The New York Herald Newspaper, February 9, 1872, Page 7

NEW YORK HERALD, FRIDAY, FEBKUARY 9, 1872.-TRIPLE SHEET. THE WASHINGTON TREATY. British Opinion of the Inter- national Crisis, ‘Tho Public Sentiment in Favor of Gladstone's Position, but the People Afraid of the Consequeners, *Change “Demoralized” Amid Intense Outdoor Excitement. The Market for American Securi- ties and Its Variations. TELEGRAMS TO THE NEW YORK HERALD. Lonpon, Feb. 8, 1872, ‘The London Times, in its issue to-day, editorially Teviewing the debate in the House of Commons, gays it is evident that “the House is unanimous in Tepudiating the admissibility of the American Claims for indirect losses.” Mr. Gladstone's lan- guage is not likely to induce the Americans wo with draw their demands, The 7imes strongly depre- cates “verbal discussion over the treaty.” ABINET OBEDIENCE TO THE “IMPULSE" OF THE ENGLISH PEOPLE. The London Zelegraph criticises the utterances of American journalists on the subject, and says:— “The English government in the stand it took has only obeyed the unanimous impulse of the country.” THE PREMIER INDISCREBT IN IIS UTTERANCES, The London Yelegraph, towards the conclusion of its editorial on the Alabama claims referred to ‘above, adds:—“But the speeches of Mr. Gladstone @re indigcreet and will’ probably prove mischiev- ous.” THE PUBLIC EXCITEMENT UNABATED, ‘The excitement prevailing in the city over the Alabama claims—two P, M.—is unabated, ‘The speeches in Parliament, succeeaing the news- paper discussion, serve to keep the public mind agitated. Anxiely as to the manner in which the Cabinet at Washington will receive the represen- tations of the Britisn government 1s felt in all circles. The London journals, although stil! moderate in tone, find fault with Mr. Glaastone for defending the treaty, and maintain that Parliament is unani- ‘mous for the rejection of the American demands, ‘THB EFFECT ON ‘CHANGE—HOW AMERICAN SBCURI- TIES AND CONSOLS WERE INFLUENCED. ‘The effect of the existing state of affairs is more particularly shown on ’Change, where business for ‘the moment is demoralized. ‘The market for American securities opened fiat, ‘with @ marked decline in all quotations. Since the “Opening, however, United States bonds of 1862 and 1907 have recovered @ fraction; but the others con- tinue at a falling off of from one-half to threé-quar- ters from the closing prices of last night, and the market remains inactive. In American railway shares shere have been no transactions thus far. to-day. ‘The general uneasiness is also reflected in the quotations of consols, which have declined from one-quarter to three-eighths since last evening. THE FEELING IN WASHINGTON. Senator Edmunds’ Intention to Press the Resolu- tion of Inquiry—Earl Granville’s Despatch Cautious and Evasive—The American An- swer Respectful and Diplomatic—How to Fight England at Sea, Make Our Harbors Inaccessible, Cut Up English Commerce and Pierce John Bull's Heaviest Armor. WASHINGTON, Feb, 8, 1872, ‘The English excitement continues to be the chief topic of conversation at the Capitol. Senator @dmunds said in private this morning that he ‘should preas his resolution of inquiry at an early aay. In his judgment the chief object of the Eng- ‘iam managers of this flurry has been to affect the \determination of the international tribunal—an act ‘of geer bad fatth on their part. But it would ap- pear that their “vaulting ambition has overreached itself,” and the effect of the storm they have raised 48 greater than was expected. Nothing new was developed to-dsy. The caution of Bari Granvilie’s note, in not alluaing to tne re- ported imtention of withdrawing from the Con- ference, is being eagerly canvassed. This fs re- garded as the loophole of escape for Great Britain when our refusal to withdraw our case has been ‘ofMctally made; and it is generally believed here chat THE BACK DOWN ‘will be upon the ground of no actual imtention to ‘withdraw having been entertained by the English government. The full text of Lord Granville’s note ‘was telezraphea and is now atthe State Depart- ment. The answer is ready, but, it is understood, has not yet been transmitted to the American Minister. it will be firm, respectinl and aipiomatic, a the same sense as Earl Granville’s communt- THE CONDITION OF OUR NAVY and the ability of the government to prepare fora state of defence at the shortest possible notice is the subject of conversation in official circles. There is ‘aotan officer of the army or navy who does not deel directly interested in the matter, especially ‘those of the latier department, and the opinion ‘among naval men may be best understooa from a conversation to-day with @ distinguished officer of the navy. ‘the country, he sald, 18, verhaps, fh no condition for War os far as the navy 4% Concerned, but our principal harbors could, 42 & monti's time, be made inaccessible to the tron-clads of Great Britain by means of Chaos, ovsiructions and torpedoes, and so render B great deal of the commerce of England helpless, though she woula be able to protect her convoys, owing to her large number of fast cruisers, while We could not, ur iron-clads could be made fuirly suitable for harbor defence only by putting them in immediate repair; by placing tron beams in lieu of the wooden ones; and filling in the sides with ew timber; but we could not meet the English ‘Snywhere at sea, Our vessels would have to go out ‘singly CUT UP ENGLISH COMMERCE, ‘burn, stnk and destroy generally. Many of our fast stugs or low pressure steam propellers could be turned into torpedo