Chapter 9

I found by conversation with M. Del Campo, First Under Secretary of Foreign Affairs, that nothing had been done by the Court to advance the conferences for a treaty since it left St Ildefonso. In my letter of the 5th of October, I mentioned, that the gentleman abovenamed was nominated by the King to treat with Mr Jay; this nomination has never been formally communicated, but I had my information from such a quarter, that I am convinced the appointment was made, and the instructions given near about the time mentioned in my letter. Multiplicity of business, and the confusion occasioned by the Court's removal from one royal residence to another, are the present pretexts for this delay. The aspect of our affairs at the close of the campaign, the fate of which is yet unknown, and the apprehension of being obliged to make large advances in consequence of cementing their connexion with the States, are perhaps the real causes; to which may be added others of a different nature, though not less important to Ministers and courtiers.

The palace is filled with Irish attendants, of both sexes, whose animosity to us and our cause is as decided and inveterate as is their attachment to it in America. The Princess of Asturias has on several occasions, and lately in particular, treated such English as come here with much condescension and distinction. The last instance I allude to happened to lady Winchelson, and the Lord her son, who came from America, (where he commanded a regiment) to Lisbon for his health. They were accompanied by a Mr Graham and his lady, and sister, both sisters of Lady Stormont, and visited the Escurial in their way to France.

If the Ministers perceive any aversion in their future King and Queen to an alliance with us, they can easily find pretexts to retard it until they see their own justification in the urgency of the conjuncture, that may appear to have forced them into the measure. This however is but conjecture founded on the knowledge of some little incidents in the interior of the palace, and strengthened by the conduct of the Ministry, not only in the great object of Mr Jay's mission, but also in several minute particulars in which they might act to our satisfaction, without showing any marked partiality in our favor. So far from Mr Jay's having been yet able to obtain further succors, the French Ambassador has not procured the payment of moneys advanced in the month of May, by the Marquis de Yranda, to enable Mr Jay to discharge the bills due that month, although the Minister engaged his word to the Ambassador to repay this sum in equal monthly payments. In fact the Court itself is distressed, and with difficulty finds means to answer its own engagements.

I believe I may venture to write with some certainty on this subject, for I have been on an intimate footing with the person who has transacted for the Court the most part of its money negotiations for more than twelve months past. I knew and cultivated him before he was in favor, and my introduction of him to Mr Jay, procured him the commission on the payment of our bills, and a considerable credit in consequence of the sums supposed to pass through his hands monthly for this purpose. As he has been the founder of the paper system in this country, and as he is likely soon to establish a national bank, he will probably make some figure in the annals of this reign. His name is Francis Cabarrus, born in Bayonne, but sent early to Spain to acquire a knowledge in its commerce, in which his father was considerably interested. His marriage at the age of nineteen (he is now twentynine) displeased his family, from whom after that period he received no assistance. With a small capital, as he himself informed me, he came and established a soap-work in the neighborhood of this city. While there he introduced himself to the notice of the Count de Campomanes, by becoming a member of the patriotic society, the friends of their country; of which the last mentioned gentleman is in a great measure the founder. He soon conciliated his esteem, as well as that of the Governor of the Council of Castile, to whom he became known by means of his friend and patron M. Campomanes. Through their interest he procured a contract to supply wheat and flour, in a time of scarcity, and commenced banker. The last year he proposed his plan for procuring cash for government, on terms mentioned in former letters. His genius is brilliant, active, and enterprising, with more imagination than solidity, although he is by no means deficient in acquired knowledge, arising from reading and reflection, the result of experience. His eloquence, enforced by a very prepossessing countenance and figure, seizes the heart before it convinces the judgment, and this joined to his knowledge of commercial and money transactions, has obtained for him the confidence of M. Musquiz, who consults him at present in all affairs of finance.

I have thought proper to say thus much of this gentleman, not only on account of the part he has had, and is like to have in money matters, but because he has on all occasions manifested himself a friend to our cause, of which he is an enthusiastic advocate, being totally divested of local prejudices. He offered to procure five hundred thousand dollars for the States, payable at Havana on condition of being reimbursed by government in two years, the payments to commence at the expiration of two months after his orders for the delivery of the money to the agents of Congress were despatched. He will make the advances for the payment of the bills due next month, which amount to thirtytwo thousand dollars, and for the reimbursement of which Mr Jay relies on Dr Franklin, for after the delays we have experienced here, and the knowledge of their own distresses, there is no great reason to think this Court will grant us any considerable pecuniary assistance, unless a happy change in the situation of our affairs should precipitate a treaty, and lead them to extraordinary exertions, as proofs of their amity. The support of their fleet at Cadiz, of forty sail of the line, the sieges of Gibraltar and Mahon; their expensive armaments at the Havana, and the preparations making for an expedition from Europe to that quarter, which will sail next month, exhaust their European and American revenue, and all the resources by which they have hitherto obtained money.

