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No. 70.-The South American war; mission of Dr. Arosemena to tender the mediation of Colombia in the direction of peace; while not directly indorsing Dr. Arosemena's mission, this government feels an interest in its result. (See Mr. Dichman's No. 119, of August 2, 1879, p 309.) No. 112.-The situation; the war spirit in the ascendancy; president making and, possibly, president breaking; the government called upon by Congress for war explanations; rumor of intended intervention of the United States; it is short lived, but develops strong public opposi tion. No. 120. The South American war; the peace mission of Dr. Arosemena, the Colombian ambassador; Mr. Osborn's conversation with him; no results from his proffer of mediation; Dr. Arosemena will soon leave for Peru; Chili confident of success in the war; aggressive popu lar spirit; probable guarantees of future secu rity to be exacted by Chili if successful; remote prospects of peace in view of the pretensions of both sides; strength of the Chilian forces; enthusiasm over the capture of the Huascar. No. 78.-Foreign built ships owned by Americans abroad; the substance of further instructions to Mr. Christiancy on the subject now sent_to Mr. Osborn, to insure entire correspondence between the instructions given to ministers at Lima and Santiago on the subject; the right of Americans to buy foreign built ships abroad is clear, and has been uniformly recognized; possibility of collusion in such transactions does not invalidate this natural right; the flying of the American flag cannot be absolutely prohib ited; if the consul has reason to believe a sale made before him is honest, the flag can be flown as an emblem of the owner's nationality; duties of consuls in the premises to record bill of sale, authenticate its execution, and certify to the owner's citizenship; discretion necessary to determine good faith in the transactions; if fraud, or ground of belief of fraud, appears, the certificate may be refused, but the mere fact of transfer of a foreign vessel to an American is not evidence of bad faith; if a vessel so certified comes within the jurisdiction of another American consul, only the most conclusive evidence of fraud would justify the latter in not recognizing the vessel's nationality; caution necessary in such cases; the privileges and immunities of such foreign built vessels registered in consulates abroad are different from those of regularly registered American vessels ; they trade as neutrals, in time of war, at their own risk; duty of the execution to protect legiti mate American interests as far as practicable; action of one consul or minister should not be reversed by another, except on the strongest proof of mistake or collusion. (See Mr. Evarts' Nos. 65 and 67 to Mr. Osborn, and Nos. 7, 11, and 23 to Mr. Christiancy, and also, dispatches from Chili and Peru, in Foreign Relations, 1879, pages 150, 177, 180, 861, 865, 867, 874, 877, 881, 882, 884, 894.)

No. 83.-The war; destruction of American property at Talara and at the Lobos Islands by the Chilian fleet; instructed to represent that the United States expect the rights of American citizens under treaties and international law to be respected. No. 131. The war; Chilian order for the bombardment of all defended towns on the Peruvian coast, and destruction of all moles and launches; danger to neutral rights thereby; action of the diplomatic corps; simultaneous notes of protest addressed to the Chilian Government; text of Mr. Osborn's note; the grounds of his remon strance; the coast property of Peru belongs largely to foreign owners, many being Americans.

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CHILI-Continued.

No. From whom and to whom.

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Subject.

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1880 Feb. 27

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Apr. 13

No. 132.-The war; proposed exchange of pris
oners of war between Chili and Bolivia; note
from the Chilian foreign office, and action of
Mr. Osborn thereon.

No. 133.-The war; the nitre and guano deposits
of the Tarapacá district; probability of Chili's
holding them on the conclusion of the war; pub-
lic opinion in favor of annexation; difficulties
in the way of the Chilian military administra-
tion of the occupied nitre district; export duty
levied; reduction of exportations in conse-
quence; the prices of nitre in Europe; Chil-
ian control of guano exports; foreign holders
of Peruvian bonds permitted by Chilian Gov-
ernment to export guano in satisfaction of their
primary lien thereon; text of General Villagran's
order to that end.

