their protesta- tions of allegiance to the English government, they will be glad to become part and parcel of our republic and come under our protecting wing.” “So you apprehend but little difficulty in the way of land fighung?”” omy gs eil, how about the naval part of the war?’ “That wil be the sectous part of the business, Eng- land has a much better navy. The experiences of the late war will be of great service to us. We can quickly put in commission all the vessels we need, additional to our present navy, aud there will be no jack Of men to man them, There will be no difll- culty in an eficient blockading squaaron. We have now a large reserve of monitors in the Delaware River which can be turned to most useful ac count,’’ “How about privateering t” “We shall have all the help we need in this re- gard. Our many and plucky yachtsmen, fond of dashing adventure, will convert their splendid yachts into privateersmen.”’ “Bow long will the war last?"" ¥ “It won't last half aa long, or be half as bloody, or half as expensive as the war of 1812.’ MISCELLANBOUS VIEWS, Columns of the paper might be filled with recitals from the free and plainly outspoken opinions of the diferent classes of our citizens upon this engrossing topic of @ prospective war with England. “The Britisn government needs a little healthy curbing,” said one. “A good drubbing is what she wants,’’ Lnter- rupted auother. “And we are the boys that can do it,” said a third of the party. “Sne needs a good lesson,’’ chimed in a fourth individual, “for the help she gave the South i the late war. Sne did all she could to break up | our government, Her assistance protracted the war two years, She ain’t worth money enough to pay the damages she did us, Wd be the first to shoulder a musket against her.”” “I'd follow you,” spoke up another. “And |, too,” said another, “I'm only afraid there won't be a war,” exclaimed still another, the war feeiing waxing warmer and warmer. A SCEPTIO. “Jt will only be a newspaper war,” remarked one im another crowd. ‘The newspapers Ike sensa- tions, and they are making a bye thing out of a very Uttle thing.” “And you call this a little thing!’ exclaimed one with patriotic indignation. ‘You'll change your tune before it ends,’ “| tell you 1t will amount to nothing,’ proceeded the first individual. “It is thus far the merest sham of a newspaper war—the outpouring of cheap newspaper buncombe—this and nothing more, It is ume to talk about war when the Geneva Confereie gives the results of its determina. uons. If that Conference says England must pay the Alavama claims England wuldott, They don’t want to fignt us, and they won't fight us, The Queen wants peace, the gov- ernment wants peace, the people want peace, Gen- eral Grant 1s a peace man anda firm man. I don’t believe ne’ll back a peg. He canbe as firm as he ‘wants, and he will get all the peace 2e wants in this case, To talk about war now ts all bosh—all newspaper bosh ! THE VOICE OF THE PEOPLE. WAR WITH ENGLAND PREPOSTEROUS, To THE EDITOR OF THE HERALD:—~ The question of Will we have war with England is preposterous, War with England? Well, I don’t think the English government will ve foolish enough for that. In fact, it would ve madngss on their part to bring about such an issue, Just think for a mo- ment what they would lose without our having to strike a biow, hardly. All the Canadas, witn Mon- treal, Quebec (that strong fortress), Ottawa, all would be taken easiy; Nova Scotia, Vancouver's Island (foundations of coal), steamsllip lines, ship- ping, all without loss, probably, of a maa, aod then say England wants war? Impossible, She can’t be go thick-headed as not to see the consequences such a result would bring about. Hut you can rest In peace; no such evenc will take place, and all hopes of distinguishing yourself on the batue feld will be in vain. No such gvoi luck wul befall the American people; not yet; only wisn there was. WHAT ABOUT THE CONFEDERATE BONDS? 88 WALL STREET, New YORK, Feb, 6, 1872, To THE EDITOR OF THR HERALD:— Anumber of your readers are anxious to learn more positively of the autuenticity of a statement in your editorial columns of to-day. Tnis 1s to the effect that (he English Commissioners, in presenting their case before the Board of Assessors, included a claim for money loaned by English capitalists on Con- federate bonds. A more potent item could not be had to offset the odor of exhorbitance that, it must be contessed, hangs about our own case as sub- mitted. As this statement stands, many who would gladly credit it and consider the fact of sucn a pre- poslerous claim Laving been submitted by the other side ample justiOcauion fur any inconsistency in our own, cannot but be & little incredulous, chiefy be- cause of the Improbawility that such ‘conclusive evidence of avarice Im Our contestants could have been this long re from the publicear. Only satisty us of the truth of this statement and our consciences ‘will be at once and Gnally reiieved of any scruples as lo Wie justice Of some Little lems in our national iu. A WAR PREMIUM PAYER, AN ENGLISHMAN’S VIEW OF THE RUMPUS. To THE EDITOR OF THE HERALD:— NeW YORK, Fed. 6, 1872. I cannot help congratulating you on tne effects your article of this morning must have produced in American circies and the comforting assurance conveyed by it to the magnates