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should think it advisable to forward the same. I would repeat that the heirs of the late Baron de Thomsen are willing to abide by the laws of this state and pay what is due to the government. The latter, however, is asking an extortionate sum in an arbitrary and illegal way; the law states that only if proof exists that the statement rendered is false, action can be taken against the heirs.

My counsel informs me, however, that the State government will not heed the laws; that for reasons best known to the authorities the latter will enforce their demands, even employing forcible and arbitrary means if the law is against them, irrespective of any consequences of their action, as has been done before, and I was therefore advised to ask the protection of my Government. It is only with great reluctance that I have now taken this step, but the question being one of the greatest importance, I respectfully request you to inform the United States minister, Col. Charles Page Bryan, of the occurrence, laying the whole matter before him in order to ascertain whether the minister can advise me in the matter, or possibly take steps to prevent arbitrary and illegal action by the State authorities who threaten to embarrass the firm I represent, and whose interest is left to my care, in the most serious way: It can be easily understood that attaching the firm's property at random would interfere with its business and may seriously hurt its credit. Our interests here, as well as in the United States, are quite important, and I can not allow the government of this State to inferfere with the same in an illegal and arbitrary way, but have no other means of defending the firm's and my interest, but appeal to the United States Government, asking their representative to take my case into consideration, and if found worthy, of which I am convinced, kindly render me such assistance as the case requires. Believe me, etc.,

Edw. H. MÜLLER,
Resident Partner at Rio Grande do Sul of the

Firm of Thomsen & Co.

[Inclosure 2.)

Mr. Bryan to Mr. Vereker, consular agent.

LEGATION OF THE UNITED STATES,

Petropolis, August 4, 1902. SIR: In reference to the Thomsen case I beg leave to acknowledge the receipt of your letters of July 12 and July 26, and of your telegram of July 25, and also of the following inclosures: Mr. Edward H. Müller's letter to you of July 12, his reclamation directed to me of the same date, and his letter of July 25.

On receipt of your telegram of July 25, I directed a telegram a to Governor Medei. ros, to which I 'received a favorable reply.a Copies of both telegrams are inclosed herewith. On July 26 I received a telegrama from the gentleman who I presume is the attorney for the Thomsen heirs in the United States. Of this also I inclose a copy. Up to this time I had received no instructions from my Government, and my action in telegraphing Governor Medeiros was, strictly speaking, not official. On July 31, during my absence, there was received at the legation a telegram a from the Secretary of State in Washington in regard to this matter, a copy of which I send you herewith.

Mr. Dawson at once went to Rio and saw the minister for foreign affairs, requesting him to represent to the State authorities of Rio Grande do Sul the advisability of reaching an amicable agreement with Mr. Müller, since, as you know, the Executive of Brazil has no power to interfere with the administration of justice by the courts. Any telegram sent by Minister Magalhaes would be necessarily nonofficial and in the form of a request and advice, not as an order. You will theretore see the necessity of you and Mr. Müller not allowing anyone else to know of the fact of Minister Magalhaes having sent the telegram. On August 2 I saw the minister myself and he guardedly told me that he had sent a telegram personally and unofficially in regard to the matter.

I sincerely hope that Mr. Müller will reach an amicable solution of the difficulty with the procurador and that in case the latter still refuses to come to any compromise, you and Mr Müller will go to Porto Alegre and see the minister of justice.

It is the rule of international law that a diplomatic intervention can not be made as long as the matter is pending in the courts. If the penhora should be enforced, Mr. Müller would almost certainly have a clear right to make a formal reclamation. In the present status of the matter the attitude of the legation and of the consulate

a Printed, ante.

must be that of friendly representations with a view to avoiding the necessity of such a reclamation.

Please communicate the contents hereof to Mr. Müller in acknowledgment of his letters, and assure him that I will continue to make every effort on his behalf. I I am, etc.,

CHARLES PAGE BRYAN,

Mr. Bryan to Mr. Hay. No. 439.]

LEGATION OF THE UNITED STATES,

Petropolis, Brazil, August 5, 1902. SIR: Referring to my No. 438, I bave the honor to send herewith inclosed a copy of a letter just received from Mr. Jorge Vereker, the American consular agent at Rio Grande do Sul, in which he reports that the State authorities have ordered that proceedings against the firm of Thomsen & Co. be for the present suspended. I have, etc.,

CHARLES PAGE BRYAN.

