Since my last, conveying an account of Cornwallis's capture, nothing very important has happened here, unless it be the evacuation of Wilmington and Beaufort, by which means all the enemy's posts in the southern States are reduced to Charleston and Savannah, and the trade of that extensive country is again opened. The few friends to slavery in the States the British marched over, are abandoned to our mercy. For the rest the enemy keep close within their lines, and our troops are cantoned about the country. In the meanwhile the British islands and commerce are sacrificed to the possession of three posts, which cost them millions to retain on this continent. I give you no account of what is doing in the West Indies, presuming that you will have the earliest and best intelligence on this subject from Paris. It may be of some importance to you to learn, that our plan for calling in the old paper and emitting new, was not attended with all the success that was expected. The old paper was indeed redeemed, but the new beginning to depreciate, most of the States thought it prudent to take it in by taxation.

The only money now in general circulation is specie and notes from the American banks, which have the same credit as silver. Our taxes are collected in these, and by removing the restrictions on our commerce, together with the small loans we have made in Europe, we find not the least want of a circulating medium; and though there will probably be some failure in the amount of the taxes from some of the States, which are most impoverished, yet a considerable proportion of the eight millions of dollars in specie, which have been imposed this year, will be paid, exclusive of the duty of five per cent premium on our imports, which is designed as a perpetual fund for the payment of the money we borrow. Every exertion is making here for the most vigorous and active campaign, and we have the greatest reason to believe it will be decisive.

I enclose an ordinance relative to captures, which will show the respect paid by these States to the armed neutrality. It will be evident to you, that this is not a mere empty compliment, since nothing can be more injurious to us than conforming to principles, which our enemy despises, and is permitted to despise with impunity, particularly on this coast, where Britain is left at liberty to consider us not as independent States, but as revolted Colonies; and to make prize of any vessel whatsoever bound to our ports, though both ship and cargo should be in the strictest sense neutral. But interested considerations have less weight with us, than those immutable laws of justice, which make the basis of these regulations; and these States cannot but hope, that the neutral powers will sooner or later dare to execute what they have so wisely projected.

Now, Sir, let me again repeat to you my request to write regularly to me, at least once in every week, since the high opinion we have formed of the Empress, makes all her actions important to us. When no other political object presents itself, give us the best account you can collect of the history, manners, revolutions, manufactures, arts, revenues, civil and military establishments of Russia, with the names and characters of those who hold the great offices, or share the favor of the sovereign. If a change has taken place (as we are informed) in the Russian administration, be pleased to acquaint yourself and me, when you can safely do it, with the causes of it; and with the characters of the present administration. Send me by the first safe hand a cypher, if an opportunity should offer before I send one to you.

I have the honor to be, &c.

ROBERT R. LIVINGSTON.

FOOTNOTES:

[23] A blank in the original, but probably the Count de Vergennes is alluded to.

TO ROBERT R. LIVINGSTON, SECRETARY OF FOREIGN AFFAIRS.

St Petersburg, March 5th, 1782.