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No. 14.-Consul Freeman to Earl Russell.-(Received April 12.) (Extract.) Lagos, March 8, 1862.

I HAVE the honour to report to your Lordship that, after several lengthened discussions with Docemo and his Chiefs, I have terminated to their satisfaction all the questions arising out of the Treaty of Cession signed on the 6th of August last.

I should have settled everything immediately on my arrival but I encountered a strong opposition from Docemo and his Chiefs, who even went so far as to declare that they were forced into signing the Treaty of Cession without understanding its contents. Knowing this to be false, as at the formal signing of the Treaty there were present many people perfectly conversant with both the English and Yoruba languages, I endeavoured to ascertain the source of these new difficulties, and I soon discovered that they were caused by White-capped Chiefs. These Chiefs are the rightful possessors of the land upon which they depend for their subsistence. Whenever war breaks out, and the King is attacked, they retire into the bush, to return again when peace is re-established, and are then acknowledged by the victors as the legal owners of the soil. Thus the King and war-men hold no lands unless by grant from the White-capped Chiefs.

These Chiefs had been persuaded by certain parties, whether maliciously or through ignorance it is difficult to ascertain, that the cession of Lagos to the British Crown involved the abrogation of all private rights of property, and they, therefore protested that the King could not give away their lands, and that they did not understand such to be the meaning of the Treaty when it was signed. Hence the origin of their holding back from a final settlement.

On the 11th ultimo I received the King and his Chiefs at my house, and detailed to them the reasons which induced Her Majesty's Government to obtain the cession of this island; pointed out the changes which will result therefrom, and explained to them that far from depriving them of their private property, the cession will render it more valuable to them.

They declared they had never viewed the question in that light before, and they left my house quite satisfied. Two days after the King came again in the evening, and signed an additional paragraph to the Treaty, by which he agrees to receive in compensation for the revenue he gives up, an annual pension of 1,200 bags of cowries, equal, at the present rate of exchange, to 1,0307. sterling. Earl Russell. W. P. W. FREEMAN.

MESSAGE of the President of The United States, on the Opening of Congress.-Washington, December 1, 1862.

FELLOW-CITIZENS OF THE SENATE AND

HOUSE OF REPRESENTATIVES,

SINCE your last annual assembling, another year of health and bountiful harvests has passed. And while it has not pleased the Almighty to bless us with a return of peace, we can but press on, guided by the best light He gives us, trusting that in His own good time and wise way all will yet be well.

The correspondence touching foreign affairs which has taken place during the last year is herewith submitted, in virtual compliance with a request to that effect made by the House of Representatives near the close of the last session of Congress.

If the condition of our relations with other nations is less gratifying than it has usually been at former periods, it is certainly more satisfactory than a nation so unhappily distracted as we are, might reasonably have apprehended. In the month of June last there were some grounds to expect that the maritime Powers which, at the beginning of our domestic difficulties, so unwisely and unnecessarily, as we think, recognized the insurgents as a belligerent, would soon recede from that position, which has proved only less injurious to themselves than to our own country. But the temporary reverses which afterwards befell the national arms, and which were exaggerated by our own disloyal citizens abroad, have hitherto delayed that act of simple justice.

The civil war, which has so radically changed for the moment the occupations and habits of the American people, has necessarily disturbed the social condition, and affected very deeply the prosperity of the nations with which we have carried on a commerce that has been steadily increasing throughout a period of half a century. It has, at the same time, excited political ambitions and apprehensions which have produced a profound agitation throughout the civilized world. In this unusual agitation we have forborne from taking part in any controversy between foreign States, and between parties or factions in such States. We have attempted no propagandism, and acknowledged no revolution. But we have left to every nation the exclusive conduct and management of its own affairs. Our struggle has been, of course, contemplated by foreign nations with reference less to its own merits than to its supposed and often exaggerated effects and consequences resulting to those nations themselves. Nevertheless, complaint on the part of this Government, even if it were just, would certainly be unwise.

The Treaty with Great Britain for the suppression of the Slave Trade has been put into operation with a good prospect of complete

success. It is an occasion of special pleasure to acknowledge that the execution of it, on the part of Her Majesty's Government, has been marked with a jealous respect for the authority of The United States, and the rights of their moral and loyal citizens.

The Convention with Hanover for the abolition of the Stade dues has been carried into full effect, under the Act of Congress for that purpose.

A blockade of 3,000 miles of sea-coast could not be established and vigorously enforced, in a season of great commercial activity like the present, without committing occasional mistakes, and inflicting unintentional injuries upon foreign nations and their subjects.

A civil war occurring in a country where foreigners reside and carry on trade under Treaty stipulations, is necessarily fruitful of complaints of the violation of neutral rights. All such collisions tend to excite misapprehensions, and possibly to produce mutual reclamations between nations which have a common interest in preserving peace and friendship. In clear cases of these kinds I have, so far as possible, heard and redressed complaints which have been presented by friendly Powers. There is still, however, a large and an augmenting number of doubtful cases upon which the Government is unable to agree with the Governments whose protection is demanded by the claimants. There are, moreover, many cases in which The United States or their citizens suffer wrongs from the naval or military authorities of foreign nations, which the Governments of those States are not at once prepared to redress. I have proposed to some of the foreign States thus interested, mutual Conventions to examine and adjust such complaints. This proposition has been made especially to Great Britain, to France, to Spain, and to Prussia. In each case it has been kindly received, but has not yet been formally adopted.

