tained or departed from by the two houses of Congress, which have the matter more directly under their control. I have confirmed him in his impression, 1st, that the aggregate amount of the debt had within a few months been reduced rather than increased; 2d, that no reduction of taxation had yet been actually made; and, 3dly, that with reference to contemplated changes of taxation, a surplus of more or less amount of receipts over expenditures is yet contemplated to be raised for the future, with the sole view to the reduction of the debt. These are the principles upon which he desires to rest. I have so understood the policy of the government. It is not unlikely that Mr. Gladstone may make some statements founded on my authority in these respects. If I have been mistaken in these particulars I shall regret having led him into error. I have the honor to be, sir, your obedient servant, Hon. WILLIAM H. SEWARD, CHARLES FRANCIS ADAMS. Secretary of State, Washington, D. C. Mr. Adams to Mr. Seward. No. 1194.] LEGATION OF THE UNITED STATES, SIR: Immediately after the reception of your despatch No. 1737, of the 10th of April, I applied to Lord Clarendon for an interview, and obtained one on Tuesday. I then submitted to him the draught of a protocol on the fishery question, premising with some observations as to the probability that he might already have been prepared in a measure for an immediate decision by his information received from Sir Frederick Bruce. His lordship said that such was not the fact the thing was wholly new to him. On a first glance he rather liked the proposal, but he could not give any opinion without consultation with his colleagues; he must, therefore, take it ad referendum, and would let me know the result at an early day. I then gave him a copy, since which I have had no further intelligence from him. But last evening I casually met with Mr. Cardwell, the head of the Colonial Office, and he at once referred to the matter with great satisfaction; said that he had already himself suggested something of the same kind, and intimated that Lord Clarendon would soon communicate to me a favorable answer. This answer may now be in preparation. It is not unlikely that I may get it before the end of the week, when the steamer sails; in which case I shall make to you a further report on the subject. I have the honor to be, sir, your obedient servant, Hon. WILLIAM H. SEWARD, CHARLES FRANCIS ADAMS. Secretary of State, Washington, D. C. No. 1195.] Mr Adams to Mr. Seward. LEGATION OF THE UNITED STATES, SIR: I have to acknowledge the reception of despatches from the department, numbered from 1740 to 1744, inclusive, with the exception of 1743. In regard to the case of Colonel Burke, referred to in your No. 1740, I have caused application to be renewed in his favor at Dublin, which will, I trust, be attended with some success, provided that he be not too deeply implicated in the Fenian conspiracy. The implied promise of the government has been faithfully carried out thus far, so that persons in whose behalf representations have been made are continually in process of liberation, on the condition of their departure from the kingdom. In one case only has there been auy positive objection, and in that the reason assigned is the possession of clear evidence of inculpation. I have little doubt of the anxious desire of the ministry to be relieved as rapidly as possible of the burden imposed upon them by the suspension of the habeas corpus act. The matter came up the other day in the House of Commons, on an inquiry made by one of the Irish members, and the secretary for Ireland, in reply, held forth reasons for presuming that the anomalous state of things new existing would be terminated as soon as possible with a proper regard to the peace of the community. Meanwhile, there are several persons among the imprisoned who appear still to cherish the hope of producing a collision between the two governments on their account. Hence they signify their determination beforehand to refuse every proposal that may be made to liberate them conditionally. Thus far, however, I perceive that the cases are confined to such as have not really had the offer made to them. I am not aware of a single instance of actual detention on this account, unless it be one in which the party concerned proved to have no means to pay his passage to America. It is proper for me to say a word in commendation of the manner in which Mr. West, the vice-consul at Dublin, has conducted his communications with the government, and the respective parties interested during this difficult period. For many reasons I have preferred acting through his agency, whenever possible, rather than multiplying my formal communications with the foreign office here. Thus far this course of proceeding has been attended with the best results. But it is no more than due to Mr. West to say that much has been owing to the prudence with which he has carried out the suggestions which I have given to him from time to time. Copies of his