boats, and we know enough to fatisfy us that the pest English iron-clad vessel would be destroyea by one of the machines we have now under way, should they get alongside of them, which could easily be done in the night, if they attempted a close blockade of our ports. Ali the .French and German steamers would be bought, and Would make excellent privateers with the addition Of sail power and ve able to keen the soa for & long time without fear of being captured. No ships-of ‘war could catoh them. These vessels could safely go into the British Channel, and in twenty-four hours could do incalculable mischief by burning, sinking and destroying the merchant marine of the English, apd at the same time supply themseives with coal from the collieries. They could also destroy many of the vessels of the British trade passing through the Straits of Malacca and of Surinam, and lie in walt for the homeward and outward bound Australians, and, aseverything would be destroyed, they could help themselves to coal and provisions before destroying. Of course, many Knglish ships would be convoyed by vessels of war, but THE STRAGGLERS WOULD BE PICKED UP, and three or four vessels, acting in concert, conid get in among a convoy in a dark night and do great damage betore being discovered. All this class of Vessels could be made powerful torpedo ships, car- rying eight or ten torpedoes, to be rigged out from each broadside on plans now projected in our navy, and, having great force, they could at might close with the heaviest tron-clad and destroy her. Our naval ships are not ali fit for use, for tho most of them are very slow and they would have to be laid up. War would break up all the lines of British steamers running to this country, the Profits of which to England are now more than seventy-five millions a year. Our fast privateers would break up all the lines on the west coast of America; for passenger ships could not run depend- ing on convoys, But in a short time we would have all the neutral ports of the world closed against us, with the excepuuon of Russia, Prussia and Denmark, for England would not like to go to war with these, and they would give us coal. In a short time we could . IMPROVISE RAMS AND IRON-OLADS3, to carry heavy guns, out of the largest European steamers. These could be used to warn the enemy away from a close blockade. In case they should succeed in entering our principal harbors or ports and anchor, @ fleet of North River steamers, well managed, would run them all down whiie at anchor by attacking at might, No English tron-clad can stand our twentyinch guns nor our twelve-inch Trifles, Dut will resist the fifteen-inch with ordinary charge. What we ought to do is to appropriate money sufficient to buy or construct. torpedoes for all our harbors, as the making of them requires time, and to construct a large number of electric batteries, We should plan a system for obstructing barbors with river sloops filled with light timber, so that they would not sink and could be used for holding up chains. Large chains, heavily plated, could be got ready in a short time to be used as channel defences, or they could be covered with railroad iron, The names of the best tugboats should be procured and the vessels examined with reference to their capacity for torpedo boats. Some of our best monitors on the stocks should be fitted for rams and torpedo boats. ll the hulls of vessels with live oak timber should be repaired and TURNED INTO SEMI-IRON-OLADS— that ts, ironed below the water’s edge and fitted with torpedoes. We should at once purchase large supplies of saltpetre for making powder, and fortify some of the points in our bay where an enemy would take refuge in bad weather. Gowanus Bay would be a safe anchorage for tiem, also Delaware Breakwater, The government should contract at once for machinery for makmg eight-inch plating, and we should go to work casting heavy rifled ord- nance, in which we are very deficient. We should without delay convert some of our heaviest smooth bores into rifled guns on the Parsons sys- tem. ‘the English are adopting this system in pref- erence to the Armstrong and Frazer guns, Power- ful guns can soon be produced on this system by converting the smooth bore fifteen inch into a tnir- teen or twelve inch rifle with steel linings, Th's could be done with @ large quantity of army and naval ordnance, and our ships and forts would be able to pierce John Bull’s heaviest armor.’ We have our advantages, Our people have just come out of @ war with their wits brightened and full of Yankee ingenuity, and as the war showed them ready for any service, a war with England would not be one-fourth as harassing as one with the South. England understands the results that would follow, and will not indulge in @ war. But to show that we mean work it is our purpose to repair everything that we have that is worth repairing. It ts proposed to have plans of numberleas smal! cruisers prepared, so that we can go to building at once if the attituae of England ts hostile. THE VOICE OF THE PEOPLE, ENGLAND DARE NOT FIGHT. Her Power a Fable and Joha Bull a Mere Bully. To Tux Epiror OF THE HERALD:— lam glad tosee there ts no “backing down” in thetone of the HERALD on the now all-important question of the attitude taken by England with re- gard to the Geneva Conference, The HERALD, how- ever, does not express the feelings of the great mass of the American people in this case half strongly enough—surely not the feelings of THE IRISH PORTION OF OUR POPULATION. ‘They, at least, thirst eagerly for the day when