Phil nodded his head; but secretly he did not relish this duty. His conscience pricked him for having foolishly held the document for even an instant. His proper course would have been to have given Takishima the letter when they met in the road after the fight at Impey’s and there told him where he had found it and the circumstances. That might have seemed the logical thing to do, but after his fight with two policemen it was not likely the youngster would confess his guilt so readily. Captain Rodgers was in his room at the hotel when the midshipmen returned. He was much perturbed over the non-arrival of his steward, who had been sent to the ship for some of his uniforms; fortunately the executive officer had sent his valises. Captain Rodgers saw in the faces of the lads that something serious had occurred, and questioned them in open alarm. Phil undertook the ordeal manfully but with much embarrassment. “We’ve just come from the embassy,” he began, striving to speak calmly, “and the ambassador has information that Japan will surely intercept and take possession of the Chinese squadron.” Captain Rodgers’ face showed the effect of these words. “The ambassador has information!” he exclaimed excitedly. “From whom did he get it?” “From a man by the name of Impey. He was at the garden fête yesterday,” Phil answered. “Yes, yes. I remember him,” Captain Rodgers returned. “Who in thunder is he, and how does he come to get such information?” “We know very little about him, sir, but I can tell you some things that may help to show whether the information is true or not,” Phil mustered up courage to say. “Sit down.” The captain waved his hand to chairs, but Phil preferred to remain standing. Where to begin was the lad’s difficulty. “Yesterday on the train, Mr. Winston, Mr. Monroe and I overheard this man Impey tell the president of the Koko Kisen Steamship Company that he knew the United States had made up its mind to seize the Chinese squadron, and insinuated that our visit here was only a blind to conceal the fact.” “The scoundrel,” Captain Rodgers cried angrily. “There’s not a word of truth in it; but my audience with the Mikado will change the complexion of everything. Go on!” he added eagerly. “Since then we have tried to watch this Mr. Impey and find out something about him, but have had but little luck.” Phil approached his confession with marked hesitancy, and Captain Rodgers showed plainly his impatience to learn what the youngster had to tell him.