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‘ 4a NEW YORK HERALD. | JAMES GORDON BENNETT, EDITOR AND PROPRIETOR. OvFICE N. W. CORNER OF FULTON AND NASSAU STS. sent dy mail will be at the risk of the sender, Ni Sale Vite Marront ta New York von VOLUNTARY CORRESPONDED CE, containing smportant ewe, solicited from ‘Quarter of the workd: (7 wsod, witl be Tiheralty pari for. OUR FOREIGN CoRRESTONDENTS ARE Parmioviak.y Requrswp To Seat alt Lerrexs aNp Paon- AGRS SENT US. ‘NU NOTICE taken of anonymous correspondence. We donot rs return rejected cominur ns. ADVERTISEMENTS renewed every day; a’ a sorted tn the Wrxkiy HERALD, and in the Cudifornia and Bu ropean Edetrons. JOR PRINTING exccuted with neatness, cheapness and dee- TERMS cash in advance Velume XXVI1... AMUSEMENTS THIS EVENING. ACADI'Y OF MUSIC, Irving Place,—Iractix Orena— La Favornia ca NIBL‘"'S GARDEN, Broadway.—Jack Cane. WINTP!: CARDEN, Broadway.—Inevann As It Was— In ann Our oF PLack—Harry Maw. LAURA KEENE’S THEATRE. Broadway.—Bioxpertr NEW BOWERY THEATRE. Bowery,—FisnerMan oF Dee—Dick Toxrin—Iwo LRov¥RS—Bor OF CLOGHEEN. BOWERY THEATRE, Bowery.—Roneat Exwerr— Agrnoom—ranr Heawt—Jace Cape—low 10 AvoID “a : GERMAN OVERA HOUSE. Broadway.—Tne Poacuens. BARNUM'S AMERICAN MUSEUM, Broad: Bace's Py eroRyisG BRARS—GIANT GIRL, &c.. Drama, ick QuxEN’s Vow, at 3 and 734 0 clo: INSTRELS' Mechanics’ Hall, 472 Broad- Sonos, BORLESQUss, Dances, &c.—Hann- WOOh'Ss MINSTREL HALL, 614 Broadway.—Erarorian Bone, Dances. &c.—Fiat Foor Jake PALACE OF MUSIC, Fourteenth street.—Camrsett’s ANSTRELS—SonGs, Dances snp BuniEsques. AMERICAN MUSIC HALL. No. 444 Broadway.—Bat- Lets, Panto timrs, BORLESQURS, 4c. GAIBTIES CONCERT HALL, 616 Broadway.—Deawina we EN TRI TaALXMEMTS. NOVELTY GALLERY OF ART, 616 Broadway, PARISIAN CABINET OF WONDERS, 563 Broadway. — ma daily trom 10 A. M. till 10 P.M iF ae HOOLEY’S OPERA NOUS, Brooklyn.—Exrauort. Bones, Dances, Bu! wns ae ss a New York, riday, December 5, 186%, ADVANCE IN PRICE. On and after Sunday next the several editions of the New Yor& Heraup will be sold at the fol- lowing rates:— The Daily Heratp, single copy... The Sunday Heratp, *¢ The Weekly Heratp, “ .. FIVE cents, The subscription price of the Weexty Heratp will be:— One Copy, per year. Three Copies, ‘“ Five Copies, “ Ten Copice, “t ies oe Any larger number, addressed to names of sub- scribers, $1 50 each. An extra copy will be sent to every club of ten. Twenty copies, to one ad- ress, one year, $25, and any larger number at game price. An extra copy will be sent to clubs of twenty. These rates make the WEEELY Herar ‘> cheapest publication in the ‘country. Advert:-emcuts, to a limited number, will be in- serted in the Weexny Hena.p. THE SITUATION. We learn from the headquarters of the Army of the Potomac that it was rumored yesterday that a train of wagons, loaded with ordnance stores, en route for the army, via Occoquan and Stafford, had been captured near the former place, and it is @rred that the report may be true. Deserters are @astant!y coming in, but their reports are con- @oting and unreliable. It is currently reported @at Stonewall Jackson has joined the forces con- fronting us, and has his headquarters eight miles from Fredericksburg. Hampton's Legion is seour- ing the country upon the right of the Union lines and occasionally picking up some of our toldiers. The rebel pickets are erecting substantial houses along the river's edge, evidently contemplating a permanent possession of that locality. Work upon the rebel batteries is still prosecuted vigorously, ané additioual guns make their appearance daily. Many of our batterics have been protected by earthworks, and extensive fortifications, command- ing the encmy’s position, are rapidly approaching completion. The health of the troops is very fine, The prospects therefore, for some imunediate active operations are cheerful General I. »e was examined yesterday in person before the Court Murtial trying General Fitz John Porter on the charges brought against him by the | Chief of General Pope's staff. At the conclusion andthe rons are in good order. of his testimony Generel Fitz John Porter offered in evidence the foil wing letter of General MoClel- | Tan's, wi'tten to } im froin the War Department at | Washiny'on, dated “September 1, 6:30 P. M."":— | Major Sixth corps:- Task of you, for my sake, that of the country and of the old Army of the Potomac, that you and all friends will lend the fullest and most cordial co-operation to General Pope in all the operations Now going on. The distresses of our country the honor of our arinics, are at stake, and all depends how apon the cheerful co-operation of all in the field. This week is the crisis of our fate. Say the sane thing to all my friends in the Army of the Potomac, and that the last request I hav. to make of them is, that for their country’s sake they will extend to General Pope the same F)) - | port they ever have tome. Iam ia charge af th defences of Washingto., oid am doing all I can to | render your retreat saic <'rould that become ne- oeseary. GEO. B. McOLELLAN, Major General. The tone of this letter—written tinder such pe- euliar circumstances—it will be