Mr. Sherman to Mr. Taylor.

No. 686.]

Sir: Referring to the Department’s recent instructions to renew your efforts to obtain the release of tobacco purchased or contracted for by American mercantile houses before the prohibitory decree was issued by the Governor-General of Cuba, I inclose a copy of a dispatch from our consul-general at Havana, transmitting a claim for indemnity in the sum of $100,000, filed by Neuhaus, Neumann & Co., of Havana, agents of the New York firm of Sartorius & Co., for the refusal to allow the exportation from Cuba to the United States of some 34,000 matules of tobacco, purchased or contracted for before May 16 last.

You will present this case to the Spanish Government.

Respectfully, yours,

John Sherman.