Mr. Plumb to Mr.
Seward.
No. 147.]
Legation of the United States,
City of Mexico,
June 19, 1868.
Sir: In the debate which took place in the
Mexican congress on the 20th ultimo, upon the subject of the payment of
interest on their foreign debt, a translation of which accompanied my
dispatch No. 135, of the 27th May, the minister of the treasury, Mr.
Romero, read a letter which had been addressed to him by the London
bondholders recently, with regard to an arrangement of their affairs
with this government.
The reply of Mr. Romero to this letter was published here, in the Diario
Oficial, on the 17th instant.
As the amount of the debt held by the London bondholders is reported to
be over sixty millions dollars, and forms a powerful influence bearing
upon the foreign relations of this republic, I transmit to the
department herewith, as a matter of information, a translation of this
official communication relating thereto, of the Mexican government.
I have the honor to be, very respectfully, your obedient servant,
Hon. William H. Seward,
Secretary of State, Washington, D. C.
[From the Diario Oficial, June 17,
1868.—Translation.]
Department of Treasury and Public Credit–Section 2.
I have received the communication which, under date of the 14th of
April last, you were pleased to address to me, informing me that the
Mexican bondholders in London had appointed a permanent committee,
charged with the supervision of their interests, and authorized to
negotiate the manner of arranging their business with the government
of Mexico, and you conclude by stating to me that the committee is
prepared to immediately open negotiations with the government of the
republic, either in England by means of an agent accredited by the
treasury department, or in this capital by means of a delegate which
the said committee is disposed to send.
[Page 501]
The government of the republic has already manifested, on different
occasions, that it has the best disposition to pay all legitimate
credits, and in fact has redeemed, since its return to this city, a
part of the public debt.
It believes that, with the consolidation of peace, the revival of
confidence, and the development of the natural elements of the
country, its revenues will be augmented in such a manner that,
before many years, it will have paid all of its debts that are
legitimate in their origin.
Although the debt contracted in London belongs to that category, and
the government recognizes it in principle, the fact that the
bondholders made a new arrangement of the debt with Maximilian, who
never had any right to bind the nation, and in this manner lent to
him their aid and co-operation, places the debt in a different
position, which cannot be arranged except by means of negotiations
and mutual concessions.
Supposing that the committee appointed by the bondholders is disposed
to send an agent to this city charged with the negotiation of an
arrangement of their business with the government of the republic, I
limit myself now to saying that the agent of the committee will be
received by this department, and that it will be endeavored to make
with him an arrangement mutually satisfactory.
I am your very attentive friend and obedient servant,
Mr. W. W. Holmes,
Secretary of the permanent committee of the
Mexican bondholders, London.