No. 87.-The war; proposed exchange of prisoners
between Chili and Bolivia; instructions to be
sent to Mr. Adams at La Paz. (See instruction
to Mr. Adams of April 19, 1880.) (September 13,
1880, page 78, supra.)

Apr. 14 No. 88.-The war; approval of Mr. Osborn's pro-
test against the order to bombard Peruvian
towns and destroy moles, &c. No effort to be
spared to restrict the war to collisions of a mil-
itary character. (See Mr. Osborn's No. 131, of
February 25, 1880, page 125, supra.)

Apr. 23 No. 89.-Exchange of prisoners between Chili and
Bolivia; transmits text of instruction to Mr.
Adams, concerning the proposition of Chili.
(See instruction No. 3 of April 19, 1880, to Mr.
Adams, page 78, ante.)

118 Mr. T. A. Osborn to Mr. Ev. Apr. 30

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No. 143.-The war in South America; destruction
of property at Talara and at Labos Islands by
Chilian navy; Mr. Osborn reports his conclu-
sions thereon; the action at Talara unjusti
fiable; restrictions on the exportation of niter.
Property of British subjects at Lobos and Pa-
bellon de Pico destroyed, as a war measure
against Peru. Chili likely to maintain her posi-
tion respecting Peruvian guano exports.
No. 151.-Message of the President to Congress;
it relates mainly to war matters; notwithstand-
ing the war, the past year has been a prosperous
one, as shown by subjoined extracts from the

message.

No. 155. The war; efforts of foreign legations in
the direction of peace; notably those of France,
Italy, and Great Britain; no evidence of any in-
tention to dictate terms; European intervention
by force not thought of; no speedy termination
of the war apparent; public opinion demands
Tarapacá, which district Peru is not willing to
cede; a new president to be elected in April,
1880; anxiety of the party in power to continue
to hold the reins of government; effect of this
upon the war policy; strength of the army
25,000 men; the government desires to avoid a
campaign against Lima.

No. 164. The South-American war; reply of the
minister of foreign relations to Mr. Osborn's note
of the 21st February; attitude of foreign powers.
No. 165. The war: exchange of prisoners with
Bolivia; correspondence thereon with the Chilian
foreign office.

CORRESPONDENCE WITH THE CHILIAN LEGATION IN WASHINGTON.

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1879

123 Mr. Asta-Buruaga to Mr. Dec. 15 Case of an alleged torpedo-boat said to be in pro

Evarts.

cess of construction at and awaiting shipment
from Bristol, R. I.; asks that measures be taken
for its detention, as it is intended to be used
against Chili by the allied powers.

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CHILI-Continued.

CORRESPONDENCE WITH THE CHILIAN LEGATION IN WASHINGTON-Continued.

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127 Mr. G. F. Seward to Mr.

Evarts.

1879.

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Sept. 24

July 12 No. 451.-Diplomatic action on general grievances;
a meeting of diplomatic body held July 10;
decided to present questions of taxation of for-
eign manufactures and foreign-owned native
produce, official intercourse, and judicial pro-
cedure; these subjects considered in connection
with the late German treaty; likelihood.of har-
monious agreement in conference on these
questions; improvement in official intercourse;
beneficial results of the extinction of the Foo-
Chow Trade Committee.
No. 482.-Diplomatic action on general grievances;
conference of all foreign representatives at Pe-
king, September 23; lekin taxes, transit passes;
judicial procedure, and official intercourse to be
discussed; committees formed.
No. 495.-Shanghai harbor rules; Mr. Seward
transmits a letter addressed by him to Consul-
General Bailey, in relation to the prospect of
breaking the dead-lock and having the rules put
in operation; memorandum for Mr. Holcombe's
guidance in his conference with the Tsung-li
Yamen, September 16, 1879, and minute of that
conference transmitted to Mr. Bailey.

