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(Prem the Scottish American Joarnal.) THE PROVINCIAL UNION AND FREE TRADE,

The fact that the British American Colonies | are in a state of political transition is one which ali intelligent citizens of these Colonies are hoand to recognise, Te is to@ obvions to be denied, and no one does attempt to deny it in so many words. [Dut it is practically ignored | by the opponents of Confederation, who say | they desire to remain as they are, in place of! coneurring in a scheme whieh, by prompting | the self-reliance ap independent action of these | colonies as a whole, would tend tend to hoomen' their connection with the British Empire. | Now, if there is any sincerity in this objection | to increasing the independence of the colouies, it has ug meaning with referenee to the British connection. Kxeopt uominglly, the Provinces coukt-bardiy be more independent of Britain thaw they are now, and their union wauld not wevessarily add to their jndependence jy that direction. By adoping one tariif and currency ani a common system af laws for the general interest, with one head for the administration of these laws, and by enterjug into commercial dtrang@ments with fareigu countries in the in- tervst of all the Provinces as one community, | the people of the solgnies would not he taking & single step, directly or indirectly, hostile to British interests. These interests could not be

are permanent; and, so far as the Provinces

\ eucreney of the Union, and are only kept down

chine, from a yard of cotton to a great coat, are concerned, are not affected by the paper

by European competition. They have sense enough to sce that it would not increase their prosperity to subject themselves without re- medy, or the possibjlity of alleviation, to the kigh prices which myst rule in the Provinces aS well as in the States, if the system of class | legislation is to become really * continental” through their adhesion. Anti-Confederates say, “* We are not asked to adopt it.” But it has all along been the avowed policy of the United States Government to compel its adop- tion in some way or other. The political ar- gument in favor of the Reciprocity Treaty was that it woukd ‘ripen the colonies to ‘drop in” as a matter of course, in the fullness of time, which, according to Mr. Seward, not a very reliable authority in such anticipations, was to be within ten years. Compulsion by means of « hostile tariff is now threatened and expected a3 the next political resource. But the people of the Provinces must see that whether it is attempted to suck them in or to force thei in, it is equally their policy to pursue an indepen- deut course, and to open new channels of trade among themselves and with foreign countries,

| for which they have now advantages as pro-

dacers no less than consumers, which the American * continental system" Goes not allow

eTected otherwise than beneficially by the in creased prosperity of the colonies, which would | necessarily result from such a union.

to those who are governed br it. This policy

ean only be carried out svecessfully by the anion

Great | of the Provinces, and jt will he realised all the

Britain is wow governed on such a system of | S00ner if the views we are now explaining are

commercial freedom that there is nothing the colowaes can take from her, except by their

recognized a the governing motives for the new politie aj arraugement. The benetits to be

mlopting a system of commercial levislation

entirely opposed to her own example and to |

those free prineiplos which gre being recoguized wud adopted by all modera governments but that of the United States. But the qvestion of commercial independence, with reference to the States, is certainly involved in that of colonial union, tor the chief result of “Confederation would be to render the Provinces no longer dependent on the legislation of a powerful neizhbor, whose declared poliey, even in agree- iny to a system of reciprocity, is to injure its competitors and to promote political ends, It the present treaty is not renewed, it wi!l he ‘the eause it has not sueeeeded in rinening those pelitical sympathies which it was supposed would result from ten years of commercial in- tercourse, and because the Provinces have en- joved a fair share with the States of the benefits af free trade, as producers as well as consumers. The non-renewal of the treaty is dictated by the same perverted motives as those in which it orizinated on the Ameriean side, the idea that,annexation will be promoted by the Pro- vinees being made to feel the disady antages of a hostile tariff acrossthe border, and that Ame- rica trade will be benefitted by protection asainst British American competition. These are the ideas that are at the bottom of all American commercial legislation to injure

foreign competitors for political ends, and for!