(Inclosure.)

Mr. Vereker to Mr. Bryan.

CONSULAR AGENCY OF THE UNITED STATES,

Rio Grande do Sul, July 31, 1902. Sir: Confirming my respects of the 26th instan I beg to acknowledge the receipt of your telegram of same day:

Request authorities await my written answer;' and of the 28th:

“Pedi intercessão presidente Estado assumpto Thomsen."

I have spoken on the subject to Mr. Hon. Marques Vaz de Carvalho, clerk of the state revenue board of this town and acting as especial attorney for the treasury department of this State, here, who has iniormed me that on the 28th instant he received instructions, by telegram from Porto Alegre, to suspend for the present the proceedings against the firm of Thomsen & Co. in relation to the inheritance tax due by the heirs of the Barão de Thomsen. Very respectfully, yours,

JORGE VEREKER.

Mr. Bryan to Mr. Hay.

No. 454.]

LEGATION OF THE UNITED STATES,

Petropolis, September 15, 1902. Sir: In reference to the Department's telegraphic instruction of July 30 and to my No. 438 of August 4, regarding the appeal of E. H. Müller for Thomsen & Co., of Rio Grande do Sul, against an attachment threatened by the local authorities in the event of his failing to pay an exorbitant inheritance tax, I have the honor to send herewith a copy of a letter from Consular Agent Vereker. He therein communicates the gratifying information that Mr. Müller with his attorney bas proceeded to Porto Alegre, the State capital, there, pursuant to my advice, to seek a compromise through the executive. I have, etc.,

CHARLES PAGE BRYAN.

[Inclosure.)

Mr. Vereker to Mr. Bryan

CONSULAR AGENCY OF THE UNITED STATES,

Rio Grande do Sul, September 4, 1902. SIR: I beg to acknowlege the receipt of your letter of the 4th ultimo concerning the Thomsen case.

Mr. Edward H. Müller has been informed of the contents of the same, and he has requested me to transmit his thanks to you for the interest you have taken in connection with this affair. He received in due time your message communicating that the governor had promised delay, for which he is obliged.

By the steamer Itaperuna, which left our port this afternoon, he proceeded to Porto Alegre, where, together with his attorney, he will endeavor to arrive at a reasonable agreement with the State authorities in reference to the inheritance tax to be paid by the heirs of the Barão de Thomsen.

Mr. Müller's lawyer at Porto Alegre is in friendly relations with the President and other members of the Government; I considered therefore it would not be of great value my going up there. I am, etc.,

JORGE VEREKER.

Mr. Bryan to Mr. Ilay.

[Telegram.- Paraphrase.)
LEGATION OF THE UNITED STATES,

Rio de Janeiro, September 27, 1902. . (Mr. Bryan reports amicable settlement of Thomsen case.)

Mr. Bryan to Mr. Hay. No. 455.]

LEGATION OF THE UNITED STATES,

Petropolis, September 27, 1902. Sir: I have the honor to confirm my telegrama of September 27, and the satisfaction to state that through the good offices of the governor of Rio Grande do Sul, which I had sought, the heirs of Baron Thomsen have effected a final arrangement with the State as to the terms of payment of their inheritance tax. I inclose herewith a letter from the American consular agent at Rio Grande do Sul reporting the amicable closing of the case. I have, etc.

CHARLES PAGE BRYAN.

[Inclosure.)

Mr. Vereker to Mr. Bryan.

CONSULAR AGENCY OF THE UNITED STATES,

Rio Grande do Sul, September 20, 1902. Sir: Confirming my respects of the 4th instant, I now take leave to apprise you that Mr. Edward H. Müller returned yesterday from Porto Alegre, where he came to an arrangement with the secretary of the treasury by paying into that department the sum of Rs. 35,000$000 as inheritance tax on the estate of the Barão de Thomsen, in Rio Grande do Sul, on the understanding that he should have the right of recovering

a Printed, ante. FR 1902, PT 1-8

any excess paid if it be proved by the books when sent back here that the amount due by the heirs is less than that, the Government being in like manner entitled to any deficiency if it be otherwise. I am pleased that this case has been amicably settled. Very respectfully, yours,

JORGE VEREKER, Consular Agent.

