seaboard from Cape Gracias almost to Greytown. It is inhabited by negroes, Indians, and a few whites. The English language is spoken; and the people, most of whom are ignorant and indolent, are Protestant to the verge of fanaticism. Their commercial relations are almost entirely with the United States. The principal ruler, formerly designated a king, but in recent years known merely as a chief, is an Indian; but most of the officials are negroes. For a long period the government has been very unstable. Since 1860 there have been several chiefs, some of whom have died under suspicious circumstances. The last one to succeed to the office was Robert Henry Clarence, who was elected in 1891, and who mysteriously disappeared soon after the present trouble commenced. The region is valuable for its products, which include mahogany, rubber, bananas, and pineapples; but it derives its principal international importance from the fact of its proximity to the port of San Juan del Norte (Greytown), the only possible outlet of the projected Nicaragua canal. For this reason the country has been recognized, both by Great Britain and the United States, as "holding the key of the commerce of the world."

As early as 1740 the British had secured a position on the Mosquito coast. At various times their claims to the region have been renounced by treaties, but have afterward been revived. In 1825 they established a protectorate. Trouble with Nicaragua led, in 1848, to the seizure of San Juan by a British force. This movement was resented by the Central American governments and by the United States. Efforts to settle the difficulty resulted in the negotiation, in 1850, of the Clayton-Bulwer treaty between Great Britain and the United States. This provided for the relinquishment on the part of the country first named, of all claims to a right of control or intervention in Central American affairs. In consideration of this surrender, Great Britain was given a joint protectorate over the proposed inter-oceanic canal. There have been many complaints that neither the spirit nor the letter of this treaty has been kept by Great Britain. The latter government had a station at Belize, which by the terms of the treaty it was allowed to retain, but which it proceeded to enlarge; and it also established other posts. În 1860 it negotiated a treaty with Nicaragua, in which it ceded to the latter country all the protectorate claims to the Mosquito country which it had revived, secured to British

subjects political rights, defined the limits of the Mosquito reservation, and guaranteed its autonomy. culties which grew out of this arrangement, which was known as the treaty of Managua, were referred to the emperor of Austria for arbitration. Under this treaty Nicaragua has had a nominal sovereignty of the Mosquito country, but has not had the right to interfere with its government or trade. The actual power has been with the Jamaica negroes who form a large proportion of the population.

For many years there has been a strong effort made by the Nicaraguans, or Spaniards as they are called, to change the protectorate into an actual government. Some of the important conditions of the treaty have been either violated or neglected. The rights of the people of the reservation have been imperilled both by the Nicaraguans, whom the Mosquitos greatly disliked, and by the character of the chiefs, who have usually been intemperate, and who have shown little skill or judgment in managing the affairs of their diminutive government. Many conflicting statements have been made; but the principal facts regarding the outbreak which led to the landing of a British force for the ostensible purpose of repelling Nicaraguan aggression and protecting the people of the reservation, are believed to be substantially as follows:

During the recent war between Honduras and Nicaragua (Vol. 3, p. 793), troops from the latter country entered the Mosquito reservation. The chief protested, and after considerable trouble succeeded in getting the soldiers out of his territory. Soon afterward another invasion of Nicaragua was threatened by the president of Honduras, and troops to the number of from 200 to 400 were again sent into the reservation to resist the attack. The chief made another protest against the occupation of his domain. by an armed force. This action was resented, and on February 11, General Cabeza, the Nicaraguan commander, placed Bluefields under martial law, removed all the officers of the reservation, and hoisted the Nicaraguan flag over the government and public buildings.

The people were alarmed by the presence of so large a force; but, having no adequate means of resistance, submitted without an appeal to arms. By request of the local authorities, who appealed to him for protection, Mr. Hatch, the British vice-consul, caused a force of about fifty men to be landed from the British cruiser Cleopatra. This force, which was stationed at the Bluffs, a few miles from Vol. 4.-6.

the town, had small arms, two Gatling guns, and two or three field pieces. The Nicaraguans objected to this movement as a violation of the Clayton-Bulwer treaty, but offered no direct resistance. The Cleopatra then sailed for Colon to cable for instructions from the home government. During its absence a quarrel occurred between some of the residents and the Nicaraguan troops, and there was great excitement until the British force appeared. Upon the return of the Cleopatra, 150 more marines were landed, and a conference was held, at which the Mosquitos, Nicaraguans, and British were represented. It was decided that the Nicaraguan soldiers should leave, and that an effort should be made to form a provisional government to act until a definite settlement could be effected. In accordance with this decision, most of the Nicaraguan troops were taken on board the Cleopatra, and landed at Greytown. A council was formed, consisting of five members. Of these, three were appointed by General Lacayo, the Nicaraguan commissioner, and two by the United States consul, but they could not agree as to the appointment of officers, and consequently disbanded. The Nicaraguan commissioner remained at Bluefields, and was instructed by President Zelaya to establish an armed patrol of fifty men; but by advice of the British commander, who was practically in control, this order was not obeyed, and an offer of 1,000 men from Nicaragua was declined. The few Nicaraguan soldiers who had been hanging around the city were also sent away. During the progress of these events there had been several riots, but only a few lives were lost.

