H. OF R.]

Negotiation with the Mediterranean Powers.

said it was consistent with the Law of Nations, and under the existing circumstances of our Government. Then, if he cannot show why injurious now, why should he anticipate its alteration at the end of two years? Seeing no use in the amendment, but the contrary, he should vote against it.

The question was put for continuing the act in force two years, instead of making it permanent, and carried-ayes 52.

The Committee rose, and the House agreed to the reported resolution, and the bill was ordered for a third reading to-morrow.

NEGOTIATION WITH THE MEDITERRA-
NEAN POWERS.

[FEBRUARY, 1797.

in negotiating a Treaty with Algiers, while he should proceed himself to France, for the purpose of obtaining the co-operation of that Government in this negotiation. They arrived at Gibraltar on the 17th of May. Colonel Humphreys concluded that it was expedient for Mr. Donaldson to go first to Alicant, rather than Algiers, in order to be near at hand, to ascertain facts and profit of occasions. He gave him instructions accordConsul at Gibraltar, to renew our peace with the Emingly; and having also instructed Mr. Simpson, our braltar the 24th of May, and arrived at Havre de Grace peror of Morocco, Colonel Humphreys sailed from Gion the 26th of June; from whence he set off immediately for Paris. The object of his mission was communicated by our Minister, Colonel Monroe, to the Committee of Public Safety. On the 1st of July he had received only a verbal answer, that the French GoMr. W. SMITH moved that the House should vernment was disposed to interest itself, and to do evego into a Committee on the business, which would ry thing in its power, to promote the accomplishment require the galleries to be closed; the SPEAKER of our wishes on the subject in question. On the 28th, accordingly put the question for going into a Com-assurances were received that immediate measures mittee of the Whole on the bill to authorize a should be taken for giving particular instructions to the negotiation with the Mediterranean Powers, which, agents of the Republic, to use its influence in co-opebeing carried, the galleries were cleared accord-rating with us. The multiplicity of affairs with which ingly. the officers of Government were occupied, and the getting from London a sum of money necessary to purchase the usual peace presents, prevented a conclusion of this arrangement at Paris until September. It and Colonel Monroe, that Joel Barlow should be emhad been judged expedient, by Colonel Humphreys ployed in the negotiation with the Barbary States, and his consent had been obtained. By the 11th of September, all the writings on the part of Colonel Humphreys were prepared for Mr. Barlow, to proceed with the instructions and powers from the Government of the French Republic to its agents in Barbary, in favor of our negotiation.

After the galleries were cleared, the bill was agreed to with amendments, and ordered for a third reading to-morrow.

On motion that the House come to the following resolution:

"Resolved, That the injunction of secrecy upon the members of this House, so far as it relates to that part of the communication made by the President, by his Message of January 9, which has beeen printed, be taken off, and that all future debates and proceedings thereon be had with open doors."

A motion was made to insert, after the words "be taken off," "together with the letter of Messrs. Barlow and Donaldson, of April 5, 1796." The question on the amendment was taken by yeas and nays, and lost—yeas 19, nays 65.

The main question was then taken by yeas and nays, and resulted-yeas 53, nays 36.

Reports of the Secretary of State and the Secretary of the Treasury, relative to the present situation of affairs with the Dey and Regency of Algiers, accompanying the following confidential Message from the President of the United States, received the 9th of January, 1797:

Gentlemen of the Senate, and of

the House of Representatives : Herewith I lay before you, in confidence, reports from the Departments of State and the Treasury, by which you will see the present situation of our affairs with the Dey and Regency of Algiers.

G. WASHINGTON.

Colonel Humphreys left Paris the 12th of September, and reached Havre the 14th, where he found the master and mate of the United States brig Sophia, both their recovery, he received intelligence from our Consick with fevers. While waiting there impatiently for

Treaty of Peace with the Dey of Algiers; nevertheless, Colonel Humphreys thought it expedient that Mr. Barlow should proceed with the presents prepared and prewould be wanted in the negotiation with Tunis and paring at Paris; for, if not needed at Algiers, they Tripoli.

sul at Marseilles, that Mr. Donaldson had concluded a

from Havre, and after a stormy passage of more than About the 5th of October, Colonel Humphreys sailed forty days, arrived at Lisbon on the 17th of November. There he found Captain O'Brien, who had arrived about the 1st of October, with the Treaty with Algiers.

On the 3d of September Mr. Donaldson arrived at Algiers, and on the 5th the Treaty was concluded, and the peace presents immediately given, by a loan. Mr. Donaldson, knowing that funds had been lodged in London to answer his stipulations, engaged to make the payments in three or four months.