they may have an opportunity of striking a blow against their perfiaious taskmasters who have robbed them of their birthright, driven them from their homes and subjected them to every species of tyranny. Unforiunately such an opportunity has not yet ar- rived. ENGLAND WILL NOT FIGHT. She dare not goto war with America Just now. ‘The day she does sball be the day from which shail date tne downfall of English monarchy—that ts 1 Diike and his followers bave not overturned tt tn the meantime, In such a war England would have all to lose and nothing to gain. English statesmen know thts, and there is very Iitue fear that tney will enter tnto such a suicidal Cdk i They tl biuster a little tn their wonted style, but that ig all THEIR PRESTIGE 18 GONE; the glory of their country is departed. England, once the haughty arbiter of nations, must now de- scend from her proud position and take, whether she iike itor not, the place assigned her by tne altered condition of taings. No doubt she sull clings to the old idea; but it is only a snadow. Her younger compeers are now far anead of her in every element of greatness; and her urowsy con- servatism, rofusing to awaken Lo the spirit of the times, ia left far belind in tne march of progress— in the great advance of free thought and new ideas, ingiand is not even what she was; she has retro- graded, whulo other nations have advanced with giant sirides. Lrepeat, therefore. again, that England will not, dare not fignt now; and I hope America will not abate one item in her (demands, let English states. men bluster as they may. England haa been shorn Of one of her most pow. erful arms by the progress of modern invention, Men laugn at the “wooden walls of England)’ and THB PABLE THAT “BRITANNIA RULES THE WAVES” has since been exploded, The emptre on which the “sun never seta,’ should the present complica- ‘ions lead to war, willsoon be of less pretentious area. The source of England’s power and wealth hes in her foreign ssions. Should these be wrested from her she would sink at once into a fourth or a fifth rate nation. The strength of Eng- land isner commerce. Let that be injured and a vital blow is infiicted on her. America can have no fear of going to war with her, for she can destroy fn coeabaoes, ancanuire @ large porticn of er possession! Olly DRIVE BER FROM THE SEAS. No such things could happen to this country, Which possesses resources enough in itself for all its Wants and all its luxuries, too, for centuries to come. If we want fish cannot the fisheries of Newfoundland be absolutely ours ? And if we want furs can we not find them in our future possessions round Hudson Bay? And, besides, does there not grow good coffee in Jamaica? 1 believe, however, that Mr. John Bull knows “how it is himesei!,” and that aster all on the present Lage FA merely be “a flash in the pan!’ with bim. IRELAND WAITING THE OPPORTUNITY to pay him a long Co gene | debt, and with re- publicanism spreading through ail nis industrial centres, 1 guess the old gentleman will think twice before he begins the game of war on the present cecasion. JAMES CASSIDY. ENGLISH AS WELL AS YANKEE PRIVA- TEERS, New Yor«, Feb. 7, 1872 To Tug Eprror oF TH8 NEW YORE Henap:— flaving read carefully all your articles devoted to the Alabama question, in which you seem to con- sider a War with England the best way to settle and you are 80 certain that we could guch @ terrific number of pi eats course, sweep the seas com; By anya inte jape of & vessel delongin, England, will you 7, What sort of privateers the Rana orake out of those magnificent, pow. msnips pel ‘rom personal observation I think in the event of suoh couumaency as those vessels would war formidable foes. Now, if you think DOT reat qian you would 10 some Teasure dispel Lek wn THE BRITISH “CASE.” England’s First Word to the Geneva Tribunal. A PLEA IN ABATEMENT. How the Pirates Florida, Georgia, Ala- bama and Shenandoah “Escaped.” Only Accountable for the Alabama and Not Responsible for Her—A Paradox. REGRETS, BUT NO INDEMNITY. Anxious for Peace and Prepared to Accept the Award. No Reterence to Consequen- tial Damages. GENERALIZATIONS AND RETICENCE WASHINGTON, Feb. 8, 1872, ‘The case of the British government to be submit- ted to the Geneva tribunal has been filed in the State Department, This case 1s understood to be the work of Montagu Bernard and Lord Tenterden, and is an able and exhaustive treatment of the ciaims of America 48 SEEN FROM AN ENGLISH POINT OF VIEW. No reference is made to any claim for consequen- tial damages, and the fact that such a claim would be made does not seem to have entered into the minds of the English Commissioners, The prelimi- nary parts of the case are voluminous, There is a statement of the matters referred to inthe arbitra- tion as understood by the British government, ‘With this there is an introductory statement of the events attending the commencement of the war and THE COURSE PURSUED BY GREAT BRITAIN, and the considerations proper to be kept in view. There 18 a statement of facts in reference to the Florida, the Alabama, the Georgia and tne Shenan- doah. In addition to this there are four volumes of correspondence relating to the four ships mentioned, as well as to the Sumter, Nashville, Phantom, Alexander and other vessels respecting whom representations were made tothe British govern- ment. There are papers relating to the prociama- tion issued by Great Britain and the judgments de- creed by the Exchequer and the Supreme Court, The exact features of the case, as Summed.up by the Commissioners, are as