The impression the word "escort " is obviously designed to leave upon the minds of the arbitrators is that a British man-of-war escorted the Nashville to protect her from United States cruisers. Although the matter does not fall within the scope of this committee's proceedings, yet, as I was in command of the station at the time, I deem it my duty to submit to their lordships a copy of the sailing orders I gave to the commander of the Spiteful on that occasion, together with an extract from my dispatch to the admiralty, No. 145, of the 25th February, 1862, which will recall to their lordships' recollection that the object I had in view in sending the Spiteful outside was solely to prevent her exercising belligerent rights on vessels within our territory. I have, &c., The SECRETARY THE ADMIRALTY. ALEX. MILNE, Admiral. [Inclosure 1 in No. 3.] Sir A. Milne to Commander Wilson. You are hereby required and directed to put to sea forthwith in the sloop under your command, and proceed outside on the coast of these islands, with a view of preventing the confederate steamer Nashville, now about to leave the harbor of Saint George's, trom interfering in any way whatever with vessels of any nation so long as they are within three nautical miles of the shore of the Bermudas and their reefs. As soon as the Nashville is out of sight you will return to this anchorage. Given under my hand on board the Nile, at Bermuda, 23d February, 1862. (Signed) ALEX. MILNE. S. T. SUCTER, Extract from Rear-Admiral Sir Alex. Milne's dispatch to the admiralty, No. 145, dated from Bermuda, February 25. 1862. 2. The confederate steamer Nashville arrived here on the 20th and sailed again on the 24th, the decision of Her Majesty's government referred to in your letter of the 28th ultimo, No. 47 M, having been communicated to her commander by the governor of this colony, and as when she sailed there were several vessels in sight, some of which might have been United States, I thought it advisable to send the Spiteful outside to insure due respect being paid to our territorial limits. No. 4. Governor Lefroy to the Earl of Kimberley. GOVERNMENT HOUSE, BERMUDA, MY LORD: Referring to your lordship's dispatches, dated 30th December and 16th January ultimo, and received on 2d February, Report from BerI have the honor to submit the following observations on muda. the case presented on the part of the Government of the United States to the tribunal of arbitration on the Alabama claims, so far as it is based on the conduct of the authorities in Bermuda. Case, p. 273. 2. On the 18th April, 1863, Colonel Norman S. Walker, confederate agent at Bermuda, is stated to have called the attention of Mr. Huse to the importance of sending to Bermuda one or or two cargoes of Duffreyne coal, for the confederate government steamers, adding, "from all that I can learn, any confederate man-of-war which may come to this port will have no difficulty in coaling and procuring supplies." 3. The authority quoted for this (page 276, note) is a letter, Walker to Huse, April 18, 1862, not 1863, as quoted.1 4. The statement proceeds to say, (page 278,) "In spite of the countenance given by the authorities in Bermuda and Nassau," (to what is not apparent,) "funds could not be forwarded fast enough to Major Huse to meet the great demands made upon him at this time." It appears (page 237) that Major Huse resided in London, and as it does not appear that he ever was in Bermuda, it is not easy to see what any conduct of the authorities of Bermuda can have had to do with this receipt of funds; but with respect to facilities for coaling, it was not until the receipt of the Duke of Newcastle's circular dispatch, dated February 1, 1862, (received in Bermuda March 12,) inclosing Earl Russell's dispatch of January 31, 1862, that any restriction was placed on supplies of coal. This dispatch restricted the supplies to ships of war, or privateers of either belligerents, to" so much coal only as may be suf ficient to carry such vessel to the nearest port of her own country," &c.; but Governor Ord, on the 6th January, contrary to the remonstrances of persons engaged in trade, but acting on his instructions of November 15, 1861, had actually given his sanction to the formation of a depot of coal by the United States consul at Saint George's; having, however, learned from Admiral Milue, a few days later, but before the receipt of his own instructions, that Her Majesty's government had approved of the conduct of Lieutenant Governor Nesbitt, of the Bahamas, in refusing to allow a coal depot to be formed at Nassau, he withdrew that permission on the 19th February. On the 25th February, the substance of the Duke of Newcastle's circular dispatch of January 16 was published in the Bermuda Royal Gazette, but this related only to the start of twenty-four hours required to be given to vessels of either side before a ship of war, privateer, or other armed vessel of the other side should be allowed to follow; but, as above stated, the dispatch of January 31 came into force here on March 12, 1862, any statement therefore made in April, 1863, or even in April, 1862, that any confederate man-of-war which might come into the port of St. George's "would have no difficulty in coaling and procuring supplies," which Major Walker only asserts on hearsay, "from all that I can learn," must have been entirely devoid of foundation. It is evident that the large supplies of coal referred to on page 277, whether they were landed here or not, were for cotton shipments. The Lee, the only vessel named, (Case, page 278,) was not a vessel of war. Case, p. 282. 