Mr. Loomis to Mr. Hay.

No. 340.]

Sir: I have to report that on the 1st day of November I had an informal talk with General Castro at the Yellow House. He had previously sent me word, quite of his own volition, that he would be very pleased to see me at any time I chose to call upon him. As I had that morning received a letter from an American citizen residing near Valencia in reference to the loss of several hundred cattle, which he said Castro’s troops had taken without, in some cases, giving the proper receipts, I thought the only way to secure prompt action was to see the general himself. He disposed of the matter at once by saying that legal receipts would be furnished, and that he would send telegraphic orders to take no more of the American’s cattle.

General Castro is a very small dark man, who seems to have a considerable admixture of Indian blood. He walks with the aid of two crutches, as he is still suffering from his foot, which was badly sprained when his horse fell on it more than six weeks ago. He talks well and with facility, and appears to be a man who reaches decisions quickly. I think he means well. He talked, of course, in a very agreeable way of the United States Government and expressed admiration for our people and institutions.

I spoke to him about the second section of his blockade decree, in which he declared that cargoes for Puerto Cabello must be discharged at La Guaira, and said I did not think that foreign governments would be disposed to admit that Venezuela had the control over their merchant ships which this part of his proclamation implied. I furthermore added that I understood the agents of the American steamer Philadelphia would either take her Puerto Cabello cargo back to New York or land it in Curaçao. General Castro at once admitted the justice of my observations, and said no objections would be interposed to the course which I had indicated would be pursued by the Philadelphia. It is probable he had not had time to consider the decree before it was published and that the formulation of it was left to subordinates.

The weakness of General Castro, for a time at least, will be that he has slight acquaintance with public men and with the details of Governmental business.

Confidential.

I have, etc.,

Francis B. Loomis.