observed, resem- bles closely, in its patriotic and sell-sacrificing opirit, all that be has since written in an unofficial | meonner, and a!l that he has said in his bricf farewell addresses to the army and the people who greeted him on his route to retirement. His ‘voive was then, a8 now, fur the Union and the government at all hazards, and without any regard Mor self, For the country and the army he spcaks pith all the impressiveness and vehemence of a Patriot and a soldier; for himself simply he says te word. It is said that General Sigel now demands an in- eatigation into the statements made by Generel | Pouren, Centreville, Commanding (Pope regarding his conduct, as embodied in the report of General Halleck. ¥ The annual report of Mr. Secretary Chass upon fehe financial affairs of the country will probably be nent into Congress at ite sersion to-day. The news from the Southwest is important, )General Gran! telegraphs from Abbeville, Missis. @pol, 0 Goucral Hallogk hak hia troops are in “FER. , NEW YORK *HERALD) ‘FRIDAY, DEUEMBER '5,1862./)0% possession of that place. The rebels abandoned thoipfortifications there on the 2 inst., destroy- ing all the stores they could not carry. The streams were so high that only # portion of our cavalry could cross by swimming; but the enemy was pursued to Oxford, where, after a skirmish of two hours, sixty of their number were captured. General Grant says that the roads are too bad to get supplies for a long chase. A fleet of our gunboats on the Mississippi have been running into the creeks and bayous between Vicksburg and Helena, doing serious damage to the small river craft of the enemy, from steamboats to canoes. Quantities of grain were seized, and arms destroyed wherever found. This expedition has discovered that the stock of cotton of the crop of 1861 remaining in Arkansas, Miasissippi and Louisiana has been over estimated, ard that the de- struction of the staple by the rebels has been very considerable. Only a few thousand bales now re- main in the counties bordering on the river. The new crop in these regions will be very small, the floods of spring having damaged the fields, and the planters being so disheartened that they are not disposed to pick what is growing. Our Saffolk and Fortress Monroe correspondence to-day gives a highly interesting account of the re- cent attack by General Peck'’s forces, on the Blackwater, near Frauklin. Colonel Spear led the attack, capturing the !tocket battery which the rebels had previously taken from our troops seve- ral montha ago, and which had been a source of constant annoyance to General Peck's position for along time past. The enemy, it appears, had a force of 700 men in action, while, our force was only 300. So sudden was the charge of the Fleventh Pennsylvania cavalry that the rebels broke and fled. They were commanded by Gen. French. Not only was the battery recovered, but forty prisoners were captured, and a large number of killed and ‘wounded, without the loss of a man on our side. It is stated that the enemy have rifle pits al, along the route from Petersburg to Richmond, and strong earthworks in rapid course of con- struction. It is also reported, upon what is said to be good authority, that a large portion of the obstructions placed in Charleston harbor is com- posed of railroad iron, which is laid in the chan- nel between the stone blockade, and that the rebels can use this now valuable materia! for different purposes, The news from North Carolina contains some in- teresting points. Petitions are in circulation there, requesting Governor Stanly to order an election for members of Congress during the remainder of the term. A strong feeling of disgust with ¢he war, and an carnest desire for peace is experienced in Raleigh. Our troops took possession of Green" ville, on the Tar river, a few days ago. CONGRESS. In the Senate yesterday Mr. Clark, of New Hampshire, offered a joint resolution, which was. laid over, approving of the policy of the Presi- dent’s emancipation proclamation. Mr. Pomeroy, «f Kansas, also offered a joint resolution, refer- ring the portion of the President's Message that relates to compensated emancipation and depor- tation of negroes to a select committce of both houses. This was also laid over. A resolution re- questing the President te furnish to the Senate all the documents concerning the cperations of the Army of the Potomac and the surrender of Harper's Ferry, was likewise laid over. A bill repealing the act establishing and equalizing the grade of naval officers, was introduced and appro- priately referred. The Naval Committee was instructed to inquire as to the expediency of submitting the appointments of volunteer naval officers to the Senate for confirmation. The death of the Hon. John R. Thomson, late Senator from New Jersey, was announced, the customary resolutions of respect adopted, and the Senate then adjourned. In the House of Representatives, Mr. Stevens offered resolutions declaring that the Union must be and remain one and indivisible forever, and denouncing as guilty of high crime any executive or legislative department that shall propase or advise any acceptance