I deem it my duty to recommend an appropriation in behalf of the owners of the Norwegian bark Admiral P. Tordenskiold, which vessel was, in May, 1861, prevented by the commander of the blockading force off Charleston from leaving that port with cargo, notwithstanding a similar privilege had, shortly before, been granted to an English vessel. I have directed the Secretary of State to cause the papers in the case to be communicated to the proper committees.

Applications have been made to me by many free Americans of African descent to favour their emigration, with a view to such colonization as was contemplated in recent acts of Congress. Other parties, at home and abroad-some from interested motives, others upon patriotic considerations, and still others influenced by philanthropic sentiments-have suggested similar measures; while, on the other hand, several of the Spanish American Republics have protested against the sending of such colonists to their respective terri[1861-62. LII.]

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tories. Under these circumstances, I have declined to move any such colony to any State, without first obtaining the consent of its Government, with an agreement on its part to receive and protect such emigrants in all the rights of freemen; and I have, at the same time, offered to the several States situated within the tropics, or having colonies there, to negotiate with them, subject to the advice and consent of the Senate, to favour the voluntary emigration of persons of that class to their respective territories, upon conditions which shall be equal, just, and bumane. Liberia and Hayti are as yet the only countries to which colonists of African descent from here could go with certainty of being received and adopted as citizens; and I regret to say such persons, contemplating colonization, do not seem so willing to migrate to those countries as to some others, nor so willing as I think their interest demands. I believe, however, opinion among them in this respect is improving; and that, ere long, there will be an augmented and considerable migration to both these countries from The United States.

The new commercial Treaty between The United States and the Sultan of Turkey has been carried into execution.

A Commercial and Consular Treaty has been negotiated, subject to the Senate's consent, with Liberia; and a similar negotiation is now pending with the Republic of Hayti. A considerable improvement of the national commerce is expected to result from these measures.

Our relations with Great Britain, France, Spain, Portugal, Russia, Prussia, Denmark, Sweden, Austria, The Netherlands, Italy, Rome, and the other European States, remain undisturbed. Very favourable relations also continue to be maintained with Turkey, Morocco, China, and Japan.

During the last year there has not only been no change of our previous relations with the independent States of our own continent, but more friendly sentiments than have heretofore existed are believed to be entertained by these neighbours, whose safety and progress are so intimately connected with our own. This statement especially applies to Mexico, Nicaragua, Costa Rica, Honduras, Peru, and Chile.

The Commission under the Convention with the Republic of New Granada closed its session, without having audited and passed upon all the claims which were submitted to it. A proposition is pending to revive the Convention, that it may be able to do more complete justice. The joint Commission between The United States and the Republic of Costa Rica has completed its labours and submitted its report.

I have favoured the project for connecting The United States with Europe by an Atlantic telegraph, and a similar project to

extend the telegraph from San Francisco, to connect by a Pacific telegraph with the line which is being extended across the Russian Empire.

The territories of The United States, with unimportant exceptions, have remained undisturbed by the civil war; and they are exhibiting such evidence of prosperity as justifies an expectation that some of them will soon be in a condition to be organized as States, and be constitutionally admitted into the Federal Union.

The immense mineral resources of some of those territories ought to be developed as rapidly as possible. Every step in that direction would have a tendency to improve the revenues of the Government, and diminish the burdens of the people. It is worthy of your serious consideration whether some extraordinary measures to promote that end cannot be adopted. The means which suggests itself as most likely to be effective, is a scientific exploration of the mineral regions in those territories, with a view to the publication of its results at home and in foreign countries-results which cannot fail to be auspicious.

The condition of the finances will claim your most diligent, consideration. The vast expenditures incident to the military and naval operations required for the suppression of the rebellion, have hitherto been met with a promptitude and certainty unusual in similar circumstances, and the public credit has been fully maintained. The continuance of the war, however, and the increased disbursements made necessary by the augmented forces now in the field, demand your best reflections as to the best modes of providing the necessary revenue, without injury to business, and with the least possible burdens upon labour.

The suspension of specie payments by the banks, soon after the commencement of your last session, made large issues of United States' notes unavoidable. In no other way could the payment of the troops, and the satisfaction of other just demands, be so economically, or so well provided for. The judicious legislation of Congress, securing the receivability of these notes for loans and internal duties, and making them a legal tender for other debts, has made them an universal currency; and has satisfied, partially, at least, and for the time, the long-felt want of an uniform circulating medium, saving thereby to the people, immense sums in discounts and exchanges.

A return to specie payments, however, at the earliest period compatible with due regard to all interests concerned, should ever be kept in view. Fluctuations in the value of currency are always injurious, and to reduce these fluctuations to the lowest possible point will always be a leading purpose in wise legislation. Convertibility, prompt and certain convertibility into coin, is generally

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