The New York Herald Newspaper, January 1, 1862, Page 1

/ NEW YQRK, WEDNESDAY, JANUARY 1, yn é es PRICE TWO CENTS. REACTION IN THE SOUTH. lew Grleans Rebel Organ Does Not Like the Message of Jeff. Davis. | r the Prospect Before Him and His Confederates. ' the Speculations of Judah P. Benjamin and bther Judases of the Rebel Government, &c., &e., do. {From the New Orleans True Delta.) THE MESSAGE. Defore our readers in cur merning issue the of the Provisional President to the National Con- » Which has now met at Richmond to clore its use- inglorious career, and we cannot say that it, in t, rises above the past unsatisfactory proceed- ‘the bedy to which it is addressed. It is a reitera the old charges against Lincolndom, where liberty, }, is utterly overthrown, laws are disregard- ronal rights violated, and rapine and murder sub- ted in their armies for courage, heroism, magnaui- and the military virtues gonerally. Jt also justly verts upon the avowed intention of the Northern to make the war a servile one, and speaks with confidence of the ability of the Southern people to Invasion and conquer a peace. In comprehensive or enlightened suggestions the message is as bar- ‘a8 all its predecessors, and in #liusion to our relations other nations is absolutely childisbly petulant. The re of Mason and Slidell is referred to and condemned hn Outrage as indefensible as would be their seizure in » streets of London, a conclusion our readers will searce- “rive at, if the British law upon the sub ect which we ¢ reproduced be nizod a8 applicable. We fear Davis-bas taken his law from bis Attorney Genoral, 4d that individyal's loose way of reaching conclusions, we havo seen in many instances from Tohwantepes to amas * will de dangerous to accept. Be (his as it may, jand wilt be apt to decline his interpretation of ber and international duties. In the same manner, we ik, the Provisional’ President will fail to convince ‘England or France of the insufficiency of the block- any array of facts he may elaboralely-place be- iol and we are equally satis! that like unguc- follow all new attempts to approach those go- Seely, which Mr, pavie, with, wo think, nf puerilily, compl we accompanied the Ast offorte in that direction. Our readers will now, in bis studiously prepared document, find the most power- a proofs of the wiedom of the course we #0 arhqstl; cee upon the provisional government in ite orei tercourse, when we impiored it not to send mis- to Europe, not to exhibit any humiliating dispo- ‘i104 to be recognized as an independent power, not to |, Dat to conciliate paworthily, but to offer every ad- tanibgo to the people of the world to come here and cre- ito extend intercourse with u@, leaving to our Jw people, in their own good time and alter their ry fashion, to establish their independence and to treat ou) equal and fair terms with every oO fr nation, This did not suit the views of the 6 jicians ; offices and emoluments had to be provided jungry or voracious applicants, ignornnce and incom- } Pucy seized upon legislation and administration, and ‘six months the natural fruits, the utter alienation from ‘ evory ktnd of foreign sympathy, are gathered. The who managed the control of public afairs have not, or any description of fail if any government, any class, , Succeeded in securing one reHab!e friend, and so upportable bas the position of tho Commissioners to uope become that Mr, Yancey is impatient for bis re- To presence of al) this discouragement Mr. Davie nothing to propose to the great Powers of the earth pave bis Own notions of their public duty, and unwise And exasperating speculations a3 to the effects likely to ‘be produced on their manufacturing rencimg Be 4 ‘the wolable scheme of withholding our cotton. 'rovi- Bicual President invites the utter ruin and extinction of ‘tbe confederacy rather than have it triumpbant, tranquil and prosperous by any other means or after any other fa:hion than that which be bimeelf lays dowp. He un- dertakes to deal with France, England, Austria, Prussia, Russia and the rest of Europe, ina manner purely ori- gual, for if the monarchs of these countrics do not reognise in him their equal, then welcome ruin of trode, sacrifice of liberty, destruction of every anetitotion, ‘the mode of swaying mankind, as we bave advised, through their far beneath the toweri ideas of toral President, who cannot disabuse himself of the dan- Jay hape and belief that all Europe must coll aod 4 if cotton be not duly forwarded hence. His own glory, too, will be utterly eclipsed if his term of office ‘doos not sce him surrounded with all the pomp ofa mo- ‘warch where cotton is king, and that isa consideration be cap never forego, any more than he ean the acquisition ‘of glory by any ollicer acting in an independent capacity. ‘This is a great weakness, aud we grieve to see it mani- ested by one who could so truthfully transfer to his fei- jow citizens the sole credit of the efficient and giorious military organization which, in spite of governme:tal incapacity, bas achieved go much. He thus eulogizes the work of the people: — Teought, indeed, to be a subject of gratulation that the spirit of the volunteers and the patriotism of the e us, under Providence, to these difficulties, resi! ries at Bethel, Bull Leesburg and Belmon whieb of gain ero domination; and bad the government exhibited woe-tenth their spirit, intelligemee and capacity, ® it conceivable that today we should be without @ frieud in the world, or a poli- “y worthy of a people #0 intrinsically rich, powerful und independent? is there any citizen so blinded by prejudice or so led away by passion as not to perceive the ‘osanity Of our attempting to extort compliance with our deas, wishes and calculations nations and peoples [who Bave not injured us, and who, without exception, | detest the Yapkees? If we were in a position to destroy | Guglish or French commerce, or the manufacturing in- | dustry of those kingdoms, would there be wisdom, wise <a culation, policy or common sense in an undertaking to do it, whev in the very nature of things we arc aware, indeed