of peace on any other basis than the integrity and entire unity of the United States as they existed at the time the rebellion commenced. Tuesday week was, on motion of Mr. Stevens, assigned forthe con. sideration of this subject. Mr. Wiekliffe, of Kentucky, offered a resolution direct- ing inquiry reepecting the Military Governor of the District of Columbia—under what law he derives his power, hit compens:tion, the expenses of his office, and whether he har obstructed the civil tribunals in the administration of justice. A motion to lay the subject ou the table was adopted by a vote of eighty-five against forty-six. “A-reso- lution abolishing the West Point Military Academy and aiding in the establishment of military schools in the States was rejected by a decisive vote. After disposing of several unimportant subjects, the death of Senator Thomson, of New Jersey, Was announced and the usual resolutions adopted. The House then adjourned. It is stated that the report of the Secretary of the Treasury will be transmitted to Congress to- jay. vg MISCELLANEOUS NEWS. Our European files by the Hibernian at Portland and Sexonia at this port, contain some very inte- resting details of the news to the 20th of Novem- ber, of which an ample resume appears in the Hexatp this morning. A large and influential meeting of merchants | wes held at the Chamber of Commerce yesterday to ‘levise means to aid the operatives of Lanceshire, England, who are suffering from lack of work, caused by the stoppage of thé supply of cotton from the United States. About twenty-six thou- sand doHars was contributed for this object in a short time. At the meeting of the Chamber of Commerce | yesterday, a letter from the Secretary of the Navy 1 pirate steamer Alabama, besides Rear Admiral Wilkes’ West India fleet and ships on the European coast, and that an additional force will be despatched in* pursuit of her as soon as practi- cable. A resolntion was adopted requesting the Navy Department to send armed steamers to craise about the equator on the Brazilian coast, for the protection of American commerce. A resolution thanking President Lincoin for his eflorts in be- | half of the early completion of the Pacific Rail- road, and the enlargement of the New York and Iinois canals, was adopted. Senator Charles G. Cornell and ex-Alderman Darragh, appointed by the Board of Aldermen on Monday last to fill the vacancies respectively of Street Commissioner and Croton Aqueduct Com- missioner, took formal posseasion of their offices yesterday. Mr. Cornell made his appearance at the Sireet Commissioner's office at noon, when Mr. Knapp immediately surrendered hie insignia of office into the hands of the new incumbent, There was a tremendous rush of politicians to congrata- late Mr. Cornell, and there appears to be a little wacainess among fhe clerks scamecting their ten: stating that severe! vessels are in search | ure.of office. But it is Hkely no changes will be made for a long period, untilthe new incumbent becomes thoroughly posted upon all his duties. The Board of Aldermen met yesterday at one o'clock. The newly appointed Street Commis- sioner, Senator Charles G. Cornell, sent in a com" munication requesting that all resolutions directing work to be done by the Street Commissioner may be transmitted to the department without delay. The Finance Committee presented a report, which was adopted, in favor of donating the sum of $50,000 to the Catholic Orphan Aaylum, for-the purpose of erecting a new building. The Board adjourned to one o'clock P, M. this day. In the Board of Councilmen last evening a reso- lution to appropriate the sum of five hundred dol- lars to purchase a stand of colors for the Twelfth regiment New York State Militia was laid over. ‘The Board concurred with the Board of Aldermen in adopting a resolution to provide for the defence of the city and harbor of New York. A resolution from the Board of Aldermen to appropriate the sum of one thousand dollars to provide a portrait of Major General McClellan was referred. The Board adjourned until this evening at four o'clock’ The regular meeting of the Commissioners of Charities and Correction was held yesterday after- noon—Commissioner Nicholson in the chair, The Committee of the Whole offered their report, which was approved, Four hundred and eleven persons were admitted to the workhouse during the fortnight ending December 4. Several con- - tracts for the furnishing of meat to the different institutions were awarded. A lengthy report was read from Mr. John FE. White, Warden of Bellevue Hospital, in relation to the case of Bookham, who expired shortly after entering the hospital, satis- factorily explaining everything in connection with the matter, and exonerating the employes of the institution from all blame. The number of sick and wounded soldiers in Bellcvae Hospital is 262. From November 1 to December 1 the receipts were $2,276. ‘The conservative journals of Indiana pretend to have discovered a plot, or a couple of plots, by which the republicans intend to clog the wheels of the State government. One story is that it is their purpose to have a sufficient number of the demo- cratic