26 August, 1863.
In the case of the Mont Blanc, seized by Commander Collins at Sand Cay as a prize, the Court decreed: “That the cause of the U. S. against the schooner ‘Mont Blanc’ and cargo, having come on to be heard, it is ordered by consent of all the parties interested that the vessel and cargo be restored to the claimant for the benefit of whom it may concern; that there was probable cause for the capture and detention of the vessel, and that each party pay his own costs.”
The proper tribunal having thus disposed of the question as between the parties, a further claim is presented by the British Government for damages for violated sovereignty, and the Secretary of State, who has communicated with Her Majesty's representative on this subject, having desired me to designate some person at Key West to confer with Vice Consul Butterfield on the matter of damages, I have presented your name to him for that duty.
The case being, in its present position, one of a political nature, the Secretary of State will furnish you with the necessary instructions, should the subject be prosecuted.
I am, respectfully,
Your Obd't Serv't
Secty. of the Navy.
Acting Rear Admiral T. Bailey,
Commd'g. E. G. B. Squadron,
SOURCE: Gideon Welles, Diary of Gideon Welles, Secretary of the Navy Under Lincoln and Johnson, Vol. 1: 1861 – March 30, 1864, p. 427