the benefit of home producers. The consumers are not regarded except as taxable material for the benefit of the manufacturing and political classes, and of the public creditors. The yvreat question that is now really at issue is, whether the Provinees, hy remaining disunited, are to contigue dependent on this system, willing to take what they can get, and subject to be operated on at any time either for political purposes, or for the promotion of rival trading aaterests. The grand recommendation of union is,.that it presents a meane of escape from this miserahle condition of subservience; and in this sense, therefore, there is reason for the charge, so often brought against the scheme by

objectors who bave nothing more specitic to

alleze than its teudency and design are to es-|

tablish the independence of the Provinces. Although on this eontinent, and even in the

Provinces, there is a wonderful indifference on

the subject, the time cannot be far distunt

of sectional interests by the political power

when the public feeling against the promotion | Lower Provinces. Thetariffs there ave only ten | Rosslea,

derive’, from wiion have been too much regard- (ed as negitive; but people can never be ex- pected io be cuthusiastic in favor of a change which does not promise more than merely the removal of obstructions which nine hundred and ninety-nine cut of a thousand have never felt, simply because they have never had occa- sion to come in contact with them. The Pro- vinees have no grievances of the kind that come home to every man’s business and bosom. In one sense it is a misfortune for the proposal of union that it is not a project for the redress of such grievances, or for the concession of jabstract rights, the demand for which forms jeven a still more powerful motive for political lagitation. The people not being miserable | they do not experience any lively sensation of | happiness in pressing on the present movement, | for what is only exceptional in other matters may be said to be the rule in political agitation. People are never happy but when they are nuserable. The prospective advantages are of a kind which cautious business-men in private life do not care to specify lest they be con- sidered over sanguine. It is not necessary to | be very sanguine, however, to perceive the in- jnumerable ways in which the prosperity of a | Colonial Union might be developed alongside {of the ‘Continental System,” and chiefly be- | cause of it. But politicians in the Provinces haye hesitated about enlarging in detail—the i ouly way in which the advantages of Union can ibe brought home to the public mind—o. the | development of British American industry un- jder a united Government with an equ:tably adjusted and light system of taxation. It is, no doubt, well to aveid a tone that might be regarded as hostile to a powerful neighbour, But probably the true reason is. that Provincial | politicians have not yet acquired that implicit | faith in the literal principles of national trade and finance which is so firmly established in the British mind. I have heard it frequently re- marked, “If a ten per cent. tariff oa a few leading articles could be adopted,” as if such an idea were too good to be thought of. But why should it not? Because a certain revenue has to be raised, and it is taken for granted as @ matter of course that a large revenue can only be got by means of a high tariff. To this | assumption has in a great measure been owing |the opposition to the project of Union in the

| and fifteen per cent. on the chief commodities,

ficiency will nut exceed one million, so that there

will be another considerable redaction of taxation

in the year en which we have entered. The

revenue in 1864 wae £70,124,374; in 1865 it was

£69,196,472, The more duties and taxes are ; reduced, the larger growa the ineeme. Se with | the trade of the country. The Beard of Trade} Returus for November exhibit an increase of three

and a half millions on these of the same anenth

of 1864, or twenty-nine per cent; and compared

with November, 1663, an increase of twenty-two

percent. There ts one slight drawback—an in-

crease in the value of money. When the Bank

of England, on the 29th, raised the rate of dia-

count, it was @ precautionary measure, and

whethee the rate will increase, or otherwise, will

depend upon the effect which the step then taken

will produce. The probability, however, is that,

in the present healthy but speculative teuper ot

the nation, money will be dear for some time;

and one authority states that the rate of discount

may eee tweuty per cent.

THE JAMAICA COMMISSION.

Mr. Gurney, M. P. P., Recorder of London, and Mr. Maule, Recorder of Leeds, whu are to assist Sir H. Storks in the Jamaica inquiry, sailed from Southampton, Mr. Cardwell, in a speech which he delivered at Oxford, stated that the temporary suspension of Governor Eyre was not resolved upon because the Government thought he was unfit to remain io the office, but because il Was considered that pending the enquiry it would be only fair both to the Governor and his accusers that somebody else should huld the reius ot power.

The Jamaica committee has despatched two commissioners to the colony to watch the pro- ceedings of the Royal Commission. ~Qne ia Mr Horie Payne, a cemmon-law barrister, and the other Mr. Gorrie, a Scotch advocate. Lt is stated that the Colonial office has promised to afford these gentlemen every facility tu coileeting inter- mation, but has distinctly refused to recoguise their locus standi before the commission.