members.elected to the Legislature arrest- ed and sent to Fort Lafayette to give the repub- licans a majority in both branches. Another is that the republican members elect will absent themselves from the Legislature; and, as the con- atitution declares that two-thirds of the members of both houses must be present to transact busi- nees, and the conservatives not having that num- ber, the vote for State officers cannot, therefore, ‘be counted, and no business can be done. These discoveries may have some importance attached to them; but we are rather inclined to the belief that they are only a scare. The arrest of John H. Harmon, at Grand Rapids, Michigan, and his being sent off to Fort Lafayette, are creating considerable excitement in Michigan. A few more such arrests, it is said, will turn the State over to the democrats. The Chicago Tribune (abolition) pretends to have private information from this State to the effect that Governor Seymour will recommend in his Message to the Legislature a vigorous prosecu" tion of the war for the restoration of the Union, and that ‘he will give the .eympathizers with the rebellion little cause for rejoicing that he, rather than Wadsworth, was elected.” A few years ago there were four brothers by the name of Washburne in the United States Con- grese—three as Representatives, and one occupy: ing the position of a clerk. They came from dif- ferent localities, but were all born in the State of Maine. There were in Congress from that State three other brothers, named Fessenden—one in the Senate and two in the Houee. The rebel force at Vicksburg is stated by a de- serter to be seventy-five thousand old men and young boys, who have been gathered together from the eurrounding country. They subsist al- most exclusively upon corn bread and molasses. The shock of an earthquake was felt jp St. Louis on the 30th ultimo. It was also felt a! ‘iro, Ili- nois. , United States Senator James R. Doolittle, of Wisconsin, is lying quite ill of fever. The Legislature of Vermont adjourned on Wed- nesday. ‘The stock market opened firmly yesterday morning and wos quite air. ng until the second board, when an attempt to realize profits put prices down }; a1 per cent all round’ There is vory little outside buying aa yet. Gold rose at one time to 124, but clesed at 192% 0133. Exchange rose to 14714, but closed at 147. Money was in active de- mand at 6 per cent. ‘The cotten gales were moderate yeeterday, but the market was firm. Influenced by the rise in gold, prices of brendstufls advanced, four about 10c., wheat 1c.a 2°, and corn Ic., with heavy sales. More activity was dis- cernible in provisions, mess pork closing at $13 374 and prime lard at 9%. Sugars sold to the extent of 1,300 tive for cofive, molasses, rive, teas, metals, hemp, fish and naval stores. ‘There was considerable activity in hay, hides, leather and tallow. Whiskey eloved at 39¢., with sales of 800 bbls. The freight engagements were heavier; but rates ehowed no improvement. Restoration of the South. In spite of constantly recurring deceptions and that deferring of hope which maketh the of the means prepared for its accomplishment by the patriotiem and energy of the people. anything like a commensurate earnes{ness and integrity of purpose by those to whom the destinies of the nation are entrusted. When,-however, we again witness the failure, Jan’s movements after the battle of Antictam, of Burnside’s sudden and skilfully projected advance upon Richmond by the way of Freder- | ickeburg, and learn through the organs of the administration that it is now contemplated to place the army in winter quarters; when we find further in the annual reports of the Navy and War departments such a prodigious waste of resources and such proofs of incapacity and want of. concert, we confess that we lose all hope of a proximate termination to our difficul- | ties. The dominant party, like the Bourbons, forget nothing and learn nothing. They cannot dismiss from their minds the fact that the war was brought about to enuble them to enrich past military failures they either will not or cannot profit by. Under these circumstances we see no prospect of anything but a long con- tinued outpouring of the blood and treasure of the nation. We have, it is true, plenty of resources of every kind; but of what actual aid are they in the suppression of the rebel- lion as long as they are thus neutralized by factious influences or the prejudices and imbe- cility of the ruling powers? And the fanatical spirit in which the legislation of the last eession of Congress was carried on leaves no hope that the measures of the present one will do anything towards bringing about a disposition towards submission on the part of the rebels, The manner in which the philanthropic and patriotic recommendations of the President's Message in regard toslavery have been received by the radical organs is, in fact, a sufficient proof that there is to be no relaxation of the uncompromising and vindictive temper in which the Confiscation bill was passed. ‘What urganect gag the mont sanguine gee in hhds. at somewhat Grmer prices. The market was inac- | heart sick, many still cling to*the idea