Mr. Dayton to Mr. Seward, May 1, 1863

Mr. Dayton to Mr.
Seward

Sir: Your despatches from No. 320 to No. 330,
both inclusive, are received.

Mr. Kasson, commissioner from the United States to the postal convention
to be held at Paris, likewise arrived, and delivered your letters. All
proper notices have been given to the departments here, and I shall of
course do everything in my power to render his mission useful and
agreeable.

I saw Mr. Drouyn de l’Huys yesterday, and spoke with him about the loan
of eight millions of francs, said to have been negotiated here in behalf
of the rebels. He said that he had heard nothing of it, and did not
believe it. He made a memorandum of the statement, and said he would
endeavor to ascertain the facts, and would let me know if he learned
anything further; and he wished me likewise to apprize him if I should
in future ascertain more distinctly the truth or falsity of the report.
He added that he could see no reason why an outsider (to whom no debt
from the confederates was due) should be willing to advance money anew,
on an engagement by the confederates to deliver cotton, at sixpence
sterling per pound, at a seaport in the United States within six months
after peace; that when peace occurred the purchase of cotton would be
free, and sixpence sterling was rather beyond the ordinary price of
cotton; that the only inducement to advance money anew would be to get
cotton now, when it was so much needed, and this agreement did not seem
to contemplate that. I told him, what I have heretofore said to you,
that the existing conditions in England had managed in this way to get
“bonds to bearer,” or something negotiable for the debts due from the
rebels, and having a seeming cotton security and much southern sympathy
to back them, they would be able to put them off upon ignorant
purchasers. This, I take it, constitutes the modus
operandi. I took occasion to say to him that it was not to be
supposed that the government of the United States would recognize the
validity of the confederate title to cotton, or the title of any person
got from the confederates.

Having received a note from Mr. Adams in reference to his late
certificate to Messrs. Howell and Zirman, I took occasion, at his
request, to say informally to Mr. Drouyn de l’Huys that he (Mr. Adams)
expressly disclaimed all hostility to the French government, and all of
the unfriendly motives attributed to him, in the late memoranda which
had been left with me.

I am, sir, your obedient servant,