are sure, in the end those Powers must be our macst steadfast and fast friends ? Mr. Davis may bring himself to believe coercion can be ately brought to bear upon these governments, that his oracuiar menace through cotton will act talismanically ‘upon them, but if he should be mistaken, as greviously 0, in our Opinion, be will be, then no worse can happen these States which, accord- ing to bia notions, is preferable to independence achieved 1 @ less Osteptatinus but speedier and more certain man- ver, The has not disappointed us; we expected vothing wiser, prudent or more statesmaniike, and if its soctrines be persisted in, we quite agree with its author, “be manufactories of Europe will be revolutionized before yotton is obtained from the Confederate States of America, [From the New Orleans True Delta.) THE PROSPECT. ‘Under the above heading, the Constitutionalist, of Geor- ria, ind in some very sensible reflections, similar to hose with which our readers have long made fami- var through these columns, touching the character and wospects of the war, overweening confidence, under- valuing the strength of tho enemy, and putting trust in anything less powerful than the heaviest batteries. Our Georgia contemporary concludes sensibly enough, as we ‘B vain endeavored to make the public do from the begin- ning of this revolution, that the war would not be short, would not be ig one-sided, that mere confidence in heaven and innate heroism would not defeat an arm; equipped thoroughly and abundantly supplied with Eu- feld rifles and rifled cannon, unless weapous equally ef. fective were on the righteous and opposing side. Th praying, North and South, versal, and the evemy ia’ ower stily a ~ man to do it, and perha; © believes it will rove efficacious in advancing his cause; but he does got egiect human means, and in every aspect of the case we snd Kita in all things but genuine relish for battle much etter provided than our gallant fellows can 8 long as sur arrangement sent ordersd. The Constituitonalist Rous y the beet circumstances no ground to be sanguine if an Gurly peace,’ but it seems to be unawai ie are seen very differently in Richmond for daily authoritative assurances issue thence pre. ot macggaend aswerting the cortainty of peace within xtydays, ‘These poace assurances may certainly eine. natefrom parties who take this mode of divert: en mfrom heir stupendous peculations, or be the honestly Opinions of that class, who, from the first, Prognosticated every nonsense about the revolu: tig BO ite consequences, first one way, then another, Siways that it would amount to nothing, aud would ‘ep over in afew days or weeks at farties Provisional Indeed President bimself is raid, and appears Ris published views to be, one of those short war for he tells us that the enemy has been forced fonsive instead of offensive measures, and we sup: would instance the capture of Port Royal, and the of Kentucky and Tennessee as positive of Of his belief. The Cunstitutionatict does not, more than ourselves, accept this view of the case io of such powerful, inexorable facts as are con- ited, and it thus addrenses ite readers on — Ovoupation of Port Royal found by the enemy adds Complication to the dificulties of a setuement. the best circumstances there was no ground tw be of an carly peace. There was too much disputed to be fought over in the border States—too many men working to thwart the revolution and tw en- the Yankees with hopes of reconstruction. After uly tired of the war, and the North the hopelessness of tho context, be difficultios in setting the boundary and im mation of strong points Bela by the enemy, k90@ will hang on deaperately to Fortress Monroe to Hatteras, to Forts Taylor and Jefferson, and Pickens, and Ship Island in the Gulf, and will, no doubt, endeavor {0 make Port Roya! as difficult to capture as either of the above named fortifioations. Nor will they atop at this, Doubtless other captures are in view, and we need not feel surprised any day to hear that Bronawick and Fernandina are attacked by their formidable flect. Nor ‘are the apprehensions groundiess for the safety of the flourishing and beautiful city of Savannah which ao pain- fully agitate that community and the entire le of the State. What valor and unconquerable will defend her wili bo done; and tens of thousands. of pe hearts are panting to strike an effectual blow in behalf. But the lesson of Port Royal teaches a leseon of humility to the too confident; for it appears that our frionds on the coast bave most Reagp gine overrated the strength of their Jand batteries, and rated the power of the enemy. This double mistake, #0 fatal often lo the best cause, is a too common error of brave and poke. They are too apt to think that Deaven must favor the side of justice and right, whether it have sufficient physical means for its vindication or not. They forget how often Providence exbibits itself on the side of the heaviest batteries. [From the New Orleans True Delta.} Under ebe sbov pone herd in ‘above caption we our morn- charges from our Virginia , Teflecting in severe terms on the combination raid ist between certain heads of departments and the banks for the plunder of citizens. In one of these publications, authenticated by the proper signature of the party making the charge, it ‘a distinctly anne ‘that in the department of ‘‘ justice,” presided over by Benjamin, one of his sells the giiver be extoris from the people at a premium of fourteen per cent. This is in perfect keoping with the extraordinary conduet still pursued by the Post Office Departmont , which will neither farnish stamps nor receive the ch he cyrrency in payment of postage, but inexorably insists upon hav: specie for all payments to it, let the future disposition the precious metal so coerced be what it may. These Operations naturally elicit from our contemporarics in the Vld Dominion the expression of a wish for a higher stand- ard of official qualifcation—an extrusion, we suppose, of the Benjaminites—before we shall becdme completely Buchanapized by the corruption prevailing. Weshall