Letter

Macdonell to the Earl of Derby.—(Received August 23.), August 19, 1874

No. 2. Mr. Macdonell to the Earl of Derby.—(Received August 23.)

[Extract.]

In accordance with your lordship’s instructions, I addressed a note to the minister of foreign affairs, copy of which I have the honor to inclose, informing his excellency that Her Majesty’s government could admit of no farther delay in the settlement of the claims arising out of the capture and subsequent execution of the British subjects on board of the Virginius.

In delivering the above note to Señor Ulloa, I expressed the hope that he would consult with his colleagues as to the best mode of settling this question, which, under the circumstances specified in my note, admitted of no further postponement.

Señor Ulloa again assured me that the Spanish government were most desirous to see this affair brought to a close, so far as Her Majesty’s government were concerned, but that unfortunately it was not in the power of the Spanish government to act as promptly as your lordship desired; that, owing to the United States Government having also an interest in this matter, the Spanish government would find itself in an embarrassing position, were it to establish a precedent by favoring the English claimants; but the different claims and counter-claims between the United States and Spain were now under consideration, and that if Her Majesty’s government would be good enough to postpone the settlement of their claims for a short time longer, he could give me the positive assurance that as soon as the council of state re-assembled (at the end of September) the payment of the indemnity would immediately be effected.

I expressed great regret at not being able to comply with his excellency’s request; that your lordship’s instructions on the subject were definite, and that all I could do was to submit to your lordship’s favorable consideration any reasonable suggestion his excellency might make; but that steps must be taken to satisfy the just demands of the families of the sufferers.

After some discussion, I agreed to submit to your lordship the proposal, which Her Majesty’s government have since accepted, and the acceptance of which I have notified to the Spanish government, viz, that a certain sum should be paid, under the name of an advance, for the relief of the families of the victims, without prejudice to the principle involved: and I availed myself of that occasion to acquaint Señor Ulloa with the amount of the indemnity claimed.

On calling upon the minister the following day, his excellency said that he considered the sum demanded by Her Majesty’s government very large, and far more considerable than he had been led to anticipate.

I pointed out that it was far below the estimate of the Spanish government, as applied to the families of those who fell at the hands of the Carlists.

However, I thought I might venture to make the following arrangement, which has since been accepted by the Spanish government, viz, that the sum of £1,000, by which the Spanish government seem desirous of reducing the claim, should be held by them as the balance to be paid on the final settlement of this question; by this means Her Majesty’s government will eventually receive payment in full of the total amount claimed.

Accordingly, Señor Ulloa has now addressed to me a note, informing me that orders have been given to the ministry of finance for the immediate payment to Her Majesty’s government in London of the sum of £6,700, it being clearly understood that the balance of £1,000 shall be paid when the question of the Virginius claims shall have been definitely settled by the council of state.

In submitting the above arrangement to your lordship, I trust that your lordship will not be of opinion that I have gone too far in assuming the responibility of accepting the modifications proposed by the Spanish government.

Sources
FRUS u2014 Papers Relating to the Foreign Relations of the United States, Transmitted to Congress, With the Annual Message of the P View original source ↗
U.S. Department of State, Office of the Historian. Papers Relating to the Foreign Relations of the United States, Transmitted to Congress, With the Annual Message of the P.