There are now 23 steam-packet companies in Great Britain, who own about 370 steamers, the tonnage of which is 550,000, the horse-powei 110.000, and the value between £30,000,000 and £40,000,000 sterling. 164 of these ships are connected with Liverpool, 94 with Southampten, 40 with Hull, 25 with London, 16 with Glasgow, and 16 with Hartepool; 200 hundred of these steamers trade with the eastern and 170 with the western hemisvhere — upwards of 80 of the largest of the latter trade exclusively with the United States. The whole of those steamere run about 10,000,060 miles, and consuine 2,000,000 tons of coal in the course of a year, and they give employment to 30,000 seafaring men. The sane number of sailing ships would not run one quarter the number of miles in a year. The above ships are exclusive of about 2U0 steamers that run to aud from England and the continent by the southern ports iu the Engiish chanel

The whole of this vast steamship power of the coustry has been created within the last 30 years.

Deati oF A DescenpDaxt or Owen Roe G'’NettLe.—There died, a few days sitice, near Rosslea, County Fermanagh, in the 96th year of his age, a wan vamed Luke Lynch, who might. with justice, be cited as an illustration of the saying—* That it is amongst the Irish peasautry the real nobility of the country may be found.” Although this mau occupied a comparatively hum- ble porition in society, he could dwell with pride on the fact, that among the highest and best of the historical celebrities of our country he would find his ancestors; and although he was born and lived his lifetime in a retired district, be could trace a direct line of descent from the Red Handed Neill, from Owen Roe, trom the O’Reillys of Cavan, and from the M’Mahans otf Monaghan and Dartry. The deceased had a brother whe, abort forty years ago, emigrated to South Carolina and settled at Cheraw, where he became an extensive planter. One of his sons was a major-general in the Confederate army, who was prevented by sickness from taking ac- tive service. Another son, James, was a colonel, and commanded ou James’s Island, off Char leston, during some of Gilmore’s must determined jattacks; he died in the service. Another son jis the Right Rev. P. N. Lynch, Bishop of South | Carolina, who lately visiied Europe ona a diplo- jmatic wission for the Government of Jeff. | Davis, and while bere he visited his uncle at At that time his father was in pood health, and ou a visit with another son Dr.

wall-he aa-strony aa ever it has been in Britain. | while that of Canada is twenty per cent. It is John Lynch. of Coluabia, S.C. The deceased There are no Ex slishmen so much respected in| supposed, almost without contradiction, that | was a man of very considerable attainments, and the United States as John Stuart Mil! and John | under Confederation the Canadian tariff would, | intimately acquainted with every phase of Trish Bricht: but the essential principle that has in-| 88 regards the leading duties, be substituted for | politics. He could freely converse on every poli-

spired the writinus and speeches of these emi- nent men is just the one which the United States irsuores and contravenes at every turn of its levislation. The free-trader says that poli. tical yovernments should have regard ouly to

the inierestsiof the consumers —that is to sry, | Canadian system of duties. But the adoption |

athe whole people. The British statesman re-

ithe others, and as if this assumption were not open to question it has been shown officially j how much more the Province of New Bruns- wick would last year have contributed to the lrevenue than it did, if it had been under the

of a tariff will be the most important point for

i tieal change that came over the country since jhe saw the volunteers of 1732 under driil. He | retained his mental faculties to the last, and,

| aided by every consolation of religion, has de-

|parted, it is to be hoped, to a better world, | —Correspondent of Ulster Observer.