have, ‘at no very remote day, a chapter to indite upon this sub- Ject, with instructive home illustration, for the edifica- tion of the whole people and the balance of mankind. Here, it is no exagyeration to gay, Buchanantsm is in full am] magnificent developement, the machiueryito conduct at is perfect, acomplete espionage over ihe Ubegraph, ihe exercise of unregulated and unrestrained power over the export trade of the country, the upiuited and arbitrary contrel of legal machinery by which the property of one citizen is illegally and despoticaliy taken from him, with- out adequate compensation, while that of another is paid for at enormous prices, and the most profligate abuse of authority generaily in every department is the rule, Truly, may our Virginia fricuds complain that the govern- ment is too young be thus depredated on, and that if we aro to change one hideous system of political depravity for nee the biood and treasure of the people will be spent ip vain. THE FAILURES OF THE LAST YEAR. The Northern States, the Southern States and the British Provinces. Orrick OF THE MERCANTILE AGENCY, Nos 814 snp 316 Baoapway, New Yors. To Ovr Sunscriners:— The accompanying tabular exbibitembodies facts and re- fults that to many minds will appear surprising. They show thatthe number of failures at the North bas not Deen 80 great as is generally believed, and bear out the assortion we made in our Jast anuual circular, that our domestic troubles met us ata moment when a bealthy condition of trade bad been reached. We find that in the Northern States,in 1867, there ‘were 4,257 failures, involving the amount of $265,818 ,000, against 6,935 failures during the past year, with an in. debtedness of $178 632,170; showing for the past year an excors of 1,678 failures over the pumber in 1857, with a diminisbed liability of $87,186 830. In the Southern States the number of failures for the entire year of 167 was 676, with an indebtedness of $25,932,000, while the partial returns for the year 1801 reveal 1,058 failures, with /iabililice amounting to $28,578,267, although the returns fram the seceded Btates embrace a period of ouly four months, or up to May 1, when our regular facilities were interrupted. (See note at the foot of the table). The unusual amount of failures in thie section during these four months is to de accounted for muinly on the ground that many were intentional, in order to evade obligations due at the North. Subsequent State action, annu!ling all Northern claims, the entire cessation of trade and the impoverished eondition of the South, lead us to regard the entire in- debtedness of that section as swallowed up in carrying on the war, involving @ general mercantile bankruptey there, This indebtedness, an cetimate of which appears in a subsequent paragraph, je much larger than has gene- Tally been suppored. The excess exhibited in the amount of liabilities (re- sulting from the financial pressure of 1857) of the princi. pal cities of the North, over those of the political crisis of 1861 is accounted for by the fact that the larger pri- vate banking, importing and commireion houses were the heaviest sufferere—wbile the increase in the number of failares for 1861, with a diminished indebtedvess, is for the reason that the jobbing houses have, in the past year, been the greatest losers. In November, 1860, the fall trade was passed; stocks on hand were light, and the orders for #pring goods in abeyance. This, also, accounts for the diminished liability, and importers and commis- sion merchants were, by the force of circumstances saved from losses that would. otherwise bave proved more ones In response to the inquiry of many of our leading mer- chants, who have called upon ur for reliable statistical information, as to the mercantile indebtedness of the South to Northern merchants, we are enabled to state that by @ very close examination of our books, confirmed by other sources of information, there is due the four cities of New York, Boston, Philadelphia and Baltimore about $211,000 000, divided as follows :— New York......$159,900,000 Baltimore Philadelphia... 24,600,000 Boston 7,600,000 In the dry goods interest alone in these cities our estimates show that New York loses $75,000,000; Phila- delphia, $14,000,000; Baltimore, $6,500,000, and Boston, $2,000,000; making @ total of indebtedness the dry trade of 000. From this ‘ata ‘we estimate the total liabilities of the Sout ern States at near neo. The ‘with the advantages faciiities we safely affirm are more nearly correct other way be determined. fhe sudden reverse our commercial ——- ved, culminating in April last, with the uance of tbe unhappy outbreak, prompesd tx enonsny which was very generally adopted, and has been so rigid- adhered to that we estimate the actual saving prac- by families, in articles not of absolute necessity, at @ figure which very nearly meets the expenses of the war thus far, Witha — Of 21,000,000, we may safely count 4,000,000 of families; and estimating the annual economy of each family at $100, which is not large, under the circumstances, we have a total saving to the country Of $400,000,000. The result, however, that may develope itself by the withdrawal of ‘so large ‘a number of produ- cose, now consumers merely, and resting as an expense ‘on the country , remains to be seen. The North is self-suetaining, and our Western country is now reaching a more sound condition than jt has for years yod. The prospects for the spring trade are good. great abundance of the products of the soil, particularly at the West, and the immense disbursements made by the government, will put in circulation large amounts of money, and enable the country merchants to buy liberally, and generally on a safe basis. In our previous circulars we have alladed at some length to the extended credits which had obtained, throngh the influence of more prospering times and com. Petition in business, and condemned the practice, en- deavoring to show that as the ant grew older and the facilities of transportation increased shorter credits should be the mercantilerule. Weare