The New York Herald Newspaper, January 7, 1859, Page 1

THE NEW YORK HERALD. 8160. WHOLE NO. MORNING EDITION—FRIDAY, JANUARY 7, 1859. PRICE TWO CENTS. INTERESTING FROM WASHINGTON. Proceedings of Congress—Debate on the Pacific Railroad Bill—Death ef General Henderson, of the Marine Corps—Forth- coming Report on Our Foreign Rela- tlons—The President’s Polley Sus- tained—Importance of the Move- ment of the Iron Masters—Fall- ure of the Douglas Ovation— ‘ Interesting from Miear: gua—The Leaders of the Shipwrecked Filibusters to be Prosecuted— The Government's Instructions = to Com, Meintosh, &e., &o., &e. Our Special Washington Despatch. DEATH OF GENERAL HENDERSON—ARRIVAL AND RE- CEPTION OF SENATOR DOUGLAS—FAILURE OF THE AGRICULTURAL CONVENTION—INCREASE OF THE NAVY—NEWS FROM NICARAGUA, ETC., RTC. Wasuixcro, Jan. 6, 1859, General Henderson, chief of the United States Marine Corps, died suddenly this evening, at his residence at the Marine Barrgcks in this city. v Senator Youglas arrived this evening. Preparations for a grand ovation were made, to the extent, it is said, of ‘one hundred dollars cost, raised by subscription among his admirers. Pluyius, however, damped their ardor, and the affair was tame. ‘The Advisory Agricultural Board, Convention, or what- ‘ever else it may be called, is, as I predicted in the Heraup, a humbug. I cannot believe Judge Holt, the Commissioner of Patents, who is an able man, had any- thing todo with it. It is true the cost will not be more than a few thouzand dollars, but the miserable trifling With a great subject, and with such pretence, is discre- ditable. The Agricultural Bureau could and ought to be made most uzeful to the country. More ability is needed im its management and officers. The movement of the iron manufacturers to obtain a Jaw for an increase of duties, or for a specific duty on iron— for which purpose the meeting was held the other day in ‘Philadelphia—is likely to bean important one in a political “point of view. At this time the movement is merely ini- tiatory; but thero will probably be, within a short time, a powerful organization. The leaders calculate that. the iron interest holds the halance of power in Pennsyiva- nia, New Jersey, Connecticut, Maryland and Tennessee, and probably in Ohio, Missouri and Kentucky. This pow- er, if judiciously used as a balance under the combination contemplated, can make or unmake any political party. ‘She leaders are coming, one by one, to Washington. ‘The Senate Committee on Foreign Affairs have under consideration the President’s Message relative thereto. It is understood the committee will in a few days report to the Senate what action is deemed advisable in regard to ‘Mexico and Cuba, The President’s policy will be fully sustained, Senator Bigler is authorized by the Committee on Com- merce to report against a ship canal around the Falls of Niagara,.on.tke ground that, however important it may be, it is inexpedient, owing to the present condition of the treasury. ‘The special Pacific Railroad Committee met this morn- ing. After some debate it decided to await the Senate’s action on the bill now before that body. ‘The House Naval Committee met this morning, but came to no determination on the questions before them. They will report a bill for byilding ten steam sloops. It is reported the present Superintendent of the Mint ‘at Philadelphia is shortly to be rotated. The friends of the French Spoliation bill tried their strength in the Senate to-day. The bill comes up to- morrow. It is believed it will pass. ‘A variety of additional information as to Nicaraguan affairs has been received here in private letters, whic! ‘will be read with interest in the present position of Cen. tral American affairs, A letter from Leon, dated Dec. 4, says that Gen. Martinez, with his Ministers and officials of the Cabinet, had been there since the 30th of November, and intended to re- main until the 28th of December, when they would go pack to Managua, in order to be present at the opening of the new Assembly, which was to take place on the 1st of January. Gen. Lamar arrived at Leon Nov. 30, from Costa Rica. It is understood that he is satisfied with his relations and intercourse with President Mora, of Costa Rica. Whether this means that he has succeeded in getting the $6,000,000 ciaimed as damages by American citizens yet remains to be seen by the claimants, who have, as yet, received no dividend. ) It was difficult to tell what Martinez wonld do with re- gard to the Cags-Yrisarri treaty, which was taken back by Licenciado Jerenimo Perez; but it is thought that if Sir Gore Ouseley insists upon the ratification of a British treaty, backed up as he is by a large fleet, that the Cass- Yrisarri treaty will have to be ratified as well, as one is to be but a counterpart of the other. Captain Spencer and Senor Gottell were at Leon. The latter gentleman has been known as the M. C. of Nica. Tagua, Those initials in this instance, however, do not stand for member of Congress, but for mule contractor. Both gentlemen were acting as agents for Vanderbilt, Van. dyke and Jerez, trying to get the approval of the Transit grant made between Jerez and Vandyke. That contract Will have the approval of the democratic party, and Mar- tinez and his friends will probably give their adherence to aid the ratification of the contract. But the Jo White con- tract is a great stickler, and they do not know how to get ‘over it. They are all discreet and cautious, and it is diffi- cult to tell what will be the upshot of the whole matter. Gen. Martinez has been remarkably weil received at Leon. It is said | entered the city surrounded only Dy Leonese mer ui troops, showing great confidence in the people who formerly were his bitterest enemies. This, with the news which you have published from Hon- duras, rather knocks up the idea that the filibusters would have had some support if they nad succeeded in landing. * according to this Walker’s last expedition eclipses in its Quixotic character that to Sonora and the others. ‘The special agent of Jerez, Senor Perez, seems to have become a regular Yankee. He is aid to be running about Managua and Leon praising Mr. Buchanan, Mr. Cass and all the members of the administration, and all American editors and American women. He says there is no coun- try but Nicaragua equal to the United States. It is sup- posed that his praises will effect much in Nicara- gua in interesting that people with regard to the United States. It will not hurt the Nicaraguense to be- core a little liberal with regard to this country, so that all our matters will be settled and filibusters put down, While Senor Perez is at this good work, he shoul turn his attention to President Martinez, who seems to be the Worst of the lot. “At any rate, if filibustorism is to exist, it will be nation- al. Oor government will havo to look out that the English and French governments do not gain the supremacy ina guict way. Mr, Manning, formerly British Consul, is running about, full of all sorts of stories, to injure the United States with the Nicaraguans. He has a large claim, and is afraid that he will lose itif the Yankees get possession of the country, and is doing what he can to prevent a settlement of difficulties with us, for fear his claim will be knocked into cocked hat, ‘ ‘cinema THE GENERAL NEWSPAPER DESPATCH, Wastineton, Jan. 6, 1859, It appears from documents communicated to the House to-day, in response to a resolution, that a correspondence between the Secretary of the Treasury and the Collector ‘Mt Mobile has been in progress since April last, relative t the Nicaragua filibusters. These papers contain little of interest in addition to what is already known, ‘The fact is apparent that much was left to the discrotion of tho Collector in the matter of granting or withholding liconses to suspicious vessels, but where doubts existed in his ind they were removed by official instructions. In response to the Collector’s inquiry as to what should be done with the returned shipwrecked iilibusters, the fecretary telegraphed on the 4th instant that tho princi- yals should be proseouted, and desired the Collector to fernish him with a list of those who arrived in the British vessel. ‘The Secretary of the Navy also transmitted documents to the House, io answer to the resolution calling for copies of the instructions given to Commodore McIntoch, in which that officer was informed that citizens of the United States have a right to expatriate themgelyes and become citizens of any coun- try willing to receive them, but have no right to make that a cloak tor warlike expeditions. He was directed not to seize any vessel, or acton mere suspicyon, while he is reminded that the President regards Commodore Pauld- ing’s seizure of General Walker and his followers as a “grave error.’’ He is counselled not to interfere on land, or in any harbor, for the purpose of arresting any filibus- tering expeditions set on foot in the United States con- trary to the atts of Congress, but on the other hand to protect the persons and groperty of our citizens engaged in lawful business again all illegal acts of vio- Jence and oppression to the full extent of his power. Judge Douglas was met at the railroad to-night by a large crowd of porsons, and received with cheers, ‘They subsequently proceeded to his residence, and in re- sponge to their call he made a brief speech of a general patriotic character, and of thanks for the spontaneous expression of their friendship. Just before the adjournment of the House to-day, Mr. Jones, of Tennessee, made an ineffectual attempt to intro- duce a resolution calling on the Secretary of the Treasury to inform them by what authority the Advisory Board of the Patent Office was called. ‘The House Select Committee on the Pacific Railroad held @ meeting to-day, when Mr. Curtis, of Iowa, replied at length to the argument of Mr. Phelps, of Missouri, who urges a bill proposing the thirty-fifth parallel as the line of location. Mr. Curtis advocates a central road, with two branches, Mr. Colfax’s bill for the organization of the new Territo- ry of Colona embraces al! the recently discovered gold re- gions of Pike’s Peak, Cherry Creek, &c. The Territory will stretch from the 103d parallel of longitude to the crest of the Rocky Mountains, being from four to five degrees in width and from the thirty-seventh to the forty-second pa- rallel of latitude, making it five degrees in length. It will thus be nearly square, and will include parts of the Terri- tories of Kansas, Nebraska, Utah and New Mexico—nearly all, however, being taken from Kansas. It will embrace within its borders not only the gold diggings, but also the famous Three Parks, the head waters of both forks of the Platte, of the Arkansas and of the Rio Grande. Also, its exterior lines will be guarded by Bent’s Fort in its southeast corner, Fort Maseachusetts near its south- ern boundary, and Fort Laramie just beyond its northern line. St. Vrain’s Fort will be near its centre. Bridger’s Pass, which shortens the road to California over one hundred miles, isin the northern part of the new Territory and the Coochatope Pass in the southern, Colona is the name fayored by the settlers there, nearly two thousand of whom are wintering in the diggings. Mr. Colfax expresses the opinion that by next summer there will be at least twenty thousand F sgoneed in Colona, and it being important that they should havea Territorial go- vernment, he has prepared a bill. Advices from Bremen state that letters from the United les cag tet continent Pater hog with the exception and France, r cent less when seat direct to iiremen aanta Londee.e Lieutenant Doyle has been ordered to Brooklyn. This is the first appointment from the naval officers re- cently restored to the active list. THIRTY-FIFTH CONGRESS. SBCOND SESSION. Senate. ‘Wasnrcton, Jan. 6, 1859. KANSAS, Mr. Sewarp, (opp.) of N. Y., presented the constitution adopted by the late Constitutional Convention held at Leavenworth, Kansas, which was referred to the Com- mittee on Territories. ‘THR FRENCH SPOLIATION BILL. On motion of Mr. CxrrrenpeN, (opp.) of Ky., the French Spoliation bill was taken up, by a vote of 24 against 18, [This bill was brought in in January of last year by Mr. Fessenden, and referred toa special committee, Mr. Crit- tenden chairman, and reported without amendment. } ‘The bill provides that a sum not exceeding five millions of dollars shall be paid pro rata, in satisfaction of the claims of American citizens who had valid claims upon the French republic, arising out of illegal captures and confiscations prior to the ratification on July 31, 1801, of the convention between the United Statesand France. The claims are to be ascertained and settied by a Board of Commissioners at Washington within two years. ‘Mr. CrirrennEs addressed the Senate, urging the jus- tice of these claims, and reminding Senators that Wash ington, Jefferson, Adams, Webster and other statesmen recognized their Validity; and showing historically how our faith is pledged to France as well as to our own citi- zeus for their liquidation, DEAT ON THE PACIFIC RAILROAD PROJECTS. The special order, viz., the Pacific Railroad bill, coming up, the Spoliation bill was postponed, without action, and Mr. Biourr, (adm.) of Pa., finished his speech, com. menced yesterday, in favor of the railroad. He was happy to discover in the many speeches on this subject that but little diversity of opinion exists as to the neces. sity of the construction of a railroad across the public do- main to the Pacific ocean. The main difference in the Senate and the country isas to the proper means to ac- complish the desired ehd, and as to its proper location. For himself, he would not be tenacious on minor points. His object was to secure the construction of the road, not #0 much as a means of developing the material wealth of the intermediate country asof maintaining our rights and protecting our citizens on the Pacific side. The where- abouts of the road is an object of secondary importance, whether it be afew degrees farther north or south, so that it be a great national highway. No one will contend that it should be forced where nature never intended it to be. He himself preferred a central route. He could see no reason for serious difference about either terminus of the road. The main trunk through the mountains is the main consideration. Tn locating this, due consideration should be had to the cost of the work, the height of thé grades, and character of the curvatures, but, above all, to the nature of the climate and depth of the snows. Mr. Bigler here made a digression to notice the progress of railroad enterprise in the United States, showing its effect on the trade, com. merce, wealth, political growth and strenth of the Union, illustrating his statement by the fact that many weeks elapsed before the Declaration of Independence was known to all parts of the infant republic; and, as late as 1814, it was long before all the States knew that the capital was laid in ashes. Yet now, whatever transpires in any one State is known promptly in ail, except in the one on the Pacific. Were auy one State assailed to- day by a foreign foe, the fact would be known to all the others, save one, to-morrow, and the whole military power of ‘the republic could be concentrated for its defence. Meantimo, the belt of barren country be- tween the Mississippi and Pacilic has arrested the west ward progress of rairoads, and the task of overcoming this obstacle is evidently too great for individual means, over