Mr. Hay to Mr. Leishman.

No. 707.]

Sir: I have to acknowledge the receipt of your dispatch No. 870, of the 15th of August last, inclosing a copy of correspondence between you and the Porte concerning the adjustment of the questions pending between the United States and Turkey. I have also to acknowledge the receipt of your No. 889, of the 15th ultimo, on the subject of the school question.

In view of the fact that the Porte allowed over a year and a half to pass without taking any exception to the list of institutions filed by you in February, 1903, and failed to reply to your note of August 16 last, the Department approves your intention to assume the position that the institutions mentioned in that list must be considered as having been officially recognized.

As suggested by you, you are hereby authorized to employ skilled legal counsel, at a rate not to exceed $1,000 per annum, to advise the legation in the matter of the transfer and registration of the property of the American institutions.

I am, etc.,

John Hay.