About the 23d of March great excitement was caused by the report that William Wilson, an American, had been killed at Rama, in Nicaragua, but outside of the Mosquito reservation, and that the governor of the town had committed the murder. About this time matters were still further complicated by a report that Commissioner Lacayo had ceded Corn island to the British, and that as a reward therefor he was to be allowed to take control of the government of the Mosquito reservation. This island is an excellent point for fortification, and commands the entrance to the canal. It has also been regarded as an excellent location for a coaling station, but its importance for this purpose is said to have been greatly overestimated. Up to the close of the quarter the report that the island had been transferred to Great Britain, though often repeated, lacked official confirmation. The British cruiser

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Canada, which had been sent to Bluefields to allow the Cleopatra to proceed on a northern voyage, sailed to Colon on the 21st of March. Shortly after the ship disappeared Lacayo secured some soldiers and ammunition from Rama, and was about to take possession of the town. This was in direct violation of his agreement that no Nicaraguan soldiers should be stationed at Bluefields, or be allowed to serve on the police force, during the absence of the British vessel. The prompt and determined protest of the American residents caused him to disarm his men and send the guns to the Bluffs, but the arms were returned during the night. The situation remained serious, but up to the last of March no open outbreak occurred.

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At an early stage of the disturbance the government authorities at Washington were notified, and the Kearsarge was ordered to proceed from Port-au-Prince, Hayti, to Bluefields, to look after American interests there. The wreck, upon the Roncador reef, of this famous vessel is described on another page. On the 7th of March a resolution, which had been introduced by Senator Morgan, was adopted by the United States senate, which called upon the president to furnish full information regarding the landing of British marines at Bluefields, their interference with the affairs of the Mosquito reservation, and their authority for the same. On the 19th of March President Cleveland forwarded to the senate a report by Secretary of State Gresham, to whom the matter had been referred, in which the facts which have been given in this article were noted, and the statement was made that Ambassador Bayard had been promptly notified to lay the case before the British government, and secure definite information regarding its action and intentions. Mr. Bayard had reported that Lord Kimberley, British secretary of state for foreign affairs, replied to his inquiry,

MAP OF MOSQUITO RESERVATION AND CORN ISLAND.

that while some information had been received from the British consul at Greytown no instructions had been given as further advices were expected. Lord Kimberley positively affirmed, however, that the British government had no design or desire to establish a protectorate of any form over the Mosquito reservation; and he explicitly declared that the armed force was landed at Bluefields merely for the protection of the residents whose lives and property were thought to be in danger.

It was announced at the navy department, March 15th, that the San Francisco had been ordered home from Rio de Janeiro, that on its way it would touch at Bluefields, and that Admiral Benham, who was to return in the ship, would investigate the circumstances, see to the protection of American interests, and upon his return to New York make a full report to the department. On the 19th of March the war vessel New York was directed to proceed to St. Lucia and there await orders. It was understood that she would be held in readiness to aid Admiral Benham in case he found the situation at Bluefields critical. At the close of the quarter there was a good deal of excitement at Bluefields, and reliable information regarding the exact condition of affairs was very difficult to obtain. The state department at Washington was awaiting official information, either from its officers on the ground or from Admiral Benham, before taking decisive action in the premises.

NEW TREATY WITH CHINA.

Since the constitutionality of the Geary law was affirmed by the United States supreme court, the desirability of a new treaty with China, which would do away with the existing conflict between our statutes and our compacts, has been evident. After many conferences Secretary of State Gresham and the new Chinese minister, Yang Yu, succeeded in arranging the terms of a treaty which they hoped would be acceptable to the people of both countries. This document was signed March 17th, was sent to the senate as a confidential paper March 19th, and was published in the newspapers a few days later.

By this treaty Chinese laborers are prohibited from coming to the United States; but any registered laborer who has a lawful wife or child in this country, or whose parents reside here, or who has property or debts due him to the amount of $1,000, may return from China, if, before leaving this country, he secures a proper certificate