No. 477.
Mr. Bátres to Mr. Frelinghuysen.

[Translation.]

Mr. Minister: I have just received from the Government of the Republic of Salvador the full report of the secret police of San Francisco, Cal., concerning the purchase of arms and of the shipment of the same by the ship Ounalaska, to instigate a revolution in this country.

I have the honor to inclose to your excellency said report, by which, as well as by the rest of the records which I had previously sent to the Department of State, of which your excellency is the worthy chief. It is perfectly obvious that Mr. T. Gutte, with the sordid object of acquiring $25,000, constituted himself the criminal agent of parties who attempted to revolutionize Salvador; and knowingly also Mr. C. Stahltracht, who was a subordinate of Gutte’s, in the name of the latter, made the sworn statement, at the custom-house in San Francisco, Cal., to the effect that the cargo of the Ounalaska was destined to Guayaquil, which was manifestly false, not only by the acts but by the acknowledgment of the captain, which some time ago I sent to your excellency, and by the report which I now inclose.

The declaration of the destination of the ship was not signed by its author, but by the captain of the ship Frank Green, thereby making the same null. Such carelessness compromises greatly the responsibility of the general officers of the custom-house at San Francisco, Cal., who should not have permitted the above-mentioned abuse, which I take the liberty of exposing, in order that it may be legally repressed.

[Page 750]

Your excellency will have the kindness to notice, in the report of the police, that Mr. T. Gutte had an understanding with Marcial Esteves, whom he visited and with whom he held a secret interview, and to whom he sent the arms and implements of war, to inaugurate a revolution in the Republic of Salvador, which happily maintains the best relations with the United States.

This same Gutte and his agents forged false papers for Guayaquil-thanks to the management of the custom-house officers at San Francisco—and so the ship Ounalaska was enabled to take her departure, and stopping at different ports in Salvador to dispose of her cargo of rifles and warlike chattels.

Mr. Gutte, therefore, and his agents are liable as perjurers through the false and maliciously null deposition made by them, compromising the officials of the United States.

Mr. Gutte and his accomplices are likewise liable for having constituted themselves agents to revolutionize a country lawfully established by sending arms, with false vouchers and under the flag of the great American Republic, which never tolerates such deeds, as was shown recently in the case of the steamship Tropic, which carried munitions of war for the Republic of Hayti, and whose captain and mate were found guilty.

My Government could not have shown greater generosity to the captain and crew of the Ounalaska, having given them their freedom and a thousand dollars for their return, for, after all, these unfortunate men were subaltern agents and very ignorant, and, moreover, subjects of the United States, for which country the people of Salvador entertain the highest sentiments of esteem, and the Government, their faithful interpreter, desired to give a new proof of particular deference; but as regards Gutte and his accomplices I have received instructions to urge their punishment.

To this end the Government of the Republic of Salvador has ordered me to transmit to your excellency the report of the police of San Francisco, which document and the previous ones which I have had the honor to send you expose fully the acts related, which cause us to demand of you to hold accountable the said Gutte and his accomplices for having committed acts of hostility, violating their oath, and, moreover, infringing the laws of neutrality.

I beg your excellency, therefore, to have the kindness to accept favorably the efforts which I formally make begging you to call to account the said criminals, Gutte and his accomplices.

With the highest consideration, &c.,

ANTONIO BÁTRES.
[Inclosure.—Extract.]

Report of H. N. Morse’s Detective Agency San Francisco.

* * * * It is evident that a certain party, whose name cannot now be given, for the reason that I could not ascertain it, arrived from Ecuador in October or November, 1882. Soon after his arrival he seeks one I. Gutte. It is understood that the unknown man shall furnish all the means for 1,500 rifles and 400 cases of cartridges, and be the silent principal in fact. I. Gutte was and did assume that he was principal, when in fact he was simply an agent, and for his remuneration he was to receive a good round commission.

This being understood, I. Gutte at once enters into negotiation with John Skinker, then agent of the Winchester Repeating Company. It was understood that a bid for 1,500 Remington rifles and 400 cases of cartridges was to be made by Skinker. The latter named gentleman being agent for the Winchester and not the Remington, and having no contract with the Central Pacific Railroad company wherewith he could and the rifles and cartridges here as cheap as another, he goes to one Charles Sountag [Page 751] and talks over the matter. Finally it is agreed that Sountag is to prepare the bid, which is done. It is handed to Skinker, who, deeming the commission or percentage of profit not large enough, adds a few thousand dollars more to the bid. Sountag and Skinker have agreed to divide the profits. A short time after the bid is handed to Gutte, he calls in on Skinker very abruptly, and wants the rifles and cartridges brought by express from New York, The express charges are figured up, and it is discovered that the expenses will reach about $25,000, or even more. Sountag then insists on knowing who the purchaser is. Gutte’s name is given. Sountag then refuses to express the goods unless the money was deposited in some bank here. Gutte then goes to his principal and states his case. It is ascertained that there is not enough money to cover everything. Gutte so informs Skinker; more money was sent for. It was then arranged that as soon as the rifles and cartridges arrived they were to be transferred to a schooner at Port Costa, and thence sent to sea without customhouse clearaoce. The purchase was postponed until the return mail from Guayaquil was received. The latter arrived and the sale or purchase was again postponed, Gutte giving as reason that a letter had been abstracted from the mail. During the mean time Skinker was removed from his agency, and as considerable delay had ensued an opportunity to investigate matters was offered, thus forcing Gutte’s principal to keep quiet. Several weeks elapsed before final action was taken. Gutte purchased the schooner Ounalaska.

He swears that he is the owner, and the same is assessed to him on the assessor’s books in and for the city and county of San Francisco.

Independent of either Skinker or Sountag, Gutte purchases the rifles and cartridges. His team hauls the same to the wharf, and his book-keeper is made consignor.

After a most thorough examination I find that Francisco Duenas is a man of vast wealth. In no way is his name connected with the affair, and to bear out the theory that he had nothing to do with the purchase let me call your attention to the fact that enough money to pay expressage was demanded from Guayaquil. Had Duenas anything to do with the purchase he would not have sent to the place mentioned for money, for the reason that his immense wealth is at his command here. Then, again, Messrs. Sountag and Skinker state that Duenas’s name never was mentioned in the transaction.