The insurrections in Peru augment this expense, and the same spirit of revolt, which seems to have extended to Mexico, will add to it. These discontents have been occasioned by duties imposed since the administration of M. Galvez, the present Minister of the Indies. The project was proposed by Carrasco, Marquis de la Corona, to the Marquis of Squillace then Minister, who was much inclined to adopt it, and named the projector to visit Spanish America, in order to form on the spot the plan of its execution. He declined the mission on various pretexts, and another was appointed for this purpose, who died on his passage. M. Galvez, the present Minister of the Indies, succeeded him, and on his return to Spain made a report so agreeable to his Majesty, that it procured him the important post he now occupies.

The novelty of these measures, joined to the vexations and impositions occasioned, as is said, by the collectors of them, has created much dissatisfaction in these countries. I have my information from some of the principal natives of Mexico and Peru here, and also from a foreigner, who obtained permission to visit Mexico, and who made the voyage from motives of curiosity. Four thousand troops are to be embarked at Cadiz for the expedition abovementioned, and it is said will be escorted by four vessels of the line, who at the same time convoy the register ships bound to the Havana and Vera Cruz. As this convoy will sail about the same time that the expedition from Brest will be ready for sea, it is probable they may form a junction. Ten thousand troops are to be employed in the one last mentioned, and I am told will sail escorted by twenty sail of the line. Part of which will probably join the grand fleet at Cadiz, and the rest proceed to the West Indies, where I have reason to think they will act in concert with the Spaniards. A friend of mine is to embark on board the French fleet as interpreter. He speaks and writes the Spanish language perfectly.

I have also some reason to believe that the French naval force, and a larger body of troops than they have yet sent to America, will appear on our coasts earlier the next, than they did the present year. Jamaica is thought to be the first object of these expeditions, and this conjecture arises from the appointment of M. Galvez to the command of the Spanish force in the West Indies, whose project for attacking that Island is well known. In France, it is said that a part of the troops to be embarked at Brest, is intended for the East Indies; and here, that theirs are sent to suppress the revolt at Santa Fé, mentioned in my letter of the 17th ult.[12] I rather think that two French ships of the line, now at Cadiz, and as many frigates, who have taken and are taking in provisions for a long voyage, are destined to the eastern part of the world, and that they will take with them a considerable sum in dollars, for the payment of their land and sea forces there. The French Ambassador has obtained, or is about to obtain, permission to send out of the kingdom two and a half million of dollars, part of which sum is probably destined to the purpose above mentioned.

The sieges of Gibraltar and Mahon go on slowly. The operations against these fortresses have not been so vigorous hitherto as to promise a speedy reduction of either; when the efforts of these besiegers become more interesting, I shall transmit regular accounts of their progress. The Court of Great Britain proposes to send five hundred troops to America, exclusive of recruits, to be drawn from Germany and Ireland. These it is said, will sail with thirteen sail of the line in the course of next month. The East India Company also send a reinforcement of seven thousand men to the East Indies, with four sail of the line. If this information can be credited, the East and West India, and American reinforcements will sail at the same time, to insure by their united force their safety on the coast of Europe.

In Holland the divisions are still great, and likely to be so. The Provinces have not yet all agreed to the loan proposed by France for the use of Congress. I am informed the Stadtholder's friends give it all the opposition in their power. That Prince has, as I have already advised the Committee, been obliged to consent to the augmentation of the marine. The news of the birth of the Dauphin will probably reach America before this letter. It is expected it will be received there with demonstrations of satisfaction that will be highly flattering to the French nation. The great age and infirmities of the Count de Maurepas, render it probable that he will not survive the winter. The Queen's influence, it is thought, will increase by the birth of the Dauphin, and the death of this Minister. Permit me to conclude with the flattering hopes of a brilliant close of the campaign, which the well concerted plan of our General and allies communicated to me by the Count de Montmorin, renders highly probable. The success of this operation, and what is expected, may perhaps render Mr Jay's next information more agreeable and interesting to Congress, to whom I beg leave to present my humble respects.