Concerning the late disseusion among the Fer-

fers ty the amout of imports as proof of the | the representatives of all the Provinces to con- | ians in the United States, the London Daily

prosperity of the people by whom they are con-| * ; al Stimed, without any question about the balance from the Lower Provinces we may be sure will | partial to a scale of duties not higher if |

Wf trade with those countries from which they are derived. That the working-man is lightly taxed on the necessaries of life, not at all on the most essential, such as bread, meat, cloth- jag, and fuel, and very lightly on tea, coffee, and susar, is thought not unworthy of being enlarged on by Mr, Gladstone as the grand re- sult of the system of leyislation that is now established, The American system may be tiferibed as the epposite of all this. “The consumer is left eut of account entirely ; the producer alone is cousidered. The old fallacy

t, whatever benefits the latter must also be for the good of the former, is as much a fullacy here, where almost all meu are suid to be pro-

sider when the Union has been formed. Those

| be | possible than they have at present. But what | peculiar interast can Canada have in adhering jto its present tariff? It is supposed that Cana- | dians generally, aud Mr. Galt more especially, | have a love for heavy import duties in the ab- istract? On the contrary, there can be no | doubt they will be glad to approximate to the | low rates of Nova Scotia and Newfoundland, as | far as they think it safe and practicable to do 130. It is desirable that they should venture as | far as possible in this direction, for the sooner }a broad contrast is established between the | free system of the United Provinces, and the | exclusive policy of the United States, the more

ers, as in Europe where the son-producers | quickly will the sure reward be enjoyed. Even

ques eome to be so much more sumerous in mpertion tu the rest of the community. The

istinction is more truly indicated hy the terms

“‘capitalist™ and “laborer,” and the protective system iu America is in reality as unjust to the pilleg as ever it was in Britain, The only dif. crence is that here working men of all oan

are obliged by the system of protection to pay higher prices for the clothes they wear and the tools they work with, whereag iu Britain it was throuzh the augmented prices of bread and beef that the working people were swindled by the Cioxernment for the benefit of a certain class “producers.” That the consumptive power

oF these producers was increased by the greater prosperity they were alleged to enjoy, and the laterests of all classes tus apheld by the system of protection, was a delusion which has been

most sizually dispelled; the working classes

at the risk of a deficit for a year or two, it is above all things desirable that the new Confe- deration should take decided ground from the first as the champion of free imports on the American continent. Of course there are no abstract principles, in poltics more particularly, to which there ‘are not exceptions. Free im- ports do not imply the total abolition of cus- tom-houses and import duties, and free trade does not mean the exposure of national interests under all circumstances to foreign competitions. England has outzrown the system of reciprocity which was introduced by Mr. Huskisson forty years ago, and in most directions it has substi- tuted actual free trade. But it is still qumte ready to negotiate for reciprocity when nego- tiation is required, and it was Mr. Cob- den, the most thorough-going of free traders, who negotiated the existing commercial treaty with France. The adherence to protection

generally, and the classes immediately depen- ut 08 agriculture, owners, occupiers, and la- borers alike, have all gained immensely by the change. The assertion so often indulged in by public writers in America, that the protective system is for the benefit of American labor, is one of the most absurd misstatements that the light of experience has ever exposed. Protec- tion in America is as much for the interest of & numerous and powerful class, and as much opposed to that of the whole body of the peo- ple, and tothe working of good government On the only safe basis of justice and equality, as the system which in Europe all great politi. ! thinks from Adam Smith to John Stuart Muil, have denowuced as the root of all evil. 118 system, loag 20 discarded on the other side of the Atlantic by sll who have had any affinities fur freedom, hon funnd refuge on this side under the dignified title of * The Conti- neutal System.”’ It is for the Proviuces now tw deeide whether they will succumb to this syatem, and accept a share of the ominous f2- ture which inevitably awaits its unchecked vel ment, or secure to themselyes and * that better protection which must result from the independent and unswerv- ing application of those sounder principles whi wd the interests of the whole people as the sole end of government, and all other claims as cases for exceptional treatment, if entettained at sll. Mr. Gladstone, the other , Spoke of these as “the ouly principles on which country can be justly governed ;”’ and ritish Provinces have now a noble oppor- tunity for establishing them for the first time 4 this continent. This opportunity is so ma- is eee beeen ie tn eostees on ob vious, Ht seems scarcely necessary to poiut i That any class cham should be so iyfatuated, anf +> fatalist in their ideas as tu i eee foe enna ings to w are pleased to call vheie ‘natural course "’—~that is to say, that they should have no other aim for t feature but to recongile themselves hopelessly te absorption into the “ Continental System,” with its imereas.ug burdems, and the political troubles which can hardly fail to result from almost incredible:

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fallacies in one community may necessitate a certain regard to them in its neighbours. Thus, if the States impose a duty on fish, it is ot to he expected that the Provinces will carry out the principles of free trade so literally as not to follow the example. As regards the produce of the different Province the Union must fur many Years to come be of the nature of a commercial treaty, the system of duties being such as to ind.ce Canada to buy its fish from Nova Scotia and Newfoundland, and the latter to take the flour and plovisious of Canada in return, But a temporary policy for the consolidation of a new country, ana for opening the necessary channels of an independent fore?gn commerce, does not conilict with the principles of free trade, which it is sincctely to be desired may form the essential spirit of the new Con- federation. ——____+_-~-ae-—___— ITEMS OF ENGLISH FEWS.,

MINISTERIAL CHANGES.

We hesr of some further Ministerial changes. Lord Clarence Paget, for instance, is giving up his post ss Sec: lary te the Adwiralty, to join the British fleet in tne Mediterranean; and his suc- cessor ia Mr. Stansfexl, the gentleman who, as a Junior Lord of the Ada, Nity, was driven from

News, of late date says :—

“After this struggle, it will be difficult te | reinstate Fevanism in its old importance before the world. For some reason we could have wished that the display had been postponed for 2 month or two. Our Government, our press and our judges have been treating Fenianism as a very serious thing, and we are all committed te that line. We cannot suddenly change ground ; Mr. Justice Keogh must be kept in countenance ; Whereas the ridiculous demonstration suggests to the world that we have been making tee much of an absurd imposture. This, however, is a mat- ter as to which we have no choiee, and perhaps on the whole it is better that Fenianiam should visibly collapse amidet the laughter of the world, than owe its suppression entirely tu stern jus- tice.”

er

A Mexican Town Caprurep ny Texan FttLipusrers.—The Matamoras Ranchero ot the Sth contains the following :-—Several officers and men crossed from Clarksville, Texas, and took up their quarters apparently for the night Shortly after midnight the guards at the ferry and along the river were surprised and disarmed by this party. Such lighters as were at hand were immediately seized, and with them the party crossed the military forces at Clarksville, about one hundred strong, mostly negroes, and entered Bagdad, The imperial garrison in Bagdad, about 175 streng, was completely surprised and eap- tured. The commander of the post and captain of the post were taken prisoners while in bed. Ht is reported from Lellia that the latter escaped. The fillibusters upon capturing the town imme- diately inaugurated a system of plunder and pil lage. The warehouses were gutted and their contents crossed over to the American side of the river.

The Imperial gunboat Antonia was called upon to surrender, but answered with a broadside, which for atime acattered the fillibusters. A second demand for the surrender of the gunboat was subsequently made, which was answered in a similar manner. ‘The Antonia at the time was en roule up the river. An Austrian sergeant on board of ber was killed. At daylight the French man-of-war in the harbor opened fire upon the fiillibusters, compelling them to take refuge in the upper part of the town. The last accounts stated that the fillibusters still held the town. The deaths reported on each side are 31. It is stated that the fillibusters are commanded by Ger. Reed. Gen. Crawford has atarted from Brownsville for the scene of action, 1300 innperialiste, it was said, had left Matamoras to attack the fillibusters,

———-—-- 2S Doo—

TRADE OF MontTreaLt—The Herald devotes thirty-six columns to a review of trade and com- mere’, Which shows a most satisfactory state of affairs. There has been a considerable increase of shipping—5,062 vessels over 1864. ‘The exports of Cancdian preduction amounted to $5 361,193, of whieh $526,853 to the Lower Proviaces. The exports oc articles not Canadian are valued at $2,213,505: aver a inillion dollars’ worth of tea went to the United States. There has been a great demand fo> Canaai4 tweeds the whole year. Less wheat was a..'pped ‘ast fall than for ten years. The value of rea! property in Mon- treal is thirty-eight uiillious, tne revere $355,-