UNITED STATES, January 9, 1797. Colonel Humphreys had received advice, under date To the President of the United States, the Secretary to whom the funds had been remitted, that, having of the 30th July, from the Messrs. Barings, in London, of State respectfully makes the following brief re-made progress in the sales of the United States' presentation of the affairs of the United States, in relation to Algiers:

When Colonel Humphreys left America, in April, 1795, he was accompanied by Joseph Donaldson, Esq., who had been appointed Consul for Tunis and Tripoli; and him Colonel Humphreys was authorized to employ

stock, they should hold, at his disposal, the whole of the value of $800,000, meaning to furnish, by anticipation, the value of that part which remained unsold, if the service of the United States required it. Colonel Humphreys, counting on the money as always ready after this period, sent Captain O'Brien from Lisbon to

FEBRUARY, 1797.]

Negotiation with the Mediterranean Powers.

London, in the brig Sophia, to receive it. Owing to contrary winds, she did not leave Lisbon till the 24th of December. The other details, relative to the pecuniary transactions, appear in the report of the Secretary of the Treasury.

The disappointments in the pecuniary negotiations, put the Treaty in jeopardy; the Dey threatened to abandon it, and it was with extreme difficulty that it was prevented. Mr. Barlow did not arrive at Alicant until February, 1796, where he proposed to wait the arrival of the funds; but, after a little time, his intelligence from Algiers showing that our affairs were in a critical situation, he determined to go thither immediately, with the hope of soothing the Dey. He arrived there the 4th of March; they had before prolonged the time to the 8th of April for the payment of the stipulated sums. On the 3d of this month the Dey declared what should be his final determination-that in eight days Mr. Barlow and Mr. Donaldson should leave Algiers; and if, in thirty days after, the money was not paid, the Treaty should be at an end, and his cruisers should bring in American vessels. Under these circumstances, and as the last hope of saving the Treaty, they were induced to offer the present of a frigate this fortunately succeeded. For the particulars of this transaction, the Secretary begs leave to refer to the enclosed letter from Messrs. Barlow and Donaldson.

Colonel Humphreys not deeming himself authorized to confirm this promise of a frigate, referred the matter to the Executive of the United States; and for this end dispatched Captain O'Brien, in the brig Sophia, to America. There was evidently no alternative; and the promise was confirmed.

The frigate is now building in Portsmouth, New Hampshire, and is expected to be finished in the spring. Captain O'Brien returned to Lisbon, where he arrived on the of July. Colonel Humphreys had advantageously negotiated bills on London for $225,000. This sum was embarked on board the Sophia, and, on the 3d of August, Captain O'Brien set sail for Algiers. He has not since been heard of, and there is room to fear that some misfortune has befallen him. The mo

[H. or R.

On the 31st ultimo I received a letter from Mr. Barlow, dated the 13th of July, informing that the agent, Mr. Famin, at Tunis, who had been recommended to him by the French Consul Herculias, had concluded, with the Bey of that Regency, a truce for six months, from the 15th day of June last, and that without any presents TIMOTHY PICKERING, Secretary of State. DEPARTMENT OF STATE, January 6, 1797.

The Secretary of the Treasury, in obedience to directions from the President of the United States, respectfully makes the following representation respecting the application of the funds destined for the execution of the Treaty with Algiers:

In pursuance of an act passed on the 21st day of February, 1795, the sum of $800,000 was borrowed of the Bank of the United States, which was paid in six per cent. stock. A conviction of the case, and a disposition to accommodate the Government alone induced the Bank to consent to the loan, as the stock was then saleable in large quantities at par, including interest. Bills of exchange were not readily obtainable, and the sudden exportation of so considerable a sum in specie would have been attended with inconvenient effects. Indeed, no alternative offered but to renounce the negotiation, or to remit stock as a fund.

Various causes operated to produce a depression of all kinds of public stock, soon after the remittances had been made. The rates at which sales have been effected are as follows: $560,000 sold for sterling £111,053 13 0 230,000 remained unsold at the date of the latest advices, which may be estimated at 80 per cent.

$800,000

in stock will, there-
fore, produce in ster-
ling money

43,200 0 0

£154,253 15 0

or $685,572 22

ney was insured at a small premium, against the danger of the sum of $396,911 37 appropriated

of the seas; against all risks they demanded so high a premium as Colonel Humphreys judged it inexpedient to give, seeing the Sophia was a vessel of the United States, having a special passport from the President, as well as a passport in the Turkish language, under the seal of the Dey of Algiers.

Such arrangements have been made by Mr. Barlow and Mr. Donaldson, at Algiers and Leghorn, as will doubtless insure the payment of the $400,000 originally expected from the latter place; and the same house have become engaged to the Dey and Regency for the residue of the money due as the price of peace, without which he would not agree to the redemption of the captives.