an inhospitable country, illy adapted for agriculture, however rich it may be in vals. Therefore, if it be left to mere commercial consiterations, it is not’ likely to be constructed in time for the necessities of the govern. ment. Considering, as he did, that it is far more of a military and political measure ‘than of immediate com- mercial wealth, he asked why the government should not lend it its aid, its countenance and its credit? He was averse to committing the government in any way, but he considered that individual capital is not equal to the task, and hence that the strong arm of government should be extended to the work, especially as much of the country through which it would pass is ineligible for im. mediate settiement.gglts completion, as a precautionary measure of defence, would be a wise and sagacious poli cy. Viewed strictly asa military measure, it is worthy of the best efforts of the government, for were war to break out with a great maritime Power, without this means of concentrating our forces, California would, in all probability, within sixty days, be cut off from all commu nication with the Atlantic States. He could see little dif. ference between the construction of such a work and of forts to defend the commercial cities of the seaboard, Why not prepare, in time of peace, for contingencics which must fnevitably arise in case of war? Some may be ready to conclude that we shal! have no war; he trusted in God not, for war is always a calamity; but not such a calamity as insult and degradation. It would be idle to say that we are not in- volved in an imbroglio now in regard to Central America, Nicaragua, Mexico and Spain, from which such a calamity may readily spring. It would be singular if the first six months of such a war did not cost more than would the construction of such a road, Will any man say that we are in a condition to defend our Pacific possessions? Then how can we talk about the acquisition of additional vessions—about a war for Cuba, or protectorate over fexico? Let us establish this protectorate over ourselves, and we shall then be in a better position to influence the destinies of others. Probably no Senator, himself included, but would vote three or four hundred millions for the purchase of Cuba: yet they would not voto a ‘grant of public lands for the preservation of California, Oregon and Washington. Yet what Power would bo strong enough to meet us on the Pacitic with such a rail road, or weak enough not to annoy us without? As a channel of commerce it would open the direct route from China and Japan, It would be a route, not for heavy ton. hago certainly, but for the precious metals, for the finer fabrics, and for the mails reciprocally from Kast to West. Britain is watchful to forestall these advantages, and it is now ascertained that a railroad is practicable through the British valleys of the Red River of the north and of Fraser river. Finally, Mr. Biglor disposed of the various odjec- tions urged against the road, and concluded by warning the government not to be pennywise and pound foolish, but to bind together this confodersoy of sovereign States for their mutual aid and protection. No statesman neod fear tho effects of such a precedent, Mr. Haran, (opp. )jof lowa, spoke forcibly on the pro Pricty of Congress be © youte, The capital re quired is one hundred millions, nearly one-third of the surplus capital of the country. ‘Few native individuals or companies can control so much, hence it is sure to be monopoly—perhape a foreign one. What security, too, is there that the contractors, haying secured the eight: mil- lions cash and ten millions of the best lands for couetruct- a fertile A rence between the three central routes surveyed. can be built in ten or twelve years without the financial condition of the country. in favor of the central route as the centro mail contractor the responsibility of locating the road lest they should offend their constituents in not securing it for their particular locality. Mr, Waxp, (adm.) of Texas, spoke in favor of the paral- lel of thirty-two, comparing its advantages of level and distance over the centra! and Northern routes, maintain- ing that the Southern route can be built with the smallest amount of money, and in the shortest time. Mr. Iverson, (adm.) of Ga., made a sectional speech, and moved that the bill be recommitted, with in- ‘structions to report a bill for the construction of two roads—a Northern and Southern one; he admitted the constitutional power of Congress to grant the public lands, Dut was astoniahed’ that’ Southern Senators should vote for such a magnificent donation to the North. It is afact that all the Southern roads pay seven to eight per cent dividend, while the Northern ones pay nothing. So small an opinion had Northern capitalists of Southern in- vestments, that he believed if the wealthy Senator from South Carolina (Mr. Hammond) offered a mortgage on his plantation and negroes, worth half a million of dollars, for a Joan of ten thousand dollars in New York, he could’ not get it, notwithstanding the popularity of ‘his Barnwell speech. He traced the slavery agitation from its rise among a handful of New England fanatics of both sexes to its present monstrous proportions, and referred to the demon of abolitioniam in its onward march to power. He algo referred to the Rochester speech of Mr. Seward, and said he knows but little of the human heart who imagines thai anti-slavery agitation will stop short of tho total abo- lition of slavery by the action of the federal Cor a To live and reign it must go on till it attains the Presi- dency, both houses of Congress, the Judiciary and the abolition of slavery, or the Union be dissolved. Witness the result of the late elections. He did not consider the return of Mr. Douglas to the Senate a victory to the de- mocracy; it was only a victory of free soil democracy over abolition whiggery. He would not turn on his heel to choose between the Wilmot proviso and the squatter sovereignty of the Senator from Mlinois. Mr. Ivergon professed himself in unmistakable terms a disunion man under the aggressions of the North. Let the Senator from New York (Seward) be elected President, and in his (Iverson’s) opinion’ more than one Southern State would take immediate steps to secede, In certain contingencies, which he stated, Georgia would secede. He did not’ believe the South would go out by a general convention; but let a single State swing out and she would draw with her or after her the remaining States to form either a Southern confederacy or procure an amendment of the present constitution to secure the rights of the South. As he believed the dissolution of the Union was near at hand, he wag unwilling to vote money and s for a road which was sure to be located outside of th—hence he wanted the South to havé a route equally with the North, which shall aid her while in the Union an’ belong to her when out of it, ‘The Senate here adjourned. House of Representatives. ‘WAsunctow, Jan. 6, 1859. LANDS FOR RAILROADS IN KANSAS AND NEBRASKA. Mr. CraiG, (adm.) of Mo., asked but failed to obtain leave to introduce a bill granting lands to Kansas and Ne- braska for the construction of railroads. {ORGANIZATION OF COLOMO TERRITORY. Mr. Courax, (opp.) of Ind., introduced a bill providing for the Territorial government of Colona, Referred to the Committee on Territories. BRITISH TESTIMONIALS TO TOWNSEND HARRIS—SALARIES OF ‘MINISTERS. Mr. Horxzss, (adm.) of Va., from the Committee on Fo- reign Affairs, reported a joint resolution authorizing Mr. Townsend Harris, Consul to Japan, and his interpreter, Mr. Erskine, to accept presents from the Queen of Eng- land; also a bill authorizing the payment of salaries to the Ministers resident at the Argentine