5. It was complained by Mr. Adams, in a letter to Earl Russell dated November 3, 1863, that a depot of naval stores, "for the [4] use and benefit of insurgents in their *prosecution of the war, was established at Saint George's. This complaint must bave reference to a state of things existing in the summer or autumn of 1863. By an act of the Bermudian legislature, passed This seems to be merely a misprint. on 2d August, 1862, the governor was empowered to prohibit by proclamation the exportation of arms, ammunition, and gunpowder, military and naval stores, and he did so prohibit it from and after January 1, 1863, by a proclamation dated December 24, 1862. I have searched in vain through the correspondence of Governor Ord for any trace of this proclamation having been even alleged by the United States consul to have been violated. The apparent delay is due to the fact that under the terms of the act, "nothing therein contained was to be of any force or effect until Her Majesty shall have assented thereto, and such assent shall have been signified by proclamation in these islands, nor until a day in such proclamation fixed for the commencement thereof." But if it is only meant that naval stores, not contraband of war, were sold to confederate vessels at Saint George's, the charge is harmless; Saint George's became for the time a shipping-port of considerable activity, and both parties in the struggle made full use of its resources. "Naval stores" in this sense were equally supplied to Admiral Wilkes, whose squadron visited Saint George's in November, 1862, and to the Wachusett, one of that squadron, when she revisited it for repairs in May, 1863, and was allowed to take in as much coal as would suffice to carry her to the nearest port of the United States, without the stipulation that a revenue officer would be charged to see that such quantity was not exceeded. Case, p. 286. 6. The Florida, too, "arrived at Bermuda on the 16th July, 1864, and remained there until the 27th, taking coals and supplies on board, and this at a time when like permission was refused to vessels of the United States. July is here, perhaps, a clerical error for June. The Florida visited Bermuda in July, 1863, and in June, 1864. She arrived on the 19th June, 1864, not the 16th, but left on the 27th. She was reported by her lieutenant-commander, Morris, in want of coals, provisions, and repairs, and he asked permission to proceed to the dockyard. This was refused, but permission was given to her on the 21st to remain at Saint George's for the period of five working days. On the 23d June Colonel Munro communicated to her commander an extract from the Duke of Newcastle's circular dispatch, dated July 16, 1863, regulating supplies of coal; and the following memorandum, signed C. M. Morris, which is written in pencil on a copy of the extract above referred to, filed in this office, shows what quantity she did take: The Florida has taken on board about 80 tons of coal, more or less, and the first confederate port we expect to visit is Mobile. (Signed) C. M. MORRIS, Lieutenant Commanding. From the form of this memorandum, I am led to suppose that it was written by Lieutenant Morris, at the request of the lieutenant-governor, at some personal interview. The vessel had only stowage for 130 tons, and it was calculated by the officers of Her Majesty's dock-yard that she would require 100 tons to take her to Mobile, but I do not find any statement of the quantity she had remaining on arrival. 7. The Florida put back to Saint George's on the 1st or 2d July, 1864, to land two deserters who had secreted themselves on board. The captain asked permission to replenish her stock of coal to the amount of 15 tons, and was peremptorily refused by Colonel Munro; but it was subsequently believed that she succeeded in obtaining clandestinely 73 tons. "She received by permission a supply of 80 tons of coal while in harbor, and on 2d July she is supposed to have obtained, without leave, and before she could be prevented, 74 tons." 8. I cannot trace the visits of any United States ship of war to Ber Case, pp. 315, 316. muda about that time, and there is no evidence in the correspondence I have examined of any vessel of the United States having been refused coal in 1864, as alleged in the place quoted above, (Case, page 286.) 9. "The instructions of January 31, 1862, forbade the granting of coal to such vessel (a belligerent on either side) if it had been coaled in a British port within three months, yet in three notable instances this salutary rule was violated. That of the Nashville at Bermuda in February, 1862, &c., &c." The Nashville left Southampton about the 3d February, 1862, and arrived at Bermuda on the 20th. Earl Russell's dispatch to the Duke of Newcastle of 31st January had not then been received, but a prohibition against the formation of coal depots by either side had just been issued. Governor Ord had notified it to Consul Allen the day before, (February 19.) It is alleged by Consul Allen, in his letter to Mr. Seward of [5] *25th February, that she received 120 tons from the British ship Mohawk between the 20th and 25th February. It does not apPapers, vol. vi. p. pear that he deemed it an occasion for an appeal to Governor 219. Case, p. 331. Ord. I am, therefore, led to suppose that a cargo of coalsafloat was not at the time regarded by him as a depot of coals in the sense in which this was prohibited, or in any sense whatever. The revenue officer at Saint George's reports to me: "I find that the Mohawk again entered this port on the 22d February, 1862, and put 158 tons of coal on board of Nashville, by what authority I know not," but I have found no correspondence on the subject. The vessel had been there in December, 1861, which is the former visit implied. war. 10. It is again necessary to point out that neither the Duke of Newcastle's circular of 30th November, 1861, nor that of 16th January, 1862, (received 14th February,) lays down any rule with regard to the issue of coal, which was not usually, down to that time, contraband of The first instructions on that point, and which also contained the three-months' rule, of which the violation is complained of in the pas sage I am here answering, were not received until nearly three weeks after the Nashville had left. They are, as correctly stated, the instructions of Lord John Russell's dispatch, dated 31st January, received here 12th March. 