The New York Herald Newspaper, December 26, 1863, Page 4

\ ‘ 4 NEW YORK HERALD. JAMES GORDON BENNETT, EDIGOR AND PROPRIETOR. OFFIOR N. W. CORNKK OF FULTON AND NASSAU STS. TERMS cash in advance, Money sont by tail will be at the riak of the sonder. ‘Nowe but davis bills current to New York txkon rday, a Ove Copy 2 Three Copies. sd Five Copies, 8 ‘Len Copies, oe ty Postage five cents per copy for threo months. Any larger number, addressed to names of subscribers, | 82 5Ocach. An oxtra copy wil! be seat to every club of ton. Twenty coptes, to one nddrass, one year, $25, and any lurgor numbor at samo price, An extra copy will be Rent to clude of twanty. Thess rates mae the Warxur LIxnats the cheapest publication in the country. ‘The fvgorgan Evrtion, every Wednesday, at Five cents per copy; $4 per annum to any part of Great Britain, or | $6 to any part of tho Continent, doth to include postage. ‘The Catironwra Eprmiow, on the 3d, 13th and 23d of each mouth, at Sex conts per copy, or $3 por annum. Apvenrsraents, to a limited number, will be inserted ty tho Wascty Hararp, and in tho Furopean and California Editions. VOLUNTARY CORRESPONDENCE, containing import. | ant pews, solicited from any quarter of the world; if used, | will be liberally paid for. mar OUR Forno Corrie? YONPMNT) Ald PARTICULARLY REQUINTKD TO SRAL ALL LET: TERS AND PACKAGES SENT US. We NO NOTICE taken of anonymous correspondence. do not returo rejected communications. Vorame XXVITL ANUSENENTS THIS EVENING. ACADEMY OF MUS Matinee at One o'Clock— Trviug Piaca.—Travian Ovrn im LOS GARDEN. brosawav ke Countsnir—Banyy, 70 WALL CRS THEATRE, fos woe GARDEN, —Ticker or Leave MAN. OLYMPIC THEATRE, Lavins Baw ane—Misony Saavina— | jowery—ALMIGuTY Dor NEW BOWERY THF. Lal ‘at M ) THE MANIAC =CurtsT¥as Soar Fat Max~ ROWERY THEATRE, Bowery,—Vawe—Tux Ina Ear ORaNT—"RISKY COMBLER—How TO AVOID DRAFTING, ACA BARNUM'S MUSEUM, Rroadway — Giant Ginn, Grant Bor, Liniavurian h hours, Suabow or Fare.’ Afternoon aud E BUYARIS' MINSTE . Mechantes’ Hall, 472 Broad | way.—Etuvoriay bonds, DAxcus, VuRLusauas, &e.—TiKe- | Ira pi wave Max, WOOo'S MINSTREL HA! Lk Broadway. —Eraioriae Gongs, Danes. Ac.—Vor Ham-nuas MENAUERIK, Gio, CHRISTY S MI exsouns, Sonus, Dances. ac. KKL3, $85 Broadway. —Bus- Scavnaeenony's Bor ANERICAN THEATRE, No. 444 Broadway. ~-Batcers, Faxtominns, Bumsusques, &¢.—Litiims or Kit annxy, BROADWAY AMPHITHEATRE, 485 Broadwar.—Gra- wee ane Eqoxsikian i'karonmances. Afternoon aad wenlng. HOP CHAPEL, 718 Rroad om Minnor or tam Usiverse, ATOMY, 615 Broadway. aM. Mi Wr, ree Tue SteaKoscormcas APW YORK MUSEUM OF Crmositizs anp Lacrorns. HROOLEY’S OPERA HOUSE, Brooklyo.—Etmortan Fonas, Dances, Borirsevks, 40. 26, 1863. Now York, Saturday, December THE SITUATION. The reports of the abandonment of the rebel cause by the Indiang in Arkansas are fully con- Qrmed by despatches from Fort Smith yesterday, atating that the Choctaw chief- tain McCurtain, with other rebel leaders, came into our lines and surrendered them- selves to General MoNcil. They have abandoned the rebel] allegiance, and profess a desire to avail themselves ofthe President's amnesty proclama- tion. The question of modifying the amnesty proc- lamation, 80 as to embrace the case of these In- dians, is now being mooted in Washington. The rules regulating the new passport system in regard to vessels leaving this port have been extended to foreign ships, and such fact was communicated to the British Consul yesterday. The English bark Circassian waa scized at pier No. 18 East river, under suspicious circumstances, and many arrests were made by the Marshal, male as well as female, Crinoline would appear to be ex- tensively used aa an wgis for firearms, as no less than five four barrel revolvers were taken from the person of one lady. The transport Fultoa, from Charleston, w arrived last evening, brings news to the 22d,’ but nothing of much importance has transpired. The Gring on the city from Battery Putnam continues at regular intervals. The Weehawken was about to be raised. We give some intoresting nows from the South- ern papers in another column, including the mea- sige of the Governor of Texas, a stubborn rebel document; the trial of Mrs. Allan, in Richmond, for carrying on a treasonable correspondence with “the Yankees;" the state of affairs in Mobile, the Proceedings of the rebel Congress and other in- toresting matter. MISCELLANEOUS NEWS. Information has been promulgated by the State Department to the efect that orders have been sent by the imperial goverament of France to the commander-in-chief of the French naval forces in the Pacifle Ocean to place in @ state of blockade the ports of Acapulco and San Blas; but that through # #pirit of liberality and comity on the part of the Emperor of tho French, he has decided tuat the American packets which constitute the line between Panama and San Francisco shail con- tinue to enjoy the privilege, notwithstanding the blockade, of touching at Acapuico, in order to ronew their avock of coal which they may need for