Confederation, Costa Rica and Honduras. CODIFICATION OF THE REVENUE LAWS, ETC. ‘The House resolved itself into Committee of the Whole on the State of the Union, and proceeded to the considera- tion of the special order, the bill for the codification of the revenue laws and for other purposes. Mr. Joux Cocmrays, (adm.) of N. Y., said the bill was yery voluminous, covering 289 pages. ’It in no wise af- fected the collection districts or revenue officers, nor the ports of entry and delivery. It was a pure collection of the revenue laws, which are now scattered through so Many statute books, and have been so amended from time to time that it is now difficult to search out and determine what is law. He alluded to the difficulties which now surrounded the present revenue laws, and quoted the opinions of gentlemen in high official positions, to show the impossibilities now standing in the way of their proper administration. He appealed to the house whether they would not, under the array of facts presented, regard the great interests of commerce, and pass a bill consolidating and codifying the laws which have been accumulating during a period of sixty years. ‘The committee rose, when the amendments proposed by the Committee on Commerce were ordered to be printed, and the further consideration of the bill postponed tll next week. ‘THE INDIAN APPROPRIATION BILL. The House then, in committee, resumed tho considera- tion of the Indian Appropriation bill. Mr. Lovesoy, (opp.) of Ill., said, if the process of cen- tralization shall go on as it has done for the past few years, the Executive can say with truth, “ I am the Executive.” ‘The passage of the bill from the Committee on Ways and Means is not urged on the ground of right and necessity, but simply because the Executive has recommended the appropriations. Ht wished to know, from the Chairman of the Committee on Ways and Means, whether they report that unless Congress raise the tariff to suit the views of the President there would be ap extra session bad at his sanction, Mr. Parts, (adm.) of Mo., said that he was not respon sible for newspaper remarks, but would gay that unless Congress provide the means for carrying on the government during the next fiscal year, either by a loan or a re-issue of treasury notes, or by a modification of the tariff, or by all these means, there wiil be a necessity for an extra session during the ensuing summer. Mr. Lovesoy wished to know whether that remark had the sanction of the Executive. Mr. Puetrs responded, when the President desired to have an organ here he would select some other person, and when the President communicates his opinions offi- cially thoy will be received from the Clerk’s desk. Mr. Lovesoy resumed, and stated his objections to the bill, one-fourth of the amount proposed to be appropriated being under the head of miscellaneous. Mr. Purwrs replied, defending the items which Mr. Lovejoy sought to strike out. Mr, Bryan, (adm.) of Texas, advocated the appropria- tion for additional by borin) and interpreters, and for buying presents for the Indians of Texas. He argued that the people of that State were entitled to protection, and inci- dentally said they were fast being alienated from the Union, owing to the neglect of the government. Mr. Gippixes, (opp.) of Ohio, here suggested that the gentleman introduce a resolution repealing the annexation of Texas. Mr. Bryan replied that the annexation of Texas was in the nature of a treaty, now in force. Mr. Grnprnes said they had, in the repeal of the Missouri compromise of 1854, an illustrious example for the repeal of the resolutions for the annexation of Texas. Mr. Bryan—Repeal the annexation resolutions and then we will know what todo. He did not know but what it would bave been vastly to the interest of Toxas if the resolutions had never been passed and sho never admit- ted into the Union. If protection was not given to the people of Texas they will all think so—as a great many of them now do—and will be willing for the repeal, taking the initiative themselves. Mr. GraxceR (opp.) of N. Y., wanted to know whether ‘Texas was not able to protect herself against a few ragged Indians, and said if the affections of the people of Texas were to be alienated irom the Union there would not be much love lost. Mr. Bryay, referring to Mr. Granger, replied—1 would say with such we are willing to part, The people of Texas have received nothing but what was their due. When this government shall say it will not give us protection, we Will resort to such means a8 are amply sufficient, ant protect ourselves. Mr. Ginpias remarked that such threats had lost their efiect here, and created no alarm. Mr. BryAy repeated that all Texas asked was that the compact shonld be observed. Mr, Cippincs—I believe Texas consented to annexation. Mr. Bevay—True, but she consented as a sovereign State treating with a sovereign Power, Mr. Grppinas said it was not bis purpose to stir up ill feeling. We have done for Texas what we have done for no other State, namely, paid her debts. Fourtoon millions were taken from the treasury for that purpose. Mr. Bryan denied that the government had paid the debts of Texas, which gold a vast territory to the United Btates, and from the proceeds of which her debts wore paid. Pils. Coma enid we conquered Texas by our arms. There stands the truth of history. At first her boundary was claimed only to the Nueces. Mr. Bryan replied that Texas was annexed with her recognized boundaries to the Rio Grande, as declared in her act of independenco, Mr, Lovejoy’s amendment to strike out certain portions of thd bill was then rejected. A long debate then took place on the appropriation, for removing the Indians in Oregon to the reservations and subsisting them until they shall be able to maintain themselves; but without coming to any conclusion in re- gard to it, the committee rose, and the House adjourned. National Agricultural Convention. Wasniveron, Jan, 4, 1859. ‘The Advisory Board of Agriculture of the Patent Office met this morning at 10 o'clock, the hour assigned, and was called to order by its President. ‘The following additional delegates appeared and took their seats in the Board, viz:— New Hampshire, Dr. J. C. Eastman; Connecticut, Rd ward A. Phelps; New Jersey, P. J. Mahan; Maryland, Gen. T. Tighman; Virginia, Col. Joseph Tulley and &. 8. Bradford; Tenncevee, John Mee; Minnesota, John Hagaty ; Nebraska, Hon. 0. D. Richardson; Kansas, Col. A. J Isaack: 8. ‘The following gentlemen, chairmen of the respective fae aad were chosen Vice Presidents of the General rd First—Frederick Holbrook, of Vermont. Second—James G. Holmes, of South Carolina. Fourth—F, G. Cary, of Ohio. Fifth—Hon, Delazon Smith, of Oregon. Reports were received from the various committees. The Business Committee reported several subjects for pert yi termes which was the question of the import- ance of “Nati Legislation in ehalf of Agriculture.” An animated discuesion sprung up on the proposition to make the above subject the matter for public discussion to-morrow eveni the Smithsonian. Great difference of opinion was as to what was the proper field of action for the Board. It seems to be understood, how- ever, that the De ent is opposed to any action on the Part of the Board which can by any possibility be con- strued as dictating to Congress what course it par- sue in this matter. It is desired rather that members of the Board shall devote these evening meetings tothe - este! laying before members of Congress (all of wi ve received a special invitation to attend) such infor- mation as they possess on the subject, going to snow the necessity of legislative action, Resolutions are not so much desired as the simple statement of the necessity of such action, and the beneficial effects which are likely