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Nov. 1 No. 499.-Procedure and extra-territorial rights
in mixed cases; report of the judicial subcom-
mittee of the foreign representatives as to the
reforms required in mixed procedure, and two
memoranda on the subject prepared by Mr.
Seward, transmitted. (For text of Mr. Seward's
memoranda see appendices 1 and 2 to Mr.
Seward's No. 505, page 145 of this volume.)
No. 502.-Consular interpreters; representations
as to the necessity of increasing the number
and salaries of these officers; $2,500 recom-
mended for interpreters at Tientsin, Foo-Chow,
and Shanghai; one of same grade needed at
Canton; inadequacy of the salary, $750, at
present paid to the interpreters at the lesser
consulates; the consular service of the United
States in China falling behind that of the other
western powers; suggested remedies.
No. 321.-Judicial systems of the United States,
Great Britain, and France in China; instructed
to report upon.

132 Mr. Hunter to Mr. G. F. Seward.

Nov. 7

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No. 505.-Procedure and extra-territorial rights
in mixed cases; report of the judicial subcom-
mittee adopted by the conference of foreign
representatives; reports, memoranda, and pro-
tocols transmitted; joint note to the Tsung-li
Yamên; Mr. Seward reviews the whole sub-
ject connectedly in his memoranda. (See Mr.
Seward's Nos. 482 and 499, pages 141 and 143
of this volume.)

No. 510.-Commercial grievances; results of the
conferences of foreign representatives in this
branch of their deliberations; full analysis of
the questions involved; the received intent of

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CHINA-Continued.

No. From whom and to whom.

Date.

Subject.

Page.

135 Mr. G. F. Seward to Mr. Evarts.

1879.

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existing commercial treaties; the proposals of the Chefoo convention, as to, 1, transit passes, 2, foreign settlements in the open ports, 3, opium traffic, and, 4, transit duties; the position of the Chinese Government; the radical differences between these two positions; provisions of foreign treaties compared; past correspondence reviewed; movement for a general conference on trade and judicial grievances; a statement prepared by Mr. von Brandt; letter of the Shanghai Chamber of Commerce; prospects of the discussion thus inaugurated between the foreign representatives and the Tsung-li Yamên; full appendices of statements, memoranda, protocols, and notes transmitted.

Nov. 25 No. 512.-Official intercourse of foreign represen tatives with native officers; questions discussed in the conferences of foreign representatives. Report of the subcommittee; the same results reached as in the conferences of 1876. Memorandum of Mr. C. Arendt on the subject. Memorandum of Mr. Devèria; protocol of the resolution of the diplomatic conference to address the Chinese government on the matter. No. 523.-General question of foreign grievances as to trade, procedure, and intercourse; reply of the Tsung-li Yamén to the preliminary joint note of the foreign representatives; their readi ness to discuss the questions involved; their position indicated in the Chinese diplomatic circular of 1878. (See enclosure 6 with Mr. Seward's No. 510, p. 177 of this volume.) China invites a discussion of the existing treaties apart from the grievances; action of the foreign representatives on the reply of the Tsung-li Yamiên. No. 526.-The lekin tax on opium; representations of the Shanghai Chamber of Commerce, concerning the operations of the Swatow Guild in farming out this tax in the open ports; efforts of trade combinations of native merchants against the interests of the Chinese Government; Consul General Bailey's letter transmitting letter of the Shanghai Chamber of Commerce. No. 530.-Transit-pass rules; local rules framed at Canton without consulting the consulates or the foreign representatives; their objectionable character; the foreign representatives instruct the consuls to refuse assent thereto; Mr. Seward's circular to the United States consuls. No. 531.-The Lew Chew dispute between China and Japan; the Chinese aspect of the question historically considered; the ancient status of Lew Chew as a quasi dependency of China, as opposed to the Japanese claim of domination : mode of investiture of the Lew-Chewan kings by China since 1655; comparison of the relationship of Corea, Lew Chew, Siam, Annam, and Burmah to the Imperial Government of China; resentment of the Chinese at the action of Japanese in reducing Lew Chew to vassalage; the application of the Chinese Government to General Grant to mediate in the question; text of certain historical documents touching the Chinese prerogative of investiture. No. 542.-Outward transit-pass rules; action of the foreign representatives on a report of the German consul at Shanghai on certain rules proposed to be enforced there; adoption of a uni form code of rules by the central government recommended; memorandum of Mr. Brenan, of the British legation, communicated to the Tsungli Yamên. No. 544.-Shanghai harbor rules; inquiry of the foreign representatives concerning the action of the Chinese Government on the proposal to frame a new code of rules; Mr. Holcombe deputed to present the new rules for consideration; text of the new rules; the old rules of 1878 to remain in force in the foreign district.