that the © restoration of the South is within the compass | So it would be were those mears handled with | through the same causes that hampered McClel- | themeelves at the public expense, and their | good soldiers, good generals and military | albthis for termination to our troubles? Do they imagine that overtures will come from the revolted States whilet they sce the adminia- tration divided in sentiment, our generals at loggerheads and our arms ‘paralyzed by mis- management and the interference of the poli- ticianst And how still more remote will be the chances of peace, when, to the mischievous legislation of last session, will be added fresh measures of proscription and persecution, all calculated to postpone indefinitely the re- storation of those blessings which we formerly enjoyed in common with the people of the South. Were even thé winter campaign promised us under Burnside, and now become a stupendous failure, owing to the upardonable blunders of the War Department, to be attended with one or more victories, they would not bring us any nearer to our object, unless prefaced or followed by such declara” tions on the part of Congress as would inspire the revolted States with confidence in the equi" table disposition of the government. We have no more doubted that there is plenty of Union feeling at the South, and that the rebels would be glad to get rid of the grinding tyranny of Jeff Davis, than that the conservative feeling of the North would one day rise-up and overturn the equally detestable despotism of the radicals. But to render this jatent loyalty at the South of use to us, we must give it assurances that its Tights will be respected. Let the present ses" sion pass away as the last one did, and we shall make no progress towards the suppression of the rebellion. Even should Richmond fall, the rebels would still carry on the war a l’outrance, disputing with us every inch of territory. And what, meanwhile, is the prospect before the North? Inereased taxation to mect an in- creased debt, estimated for the ensuing year at more than a thousand millions, a further depreciation of the currency, brought about by the efforts of the government to meet its obligations with fresh paper iseues, thereby rendering the rich speculator richer, and the professional man and the mechanic poorer, and the still wider spread of desolation and grief among the homes that have Leen already eo heavily visited. To this period of tribulation and suffering we can only see a remote termination—remote when we take into account these immense sacri- fices and the strain upon the public mind in the meanwhile. In the Presidential election of 1864 the nation will find that solution of its difficul- ties which the abilities of its statesmen and the magnitude of its resources have failed to supply: To the magnificent. conservative majorities that will sweep the North in that contest we shall, under God, be indebted for the restoration of the South. McClellan, Halleck and the Radical f Press. The radical journals are exulting over the idea that General Halleck’s report bas demo- lished General McClelian. Instead of that, however, General Halleck has d iehed Lim- self, and General McClellan stands-before the American people a greater man than they had ever before believed him to be. General Hal- leck, who is a lawyer, and never fought a bat- tle, has brought to bear upon the case all the ingenuity of the legal profession, while McClel- lan’s. defence bas not been put before the coun- try at all. Yet such weakness is stamped upon the very face of the indictment—so lame and impotent are his conclusions—that the verdict of the people is unanimous ahd prompt in favor of the accused and against his accusers. The letter of McClellan proves lim to be equally a statesman and asoldier. The report of Halleck shows that he is neither one nor the other. Halleck’s calculations, with the whole situa- tion before him, completely failed. McCtellan’s letter, on the contrary, contains the most singu- lar predictions of the disasters that must foilow if Halleck’s plan should be adopted; and those predietions were literally fulfilled. It is to be fairly presumed that the success of his own plan would kave been equally complete had the General-in-Chief at Washington listened to his entreaties to send him the desired rein‘orce- ments to Harrison’s Landing. McCleilan's letter, which is the most interesting published | during the war, proves that he had | the eye of a soldier, and that his combinations were scientific and practical, while Halleck, from his own account, appears to have lost his reckoning, if he had ever made | any upon sound military principles, MoCiellan | and the public are indebted to Halleck for pub- | lishing this letter, though it must be confessed ; that it somewhat damages his rcputation as an advocate to have produced such damaing evi- dence against his clients and himself. Had another letter, writen at the sume ‘time to the President by General McClell.n—an earnest letter on the political branch ot the situation— been brought to light, it would have been seen that McClellan towers as high above the Cabinet in statesmanship as