of Wall street, I mean in reference to the Euglish dificulty and the Alabama ques:iou. Candidiy speaking, do you be- leve there is an American citizen, from the Prest- dent down to the jowest mechanic, who could be mad enough to suppose that the English govern- ment would pay such an immense amount of money as indemuification for an act of privaveering com- mitted by merchant vessels in time of wart J am certain there 18 not, and I am also ceriain that the English government never will pay It It 18 re- ported that American citizens supplied quantities of war material to france auring the Jate war, per hap8 unknown to government (as for tbat matter, did bngilsh IMercbanis, though strictly forbidden by Act of Pariuament); but 1 will undertake ‘to say Wat, were the government of the Uniied States Called upon to pay ap indempity vo the German: they would flauy refuse. You talk about war ai that, even were the Engiisn victorious, they ‘would lose by the war. Thieis @ problem J cannot quite anuerstand. ‘To affirm that you have nu com~ merce 1s, 19 my opinion, rather @ poor way oi prov- jug that War could not injure it, and think that ‘there are very lew merchants Who would be able to comfort themseives With tis assurance. New York alone numbers Many Indian mercvanis in the Tanks Of oer most infuential citizens. Dry goods merchants are beni | vut scarce, coal and iron merchants avound, and J might mention numerous others Whose priacipa! commerce ties with England or Engiish colunies. You mignt, after some aim- culty, Obtain Canada, from which tne English bave Just Withdrawn ail their reguiar troops. I also read of 60,000 Irisimen ready in twenty. four bours. Irishmen, indeed! Fenians! men who try to deceive themsetves by the delusion tnat revelling st their rulers is voing good to their country. Faise to religion and country., However, their late attack upon Canada has certainly shown their metile, and with tuis knowledge of their rowess tk government Will know how to accept 1 can only add war 0 be both countries, ana 1 am certain that id would ee, litle more than America e in ber comme! ferer Would be the one that lost, as you say, and in either case!’ Tam, sf, yours reepersally THE ARBITRATION TRIBUNAL. OTT eee The “Case” of the United States Against Great Britain. Interesting Review of the Part Taken by England in the War of the Rebellion. British ‘Neutrality’ Contrasted with That of Other Nations. The British Government Proved to Have Knowingly Violated All Its Own Stat- utes, Proclamations, Customs and International Law in tho Interest of the Rebels. It Is Condemned Out of Its Own Mouth. Direct Claims for More than Twenty-six Mil- lion Dollars and Indirect for Nearly as Much. The British “Case” Hardly Worth Presenting. The Alabama claims and the ‘‘case’’ of the United States against Great Britain, arising out of those claims, 18 the great political feature of to-day. A war Letween the two countries would be a great misfortune, and yet we may be compelied to resort to arms in defence of our rights. ‘ihe “claims” of the United States, so far as they could be ascer- tained, and the aggregate amount of damages grow- ing out of them, were published tn detail in the HERALD a few days ago. ‘[ne ‘Treaty of Washington was also published at the same time, and the proto- col and report of the Commission to Congress have aiso been laid before our readers. But the “case” as a whole has never been consecutively given, and as the whole question has assumed a new and more intense importance now than tt has ever nad, owing vo the double dealing of ‘“Perfidious Albion,’’ tt will be matter of information and news to the readers of the HERALD to present a condensed review of the | whole matter from the beginning. In presenting the case, as the lawyers would say, to the Tribunal of Arbitration, the United States propose to show, by a@ historical statement of the course pursued by the British government toward this country from the outbreak of the rebellion, j A STUDIED UNFRIENDLINESS | on the part of the former toward the latter, and a fixed predisposition adverse to the United States, | This government having thus demonstrated this spirit of unfriendiiness of Great Britain toward us, will next endeavor to indicate what they deem to have been the duties of Great Britain as a neutral toward the United States, And then our | government wili endeavor to show ihat Great | Britain tailed to perform those duties both generally and specifically, and that such fatlure in- volved the lability to remunerate the United States | for losses upon her citizens and others protected by | her flag. Our government will not endeavor to sat- isfy the ‘Iribunal of Arbitration in the testimony | adduced. Ample matertal for estimating the amount of mjunes sustained by Americans, and the power, under article 7 of the treaty, wo award “a sum in gross to be paid by Great Britain to tne United States for all the claims referred to.’