Mr. Choate to Mr. Hay.

No. 265.]

Sir: I have the honor to report that on my last interview with Her Majesty’s secretary of state for foreign affairs he informed me that the high commissioner for South Africa was treating with the United States consul at Cape Town in respect to the flour ex Mashona, and, as I understood him, also as to that ex. Maria and Beatrice, and had reported by cable a new difficulty encountered in respect to the question of titles to goods, viz, that in several cases third parties—parties other than the consignor or consignee—were claiming. He seemed indisposed to undertake to settle any such questions, and to be of opinion that they should be left to the high commissioner and the consul to settle in South Africa, where more evidence was accessible; and so of the purchase of goods, he has never withdrawn his original suggestion that the best way to settle each case would be for the British Government to purchase; but he thought that that, too, should be remitted to South Africa, and was unwilling to conclude any purchase here.

I have to-day sent to the foreign office the bills of lading and invoices of the Pennsylvania Milling Company by all three vessels, which I retained at the time of their receipt for the reason which I have already communicated to you by my dispatch No. 246, of February 7; but I have not transmitted Mr. Toomey’s affidavit, which, it seems to me, would be detrimental and create greater confusion, for the reason stated in my dispatch No. 251, of February 10. The goods have already been detained so long that those of them which are perishable in their nature must have already greatly deteriorated, and the owners will have to resort to their claim against the British Government, or, [Page 601] in the case of the Mashona, against the captors, which is ultimately the same thing.

I have never heard from you what authority has been given to the United States consul at Cape Town, but I assume that he is looking after the interests of all owners whom our Government is bound to protect.

I annex a copy of my note of this date to Lord Salisbury, which covered the invoices and bills of lading referred to.

I have, etc.,

Joseph H. Choate.
[Inclosure.]

Mr. Choate to the Marquis of Salisbury.

My Lord: I have the honor to transmit to you copies of the invoices and bills of lading of the several lots of flour shipped by the Pennsylvania Milling and Export Company in the name of Fowler Brothers, Limited, its financial agents, by the Mashona, the Maria, and the Beatrice. The company is understood to continue interested in the flour until its delivery to the consignees at Delagoa Bay. Referring to my previous notes in regard to this company’s shipments, and particularly to the offer of sale to Her Majesty’s Government contained in my note of 23d ultimo, I have only to add that, in case of the purchase of the flour by the British Government, the company is willing that it should take as purchaser the flour which is already practically in its custody, and pay the price which may be agreed upon for it to whoever may prove entitled to receive it, in view of any questions as to legal title arising between consignor and consignee.

I suggested to my Government some time ago that, in case of any such question in respect to any American goods seized, both consignor and consignee could unite in any sale or in proving title as claimants.

I have, etc.,

Joseph H. Choate.