the Government a couple of Years ago, for his) go5

assumed complicity with the plots of Mazzini. it ia eemaniihel the Uitramontas 8 and the French Legation will take this appons! ent tn dudgeon ; but they need not, for Mazzini is deg. A Freneh jourval states that he is jiving in a) small obscure lodging in Brewpton, and it asks why. now that the ould conspirator ia powerless, the King of Italy does not allow bim te expire on his native soil. No better man could lave been selected for the office that he now fills than Mr. Stansfeld, and the lesson which bis fermer mishap taught him ean never be forgotten during the re- mamder of his life, however long protracted. None but an able man could have emerged so soon from wader the cloud. Lt is rumoured that considerable reductions will take place in the naval expenditure of the preseut year, and the financial plang of the Duke of Somerset tor this purpose are progressing satistactorily. Tae Duke bas recently experienced a ead loss in the death of his second son, who recently met with an ac- cident in India that killed him. His father disigned him for a politician, aud he wae said to have been highly promising, and would have made a figure as 3 public man, if bie life had been spared. He was in delicate health, and was im- prudent enough to go te Ladia, sunply tor the pur- pose of making bimself acquainted with the country. ,

’ ‘ ~ REVENUE RETURNS.

* The revenue returus te the end of 1865 are eminently satisfactory. While reducing taxation wm his fast budget to the extent of five millions sterling, the Chaveellor of the Exebequer caleu- lated on a deficiency of three millions, but it bas auw been conclusively established that the de-

“4

ot

——— The Kingston papers state that orders i.1ve

been issued by Col. Moffatt, R. C. B., commana- ant of the Military School, requiring the Cadets ‘a wear cartridge and cappouches, and to take their arms home with them at night. Also to procerc to the Tete du Pont barracks in order to “fall in’? with = Royal ca aa when-

they hear ‘bree guns 10 rapid succes- pa roe. the mort “st night. Some say that the order was issued af & matter of preeaution against raids, the river mo being frozen between the States aad Canada, and orders that it was promulgated with the view of u!‘imately testing the efficiency of the Cadets.

men te

A late cartoon in London Punch is sugges ‘ed by the insurrection in Jamaica. There is in the front of the cartoon a reverend gentleman of the Aminadab Sleek stamp, Stiggins by name, with eyes turned upwards as if perfectly oblivious of everything worldly, and an orthodox umbrella in his right hand. To his left ia a Jubberly negro, for whom the reverend Aminadab seems to have a striking affection. A short distanee bebiad is a planter, who, with a balf supplieatory, balf cov- demnatery look, rewarks tu Stiggins, * Am pot [a iaan and a brother?"

ee

In Russiaa esffin fair is held once a year. Every peasaut who hasan aged parent buys a effin. The present is alwaye.acceptabie, for the reeeiver feels assured that he will have a christian burial, and he is proud of the son who thus gares

NEWS BY

—>—

The Gramin

Charlottetown, February 5, 1866.

THE ENGLISH M

AIL ' us that there should be some power lodged in

her lifeboat. Did Captain Martin understand

the science of navigation; and, if he did, was 4 he in possession of implements upon which he qcould rely? If he has, then it is hard to say that the London was the prey of the fury of the elements. But does the whole case not teach

the officers of Lloyds to prevent vessels sailing in spite of warnings which should be regarded

Ow Saturday night and this morning we re- ceived large Mails from the Colonies, from

which arrived this morning, brings us dates to the 21st ult. We give befow some portions of the news trom Europe.

The latest news from the Colonies and the United States, both by telegraph and mail, will be found in othér céluinns. ’

NEWS FROM BUROPE BY THE ENGLISH MAIL.

FENTANISM IN LONDON.—RUMOURED CONSPIRACY TO BURN THE PUBLIC BUILDINGS.

A rumour of a very alarming character is prevalent, to the effect, that there’exists a con- spiracy of Fenians to destroy some of the pub- lic buildings in London, Extraordinary pre- cautions azaivst such ¢ontingencies have already been adopted on the part of the officials at the Custom House, Somerset House, and other places, consequent upon private and con- fidential instructions received by them from higher quarters.

THE INSURRECTION IN SPAIN.

There is nothing more unsatisfactory than to try to make out the meaning of the bulletins that are published daily by the commanding officers who are conducting the campaign against Prim. There are no less than five columns, we are assured, in hot pursuit of the rebel, but we are ata loss to understand whe- ther they are more unwilling or more unable, not ouly to get near him, but even to ascertain where he is.