to flow from the passage of a bill- one now pending in the Senate, for instance—granting government aid vo agricul- tural colleges, &, Without coming to any conclusion in reference to the ape the adjourned until to-morrow morning, at mn o'clock. The number of questions in the list of interrogatories submitted to the Board oy the Department on yesterday embi ‘but a portion of the entire list—only that por. tion already printed, Several hundred questions in ali, relating to all sections, products, &c., will be submitted to the Board for their examinaticn. Opening of Central American Trade. PROFITABLE GRANT TO THE PANAMA RAILROAD COM- PANY—DESCRIPTION OF A NEW PROPELLER, JUST LAUNCHED, TO BE PLACED ON THE ROUTE—RESULTS OF AMERICAN ENTERPRISE. ‘The Panama Railroad Company have recently secured from the governments of Costa Rica and Guatemala the exclusive right, for ten years, of steam navigation along that coast, and will doubtless secure the same privilege from the States of San Salvador and Nicaragua. They have already one steamer—the Columbus—on the route, and launched on Wednesday a new steamer, to be called the Guatemala, which will run in connection with ‘the Columbus. ‘The Guatemala was built by Mr. Samuel Sneden, at Greenpoint, and has accommodations for one hundred first class passengers. She is of fine model, and cost $105,000. She is now nearly completed and taking in her engines, at Delamater’s yard, at the foot of Thirteenth street, North river. Her dimensions are 214 feet deck, 32 feet 9 inches width, 25 feet hold, 7 feet between decks, and 7 feet 4 inches from main to passenger deck. Her frame is white oak below, and hackmatack above, and is very strongly braced with diagonal iron straps, which take hold of the stern post and dead wood, as well as of the stem and dead wood; one strap reaches entirely round the vessel. The plank on the bottom is 43¢ inch yellow pine, and all plank over 10 inches is scarfed; all over 13 inches have three treenails in each single frame. The planks are edge fastened with iron 434 inches thick aud ten feet apart. All the flooring and ceiling is well secured, and most of it of the best Georgia pine. There are two large ports, be- sides the coal port,on each side, opening on the lower decks. They are well secured in strong frames, and es- pecially adapted for loading and discharging. She is to be well secured with breasthooks and jointers fore and aft, with strong stanchcons and knees. She is to be rigged with two masté—the foremast square rigged. She hag Emerson’s patent windlass forward, and five of Raymond’s metallic lifeboats. The engine has a 56 inch cylinder, with 45 inch stroke, and 1s direct acting and condensing. The screw is 14 feet in diameter, and, with the rudder, is made of brags, and the shaft is covered with brass wherever it will touch the water. The boilers are tubular, with return flues. The engine frame is of tho most substantial build, and has a footing 20 feet wide. The vessel was built with particular reference to accommodation for both freight and passenger business. Above, the main deck is appropriated to passengers ana offices, and below ‘tw freight, The state rooms are com- modious, and the furnishing beautiful as well as durable. She will be commanded by Captain J. M. Dow, and is ex- pected to be ready to proceed to her destination by the Ist of March. The company has recently completed contracts with the governments of Costa Rica and 6uatemala for the estab- lishment of a steam line, and the conveyance of mails trom Panama northward along the Pacific coast as far as San José de Guatemala. Each of these governments has agreed upon the following conditions and payments in favor of the company:— ‘The company to have the exclusive privilege of steam navigation along that coast for ten years, the steamers to have the privilege of touching at one or all the ports of each republic, as they may elect. ‘The boats not to be less than three hundred tons, and not to pay port or other charges, excepting light aud anchorage fees, not to exceed $25 yearly. The company to run one boat a month, at least, each way, and to receive $8,000 yearly for carrying the mails, If boats are run semi-monthly, the annual mail subsidy to be $12,000. . Goods imported into these republics, that cross the Pa- nama isthmus, to pay ten per cent less duty than coming by any other route. The points at which the Guatemala will touch are Pana- ma, Punta Arenas, Realejo, La Union, La Libertad, Aca- yutla and San José de Guatemala, the route ofthe steamer Columbus, the property of the company and now running on the line. Doubtless the very profitable grant which has been secured will necessitate the building of new ships, and force from Ni a and San Salvador the granting of similar privileges, in the absence of which the company refuses to touch at the ports of those States. ‘The enterprise will no doubt help the developement of the Central American States, while it is another instance of American energy and ability. 'The Snow Storm on the Sound. WRECK OF THE STEAMER C. VANDERBILT—TOTAL LOSS ONE HUNDRED THOUSAND DOLLARS—NO IN- -PASSENGERS AND FREIGHT SAVED, ‘The snow storm which visited us last Monday night and Tuesday morning was severely felt on Long Island Sound. The night was perfectly dark—no light or land could be seen anywhere. About four o’clock on Tuesday morning the steamer C, Vanderbilt, of the Stonington line, went ashore on the southwest point of Fisher’s Island. The fright of the paseengers and crew was very great; it. was so densely dark that they could not tell where they were. ‘They remained in that condition until nearly seven o'clock, when daylight broke. The storm, however, did not abate on the Sound until late in the afternoon of that day, while in New York it cleared off in the forenoon. ‘The Vanderbilt left New York on Monday afternoon at her usual hour (4. M.) Off Huntington it became thick and commenced snowing, and an effort was made to make Bartlett Reef Light Boat, but it failed in consequence of the snow and high wind, After this the pilot felt his way with the lead until the boat struck on the rocks a little to the north and east of Race Point, near the government boat house, about thirty yards from the shore. Immedi- ately before she struck she was in ten fathoms of water. ‘The crew snd passengers remained on boar until ten o’clock Tuesday morning, the storm still raging violently. A boat was then lowered, a party went ashore and found the government boat house, containing a stove and other articles necessary for their temporary relief. They im- mediately made a fire and got the lady passengers, nine Fs) them, into the house, where they were made comforta- bie. The steamer was discovered on Tuesday morning from New London, when several vessels and steamers went to her, but it was 80 rough that they could not go alongside. She had seventy-five passengers, who were taken to West Harbor by teams, where they were put on board a schoo- ner chartered for the occasion, and taken to Stonington, thence sent over the Stonin; road to their destination. The Vanderbilt, in all probability, will be a total wrec! She lays broadside on the rocks, and has got a hole in her; how large it is is not known, but it is so largo that the tide ebbs and flows in and out of her, raising as high on ba Ie pe ol ytegd, it does on the outside, place in which she lays every, dangerons one; there is no worse place on all Tang Island Sound. If it was in the summer months there might bera possibility of getting her off, but at this season of the year thore is no hope of it, for ail the rake of the Sound ig righton her. The race sea sets in ‘on to her 80 that vessels cannot remain alongside of her over two or three hours a day. For several hours aftor striking she