Mr. Seward to Lord Lyons.
My Lord: With reference to the British steamer Granite City, which was the subject of your note to this department of the 17th instant, the United States attorney at New York reports that she was transferred to the navy pursuant to an offer of the head of that department to receive her at a valuation of fifty-five thousand dollars.
The authority for this proceeding is contained in the 2d section of the act of Congress approved the 3d ultimo, entitled “An act further to regulate proceedings in prize cases and to amend various acts of Congress in relation thereto.”
A copy of the order of the court upon the subject is herewith enclosed.
I have the honor to be, with high consideration, your lordship’s obedient servant,
Right Hon. Lord Lyons.