yet more impressei with the importance of this step, but, while urging its importance would condemn the too rigid and sudden change adopt and advertised extensively, which has conveyed the idea that a strictly cash system’ prevailed in this city. This extreme measure has been hurtful, and our Western m: chants, baving received the impresion that no credit whatever could be obtained here, have gone to other markets, and this great city bas lost some of its best customers. The practice, which bas of late years become general with jobbers, of giving notes payabie to their own order, has been heretofore a subject of controversy, and the custom stands condemned upon grounds of mercantile prudence aud safety: Merchants iu failing circumstanees are enabled, by this practice, to suetain their credit for ‘fa time, to their own great injury, as well ag that of all sound jobbers, while, in the end, it is almost juvariably ruinous to those who resort to it as a temporary expedi- ent. Itisalike damaging to the importer, commission m tand note buyer. Only those who overtrade, who do @ business beyond thé limit provided by actual capital, need money to an extent that favors this kiting rystem. Those foliowing a log timate trade have no need. in ordinary times, to force off the paper they receive, and ‘wo are pleased to know that housos of this character have M ly begun this salutary work of reform. We lave been in the habit of issuing with New Year # reverence book, containing ratin, Mercantile Grme throughout tbe United States and , for the use of bankers and unporters. The system adopted by use, of daily supervision and notification, has in inary times: read this work valuable, In these dafs of mercan- tile disaster and uncertainty, , theee ratings lose the value they at other ¢) pogsens, and are not re- Hable. An even banded ju to both buyer and seller, which it is our sim atall times to publishing anew volumo at present. issue now involved, and be guided by circumstanceggnd the times in this matter, Our records show such strange mutations in circumstances, of even those beyond the suspicion of danger, that a frequent application to the fie H records, which our office supplies, is a necessity in the present condition of affairs, tbfully yours, -@, DUN & CO. B. G, DUN & CO.’8 STATISTICAL TABLE AOCOMPANY- ING THEIR ANNUAL CIRCULAR FOR JANUARY, 1862, yasLones, 1861. Liabilities. jew York— New York city and Brooklyn, Albany. 359,000 7,100,100 18 31,161 6,796,000 21 tara 2,948,500 5,117,170 4;911/300 6 "Sound 6,879,500 1,119,200 '200 1820, 840,090 1,488,000 4,918,500 $178,682,170 635,000 #325000 Tota) Northern States.... Louisiana— New Orleans...... Remainder of State. Missouri— St. Louis...... Remainder of State 2,660,374 1,484,000 | i ] Charleston Remainder of State, ‘otal Southern States. ‘Total United States. . 207,210,427 Canada West— | Remainder of Canada West. 2,362,200 Canada East— Montreal. 53 1,851,5 Romainder 43 ‘544. Remainder of British N. A. aT 1,991,000 Total British Provinces.......... 310 $6,471,109 ‘Total U. States and British Proy.7,303 213,682;196 Nore.—The failures in the Southern States (with the exception of the cities of Baltimore, Louieville and St. Louis, the Siate of Delaware and District of Columbia, pore embrace the entire year), are shown to ist May only. FAILURES IN TOR PRINCIPA. GTIES DURING 1861, CLASSIFIED ‘BY THE LRADING PRANCHES OF BUSINESS, WITH THEIR HAR- HE a Be “oti inom No. Liabilities. No. Liabilities, No. Liabilities. New York— N.Y.&B’lyn.,217 $9,648 200 306 $43,605,119 122 $5,737,900 Albany ..... 14 1,036,600 9 404,500 9 © 49,500- 2 40000 1 6,000 2 11.000 3 22,000 8 64,500 9 14,000 7 182,000 6 190,000 4 27,000 6 61,000 5 & 105,000 6 21,00 Massachusetts— Boston......111 4,188,131 117 6,523,075 83 2,655,100 Pennsylvania— Philadelphia. 82 3,378,664 154 11,441,282 65 2,057,045 Pittsburg... 16 160,724 18 249,843 5 © 121,000 Minot ri ap 25 1,824,042 22 1,244,864 12 743,907 0 Cincinnati... 40 968,676 41 8,366,481 20 518,080 Cleveland... 10 188,500 3 169,000 4 160,600 Rhode Island— Providence,. 10 55,000 20 298,000 4 34,000 Michigan— Detroit...... 17 335,000 11 836,000 6 89,000 lowa— 2 2 36,000 5 255,000 1 10,000 isconsin— Milwaukee... 6 227,154 6 168,346 — ‘Tot. N. S'tes.613 22,749,601 780 68,461,600 362 12,445,032 oe $91 461,609 1032 a Now Orleans. 11 1,095,000 12 4,220,000 4 190,000. Missour! Lose $1 481,679 25 968,528 15 548,000 Baltimore... 40 1,248,000 90 1,619,000 10 267,000 entucky— Louisville... 5 112,000 17 714483 4 = 141 ton Corton i as leston.. & 350,000 2 480,000 2 209,000 Virginia— ie 4,000 55,500 1 470 9 8,047,511 36 1,389,000 070 832 76,600,120 386 13,804,052 214,000 4 42,000 2 29,000 $42,300 22 1,275,935 4 53,000 056,900 26 1,817,085 6 82,000 Tot. Br. Prov. 32 ‘Tot. US:@B.P.761 26,000.970 858 77,827,065 304 13,886,032 et ine Mates. i t BS if —_—_—_——— Vo. Liabilities. No. Liabitities. Now York— N. York and Brooklyn 209 $65,887,746 126 $4,188,149 Albany fees 9 821,000 6 33,009 Bul A 76,000 5 60,000 3 f 2 10,000 1 $8,500 5 37,000 8 10,000 6 31,000 9 135,000 2 20,000 6 38,000 4 18,000 Boston... + 116 8,316,600 63 1,734,255 Pennsylvania— Philadetphia, + 4 2,421,083 53 1,006,189 Pittsburg 6 135,630 3 87,700 Minois— Chicago... 1,127,483 16 176,574 Ohio— Cincinnati, 1,184,752 33 955,082 Cleveland . 81,000 — i Rhode Isiaad— Providence. soos WL 570,000 9 136,000 Michigan— DOOM... csessereeee 6 240,000 10 120,200 lowa— DUbuqye...ccccecree 8 0000 ie Wiscousin— Milwaukeo.......00.. 4 108,705 2 43,000 Total Northern States 494 $16,326,499 Louisiana— New Orleans ‘4 15,000 Missouri— St. Lous: 1” 831,462 10 210,696 Maryland: Baltimor a 269,000 20 659,000 Kentucky— Louisville, + 7 276,000 8 4,000 South Carolin Charleston a 91,000 1 5,000 Virginia Riehmond.......006.6 3 4,000 1 6,000 Total Southern States 56 $1,066,472 37 $079,605 Total United States.... 660 17,882,971 371 10,631,144 Canada Weet— omens" ybishn aie “eg ie Montreal............ 6 674% 8 18,000 ‘Total Brit. Proviness. $2004 4 $18,000 Total United States and British Provinces... 