War of the Rebellion: Serial 115 Page 1180 PRISONERS OF WAR, ETC.

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my own benefit and that of my friends. The motive for this concoction of a series of falsehoods which were inevitably to be exposed in a very short space of time seemed difficult to divine. The explanation came almost on the heels of the charge. Lord Russell's note to Lord Lyons of the 19th of December gave his version of the conversation held on that day. The case was clear to all eyes. But to this day the Post has made to retraction of its statement, has not assigned the smallest justification for making them, neither has it disclaimed the authority upon which they are imputed to have been made.

So great has been the effect of these disclosure in inspiring a belief that there was an intention somewhere to bring on a war that it is not impossible it may be made the basis of some preoceedings at the approching session of Parliament. You will doubtless also perceive that Lord Russell's note of our conversation of the 19th differs in some particulars from that which I had the honor to submit to you in my dispatch of the 20th of December, Numbers 93. The reason for this is to be traced to the distiction which his lordship voluntarily drew between my official and unofficial character at the outset. I understood him as intending to answer my two questions only in my private capacity as a person desirous of making my own arrangements in certain contingencies. For that reason I did not consider the part of the conversation relating to them as needing to be reported.

The other portion of his note touching the substance of your dispatch substantially agrees with mine. The causal opinions extressed about the policy of the respective countries were not regarded by me as part of the official language though I have not the least objection to their publication. Whilst his lordship was about it he might as well have inserted his reply to my reference to the part taken by the Government of Great Britain in of 1804-9, which was in substance that there were many things said and done by them fifty or sixty years ago which he might not undertake to enter into a defence of now-all which was said pleasantly on both sides without an idea that the official conference was not closed. Yet so difficult is it to retain in the memory a district line between formal and causal conversation that I have no disposition in any way to call in question his report which so far as it goes is undeniably more acurate than my own.

What I have here written about it is to account to you for what might otherwise appear an omission of duty on my part.

I have the honor to be, sir, your obedient servant,



London, January 17, 1862.

Honorable WILLIAM H. SEWARD, Secretary of State, Washington.

SIR: * * * I have reason to believe that the removal of the casus belli in the Trent affair has proved a most serious obstacle in the way of all the calculations made by the party disposed to sow dissention between the two counties.

The exprectations that have been raised of a pressure form the manufacturing classes to break the blokade in order to obtain cotton are likewise declining. The stock is yet quite large, and taken in conjunction with what is known to be coming it is believe to be sufficient to keep the mills going at the present rate for six months longer. The large manufactures have become pretty well reconciled tothe reduction of their product, from a conviction that the business had already