The Sun.
London, England, 1863-10-19 00:00:00

AMERICA.

QUEENSTOWN, Oct. 17.
The Royal mail steamer China arrived here at an
early hour this morning, bringing New York dates
to the 7th inst. The China called at Cape Race on
the 10th.

New Orleans advices to Sept. 25, published in the
New York: Journal of the 4th inst., are as follows :
" On Tuesday morning last considerable excitement was
caused in this city by a report that the steamer Leviathan
had been captured by a squad of rebels at South-west Pass,
and that she had escaped to sea. A few hours later. and
' •

another report arrived-that she had been recaptured by the

United States steamer De Soto. Yesterday the Leviathan
arrived at the wharf at this city. The Leviathan was lying at
the Telegraph wharf at the mouth of the river, at South-
west Pass, near Pilot Town. About half-past 3 o'clock on
Tuesday morning a party of rebels, 18 in number, sprung on
board from a small boat, and, firing their revolvers, de-

manded the instant and unconditional surrender of the ves-

sel. No resistance whatever being made by the few un-
armed men on board the Leviathan the enemy put the cap-
tain and crew in irons, and made preparations to proceed

at once to sea. About daylight the steamer left the side of
the wharf. Two of the crew of the vessel were placed on
shore, after promising that they would not mention the fact
of her capture until she had had three hours' start, when
they were at liberty to say all they pleased of the affair. As
soon as these men were placed on shore they made all haste
to the telegraph-office and informed the operator of what
had taken place. In a few moments every person in the
neighbourhood was at the wharf, and the Leviathan was seen
by the dawn's early light' making off to sea. Half a dozen
men ran to a 6• pounder howitzer stationed on the wharf
and fired four shots at her, and as each shot fell short or
passed her harmlessly by the rebels cheered and waved a
rebel flag, which they afterwards hoisted. The Leviathan
had not proceeded far before she saw a bark rigged vessel.
Approaching within hailing distance the rebel chief
shouted, ' Ship ahoy I send a boat aboard,' Her flag was
still flying ; but at the distance from the bark, in the gray
light, its character was not discerned, and a boat was being
lowered from the bark, when, as the Leviathan steamed
nearer, the rebels were thunderstruck at finding that the
guns were aboard, and that they had almost run into a Union
war vessel. Turning the prow of the steamer seaward the
rebels concluded not to wait the arrival of the boat, which
had already left the side of the bark, but steamed away as
rapidly as possible. The vessel of war preyed to be the bark
Anderson. Though every movement of the strange steamer
from the first was suspicious, and no doubt remained as to
her character when she so unceremoniously left, the officers
on board the vessel could do nothing, as the Anderson was
at anchor, and the steamer kept in such a position that not
a gun could be trained upon her. The guardship Pampero
was not more than a quarter of a mile above the Leviathan
when the latter was captured, but she, too, was unable to
prevent her escape. At half-past 5 o'clock the De Soto, one
of our cruisers, was coming up the pass for coal, and took a
pilot on board eight miles from the bar. At half-past 7
p.m. the steamer Crescent arrived at the mouth of the pass,
and, hailing the De Soto, informed her officers that a
steamer had been surprised and captured three or four hours
previous. The De Soto immediately changed her course and
started in pursuit—no vessel in sight at the time. In about
15 minutes the lookout at the masthead cried Sail, ho.'
The chase now continued with increased interest, the De
Soto rapidly gaining on the Leviathan, and at 10 o'clock
fired a shot to bring her to. This was followed by two
others, when a sheet or table cloth was hoisted and
the vessel hove to. Fifteen minutes later and the Le-
viathan was boarded, the Star and Stripes hoisted, and the
rebel captain and crew put in the very irons that they
had placed the former crew of the Leviathan in. A
priz3 crew was then placed on board, and the vessel taken
to New Orleans. The rebel flat, which she heisted when
she went to sea, was lowered as soon as she saw a vessel in
pursuit. Of the 16 men whom the rebels captured but six
remained on the Leviathan, and they were heavily ironed.
Two were placed on shore, and the other eight were com-
pelled to enter a boat, which was turned adrift, without
sails, oars, or a mouthful of anything to eat. The wind was
blowing a gale at the time. Up to 3 o'cloctr this afternoon
no news was received of the boat or crew, and it was sup-
posed that the former was swamped in the heavy sea, and
that the latter were drowned ; but at this hour I learnt that
the boat had been picked up, with all the crew alive and
well, The prisoners were turned over to the proper autho-
rities of the city."