Official intelligene¢ announces that the in- surgeuts forded the Gaudiana, near Villanueva Serena, on Monday evening, at six o'clock, and arrived at Villanueva at seven. They left that place at eight o'¢lock, making hastily to- wards the Portugese frontier. It is officially announced that Prim-has not yet entered Por- tugal. Complete tranquility continues to pre- vail in Catalonia. Some armed men have, however, appeared in the vicinity of Reus. Order has not yet been disturbed in Saragossa. The movements of the troops in that province cuntinue. On the I6th, the insurgents, under General Prim, were at Zalamea, a small village on the frontiers of Pertugal.

According to letters from Madrid intelligence had reached that city asserting that Admiral Pareja, commander of the Spanish squadron off the Chilian coast, had committed suicide.

FRANCE AND MEXICO.

We have heard that the Emperor of the French has positively intimated to the Cabinet of Washington his willingness to withdraw his troops from Mexico, @t any moment on condi- tion that the Government of the United States recognises the Rmpire of Mexico.

The French steamer Caton has been ordered to proceed on a cruisé to Barcelona and other Spanish ports, and the captain is instructed, in case of need to place his ship at the disposal of the French consuls. PRUSSIA AND THE ISLAND OF FORMOSA.

It seems that the Prussian Government is about to take possession of Formosa. Now, Formosa, under the name of Tai-wan-foo, or “the District of the Great Day,” witha capital of that name, the residence of a Chinese chi foo, or prefect, belongs to the Government ot Fe- kien, the Viee-royalty of Ming-che (Fo-kien and Che-kiang), and to the empire of China. The island was taken from the Moslems in 1624 by the Dutch, who erected at Tai-wan the fort Zelannia. About that time 25,000 Chinese, followed in this century by millions, took re- fuye in the island, escaping from the rule of the Manchoo conquerers. Zelandia and the island were taken in 1662 from the Dutch by the Chinese pirate Ching-chi-koong, also known by the name of Coshinga, It was thea opened to Enyzlish traders. The pirate’s son surrev- dered Forniosa in 1683 to Kang-hi, Emperor of China. The island afterwards revolted two or three times, as other parts of the empire did, the last rebellion being crushed in 1834. The Chinese quarterly Red-book gives Formosa as a district of the empire, and every English- man who has been ¢uyazed ia the civil service |in China may be aware that it is really a part of it. Have all strong nations a right to take hold of any possessions of other nations they think of some use to themselyes—such as Den- mark, Montevideo, Chili, the guano islands, or Formosa? The most striking fact is, that the Prussian Government seems to have a treaty with China and a Minister at Pekin. ;

INDIA.

TERRIBLE RAILWAY CALAMITY — LORD EDWARD SEYMOUR EILLED BY A REAR.

Bomsay, Dec. 28.—A terrible accident has occurred on the Great Indian Peninsular Rail- way on the Thull Ghatt, occasioned by a goods train rushing throuzh a station, and being pre- cipitated over an embankment of seventy feet. Six lives were lost, the enzines and carriages destroyed, and the goods utterly damaged. The Great Indian Peninsular Railway was opened to Budmaira en the 38th ist. — Lord Edward Seymour was attacked by a bear while out shooting on the 13th inst. in North Canara. One leg was afterwards amputated. He did not survive the operation, but died on the 20th inst. -—A petition for the removal of Judge Antsey from the Bench has been presented to the Bom- bay Government by many leading natives of Bombay.—Shocks of earthquake have heen felt near Calcutta and in the Punjaub. The Nag- pore Exhibitiou has been opened by Mr. Temple, the Commissioner, with great eclat. The In- dian Budget is expected to be published on the Ist of March. ‘The weather is cool, and public health good.