did not leak much, and lay pretty still, but now the water flows through her. She had recently been repaired, newly fitted up, painted, new engines, &0., and this was her first trip after her im: provements: The company who own her estimate her worth $100,000. | There was not a dollar insurance on her. The Stonington Steamboat Confpany are represented as being abundantly able to stand the loss, The company consists of Messrs, Drew, Kelley and others. Tho freighton board the steamer consisted of dry goods, cotton, sugar, molasses, pork and the like, and was valued at about one hundred thousand dollars. It has been, or will be all saved, with but slight damage to it. Captain J. Stone, of the steamer Plymouth Kock, eo Tuesday despatched twenty men to take the freight webore, and they have probably ere this time completely unloaded the steamer. iD Stone left Stonington with the Plymouth Rock on Monday night at twelve o'clock, nd altoough he was near the land all the time, the snow storm was so thick that he saw neither land nor light till half-past ten o’clock on Tuesday ne. The Plymouth Rock was disabled in storm, and the Empire City had to tow her in tothis city, It js said that if the Vanderbilt had gone ashore a fow rode from where she did, the logs of life mast have been very great. There were seventy-five passengers and a ‘crew of fiity men on board of her. Horrible Tragedy in Sullivan Street. A SPANIARD MURDERS HIS FATHER-IN-LAW, AND AT- TEMPTS TO KILL HIS WIFE AND MOTHER. A horrible tragedy occurred in the rear of No. 154 Sul livan street yesterday morning about half-past two o’clovk, A Spaniard, named Felix Sanchez, murdered his father-in-law, Hurmon Curnon, and then attempted to take the life of his wife and mother-in-law. It appears, from the reportmade to the Deputy Superintendent of Police by Captain Turnbull, of the Eighth precinct, yesterday mora- ing, that the parties are people living in fair circumstances. Curnon was a mulatto, as also his wife and daughter. The latter was the wife of Sanchez, and upto Wednesday night had lived on good terms with her husband. The cause which led to the commission of the murder, as well as the motive which actuated Sanchez in the perpetration of the horrible crime, may be attributed to jealousy. Sanchez, it appears, had been married but seven weeks. He was but twenty years of age, and was formerly engaged as a waiter. On Wednesday night, when he came home and went to bed, he accused his wife of infidelity, saying she had improper intercourse with a man named Annisetto Lafour- chell, and that if she did not disclose the whole truth he would kill her outright. Mrs. Sanchez denied the charge imputed to her,and with tears in her eyes begged her husband to refrain from showing so much passion, But Sanchez would not believe in her innocence. He still upbraided her, and in loud tones threatened to kill her, when Mrs, Curnon, hearing the threats that were made against the life of her daugh- ter ran up stairs from the kitchen and demanded admit- tance to the bedroom. Sanchez refused to admit her, however, and prevented his wife from going to the door. Mrs. Curnon, fearing that her daughter’s life was in dan- ger, determined to gain access to the room, and accord- ingly she burst open the door. Sanchez immodiately jumped out of bed, and grasping ® sword cane which lay on a chair, thrust the weapon into his mother.n-law’s shoulder, wounding her severely. He then turned upon his wife, who had come to the assistance of herfinother, and attacked her also, stabbing her in the left shoulder. At this moment Mr. Curnon stepped forward with the intention of saving his daughter's life, when the infuri- ated man sprang upon him also and thrust the sword through his body. A second stab was given the old man, when he fella corpse at the feet of the mur- derer. sword had penetrated the heart, causing almost instant death. The women, although severely in- jured, and bleedmg profusely ‘from their wounds, ‘managed to make their escape up stairs, where they secreted themselves in the attic. Sanchez followed them a few minutes afterwards as far as the head of the staire, but his candle becoming extinguished and the door of the room being closed upon him, he retraced his steps without effecting any further villainy. Martha, a sister-in-law of Sanchez, was the only occupant of the house who es- caped from tho wrath of the infuriated man. She was awakened by the noise occasioned by her mother bursting in the bedroom door, and listening attentively for a few moments, heard the screams of her mother and sister and’ the loud curses of her revenge- ful brother-in-law. bag 4 of bed, she made her way to cellar, and there con- cealed herself among some old pieces of furniture. lying thus concealed she heard Sanchez walking to and fro in the parlor overhead. He was then bitterly cursing his wife, and in a loud tone swore he would kiil her yet, and then kill himself. After a while she heard him descend the stairs and go out into thestreet. Martha then emerged from the cellar, and going up stairs informed her mother and sister that ‘Sanchez left the premises. ‘The family then came down stairs and entered the parlor, when a horrible spectacle was presented to their view. Mr. Curnon was lying upon the floor, weltering in blood, and to all appearance was quite dead. The alarm was promptly raised, and the police crowded into the apartment, ut no trace of the murderer could be discovered. He had Probably escaped goon after committing the deed, and was yy that time far beyond the reach of his pursuers.’ A physi- cian was called in to dress the wounds of Mre. Curnon and her daughter, while the body of the deceased was re- moved to the’ Eighth precinct station house to await the action of the Coroner. Sergeant Mount and others of the Fighth Precinct police, were early upon the ground and did much towards the relief of the sufferers. They instituted a strict search for Sanchez, but unfortunately without success. Subsequently Captain Turnbull deputed policeman Baldwin and others to continue the search. These officials searched all the old negro haunts in the Fifth and Eighth wards, but with- out any better success than that which attended the efforts of Sergeant Mount. CORONER'S INQUEST. Information of the tragical occurrence was received at the Coroner's office at an early hour in the morning, when Coroner Schirmer, attended by Dr. Bouton, his as: sistant, promptly hastened to the scene of the murder. ‘The preliminary ements having been gone through with, such as empannelling a jury, &c., the examination of the witnesses was led with as follows Cornelia Curnon, being duly sworn, deposes and says:— Tam the wife of deceased; the night before last Felix San- chez, my son-in-law, became jealous of his wife, and he and his wife had a quarrel; he wanted to drag her uj stairs, which I would not permit; he became angry wit me; nothing further occurred until this morning about 214 o'clock; I was ironing clothes down in the kitchen, when Theard'Sanchez and his wife wrangling and quarrelling aloud; they were in the room above me; I finished my work and went up stairs with my husband, when I found that the door was lotked; I knocked loudly and demanded admission, and asked my daughter to open the door; she said her husband would not allow her to do so; I'then burst open the door, and immediately after made Sanchez come out of the room; he turned back again to get a sword cane which was lying on a chair by the side of his bed; he took hold of it, came out again, and stabbed me in the upper part of the left arm; daughter jamped out of bed to assist me, when Sanches {stabbed er also in the shoulder; my husband attempted ‘to ward off the blows, when Sanchez made at him; I saw him raise his arm to