first question, if any fund was established for the support of Mr. Laurens, that, being informed about the middle of last month by a friend in London of Mr. Laurens's being in want of money, I wrote on the 19th to Mr. Hodgson, a merchant in Coleman Street, in whose hands I had lodged cash for the support of prisoners, to hold .one hundred pounds of it at the disposition of Mr. Laurens; and I since hear, that, on a like intimation to Mr. Adams in Holland, he has ordered another one hundred pounds to be applied to the same purpose. I have never heard that any fund was established in America for the use of that gentleman; probably it has not been known there, that he had need of it.

The second question, if any measures had been taken for his relief, will be answered by acquainting Mr. Bridgen, that the Congress passed a resolution to offer the exchange of General Burgoyne for him, and empowered me to make the offer; that Mr. Burke, having written to me in favor of his friend, General Burgoyne, on a supposition that the Congress intended to recall him, I sent a copy of the resolution to Mr. Burke, and requested he would charge himself with the negotiation. I have since heard nothing, either from Mr. Hodgson or Mr. Burke; and, as it is said a packet was lately lost between Ostend and England, I begin to fear my letters have miscarried, and shall by the first post send copies. I wish Mr. Bridgen would, however, apply to both those gentlemen, learn what has been done, and through you acquaint me with it. I beg you would assure Mr. Bridgen of my best wishes and affectionate attachment. I hope his affairs in Carolina have been settled to his mind. With much esteem, I have the honor to be, Madam, yours, &c. B. FRANKLIN.

P. S. About the beginning of the year, having heard a report, that Mr. Laurens was ill used, I wrote a little remonstrance to Sir Grey Cooper on the occasion; who replied, by acquainting me, that on inquiry he found the report to be groundless; and by sending me a letter he had received from the Lieutenant of the Tower, which assured him, in the strongest terms, that Mr. Laurens was perfectly satisfied with the treatment he received, and frequently expressed his thankfulness for the same. This made me easy, hearing nothing afterwards to the contrary, till lately.

TO JOHN ADAMS.

Scheme of a Loan proposed by John de Neufville of Amsterdam.

SIR,

Passy, 14 December, 1781.

I duly received your Excellency's favors of the 1st and 6th instant. I wrote to you by Mr. Barclay, who went from hence some days since, and I hope is with you by this time, and that he will, with your assistance, be able to settle every thing relating to the goods. I have received a long letter from Messrs. Neufville, the purport of which is, that they are willing for their parts to deliver the goods to you, but that they cannot control the other owners of the ships, who have a right, by the laws and customs of Holland, to detain the goods for the damage done by Captain Gillon's refusing to sign the charter parties, and hope, that I will not, on account of the conduct of the other owners, refuse to pay the bills, especially as such a refusal would be derogatory to the honor of the United States.

I may be wrong, but my present thoughts on the subject are, that, if by the laws of Holland our goods may be detained in the hands of the ship owners for the fault of Mr. Gillon, by the same laws the property of one of these owners may be detained in our hands for the fault of his partners; and that it as much concerns the honor of Holland, that our goods should be delivered to us, as it concerns the honor of America, that we should pay for them when delivered. And I farther think, that, if a merchant in Holland, happening to have any of my property in his possession, may, by the laws of his country, detain the same till I pay him whatever he shall please to demand, as indemnification for an injury supposed to be done him by some other person, Holland is by no means a safe country for Americans to trade with, nor a Dutch merchant a safe depository for the property of a stranger, or to be the consignee of merchandise sent into his country.

You desire a copy of the terms on which he offered to borrow money for us. At present, I only send you an extract of the principal points, much of the writing being matter of form. The first proposition is, "That, for the security of this loan of two millions of gilders, Holland currency, we engaged and hypothequed (his words) to said Mr. John de Neufville and Son, of Amsterdam or their representatives, as we do engage and hypotheque to them in the name of the whole Congress of the thirteen United States of North America, generally, all the lands, cities, territories, and possessions of the said thirteen States, which they may have and possess at present, and which they may have or possess in the future, with all their income, revenue, and produce, until the entire payment of this loan and the interests due thereon." My observation upon this was, that it demanded an extravagant security for a

trifling sum; that it was lending little more than a gilder on each inhabitant's estate, and that it was absurd to require a mortgage on my estate for the loan of a gilder. He answered, that this was usual in all loans made in Holland to foreign states, and that the money could not otherwise be obtained.

The second proposition was (verbatim, as the first), "That out of the produces again through all those thirteen States of America, shall be sent over and shipped to Europe, and chiefly, or as much as possible, to the port of Amsterdam, during the ten years of this loan, the double of one tenth part of this loan to the value of four hundred thousand gilders, which, as far as is possible, they will come to Amsterdam, shall be sold there by Mr. John de Neufville and Son, and what goes to other ports, by their correspondents, and the money kept at their disposal for the use of Congress, at least during the first five years; and, during the last five years of this loan, one half of this money is to serve to discharge every year one tenth part of the money borrowed, engaging, that, before the end of the tenth year, there will be remitted in such a manner, and left in the hands of said John de Neufville and Son, of Amsterdam, a sufficient sum of money to discharge this whole loan, with the interest due thereon."

You will observe, that this article is obscurely expressed. I was obliged to demand an éclaircissement in conversation. The conversation was also difficult to understand, M. de Neufville's English not being then of the clearest. But from the whole, after much discourse, I gathered that we were to send over every year for the first five years in tobacco, rice, indigo, codfish, oil, &c. &c., the value of four hundred thousand gilders, to be sold by Messrs. John de Neufville

and Son for our use, on a commission of five per cent, and that the money was to remain in their hands to enable them to pay off in the last five years the principal of the loan, though one half of it was to remain in their hands till the end of the term. A subsequent article also provides that one hundred thousand gilders more should be annually sent over in produce to them, and sold, to discharge the interest.

My objections were, that, if we were able to purchase produce in value two millions of gilders to lodge in the hands of Messrs. de Neufville and Son, we might use that sum in our affairs at home, and should have no occasion to borrow it in Holland; and that, if we were to buy up this value of produce with the money borrowed, and to lodge it in the hands of those gentlemen, it would be borrowing money to give them the use of it for a number of years without interest, while we were paying interest for it ourselves.

One would think this project, if it could take, might be sufficiently profitable for these gentlemen; but in another paper, part French, part English, proposed for me to sign, it was to be stipulated, that, after exchanging for the new promises all those transacted by Messrs. Fizeau and Grand to the amount of forty or fifty thousand gilders, which exchange was to be made without charge; "pour le reste de cet emprunt il leur (Messrs. de Neufville et fils) sera alloué, outre les conditions d'intérest, &c., contenues dans les termes y stipulés, un per cent. d'intérest, savoir, dix per cent. une seule fois sur les sommes qu'ils négocieront; et en outre deux per cent. encore, y compris toutes les allouances ordinaires et extraordinaires, fraix à faire, et toute commission, sans qu'ils pourront jamais rien exiger de plus à ce sujet."

Very gracious terms these! by which, after stopping

VOL. IX.

J