TO THE COUNT DE VERGENNES.
St. Jean d'Angely, June, 1779.
Sir,—I learnt before I left Paris, that a loan, negotiating in Holland for England, and which was to have been completed the coming autumn, would be stopped, because the lenders had demanded one per cent more interest. This loan was undertaken by a banker of English origin, who has apportioned it among a great many persons, and had become lender-general to the English government. I am told that some profits over and above the commission might help America to this sum, amounting to above forty millions. I communicated this information to the Chevalier de la Luzerne to be imparted to you; but having discharged that duty towards the Americans, I feared lest M. Necker would not share in my earnestness. I have already appropriated twenty millions to bank stock, ten to an expedition, and ten to pay the interest until the final reimbursement.
I received at the moment I was coming away a letter from America, dated in the month of January, in which the President informed me in behalf of Congress, that they had changed their determination respecting the joint expedition to Canada. The reasons assigned are, the slight probability of Rhode Island and New York being evacuated next winter, the uncertainty of the enemy's movements next spring, and therefore the impossibility of promising their quota of the troops, fixed in the plan that I was intrusted with. I have the honor to be, &c.