correspondence have been regularly furnished to me, as I doubt not they are also supplied to the department. I have the honor to be, sir, your obedient servant, Hon. WILLIAM H. SEWARD, CHARLES FRANCIS ADAMS. Secretary of State, Washington, DC. Mr. Adams to Mr. Seward. No. 1196 LEGATION OF THE UNITED STATES, SIR: On my casually meeting with Lord Clarendon at a reception on Saturday evening, I seized the opportunity to remind him that I had not yet heard from him in answer to the proposal furnished through me of your protocol transmitted with your despatch No. 1737, of the 10th ultimo. His lordship replied by pleading the impossibility of getting anything ready in time for the steamer of that day. This he stated to be in consequence of the multiplied cabinet meetings on the reform measures, intended to be laid before Parliament, and, perhaps, of the duties imposed by the threatening aspect of matters on the continent. His lordship, however, at once communicated to me the substance of the decision of the government, which is to send out authority to Sir Frederick Bruce to proceed in conjunction with you, after consultation with the respective provincial authorities. This had been thought the better course, as the latter had now substantially reached such a position of independence as to make it unadvisable for the government here to attempt to act without regard to them. I understood him to say, what two other members of the cabinet had previously intimated in conversation with me, that they entirely approved of the measure proposed by you. Inasmuch as Lord Clarendon asked whether I would take this conversation as sufficient official notice, and I agreed to do so, I am bound to believe that I shall get no other. Hence I make the above report. I have the honor to be, sir, your obedient servant, Hon. WILLIAM H. SEWARD, CHARLES FRANCIS ADAMS. Secretary of State, Washington, D. C. No. 1199. Mr. Adams to Mr. Seward. LEGATION OF THE UNITED STATES, SIR: I have to acknowledge the reception from the department of despatches numbered 1743, and from 1745 to 1749, inclusive. Likewise, an Official Register for 1865. Within the past week the public attention has been concentrated upon the reports of the military preparations making on the continent of Europe, and the convulsion which has happened in the credit system of this country. The panic in the city consequent upon the announcement of the bankruptcy of the company called Overend, Gurney & Co., on Friday last, is described as having been greater than in any previous event of the same kind since 1827. Had it not been for the immediate interposition of the government, in suspending the restrictions of the bank act, it is not easy to tell what would have been the limits of the disaster. The crisis, though perhaps accelerated by the immediate apprehension of war, could scarcely have been a great while longer delayed. It has been for some time perceived that the very high rate of interest ruling in this market, far exceeding that demanded in France at the same moment, must have its source in some local necessities of an abnormal kind. The extraordinary expansion of the joint stock mode of conducting enterprises, which has been going on ever since the breaking out of the war in America, has now reached a point from which retreat can be made only with very heavy loss of the capital embarked. For, although the senseless panic ordinarily attending a financial catastrophe has passed away, there is remaining a grave necessity of facing realities which are as yet but indistinctly seen at the bottom of it. Thus far the Bank of England has been acting purely as a protector of parties compromised by these events only so far as the momentary withdrawal of credit disables them from making the ordinary use of indisputable resources in their hands. Outside of these limits many may yet be found who must ultimately go into liquidation. While even within them, not a few of those saved from a catastrophe will scarcely escape without serious damage from the general decline in value of certain descriptions of property that must ensue. The effect of this state of things upon affairs in the United States is of course the important point for our consideration. As yet it is made visible only in the decline in price of the national bonds, a decline which has been caused more by the events apprehended in Germany than by anything else. The consequence will be a temporary reflux towards America, and a probable rise in the rate of exchange with Europe. The fall in the value of cotton may be also attended by some transient discredit of those parties most engaged in that branch of commerce, and perhaps a number of reclamations on bills already negotiated. Further than this I cannot learn that any serious apprehensions are entertained on this side. The credits given have not been unduly extended, and though much of the later trade has been attended with serious losses, both at New York and in England, they are not considered as likely to preponderate over the heavy amount