follows, : THE BRITISH ARGUMENT, Of the four vessels in respect of which alone the United States have up to this time made claims against Great Britain, two—tile Georgia and Shen- andoah—were never, in any manner or degree, within the dominions of her Majesty, fitted out, armed or equipped tor war or specially adapted to warlike use, They were constructed and fitted ina manner suitable to merchant ships, + ‘THE SHENANDOAH. One of them, the Shenandoah, was not only built for a merchant ship, but had been owned and used as such before she was purchased by the govern- ment of the Qonfederate States, and her condition and équipment when she departed from Great Britain and when she came into the possession of the government of the Confederate States were, as fat as appears, the same in all material respects as they had been when she was owned and emplo#™1 as a trading vessel. This vessel, according to the evl- dence which has been brought to the knowledge of Her Majesty’s government, was sold and trans- ferred to the government of the Confederate States after she had departed from Her Majesty’s dominion. No information whatever respecting these two ves- sels respectively was conveyed to Her Britannic Majesty’s government by the Minister or Con- Sular offcers of the United States, or came to the guowledge of that government until they bad respectively departed from Her Majesty's dominions, Her Britannic Majesty’s government had no ground to believe or suspect that they or either of them were or was intended to be delivered to the government of the Codfederate States or its officers, or employed in cruising or car- rying on war against the United States. If the Minister or Consuls of the United States had any such grounds of belief or suspicion they were not communicated to the government of Her Britannic Majesty. The other two vessels, THE ALABAMA AND FLORIDA, though suitable by their construction for vessels-of- war, were not armed for war when they respect- ively departed from the waters of the United Kingdom. They had then no armament whatever, and they did not receive any until alter they had ar- rived at places very remote from Great Britain and out of the control of Her Majesty’s government. As to one of these two, the Florida, no informa. tion, supported by evidence, proving or tending to prove that she was intended to cruise or carry on war against the United States was conveyed to or received by Her Britannic Majesty’s government previously to her departure from the United King- dom. On her first arrival in a British colony this vessel was seized under the authority of the Gover. nor, but was RELEASED FOR WANT OF PROOF by a decree of a Court of competent jurisdiction. The Florida, belore engaging in any operation of war, entered @ port of the Confederate States. She remained there for more than four months. She there enlisted and shipped a crew and was put in suitable condition for cruising, and she was from thence sent out to crutse. In the case of one vessel only—the Alabama— admissible evidence tending to prove the BXISTBNCE OF AN UNLAWFUL INTENTION was furnished to Her Britannic Majesty’s govern- ment before the departure of this snip. This evidence was supplied little by little, tne last in- stalment of it being delivered on the fourth day before her departure. She put to sea unregistered and without a clearance, under the pretence that she was about to make a trial trip and return to her moorings. The circumstances under which the evidence relating to this vessel was received, re- ferred to the legal advigers of the government and by them considered and reported on, are stated in Part 6 of this case. WHY THE PIRATES WERE NOT DETAINED. All the information furnished by Mr. adams to Her Majesty's government, as well in relation to the Alabama as in relation to each of the three other vessels hereinbefore specified, was referred by the Secretary of State for Foreign Amairs with the utmost expedition to the proper departments of the government for inqai d in order that measures might be immediately taken, should occasion 80 re- quire, fur the due enforcement of the law. Inquiry ‘was accordingly made in every case. In the cases of the Georgia and the Shenandoah NOTHING COULD BE DONE, since each of these vessels had already departed from Her Majesty’ dominions. In that of the Florida no evidence of uniawful intention was or could be obtained while ahe was within the United Kingdom. In that of the Alabama, the persons having possession of the ship carried ner to sea before the ORDER FOR SRIZING HER WAS GIVEN. acted upon by Her Majesty's government as to the suMiciency of the information and evidence from tame to time submitted to them respecting appre- hended infractions of the law by the con- struction and equipment of warlike vessels for the service of the Confederate States, it is necessary throughout to bear in mind pot only that the trade of snip building is & great and important branoh of industry, which her Majesty’s government was not required by any international duty to place under restrictions unau- thorized by law, and over which 1t was not justi- fled in assuming any arbitrary control. But also that the principal firms of British shipbuilders nad been for a long time in the habit of entering into contracts with foreign governments in all parts of the world for THE CONSTRUCTION, EQUIPMENT AND SALE OF SHIPS OF War, such contracts being privately negotiated in the ordinary course of business, without any power on the part of the government to itm quire into or interfere with them. No