668 17,563,808 875 10,040,144 Suspension of the Citizens Bank of Pitts- Prrmsvne, Deo. 81, 1861, ‘Tho Citivene Bank suspended specie payment to-day, NEWS FROM WASHINGTON. Wasmincton, Deo. 31, 1861. ONE REPORTTD BALTLE IN EENTUCKY. ‘The report sent to the country last night, that a battle hus boen going on in Kentucky, is not credited here. No official information whatever bas been received by the government on the subject. WHAT GENERAL M’CLELLAN 18 DOING AND WHA? BE WILL SHORTLY ACCOMPLIBH, The question is“requentiy asked, by inexperienced members of Congress, and other subordinate officers of the government, who ought to know betier, ‘Why don’t General McClellan advance?’ ‘The only reply to this quostion is, that General McClellan is advancing every hour of the twenty-four that parses. He has his hands upon the the throat of the rebe) army of the Potomac, holding it where it is. He is advancing in Grill, advancing in disciptine, advancing 10 strongth, advancing in endurance to stand out in the cold, advancing in a supply of musketa for infantry, can- non for artiery, sabres and revolvers and rifles for cavalry, location of oxpeditions, &e., &c. When bo bas completed there advances he will clore mp the rebellion, and then the men wio now clamor for an immediate ad- ‘vance will be competied to acknowledge the wisdom of Genera} McCicilan’s programme. Jn this comnection, it may not be impolitic to say, that the reason why the expeditions, under the command severally of Generals Butier and Burnside, bave not left for their places of destination, has beon in consequence of the recent complication with Great Bri. tain. The settlement of the Trent affair has changed the face of things, and now the advanco of Gen. McClellan will suddenly become more general on !and and gea, and in good time, if the impatient will only be patient, the conntry will better understand the cause of what seems to them delay, but whicl ie only a neccesary preparation 10 a final and glorious consummation. INVESTIGATION INTO THE CONDUCT OF THE WAR. ‘The committce appointed to investigate the conduct of the war, it is well ascertained, have become thoroughly satisfied that the utmost confidence may be justly reposed in the comprehensive plans and military skill of Gexeral Me“ellan, and that early results will fuliy justify the confidence of the nation in him. The commitiee base their opinion upon the testimony given before them+by the ablest officers of the army. BECONNOISSANCES TOWARDS DRANESVILLE. Recent reconnoissances from Generals Smnith’s and McCall’s divisions show the chemy has a strong picket guard beyond Dranesville, but no troops at that place. RETROGRADE MOVEMENT OF THE ENEMY. Scouting parties eont out from the three divisions occu. ‘000 | PYing the cemtrc of the army of the Potomac, within the last few days, report that the outer lines of the encmy | have been moved backward some two or three miles, ap- | parently with a view of going into winter quarters. ANNUAL INSPECTION OF THE ARMY. This being the iast day of the year, the annual inspec- tion of tho United States army has taken place, conse quently to-day all the inspecting officers have been busy. A grand review of General Franklin’s division took place to-day, prior to the various regiments bemg mus tered for inspection. PAYMENT OF THE TROOPS. Arrangements have been made to pay all the troops up to January 1. Orders for prevminary musters were is. sued several days ago. ‘WHE CASE OF COLONEL MILFS. Reverdy Johnson, ex-United States Atuorney General, and Re S, Gillett, ex-United States Solicitor of the Treasu- Ty, have rewiewod the case‘of Colones Miles, who com- manded the left wing of the federa! army at the battlo of Bull run, and who was charged by Col..J. B. Richardson with being drunk on that day. They review the proceed- ings of the Court of Inquiry demanded by Colonel Miles, and give a logal opinion ov the evidence, and come to the following conglusion, which I am permitted to use ver- batim:— Ps Wo have examined the evidence in this case, with the intention Of ascertaining whether it warranted the con- clusion that Colonel Miles was guilty of the charge made against bim, and that examination has satisfied us that he was not. Among the reasons why we think so are these:—Because much the larger number of the witnesses sworn testilicd unqualified|y in his favor, and they had far the best opportunities for knowing the truth, and because the grounds upon which the accnser's witnerses formed their opinions are easily ac’ ted for; and because his acts were judicious, and that the confusion complained of was the work of other persons, We are of opinion that if this evidence had been before gn intelligent jury, their verdict would have been that “he was innocent of the charge of drunkenness, and that he was fully competent for the command which had been assigned him. As jurors, we should have come to this conclurion upon (he evidence contained in this regord. We think the court of: inquiry were clearly correct in that part of their opinion in which they say, ‘ that evidence cannot now be found to convict Colonel Miks of drunkenness before a coat martial,” becauge mone ever, existed when everything wag fully developed and considered, and for the reason that none ever existed sufficient to authorize any s..ch conclusion. The review of Messrs. Johnson and Gillette covers eight pamphlet pages,and will be presented to every Senator ‘and representative in Congress. A fact came out in evi- dence that has been suppressed, although important to lone] Miles, because it is believed that he is strong encugh without it. The publication of it would only dis- grace another officer, who distinguished himselr at Buil Tun, The substance of it is, that an officer who was known to be drunk, and who fell from his horse on the field at the time of the retreat, and who was supposed to be Colonel Miles, turned out to be quite another persen. Opinion is settling down to the point chat great injustice has been dome so Colonel Miles. ‘The idea that a man who has lived on the Plains for years, in the regular army» and fought Indiams and Mexicans, during which time