of profits previously realized. Hence I am led to infer that though the result may be unpropitious to the great purpose of re-establishing the national currency on the only sound basis. at so early date as we might have hoped, it will in the end, by removing from the European, and especially the English market, the myriads of tempting and delusive visions of extravagant interest which have of late absorbed so large a share of the floating capital of all nations, present more strikingly the fact of the relative solidity of our national securities, and of the superior desirableness of them over those of the less vigorous nations of the continent, which only continue by involving themselves every year more and more in hopeless embarrassment. Thus it may happen that a medium will be established for the gradual restoration of the currency at home, by an equalization of values between the two countries, which, taken in conjunction with a complete withdrawal of the most questionable issues of legal tender among ourselves, will have the effect of replacing the country before the world on the basis to which it is entitled by its wealth, its energy, and its past character for integrity in its pecuniary affairs. I have the honor to be, sir, your obedient servant, Hon. WILLIAM H. SEWARD, CHARLES FRANCIS ADAMS. Secretary of State, Washington, D. C. No. 1204.] Mr. Adams to Mr. Seward. LEGATION OF THE UNITED STATES, SIR: The case of James Smith, referred to in your despatch No. 1753, of the 1st of May, appears to have been already the subject of a representation to the Irish authorities by Mr. West, the consul at Dublin. On the 25th of April his letter was sent to Sir Thomas Larcom, who, on the 30th of the same month, acknowledged its reception, and promised that the matter should be fully considered. It does not appear that any further answer has yet been received. I have, therefore, now written to Mr. West to ask him to recall the attention of Sir Thomas to the case, and to signify the interest which has been taken in it by the friends of Smith, as well as the government, in America. I have the honor to be, sir, your obedient servant, Hon. WILLIAM H. SEWARD, CHARLES FRANCIS ADAMS. Secretary of State, Washington, D. C. Mr. Adams to Mr. Seward. No. 1205.] LEGATION OF THE UNITED States, SIR: In connection with your despatch No. 1740, of the 21st April, relative to the case of Colonel Burke, now held in prison in Ireland, I have the honor to report that in reply to the application on his behalf made by Mr. West to the authorities in Ireland, under my suggestion, an answer has been received from them regretting their inability to accede to the request for his release, and assigning, as the cause, the fact that they have reason to believe him to have been deeply implicated in the Fenian plots of hostility to the government. This makes, I think, only the second instance of refusal which has occurred. As the grounds upon which it is rested seem to be substantially the same with those taken by our government during the war, in similar cases, I shall await your instructions before taking any further step. I have the honor to be, sir, your obedient servant, Hon. WILLIAM H. SEWARD, CHARLES FRANCIS ADAMS. Secretary of State, Washington, D. C. No. 1766.] Mr. Seward to Mr. Adams. DEPARTMENT OF STATE, Washington, May 26, 1863. SIR: Your despatch of the 10th instant, No. 1195, informing the department that you have caused a renewed application to be made at Dublin in favor of Colonel Burke, has been received. It is gratifying to learn from that paper of the probability of a speedy termination of the irregularities now existing in Ireland, growing out of the suspension of the habeas corpus act. I have read with sincere pleasure the good account you give of Mr. West, our vice consul at Dublin, for the able manner in which he has conducted his communications during the trying period referred to. SIR: I have to acknowledge the receipt of your despatch of the 10th instant, No. 1196, in which you give me the result of an interview you had recently with Lord Clarendon, upon the subject of the protocol transmitted with instruction No. 1737, from this department. I am pleased to find that his lordship's observations are indicative of good feeling. I shall be gratified when, as intimated, Sir Frederick Bruce comes to me with his instructions, which I feel assured he will execute in the best manner. I am, sir, your obedient servant, CHARLES FRANCIS ADAMS, Esq., &c., &c., &c. WILLIAM H. SEWARD. No. 1769.] Mr. Seward to Mr. Adams. DEPARTMENT OF STATE, Washington, May 29, 1866. SIR: I would thank you to bring to the attention of the government of Great Britain the case of J. H. Gleeson, which forms the subject of the enclosed copy of a letter of the 8th instant from Mrs. Mary Francis Gleeson, his wife, and to endeavor to procure his release from imprisonment, provided that upon investigation the facts are as stated. I am, sir, your obedient servant, CHARLES FRANCIS ADAMS, Esq., &c., &c., &c. WILLIAM H. SEWARD. |