The Secretary of the Treasury estimates these
further sums to be provided to fulfil the
terms of the Treaty

For two years' annuities to the Dey
To which are to be added the 10,000 sequins
promised by Mr. Barlow and Mr. Donald-
son, mentioned in their letter -
And the expenses of the captives performing
quarantine at Marseilles, and transporting
them to America, estimated by the Consul
at Marseilles, at about

for Treaties with Mediterranean Pow-
ers, by the act of May 31, 1796, there
was an estimate for a deficiency on ac-
count of the Treaty with Algiers, the
sum of

51,132 00

The whole of the grants for the Algerine
Treaty may therefore be considered as
equal to an effective fund in London, of $736,704 22

The expenses of carrying the Treaty into
effect, are estimated at

To which are to be added, agreeable to Mr.
Donaldson's calculation, for per centage
on the captives -
Other expenses

$255,759

99,246

Amount of money to be paid in Algiers

18,000

6,500

379,505

- 525,500 00

27,000 00 90,000 00

-$642,500 00

The expense of remitting the sum last mentioned, from London to Algiers, according to the best estimate which can be formed, will be as follows:

One hundred and forty thousand dollars procured at Leghorn by bills on London, cost 4s. 10d. 55-100 sterling, per dollar, or sterling £34,110 00 0

The freight of said stores is computed at The expenses of the frigate lately promised, agreeable to the estimate of the Secre ary of War, herewith transmitted, marked (B) will be

The whole expense of fu'filling the Trea

99,727 00

E-timate of the sum necessary to build and equip a frigate, to carry 36 guns, for the Dey of Algiers. To which is added an estimate of navigating the same to Algiers.

ty according to the estimate, therefore, is 992,463 25 Carpenter's bill for building the hull, launching the same,

From which sum the effective value of the provisions already made being deducted, as before estimated

There will remain to be provided

together with a complete set of mass and yards, per

builders, carvers, coop rs,
blockmakers, sailmakers, rig-
gers, and rigging, with ship-
cha d'er's bil

$55 00

The annexed paper marked (C) is a copy of a representation from Messrs. Barings and Company, to the Minister of the United States in London, dated August 29th, 1796; the accuracy of which is confirmed by the correspondence therein referred to; there is therefore no room to doubt but that the de'ays and consequent accumulation of expenses, are to be attributed solely to the extraordinary events of the war in Europe, and to other causes over which the Government of the United States have had no control.

By the last article of the Treaty, the United States are bound to pay an annui y of twe.ve thousand Algerine sequins in maritime stores; the cost and freight of the ar.icles required by the Dey for the first two years annui

FEBRUARY, 1797.]

Negotiation with the Mediterranean Powers.

[H. of R.

OF

(C.) purpose of receiving Portugal gold and Spanish dollars in London, to the amount of 650,000 Spanish dollars. Statement of Messrs. Baring & Co., Aug. 29, 1796. He further opens credit in favor of Messrs. Dohrmans of In the execution of the business with which Baring Lisbon, which were punctually paid, and he desires reand Company have been entrusted, they have commu-mittances on Lisbon, which, from the scarcity of paper nicated to Mr. Pinckney, from time to time, every material circumstance which has occurred; but, as the present position is extremely critical and important, they will endeavor to state as concise a narrative as possible, from the commencement of the business, for the consideration and determination of Mr. King.

at the time, was effected to a very trifling amount.

This letter was followed and confirmed by others from Colonel Humphreys, dated the 16th, 22d, and 24th December, of similar tenor, or very nearly so, and the arrival of the brig Sophia from Lisbon.

Although Colonel Humphreys has not mentioned to [The 7th March, 1795.] The President of the Bank us the reasons for this proceeding, we may impute it to remits to Baring and Company $800,000 in certificates the advice contained in our letter of the 19th of May, of six per cent. stock, with orders to sell the same with- and indeed to the well known facility with which a sum out causing a depression in the prices and thus injuring of that description could be procured in London, of the credit of American funds. The net proceeds, after Spanish dollars, having ourselves never experienced the deducting the usual commissions, are to be held at the least difficulty in disappointment, for large sums. disposal of Colonel David Humphreys; and we are di[22d Dec. 1795,] We answered these letters, advisrected to inform Colonel Humphreys of the progressing Colonel Humphreys of the impossibility to procure we may make, from time to time, in the sales of the Portugal gold, none having been received for many stock, and also of the terms upon which remittances years. Of the extraordinary turn which had appeared can be made to Cadiz and Leghorn. This contains with regard to bullion, in consequence of the immense nearly the whole of our orders, or at least the whole of drains upon this country, for carrying on the war, and what we conceive to be necessary for the informa- which has finally compelled the Minister to abandon his tion of Mr. King, in the present moment; the further favorite project of a second loan to the Emperor; but letters from America being almost wholly answers to as the difficulty had only began to appear, we hoped our numerous letters, and do not contain a syllable of that with some delay, we should be able to collect the disapprobation with regard to our conduct, but the re-dollars for the purpose of executing the orders of Col.

verse.