Mr. Hay to Mr. Bryan.

No. 296.]

DEPARTMENT OF STATE,

Washington, October 6, 1902. SIR: Referring to your telegram of the 27th ultimo, stating that the Thomsen case had been settled, I now take pleasure in transmitting a copy of an appreciative letter from Messrs. Dickerson, Brown & Raegener, Mr. Thomsen's attorneys. I am, etc.

JOHN HAY.

[Inclosure.]

Dickerson, Brown & Raegener to the Secretary of State.

New York, October 1, 1902. Sir: In the name of our client, Mr. H. A. Thomsen, and in our own behalf, we hereby express our thanks to the Department of State and to the United States minister to Brazil for their prompt and energetic assistance, without which a settlement would have been impossible and but for which a valuable business would have been ruined. I have the honor, etc.

DICKERSON, BROWN & RAEG ENER.

INAUGURATION OF PRESIDENT ALVES-ADDRESS OF UNITED STATES MINISTER AND PRESIDENT'S REPLY-EXCHANGE OF COURTESIES BETWEEN OFFICERS OF U. S. S. IOWA AND BRAZILIAN OFFICIALS.

Mr. Bryan to Mr. Hay.

No. 470.]

LEGATION OF THE UNITED STATES,

Petropolis, November 18, 1902. Sir: I have the honor to inclose herewith my remarks as dean of the diplomatic corps at the reception of the President to the foreign representatives on the day of his inauguration, and the answer of Dr. Rodrigues Alves, with translations of these addresses. I have, etc.,

CHARLES PAGE BRYAN.

[Inclosure 1.]

Translation of Mr. Bryan's address. MR. PRESIDENT: The members of the diplomatic corps accredited to the Government of Brazil come, on this anniversary so prized in your history, to wish Your Excellency the most complete success in the discharge of this most honorable office which has been intrusted to you.

We desire for this vast country an increasing prosperity under the wise administration of Your Excellency, to whom at the same time we wish all personal happiness. Those of us who have the good fortune to be present at your accession to power shall follow with sincere interest and sympathy the continued development of Brazil, a development which we hope to see crown the most brilliant ambitions of a people so richly endowed, as well as every ardent desire of Your Excellency for this great Republic.

It is the earnest prayer of the representatives of all our countries that your national strength may be such as will best assure the permanent peace and prosperity of the nation.

[Inclosure 2.]

Translation of the President's answer.

MR. MINISTER: It is with real satisfaction that I have received the courteous expressions of friendship which the members of the diplomatic corps have addressed to me on this memorable day, and I am grateful for the sincere interest which they manifest in the prosperity of my administration in the Government which I am assuming in obedience to the will of my fellow-citizens.

I shall do all that is in my power to maintain unchanged the relations of cordial friendship which happily now exist between our countries, and in furthering this end I hope that I shall not lack the effective help of the diplomatic representatives here present.

I thank them for their presence on this occasion and I reciprocate their wishes for the peace and prosperity of Brazil and for my personal happiness.

Mr. Bryan to Mr. Hay. No. 471.]

LEGATION OF THE UNITED STATES,

Petropolis, November 18, 1902. Sir: I have the honor to report that the presence of the Iowa in the harbor of Rio de Janeiro during the ceremonies connected with the inauguration of the new president has created an altogether favorable impression among all classes. It gave me an opportunity of calling the attention of the retiring and incoming Presidents to the absurd misrepresentations of the jingo opposition journals. These had stated, prior to the Iowa's coming here, that the great battle ship was bound on a threatening errand to the high waters of the Amazon.

The American naval officers appeared at a ball given by myself at our legation and at all the functions of these days of celebration, representing the navy of our country in a most creditable manner and gaining golden opinions for their fine tact and handsome bearing. The entertainment which they gave aboard the Iowa November 17 was exceedingly well arranged, and was largely attended by Brazilian officials and society. The President of the Republic visited the Iowa on this day and repeatedly expressed to me his warm acknowledgments for the honor of our great battle ship's presence at his inauguration. I have, etc.,

CHARLES PAGE BRYAN.

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