American House of Russell and Co.

It was at this time that the American house of Russell & Co. was reorganized, with Augustine Heard and William H. Low (who had arrived the previous autumn in the Sumatra) as partners and John Forbes a junior clerk. At this time the firm was purely an ageiicv5 owning no ships and doing no trade on their own account. But Captains Forbes and Heard were practical sailor men. They allied themselves with Baring Brothers of London on the one hand and Houqua, the famous Chinese merchant leader, on the other.

Forbes introduced the American pilot-boat to China and was responsible for the early clippers at Canton. Heard was a veteran of the sea and one of his exploits was defeating a pirate vessel, bristling with armed men and guns, by running his shi , the Emerald into the pirate's rakish, black hull craft and sinking it.

Russell & Co. competed with the English firms of the Honorable East India Company, Maginac and Companv, Thomas Dent & Co., Fearon & Co., and others. The partners in the Maginac Company were: William Jardine, Frances Holingsworth, Thomas Beale and Alexander and James Matheson. Jardin was known to the Chinese as "Iron-Headed Old Rat". His fellow Scotsman, Matheson, was his equal in strength of character and shrewd business. The Dents were Launcelot Dent, Thomas Inglis, Thomas Allport and Robert Wilkinson. There were also twentv-one Indian or Parsee merchants at Canton, led by the famous Daal~hoy Rustomjee and Sir Jamsetjee Seejeebhoy.

When William H. Low died in Cape Town in 1833, on his wav home to America, Russell & Co. admitted into partnership John M. Green, a special agent for the Griswold House of New York, and John M. Forbes, the younger brother of Captain Robert, (who had arrived in 1830 on the Lintin), and Joseph Coolidge. In 1838 and 1839, Messrs. John Forbes and Coolidge withdrew. Captain A. A. Low, a nephew of William H. Low and Edward King had been admitted to the firm in 1837, and on January 1, 1839, Captain Robert Bennett Forbes became head of Russell & Co. With the retirement of A. A. Low in 1842, Warren Delano and Russell Sturgis (former partner of Russell, Sturgis & Co.) became partners. Messrs. King and Hunter retired in 1842, and Mr. Sturgis followed suit in December 1843. As Captain Forbes returned to New York in the ship Niantic in 1 840, the firm became headed by Mr. Delano.

These American members of the colony of "foreign devils" were men of considerable sagacity. But much of their business success was due to the loyalty of their ship-masters, among whom was Captain James Prescott, of Portsmouth, New Hampshire.

The "Opium War" and Its Aftermath

When the British refused to accept the edicts of the mandarins, the strangest of East vs. West wars broke out known as the Opium War. While this was raging, the "foreign devils" were veritable pris-oners in Canton. Captain Forbes tells of his experiences in his auto-biography. Opium trading was legitimate in India, Malaya and the Philippines, and the Chinese Hong merchants had long since decided it was "honorable trade." Early in 1839, the Chinese Emperor's repre-sentative, Commissioner Lin, struck at the very heart of the opium traffic in Canton. He ordered all chests of opium in the Hongs to be destroyed. The execution of this justifiable order threw consternation into the trade. Charles Eliott, Superintendent of British Trade, be-came incensed and ordered the port of Canton to be blockaded.

The seige of the Hongs, the tension over international equality, and the opening of the unofficially, declared Anglo-Chinese War, found the Americans enjoying the double role as British merchants' agents in Canton.

The running of the blockade, the British forcing of the passage of the Bocca Tigris, the battle for Chusan Island and other incidents of, the Opium War were all a part of the times. Kwan-Teen-Pei and his-junks were little match for the British Expeditionary Forces and the war's end was a foregone conclusion. The one outstanding result was the taking over of Hong Kong Island by the British and the establishment of the famed deep-anchorage port there. The Portuguese at near-by Macao had selected a shallow draft port; the British had in Hong Kong a port of destiny. Soon junks, sampans, go-downs, and lorchas swung at anchor in close proximity with American clippers, British Indiamen and opium smugglers.

Shanghai surrendered to the victorious British soon after the fall of Canton and Woosung, and the advance up the Yang-Tze-Kiang by the British armada led to the capture of Chin-Kiang-Foo after a stiff fight. The Opium War terminated before the walls of Nanking. It had given the Chinese mandarins a lesson in the power of the British Navy, but had also served to increase the daring of the opium smugglers.

Now came the perfection of the clipper brig and schooner and the great races from Bombay to Canton. British ship designers sought to match the new clipper-built American craft. As each new ship entered the trade, the keener became the racing. Even the conservative marine columns reflected the heightening of the rivalry.

