The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1872-05-06
An Extraordinary Proceeding in
the State Department.
ENGLAND'S PEACE PROPOSITION.
The President and the Foreign Relations
Committees in Consultation.
Minister Schenck's lnstruc-
tons To Be Withdrawn.
Earl Granville's Suggestion That Neutrals
Shall Not Be Liable for Indirect
Damages Unacceptable.
SECRETARY FISH'S EXPLANATION
The Committees Dissatisfied and
Refuse All Responsibility.
The Claims Must Be Pre-
scented at Geneva.
The President Seeks Support, Not
Advice.
The Democracy Savage and
Indignant.
The Committees Dissatisfied and
Refuse All Responsibility.
The Claims Must Be Pre-
sented at Geneva.
The President Seeks Support, Not
Advice.
The Democracy Savage and
Indignant.

WASHINGTON, May 5, 1872.
As announced in these dispatches OF Friday last,
the republican members OF the Senate COMMITTEES on
Foreign Relations, Messrs Cameron, Harlan, Ham
lin, Patterson and Morton, and Of the House CON-
mittee on Foreign Affairs, Messrs. Banks, Packard,
Amber, Willard, Myers and DUEL, were
invited to meet the Secretary OF State
ing at ten O'Clock to consult upon the
complications which have arisen out of the Ala
bama claims. The President arrived at the De-
partment before ten O'Clock, and the others were
promptly on hand. The meeting was held in the
Office of the Secretary, who had gathered from the
archives the secret and important diplo-
matte correspondence on the whole sub
ject. The different stages OF the negotiations
were fully shown until it came to the last and
most important. This was the attempt OF the
State Department to induce Minister Schenck to so
represent to Earl Granville that, If the British
government would propose to establish
an international principle covering the liza.
biity OF neutral for consequential
damages, 1t would be fa-srably considered hy
the United States and might end the controversy
in which the Alabama claims had unfortunately
been involved. The British Cabinet at their session
on Thursday last fully discussed the last letter OF
Mr. Fish and the suggestion OF Minister Schenck,
which resulted In Earl Granville sending to
Minister Thornton the proposition for the peaceful
solution OF the whole matter. This proposition was
made known to Mr. Fish on Friday morning and Is
substantially as folows:-
The United States withdraws her claims for con-
sequcntial damages from the Geneva Tribunal,
Great Britain still maintaining that they are outside
Ofts provisions that in future whenever either
party is belgerent and the other neutral the
neutral shall not be held responsible for indirect
consequential damages In claims arising In q
similar manner and under similar circumstances
with the claims to which the Treaty OF washington
alone refers. This proposition, widely different from
the expected, was not less embarrassing to the
President than the original trouble, and was such
complete surprise that he did not feel the con-
fdence In the Secretary OF State that he thought
the Executive should have under such circum-
stances. Finding that diplomacy had actually
failed to accomplish this important point,
the President was compelled to call In the
administration members OF the committees
referred to. He plainly stated that he was anxious
to the treaty, but not at the sacrifice of any
principle; that having failed to obtain the propo-
sal expected from Great Britain he was in favor of
withdrawing Minister Schcncks instructions and
leaving the whole question a. in the beginning,
before the Geneva Tribunal, where it properly be-
longed.
The republican members Of the House Committee
stated quite as plainly that they thought the ques
ton OF consequential damages should never have
been put In our case, but as they were there and
the honor OF the nation was involved,
they were willing to do anything consistent
with their position to strengthen tho Presi-
dent in the stand It might be necessary
to take. The President said that 1t not for him
to say what should be the nnal attitude OF the
country; while he recognized the authority con-
ferred he was anxious that the immediate repre-
sentatives Of the people should know the true con-
dition OF AFFAIRS and he relied upon the committees
to stand by him In case it should be necessary to
abandon the treaty altogether The proposition made
was positively unacceptable, and could not be en-
tertained for a'moment. It was suggested by one
of the committee that it was rather an extraor-
binary proceeding to call in the members Of the
committee at this stage OF affairs, when advice was
worthless and suqpestlons uselesa
Secretary Fish explained that the consultation
was an innovation on the practice OF the admins
tration, and not to be considered as calling for
advice, but for support from the dominant party.
This remark brought from Mr.. Amber, OF Ohio,
the plain statement that IL the support
expected was Just the democratic MEN,
bers OF the committee should have been
invited to participate in the consultation. For
his part he would not mperil the interests Of the
republican party by advocating policy inimical to
the success OF the party. Mr.. Willard agreed with
him, and positively declared that the mistakes OF
The administration could not he fastened on
the party by any measure OF expedlency.
This unexpected declaration from two mem.
bcrs OF the Committee on Foreign Affairs. who. with