Presumption, therefore, as to the real destina- tion of any such vessel would in any case arise from the mere fact of her having a watlike cnarac- ter, although she might be in course of building during a state of war between particular Powers, while others were at peace. In the papers relating to the tron-clad rams at Liverpool ample tllustration will be found of the diMculties which were liable to arise from the state of things whenever it became necessary to prove the actual purpose fot which a ship of this charac- ter was being constructed—diMculties which tn the end rendered it ultimately advisable for Her Ma- Jjeaty’s government to pay a very large sum of money for THE PURCHASE OF THE RAMS, rather than risk tne uncertain result of a trial. The four vesseis above specified were procured from British ports, or purchased from British own. ers by the persons comprising the de facto govern- ment of the Confederate States through their agents, and passea into the possession and control of that government, After possession had been so acquirea they were respectively armed for war by the orders of that government, were commissioned as ships of War, and were commanded and OFFICERED BY AMERICAN CITIZENS holding positions in its naval service. The crews of these vessels were enlisted on the high seas or elsewhere out of the jurisdiction of Her Mayesty’s government, and, in the case of the Florida, chiefly in a port of the Confederate States, They were composed partly of British subjects, whom the American officers induced by persuasion and by promises of reward to take service when at a distance from England, The solicitations of the American officers were sometimes successful in INDUCING BRITISH SEAMEN TO SERVE. Sometimes they were exerted in vain, But the vessels were also manned to a considerable extent with Americans and others drawn from the crews of American ships captured by them, though 1t 1s right to ada that in the case of some of the latter class who leftthe Shenandoah at Melbourne it was alleged that threats and ill usage had been em- ployed in order to induce them to join. HOSPITALITY TO PIRATES. These vessels, after having been armed for war, were received as vessels-of-war in the ports of Great Britain as well as in those of the other neu- tral countries visited by them. In British ports they were received on the same foowung as im those of other neutral nations, and were allowed to repair and purchase supplies on the same conditions as armed vessels of the United States, without favor or partiality, careful precaution being employed to prevent any renewal or augmen- tation of their wariike force within British waters, ALL THE FAULT OF AMERICA, No serious endeavors to intercept or capture any of these vessels during the times of their respective cruises appear to have been made by the govern- ment of the United States, and the losses inflicted by them would probably have been in great meas- ure averted had reasonable activity and diligence been exerted by that government and its officers for that purpose, ENGLAND'S NEUTRAL SPIRIT. The general course of fler Britannic Majesty's government throughout the war was governed by a strict regard for the obligations of neutrality and a sincere desire to falfll them, and this is apparent as well from the facts which have been stated in re- lation to the four vessela above specified, as from the other facts stated in the earlier parts of this case. Thus it has been seen that, besides the Florida and Alabama, many other ships were be- leved and asserted by Mr. Adams to be Stung out in British ports for the purpose of carrying on war against the United states and were made the subject of representations to Her Majesty’s government, OUR MINISTER'S MISTAKES. That in every case, without exception, the alle. gations of Mr. Adams were promptly and carefully Investigated; that in the greater number of cases Mr. Adams proved to be mistaken, the suspected ships being merely merchant ships, built and fitted out with a view to a special employment, and not for war; that inall cases as to which reasonable evidence could be obtained the suspected vessels were seized and proceedings instituted for the con- demnation of them; that four were thus seized—the Alexandra, the two iron-clads and tne Canton or Pampero—and were prevented from being used for belligerent purposes; and one of them—the Alex- andra—having been seized in England and restored by the verdict of a jury, was afverwards seized again in @ British colony. ONLY ACCOUNTABLE FOR ONE. That during the whole period of the war, which lasted for four years, no vessel armed for war was sent out or procured from British ports for belligerent use, and that of vessels specially adapted by construction tor warlike use, two only—the Florida and Alabama— were so procured in the manner and under the cir umstances above described; while of these two one only—the Alabama—escaped and came into the possession of tne Confederate government without having undergone a seizure and trial. ENGLAND MORE THAN CARBFUL, Finally, it has been seen that the government of Her Britannic Majesty, not content with carefully performing to the utmost of its power its recognized international obligations, overstepped on more than one occasion tne actual limit of those obligations, for the sake of preventing anything whatever which might compromise or be reasonably thought to compromise its neutrality, and, in particular, that 1n order to prevent vessels which had been armed or built for war within Great Britain from passing into the hanas