who may die in the territories of the Republic of Nicaragua, in convenient and adequate places, to be appointed and established by themselves for that purpose, with the knowledge of the local authorities, or in such other places of sepulture as may be chosen by the friends of the deceased; nor shall the funerals or sepulchres of the dead be disturbed in any wise or upon any account.

In like manner, the citizens of Nicaragua shall enjoy within the dominions of Her Britannic Majesty a perfect and unrestrained liberty of conscience, and of exercising their religion within private houses, or in the chapels or places of worship appointed for that purpose, agreeably to the laws of those dominions.

XVIII. For the better security of commerce between the subjects and citizens of the two High Contracting Parties, it is agreed that if at any time any rupture or interruption of friendly intercourse should unfortunately take place between the two Contracting Parties, the subjects or citizens of either of them, established in the territories of the other, who may reside upon the coasts, shall be allowed 6 months, and those who may reside in the interior a whole year, to wind up their accounts and to dispose of their property; and a safe-conduct shall be given to them to embark at the port which they themselves shall select. The subjects or citizens of either of the two Contracting Parties who may be established in the dominions or territories of the other, in the exercise of any trade or other occupation or employment, shall be allowed to remain and continue in the exercise of the said trade or occupation, notwithstanding the interruption of friendship between the two countries, in the free enjoyment of their personal liberty and property, so long as they behave peaceably and observe the laws; and their goods and effects, of whatever description they may be, whether in their own custody or entrusted to individuals or to the State, shall not be liable to seizure or sequestration, or to any other charges or demands than those which may be made upon the like effects or property belonging to native subjects or citizens. In the same case, debts between individuals, public funds, and the shares of Companies, shall never be confiscated, sequestered, or detained.

XIX. It shall be free for each of the two Contracting Parties to appoint Consuls for the protection of trade, to reside in the dominions and territories of the other Party; but before any Consul shall act as such, he shall, in the usual form, be approved and admitted by the Government to which he is sent; and either of the Contracting Parties may except from the residence of Consuls such particular places as either of them may judge fit to be excepted.

The Diplomatic Agents and Consuls of each of the two High Contracting Parties in the dominions or territories of the other, shall enjoy whatever privileges, exemptions, and immunities are or

shall be granted there to Agents of the same rank belonging to the most favoured nation.

XX. The Republic of Nicaragua hereby grants to Great Britain, and to British subjects and property, the right of transit between the Atlantic and Pacific Oceans, through the territories of that Republic, on any route of communication, natural or artificial, whether by land or water, which may now or hereafter exist or be constructed under the authority of Nicaragua, to be used and enjoyed in the same manner and upon equal terms by both parties, and their respective subjects and citizens; the Republic of Nicaragua, however, reserving its full and complete right of sovereignty over the same; and, generally, the Republic of Nicaragua engages to grant to Great Britain and to British subjects the same rights and privileges, in all respects, in regard to the transit and the rates of transit, and also as regards all other rights, privileges, or advantages whatsoever, whether relating to the passage or employment of troops, or otherwise, which are now or may hereafter be granted to, or allowed to be enjoyed by, the most favoured nation.

XXI. Her Majesty the Queen of the United Kingdom of Great Britain and Ireland hereby agrees to extend her protection to all such routes of communication as aforesaid, and to guarantee the neutrality of the same. Her Britannic Majesty also agrees to employ her influence with other nations to induce them to guarantee such neutrality and protection.

And the Republic of Nicaragua, on its part, undertakes t› establish two free ports, one at each of the extremities of the communication aforesaid, on the Atlantic and Pacific Oceans. At these ports no tonnage or other duties shall be imposed or levied by the Government of Nicaragua on the vessels of Great Britain, or on any effects or merchandize belonging to subjects of Great Britain, or of any other country, intended bond fide for transit across the said route of communication, and not for consumption within the Republic of Nicaragua. Her Britannic Majesty shall also be at liberty, on giving notice to the Government or authorities of Nicaragua, to carry troops (provided they are destined for a British possession or places beyond sea, and are not intended to be employed against Central American nations friendly to Nicaragua) and munitions of war, and also to convey criminals, prisoners, and convicts, with their escorts, in her own vessels or otherwise, to either of the said free ports, and shall be entitled to their conveyance between them, without obstruction by the authorities of Nicaragua, and without any charges or tolls whatever for their transportation, on any of the said routes of communication. And no higher or other charges or tolis shall be imposed on the conveyance or transit of the persons and property of subjects of Great [1859-60. L.]

N

Britain, or of the subjects or citizens of any other country, across the said routes of communication, than are or may be imposed on the persons or property of citizens of Nicaragua.

And the Republic of Nicaragua concedes the right of the Postmaster-General of Great Britain to enter into contracts with any individuals or companies to transport the mails of Great Britain along the said routes of communication, or along any other routes across the Isthmus, in closed bags, the contents of which may not be intended for distribution within the said Republic, free from the imposition of all taxes or duties by the Government of Nicaragua ; but this liberty is not to be construed so as to permit such individuals or Companies, by virtue of this right, to transport the mails, to carry also passengers or freight, except any messenger deputed by the British Post-Office in charge of mails.