the completion of their voyage, it being under- stood, however, that these vessels shall not leave of receive any passengers at that port, or any merchandise, Our Europoan correspondence by the Asia, dated in London and Paris on the 11th instant, contains very interesting details of the telegraphic report of the news from Halifax, We publish the London Zines’ account of the great prize fight betweon Heonan and King. At midnight on Thursday last the telegraph ope- rators at Portland, Maine, and Chattanooga, Ten- noseee, hold friendly converse over the wires through an aninterrupted circuit, ‘The aggregate length of the railroads in Ver- mont is five bandred miles, and some of them have beon running fifteon yeara, yet with the exception of two persons who wero killed by «car blown from the track at Manchester, no one has ever boon killed inside of any passenger car in the Btato. Tho fron-clad Dictator will be launched this morning at ten o'clock, from the ship house of the Delamater [ron Works, foot of Thirteenth street, North River, ‘Cue Soldiers’ Relicf Basaar of Boston will pay RUS OLA WUD LO WO Dalelary yu idasilorivate ; mado to bear efght per cent interest. Federal and Rebel Finances. The contrast between the Gaancial condition of the so-called Southern confederacy and that of the United States government, as shown by the reports of Mr. Memminger, Jeff, Davis’ Chan- cellor of the Exchequer, and Mr. Chase, the federal Secretary of the Treasury, is marked and striking. The former is doleful and mourn- ing in its tone; the latter bright and cheerful as a pleasant May morning. One is the story of blighted hopes and deceptive visions; the other that of triumph and satisfaction in results. This melancholy and gloomy feeling is exhibit- | edin every line of Mr. Memminger’s report. The vanished visions of the past, the dismal forebodings for the future, all stand out in striking contrast with the joyful feelings mani- fested throughout the report of Secretary Chase. Tuis, as marked as it is, does not, even in the difference exhibited in the tone, show the real contrariety between them. On the other hand, the facts given in detail furnish the milk in the cocoanut and the cause.of the iamentations of the rebel Chancellor of the Exchequer. When the South, in their delusion, commenced to rebel against the government under which | they had prospered, they imagined that they held the key to the commerce and finances of the world. They were sopuffed up with importance that they considered it only necessury for them to issue their d: cree, and every nation in Chris- tendom would fall before them. In their esti- mation, no nation could exist without being able to obtain the products of the South. The ; North might have the gold mines; but the rebel- lion of the South would draw the entire com- merce of Europe to the Southeru coasts. The cotton bales of the confederacy would always give them a commerce ond power among na- tions that would render success certain. The North, deprived of cotton, and compelied to purchase ber necessaries abroad, without cotton to return, would soon find herself involved in a European debt that would plunge the whole country into bankruptcy. In short, the South- rn confederacy was the tre of the universe. hatever trouble there might be between other | nations, the ships of all would have to touch her shores for Kiag Cotton, the ruler of the world. This being, according to their vision, the strength of the South, a financial system was organized upon that basis. Their former cher- ished scheme of supporting the government by direct taxation—which they had inserted in their constitution as one of the cardinal priaciples of the confederacy—-was for the moment aban- doned. That was bebind the age, when com- pared to their brilliant and impregnable commercial position. A new financial sys- tem was formed. Bonds were issued, se- cured by these imaginary scenes. To make them all the more attractive, they were Theo came the rebel notes, which were re- deemable in the above bonds, based upon the production of fancy. Whilst the preparations wero being made to carry this plan into opera- tion ablockade was estublished of all the priu- cipal ports of the rebellious States. This was recognized by the neutral Powers, and put an end to the commerce of the South. The boast- ed key to the vaults of the world was no longer effective, and the great financial bubble col- lapsed almost before it was inaugurated. The boasted commercial greatness of the confederacy vanished, and its leaders found theinselves in a position where history was simply repeating itsel!. The financiers neither comprehended their condition nor profited by the lessons of the past. Their minds were yet infatuated by the dreams of greatness, and they still clung to their visionary financial scheme. They stood in the precise coadition of the revolutionists of [’rance near the close of the eighteenth century. France at that period was without any foreign commerce. Her sails did not whiten every