he does above the General-in-Chief in the art of war. That letter, however, with a host of other curious correspondence, will have to come out before long, and the eyes of thousands will be enlightened who now “see as through a glass darkly.” Great stress is laid by General Halleck upon three dates. He says that the order to McCiellan to evacuate his position on the James river was issued an the 3d of August; that the battle of Cedar Mountain was fonght by Pope on the 9th, and McClellan did not leave till the 14th. The question is why McClellan did not go to the assistance of Pope by following or flanking Lee. This assumes that the whole of the rebel army in Virginia was at that time bebind Jack- son, at Gordonsville. But nothing can be further from the truth. Jackson fought Pope with a flying column, independent of Lee’s | army; and had the whole rebel army been in the vicinity of Cedar Mountain, as General Hal- leck supposed, not a man of Pope's force would ever have reached Washington to tell the tale, except asa paroled or, exchanged prisoner of war. The great body of the rebel army re. mained at Richmond till Lee was assured that McClellan’s army was actually retreating. The most reliable testimony obtained by the rebel general was from three thousand spies, in the shape of exchanged rebel prisoners, whom the military authorities at Washington bad so wisely sent up the James river to Richmond during the evacuation of Harrison’s Landing. Hal- leck no doubt imagined that Lee was a general as slow as he proved himself to be at Corinth; | put the Virginian turned out quite otherwise, By the most rapid movemonts and with the aid of railroads, he overtook Pope’s army before it was possible for McClellan to come to his as. sistance, while Jackson, by a detour, got in his rear. Their united forces badly whipped him, and would have totally destroyed his army but for the timely aid of « vortion of General McClellan’s army, which enabled him to escape to the strongly fortified position on the southern bank of the Potomac at Washington. Had Halleck permitted McClellan to carry out his own plan, Lee would mot have dared to quit Richmond, leaving bebind, as he did, five thousand men. MoUlellan, in a position which was impregnable, would have held Lee at Richmond or in its vicinity, till, with suffl- cient reinforcements and the gunboats, Rich- mond would have been taken three months ago, or the whole rebel force defending it would have been captured or destroyed. Jackson’s force, too, would have been lost; for, already inferior to Pope's, and afraid to press on against him, he waited for the reinforcements from Lee. Instend of Lee, McClellan would soon have been upon him, and, hemmed in be- tween the two Union armies, he could not have escaped. But upon Halleck’s plan a series of disasters happened. Richmond being relieved of McClellan’s army, whiclr was within onc day’s march of it, Lee moved rapidly to the capture of Washington, and, after defeating Pope's army in a severe: battle at Bull run, and compelling it to take shelter in the fortifications of Arlington Heights, crossed ‘the Upper Poto- mac with a view to capture Washingtor on the northern side, which was of comparatively caay aecess. The capture of: Baltimore would have followed as a matter of course. Thus, not only was Halleck’s military judg- ment completely at fault, but General McClei- lan’s fully justified. And Halleck admitted this to be the case. When the government, in despair, recalled McClellan to the command, Halleck confessed that he thought it would not be possible to save the capital—a fact which has net yet seen the light; and no doubt in this Halleck would have been right, and Wash- dngton would have been captured, had Pope remained in command, or had any of the other generals been placed at the head of an army 80 discomfitted and disheartened. But with Clellan leading it against the foe the case different. His reply to Halleck was that it worth a struggle, and he would try what could be done. Again, the military judgment of McClellun was clear and that of Halleck was bewildered. Glorious suecess crowned the brief and brilliant campaign of McClellan in Maryland, after the greatest battle of the war, And what is the most curious feature connected with this campaign, which drove the enemy out of Maryland and beyond the Rappahannock? McClellan fought it without orders, and acted solely on his own responsibility. So frightened were the Cabinet and the military authorities at Washington that not one of them could be found when he was about to start for the field. The result was that, untrammelled by blundering orders, his success was complete. His reward was to remove him again from his command, General Halleck says he did not rapidly follow up the victory of Antictam. What did General Halleck do at Corinth, with a magnificent frash army of nearly one hundred and fifty thousand men, which had not fired a.shot for about two months? He let Beauregard slip through bis fingers to swell the army at Richmond to such afigure as to. foreé McClellan’s retreat aii cause the seven days’ disaster, from which sprung all the other disasters that befel