It was at this point in the history of the trade than an American opium smuggler, Captain Prescott, makes his entrance on the scene. He was the master of ships running opium to China from India during the 1840's.

In the Krumwiede Collection of stampless Ship Covers, now at the Marine Historical Association at Mystic, Connecticut, are twentytwo letters written by this Captain James Prescott from ports in China and India to his brother Henry Prescott in New York and to his mother. The letters were sent to the United States on board such famous merchant ships and tea clippers as the Sea Witch, Paul Jones, Helena, Rainbow and Montauk. They cover the period from 1843 to 1849.

it is this collection which brought into being this study of an American opium smuggler and the mysterious China coast, during the years immediately following the Opium War. Prescott's letters reveal many little known facts about the trade, the merchants who participated, and the vessels which were actively engaged.

Because of their revealing contents, the Prescott letters are an important contribution to the study of this contraband trade in the Far East. From them may be glimpsed a singularly clear picture of an always intriguing ship-master who lived and died in one of the most adventuresome eras of an always dangerous coast.

pps. 15-17 -----

"An Account of a Little Transaction" "We Smugglers are Always Well Armed"

One of the best of the Prescott letters was written from Woosung late in January, 1845. It tells a most interesting story, full of incident, and with an excellent analysis of Russell & Co. and the reason for its success. "How would you like to be a smuggler?", he asks his brother, and then tells the following bit of unwritten history:

"Woosung East Coast China January 28, 1845

"My dear Brother:

"Unless you have a good map of Asia you will be puzzled where Woosung is, and for fear you have not I will explain a little. It is a very small place at the entrance of Shanghai River. It is a kind of outpost of Shanghai, the same as New Castle is to Portsmouth only instead of 2 miles distant it is 20. This river empties into the great Yangtse-Kiang River about 40 miles from its mouth on the south side.

"Shanghai is a great commercial place as you have already heard and beyond Shanghai on the same river is Lou Chow-Foo, a very large and one of the wealthiest cities in China. Most of the gold and silver comes from this place (Shanghai) and the manufacture of silks, immense quantities of the raw article has been exported this season in British vessels. All foreigners reside at Shanghai and are not allowed to go beyond its limits. Many have tried to get to this rich splendid city, Lou-Chow-Foo, by dressing as Chinamen and none but one succeeded. He was an English gentleman by the name of Fort. I am acquainted with him but have not met him since he effected his object.

"I am now to give you an account of a little transaction that took place here a short time since with some smugglers.

"By the laws of the treaty the British opium vessels are not allowed to lay within 3 or 4 miles of Woosung, consequently have been laying exposed to some gales and liable to be drove ashore in the boisterous Yangtze-Kiang. Near Woosung is a fine anchorage sheltered from all gales. On my arrival here, instead of anchoring outside with the fleet, I came in to the above mentioned harbour knowing what the British laws whatever they were, could not effect me. The vessels outside (knowing my advantage both in business and comfort) two days after got underway and came in and the consequence was a row.

"The Chinese authorities went to the British Consul to drive us out. The Consul was very indignant at the infringement but said drive the English as long as a foreigner remained, (meaning me,) and as there is no laws or stipulations in the American treaty prohibiting me and no American Consul to drive me out I shall remain. So as long as I stop the English will. If the Chinese use force, we shall go. But we shall stick to and protect each other 'til the last. We smugglers are always well armed and manned and calculate to protect ourselves in all cases.

"There are some good fellows among them, and tho we don't often see Europeans on the coast (but lately oftener than we did), when we get together among ourselves we have jolly times and spend some pleasant hours. I expect there will be something said in the Hong Kong papers about my being the ring leader in the above affair. If so I will send you them.

"How should you like to be a smuggler? What do the folks think I am up to here? What a pity you had not come out with me, you might now be a smuggler, have a fine command and ere this making your fortune.

"Your last letter I received in September as well as Father's and it seems almost an age since I have heard from you or him. Messrs. Bush & Co., Hong Kong (an American house) forwarded me a large packet of newspapers per "Lou Chow" from Boston, Portsmouth journals and Boston ditto. I suppose they were from Father tho there was no letter or signature attached, therefore could not identify my friend. Russell & Co. have orders to keep all my letters. If they are sent on the coast they are apt to be lost, so when I get down I hope to have a good lot with lots of good news, and about the best I know of would be after hearing you're all well and that you are established in some permanent business and as profitable as permanent. I'm tired of hearing of your rolling from one thing to another and there is no doubt that you are as tired of it as any one.

