Minister Lee to the Secretary of State.

No. 7.]

Sir: I regret to inform you that a revolution against the constitutional Government broke out on January 1 between here and the coast. It has since spread to the north along the Colombian border. It is considered likely that Quito may be entered at any time. Four battalions of federal troops have gone over to the opposition. There have been several engagements and many killed and wounded.

There has been no communication either by mail or telegraph since January 1. As Quito is a day and a half by mule back or wagon from the end of the railway—and there has been no communication for two weeks—supplies and provisions have advanced to a tremendous extent, and there is great suffering among the lower classes.

I have, etc.,

Joseph W. J. Lee.