No. 440.

Mr. S. L. Phelps to Mr. Bayard.

No. 230.]

Sir: In my communication No. 226 it was stated that the Indians had risen and driven the Government officials out of the department of Ancachs, and that I had a petition (as dean of the diplomatic corps) [Page 598] from Americans and other foreigners resident in Huaraz and neighboring places, asking that the President should be requested to send a force sufficient to protect their lives and property. I gave immediate attention to the matter, and General Iglesias told me a steamer had been sent to land a force at Casma sufficient to re-establish order.

The peace commission on the part of the Assembly has not yet left for Arequipa, General Cáceres not having been heard from in reply to the telegram asking if he would receive the gentlemen.

The affairs of the country are becoming worse; paper money has fallen still further, and business is arrested, while distress is general.

I have, &c.,