of a belligerent, a large expenditure was twice voluntarily incurred, much of it without any equivalent in addition to the costs and charges occasioned by un- successful proceedings in courts of law. REMARKS IN CONCLUSION. Her Britannic Majesty’s government has now stated, for the information of the arbitrators, the principal facts which it believes to be material to a just adjudication on the claims urged on the part of tho United States. In so doing Her Majesty’s gov- ernment has been under the unavoidable disadvan- tage of having to meet @ case which has not yet been presented. When that shall have been done, and the claims of the United States shall have been clearly ascertained, Her Majesty’s government wili avail itself of the op- portunity which it will have, under article 4 of the treaty, to submit to the tribunal such additional or more ample statement of facts ag may then appear to be necessary. WHY ITS PRESENT CASE 19 WEAK. It forbears, also, unti! & comparison of the cases submitted on botn sides shall have shown what points are really in dispute between the two governments, to enter into argument in support of its own position, and will for the present content itself with placing before the tribunal the considera- tions which follow:— SORRY—VERY. That vessels should, under whatever circum. stances, have been procured from British ports for warlike use and employed as belligerent cruisers against the United States, Great Britain herself being neutral, has been a subject of displeasure and Tegret to Her Britannic Majeaty’s government, ‘This regret is not removed by the facts, material as thoy undoubtedly are to @ just appreciation of the question, that the vessels were obtained by Means of artifice and concealment, which defeated the vigilance of the omicers of Tp cotmating the reasonableness of the Views , the government; that all of them when they respectively ‘departed from Her Majesty’s dominions were wholly unarmed, and some of them Constructed as mere merchant ships, without any Special adaptation for war; that they were sew in number, and that the persons who gained posses- sion and control of them and by whom they were used for war were themselves (as the government of the United States has never ceased to maintain) American citizens, Circumstances such as these must greatly affect, in the judgment of any im- Partial person, the question as to the RESPONSIBILITY OF THE NBUTRAL GOVERNMENT. Yot it 1s mevertheless true that being such as if done or authorized by the neutral government would have compromised its neutrality and had an inevi- table tendency to disturb its relations with the bel- Ugerent against whom they were directed, Her Majesty's government, therefore, has not heeltated to express its regret frankly and publicly to the gov- ernment of the United States, and has permitted the expression of it to be placed on record in the treaty which has been concluded between the two Powers, THE QUESTION OF CASH. But the government of the United States insist that it is entitled to satisfaction in money for ciaims which it asserts have arisen out of the acts Of these vessela—that 1s, out of operations of war carried on by means of them by the persons in Possession of them for the time being. It is mant- fest that this contention is ope which Her Britannic Majesty's government, although animated by the most friendly feelings toward the United States, could not with due regard for its own rights and those of neutral nations in general, consent to acknowledge, not believing it tobe just. Itis @ claim of strict right, and can be supported only by clearly establishing that an international duty, owed by Great Britain to the United States, has been violated by Great Britain, and by showing, further, that an appreciable injury has accrued directly from this cause to the United States, for which Great Britain ought, in justice, to make reparation in money. lt is for the government of the United states, then, to substantiate these post- tuons, to specify clearly the international duty or duties on which it relies, and to prove the violation of which it complains, WHAT WE MUST PROVE. Accharge of injurious negligence on the part of a sovereign government in the exercise of any of the Powers of sovereignty needs to be sustained on strong and solid grounds, Every sovereign goveru- ment claims the right to be independent of exter- nal scrutiny or interference in its exercise of these powers, and the ,everal assumption that they are exercised with good faith and reasonable care, and that laws are fairly and properly administered, an assumption without which peace and friendly inver- course could not exist among nations, ought to pubsist until it has been displaced by proof to the contrary. It ts not enough to suggest or prove*that a government, in the exercise of @ reasonable Judgment on some question of fact or law, and using the means of information at its command, has formed and acted on an opinion from which another government dissents or can induce an arbitrator to dissent. Still less is it sum. cient to show that a Judgment pronouficed bya court of competent jurtsdiction and acted upon by the executive was tainted with errors, An ad. ministrative act, founded on error or an erroneous judgment of a court, may, indeed, under some cir- cumstances, found @ claim to compensation on be- half of @ person or government injured | by the act of judgment; but a charge of negligence brought againsta government cannot be supported on such grounds, Nor is it enough to suggest or prove some defect of