whiskey has been a drink as cot as water, could pus- eibly get drunk under any circuifietances. especially when influenced by the greater excitement of an awfal battle, tn which be is a participant, is against common sense and the laws of nature. REMOVAL OF GENERAL SUMNER TO WASHINGTON. General Sumner was this morning moved from the camp in Virginia to this city, where he wili remain until sefficiently recovered to resume commapd of his division. He was placed on a sofa, and, attended by his wife, daughter and aids, Captain Lawrence Kip, of the Third artillery, and Lieutenant S$. Sumuer, he was conveyed in this manner to the Alexandria boat, and from thence to his quarters in Twelfth etrect. It will probably be three or four weeks before the General will be able to mount his horse; but as soon as he gets suflicient!y well to go out he will be driven in a buggy and drill his Tegiment in that way. His recovery is slow, but sure, Dr. McCormick, of the regular army, is attending him, and the General's aide, Captain Kip and Lieutenant Sum- ner, are unremitting in their attention to him. Captain Taylor will remain at the General's headquarters, as Willard’s Hotel to-night, after his lecture at tho Smithsouian, and responded m ao shot ;Feech, He acknowledged his obligation for such a flattering compliment to a private citizen, and mado some romarks about the rebellion. He regretted, as did his audience, that the country in suffering rom civil war. The rebellion must be met firmly, with a determination to destroy it. He had labored seven years in yonder Capitol, and during that time had done al! in his power to prevent this crisie from being forced upon us. He would now be willing to labor seventy times seven years to put down this rebellion. He had been bound by many tig to those who wero fighting against us. Hardly any one found it more difficult than he at the outset, but when thoy turned their hands against the covntry, he took his position alongside the constitution, and there, so help him God, he would stand to the last. There is but one way to treat the rebvollion; bring oug the whole power of tho government against it. Protect loyalty wherever you find it, but crush troanon. Strike it wherever it can be made to feel. There is but one alternative, The government must triumph or the robellion will triumph; He was for putting it down speedily, and go that it would stay down. Mr- Dickinson was cheered as he mace his adieu and with- drew. One or more bands went to Genoral McCiellan’s reai dence thig evening, with the intention of giving hime ferenade, but were not allowed to play on account of the Genera}’s il!negs. “FLAG PRESENTATION. Hon. DaniolS. Dickinson to-day presented a costly stand of State colors to the Dickinson Guard, Eighty-ninth New York Voluntcere. Hon. R, 8. Duell received them in behalf of the regiment, delivering a felicitious address. Vice President Hamlin, General Casey and staff, Hon. W. S. Doane, Augustus Schel} and others were present. CANNON EXPERIMENTS ON ROARD TRE PENSACOLA, "The experimental firing with the great rifled gun for tho Penxavola has been continued with satisfactory resulis. CELEBRATION OF NEW YEAR'S DAY, Preparations are making @t the White House to-day, and at the mansions of the heads of the departments, and of other distinguished citizens, for the usual New Year re- coptions, which promise to be brilliant affairs in spite of the peculiar state of the country. ‘The various New York regiments are also preparing to celebrate New Year's Day as they have beem accustomed to do at home. IMPORTANT NOTICE TO POSTMASTERS. ‘The following notification has just been promulgated:— Pose Ovrice DErARTMtNT, } Apromrmenr Orrice, Dec. 31, 1861. ‘The Congressiona’ branch oflice being now in operation , the attention of Postmasters at distributing offices is again called to the order of this department, requiring every distributing offce to make up @ separate bag for aii matter, lettera and papers directed to mem- bers of Congrees, excinsive of ail other matter. Special and .arefui attention is required to this order, and the clerks should be go instructed. Such bags are to be lnbeliea “Congress, Wasbington, D. C.,” and rovte agents at Washington will deliver these oo direct to J. A the Congress messenger. First Assistant Postmaster General. DESTRUCTIVE FIRE IN NASHVILLE, Abont a Million Do! jars Worth of Pro- perty Destroyed, &c. We have received @ copy of the Norfolk Day Book of December 30. ‘Tho comm:esary stores, including a portion of the Ord nance Deparunent, in Nashville, were destroyed by fire on the night of the 22d, The Joss is estimated at nearly a million of delJars. ‘TENNESSEE MEMBERS OF THE REBEL CONCKESS, ‘The following are the Tenneseee Congrocemen :— First district, J. B, Haskell; Second district, W. G. Swan; Third dittrict, J. B. Gordenshire; Fourth district, M. P. Gentry; Filth district, G. W. Jones; Saxth district, H. 8. Foote; Seventh distric . C. AdKine; Bighth dis- trict, John V. Wright: Ninth’ district, D. M. Currin. A NEW JERSEY SCHOONER ASTIORE. The schooner J. ¥. Crouch, hailing from Vort Kiizabath, New Jersey, and bound from Alexanaria, Virginia, to Deighton, Massachusetts, with coal, went ashore on }ri- day night, about eleven o'clock, off the Pleasure House. Her Captain, Timothy Henderson, of New Jerscy, and crew were brought up to the city. The vessel and cargo ig @ total logs. A FATAL DUEL. Ricmmonxp, Dec. 29. 