XXII. The Republic of Nicaragua agrees that, should it become necessary at any time to employ military forces for the security and protection of persons and property passing over any of the routes aforesaid, it will employ the requisite force for that purpose; but upon failure to do this for any cause whatever, Her Britannic Majesty may, with the consent or at the request of the Government of Nicaragua, or of the Minister thereof, at London or Paris, or of the competent legally-appointed local authorities, civil or military, employ such force for this and for no other purpose; and when, in the opinion of the Nicaraguan Government, the necessity ceases, such force shall be immediately withdrawn.

In the exceptional case, however, of unforeseen or imminent danger to the lives or properties of British subjects, Her Majesty's forces are authorized to act for their protection without such previous consent having been obtained.

XXIII. It is understood, however, that Her Britannic Majesty, in according protection to such routes of communication, and guaranteeing their neutrality and security, always intends that the protection and guarantee are granted conditionally, and may be withdrawn if Her Britannic Majesty should deem that the persons or Company undertaking or managing the same adopt or establish such regulations concerning the traffic thereupon as are contrary to the spirit and intention of this Treaty, either by making unfair discriminations in favour of the commerce of any other nation or nations, or by imposing oppressive exactions or unreasonable tolls upon mails, passengers, vessels, goods, wares, merchandize, or other articles. The aforesaid protection and guarantee shall not, however, be withdrawn by Her Britannic Majesty without first giving 6 months' notice to the Republic of Nicaragua.

XXIV. And it is further understood and agreed that, in any grant or contract which may hereafter be made or entered into by

the Government of Nicaragua, having reference to the interoceanic routes above referred to, or any of them, the rights and privileges granted by this Convention to Her Britannic Majesty and to British subjects shall be fully protected and reserved; and if any such grant or contract now exist of a valid character, it is further understood that the guarantee and protection of Her Britannic Majesty stipulated in Article XXI of this Treaty shall be held inoperative and void until the holders of such grant or contract shall recognize the concessions made in this Treaty to Her Britannic Majesty and to British subjects with respect to such interoceanic routes, or any of them, and shall agree to observe, and be governed by, those concessions as fully as if they had been embraced in their original grant or contract; after which recognition and agreement, the said guarantee and protection shall be in full force: provided that nothing herein contained shall be construed either to affirm or deny the validity of any of the said contracts.

XXV. After 10 years from the completion of a canal, railroad, or any other route of communication, through the territory of Nicaragua, from the Atlantic to the Pacific Ocean, no Company which may have constructed or be in possession of the same shall ever divide, directly or indirectly, by the issue of new stock, the payment of dividends, or otherwise, more than 15 per cent. per annum, or at that rate, to its stockholders, from tolls collected thereupon; but whenever the tolls shall be found to yield a larger profit than this, they shall be reduced to the standard of 15 per cent. per annum.

XXVI. It is understood that nothing contained in this Treaty shall be construed to affect the claim of the Government and citizens of the Republic of Costa Rica to a free passage, by the San Juan River, for their persons and property, to and from the ocean.

XXVII. The present Treaty shall remain in force for the term of 20 years from the day of the exchange of ratifications; and if neither Party shall notify to the other its intention of terminating the same, 12 months before the expiration of the 20 years stipulated above, the said Treaty shall continue binding on both parties beyond the said 20 years, until 12 months from the time that one of the Parties may notify to the other its intention of terminating it. XXVIII. The present Treaty of Friendship, Commerce, and Navigation, shall be ratified, and the ratifications shall be exchanged as soon as possible within from this date.

at

In witness whereof the respective Plenipotentiaries have signed the same, and have affixed thereto their respective seals.

Done at

SIR,

No. 155.-The Earl of Malmesbury to Sir W. G. Ouseley. Foreign Office, March 23, 1859. IN your despatches received on the 20th instant, you make no reference to the progress of the negotiation of the Treaty with Nicaragua relative to the Mosquito Indians and the rights and claims of British subjects. The settlement of these questions is a matter of more pressing importance to Her Majesty's Government than the conclusion of the Treaty of Commerce and Navigation, and I trust that the next mail may bring some satisfactory intelligence as to this branch of the negotiation with which you are charged.

You will make the Nicaraguan Government clearly understand that the Treaty of Commerce and guarantee of the neutrality of the interoceanic route will not be ratified without the other Treaty.

Sir W. G. Ouseley.

I am, &c.

MALMESBURY.

No. 156.-The Earl of Malmesbury to Lord Lyons. MY LORD,

Foreign Office, March 31, 1859. I INCLOSE for your Lordship's information a copy of a despatch which I have received from Sir W. Ouseley, relative to the modifications which he admitted in the Treaty of Commerce, signed by him on the 18th of January last, with the Government of Nicaragua.

I also inclose copies of despatches, which I have addressed to him in reply, informing him that Her Majesty will not ratify the Treaty of Commerce without the Treaty relative to the Mosquito territory. Lord Lyons.

I am,

&c.

MALMESBURY.

No. 157.-Sir W. G. Ouseley to the Earl of Malmesbury. (Received April 5.)

(Extract.)

Leon, February 3, 1859. I HAVE taken occasion frequently, since my arrival here, to urge the Nicaraguan Government to conclude without delay the Convention respecting Mosquitia, which was communicated to their Plenipotentiary on the 1st of January.

No written communication has reached me on this subject since that which I had the honour of forwarding in my despatch of the 22nd ultimo, except the note, copy of which is inclosed. I have been verbally and generally assured, however, that this Government is giving its best attention to this important matter; but it is very evident that the late movements of the filibusters, as reported from