judgment or pene- tration, or somewhat less than the utmost possible promptitude and celerity of action on the part of an officer of the government in the execution of his oficial duties, To found on this alone a claim to compensation, as for a breach of intefnational duty, would be to exact, in international affairs, a perfec- tion of administration which few governments or none attain in fact or could reasonably hove to atta in their domestic concerns. It would set up an impracticable, and therefore AN UNJUST AND FALLACIOUS STANDARD, would give occasion to incessant and unreasonable complaints and render the situation of neutrals in- tolerable, Nor, again, 1s a nation to be held responsi- ble for @ delay or omission occasioned by mere acci+ dent, and not by the want of reasonable foresight orcare. Lastly, it is not suMcient to show that an act has been done which it was the duty of the gov- ernment to endeavor to prevent. Itis nécesaaty to allege and to prove \hat there has been a failure to use for the prevention of an act which the govern- ment was bound to endeavor to prevent such care as governments ordinarily émploy in their domestic concerns and may reasonably be expected to exert in matters of international interest and obliga- tions, THM BEAUTY OF FREE INSTITUSIONS. These considerations apply with espectal force to nations which are in the enjoyment of free institu. tions, and in which the government is bound to obey and cannot dispense with the laws, TO THE ARBITRATORS. If the tribunal should come to tne conclusion that Great Britain has incurred any lability to the United States, the question will then arise what should be deemed the just measure and extent of that ability. Her Britannic Majesty's goverument abstains at present from entering into that question, and will reserve such observations | os may be fitly offered in relation to It on the part of Great Britain to ao later stage of the proceedings. Here it is sufficient to remark that a claim on the part of a belligerent to be indemnified at the expense of @ neutral for losses inflicted or occasioned by any of the ordinary operations of war, on the pica that those opera- tions were assisted or facilitated by negligence on the part of the neutral government, is one which | involves grave considerations, and requires to be | weighed with the utmost care. Losses of which such negligence 1s the DIRECT AND PROXIMATE CAUSE, And it is im respect of such only that com. pensation could justly be awarded. Success in warlike operations 18 generally due not only to the force possessed, but to the skill and courage exerted by the successful combatant, If claims of this nature were to be freely admitted a belligerent might demand to be indemnified vy the neutral against consequences fairly attributable, in part or altogether, not to the faultot the latter, but to his own want of capacity and enterprise, Her Mayesty’s government has been compelled to point out that In respect to the vessels to which the foregoing statement relates there was, on the part of the government of the United States or its officers, AN EXTRAORDINARY REMISSNESS in using the naval forces at their disposal, and that if ordinary activity had been exerted in the en- deavor to intercept and capture these ves- sels the losses of which the United States now complain would probably have been in great measure averted. It cannot be consistent with any reasonable view of international obliga- tions that @ belligerent State, alleging itself to be aggrieved by some imputed negligence of a neutral government, should on that account ciaim indem- nity from the neutral for losses in the course of warlike operations which it has not actively and ailigentiy exerted itself to prevent or arrest. ENGLAND'S GOOD INTB»TIONS. 1t was the constant aim of Her Britannic Majesty’s be tehcly throughout the war to observe with jdelity and exactness the obligations, and to main- tain unimpaired the riguts which the law and ractice of nations have assigned to neuiral | owers, In upholding teal g all the nations of the world are interested, and it was the duty of | Great Britain asa maritime Power of the ilirst | order, brought by circamstances into closer con- tact with the war than any other State, to resist on the one hand any encroachment on them, and to | abstain on the other from any attempt to extend them beyoud the just and expedient limits traced | out by interpationa! law. jer Majesty’s govern- ment has given the best proof of ils sincerity in these ae? as well as ite earnest desire to e promote t PACIFIC AND AMICABLE SETTLEMENT posing and of impartial of imternational differences by pro agreeing to refer to the judgment arbitrators the question whether, in the matters poten of by the United States, It has oe She do- only sh that it shall be foanded on @ true and le in on rr a of the law Of nations, Ane oe Dar be tisfed, whether s@ neutral or ss ) acknowledge and abide by in tie 0 | provisions of the treaty. 