Friday, May 29, 2020

Major-General Benjamin F. Butler to Edwin M. Stanton, May 16, 1862

HEADQUARTERS DEPARTMENT OF THE GULF,                  
New Orleans, May 16, 1862.
Hon. E. M. STANTON,
Secretary of War:

SIR: Since my dispatch of May 8* I received information that a large amount of specie was concealed in the liquor store of one Am. Couturie, who claims to be consul for the Netherlands. Upon applying to him, he denied all knowledge of it; claimed all the property there as his own. Upon examination, however, there was discovered to be $800,000 in Mexican coin bearing the mark of the Citizens' Bank of New Orleans, the specie capital of which had been elongated before the occupation of the city. Of this I took possession. This money was immediately claimed by Hope & Co., of Amsterdam. A copy of the claim of the agent is herewith transmitted, marked A. But the whole transaction seems to be tinctured with bad faith, as the steel dies and plates of the bank were found in a box amongst this very specie, which is said to have been paid to Hope & Co. before it was due, while the bank was refusing to redeem their bills at home in coin. I hold the specie subject to the orders of the Department. I send also copies of the correspondence between the consul of the Netherlands and myself, and also of the other consuls, upon the same subject, marked B, C, D, E, F, [G].

Indeed, the claims of these consular gentlemen are most extravagant. Men who have lived here all their lives now claim perfect immunity from the ordinary laws of war for themselves and all property which they can cover, although they have been in arms against the United States. Many of these pretensions are too absurd to be for a moment entertained. Amongst other things it is claimed that the consulate flag and consulate have all and more than all of the privileges accorded to residence of a minister plenipotentiary and envoy extraordinary by the laws of nations.

Almost all property, therefore, useful to the United States which has not been burned or carried off will be found to be held here by persons who have lived in Louisiana all their lives, but now claim to be foreigners. Every schooner and fishing smack that cannot venture out of the river raises a foreign flag. All wood for steamers for miles up the river has been burnt, except isolated yards, and in one instance the owner refused to sell one of my boats any wood, and when the officer went to take it hoisted the French flag over it. The steamer wooded up, however.

May I ask direction of the Department on this subject? I call attention in this communication to the correspondence between a person claiming to be acting British consul here and myself relative to the British Guard, the military organization that sent their arms and equipments to General Beauregard after the city was taken. The whole facts are set forth in that correspondence, marked H. I have neither doubt nor hesitation in regard to my action in the premises.

Immediately upon my seizure of the money of the Citizens' Bank I had an interview with the representatives of all the banks of New Orleans. On the approach of the fleet these organizations had sent away and concealed their specie. The letters marked K will explain what has been done. They are now very anxious to get their money back again, are straining every nerve to do so in the best of faith, and are asking me to actively aid them, which I am doing. I thought it much better that ten or twelve millions of specie should be brought within our lines, under our protection and control, than to be left in the Confederate States as a military chest for the rebels. My fear is that a large portion of the money is lost, as it may never be allowed to return.

You will observe that in the letter to the banks, marked K, I have not pledged myself not to "retake" from them the property of the United States. I refer to the specie originally stolen from the mint and treasury here and paid into banks by the secession authorities. I would desire to know these amounts from the bureaus at Washington. I propose the banks shall pay back the amounts so received. When I have traced stolen property to the receiver I have done my duty. The sureties of the several U.S. officers who made these defalcations then are still here, and by prompt action their property may be seized and their indebtment secured.

Will copies of the bonds be sent?

*          *          *          *          *          *          *          *          *          *

I have the honor to be, very respectfully, your obedient servant,

BENJ. F. BUTLER,              
Major-General, Commanding.
_______________

* See Series 1, Vol. VI, p. 506.

Portions of letter here omitted relates more particularly to military operations & is printed in Series I, Vol. XV, pp. 422-4.
_______________

[Sub-inclosures.]

A.

B.

C.

D.

E.

F.
Amedée Couturie:Statement of Facts: May 13, 1862 — 11 a.m.

G.

H.

K.

SOURCE: The War of the Rebellion: A Compilation of the Official Records of the Union and Confederate Armies, Series III, Volume 2 (Serial No. 123), p. 116-7, Sub-inclosures, p. 117-130

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