Meanwhile, More Trouble Back in Paris

Abstract

François Barbé-Marbois encounters problems meeting Napoleon’s demands for money to continue paying his troops stationed in Boulogne for the intended invasion of Britain in 1805. He relies on the company of French military suppliers, the Négociants Réunis, to make good their claims on the newly chartered Banque de France, despite Spain’s failure to supply its agreed tribute. A general banking crisis occurs in Paris. Napoleon then reverses his army from invading Britain to attack Austria. His victory at Austerlitz and occupation of Vienna seals his role as Emperor. On his return to Paris in January 1806, he removes Barbé-Marbois from office and replaces him with Nicolas Mollien. Napoleon also places under arrest the leading French military supplier, Gabriel Ouvrard, but who gains his temporary freedom by promising to use Baring & Hope to regain access to Spain’s silver money located at the mint in Mexico. Labouchere, disappointed at losing part of the Louisiana profits, takes up Ouvrard’s claims on Mexico to organize the import of Mexican silver to both London and Amsterdam via neutral American ships. He sets up David Parish in Philadelphia to organize the scheme, Vincent Nolte in New Orleans to intermediate, and Armand Lestapis in Vera Cruz to convert Ouvrard’s claims into silver pesos for export to the United States and Europe. The sums gained by Baring & Hope from the Mexican silver scheme exceeded by far those from the Louisiana Purchase, which had laid the basis for the larger adventure.