the army of Pope. The rebel generals have obtained great credit for generalship; but had they been equal to their reputation, had they slighted the army of General Pope, and pressed on rapidly, in- stead of waiting to fight it, through the valley of the Shenandoah, and crossed the Potomac: they would have been in Baltimore and Wash- ington before aid could have reached thore cities from either of the Union armies; and, the capital once captured, the junction between the two Union armies by way of Alexandria would have been prevented, and the rebel cause would have been triumphant. Washington and the Union were saved by the failure of the rebel generals, by Providence, and the masterly ekill of General McClellan, after being as govd as lost by the War Department, Halleck and Pope. In his report the General-in-Chief shifte from his own shoulders the responsibility of origi- nally dividing the Army of the Potomac, and permitting the enemy in full strength to occupy a position between them. But he cannot relieve himself from the blunder of sending so iurge on army as forty thousand men 60 for from its base of operations, aud so near to Richmond that it fell into a trap, while it was not in the power of McClellan to save it. Had Halleck with- drawn Pope’s army, numbering 40,000 men, behind the fortifications at Washington, and sent them thence by water to McCiellan, leaving the 40,000 already around the capital to defend it, and, if necessery, calling even 100,000 militia to reinforce them, Richmond might have been captured in two or three days, and the General-in-Chief and the War Depart- ment would have been enabled to tell a very different story to-day from that which they have laid before Congress and the country. Now the question comes up, what has Hal- leck done since he arrived from the Southwest! @ general who complains of the slow opera- tions of others. He assumed the chief com- mand on the 26th of July, and he directed the base of operations in the beginning of August to be changed from James river, at Harrison’s Landing, twenty-five miles from Richmond, to Aquia creek, on the Potomac, which is seven- ty-five miles from the rebel capital. This is the Sth of December, and the army is not yet advanced beyond Falmouth. So that it takes him four months spent in one blunder after another to get fifty miles farther away from Richmond than the position in which he found the army when he took it in hand. A Conrrapand For Hire—A Cuance ror Gaeetey’s Bricave—James Highgrass, a eon- traband, brought on here with several white prisoners of war some months ago, has re- covered from indisposition occasioned by the change of climate. He was captured at Fer- nandina, as the preperty of a Confederate colo- nel. The Marshal has received an order from the War Department to provide the poor fellow with a situation and take care of him until he is able to obtain one. Here isan opportunity for the display of the often vaunted philanthropy of the abolitionists. A colored brother now awaits a comfortable home, with plenty to cat and little to do. Apply to Mr- Robert Murray, United States Marshal. Gey. McCLeLLan on THe Witness Sranp.— We notice that Gen. McClellan has been called as a witness before the Court of Inquiry in the case of Gen. MeDowell. The point upon which McClellan will be examined {s probably the connection which Gen. McDowell had with the peninsular campaign, and the object of the ex- amination will be to prove that MoDowell was willing to co-operate with MoCléllan, but was — restrained by the War Department, The scope McClellan an opportunity to put the real facts in regard to his campaign on the peninsula be- fore the public in an official form. We trust and expect that he will avail himself of this op- portunity. Gen. Halleck has already revealed all that needed to be kept ecoret in the report which we published yesterday, and there is now no good reason why McClellan should longer remain silent. His case is very much stronger than the public have any idea of, and his state merfts will carry conviction to the most preju- diced minds. The War Department has been impeached by General Halleck for danger- ously dividing the army, and for depriving iteelf of reinforcements by stopping enlistments. General McClellan cannot be aceused of attack- ing the War Department, therefore, and we hope that he will take occasion to fully complete that history of military mismanagement of which the Prince de Joinville has written the first chapter, and General Halleck the second. Congress ana the Curreacy. Now that Congress has assembled, and that ite time is short, it is expected—nay, domanded— - by the country that the two great mattérs moet deeply interesting at this critical moment to the nation, on which it may be our welfare and success mainly depend, shall receive, if not exclusive, at least paramount and immediate, attention. We need hardly say that the two great and most pressing subjects which now claim the immediate action of Congress are the currency and taxation. Let us hope that the interminable nigger question is now at last ect- tled and disposed of, and that, having received all the attention possible in