sea or bear home the wealth of many lands. The leading revolutionists, like those of the South, were compelled to or- ganize a plan of finances, and, like the South, found themselves without revenue or for- eign commerce. Disregarding all laws of finance, they commenced issuing govern- ment “aavignats.” These met with tempo- rary success; but this very success caused the originatora to flood — the country with them. The result was that the assignats decreased in value at a rapid rate, and became worthless in a very short period. An effort was made to prevent the financial wreck that seemed imminent by resorting to what the French call mandats; but this only increased the evil, and before a new system of finance could be adopted the whole country was brought to bankruptcy and financial ruin. The remarkable similarity of the condition of the South at the present time to that of the revolutionists of France must be recognized by the most superficial observer. The Trea- sury notes of the Southern confederacy, like the assignats of France, met with temporary success, As more money was demanded, the rebel notes were issued, until the South was flooded with them, and in just about the length of time that the French assignats be- vame valueless the rebel notes have been placed in the same condition, and the whole South is on the brink of financial ruin. These notes have been issued in euoh quantities that they now have about eight hundred millions scattered throughout the South, when one hun- dred and fifty millions would furnish a cur- rency sufficient for the demands of the internal commerce and traffic of the Southern States, The leaders saw the storm coming, and resorted to taxation to prevent the evil. But that failed, as it always will in any nation during an extensive war, when attempted to be car- ried out in the manner adopted by the South. The finances of ‘the Sonthern confederacy are now in the same condition that those of France were just before the financial ruin and bankruptcy that swept over that country, Is it then to be wondered attbat lamentations and wailings characterize the tone of their financial documents, and that the appeal is made to the rebel Congress for immediate help, or all is lost? But they will hardly be able to recover from the effect of the blow adwinistered by General Grant in Tennessee, While the financiers of the Southern confede- racy have been following in the footateps of the visionary revolutionists and Jacobins of France, scattering worthless paper money broadcast, and thus bringing ruin upon them, Secretary Chase has pursued the same course as that adopted by Mr. Memminger, as far as he could. He has issued about the same amount of paper money, and would have placed the North in the same financial condition as the South now is had it not been for the immense internal trade, extensive agricultural and manu- facturing interests, as well as tommerce of the evapcs. Ue wae sdylagd gt the commence ment of the war to adopt the financial plans of England during the French Revolution and the Napoleon wars. But inatead of that he bas gone on with his extensive issuos of paper mo- ney, every now and thon making @ secret and mysterious appearance among the bankers of Wall street and convulsing the market. A great deal of the time he has been led around by a few brokers, who did not care what eys- tem be adopted if they only knew boforeband what it waa, in order that they might operate on ‘Change. All this only resulted in embar- rassment to the financial interesta of the coun- try and serious trouble to the working classes. No thanks for the wisdom or financial aagacity of Chase that the North is not to-day in as bad a condition financialiy as the South. The only thing preventing it is the vast resources and patriotism of the loyal States. The loyal States. can stand about three times as much paper currency as the South, by reason of the ‘¢x- tensive traffic and the funds meceasarily ab-- sorbed ia legitimate trade. Secretary Chase, we notice, begins to be alaraed at the prospect of affairs, and advocates a gradual retura to specie paymeuts; but bis report has so many contradictions and inconsistegcics ‘that it is hard to tell what he does mean. tar, Avery Rato—Tue Cavarry Suuvier.—At the period when the rebellion first broke out we atrongly advocated tho raising of a large and well equipped cavalry force. General Scott, who was than’ the Gene- ral-in-Chief of the forces, was uoder the im- preasion that we did not need cavalry. Lvents haye shown that this was a grave error on the part of the veteran general. We have suffered much from the raids of the rebels Stuart and Mosby, because for a time we were unprovided with cavalry wherewith to defeat the quick movements of the rebels The error which bad been committed in not attending more fully to this branch of the army was at last apparent to all, and efforts were made to increase our cavalry force. As an immediate consequeuce,ywe were enabled ‘to check the g raids of the rebels and repay