Surpwrecks.—The new steamship “Lon- don,’’ carrying two hundred and thirty human beings to Melbourne, has gone down, and only nineteen persons have survived to tell the tale. We have no feason to hope that any part of the two hundred and eleven of the crew and passengers will be saved, because the nineteen witnessed the vessel go down. stern foremost in the raging sea. So sad a record can only be noted)! for it is almost idle to offer words of sympethy to surviving relatives, whilst the real calamity is one which ought to provoke a very stern inquiry on the part of the public, for it is a calamity thus to lose one of the finest vessels of our mercantile steam navy, and it goes either to impeach the yalue of our scientific culture, or the prudence of our ship captains. The ‘London’ left Plymouth on Saturday, the 6th, and she sailed at once into frightful weather, which was prophetic of the storm to come. It blew a gale on the 7th, 8th and 9th, and on the last day the ‘London’ lost her jib-foretop, top-gailant, and royal masts. The life-boat was washed away. Ouly on the 10th she put about, after having parted with some of her spars, in order to get back to Piymouth, or some other port, but the sea

hroke over decks, and extinguished the engine Sas On Wednesday week the passengers hal to keep the vessel afloat by bailing the water put with buckets, but it was found to be impossible to stop the leak which was made in the stern ports. There only remained the boats. The first capsized; fhe second lived in the raging sea, and broight us the ninetee

survivors to tell the melanchoiy tale. We shall not attenipf to dwell upon the frightful sufferings of the crew and ing the five day’ when they contended with disaster after disaster, and the angry elements around. We are sjmply desirous of drawing attention to the important question of how far the calamity might have been avoided. On the 6th of Lacteity the whole mercantile warine had notice that on the 5th the harome- ter was lower than 30 dezrees, and at Plymouth it must iave been known that the barometer indicated as low a rate as 29 deg. 72 min. The ¢‘ storm signal’? was hoisted all over our coasts, indicating the approach of a south- westerly gale. Uf course we do not expect skippers, who eonceive themselves to be weather-wise and jn advance of modern science,

Admiral Fitzroy. The Londog ggiled in spite of a warning which no pradem man woah] have disregarded, and in spite of a further fail in the barometer. Th? London did not atiempt

for bie laet resting place. * eae... Cat

to tarn back until car “4 lost her spars and

by all prudent men ? to be wasted by the exercise of ignorance too America, and from Europe. The English Mail, | conceited or prejudiced to learn the simplest

truths taught by Providence.—London News of the World, i

IMPENDING TROUBLE BETWEEN THE

States is that which records the fillibustering

tory, of which the particulars are given in our

tween Mexico and France on the one side and the United States on the other.

event :-—

Life is too precious thus

an. 21.

——-_ >

U. STATES AND MEXICO.

Tue most notable news from the United raid from the United States into Mexican terri-

news columns. The press seems generally to

regard it as the commencement of trouble be-

The New York Daily News thus apprehends the danger that is likely to arise from this untoward

The news from Mexico is of a most threaten- ing character; viewed in connexion with the tone and substance of the diplomatic corres- pondence, recently published, between this Go- vernment and that of France, it is almost pro- phetic of a foreign war. The attitude of the United States towards Maximilian, and our re- lations with Napoleon in regard to Mexican atfairs, will not admit of such rough demonstra- tions as have been reported from the Rio Grande. It will be ditheult for Mr. Seward, with the record of his hostility to the Mexican empire in the hands of M. Drouyn de Lhuys, to couvinee that not over amiable diplomat that the capture of Bagdad and of its Imperial gar- risou was not inspired by this Government. Of course the Administration will deprecate such acts of violence, and will seek to be absolved trom responsibility for the offences of a so- called fillibustering expedition; but when a force, organized, armed and equipped in one of the United States invades the territory claimed by Maximilian, and inaugurates an offensive campaign by capturing and holding possession of one of his garrisoned towns, something more than an apoloyy will be demanded. Napoleon will claim, not without reason, that the pre- sence of a large Federal army upon the Mexican frontier, with ordinary zeal aud vigilance, eould compel the observance of a strict neutrality, if such were the instructions and purpose of those incommand. If the fillibusters, or any of them, he captured by the Imperialists, they will un- doubtediy be marched away to immediate ex- ecution, Should they escape hack into Texas, Maximilian, in default of their delivery into his power, will hold this Government accountable for their deeds. In either case there would be engendered a popular excitement, mutual re. sentments, passiou, vindictiveness, defiance and retaliation.