File No. 1021/37.
The Spanish Chargé to the Secretary of State.
Washington , September 25, 1907 .
Dear Mr. Adee: In reply to your letter to Mr. Walls under date of the 10th instant respecting the payment of two checks, one for $28,500, the other for $570,000, in settlement of the interests on the debt of 1834, due August 12, and of the capital of the said debt, I have to say that, as regards the inquiries made in your letter, the debt acknowledged by Spain to be due to the United States under the treaty of 1834 bore interest at the rate of 5 per cent per annum, and in refunding its capital the computation was made by capitalizing at 5 per cent the annuity of the $28,500 that had been paid as interest since 1847 under the agreement by note of the 9th of March of the year just named.
The remittance of $570,000 is therefore the product of $28,500 by twenty annuities.
As to the return of the original certificates or inscription, my Government does not demand them, but I am authorized to receive them if the Federal Government so desires.
I trust that these explanations will answer the questions you asked of Mr. Walls and that your department will now send me two separate receipts in quadruplicate for each of the payments made by the legation on the 12th of August last.
I remain, etc.,