Mr. Otterbourg to Mr. Seward
Sir: A council was convoked in the palace on the 14th, at which were present General Marquez, Marshal Bazaine, the archbishop of Mexico, the minister [Page 346] of state, with other persons of note, to the number of 37, called by Maximilian again to deliberate upon the question of his abdication or permanence on the throne. Twenty-five members voted in favor of his continuance, after having heard the reports of the finance minister and the secretary in charge of the war department. The first estimates the revenue of the empire at $22,000,000, when the ground lost by the evacuation of the French shall have been recovered, and the latter returns the number of 25,000 men already armed in defence of the monarchy. Marshal Bazaine expressed his surprise that, with such elements, bands of badly-armed and disorderly liberals should have invariably entered the towns on the withdrawal of the French troops.
Notwithstanding the majority in his favor, Maximilian continues undecided, and Mr. Lanes, the prime minister, is discouraged. Miramon, in command of the western military division, advances but slowly, and distrust is entertained of his loyalty, now that he is beyond the immediate influence of the government. I have been reliably informed that the foreign ministers, in this state of doubt and uncertainty, have been invited, as a court of highest appeal, to emit their opinion as to whether the Emperor should abdicate or stand by the empire.
General Ortega’s protest (enclosure No. 1) has caused some impression, and, skilfully used, may lead to an understanding between this general and the actual ministry, which, in the event of Maximilian’s abdication, would readily unite with Ortega, from whom they expect to obtain immunity for the past and security for the future. Already, with this end, has discord been sown among the liberal chiefs around the capital, and its first successful result is the proclamation (enclosure No. 2) of General Carrillo, in the State of Puebla, calling his command to rally around the Emperor, as the defender of the national territory against the natural enemy of Mexico and the Mexican race.
The French continue to arrive from the interior, and steadily push forward on the road to Vera Cruz. General Castlenau urges on the evacuation, though not aided as effectually by Mr. Dano as he would wish. The expeditionary corps, it is reported, will be encamped around Puebla during some days, in observation of events at the capital before taking their final march to the coast.
The minister of finance called a meeting of capitalists residing in this city on the 16th instant, and informed them that he needed $1,000,000 for the government, which they would be expected to pay into the treasury—$500,000 on the next day, (to-day,) and the rest on the 18th. I have advised two American citizens, who were summoned to this meeting and were assessed in a certain quota of this forced loan, to inform Mr. Campos, minister of finance, that they must have certainly been put on his list by mistake, as they were citizens of the United States.
The position of the French is now so anomalous that the three personages here in charge of their affairs would seem to be at a loss in what manner to extricate themselves with becoming dignity from the difficulties in which they are entangled. They have never exerted the talent or energy which the occasion called for, and events have led me to the conclusion that good will was wanting in their efforts to attain a solution of the situation which it was known would prove satisfactory to the views of the United States government.
No reply, as promised by these gentlemen, has been given me to the suggestions referred to in despatch No. 4, by which the city of Mexico was to be delivered over to some liberal chief who offered guarantees, in his previous conduct, of order and security to its inhabitants. What may yet result I cannot now communicate, since I await the response of these gentlemen, rather than incur responsibility by action in a matter that requires the utmost caution and prudence in its conduct. For proof that General Porfirio Diaz is the chief whose antecedents best furnish the guarantees above referred to, he has been offered by Maximilian the command in chief of the imperial forces, in exchange for his adhesion to the empire, and Marshal Bazaine has, on his own account and for his own purposes, sent communications to him in the State of Oaxaca.
[Page 347]Letters dated from Zacatecas on the 9th instant report the capture of Gonzales Ortega by the Juarist general Auza, who at once remitted him to President Juarez, in charge of a strong escort, under command of Colonel Barrios. President Juarez is reported in Durango.
The enclosure No. 3, translation from the Patria, ministerial journal, will illustrate the state of cordiality just now prevailing between the French and the imperial authorities.
For the information of the department, I would mention that D. Luis Arroya, formerly imperial agent in the city of New York, and latterly in charge of the foreign office, has again returned to the United States on an important mission. Notwithstanding the poverty of the treasury, has taken with him many thousand dollars.
I have the honor to be, very respectfully, your obedient servant,
Hon. William H. Seward, Secretary of State, Washington, D. C.