[31st March, 1795.] Col. Humphreys writes from Philadelphia, that we would furnish him with information, assistance, &c., directed to him at Lisbon.

[28th April, 1795.] We wrote very fully to Colonel Humphreys; the letter contained every information re!ative to the probable sale of the stock, and the various means by which he could execute his commission through London, Lisbon, Cadiz, and Italy in general. [19th May, 1795.] We wrote still more fully, in answer to his letter of the 31st of March, wherein we offered to anticipate a considerable sum, on the value of the effects in our hands, for which there was no demand at the moment. We explained to him the value of the Italian coins, those of Spain being well known; mentioning that it was easier to procure money at Leghorn, where there was no restraint, than at Cadiz, where dollars were more plentiful; but the exportation was exclusively in the Bank of St. Charles, from whom it was difficult to obtain permission. That we could procure any quantity in London, to which we added the names of our correspondents at the different places, offering every service in our power, direct or indirect,

[18th May, 1795.] Col. Humphreys advises of his

arrival at Gibraltar.

[21st of July, 1795,] We advise Colonel Humphreys that we had sold $300,000; that we were ready to pay £100,000 to his order; and if he wanted a further sum, we desired to be informed.

[27th July, 1795.] Colonel Humphreys directs us to pay $40,000 to Mr. Deas, for Mr. Andrews, which was immediately complied with, by a credit on Hamburg for that value.

[30th July, 1795.] We informed Colonel Humphreys that having made further progress in our sales, we should hold the whole of the value of the $800,000 at his dis posal, meaning to furnish, by anticipation, the value of that part which remai ed at that time unsold, if the service of the United States required it.

[28th Nov. 1795.] Is the next letter from Colonel Humphreys, and the commencement of our difficulties. He informs us that he should send the Sophia for the

Humphreys.

[17th Jan. 1796.] Finding it impossible to procure gold, and no silver arriving, we submitted the whole of the orders and correspondence to Mr. Pinckney, when it was determined to purchase such silver as might arrive; but, at all events, to detain the Sophia, which could not be wrong, as the westerly winds would have prevented her sailing.

In the meanwhile we wrote to Messrs. Parish and

Company of Hamburg, to know whether Portugal gold or Spanish dollars could be obtained in that place.

[Jan. 19, 26,-Feb. 2, 12, 1796.] Are letters we him with our prospects, from time to time, that Parish wrote to Colonel Humphreys, wherein we acquaint and Company gave us reason to hope for the execution of a part of the order, but that no silver had arrived in

London.

[16th Feb. 1796.] Having determined, with the ap probation of Mr, Pinckney, to send the Sophia to Hamburg, in consequence of the encouragement of Messrs. Parish and Company, on applying to Capt. Crandon he observed that it was contrary to his instructions, which were to return to Lisbon, and as considerable doubts existed about proceeding to Hamburg, Mr. Pinckney declined giving a positive order to Captain Crandon, received from Messrs. Parish and Company, that the which proved fortunate, as immediately after advice was dollars they had in view had been purchased, most probably for account of the British Government.

On this occasion, and under this date, we wrote to Colonel Humphreys, by the brig Sophia, and by the packet, acquainting him with our disappointment in to which we accompanied, at the intimation of Mr. O'Brien, with letters of credit on Madrid and Cadiz; and in order to finish this part of the subject, as a justification for permitting the Sophia to return, we should observe, that if she had been detained for six months, we could not have procured one half of the quantity of Spanish dollars required.

[March 1st, 1796.] We advise Colonel Humphreys, that we had received a large sum in bills, drawn from

Negotiation with the Mediterranean Powers.

[March 22, 29, 1796.] Are answers to letters from Col. Humphreys, relative to our accounts, chiefly dated 27th February, and 9th March, which we do not notice, concluding that he was satisfied, as nothing ap- The present price is 86, with little depears in reply to us; but as there was reason to fear mand; suppose the remaining 340,000 dollars the business could not be executed in Spain, the Go-produce 3s. 9d. per dollar, the amount will be 45,000 vernment there refusing a license, notwithstanding the endeavors of Messrs. Joyes and Sons, aided by the American Minister or resident.

[17th June, 1796.] Mr. Donaldson acquaints Mes-pear ultimately to the credit of the United States. Under all the circumstances which have been stated, sieurs Fonnereau that he should accept the sum; and it is submitted to Mr. King, What ought to be done in on a meeting between them and the price of the present moment? the dollars, with that of the agio, was settled to the satisfaction of