On the 4th of May Sir James received the alarming intelligence that the cargoes of both goods and colonial produce at Carlshamn, were ordered by the Governor of Carlscrona to be discharged and conveyed up the country. Admiral Puke had also ordered three of the largest merchant ships to be fitted as block ships for the additional defence of Carlshamn, which was considered as a bad omen. No one, excepting Sir James, doubted that this was an act of hostility, and that a retaliation on our part would speedily take place. The Admiral, however, judged that it was only to keep quiet the French agents. He accordingly forbore to proceed to hostilities, and wrote the following letter to Mr. Yorke: Victory, Wingo Sound, 11th May 1811. SIR, I received two days ago the enclosed from Mr. Fenwick, informing me of the unloading of the cargoes on board the neutral vessels at Carlshamn, and that the British goods and colonial produce had been conveyed up the country. Although Mr. Fenwick appears under very considerable alarm at the circumstance, I do not believe it to have been with any hostile views against our commerce, although it certainly requires explanation, and I have written to Mr. Smith upon the subject. I expected to have received some communication from Stockholm, in consequence of the courier which was despatched upon my arrival; but nothing has as yet reached me. This is rather a dubious crisis, and I trust soon to be better informed of the sentiments of the Swedish Government towards us; at the same time, I have no reason to believe they are more hostile than last year. I have the honour to be, &c. Jas. Saumarez. To the Right Hon. C. Yorke, &c. &c. &c. At the same time Sir James wrote the following letter to Rear-admiral Reynolds, who had been ordered to Hano, the place of rendezvous, which is only six leagues from Carlshamn. Victory, in Wingo Sound, 11th May 1811. MY DEAR REYNOLDS, This will be delivered to you by Mr. Wilkinson, the gentleman I mentioned to you on leaving the Victory: he proposes establishing himself upon Hano Island for the furtherance of commercial arrangements, and as he is well known as a person of respectability, I beg leave to introduce him to your friendly offices. I have not been able as yet to obtain any explanation of the extraordinary circumstance that has taken place at Carlshamn, and I am as yet uninformed whether it has been a business of the merchants only, or by direction of the Government. As soon as I can receive any information, I shall write to you by a courier; in the mean time, we cannot act with too great moderation in the present state of affairs. Believe me, With the highest regard, &c. &c. &c. JAMES SAUMAREZ. To Rear-admiral Reynolds, &c. &c. &c.