Mr. Hay to Mr. Choate.

No. 314.]

Sir: I inclose for your use a copy of a communication of the 26th ultimo, from Messrs. H. W. Peabody & Co., of New York, relative to copies of invoices1 and bills of lading1 covering merchandise shipped by them on the steamship Maria and Mashona, which were recently seized and detained by the British naval authorities.

You will observe that the above-mentioned letter is accompanied by an affidavit1 in duplicate of Mr. Charles D. Barry, a member of said firm, attesting the genuineness of the shipments of said merchants, with an explanatory memorandum in duplicate intended, as said firm states, to make clear all points bearing upon the shipments in question.

I am, etc.,

John Hay.
[Page 593]
[Inclosure 1.]

Henry W. Peabody & Co. to Mr. Hay.

Dear Sir: Reverting to letter from your Department dated January 16th, we now have pleasure in handing you triplicate copies of invoices and bills of lading covering goods shipped by us on the steamships Maria and Mashona and which have been recently seized or detained by the British naval authorities. We also inclose herewith, in duplicate, affidavit attesting to the genuineness of the said shipments, also an explanatory memorandum, in triplicate, in which we have endeavored to make clear all points bearing upon the shipments in question.

Now, as to making clear the question of ownership and title in the said goods, this is something which we can not do at this time, having received no advices as yet from South Africa as to whether our drafts upon consignees have been retired. Of course if such is the case we have no further interest in the goods. We are very strongly inclined to believe that consignees have declined acceptance of our several drafts, and that the title of the goods remains vested wholly in us. So far as the shipment of 230 bags of white corn meal shipped per steamship Mashona is concerned, there is no doubt about it, since the goods went out for our own account and risk, we having declined to make shipment to the parties in the Transvaal who originally ordered the goods.

We have written to South Africa in the hope of securing full details as to the position of the several shipments, but in the meantime expect that you will file our claims and take such steps to protect our interests as may be necessary, in accordance with our letter to you of January 15.

Yours, truly,

Henry W. Peabody & Co.
Vernon W. Smith.

Inclosures1:

Three copies of invoices.

Three consignors’ copies of bills of lading covering 230 bags white corn meal, per steamship Mashona, under mark Delagoa Bay.

Three consignors’ copies of bills of lading covering shipment 30 bundles of windows, 150 bundles frames, 1 box sash ends, 4 barrels cement, per steamship Maria, under transit Delagoa Bay.

Three consignors’ copies of bills of lading covering shipment of 250 cases evaporated cream, under mark

[Inclosure 2.]

Henry W. Peabody & Co. to Mr. Hay.

Dear Sir: With regard to documents accompanying our letter of this date, we think they will be found sufficiently explicit without much comment on our part.

Re the shipment of 230 bags white corn meal under mark Delagoa Bay, this was an order cabled from our South African office under date of September 19, but we deferred making shipment for a time, being apprehensive of trouble, and finally decided to cancel the order altogether, but found that the goods were stowed away in the steamer and in such a portion of the ship that it was impossible for us to obtain delivery of them at any port except Delagoa Bay. We therefore made up invoices for our own account, intending to dispose of the goods to a legitimate merchant in the port of Delagoa Bay. There is no question as to the title of these goods being vested in ourselves. It was originally our intention to make shipment to Messrs. Winter Brothers, Barberton, South African Republic, a legitimate firm of importers with whom we had been doing business for some time past.

With regard to the shipment of windows, etc., per steamship Maria, would say that these were intended for the Norwegian-African Company, Limited, of Johannesburg, lumber merchants, to whom we are in the habit of snipping regularly, the [Page 594] shipment, per Maria, representing an order dated March 29, 1899, which we were instructed to repeat monthly.

So far as we know, the draft against this shipment has not been protected, and title remains invested in us. The goods are liable to deterioration as result of being held, and we should expect to be reimbursed in full for amount of invoice.

With regard to the 250 cases of evaporated cream, shipped per Maria, this was for account Mr. B. Gundelfinger, Johannesburg, likewise a legitimate importer, to whom we had been shipping continuously for many months. The order for cream represents a monthly order for these goods.

Yours, truly,

Henry W. Peabody & Co.
Vernon W. Smith.
  1. Not printed.
  2. Not printed.
  3. Not printed.
  4. Not printed.