strike, but I did not see the blow given; my daughter and myself ran up stairs, aud were followed by Sanchez, but we shut the door of the attic room w him, and thus escaped; then he heard my daughter Mar- tha holloa, and went down stairs after her; at this time his light Went out, and he went back to the parior and there dressed himeelf; he left the house in about half an hour afterwards; I know nothing further about the occur- rence; Sanchez ig not a drinking man, but is very passion ate; he did not appear to be under the influence of liquor at the time of the stabbing. Sarah Jane Sanchez being duly sworn, deposes as follows:—I am the wife of Felix Sanchez; the de- ceased was my father; last night about haif-past one o'clock my husband accused me of having improper intercourse with a man named Annisetto Lafourchell, and threatened that, unless I told the truth, he would stab me; he accused me of being a prostitute; I was sitting up in bed crying at the time: my mother nocked at the door and demanded admittance; I heard er burst it open; Isaw Sanchez stab my mother, and then he stabbed me; he was in the act of stabbing my father just as I was rushing out of the room; Iran up stairs and hid myself under a bed in the attic; I have been married to Sanchez seven weeks: he is twenty years old and Tam eighteen; he has threatened my life many a time before; he was a waiter, but had been out of employ- ment for two months. Martha Curnon, being duly sworn, says:—The deceased was my father: 'T was awakened this morning by the noise of my mother bursting the parlor door in; about a minute afterwards I saw my mother and sister Sarah run up stairs to the garret, followed by Felix Sanchez, with a sword cane in his right hand and a lighted candle in his left; a8 he got to the head of the garret stairs bis light went out, and he stopped pushing at the door and went down stairs; I heard him sitting upon the bed in the bed- room; I was then in a cellar underneath, and heard all that trangpired; he sat a few moments on the bed, and then went down stairs to the basement door and tried to force itopen; he then came up stairs and went into the bedroom, where he commenced talking to himself for some time; all that T heard him say was, “Never mind, Til catch ‘you and kill you and myself too,” soon after? wards I beard him go out, and I then went up stairs and told my mother and sister, and they came down; we found my father lying dead upon the parlor floor. MEDICAL TESTIMONY. George B. Bouton, M. D., being duly sworn, deposed as foliows :—I have made a post mortem examination of the body of deceased, Harmon Curnon; I founda conical in. cised wound upon the left side of the back, about four inches from the median line, back of the eighth rib; I found two punctured wounds, one passing between the eeventh and eighth ribs, and the other between the eighth and ninth ribs; the first thrust entered the aorta, afterwards passing through the lungs; the second wounded the left ventricle of the heart; these wounds were the cause of death, which must have dccurred immediately upon their infliction. Joseph Heine, M. D., assisted tho previous witness in making the post mortem cxamination, and corroborated the above statement. ‘The case was here submitted to the jury, who after due deliberation rendered the following VREDICT: That the deceased, Hurmon Curnon, came to his doath by & wound inflicted by Felix Sanchez, witha sword cane, January 6, 1859, at No. 154 Sullivan street. Upon tho rendition of the above verdict, Coroner Schir- mer issued a warrant for the apprehension of the accused rty, but up to last evening the. police were unable to ferret out the hiding place of the fugitive. The dleceased is represented to haye been a very re- spectable and industrious man. Ho was employed in Hanghwout’s store, corner of Broadway and me street, and was highly ht of by his employers. Mrs. Curnon and family are also highly spoken of; their apart- ments were neat and clean, and everything about the pre- mises indicated respectability and comfort. Sanchez is represented as a most vicious specimen of humanity, and and at the time he was paying his attentions to Mr. Cur. non’s daughter the neighbors informed tho latter of his ro- vengeful spirit, but no heed was paid to the advice, ‘The police have thus far failed in discovering the hiding place of the fugitive murderer, ————————— Cl CC CC THE BANK REPORT OF NEW YORK, Stare or New Yous, Bayx Derartwanr, Aunayy, Dec. 31, 1868. The Superintendent of the Banking Department, in ac» cordance with the provisions of section 11 of the ‘“‘act to organize a Bank Department’’ has the honor to submit for the consideration of the Legislature the following REPORT: The epeedy return to specie payments by the banks of this State, after their suspension in October, 1857, time has shown was a substantial and permanent resumption of their corporate obligations. It exhibits a solidity of capital on the part of the com- mercial as well as the producing community which can- not but be gratifying to every observant citizen of our State, It also furnishes evidence of the financial ability with which these institutions are managed, that will add strength to the confidence of the people of the State im our present banking system. ‘The suspension and resumption of specie payments by the banks of this State in 1857, with the surrounding cir cumstances, have simply brought out into bold relief tha perfection of our free bank system in its connection with our currency. The retirement of $7,920,000 of the circulation of the interior banks accumulated in the city of New York within the time specified by the resolution of the Clearing House of the ‘th of November, 1857, (with an occasionai exception for an m- significant amount since paid.) clearly shows that they were not only strong in capital, but that their ability to liquidate that debt was only equalled by their desire to enter upon a course of policy that must produce a gepeedy resumption of specie payments, clearly foreshadowed by the passage of the resolution referred io. ‘The paseage of that resolution was the incipient step to- wards a resumption, and the willingness with which the interior banks met the obligations imposed by it, reflocta reat credit upon the city and country institutions, e entire $7,020,000 was, by the terms of the re- solution, to ‘be paid in’ monthly instalments of twenty per cent, with interest at six per cent, commencing on the Ist of January, 1858. This would retire the entira amount by the 1st of May. They were algo to redeem their outstanding currency on tye usual terms after the 20th of November. The pressure preceding the suspension had returned to the banks during the quarter ending Oct. 1, 1857, a million and a quarter of dollars of their best securities, held in this office, of which at least a million was withdrawn by those located in the interior of the State. How vigorously the interior banks went into the move- ment of the Clearing House of the 7th of November is shown by the fact that between the Ist of Octo- ber and the Ist of April 325,000 of securities were retired from the Bank nt; and the Superintendent believes that nearly $4,000,600 of that amount was used by the interior banks to restore the equilibrium between those of the city of New York and themselves, the logs of which was occasioned by the hold- ing of country money in that city. As an evidence of the correctness of the belief expressed above, he would say that the discounted debt of the banks located out of that city was reduced only $36,326 from December 26, 1857, to March 18, 1858. This equalizing accounts between the city and country banks was the work of only five months, in addition to meeting their ordinary and daily liabilities; and the entira debt