I have the honor to be, &c.

WILLIAM CARMICHAEL.

FOOTNOTES:

[12] Missing.

* * * * *

ROBERT R. LIVINGSTON TO WILLIAM CARMICHAEL.

Philadelphia, December 20th, 1781.

Dear Sir,

Your letters of the 16th of August, and 5th of October, came to hand. They were read in Congress, and handed over to this office, which will in future, agreeably to its institution, receive and make all communications to and from Congress, conformable to their ordinance, of which I enclose a copy, having omitted it in my letters to Mr Jay. The importance of early and regular intelligence from Europe is so much felt here, that you have full credit for all the communications you make. I wish you would extend them so far as to permit no vessel to sail without letters and papers. Spanish gazettes may sometimes be serviceable to us.

The expedition of the Duc de Crillon is important in many views; should it succeed, it will be such a blow to the British as must hasten a negotiation, though it may probably obstruct a peace; at any rate, the possession of the Island must cut the sinews of their Mediterranean trade. Your apprehensions about being sent to Corunna, will, I hope, have been groundless, as Captain Gillon's ship is not the property of, or under the direction of the United States. So far as Mr Jay's good offices can be serviceable, they undoubtedly will be extended. He will not think himself obliged to involve the United States in the expense or disgrace of Captain Gillon's misconduct, if, as is alleged, he has really behaved improperly. Should he determine to interfere, Congress make no doubt but you will conform to his intentions; and they rely upon your zeal and activity in the discharge of such trusts, as he may think proper, since he alone can judge of the best application of them, and will not deprive himself of the advantages, which your assistance and information may afford, without being determined by weighty and important considerations.

It gives great pleasure here, to hear of the step that Spain is taking, for opening a treaty with us. The delays in that business begin to be resented by the people of this country, the more forcibly, as they felt a high degree of respect for the Court, and much attachment to the people of Spain, in return for the good offices that they had done them. The great cause of the delay being now (as we hear) removed, I doubt not that the candor of the negotiators, and the clear views that they both have of the interest, which Spain and America may mutually derive from an intimate union, will remove all other difficulties to the wished for connexion.

We have no other news on this side the water, than that the enemy have evacuated Wilmington. You, who know the spirit of disaffection which prevailed in some parts of North Carolina, and the commerce which it is capable of carrying on, particularly at this time, in articles for the supply of the West India markets, will see the important sacrifice the enemy have been obliged to make in thus quitting this post, and abandoning the only friends in America, upon whose fidelity and attachment they could rely.

I need not repeat to you, that I shall at all times think myself happy in hearing from you, independent of the advantage that the public may derive from your letters. They will be particularly agreeable to me, as they may be made the means of increasing the number of friends, which your zeal and attention has already procured you.

I am, Sir, with great esteem, &c.

ROBERT R. LIVINGSTON.

* * * * *

TO ROBERT R. LIVINGSTON.

Madrid, December 20th, 1781.

Sir,

Since my letter of the 17th ult. to the Committee of Foreign Affairs, I have had the pleasure to hear of your appointment to the office of Secretary for that department, and although I have not any official directions, respecting my future correspondence, in consequence of this change, I take the liberty of addressing you as I have hitherto done the Committee, on the subject of our affairs here, their situation, and that of the powers with whom we have, or may hereafter have, connexions. At the same time permit me to entreat you, Sir, to inform me, whether it is judged necessary, that I should continue this correspondence, having done it hitherto with a view to multiply the channels of information to Congress, and not from an expectation of conveying any material intelligence, which they will not ultimately receive in a fuller manner from Mr Jay and their other Ministers; to the former of whom I communicate instantly every information I can procure here, or by my foreign correspondence. I have been induced to continue this correspondence, from another motive, which is, that I find that others employed as secretaries here, are directed by their respective Courts, to write either to the Minister for Foreign Affairs, or the particular Secretary of their Sovereigns. The only letter, which I have had the honor to receive from Mr Lovell, since I have been in this country, approved of my endeavors to communicate early and regular information; but if it is expected I should do it effectually, I hope a cypher will be sent me, by the first safe conveyance, under cover to Mr Harrison at Cadiz, or to our Consul in France, with directions to those gentlemen to forward the letter enclosing it, by a sure hand, to escape the inspection of the post-offices in France and Spain, the dread of which often retards my letters, which I am now obliged to send to the sea-ports, by private persons, or the couriers of the French Ambassador. Once possessed of a cypher, I flatter myself that few vessels will sail from France or this country without letters from me, which, although often not interesting, may yet in some degree contribute to the satisfaction of Congress.