? in presenung this mass ot evidence to the Arbitra- | ton Commission the United States reserve the right under the greaty to present hereafter ‘additional documents, correspondence and evidence’’ on this great question. In opening the case, therefore, the United States reviews tne relations of both countries and governments previous to 1860 and up to the outbreak of the American civil war. The | Jurisdiction and domain of our government are next recited, the slavery agitation referred to and | the election of Mr. Liaculn upon the declared piat- form of freedom as being ‘the normal coudtuon of all the territory of the United States,” and aenying to individuals, to Congress or to Territorial Legisia- tures the authority or the right “to give legal ex- istence co slavery in any Territory of the Unitea States,” The secession of South Carolina and of the other Southern Siates which joined 1n the rebellion is next recited, and the consequent ADOPTION OF PROVISIONAL GOVERNMENT following, and trom speeches of A. H. Stephens, Jeif Davis and other leaders it 1s shown that the impel- ling mouve for this illegal action of the South was opposition to the territorial Imitation of slavery. It is not shown that there was a respectable party’ in the South opposed to secession, but their voice and influence were dimmed and overcome by the clamor of the more flery and warlike individuals, The South had gained considerable head way be- fore Mr. Lincoin’s inauguration, in 1861, and efforts had been made to get Engiand and France and other European governments to recognize the Con- | federacy, The British government had veen in- formed of Mr. Lincoin’s purposes, and Lord John Russell, then Prime Minister of England, had promised to await the arrival of Mr. Adams before “finally discussing or determining the question.” The United States, therefore, had implicit confi- dence im this pledge, taken together with the previous friendly relations of Great Britain toward this coantry, and had hoped to setue matters amicably. But the surrender of Fort Sumter and the subsequent issuance of letters of marque by the rebel government precipated events, and on the loth of April President Lincoln issued his prociama- Ment for a recognition of the Southern Confederacy, 4nd, even while Mr. Adams was on his way to Lon- don, the Britush Parliament was discussing “the general effect of the common and statute law,” ow the recognition of belligerent rights to the inaur- gents, and it was assumed by all the speakers that the rebel government might lawfully issue letters of marque. On the morning of May 13 the Queen's proclama- tion of neutrality between the belligerents was issued, and later in the day Mr. Adams arrived im London, so that the British government showed UNDUB HASTE IN RRCOONIZING THE SOUTH, against its own pledges and promises not to do 80 until the United States had had time to present its state of the controversy. A careful examination of the published correspondence and speeches of Lord Jonn Russel! shows that at that time Her Majesty's government was by no means certain that there ‘was a war in the United States. And even up to June 1, 1861, he seems to be in doubt, and speaks of “the contest which appears to be immi- nent’ between tne United States and the so-stylea Confederate States of North Ame- rica; whereas the Queen’s proclamation of May 13 previous alleged that this war had “unhappily commenced between them.” The effect Of this proclamation was well known, and tn the Parliamentary debates tt was admitted “there would be thousands of privateers hovering about the British coast But while it was admitted alse that any British subjects entering the service of either belligerent “would be liable to be punished for a violation of the laws of hisown country * * * be ought not to ve regarded a3 a pirate for acting under a commission trom a State admitted to be entitled to the exercise of belligerent rights and car rying on what might ve callea a justum bellum—& Tighteous war.” Tne plea of ignorance on the part of Great Britain is therefore entirely removed. The British government knew what it was doing an® knew exactly what the effeot of tts action would ber upon this coantry, and, with ita eyes open, it aa~ sumed, morally and legally, the responstollity there- for. And the United States government 1s com- pelied to view this act, or series of acts, as an- friendly and committed in an unfriendly spirit to- Ward this country. But this unfrieudiiness and hostility toward the- United States 18 still further shown in the discussion as to the declarativns of the Congress of Paris, the instructions to Lord Lyons in Washington, which might have béen, and doubtless under other cir- cumstances would have been, regarded as a cause of war. THE HISTORY OF THE PARIS CONGRESS and its declaration is next presented to the United States in making out its case, to show the atuitude of Great Britain and this country on the subject of privateering and the exemption of priva’e property from capture on the high seas by nations in a state of war, Our government then comes down to the negotiations and correspondence between this gov- ernment and Great Brita and to simuar negotiatons and correspondence between Great Britain and the Confederacy in regard to the Parls declarauon; and from Mr. Adams’ despatches to Mr. Seward the donbdle- dealing and bad fa@. of Lord Join Rus- seil 13 shown throughout our struggle. In striking contrast is the conduct of Great Britain to- ward the United States in the Treut affair and to ward violation of Beitish neutrality tn the revel in- terest. This conduct was very forcibly though quaintly tilustrated by M. Roitn-Jacquemyns, who deciared that ‘the ideal of the deutral party 1s that of the judge, who, in the story of the litigants about | an oyster, swallowed the contents of the moliusc aod awarded the sheils to the two belligerents. _ He 0e- 1ongs to no party, but scrupulously fattens himself at the expense of both.’’ This witness is undowbt- edly true and he faithfully portrays tue policy of Great Britain in this affair, ‘rhe unfriendly feeling of the British Cabinet to- | Ward the United States is atso evinced . by thetr speeches and public addresses as cited by our gov- ernment in this case, and the conclusion arrived at by our goverpment 18 that Great Britain could not under such circumstances and that it did not | Strive to repress the attempts of Britush supjects and of other persons to vioiate the neutrality of British soil and waters tn tavor of the rebels, Thus far in regard to what Great Britain did a3 a neutral; now as to what she should have done and observed toward the United states. On this branch of the subject our government, in further presenting its case to TUE TRIBUNAL OF ARBITRATION, | Shows from British statutes—especially tne Foreign | Enlistment act of 1819 and its amendment tn 1370, and the judicial construction thereof—that der Ma jesty’s government knew exactly what was required of neutrals; aud yet it failed to observe its own laws, International law, which is a part of tie common law ol England, also bound it, and the duties recog- nized by the Queen’s prociamation of neutrality, above referred to, ag well as the deni- ton of neutrality by her own Courts, bound her to entire abstinence from any: par- Ucipation im the war and the exercise of im- partial conduct toward both beliigerents, And this . abstinence and this tmpartiality must be combined in the character of a Vona Ade neutral This ts the definition of neutrality as lai! down by Chief Justice | Philimore on the Enlistment act. These duties . were recognized also by England tn its Instractions: to British Officials here during the insurrection and in its correspondence with this government tm 1793-94 and in the treaty of November 19, 1794, and in the construction of that treaty by the commis CONTINUED ON TENTH PAGE. Don’t Scorch Your § OW with Cansttio ‘S INSTANTANEOUS dyos. Why should when Hate DYE Fioparte%o the grayeat bead un brown or @ . jetty, plaak in about the fime it takes to read this para- wap! Patent einai” MPION SAPES, 251 Broadway. corner Murray atrest. Angells Turkish Baths, Loxtnat Aves. nue, corner Twenty-lifth street.Oentlemen every day aud all night: ladies day and evening; heat ventilation; highest temperat best shampooing; Wo gratuities; advamtaxes . une|jualled; Europe outdone, A Card,—Watts’ Nervous Antidote Cured my daughter of St. Vitus! Danes, thonght incurable 0. LAK.MAN, 60 Till A.—_Cherry Pectoral, 50c., “uperior for - Colds, Hoarseness and all Lung Diseases, at RUSHTON'S,,. Ul Barclay street. A.=—“Cod Liver Ol, 1) Taken at the First Ape. Penzance of Consumption, often effects permanent curse. AZARD & CASWELLIS 1s the beat. A.—Royal Havana Lottery.—J. 8. Martinem.- &CO., Bankers, 10 Wall st; box 4,685 New York Yost offies , Back ‘Ache.—Forty drops ef Constit f WATER will telicve tke magie. nin tion declaring @ blockade of certain Southern ports, ‘The British government had invited tne French toa joint action on American affairs, and such i agreement made between them was communi- | cated to the American Minister, Mr. Dallas, May 1, 18¢1. ‘The United States deem it, thereiore, very probable that negotiations between the two goveruments for such action were pending while still Great Britain was making the most earnest promises of neutrality toward the contending par- tues on this Continent. There was nothing in tne PREVIOUS RELATIONS BETWEEN GREAT BRITAIN AND THE UNITED STATRS which made it. necessary tor Her Majesty’s govern- ment to seek the advice or to invite the support of tbe Emperor oi the French in. the crisis which was threatened. Our government is, therefore, at a loss to conjecture what inducement could have prompted such an act, unless ij may have been the perception on the part of the British government that 1 was im its natore not only unfriendly, but almost nostile to the United Staves. Our government, following out the President's proclamation, show that acorrect and certified copy’ of it could not nave reached London before the 19m of May, 1801, and yet England nad taken her aftion upon an imperfect summary pre- vious to Une Ist of that month and decided to Tecognize js state of war in the United States, On the 4th of /May, with yet imperfect injormation be- fore him, Lord Jonn Russeli met the rebel Commis- sioners and discussed with them the recognition of Southern independence, and on the 6th he wrove to Lord Vowley, staung that be had not received despatches from Lord Lyons, the British Minister fat Washington, by the steamer (Persia) which had just arrived, because “communication between Washington and New York was still interrupted.” ‘The British government, therefore, knew wnat It had no official or correct information before it whereon to act in this matter, and yot at this carly date ib sought an sllianee wilh the Freach govern: Balls, Parties, Weddings.—Ladie’, Misses Gents’ apd Boys’ Boots and Shocs, all styles aad prices, a. 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