them in ti own coin, All our readers are familiar with the achievements of our cavalry officers—Stoneman, Buford, Pleasanton, Kil- patriek, Grierson, Streight, Gregg and Custer. We sce from the rebel as well as our own accounts that they have suffered great loas by General Averill’s recent raid into their torritory. With a force of cavalry and mounted infantry be has dostroyed vast quantities of rebel stores and burned and destroyed’property ot great value. The rebels are at present ia auch circumstances as to suffer greatly from these losses, Not only do we ob- tain booty and prisoners by those raids: we procure information of great vatue, aud are enabled thus to injure the rebels at a time when the main bodies of our armies are-in winter quarters, . We take plessuce ia anaouacing that the government has determined upon organizing j an immense cavairy force, whieh shall be placed under the command of major generals. Not less than one hundred thousand strong shall our cavalry number by aext spring. ‘They wiil sweep everything before them, and reduce the South to such « state of destitution ag will perforce bring about a desize for peace. A powerful body of cavalry, making a raid into rebel territory and laying it waste, will in- flict an irreparable injury upon the enemy, whose population bas been so conscripted that but few are left to farm the lands. Destroy what these few have done, and there is not energy or vitality enough left in the rebel country to repair the damage done. It must be apparent that these sudden altacks can but be made by cavalry. Infantry cannot move with sufficient rapidity to enter a portion of country, lay it waste, and then quickly move on to some other field of operation. It is only with mounted men such a result can be accom- plished. Next spring we shall be cnabled, with our great superiority of force, to crush the rebellion totally, and not the least eflicient arm of the service will be the cavalry. Tur Loxpoy Times ad 4 Mincrary Crrric.— Blunders are expected at all timos from com- monplace people, and are not considered wor- thy of notice; but those persons do not set themselves up for public instructors. Fouche, in his memorable phrase “it was worse than a crime-it was «a blunder,” expressed tie world’s estimation of the blunders of per- tons whose especial business it is not to blun- der. One of the most notorious blunderers of this class is the London Times. No subject is to be thought beyond the reach of that om- niscient sbeet. All topics are touched by its sapient pen. It can praise daintily, “assent with civil leer,” and damn with admirable fustian. Throughout our struggle it has turned its attention to military criticism, and brought to bear on the subject of army operations the same imbecile judgment that has made all of its opinions contemptible; but none of its blun- ders have been so absurd as its military ones. Its last was on the subject of our affairs in the Southwest. On October 26 it reviewed our mili- tary situation with respect to our prospects there. It found our army “shut in among the mountains of Chattanooga,” and “beset in front and rear.” Success for us was so far out of the question tbat the wriler did not canvass it; but, on the contrary, it was “a speculation” whether we would “have to ca- pitulate or retreat.” —_ Capitalation appeared to be “the more probable alternative.” In thirty days after the uttering of this opinion our army, thus condemned to “retreat or capitu- late,” had annihilated its opponent, and the enemy was only able to rally « scattered rem- nant of his force at a distance of twenty-five miles from the field of battle. Such is the ex- cellent judgment of that great military critic, the London Times. Wexpent. Patairs ann Presper Lincony.— Wendell Phillips and Honest Old Abe, we are afraid, will never come to a harmonious understanding. The abolition apostle is exact- ing, and Old Abe will have bis own way, or his own time in going the abolition way. When, a few weeks ago, this dictatorial Phillips pro- claimed Abrabam Lincoln his man for the Presidential succession, we considered the ques- tion settled. Now, however, Phillips backs out from his bargain, in consequence of the Supreme Court proviso of the President's re- cent proclamation. General Butler or General Fremont is now (te man for Master Philips; for Abraham Linw™ ln does not come up tp the abolition high water mark. The only alter- native t our amiy’s® President is to reoon- sider his last proclathation—“pick (be dint and + A 60 as to of United States As- ecosen: Cleveland, Unio, The publication in the Heravp several days ago of the report of the proceedings of the Convention of United States Assessors, held in Cleveland, Obio, last week, has already affected the prices of articles recominended for increase of taxation vory largely. The Convention was pretty full, and the members were mostly in- tolligent and sound thinking public men—those who have filled many offices of responsibility and trust. They came from various sections