"The House of Russell & Co. is composed of all young men but one, Mr. Warren Delano. Three older have quit with their eternal fortunes and four young men admitted partners. Since I have been in China and being intimate with them as clerks, of course feel more at home with them as members of the concern. I am treated by them with all the kindness of a Father to a son and as long as things go on so smoothly, and I enjoy good health, it will be some time before I think of home and I'm just beginning to make money.

"Do you see Father and Mother often? Is Sophia married? She never writes me and I shan't overlook the coolness. Altho

I do not write to her she has all the privilege of seeing my letters to Father which contain all that I could say' to her.

"How does Mary Ansant flourish? Has she am, more children? How is George & Fanny? Chin-chin to them as the Chinamen say. How does Uncle and Aunt Marv do? Remember me to them when you see them or write them. I suppose they are in New London yet. 'May Uncle get his office again after 'Mr. Clay is President. How does Lydia and Marv Grafton flourish? I suppose they have large families by this. I wrote Lt. Fowler a long letter a short time since. I hope be will get it; it was in reply to one from him.

"I suppose you never go to Portsmouth now. Do you see many people from there? As father and mother have left, I suppose it's dropped a poor place and rather a poor set there. The last accounts were very favorable for Mr. Clay's election for the Presidency. It's now settled one way or the other and I hope with all my heart it's in his favor. Should he be elected there is no doubt times will change for the better with you.

"I have not heard from John Shannon since he went to the Sandwich Islands, therefore, cant inform you whether he is dead or alive. If you ever meet Captain Chas. Salter, remember me to him, also his brother of the Henry. He is the only townsman I have met since I have been in China. I dined on board his ship (Typhoon) one day in Macao Roads. I was sorry I did not see more of him as lie could tell me many little things. I should never know otherwise. Make my respects to James W. Hale, Esq. when you see him be is a good fellow and I hope he is doing well. You remember the boy Jim at Hales when you left? Thank him for the newspaper he sent me. I hope he is doing well.

"Yesterday quite a commotion in the fleet which is composed of seven vessels. All manoeuvered and changed our positions in the river a little further out. We are now moored in a line under the West Point. Batteries there have no guns mounted so we feel-quite secure.

"We have lots of sport, wild geese, ducks, pheasants, wood cock, heron and numerous other birds. We are now about 2 ships-lengths from the shore and when weather admits we cruise along the shores coasting the country for miles and often bring back more than enough for use besides the sport and exercise. Here the Chinamen are very "Chin", but over some parts of the coast we should not dare go A the beach. About the 20th, past I wrote Father a long letter perhaps you will get this first.

If so please communicate I have spun this out now to an endless length at all events its quite enough, such as it is, for once.

Remember me to your wife much love to the child and believe me, Yours truly, Affectionate brother James S. Prescott

P.S. I shall write you again soon.

This letter portrays Captain Prescott at the high tide of his success, His confident appraisal of his accomplishments is clearly revealed. "How would you like to be a smuggler?" he asks his brother. "What a pity you had not come out with me, might now be a smuggler, have a fine command and ere this making your fortune.

The incident of the fleet at Woosung is a matter of history. The "little transaction" which the Captain describes, and which he confesses that something would be printed in the Hong Kong newspaper about his "being the ring-leader," was actually a notable affair.

Although opium was not contraband according to British law, it was still banned by the Chinese treaty or no. Before Shanghai had been opened more than three months an opium case developed. Captain Balfour was the first British consul and when a case of opium was noted on the manifest of a British brig called the Amelia moored off Woosung the consul ordered it thrown overboard so as not to start any trouble.

But. upon further investigation it was found that, instead of one case, the Am elia had 128 on board.

The very next day the ship Maingay arrived and during the night both vessels trans-shipped their respective opium cases to an old East Indiaman, the Willia m IV, which had been converted into a receiving ship at Woosung. Consul Balfour discovered the smuggling action and fined each captain $500. Another $500.00 was demanded for making false manifests and a further $700. for breaking bills. The William IV was ordered to depart for Canton, while the other two were detained awaiting the decision of the British minister at Hong Kong. One of the Maingay's fines was remitted, but the others were enforced and paid over to the Chinese.

pps. 34-37 =====

"Eagle" Wins Over "Water Witch" and Establishes a New Record

Henry Prescott to whom most of the letters were addressed kept in close touch with his brother. In a letter from Canton, dated Dec. 18, 1845, Captain Prescott wrote Henry: "I have to acknowledge letters from you by almost every arrival from the United States, for which, of course, I am much indebted, and am sorry I am not able to reply to them in greater length, but I am so on the move that I hardly know where I am from day to day, or rather where to find myself."