1961. A duel occurred last week on the Peninsula between Lieutenat Jones, of the Fifth Louisiana, and Dr. Forward, asutler in the same regiment. They were both killed at the first fire; rifles, forty paces. oth bodies bave ar- rived here en route for Louisiana. THE FIGHT AT DRANESVILLE. A correspondent of the Lynchburg Virginian of tho th inst., wriliag of the battle at Dranesyille, says After the regiment fell back to Herndon many of the ¢oldiers were too much exhausted to get there before the rolls wee called, and very many who have found their companies and regiments since were at that time put on the list of killed, wounded and missing. All of the wagons returned to camp safely, and all belonging to this regiment came back heavily Thiden with oro ‘speaks well for the energy of Colonel ford in having his teams to jeave camp an hour before day and several hours 1a ad- vance of all others. REPORTED REBEL SUCCESS IN THE INDIAN COUNTRY. ‘From the Fort Smith (Ark.) Times, Dec. 15.) We from Major Clurk, of Texas, direct from the camp of Colonel Coojer, tbat a baitie took place on the 9th on Bushy Creek, near the Verdigris river. about 180 miles from this place, between the forces of Col. Cooper ‘and the enemy's, under Opotbley nolo, estimated at 4,000 or 6,000. Col. Cooper bad only about 1,300 men. ‘The enemy attacked Col. Cooper about eleven o'clock, and the fight continued all day untilsandown, Colonel Simms’ Texan regiment fought with great bravery, and the Choctaws, Chickasaws and Creeks fought like tigers. Tn fact it was one of the harcest fought battles that has taken place in the country. ‘The enemy followed Col. Cooper eeveral miles, and at- tacked him with great fury. Col. C. drove then back to the woods, « distance of two miles. A large number of Cherokees wero with Opothleyhole; likewise about one hundred and tifty Seminoles. Col. Drew, with bis men, who remained with bim, fought well and did good ser- vice. The Choctaws took about one hundred and afty sealps, and the Chicasawe nearly fifty. The Creeks did not scalp any, because the enemy were their own people. ‘A white man, by the name of Ei Simith was taken, who bad gone over to the enemy, was trie! by a court mar- tial and ehot. He was a deserter from a Texas regiment. Other deserters were taken and dealt with in the same manner. Col. Cooper behaved with the greatest coolness and bravery. We understand that ho has called on Colonel McIntosh for assistance, and it is to be hoped that he wii) furnish it with promptness. If aid is not sent, we will be likely to have terrible times on this frontier. (From the same, Dec. 16. An express arrived yesterday from Colonel Watie, from which we learn that his regiment is on the move to aid Colonel Cooper: Nothing has yet been heard of Captain Parks and his company. It is feared that thoy have all been killed, aud Watie's men are highly exasperated, We learn that Colonel Mcintosh, in command of the troope on this frontier, bas ordered eight companios of Colonel Young's regiment, five companies of Colonel Greer's regiment, aud Colonel Whitfeld’s Latialion to tbe sisted by Captain Kip. A PREITY PLOT SPOILED. Several daye ago Mre. Greenhow, who was ‘among the first female arrests, and who ts still ie prison received @ cake from some friend of, hess un. known to the guard. Before delivering it into her bands, Lieut. G. E. Sheldon, of the Sturgis Rifles, suspecting something wrong, examined the cake and found embedded therein a note informing that Indy that ar rangements had been made for her escape and convey ance to Richmond, naming the day and hour for her de- liverance. This information, however, was not commu- nicated to her by the lieutenant, vor has the writer of the note been discovered. MNS, BAXLEY, THE FEMALE sry, Mrs. Baxley, the female spy, arrested on hoard the Bal- timore and Old Point buat, with letters aud memoranda of atreasonable eharacter concealed about her person, hag been brought here, and awaits ber examination. She maintains a dogged silence upon points conuectod with her treason. Mrs. Baxley bad, net only in the folds of her dress, but in the rolls of her bair, contraband lettera which are in possession of the proper authorities. RETURN OF COLONEL KERRIGAN. Colone! Kerrigan bas returned to the city, and was this afternoon imprisoned on Capitol Hill. His trial bas been postponed to Thursday. SWORD PRESENTATION, The officers of the New York Thirty. firet regiment wil! to morrow present their Colone!, Brigadier General Cam manding Col, E. Pratt, with @ eplendid sword, as a tosti- mondal of their high regard for bis geutiemanly avd sol- diorly qualities. Colonel Pratt is regarded ag one of ihe | best officers in the army of the Potomac. SERENADB TO HON. DANIBL &. DICKINSON. | Hou, Daniel 8. Dickingon was serenaded at; assistance of Colonei Cooper, against Opotiley bolo and bis Japhawking allies. sb tat IMPORTANT FROM KENTUCKY. RUMORS OF A BATTLE IN SOUTHERN KENTUCKY. Lovisvriie, Dec. 31, 1861. Exciting rumors of a general engagement in Southern Kentucky have prevailed all day, but are gon@ally dis- credited now, no notice thereof beiag receiver at hoad- quariers. ‘Tho North Bank, of Kentucky, bas suspended specie | ayment Peyyjoubtfol rumor prevails that the Cave City Hotel was burned by the rebels. The Poople’s Bunk, of Bowling Green. has been reorgn nize at Loulsville bY the choice of a new Board of Direc tors, who assume direction of the bank to-morrow EXPECTED BATTLE AT GREEN RIVER. Cinoinwan, Dec., 31, 1461. A special despatch to the Commercial, from Indianapolis, says that there aro rumors of fighting in Keutucky today @eneral Buell had ordered to Green Rivor a regiment of Fusileers and a regiment of lightartiliery before ho weut forward, General Buckner's rebel cavalry were yesterday within a short distance of our pickets, and it is supposed that be intends attacking Colonel MoCook in force, destroy Green River bridge, and retire, All tho Union regulars wore throwmacrora the bridge early yesterday morni THE REPORTED FIGHT AT PADUCAH. PriLannurnia, Deo. 81, 1961, A private despatch received here mentions as among tho killed at the battle of Paducah, Captain Albert Bacon, of this city. Captain Bacon belonged to a Kentucky regi- | ment raised near Frankfort, ‘Tho despatch gives 20 particulars of the battle. IMPORTANT FROM EUROPE. Arrival of the Asia at Halifax and the Borussia and Etna at New York. DAYS LATER NEWS. i} THE PRESIDENT’S MESSAGE IN ENGLAND. Opinions of the British Press of the Paper. SEVEN WARLIKE PREPARATIONS CONTINUED nanan Great Britain Likely to vro- voke War Even After the Surrender of the Rebels. Prince Napoleon Thinks England the Only Enemy of France. PRINCE ALBERT’S DEATHBED. The Health of Queen Victoria and a Significant Warning to the