The banquet at New York to the officers of the
Russian fleet was expected to take place on the
14th or 15th inst.

The following particulars of the capture of a
British vessel are published in the New York Herald
of the 4th :

" The United States steamer Circassian, W. B. Eaton
commander, arrived from Sabine Pass and Galveston,
Texas, and the Rio Grande, Mexico, on the 21st inst. We
learn by her the particulars of the capture of the British
steamship Sir William Peel, by the United States steamer
Seminole, at the mouth of the Rio Grande. This steamer
came over 11 weeks before from Liverpool. She kept in
Mexican waters, and discharged part of her cargo, which
was in cases that resembled boxes of arms. She had on
board over 100 men at one time, and, as she was built for a
man-of-war for the Brazilian navy, is eminently fitted for a
first-class vessel of war. She began to take in a cargo of
cotton, and had taken in over 1,000 bales when the French
authorities, evidently deeming her intended for a rebel pri-
vateer, gave her notice to leave Mexican waters, which she
accordingly did. Captain Rolando, of the Seminole, sent
two offices and a number of men to seize her, as she was
then on the American side of the river. The men and officers
were transferred to the Seminole, and the ship sent to this
port. During the day Captain Hood, of her Majesty's ship
Pylades, sent to know why this seizure was made. The
following is a copy of Captain Rolands's reply :--
"'
United States' Steamer Seminole, off Rio
Grande, Sept. 15, 1863.
" ' Sir,---I have the honour to acknowledge the receipt of
your despatch of the 10th inst., in which you request I will
please acquaint you with the reasons for taking possession
of the British steamer Sir Wm. Peel, and detaining her
crow as prisoners of war on board the vessel under my com-
mand. I have to state that I seized her in American waters
from whence she had landed contraband of war, and at the
time of her seizure had the same on board. She has been
sent to New Orleans, where the Prize Courts and authori -
ties will take cognisance of and investigate the justice of the
seizures. In connexion with your request for the reason of
her seizure, I would state that she is in every way fitted and
formed for a rebel privateer, and for such I have every rea-
son to think she was intended. My duty to my Government
demanded I should seize her, and prevent in time her ag-
gressions on American commerce—as we have already be-
fore our eyes the examples of the Alabama, the Florida, and
the Georgia.-1 have the honour to be, Sir, your obedient
servant,
" H. ROLANDS, Commander, United States' Navy.
" ' Captain A. W. A. Hood, R.N., commanding her Bri-
tannic Majesty's ship Pylades, off Rio Grande.'
" The Sir William Peel is a splendid ship, bark-rigged,
2,000 tons, and very fast. A bearer of despatches from
Matamoras, who came up in the Circassian, says that about
a week before her capture she was purchased by the house
of Hale and Co., Brownsville, Texas. He also reports that
there were naval gun carriages being manufactured at Ma-
tamoras, supposed to be for this ship, and that the cotton
put on board was merely a ruse to get away from the Rio
Grande. It is almost known that she has guns under her
cotton, and would have been immediately converted into a
privateer after discharging her cotton. As soon as she was
captured the engineers of the Seminole discovered that
they had attempted to sink her by opening her water cocks
and she has been leaking badly somewhere ever since.
This, of course, would not have been done had the officers
of the Peel not felt she was a lawful prize. Forty-
two of her officers and crew were sent to this place in the
Circassian."
The following Southern view of the position of
Gen. Rosencranz is from the Richnzond Sentinel of
Sept. 29, published in the New York papers of the
4.h inst. :
tc chattanooga, in 1860, contained a population of 6,000,
It is situated on the south bank of the Tennessee River, in
the midst of a very mountainous region, owing to which
the course of the river in the neighbourhood is very sinu-
ous. Lookout Mountain, which is prominently mentioned
just now in the despatches from that quarter, is a range
that comes up from the south-west, and abuts abruptly upon
the Tennessee River at a point about 21 miles below or west
of Chattanooga. It ends in a cliff or peak of remarkable
height, called Point Lookout, about I,SOO feet above the bed
of the river, which washes its northern. base. The railroad
from Chattanooga to Nashville end also a common road