the President's Message, it will not, be dragged into Congress, at Icast this session, to the exclusion of legiti- mate and necessary business. o Such are the two\ questions and matters of business which it behooves Congress to take up forthwith and to arrange and settle on asound and honest basis. We eay honest, em, because there are in Congress men devoted to sectional, corporation and trading interests who we fear would, if they were able, divert the action of Congress from popular and patri- otic action, in view of the great interests of the great people; to spécial, mercenary and dis- honest action, in view of private interests and trading and corporation advantages. Our observations and our fears apply chiefly to the currency question—a question which must be taken up and must be settled by Con- gress without delay; for it is certain we cannot go on long as now; we cannot safely be left to drift at the mercy of chance, with the helm in the hand of wild speculation, and the vessel of State headed towards quicksands and breakers. Having hinted to Congress its presont duty and business, we will make a few brief and con- cise hints also in reference to the course and direction which its duty ought,-we think, to pur- sue What, we would ask, is our present position in reference to. the currency? We have before us the spectacle of two antagonistic powers engaged in one and the “same ° business—issuing irredeemable paper money. One of these powers is Con- gress itself; the other power is a scattered, un- connected force-of above a thousand banke and trading corporations, The isauc of demand notes by authority of Congress is, it is true, subject to limitation—the will ef the majo- rity in that body; also its notes issued are, it not redeemable in specie, at least convertible into government securities. But the issues of the other power we have mentioned, now that the banks are relicved from the necessity of converting their bills into specio at the will of the holder, are absolutely without limitation. ‘This alone and of itself is a great evil to the country—the unlimited iesue of irredeem- able, irresponsible paper money by more thaa twelve or fourteen hundred banks the country. When to this great issue, which there is nothing adequate to control, where all kinds of banks, solvent and insolvent, good an@ bad, honect and swindling, are all confounded together without distinctiveness, without any ready means of ascertaining which are genuine traders and which are wildcat swindlers— when to this evil of redundant, irredeemable issues is added over and above the issue of. many millions of Treasury demand notes, the evil is doubly aggravated. The country, in this lorable situation, may be compared to some respectable gentleman attacked in the streets and knocked down by a gang of rowdies; then, intle melee, another crowd rushes forward to «sist Lim; but no one can tell who are his friends or who are his enemies; among them all and by them he is thrown down, jumped upen and trampledmnearly to death. Thus it ie that, if the United States demand notes are—as we. verily believe they are—better ten tho::sand- fold than wildcat paper, yet it makes no dif- ference: they stand upon the same level; they are. in one word, like all the others, hiv, and the whole body together, lightand fimay as the body {3, combine to effect a weight under which the respectable Uncle Sam is be- ing crushed to death. Such is the result of keeping bad company, and of removing the roofs and symbols of gentility: the rascal is confounded with the true gentleman; in other words, by the removal of the test of redeem- ability, the best banks are undistinguishable from the worst, and the worst paper flodts in our midst on the same terms almost as the best. It belongs to Congress to look for aud apply the proper remedy to this great evil, which is beginning to press heavily upon the working and industrious classes, This torrible redun- dancy of issue and overflow of paper money produces a depreciation of the value of money, and an alarming augmentation in the price of all commodities. The rich can profit by alf this and become richer; but the effect upon the poor is that their little income, whatever it be, is diminished in value, though nominally the same, and they, the poor, become poorer. If Congress takes measures to provide for the redemption of its paper issues, the evil, so far as regards one branch-of the two issues, would at once vanish and disappear. As to the other branch—the thousand and one banks which are now issuing an irredeemable cur- rency—we think that it is the duty and within the power and province of Congress to look to and arrange the currency of the na- tion. At all events} let Congress proceed at onee to regulate this great, this vital question— ignoring, for the present at least, all other less important mattere, and let us have « currency on a good basis. Let us be rescued from the daily increasing evils of irredeemable paper, Wo have not time or space to do justice to this subject. We therefore: content} ourselves with throwing out well mennt hint and sug jon to Congress. a Teference to the other ereat auestion, Ut te