The Sun.
London, England, 1864-01-11 00:00:00

wish me to be 'the nival assistant of such a Man-
darin.'

" 6. To the argument advanced by the Chinese
Foreign-office that the course proposed by Prince
Kung is a usual one in China,' I reply I did not
come here, or my followers either, to accustom
ourselves to the treatment usual with Chinese
sailors or soldiers, or to assist them in a retrogres-
sive policy in the treatment of European employes
or Europeans in general. The employment of
ships of war and war steamers of European con-
struction is an innovation, that of European
officers and gentlemen still more so. I and my
force are part and parcel of a new order of things
indicating progress i❑ China.' I will be no party
to her lapsing back into her ancient system and
treating Europeans as if they were Chinamen.
"European commerce in China, and consequent
intercourse, is a departure from all foregone cus-
toms.

" The presence of Europeans at the open ports is
,he same.

" The residence of European Legations in Pekin
strikes at the root of China's most ancient preja •

The entire responsibility of the conduct of the
provincial authorities towards our merchants and
missionaries being forced upon the Ministers at

Pekin is another departure from the most cherished
institutions of these people.

" I merely claim for the European force under my
command another stride in the same wise direction,

and I will not, on all the foregone grounds, depar
from a line of policy decided upon by Mr. Lay and
myself after long and careful discussion—a line of
conduct approved, I am sure, by my countrymen
and profession, and which I see more and more
reason not to swerve from since I have noted the
present bearing of the Pekinese authorities towards
foreigners.
" I may add in general terms that if I required any con-
firmation of my opinion of the utter impossibility of serving
the Chinese Government upon the terms the Prince sug-
gests, I should find ample grounds in my own experiences
while at Shanghai, as well as in the information General
Brown gives me of Major Gordon's present position. I
found on my arrival at Shanghai that the Foutai's agents
had tampered with the crews of the vessels under my orders.
They were told that the Foutai would give them higher
wages than those I engaged them at, that they would all be
made officers, and that the discipline existing among the
Europeans in his steamers was far pleasanter than the order
I enforced. Puzzled to find such a different system existing
in what was called the Imperial service, the men became
naturally disaffected and anxious to leave me to join the
Europeans employed by the Fouati ; and to enable them to
do so without prejudice to their pockets I found they were
actually offered £ .2 a head bounty, the money to be lodged
in the names of the deserters in an English bank. I had to
discharge 14 men, and was detained several days at Shan-
ghai in consequence. It was no fault of the Foutai's that
I was not detained there altogether.
" Foutai Lc is an able Chinaman, and as unprincipled as
all Chinese officials. His plan would be to render me power
less, and then to use or toss me aside, just as he does all
European leaders in his force. Ile is a civilian by educa-
tion, ruling over military and navel affairs without the
slightest knowledge of either. He is squandering the re-
venue of the province as well as that derived from European
trade, and is in league with unprincipled traders in Shang-
hai. Although he can procure from the British stores all
such military supplies as he can require, he is encouraging
the import of munitions of war by private firms, and grant-

ing permits to land the same in spite of all our proclama-
tions against the importation by foreigners of goods contra-
band of war. Having secured the services of an excellent
officer in Major Gordon, who appears to have entered his
service, not that of the Emperor of China (for he holds no
authority from the latter), Foutai Le proceeds to render
him powerless, and to hamper his action in two ways—first,
by depriving him of the means to carry out any decisive
measures; and next, by placing in exactly similar positions
a number of other Europeans, and playing ono off against
the other. Major Gordon wishes to attack Souchow-foo,
and asks for 100 Europeans. The Foutai agrees, but says
the 100 men must only be entered for one month. Gordon
declines to enter into any such arrangement, seeing its in-
justice and folly. The Foutai insults him by questioning
his desire to fight the rebels, and proposes tnat the assault-
' ing column shall be formed of all the European officers in
his employ, and that over their bodies the Chinese would
advance to victory.
" Again, what faith can I have in any mandarin's listen-
ing to my advances as a subordinate, when I am told by
General Brown, Commander-in-Chief of our military forces
in China, and the superior of the Foutai, that ho will listen
to no advice or suggestion the General offers, that he pur-
posely avoids all conference with him ; and when an inter.
view is sought by General Brown insolently replies that ho
is too busy to see him ? and hoe it remembered that Foutai
Le is not a bit more unreasonable than:other mandarins,and
that he is an average specimen of his class.
" SHEItAltn OSBORN."

No. 6.