In this letter, the Captain noted that he was sailing to Calcutta, but would return to China immediately meaning another opium run. I am getting tired of sailing about," he wrote, "and think two years or three at the most will do me here . . . I get on comfortably, in fact splendidly with the house (Russell & Co.) I must stick to them as long as I go to Sea but think soon I will have a laying-up ship."

By this he meant, a store ship, like the Lintin, or a harbor vessel. His plans never matured in this respect. He was too resourceful a skipper, and Russell & Co. kept him busy "in the trade", as his next letter shows. Reaching New York aboard the Helena, the letter written from Canton on March 24th, 1846, and addressed to his parents:

"My dear Father & Mother:

"I wrote you from Calcutta two letters, and now have the pleasure of writing you from this place, informing you of my safe arrival after the shortest passages on record and the shortest voyage. My passage to Calcutta was (19) nineteen days and (33) thirty three days back to China, stopping one day at Singapore, twenty-one days on the voyage. I beat all the English Clippers from seven to ten days, for which I have received lots of credit. There are heavy bets on the vessels and a Gentleman told me in Calcutta that if I would beat the Water Witch, the fastest of them, he would give me the best Gold Watch that could be bad in Calcutta. As I sailed four days after her and arrived. seven days before her, there is not much doubt about the present. It is in good hands and will be forthcoming in about six weeks. I will let You know when I get it.

"The Eagle is now in the Cum-Sing-Moon (Island anchorage) and loaded bound for the East Coast. I shall sail tomorrow and probably be absent all Summer. I shall touch at all the ports on my way to Woosung, which will be my headquarters for the Summer and be rather agreeable after cruising so constantly the last year.

"I was in hopes of my arrival here to find several letters from you but to say great disappointment found none. In a few days it will be a year since I received your last, it came per Loo Choo and was dated in April 1845. I am very anxious to once more see a letter from your own dear hands to hear all particulars of my home and all connected with it. Henry writes me often and says you are well, which certainly is always delightful news but not so satisfactory as a line from one or both of you.

"I want to know from day to day how you get on in Peperell, and in your new house if you are comfortable and happy and have all you want, and if you receive my regular remittances from Mr. Low I have not heard of anything that I sent since the Camphor which Mother mentioned in her letter. I have asked a thousand questions in my previous letters to you and am waiting patiently for replys. Did you ever get four pairs of silk from John Latter of Portsmouth?

"I want to know how much my invoices net to you whether you have any surplus funds or not enough. Do write me and tell me all about it. Is Aunt Sophia with you? I hope so far she is capable of making everybody happy when she is. I wrote her a long letter some time since, I hope it reached her safe.

"I also hope to hear from her before a great while.

"I saw John Shannon a few days since and was very much impressed to find him very deaf, the result of sickness last December. His brain is somewhat retarded and he appears much changed. He has a good situation has sixty dollars per month but might have had a much better. A few days since I received a letter from Shep Waldron of the U. S. Ship Columbus. He mentioned the death of his Mother and the marriage of George W. Prescott, the only news. I hope George has got a good wife. Do tell me who he married.

"I regretted very much I did not see Waldron while in Canton and he is now in Manilla. I am bound to the Coast and shall not mind. The Columbus returns here shortly. When you write to Sophia give my best love to her and tell her I will write her from Shanghai very soon. I suppose she is in Connecticut yet.

pps. 46-47 =====

The Coquette's narrow escape from a typhoon was reported in this letter's postscript. Captain Prescott wrote:

"July 21 (1847): Hong Kong. I arrived here safe yesterday, just in season to evade a very severe typhoon which came on most furiously in an hour after I anchored. So you see, good luck to the last. At Messrs. Bush & Co., I found your overland letter of April 30 and . . . and glad to see Mother made you a visit. I am glad you got all the articles by [Capt.] Hunt; he is a good old fellow. Remember me to him. I am also very much pleased that [Capt.] Eldridge got home safely. I am going to Whampoa immediately, and have just time to close this before leaving."

Something about the gambler in every seaman made the opium clipper captains want to invest in their own ability to make a good passage. Therefore, it was not unusual to note in a letter written from Calcutta on Oct. 7, 1847, to find Captain Prescott investing in additional chests of opium to add to his cargo. "The prices of opium here are such that I shall invest 25,000 rupees, with a fair profit in China, and I trust the result will be as favorable as I anticipate . . . I have commenced taking in cargo and shall leave about the 15th instant for China with a full ship and hope to reach Macao by the 20th of November, notwithstanding the late season to get up to the Sea."

The Captain Comments on the Times Spends Christmas in Hong Kong Takes Griswold to Shanghai.