of the country, and were supposed to represent the interests of their localities with fairness and understandingly. The Convention was held with the approbation of the Commissi ner of Internal Rovenne, whose chief clerk was in attendance, and gave advice and suggested recommendations when desired to do so by. members. ft was also understood that the wnosting niet the approval of the Chairman of the Committee of Ways and Means, who, if he adopts the suggest! , Will present them to Congresa; and they are in all tikelihood to be passed by that body, if the propositions are pre- aonted as administration measures. This-gives an importance to the proceedings which they might not otherwise possess, and has excited the various markets affected in a corresponding degree. In some instances the report came upon dealers and manufacturers like a thunderclap, They were not prepared for the suggestions. In many other cases a profound speculative sensation was produced, and prices increased — enor- mously and unreasonably, The farther our report spreads the more will it attract public attention and produce excite- ment, if not alarm and indignation, and a strong public sentiment in opposition to some of the propositions will be aroused. Nearly every arti- cle manufactured by either men, women or chil- dren, if the sales exceed a certain amount, ts to be taxed. The tax on the great interest of the West—whiskey—is to be increased to sixty cents per gallon from March 1, 1864, to July 1, 1864; from July 1 to November J, 1864, seventy- five cents, and from and after the latter dale ono dollar per gallon, When it ia understood that whiskey, which sold last summer for thirty and forty cents per gallon, commanded ninety centa before the new rates were proposed, the agitation in the whiskey market, and all the in- teresta connected with it, such as corn, wheat, ryo, &c., may be imagined. It is reported that a large quantity of whiskey changed hands in Chicago, St. Louis and Cleveland pending the proceedings of the Convention, The advanced taxes were made at the suggestion of Western members, although the recommendations were energetically sustained by the chairman of the committee, Mr. Budd, of Pennsylvania—a State also largely interosted in the production of the article. This increase, together with thaton malt, hops, beer, &o., may have the effect of breaking up a mass-of low groggeries; but it is likely the governinent will be most seriously affected hy it in the purchase and the consumption by its armies and navies of the article called “eom- missary.”” The ‘native wines wore cut down to ten cents a gation (previously recom- mended at twenty-five cents per gallon), conciliate the German wine growers of the West, who were represented aaa class of people who would not support the republican party if tho inereased tax wero levied. So with some few other interests; but the subject of politics was scarcely touched upon ia open convention, It is true a member now and then would grit bis teeth, and swear that the imposition of a certain tax would kill the party in his district; but no attention was openly paid to any such consideration, and ineroased taxes would bo recommended by a committee and adopted without apparent view to the effect they would have upon elections. Indeed, the unbounded favor with which the people bore their alroady heavy tax burdens, according to the resolutions of Mr. Emerson, of Massachusetts, would secm to negative the idea that the Convention had any other thought but that the people were ready to submit to further burdens to support the government. All this, however, remains to be proved. The Conven- tion could not occasionally resist a smile as a tax upon certain bumble articles, such as ginger pop, ice cream, &c., was proposed; but if any- thing manufactured waa left untaxed the omis- sion could not readily be detected; if it was, the sale of the article is certain to require a paid license, from steamboat down to fish cart. A citizen of Cleveland inquired at the com- mencement of the sitting of the Convention what it was all about. Some one said it was to take steps to invade Canada; but another, with more prtopricty, pronounced it to be a conven- tion of “dental students, assembled to devise the easiest means of drawing teeth from the American people.” When called upon to de- cide upon the point, the American people will undoubtedly act intelligently upon the subject. How Goes tie Want—The war has come to a standstill. Active operations on our side are limited for the present, so far as we know, to cavalry exploring expeditions, and on the side of the enemy to petty thieving guerilla adventures, The Army of the Potomac, while resting from its severe campaigns of the last twelve months, is undergoing general over- hauling and many useful repairs, in view of the decisive campaign to come. General Butler, at Norfolk, meantime, having nothing more im- portant to do, is enlarging upon his original experiments on the “contrabands.” The blook- aders off