It is not understood that the condition of the insurrection in Cuba has materially changed since the close of the last session of Congress.  In an early stage of the contest the authorities of Spain inaugurated a system of arbitrary arrests, of close confinement, and of military trial and execution of persons suspected of complicity with the insurgents, and of summary embargo of their properties, and sequestration of their revenues by executive warrant.  Such proceedings, so far as they affected the persons or property of citizens of the United States, were in violation of the provisions of the treaty of 1795 between the United States and Spain.

Representations of injuries resulting to several persons claiming to be citizens of the United States by reason of such violations were made to the Spanish Government.  From April, 1869, to June last the Spanish minister at Washington had been clothed with a limited power to aid in redressing such wrongs.  That power was found to be withdrawn, “in view,” as it was said, “of the favorable situation in which the island of Cuba” then “was,” which, however, did not lead to a revocation or suspension of the extraordinary and arbitrary functions exercised by the executive power in Cuba, and we were obliged to make our complaints at Madrid.  In the negotiations thus opened, and still pending there, the United States only claimed that for the future the rights secured to their citizens by treaty should be respected in Cuba, and that as to the past a joint tribunal should be established in the United States with full jurisdiction over all such claims.  Before such an impartial tribunal each claimant would be required to prove his case.  On the other hand, Spain would be at liberty to traverse every material fact, and thus complete equity would be done.  A case which at one time threatened seriously to affect the relations between the United States and Spain has already been disposed of in this way.  The claim of the owners of the Colonel Lloyd Aspinwall for the illegal seizure and detention of that vessel was referred to arbitration by mutual consent, and has resulted in an award to the United States, for the owners, of the sum of $19,702.50 in gold.  Another and long-pending claim of like nature, that of the whaleship Canada, has been disposed of by friendly arbitrament during the present year.  It was referred, by the joint consent of Brazil and the United States, to the decision of Sir Edward Thornton, Her Britannic Majesty’s minister at Washington, who kindly undertook the laborious task of examining the voluminous mass of correspondence and testimony submitted by the two Governments, and awarded to the United States the sum of $100,740.09 in gold, which has since been paid by the Imperial Government.  These recent examples show that the mode which the United States have proposed to Spain for adjusting the pending claims is just and feasible, and that it may be agreed to by either nation without dishonor.  It is to be hoped that this moderate demand may be acceded to by Spain without further delay.  Should the pending negotiations, unfortunately and unexpectedly, be without result, it will then become my duty to communicate that fact to Congress and invite its action on the subject.