Publisher's Synopsis
Excerpt from The Silesian Loan and Frederick the Great
In the latter part of the War of the Austrian Succession a dispute arose between Frederick the Great and the British Government respecting the laws of war at sea, particularly those which govern the definition of contraband and the right of capturing enemy goods in neutral ships. Neither party being willing to give way, Frederick at last announced, and acted on, his intention of retaining the final instalment of a debt due from him to English bondholders, in order to provide compensation for the owners of Prussian ships and cargoes, who he alleged had been unjustly treated by the English prize courts. He presented a long memorial embodying his views, to which the English Government replied, stating the law of nations on these subjects, and justifying their procedure. They maintained also that Frederick had no right to withhold a debt due from him to private persons, by way of reprisals on the British Government. The debt, known as the Silesian Loan, had been originally contracted by the Emperor Charles VI, who paid neither the interest nor the instalments of principal stipulated in the contract. When Maria Theresa was induced by the British Government to make peace with Frederick and cede to him the province of Silesia which he had seized, he undertook to discharge the debt. For several years he paid little or nothing, and made repeated attempts to escape from his obligation.
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