Mr. Newel to Mr. Hay.

No. 285.]

Sir: Referring to my dispatch No. 283 of the 17th instant in regard to the proposed court of arbitration, I have the honor to report that I have since been spoken to by several of my colleagues, some of whom do not seem at all satisfied with the selection of permanent quarters for the court, for two reasons: First, that such selection is unauthorized, and secondly, the house is too remote from the quarter where the diplomats live.

As I wrote in my former dispatch on this subject, I think most of my colleagues are disposed to pardon the assumption of authority, as it provides a place for preliminary meetings and headquarters, saving delay.

The objections urged to the house itself, on account of its location, may be more general. One argument urged in its favor is that the rent is low, less than £200 ($1,000) per annum. That is answered by the statement that the twenty-six signatory powers will not instruct their ministers to select a cheap but a suitable building.

I learn also that it is thought that in addition to the president there will be a secretary-general, at a salary, say, of £1,000 (or $5,000) per annum; an assistant secretary, at a salary of, say, £500 (or $2,500) per annum, and two clerks, at from £100 to £150 ($500 to $750) each.

As to the selections for these positions, I shall endeavor to inform myself about the various candidates when proposed, and will forward such information to you when obtained.

I have, etc.,

Stanford Newel.