Wilmington, after their recent profita- ble captures, are on the qui vive for more prize money. General Gillmore, at Charleston, continues to strengthen bis works, and to warn the remaining inhabitants of the doomed city of their danger by throwing in among them a few experimental shells from night to night. Around the coast, from Charleston to Texas, our cruisers occasionally pick up a prize or two; while inside of Texas, working his way up from the Rio Grande northward, General Banks has planted his stakes for a sweeping campaign, in conjanction with the movements of our troops westward from New Orleans and southward from Arkansas. From New Orleans up the river, via Baton Rouge, Port Hudson, Natches, Grand Gulf and Vicksburg to Memphis, the resistance of the rebellion has dwindled down to an occasional equad of bushwhackers, renting their spite upon some passing merchant steamer. From Memphis eastward to Chattanooga the same class of small fry are watching their chances for a promising foray withia our military lines for provisions, plunder, negroes and conscripts. General Grant is widening his elbow room around Chattanooga aud in East Tennessee, while Hardee is supposed to be down at Dal- wen, i Goggin, copating og Ge as posetblay v6 NEW YORK HERALD, SATURDAY, DECEMBER 26 1863. the terrible damages inflicted upon the unfor- tunatearmy of Bragg. Finatly, Longstreet, cut off from Hardee, in being driven eastward from Knoxville, bs also, at least for several weeks, been cut off from his cemmunications with Richmond, and bis only chance of escape appears to be in the diffenities of pursuing him over the muddy roads, flooded rivers and bro- ken bridves beb'nd hin. Aroud the entre cire'e of the rebellion the winter, it will be seen, has put its embargo upon any grand advance of our armies for the present, and it is probab'e that the ca;npaign in the spring will be shaped to meet the new combinations resulting from the capture of Charleston. Mont Goverxwent Fravns.—Knormous as are the actual ex enses of the war, we ques- tion whether out of the aggregate from be- “tween one and two hundred millions. may uot bo set down to the pickings and stealings of the government contractors and employes, Scarcely a week pasges tat some huge swindle or defulcation in the public offices does not come to light, We are not such purists as to suppose that immense military and naval ope- rations can be catried on without oceurrences of this sort occasionally taking place. In the urgency of preparation for important move: ments such things are unavoidable. There is no system of administration so perfect as to entirely guivd against them. During the Cri- mean war we saw proofs enough of this in the enormons frauds perpetrated on the Enalish and Russian governments. If their modes of transacting official business, surrounded as they are with such elaborate checks and pre- cautions, were not suffic’ent to protect them arninst these tiings, it isnot to be expected that we should escape them. But there is a great difference belween losses occurring in spite of official safe guards and those resulting from a systein which seems intended to invite them. Al- most all the contracts entered into by the present administration bave been given out with the implied understanding that large commissions and profits were to be made out of them. In the purchase of vessels for the navy the principle has bevz consistently acted upon througiout, and the result has been to add to it a large number of vessels that will be ut ferly useless for war purposes. In the same way immense sums have been made by govern- ment officials out of the contracts for the War Department. When Congress meets a show of strictness is affected to throw dust in the eyes of the opposition, and some few of the delin- quents are made scapegoats of to gave the rest. But even in these cases the facts prove that it is the government itself that is responsible for the losses incurred. Tho tacts trat have come to light in con- nection with the recent delinquencies in the Quartermaster’s Department in Alexandria show this very plainly, It appears that the officer to whom was entrusted the purchase'of forage for the army was atlowed to appoint bis brother inspector of hay, while a son of the principal contractor filled the office of inspector of grain, The object of these appointments could not bo mistaken by the War Department. On the face of them they were improper, and should have been instantly cancelled. Thai they were not 80 is proof presumptive that it was intended that one or more individuals should have full atitude to enrich themselves at the expense of the country. We will not lay undue stress on the fraud: recently discovered in the Treasury Department. The utmost vigilance cannot pre- vent men yielding to such temptations as those offered to the defaulting clerk of the Redemp- tion Bureau. But it is a fair subject for in- vestigation whether, before placing Cornwall ia a position of so much trust, sufficient care was taken to ascertain his antecedents. This is the loose sorew in official appointments gene- rally, and wiil have to be set right before tho machinery of our government departments can work satistactorily to the nation. Tux Merry Cunistmas.