Mr. Seward to Mr. Koerner.

No. 106.]

Sir: I have the honor to acknowledge the receipt of your two despatches, namely, of May 27, No. 97, and of May 30, No. 98.

The first of these informs me that, in pursuance of instructions, you tendered the good offices of this government to contribute to an accommodation of the differences which have arisen between Spain and Peru, and also gives me Mr. Pacheco’s reply that the offer, which, under other circumstances, would have been acceptable, was now declined, because a new incident had just occurred which gave such a special character to the affair as necessarily forbade the acceptance of counsel from any foreign state.

Your latest despatch informs me that on the arrival at Madrid of subsequent instructions from me, and also of news of transactions in Peru, which were unknown at the Spanish capital at the time when our offer was declined, you were making inquiries of Mr. Pacheco, then at Aranjuez, through the undersecretary of state for foreign affairs, to ascertain whether the good offices of this government might not yet be accepted under what you supposed the altered circumstances of the case. I have submitted the papers to the President, and I have the pleasure to inform you that your proceedings are entirely approved.

It is now known here, as it is probably understood also at Madrid, that the late commissioner has resigned his trust and gone home; that before resigning, he, together with the Spanish admiral, disowned all designs against the integrity or independence of Peru, and placed the act of seizing the Chincha islands exclusively upon the ground of reprisals for claims, while they expressly allowed the commerce in guano to proceed under conduct of the Peruvian authorities without obstruction.

It is also understood here, through a reliable channel, that at a date later than the date of your last advices a belief prevailed at Madrid that the extreme proceedings of the aforementioned commissioner in Peru, when definitely made known at Madrid, would fail to be completely approved by her Catholic Majesty’s government.

Under these circumstances I cannot suppress a hope that the difficulty in question may have already received, or may be now in the way of receiving, a peaceful solution upon principles of equity and justice, and at the same time consistent with the honor of the two nations.

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It is not perceived that any new instructions could profitably be given to you concerning the matter. You will govern yourself by the principles already defined, and saving in every case equally the dignity of the United States and respecting the just sensibilities of Spain and Peru, you will do whatever shall seem best calculated to avert war, and restore a good understanding between the two countries. To enable you to proceed with greater circumspection and care, I give you copies of Mr. Robinson’s despatches to me, and of a correspondence of mine with the Peruvian and Spanish ministers concerning the effect of the proceedings at the Chincha islands.

I am, sir, your obedient servant,

WILLIAM H. SEWARD.

Gustavus Koerner, Esq., &c., &c., &c., Madrid.