of $7,920,000 was paid, netting 5 8-9 per cent per annum interest upon the investment of the city banks in country currency. The whole transaction between the interior banks and those of the city of New York, in relation to the currency accumulated in that city after the disasters of the fall of 1857, was highly creditable to both, and cannot but add greatly to their confidence in each others’ capacity and soundness hereafter. The present condition and amount of securities held in this department for the redemption of circulating notes, and the sum total issued upon the same, are shown in table No, 1, attached to this report. It also presents the fact that but five associations have been formed during the past fiscal year for the purpose of pursuing the busi- ness of banking, and one of these is the continuation of an = bank whose charter expired January 1, The actual increase of capital during the year, by the formation of new institutions, is $520,000; the Bank of Poughkeepsie raising ’ its incorpo- rated capital from $100,000 to $200,000, when it became a free bank. Still more marked is the fact that no individual banker has commenced business during the tyear. In connection with the unusual dearth of new ks and the small amount of capital employed by them, comes the astonishing fact that while the actual increase of capital by the formation of new banks has been only $520,000, there has been added to the banking capital of the State the sum of $2,488,891, as shown by their re- spective quarterly reports of September 26, 1887, and Sep- tember 25, 1858. This adaition to the ate capital some fourteen banks have actually ceased doing business, and whose affairs are either being closed up by their of ficers, or by receivers appointed by the courts. One of the causes which tended to produce the suspen- sion of 1857, the Superintendent believes, and so siated in his report of that year, was the multiplicity of banks of small capitals. Still, he believes the bank capital of the ‘State smaller than required by the usual business of our citizens. Their relief cannot be looked for in the mul- tiplication of small banks, but in raising the capitals of those already in existence, when located in places where increasing business warrants additional bank facilities. The Superintendent looks upon the direction taken by the increased bank capital of the State this year, as adding ‘more to the stability and prosperity of the business men and to the banks themselves, than when he was starting twenty-five or thirty new institions a year with two or threa times the amount of additional capital. The fact that four- teeen banks have ceased to do business is not regarded by him as a general loss to our citizens, inasmuch as the aggregate increase of bank capital beyond all that hag been withdrawn during the past fiscal year is $2,488,891, while the number of banks actually engaged in busi- ness has been reduced from three hundred and eleven to boy hundred and ninety-seven during the same period. The present condition and amount of the securities held. by this department, as exhibited in table No. 1, for the redemption of the currency of the free banks of this State, give renewed and strong indications of the stability of its curre ney. ‘The total amount of securities held by this department on the 30th of September, 1867, was. $30,203,632 OT Amount held on the 90th’ of Septem: ber, 1858, sesseeceesesceee 26,893,008 88 Decrease of securities during the fiscal $3,810,533 26 banks and outstanding Sept. 30, 1857, was.$28,420,522 00 The total amount of circulation issuedYto free banks and outstanding Sept. 30, 1858, was. 24,003,194 00 Decrease s..+ sess sssesssesseesseeeeseres $3/826,328 00 Areduction of’ circulation ‘issued ‘to the in- corporated banks took place during the samo time of. 1,810,414 00 Making the total amount of reduction during the year.. ceseeseee, $5,636,742 00 ‘This statement shows a steady contraction, during the past fiscal year, of the currency issued by this depart- ment. Still greater isthe contrast of the actual circula- tion of ail the banks, including the chartered and free banks, following the suspension of October, 1857. The extreme point of actual bank note circulation in this State by our own institutions, was reached on tha 20th of September, 1856, amounting at that date to $54,019,633. Tt fell during’ the yest previous te the sus- pension, to $27,122,904, this being the actual circulation on the 26th of September, 1857, seventeen days previous tothe suspension of specie payments. A steady and constant reduction of the yolume of our actual currency followed; and on the 13th of the following March it be- came reduced to $22,710,158. Of this reduction of cur- rency, amounting ‘during the year to $11,309,475, $4,412,746 occurred between the 26th of September, 1857, and the 13th of the following March. The world has been heretofore taught, through the theo- retical opinions of political economists, that a suspen- sion of specie payments would and must necessarily be followed by ‘an expansion of paper money, alike detri- mental and demoralizing to the public. While the Super- intendent looks upon a suspension of specie payments by our banks a8 a great evil, and detrimental to the interests of our people, he most respectfully submits that the evils arising from a suspension in this State come not from an increased volnme of currency; as it is an utter impossibili- ty under a secured currency like our own, but from a re. duction of that volume made of necessity by the banks in their efforts to resume payment again in coin, Tho past theory of the effects of a suspension, when applied to a ‘system based upon a secure cur- rency, experience has proved to be erroneous. No suspension can take place, or rather be pro- duced, by an over issue of a currency of that description, and the evil effects of it are only felt by our business mon and the producing classes, by an inevitable contraction of the usual business facilities to the one, and a falling mar- ket for the products of the other—both produced by a con~ tracting currency—instead of increased credits for the ong and higher prices for the other, by an expanding one. The bank note circulation of this State, in. the business transactions of our citizens, can only be com- pared to the decimal coin in daily use for cl To prove this, look at the absolute circu banks, as before stated, on the 13th of March last ($22,- 710,158), hardly sufficient to give each citizen of our State @ paseage by railroad from All 7 on The whole amount would be expended for food alone by our inhabi- tants in less than a single month, at the present prices of ‘our agricultural products. ‘The contraction in March had reached a point beyond ton; or it persstel tn by oar banks, the SUPDIy would tion; or if per in by our the sul have reached us from the neighboring States. ase the date referred to, the volume of currency has steadily in- creased to $26,605,407 on the 25th of September, and willl iiss dove au expanse d_ contraction of currency t does this expansion and con! ve? The simple fact that under our system of free king, with a secured currency—as once before re- marked by the Superintendent in a former report—Tha touchstone of profit and loss to the citizens emy in banking in this State, is a surer guarantee of the of our ks than statutory enactments, however strin- gent may be their provisions or character.”” SECURITIES TO BE DEYOSITED IN THE BANK DEPARTMENT POR CIR~ CULATING NOTES ISSUED, An effort was made during the last session of the lature, in accordance with the recommendation of the Su« perintendent, to hereafter exclude bonds and as a basis of security for circulating notes issued from office. It signally failed; aud the experience of the Sue of our