However, Bailey had recently been nominated to become consul at Shanghai because George Seward, previous consul since 1863, had been nominated to become the ambassador to China. Seward's replacement in Shanghai, John C. Myers of Reading, Pennsylvania, had reported to State Department superiors that George Seward and his vice-consul Oliver Bradford had been engaging in land and capital speculation in China that seemed to violate the Burlingame Treaty of 1868, but had been suspended, as had his successor Wiley Wells, ex-Congressman from Mississippi. Wells and Myers then sought redress from Congress, which was considering impeaching George Seward, but Bailey traveled to Washington to defend his crony.