Worcester daily spy. [volume] (Worcester [Mass.]) 1850-1888, 1862-06-28
General Butler and the Foreign COnsuIs.
INTERESTING CORRESPONDENCE.
New ORLEANS, June II, 1862.

NEW ORLEANS, June IL, lCOZ.
Str.-It has been represented to the under
signed by Mr.. COyas, of the commercial firm
of Covas & Negroponte, carrying on business
in this city, that certain sugars bought by that
firm, conformity with Messrs Rail-, Benachi,
&Co., also carrying on business here, are not
allowed to be sold or taken from the place in
which said sugars are stored, without further
orders from you.
We beg here to state that Mr. Covas repre-
sents to the undersigned that the sugars in
question, 1905 hogsheads, have been bought
for, and are the property of British, French,
and Greek subjects, and with which fact you
are already acquainted
The purchases of these sugars were effected
at various times, ranging from January to
March last, paid for at the time of purchase,
in the usual manner in which such business is
carried on here by foreign commercial houses
when purchasing for account OF distant part
les, i. G., by the proceeds of bills of exchange
drawn by the purchaser here upon the bona
file owner of the produce.
These transactions were strictly mercantile,
and feeling assured by the proclamation is
sued by you under date of May l, had they
had any fears before that this, the property of
foreigners, was safe and would be accorded
that protection, as stated in the proclamation,
had been granted heretofore to such property,
under the United States laws, the purchas crs
of these sugars were anxious to ship them at
time when other such shipments were being
made; but, by your order, as stated above,
were prevented, thereby entailing upon the
foreign owners great loss. But as the under
signed are disposed to waive all past proceed
ings, they beg that the order not permitting
the removal OF the produce in question be re-
Scinded, and that the sugars be at the disposal
f,f tla, do ,-itl ti,a,r
may seem fit, or that the undersigned, if com
patible, in consideration of the interests con-
| cerned be placed in possession of the facts
| which caused such order to be issued, the en-
| forcing and existence of which materially re.
| tards and stops the legitimate business of our
| country.
We beg TO remain, Sir,
| Your obedent servants,
GEORGE CoPPELL,
II. b. NJ. Acting Consul.
| CH. MEAN, French Consul.
I NJ. w. BENAcHI, Greek Consul.
To Mai. Gen. BENZ. f. BUTLER, Com
handing Department of the Gulf, New Or
leans, La.
HEADQUARTERS, DEPARTMENT OF THE
GULF, New Orleans, June u, 1862 Gentle
men In the matter Of the sugars in the pos
session of Mr.. Covas, who is the only party
known to the United States authorities, /
have examined with care the statement YOU
have sent me. had information, the sources
of which you will not expect me to disclose,
that Mr. Covas had been engaged in buying
confederate notes, giving for them sterling
exchange, thus transferring abroad the credit
of the states in the rebellion, and enabling
these bills of credit to be converted into bull
lion to be used there, as it has been, for the
| purpose of purchasing arms and munitions of
war. That Mr.. Corvas was one of and the
agent Of an association or company Of Greek
| merchants residing here, in London and in
| Havana, who had set apart large fund for
this enterprise. That the confederate notes
SO purchased by Mr.. Covas had been used in
the purchase of sugars and cotton, of which
tine sugars in question, in value almost $780,
900, are part. directed Mr.. COvas to hold
these sugars until this matter could be inves-
tigated | am satisfied of the substantial
truth of this information. Mr.. Covas' own
books will show the important facts that he
| sold sterling exchange for confederate treas
ury notes, and then bought these sugars with
| the notes.
Now this is claimed to be "strictly mer-
camille" 1t will not be denied that the sugars
were intended for foreign market Bnt the
| government of the United States had said that
with the port of New Orleans there should be
no "strictly mercantile transaction. 1t
would not be contended for moment that
the exchanging of specie for confederate
treasury notes, and sending the specie to Eu-
rope, to enable the rebels to buy arms and
munitions Of war there, were not breach of
the blockade, as well as u violation of the neu-
trality laws and the proclamation of their
maesties the queen Of Great Britain and the
emperor of France. What distinguishes the
two cases, save that drawing the sterling bills
is a more safe and convenient way of eluding
the laws than sending bullion in specie, and
thus assist the rebellion in point Of its utmost
need?
1t will be claimed that to assist the rebel
lion was not the motive. Granted "causa ar
gu0aeHtt !" 1t was done from the desire Of
! gain, as doubtless all the violations of neu-