Prince of Wales, OUR PARIS AND BERLIN CORRESPONDENCE, THE MARKETS, &e., &e., &* ‘The Asia arrived at Halifax at five o'clock yesterday morning. Sbe left Liverpool at cleyen o'clock om the morning of the 2Ist ult., and Queenstown on the 224, and she has on board five hundred troops, with stores, &c., and is consequently under government orders. She bas twenty-eight passcngers for New York and £7,200 in specie. The screw steamship Etna, Captain Kennedy, which Jeft Liverpool-at noon on the 18th and Quecnstown on tho 19th of Decembor, arrived here at half-past ten A. M- yesterday, bringing mails and passengers. ‘Tho steamship Borussia, from Hamburg via Southamp- ‘ton 18th vit., also arrivod at this port yesterday. In England public feeling was for the moment #0 en- grossed with the death of the Prince Consort that, al- though President Livcoln’s message was regarded with the greatest interest, it received less attention than would have been the case under other circumstances. Warlike preparations continve unabated. Additional troops arewrdered to be ready to embark; but the Army and Navy Gazette of December 21 says that no more are likely to be placed under orders until hostilities are actu- ally dectared. Im that event some of the rogiments in the Mediterranean garrisons will probably be sent in the war vessels now rendezvousing at Gibraltar, ‘The steamer Parana, with about one thousand of Bootes Fusilcer Guards, left Southampton on the 20th for British North America, ‘The steamer Cleopatra would leave Liverpool on the 21st for Quéenstown, there to embark over five hundred men of the Seventeeuth rogiment., The Magdalena would embark about one thousand men at Southampton on the st. +The mail steamers of the Peninsular and Oriental Com- pany, numbering about fifty, were to be armed and made capable of resisting privateers, in case of war. ‘The gunboats in second class reserve at Portsmouth had been ordored to be fitted out immediately. Pending the news in response to the demands of the British government in regard to the Trent affair, the English papers have little to say. ‘The London Morning Post says the Americans cannot possibly complain of the tenor of the despatch to Lord Lyons. Movements were taking place between the government and the authorities of Liverpool, looking to the defences of that port. The English funds on the 20th of December were firm- er,and had avanced one-half per cent, chiefly owing to large investments. Various peace rumors were also in strumental in causing the rise. It was statod in England that Parliament will meet for the despatch of business on the 14th or the 16th of Janu- ary, which is some weeks earlier than usual. The London Times of the 19th ult. says that Lord Palmerston, who had for several days been suffering from an attack Of gout in tho wrist and in ane foot, had almost entirely recovered from it on the 18th. He had been con- fined to the house for a few days, but has never been prevented from receiving his colleagues or transacting the business which, especially at such a moment, de- volves on the head of the government. Lord Clarence Paget writes to the Shipowners’ Society that the Admiralty have already sent instructions to the commanders in-chicf on the different stations, and hesays that, if necesearf, further reinforcements will be sent, ia order that British commerce may, as far as possible, be efficiently protected. Admiral D'Acres will hoist his flag on board the Edgar, as second in command on the North American station. The Edgar will call at Lisbon for latest instructions, A portion of the Mediterranean fleet was gradually acca- mulating at Gibraltar, to be ready, if necessary, to cross the AUantic. The London Times bas a severe article on the brutaliaing signs which civil war is producing, and strongly denounces various measures of the Northern States. On the 18th ult. additional shipwrights were taken on at Portsmouth dockyards, to get ready with the utmost | despatch the shipsordered for sea; the crews were held in readiness to send on board at an hour's notice, should they be required. The two battalions of guards ordered to North America left London early on the morning of | Dec, 19, to embark at Southampton the same day, The first battalion of the military train and @ battery of arti: lery embarked at Southampton on the 18th. TRetroope wore safely housed within half an hour of their arrival im the dock. | Thé London Post remarks that the bombardment of | Greytown, a place ander British protection, did not iend | to war, nor®did the serzure of San Juan and other a@eire; | $0 the Washington Cabinet may expect thas the Trent | affair will likewise blow over. | Tho Monileur of Dec. 19 publishes a decree opening the Custom House of Strasburg for the importation of woollen and cotton yarns of every kind of Belgian and English menufacvure. ‘Vbe Paris Patric, in enumerating the five French vessels at New York, says others are shorely to bo sent there. | The custom houses of Boulogne, Calais, Dunkirk, Var Jenciennes and Cambery aro added to the number of those which have already been opened for direct importation and clearauce for English and Belgian textures, taxed ad valorem. ‘The Monitewr, in its bulletin, gives @ categorical denial to all the reports of moditication in the French ministry. Count Pourtales, Prussian Miniever to the Courtof the. Tuileries, is dead. Tho Marquis Voga Armiga bas been appointed Minister of Public Works in Spain. Mr. Schurz, the American | Minister, has left Madrid on leave of absence. tasued a diplomatic Circular,*taking ground against the acrost of Messrs, Mason and Sitdell, and bad sent repre- reotetives to Washington la order to determine the Ame- Tican goverumené (o make indispensable concessions, The Peoinsular and Oriental Company's. stesmer Peoa, with the heavy portion of the India, China and Australia mails, arrived off the Needjes, Southampton, at 10.25 A, Mv. on Wer 18. The stenthslips of tho Canadian and New York and Philadelphia lines were stipulating with shippers for the right to call at any intermediate port, discharge cargoes,