(Signed) COCHRANE AND MARANHAÕ.

To my annoyance Parà became the scene of renewed disturbance, and even the life of the President was threatened. This was disheartening, as evincing a desire on the part of the provinces to pursue—each its own separate course; proving the deep hold which the counsels of Palmella had taken to promote anarchy by fostering provincial pride—as a means to promote discord, and thus to reduce the newly-formed empire to insignificance and ruin,—from the same cause which had befallen the liberated provinces of Spanish America.

Not having been furnished with troops, it was difficult to spare a force to meet this new emergency. There was no time, however, for hesitation, so I despatched the Atalanta to Parà, with a detachment of the best seamen, under the command of Lieutenants Clarence and Reed, upon whose zeal every reliance was to be placed; at the same time sending a recommendation to the President to use the force for the purpose of remitting to me those who had threatened his life, and of overawing those who had been endeavouring to subvert his authority.

The Junta of Fazenda having now assembled, I transmitted to them the following;

GENERAL STATEMENT

Of the money and other property claimed by the squadron on the surrender of the Portuguese authorities of Maranham; in conformity to the laws relative to matters of prize, and the gracious decrees of His Imperial Majesty:—

Milreis. Treasury and custom-house 62,000 000 In bills and debts 147,000 000 Value of artillery, stores, and ammunition, say 100,000,000 at 1/5th for the squadron 20,000 000 Value of stores in the arsenal, including gunboats, launches, boats, and materials of all kinds 25,000,000 ___________ Public property 254,000 000

Obligations delivered as Portuguese property under the decree of H.I.M. of Dec. 11th, 1822; by that decree confiscated to the Crown, but by the gracious bounty of H.I.M. awarded to the squadron, in his own handwriting, dated 12th February, 1824 170,196 461 ___________ Sum total 424,196 461

Together with this statement of account, I forwarded the following offer of compromise, on the part of the squadron, for the payment of one-fourth only:—

His Imperial Majesty, having—by decree of the 11th of December, 1822—commanded the seizure and confiscation of all merchandise in the custom-houses of Brazil belonging to Portuguese subjects—all merchandise so belonging, or the proceeds thereof, in the hands of merchants—and all vessels or parts of vessels belonging to such subjects—I, therefore, in conformity with the said decree, having, on the occasion of the capitulation of Maranham, directed, that all persons having property in their hands of the nature set forth in the said decree, should deliver in an account of the same; and the bills and papers herewith annexed having been given up by their respective holders as Portuguese property of the description set forth, the said bills and papers are now laid before the Court of Vice-Admiralty, in order to the adjudication thereof in conformity to the said decree.