:NSPECTOR-GENERAL 11, N. LAY, C. 8., TO CAPTAIN
SIIEIt4RD OSBOUNE, It N., C.B.
"Pekin, Oct. 13, 1863.

" Sir,—I regret io say that at an interview which I had
to-day by appointment with the President of the Foreign-
office, Wansiang, he requested me to intimate to you that
the Prince of Kung would decline to ratify the agreements
entered into by us tinder his letter of instructions of October
1862,—1 have, Scc.,

4, H. N. Lay,

No. 7.

"CAPTAIN SILERAILD OSBORNE, R.N. C. 8., TO TILE
PRINCE OF KUNG.

"Pekin, Oct. 15, 1863,

"Your Royal Highness,—l have the honour to request
that you will be pleased to furnish me officially, and in
writing, with your decision relative to the agreement entered
into between your agent, Mr. Horatio N. Lay, C. 8., In-
spector-General, and myself.
"The Inspector-General informs me:that after a delay of
four months and a half, during which time your Royal
Highness has neither acknowledged a single letter nor re-
ferred to the agreements, Wansiang informed him formally
that you intended to adhere to your manifest intention of
ignoring all such agreements, as evinced in your instruc-
tions already addressed to me. .

No. S.
" CAPTAIN SHEPARD OSBORN", R.N., C. 8., TO HIS
EXCELLENCY SIR F. BRUCE, K.C.8., &c.
"Pekin, Oct. 19, 1863

" SitERA.RD OSBORNE."

No. 9.

" I may remind you that I have now been three weeks in
Pekin fruitlessly endeavouring to point out to the members
of your Foreign-office, through Mr. Lay, that your instruc-
tions to me are entirely contrary to the understanding under
which her Mash Majesty's Government permitted myself
and others to agree to serve the Emperor of China, and that
I declined to act except upon the terms explicitly laid down
in our agreements.
" To all these representations no attention has been paid.
" I therefore avail myself of this opportunity to remind
you of the circumstances under which the force I command
has been placed at your disposal. Last year (1862) you ap-
plied in an unofficial form to the British Minister of Lega-
tion in Pekin for assistance to procure mon-of-war of an
European construction; you were recommended to employ
your own official, the Inspector-General, as the best agent.
You set aside a large sum of money; you ordered the ves-
sels, and you gave instructions to both Mr. Hart and Mr.
Lay to procure not only ships, but proper officers and men
to fight and manage them ; and, lastly, you furnished your
Inspector-General with a formal authority to enter into all
such agreements as he might think necessary to carry out
the object you had in view. Upon the strength of that au-
thority to your agent, and supported as your wishes were
by the official representations of his Excellency Sir F. Bruce,
her Majesty's Government were pleased to suspend in favour
of China the Neutrality Act, and the Admiralty of Great
Britain granted me and other officers permission to serve the
Emperor of China for a stated period, and every assistance
was given by all departments to aid the Emperor to carry
oat the wishes expressed in your instructions to Mr. Lay.
" rho Inspector-General having satisfied me that the
powers you had given him were atnp!e, I entered into cer-
tain agreements with him, subject to your ratification as
Regent of China. It only remains for me to say that my
power to maintain order and discipline in the force is now
at an end, and that if I do not receive a favourable reply
within 48 hours it will be necessary to immediately disband
the force.—l have, SILBRARD OSBORN."

"Your Excellency,—Prince Kung having failed to ratify
the agreements entered into between Inspector-General 11.
N. Lay, C. 8., and myself, it becomes necessary for me to
disband the European-Chinese naval force.
" I have the honour to enclose you copies of the agree •
ments in question, as well as all correspondence, and to re-
quest you will inform me whether you see any objection to
my surrendering to Prince Kung the S ships which I have
brought to this country. They are Imperial property, and
I have no right to detain them; but I would submit that
that there might ba some danger if vessels of so formidable
a character were trusted to tho rowdies and pirates now so
numerous in Shanghai, and who, I dare say, are quite ready
to serve the provincial authorities without agreements or
guarantees.

"Directly I receive your Excellency's official instructions
upon that point I shall, in conjunction with Mr. Lay, pro-
ceed to dissolve the force, sending the officers and men to
England in detachments, and reporting all the circum.
stances to the Lords Commissioners of the Admiralty, and
sending them an exact cliscription of the ships if you decide
upon not surrendering tbera.-1 have, &c.,

" HIS EXCELLENCY SID F. BRUCE, K.C.8., TO CAP.
TAI{ SHERNRA OSBORN, R.N., C,B.
"British Legation, Pekin, Oct. 20, 1563.
"Sir,--I hive received your letter with its euclesures