7 THE SANCTITY OF TREATIES. Eugland’s Assertion of the Invioe lability of International Compacts in 1870. The British Case Against Russia and ig Support of the Treaty of 1856. Earl Granville’s Circular to Prince Gortschakoff. What the London Press Sal@ at That Moment. THE CASE—NOW AND THEN: The following important compilation, taken from the files of the HeRaup, wil be read with great interest by the American people, as affording evt- dence of England’s policy with respect to the oB- servance Of treaties and their sanctity, as set forte in her arguments against the Russian diplomacy im 1870 towards the Treaty of Paris and her owm course to-day with regard to the Treaty of Washing ton and the Geneva Court arbitration. During the progress of the Franco-German war Europe was somewhat more startled even than it had been by Napoleon's aggressive attack upom Prussia by the announcement oy the Russian gov~ ernment of its intention of repudiating those artle cles of the ‘Treaty of 1856, signed at Paria, whic related to the maintenance of the neutrality of ne Black Sea, The English Cabinet received a circus lar from Prince Gorwehakoil, the Chancellor of the Ozar, which declared in plain and de cisive terms the purpose of his government te set at naught the pledges of its faith, and that with. out consulting the other parties to the settlement or asking tor a conference upon the subject. The tone of the note was very arrogant. The todigna- tion of the British Parliament and of the British People and press expressed itself in very strong terms, and it seemed that bellicose old Joha Bull was really again aroused to add fresh force to aig old reputation of being a fighting gentleman, England’s Reply to Russia. Earl Granvilie sent the following note to Sir A. Buchanan, the Queen’s Minister at St, Peters burg:— FOREIGN OFFICE, 1870, Sin—Baron Brunow made to me yesterday the commenication respecting the Convention between the Emperor of Russta and the pultan, limiting their naval forces tn the Black Sea, signed at Paris ow the 30tn March, 1870, to which you allude in your telegram of yesterday afternoon. In my despatch of yesterday { gave you an account of what passea between us, and I now propose to observe upom Prince Gortschakof’s despatches of the 19th and 20th ult., communicated to me by the Kussian Am- bassador on that occasion, Prince Gortschakom® de- clares on the part of His Imperial Majesty that the Treaty of 1865 has been iniringed in various respects to the prejudice of Russia, and more especially in the case of the Principaiities, againat the explicit protest of his representauye, ana that in consequence of this infraction Russia is entitied to renounce those stipulations of the treaty which directly touch her interests. It is then announced that she will no longer be vound oy the treaties which restrict her rights of sovereignty tn the Biack Sea. We have nere an allegation tat certain facts have occurred which, in the judgment of Russia, are at variance with certain stipulations of the treaty, and the assumption is made that Russia, upon the strength of her own judgment as to the character of those facts, ts entitled to release her- self from certain other stipulations of that instru- ment. This assumption is limited, in tts practical Seplicadon. to some of the provisions of the treaty) bul the assumption of a right to renounoe any one of its terms tnvolves the assumption of a right renounce the whole, This statement is wholly inde- pendent of the reasonabioness or unreasonabien On tts merits, of the desire of Kussia to ve rete: from the observations of the stipulations of the treaty of 1856 respecting the Black Sea. For the question ts, in whose hauds lies the power of releas- ing one or mare of the parties from all or ay ot these stipulations? It has always been heid that the right belongs only to the governments who have been parties to the ofiginal instrument, The de- spatches of Priuce Gortschakof appear to assum@ | that any one of the Powers who have signed the en gagement may allege that occurrences have taken place which, in its opinion, are at variance with tha provistong df the treaty ; @ud although this view i not shared nor aamitted by the co-signatory Powers, they may found upon that allegation not a reauest ta thoge governments for the consideration of the case, but an announcement to them that it has emancipated itself, or holds itself emancipaved from any stipulations of the treaty which it thinks fit to disapprove of. Yet it is quite evident tna the effect af such doctrines and of any ing which, with or without avowal, 13 founded upon ty is to bring ths enttre authority and efwacy of treaties under the discretionary control af each ona of the Powers who may have signed them, the re. sult of which would be the entire destruction of treaties in their essence. For whereas their whole object {s to bind Powers to one another, and for this purpose cach one of the parties surrenders @ portion of its free agency by the doctrine and pro- ceeding now in Vania one of the parties, in its separate and individual capacity, brings back the entire subject into its own control and bound only @ tsels. Accord! kof hus announced in tnese despatcles the tnten- tion of Russia to continue to observe certain of the However satisfactory 1m. itself, it 1s obviously an expression of the free Wik of that power, which 1t might at time alter or withdraw, and in that it (3 just open to the same ob- jection as the other portion of the communica- tions, because it implies the right of Russia to annul the treaty, on the ‘ound of allegations of which she constitutes here self the only judge. The question, therefore, arises, not whether any desire expressed 4 Russia. ought to be caretully examined in a friendly spirit by the co-signatory Powers, but whether they are to accept from her the announcement that by her own act, without any consent Jrum them, she has released herself from a solemn covenant, Ineed scarcely say that Her Majesty's govern- CONTINUED ON TENTH PAGE. A-—Herring’s Patent CHAMPION SAFES, ‘361 Broadway, coraer Murray street. 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