No. 428.
Mr. Bayard to Mr. Manning.

No. 33.]

Sir: I have received your dispatch No. 36, of the 15th instant, relative to the discrimination in Mexico in favor of Spanish vessels.

I have forwarded a copy of Mr. Mariscal’s note to yourself of the 11th instant to Messrs. Alexandre & Sons for their information, and have called attention to the statement of Mr. Mariscal that “the rebate was granted to the said company only in the form of a subvention for services stipulated in the respective contract.”

I then continued as follows: “Neither in this reply, nor in the extract from the contracts heretofore exhibited to the Department, does it anywhere appear that the rebate in question is in favor of the importers [Page 684] of dutiable goods. Without possessing the full text of the Mexican contract with the Spanish Transatlantic Company, the Department is unable to form an opinion upon the merits of the complaint.”

I am, etc,

T. F. Bayard.