—Yesterday was a very merry Christmas. The weather was unu- sually delightful. The air was cold, the aky clear, the sunshine golden and the whole day delicious, The tooting of tin torns, the solemn strains of the midnight mass and the busy la- bora of Santa Claus ushered in Christmas morn- ing. Then the fantasticals paraded the streets; the citizens made friendty calls or walked soberly to church; the children danced delight- edly around their piles of books and toys, and stuffed tiemeeives with Christmas cakes and candies, to the detriment of their precious health and the emo!ument of the family physi- cians. The day has seldom been more general- ly observed in this city. All of our places o business were closed, and working people of every kind aid degree took a good Christmas holiday. The ponds inthe Park and elsewhere were covered with skaters. The theatres were all crowded. The Broadway amphitheatre, the Bowery circus and the Menagerie were thronged during the day and evening with children, both of a smaller and o larger growth. The soldiers in their camps, the poor of the city and the well-to-do people everywhere bad comfortable and substantial Christmas dinners. So far as we know, no serious accident oc- curred to mar the ploasures of thig merry Christmas. Jerr. Davis avo Hrs “Parrr Biockanr,.”— In bis last message Jeff. Davis denounces the blockade of the seaconst of the rebellious States aga “paper blockade;” and many people are puzzled to know why he should complain of it so bitterly if nothing more than a “paper blockade.” Let us endeavor to explain. Cot- ton is the material from which paper is chiefly made; the financial system of Davis was founded upon cotton; his paper money, mide of cotton, was made redeemable in cotton; but thie blockade, in locking up his cotton, has broken down his cotton paper money system; and this is doubtless the menning of his “paper blockade.” It might more properly be called his paper money blockade; but “paper block- ade” will do. A Goop Tusa From Coxcnnss.--The two houses of Congress stand adjourhed over to the Sth of January. Thankful for small favors, we accept this asa measure of some relief to the people. We think, indeed, that if our national lawmakers can find no better employ- ment than the springing of claptrap resolutions to catch each other on the war question, the peace question, the negro question and the Presidential question, they would do well to adjourn over ¢ill April or May next, when probably they may realize the necessity of pome Leagtignl measures of legislation, ‘Tie Funovesy Conaress.--Our latest advices from Europe go to show that both in Paris and London it is rumored that the Emperor Napo- leon bas requested the great Powers to deter- mine whether the congress he proposed shall not be held without the assistance of Evgland. What replies have been made is not stated. We do not believe that this move on the part of Napoleon will meet with the slightest success. The great Powers have, one and all, something to dread from the action of the congress pro- posed, aud would in uny case have lent a very un assent to such a meeting; but now that England opposes such a move we may rest assured that her example will bave its influence upon Austria, Prussia and even Russia, All 0! these Powers will rather side with Great Brita n than with France on this question, and, altiongl Napoleon may make a parade of the consent of such Powers as Italy and Spain, his failure will oot be the less apparent. Austria, Prussia and Russia have all got share of Poland, and the first action of congréss would be to remodel that unhappy country and deprive the above named Powers of their ill-gotten booty, Taking this view of the case—and it ia the most rational—how stupid woro it on the part of Austria, Prussia and Roésia to consent to their own loss for the mere sake of benefiting the man they one and all so detest and ‘ear, Tt must be apparent that in this instance England bas once more defeated the schemes of her soi-disunt ally, and that the congress will never be held. IMPORTANT FROM ARKANSAS. Surrender of Rebel Indian Chiefs—A Union Supply Train in Danger, &c. Fort Sorrn, Ark., Dec. 24, 1863, ‘The Choctaw chieftain McCurtain, with other rebel Indian fend ne into our lines to-day and surrendered them Bol icuoral McNeil. ‘They bave abandoned the rebel allianco, aud profess a desire to avail themsel of tho President's amnesty proclamation, Their example will have @ powerful influence over the rebel tribes, Apprehensivns are felt for the safety of an immense supply train on the way froin Fort Soott, om account of the presence of Standwaite and Quantrell io that direction, THE ARMY OF THE POTOMAC. HrapQuanimes, ARMY oF Tins PoTomao, Dec, 25, 1863. The arrangement (in regard to sutlers’ supplies, as in+ dicuted and directed by General Orders No, 105, Army of the Potomac, are in full and successful operation, giriog gonoral aatwiaction to the sutlers and the army, IL ia but juatto state that more than ten moriths age the idontica! plan was subinittod to the genoral com- manding the Army of the Potomac, by Brigadier General M. K Patrick, the Provost Marshal Geuoral, upon whom devolves a strict roaponsibility for the introduction of eoutraband goods; but, for reasons not necessary to give, was then and eubsoquently ignored, The present com- mandor of tho Army, after giving the subject full con- sideration, bus givon tho order bis full esnction, whiok ‘has boon epproved by the War Department. GENERAL BUTLER'S DEPARTMENT. Inspection of Hebel Prisoners and Hose pitalc—Vessols Ashore—Arrival of the Russian Fieet—Prisoners Forwarded for Exchange, &c. Foutanse Moxnon, Nec. 25, 1863. Major Genora! Butior returned this moraiag from Point Lookout, whore he bas made # thorough inspection of the prizonors and hospitals, Ho a'ao examined into the prob- ablitios of @ rovoit among the rebol prisouera, and took important testimony in regard to rations and the condi- tion of rebel subjects there, which tegtimony was aatise torily correct, The echooner ©, M. Nealo, ashore on Saip Shoals, te loaded with coal for Fortress Monroe, Another schooner {s ashore southerost of the cape. Tho Russian flect arrived in Hampton Reads at noom to-day and saluted our fax. The Minnesota repliod to the salute. ‘The steamer New York loft City Polat to-day with five hundred prisoners for exchange, Marine Report—Arrival of the Prise Schooner Ella. Fournnss Mownon, Dec. 24, 1863. The following is a list of the vessols (schooners) which have paszed iu Hampton Roads during the past twonty- four hours, reported by the guard ahip Young Rover, Captain Studley — Name Cay Mary reinueiaon Twilight........Malvora, Willian Honey. .Sher Sears Waite... Whence: Yorktown Baltimore... Tangiers . Where Bound, .-New Yoric. A TL Partridge. 4 Moles Johasot D. A, Thomy 1. Harrington T PR. Prown.. Nerbern. Kate stewart ... ». Newborn. The prize schooner Hila, of Nassau, captured by the Samos Adger, arrived here to-day, Police Intelligence. Countaareir Mowry.—Taking advantage of the ruvh of business incident to Christmas ove, the counterfeiters were hard at work oo Thursday nigbt, and succeeded im paotivg eeveral hundred dollars worth of spurious mo- ney. The bills were chiefly * twos’! on the Bank of Al- dion, New York, and went like hot cakes until about nine o'clvak, when the police got wind of the fraud, and pat ebopkee; ers and others on their guard, ‘The rascals then changed off to fives’ on the Clinton Rank; but the Wille being poor tmitation 4 not take He weil, and wore soon withdrawa from the market. In the lower part of the city—principally in the Fourth ward—there was avother 10K Operating in“ Over’! on the bank of Henry T Barto &Co,, Cromansburgh, New York; but the police intorfor- Od with the plans of tho“ ring.’ and succeeded in mak- ing wevorai arrests, The telegraph was of tho utmost beveft to the pol ce, and war the means of wiving seve. ral thougend dollars t the business mon of the city, A Commras Casvalty—Caneians Saootina.—As Lydia Morris, & young woman about sighteen years uf age, waa engaged in sweeping Out the store No. 364 Canal streot, aban carly hour yesterday morning, sho was shot .o the shoulder by Louis Roots, of No, 28 Wooster street, and wevoroly injured. Officer Collins, of the Bighth precinct, arrested Roofs, when the lattor, in explanation of bis cou- duct, stated that the shooting waa purely accidental, aud was done while he was “ keeping Christmas.” Pho in- Jured wom in waa attended by Dr. Pactigrew, who exam- {bed the wound and found that the ball bed mereiy foil ted @ dosh wound. A Borvtan Cavour uw tye Act.--An enterprising youth, named Charios Reilly, broke into the house of Mr. formas: Finnekin, No 131 West Twenty fourth stroet, on Thure- day night, aud waa helping bimaelf toa gold wate! 4 woveral articles of jewelry, when a domestic pounced upon him and gave tho alarm. Officer Fisher, of the Sixteenth ward, came np iv the nick of time, and acter an exciting chase caught the burglar and recevored all the stolen property. Justion Quackenbush committed the prisoner for examination. . Stanmyc Arrnav—A Woman Invunen,—Withiam Care was taken into custedy by officer Kennedy, of the Fourth precinct, on the charge of stabbing Mary scott about the bead, neck and breast, injuring her so severely that ake Bereookiyn City Neve. Scicips.— Wm. Pendergsst, @ painter residing on the corner of Bood and Batler stroots, was arrested on Thurs- Gay night, on the supposition that he was iaboring vader insanity, Ho was confined In one of the cetis of the For. ty-third precinct station house the night be tore the bisetets eis ed ke a Lite was extiont,_ The deceased “ Se pancer |, and leaves a wife and three childres, Aa inquest aun held As Norrie, and « verdict ie ag. cordance with the facts was rriiered i Pip