There is another gap in the letters, but that of Dec. 29, 1847, from Hong Kong, has a good quota of news about the changing conditions in Captain Prescott's career:

"My dear Brother:

"Since writing you per Sea Witch, which left Whampoa for New York day before yesterday, nothing of interest has transpired. This steamer (the Pekin) leaves tomorrow morning with the overland mail but I doubt if her letters reach you before those per Sea Witch.

"Everything is very quiet at present both here and in Canton, but troubles are anticipated and no doubt will commence as soon as the British forces are sufficiently augmented. There will be lots of troops here in a month or six weeks from the Straits and India and I hope the Chinese about Canton will get what they long since ought to have had a good thrashing. You will get from all the papers from this quarter more particular accounts of what is going on here than I can write. I left Canton the 24th for Cum-sing-moon and arrived there Christmas morning, finished what little business I had with Capt. Endicott and sailed the same day for this place. When I anchored early the following morning had a visit from F. T. Bush Esq. (American Consul) who is a good fellow and my agent here.

"I always live at his house when at this place. His wife is a pleasant woman, besides their five children, and there is no place in China where I feel more at home. But everything about here has become dull and stale and I feel more and more home sick every day. Many of my old acquaintances have gone home or dead. You can hardly conceive of the immense changes that have taken place even in this country, and how much greater have they been with you. So we travel on and finally pass away like a shadow.

"I am now bound to Shanghai in the good Coquette waiting only for my dispatches and a passenger from Canton. He is a good fellow John N. A. Griswold of N. Y. He goes to take charge of the business of the House of Russell & Co. a Shanghai. It is a cold nasty Season to go there but I hope to get through it comfortably and be back in a month or few weeks. I hope then to go to India for I like the warm weather and pleasant voyages. The Samuel Russell has not arrived yet and fear something has befallen her, as she has been out something over a hundred days. I should like to have seen Palmer before leaving for the North.

I have received lots of letters from Home lately, one from almost every relative, so you can fancy I am well posted up. In fact I have had so much of home that I almost wish I was on my way there instead of the opposite direction, but my dear fellow it will not be long, rest assured of that.

"I sometimes when at Sea alone, get the blues dreadfully. That is without a passenger, I never talk with my officers, it consequently is dull music.

"I shall not write 'Mother by the Overland this time. Do send her this after perusal. I again express my delights at your success in business and hope your good fortune will continue. I hope Cousin George is doing well. Call and see Waterman of the Sea Witch. I don't think he got the paintings of the Coque tte because I could not look after them. It, however, is possible he did also Griswold of the Panama and MacMitchell of the Montauk, they all would like to see you. I will now close with kind regards to all and remain as ever,

Your affectionate brother, J. A. Prescott

That he is on good terms with the foremost shipmasters of his day is self evident. In a former letter he had written: "The Sea Witch and my old friend Waterman, I did not happen to meet, but hope to next voyage." But other things in the world beside ships, opium and "the trade" interested Captain Prescott. In a letter written aboard the Coquette, July 9, 1847, he commented, prophetically:

"I have no doubt the time will come when Railroad will be completed from the Atlantic to the Pacific, where another large field will be opened for speculation. But I will be at home long before that time of course".

Consider this Private!

His remarks about his business association with Russell & Co. are of considerable meaning:

"As regards my ever being a partner in the House of Russell & Co., I don't look for it. Captain Endicott has been with them eight years and has much better chances of that, and I should not be surprised to see him there eventually. I only wish lie was. It would be a glorious thing for me the same as brothers � the last four years we have been hand in hand. He is their opium man in Canton and of immense importance to the House. His present contract will expire in another year and a half, and then rather than let him go, they will give him a partnership. In this case (we have talked it all over) lie wants me to take the receiving ships at Cumsingmoon, which is now worth to him $10,000 a year and would be the same to me, of course . . . Consider this private . . . You see we have our plans and schemes as well as you at home.

Nor does the news dispatches and newspaper accounts of times escape him.

"I see where you are going ahead with the Mexican War. It's making sad havoc with the American Army. The battles have been bloody -and the loss of officers very great. It will make many widows and orphans and many unprovided for, and I doubt if Government can be ready to come forward to their assistance when the war is over. It appears to me most unpopular among all parties."

Returning to his own affairs:

"If I had only half what I am computed to be worth, I should not be here. At the end of this year, I may have, if all goes on, nigh onto $15,000, independent of what I have got at home. My mark is $20,000 but I have fully determined to quit next year, unless Russell & Co. will make it worth my while to remain another year or two and it must be something much better than I am doing at present . . . I beg of you, don't say a word to anyone of what I am worth. Let them surmise".

Contents

Captain Prescott and the American House of Russell and Co.