The anticipated boost for the Swedish national economy failed, but Marstrand as a free port flourished. During the first year, the city doubled its income seven times, resulting in a growing population-many of a suspect nature. At the same time, fraud and smuggling escalated, leading to a widespread fear of competition from the leading merchants in Gothenburg. 5 If smuggling had been conducted on a small scale, Swedish authorities, merchants, and foreign diplomats might have turned a blind eye to the ongoing business. However, since full war had broken out in the North American colonies the previous spring, British government officials were keeping a close eye on what was going on at M arstrand. Rumors were circulating that American privateers were trading there, but these rumors were officially denied by the Swedish king. 6 By autumn of 1776, it was no longer possible for the Swedes to deny they were trading with the Americans, especially after British consul Thomas Erskine, while on a visit to Marstrand, personally witnessed the American brigantine Gelychelig arriving in port carrying gunpowder and firelocks bought in Liibeck, Germany.7 Immediately after discovering the American ship, Erskine wrote to the acting British ambassador in Stockholm, J. L. Doerfeld, explaining the situation. Doerfeld had a meeting with Swedish chancellery president Ulrik Scheffer and asked him to stop the American ship from buying more cargo because it was an enemy ship and its cargo would ultimately be used against British citizens. The ambassador pointed out that trading with an American rebel vessel was a breach against the BritishSwedish Friendship and Trade Treaty of 1661. Scheffer told Doerfeld that h e could do nothing before consulting the minister of finance, Johan Liljencrantz, to determine if it was poss ible to stop a foreign ship without violating the free-port privileges. 8 Three days later, Doerfeld had heard nothing in the matter from Scheffer, and when he requested a new meeting he was told that Scheffer had taken leave for Christmas and left the capital. Instead Doerfeld went to meet with Liljencrantz, who gave him a letter from Scheffer explaining that King Gustav III was most displeased
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Swedish Chancellery President, Ulrik Scheffer
Ambassador Gustav Adam von Nolcken
Swedish Minister ofFinance, Johan Liljencrantz
with what was going on at Marstrand and that orders had been sent to the governor of Gothenburg, Count Durietz, ordering him to prevent the American vessel from leaving port with the munitions. 9 Shortly afterwards, Scheffer instructed the Swedish ambassador in London, Gustav Adam von Nokken, to inform British foreign minister, Lord Suffolk, that all Swedish pons had been forbidden to trade in contraband items with the Americans .10 When h earing Nokken explaining the Swedish policy towards the rebels, Suffolk expressed his satisfaction over the fact that American ships would no longer be able to provide the rebel forces with munitions by trading in Swedish ports, and consequently he found this diplomatic errand closed.11 Meantime, while Scheffer's orders were on their way to Gothenburg, the American brigantine suddenly slipped out of Marstrand harbor on 4 January 1777 without clearing customs. According to a letter sent by Erskine to Suffolk on 8 January, the commandant and mayor at Marstrand had allowed the American ship's captain to receive letters from Stockholm. Shortly thereafter, the mayor advised the captain to set sail as soon as possible and leave Marstrand.12 The following summer, on 31 Jul y 1777, the American brigantine Molly, sailing under a British Bag, arrived at Marstrand. She carried no arms and had a cargo consisting of rice and pipe staves brought from the Bahamas, which the ship's master, Captain Woodhouse, intended to barter for iron, steel, and cloth. As the ship rounded up and dropped anchor, she was identified as a rebel ship by one of Erskine's agents. The consul immediately wrote Doerfeld and Suffolk to inform them of what was taking place. 13 In Stockholm, Doerfeld went to see Scheffer, but as he had taken his leave for the country, Doerfeld had to present the case for Senator Fakkenberg, who promised to lay the matter before the king. On 11 August, Doerfeld met with Fakkenberg again, asking him what resolution had been decided. The senator told him that he still waited for the orders to be dispatched from the king to Gothenburg, but he was certain that the king would never permit his subjects to provide the Americans with any
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