Our affairs are in much the same situation they were when I had the honor to forward the above mentioned letter to the Committee. M. Del Campo's sickness, from which he is but just recovered, is the occasion or pretext for this delay. His appointment, however, has been finally announced to Mr Jay by the Minister, and was made at the time mentioned in my former letters. It is probable that little will be done in this business, until the Court goes to the Pardo the 7th of next month. A principle of delicacy perhaps prevents it from seeming at present to precipitate its conduct, in consequence of the favorable aspect of our affairs, since the news of the capture of Lord Cornwallis, and the victory obtained by General Greene in South Carolina. But the delay attending the transaction of the smallest affair in this country, is a sufficient reason to account for the difficulties Mr Jay encounters at present, without surmising other motives. On this subject, I speak from the experience of almost all the _corps diplomatique_, as well as from the authority of individuals, who have much business with the various branches of administration.

The news above mentioned, was received apparently with great pleasure by the King and Prince of Asturias, as I was informed the same day by several of their officers in waiting. The public at large was highly satisfied, and has spoken more favorably since of our allies, than it has done from the commencement of the war. The foreign Ministers were not all so well pleased with this event, particularly those of Germany, Russia and Denmark. However, in general they regard it as a blow which decides the Independence of the States. The new Minister of Sweden is open in declaring his partiality for our cause, and signified that he would have waited on Mr Jay on his arrival here, as it is the custom of those last come to do, if no other Minister had arrived here since Mr Jay's residence, who had not done it. His conduct to myself shows that this was not a mere compliment, for he has invited me several times to dine with him, and visited me. He is a particular friend, I believe, of M. Marbois, for he speaks highly of him, as indeed all do, whom I have conversed with, that have the pleasure of his acquaintance.

The Imperial and Swedish Ministers declare that their respective Sovereigns will reclaim all vessels under their colors, going to or returning from America, which comply with the articles of the armed neutrality, and it has been hinted to me, that it was not difficult to obtain letters of naturalization for the crews of American vessels, provided the nominal officers are subjects of either country. The Court has at length consented to repay the money advanced in April last by the Marquis de Yranda, but has not enabled Mr Jay to pay the bills due this month, and as Dr Franklin has not authorised him to draw, M. Cabarrus, as I expected in my last, has consented to advance the sum sufficient for this purpose, amounting to thirtytwo thousand dollars. Perhaps Dr Franklin may soon enable Mr Jay to repay him.

Thirty thousand pounds sterling would pay all our debts here, which distress us more than the apprehension of not receiving our salaries, of which, though liberal, we have constant need, owing to the dearness of everything in this country, and the great expense incurred by the frequent change of residence of the Court, which circumstance obliges us to take lodgings at the royal residences; and which expense, the frequent journeys that we were constrained to make on account of our other business in Madrid, greatly augment. I should not touch on this subject, if Dr Franklin had not desired me to mention to Congress our personal difficulties and distresses, for I believe, with all the desire he has to serve us, he procures with difficulty sufficient funds for the payment of our salaries.

The expeditions mentioned in my former letters, are now both probably at sea; that from France sailed the 10th instant, and I know of a certainty, that orders have been sent to Cadiz to hasten the departure of the ships and troops at that post. The French ships there, mentioned in my last, take on board a million of dollars, and M. de Bussy, who formerly signalized himself in the East Indies, has gone thither incognito by land, accompanied by several officers, who have but lately returned from the East. It is therefore highly probable, that these vessels, joined by others, go thither, and will take under their escort a part of the troops embarked at Brest.

No great progress is made in the sieges of Gibraltar and Mahon; on the 27th ult., the enemy made a sally from the former place, in which they did more damage, than has been published here, having completely ruined the advanced works of the besiegers, the repair of which will require some time and much money. At Mahon, the rainy season has retarded the operation of the assailants. I am just told the Duc de Crillon demands a reinforcement of two thousand men, which will be granted to him. The enemy receives small succors from time to time by sea. The Court is about to negotiate another loan, in which if it does not succeed, perhaps it must have recourse to another emission of paper. The treasury is at a low ebb. The Minister of Marine demanded lately ten millions of reals, and received but three. The credit of the paper has lately risen, it is not negotiated at one and a half per cent loss.