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Dec. 27

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CHINA-Continued.

No. From whom and to whom.

Date.

Subject.

Page.

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146 Mr. Evarts to Mr. G. F. Sew- Jan. 22 ard.

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No. 557.-Chung How's case; text of the Imperial
decree: résumé of the life and public services
of the late ambassador to Russia; occupation
of Kuldja by the Russians and the mission of
Chung How; description of Kuldja, its politi-
cal, social, and geographical aspects; its value
to Russia; the situation in the early part of
1879: the object of Chung How's mission the
re-occupation of Kuldja by the Chinese; his
task no easy one because of Russia's disinclina-
tion to relinquish a territory so long held by
her; the foreign office believed to have been
willing to adhere to Russia's pledge to restore
Kuldja to China whenever she should be in a
position to re-occupy it, but the military party
opposed thereto because of the value of this
territory as a base of operations against Kash-
garia, should such be projected; the policy of
Russia toward China; failure of the two parties
to agree; a middle course adopted; China to
pay an indemnity of two and a half millions of
dollars to Russia; trading privileges accorded
to Russian frontier merchants; the treaty dis-
tasteful to China; Chung How considered to
have failed in his mission; did he exceed his
instructions or was he sacrificed to cover a mis-
take of the Yamên? Possible rejection of the
treaty by China; probable result of the whole

matter.

No. 561.-Judicial procedure in mixed cases;
transmitting report of Consul Stahel on the sub-
ject of Mr. Seward's memoranda of October 4,
1879, and October 14, 1879, with his No. 505,
and on the operation of the existing procedure
as between Americans and Chinese. (See Mr.
Seward's Nos. 499 and 505 of pages 143 and 145,
supra.

No. 563.-Shanghai harbor rules; note of Prince
Kung to the foreign representatives, promising
immediate enforcement of the rules of 1878 for
the neighborhood of the foreign settlements and
of the new rules above the settlements; the ar-
rangement deemed satisfactory; comments of
Mr. Seward; correspondence transmitted.
No. 564.-Shanghai harbor rules; the foreign rep
resentatives accept the arrangement proposed
by Prince Kung; the foreign consuls at Shang-
hai instructed accordingly.

No. 337.-Judicial system and mixed courts in
China; report of the committee upon the ad-
ministration of justice; proposition that mixed
cases, whether civil or criminal, should be
tried in the proper court of defendant and
in accordance with the laws of his country
approved.

Jan. 23 No. 567.-Judicial administration; response of the
Tsung-li Yamén to the joint representations of
the foreign representatives; the subject referred
for report. (See Mr. Seward's No. 505 of Novem-
ber 18, 1879, page 145, supra.)

Jan. 29

Jan. 30

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No. 575.-Chung How's case; official hostility in
Peking to the Kuldja treaty; probable punish-
ment of Chung How; sympathy of the foreign
representatives in his favor; imperial decrees
ordering investigation of treaty and criminal
process against Chung How.

No. 579.-Trade grievances; response of the
Tsung-li Yamén to the joint note of the foreign
representatives; their adherence to the terms
of the Chinese circular of 1879, while expressing
willingness to discuss the alleged grievances;
correspondence transmitted.

No. 339.-Brazilian embassy to China: requested |
to extend his good office and moral support to
the embassy.

No. 586.-Chung How's case: the late ambassa-
dor's life in danger; intention of diplomatic
corps to communicate to the foreign office on
subject; encloses copy of letter to Prince
Kung.

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