11. Governor Ord's prompt steps to prevent the formation of a depot of coal were taken, as stated on page 3, upon indirect information received through the admiral, and had nothing to do with the dispatch of 31st January, 1862. Case, p. 331. 12. The Nashville is said to have left Bermuda under escort of Her Majesty's steamer Spiteful. This is, in one sense, true, but she was attended by Her Majesty's steamer Spiteful, not for her protection, but to see that she committed no act of hostility within the limits of Her Majesty's territorial jurisdiction. 13. "On the 16th July, 1863, the Florida arrived at Bermuda. She remained nine days in that port, and was thoroughly repaired Case, p. 358. both in her hull and machinery. She also took on board a full supply of the best Cardiff coal, which had been brought for her from Halifax by the transport Harriet Pinckney. This was permitted, notwithstanding the general order that neither belligerent was to be permitted to make coal-depots in British colonial ports." The captain of the Florida, Maffitt, on his arrival at Saint George's, in July; 1863, requested permission to proceed to Her Majesty's dock-yard for repairs, which was refused. He then requested permission to take enough coal from the commissariat department at Saint George's to carry his ship to some other coaling-depot, which was also refused; whether or no he ultimately received it from the Harriet Pinckney, does not appear in the correspondence of this officer; but I submit that the fact of his applying for commissariat coal is a proof that the cargo of that vessel was not brought from Halifax, as is alleged, for the Florida, and that no coal-depot existed for her supply. 14. Consul Allen does not, indeed, say that the cargo of the Harriet Pinckney was brought for the Florida, and, if in fact she had coal on board for that vessel, the local government could not know it; I find nothing in support of the strong statement that she was thoroughly repaired, both in her hull and machinery. The vice-consul's note of 21st July, vol. vi, p. 347, merely asserts, "she is undergoing repairs to hull and machinery, and is in want of coal;" a vessel naturally takes the opportunity of being in port to effect repairs. 15. The Harriet Pinckney was a merchant-steamer, which brought cargoes to Saint George's in January, June, July, August, 1863, and in February, 1864, and in no sense can be regarded as having served as a coal-depot. Case, p. 369. 16. In June, 1864, the Florida returned to Bermuda, and made application for permission to repair. The governor directed an examination to be made by experts, who reported, &c., (see Case, p. 360;)" on this report the Florida received permission to remain there five days; she actually remained nine days; while there she took on board 135 tons of coal, half a ton of beef, half a ton of vegetables, a large supply of bread, provisions, and medicines, a large supply of clothing and other stores, and twenty days of carpenter's work were done upon the vessel." It will be seen by inclosure 11 that on Monday, June 20, she was reported to require five days for repairs, and on the 21st she was granted five working days, which, dated from noon on that day, expired at noon of Monday, the 27th; she went to sea on the evening of that day. The consul himself reported that she came into the port of Saint George's on the morning of Allen to Seward, vol. vi, p. 356. the 19th, (Sunday;) it is, therefore, a slight exaggeration to say [6] that she remained *in port nine days; but she was there alto gether eight and a half days, of which two were not working days. 17. The voucher produced does not quite support the allegation that she had twenty days of carpenter's work done upon her, as only sixteen days are charged. Vol. vi, p. 361. Vol. vi, p. 361. 18. The report of the naval officers is that her carpentering defects could be made good in two days. It does not say by how many carpenters; as only four days' superintendence is charged, it is presumable that four carpenters were employed four days, making up the sixteen days of carpentering in the bill. It is evident, from the small quantity of material charged, viz, 103 feet of oak, 50 feet pine lumber, 20 pounds metal, 24 pounds iron rod, that her repairs were not of an extensive nature. With respect to her having received 135 tons of coal when her commander assured Governor Hamley that he had only "taken on board eighty tons of coal, more or less," as quoted above, I can throw no light on the discrepancy. Black, the agent, is not now in Bermuda, but he is living, I am informed, at Halifax, and I have written by this mail to the governor of Nova Scotia, informing him of this inquiry, that he may, if possible, elicit some information from him; but with regard to the extension of the complaint, on pages 361,362, that 135 tons were supplied instead of 20, I beg to remark that I found no evidence that she was ever limited to the latter quantity. 19. The purchase by this vessel of provisions to the amount stated 1 ་ |