The Sun.
London, England, 1862-01-14 00:00:00

INDIA,

CALCUTTA, Dec. 9, 1861.—The state of the cash
balances still continues most satisfactory. On the
31st of October last there were in the public trea-
suries throughout the country 14,26,77,020 r. as
compared with 12,23,57,308 r. in 1859, and
12,37,51,592 r, in 1860, being an increase of nearly
two millions sterling. As stated in a former
letter, this increase does not show the immense
strides in prosperity the country has made during
the present year, because in 1860 we started
with a full exchequer, whereas in March
and April of the current year it was doubtful whe-
ther wo should be able to tide over the quarter
'without a loan. Hence it will be seen that we have
not only made up our lost ground, but are so far
ahead that we may look to the future without
alarm. The state of the public funds seems to indi-
cate that this feeling prevails even among the na-
tives. The Four per Cents., which in September
and October were at about 20 per cent, discount,
have now risen to about 14r, Ba. discount ; the Fives-
and-a-Half have reached a price higher than I re-
collect seeing them quoted at before, being 4r.10a.
to 4r. 14a. prem. This state of things is attribut-
able in the first place to the great reductions in mili-
tary expenditure carried out by Colonel Balfour, and
in the accond to the increasingly productive nature
CA' the taxes imposed last year. I alluded in my last
to the great service rendered to the State by Mr.
Sconce in insisting, in opposition to the late Mr.
Wilson, on his Stamp Bill. I then stated that the
receipts on this account had greatly surpassed ex-
pectation. Within the last week, however, the Go-
vernment has published an authoritative statement
of the receipts on this account for three months of
the current year, and three of the corresponding
period in 1858-59. This return shows the receipts
from August to October, 1858-59, to have been
13,81,410 r., and in the corresponding period in
1861 29,84,117 r., being an increase of more than one-
half. The return of the income tax for the same
puled, viz,, from August to October, 1861, shows
38,75,126 r., or only one-fourth more than the once
despised Stamp Act. Indeed, if the returns for
these three months are to be taken as an average
for the year, the income tax would appear to be
worth little more than a million and a half. I have
reasoe to believe, however, that this will be found
under the actual amount.
Mr. Lung arrived in Calcutta on the 30th ult,
On the sth inst. the three representative associa-
tions of the city—the Chamber of Commerce, the
. Trades' Association, and the British Indian Asso-
ciation—presented him a united address. This
address showed more sympathy and a better under-
etanding between the rulers and the ruled than any
that I eln recall to mind as having been offered to
one in Mr. Laing's position. /n it the natives com-
bined with the Europeans to express their appre-
ciation of the wise measures of Government, and
the satisfaction with which they had borne the
taxes which it had been so necessary to impose. On
the subject of cotton, one assertion which they made
is well worthy of consideration in England. It fully
bears out the conviction I have always expressed,
that Manchester had but to offer fair terms to
obtain any amount of cotton she might require.
‘; We would briefly remark," said the spokesman of
the address,—
" That, if those interested in the consumption of,
cotton in Great Britain will put their shoulder to
the wheel, ill this, the time of their adversity, they
will flu? the people of this country, both European
and reative, willing to help them. Much has already
...teen done both by the Government and the mer-
chants of India to meet this emergency—as much
probably as can be done with safety until more evi-
dence is forthcoming that the capitalists of Lanca-
shire and elsewhere are willing to take their part
in the risk .and expense attending the speculation.
The fact is established that cotton can be produced
to almost any extent in India; but the fact is not
yet established that Indian cotton will always find
in lemeashire a profitable market."
Mr. Laing's reply was satisfactory on all points.
Ills remarks on the subject of the cultivation of
cotton, of the benefit which must accrue to the
natives could a permanent market be obtained in
England, and of the general improvement in the
'aspect of affairs in ladle since he first landed there,
are so pertinent and well put that I give them
entire. After adverting to other matters, he thus
alluded to cotton
if, as I hope, the temporary stimulus given by
the present rise of price is to lead to the permanent
substitution of Indian for American cotton to a
large extent in the market of Europe, it is evident
that this result can only be attained by a perma-
nent improvement in cotton cultivation in India.
If it be true, as I have seen it stated, that an acre of
land in the United States produces on the average
from 2001 b. to 3001 b. of cotton, worth 6d. per lb.,
while the average produce of an acre in India is
less th .n 10011)., of a quality not worth more than
4d., this is an inequality which can only be over-
borne by special and temporary causes, and which,
in the long run, must give the command of the
market to the slave-grown cotton of America over
the free-labour cotton of India. But if it be also
true, as from all that I have heard I fully believe,
that by using improved seed and by better cultiva-
tion the quality of Indian cotton may be made equal,
if not superior, to that of average New Orleans, and
the quality per acre may be largely increased, then
the conditions of the question are totally altered,
and the cotton of India may permanently supplant
that of America. Well, what is required to attain
this desirable result ? Mainly the completion of
communications and the presence in the cotton dis-
tricts of a large number of European agents to
make advances, to introduce better seed, to prescribe
and set the example of better cultivation, and, a
word, to do for cotton on a large scale what the
coffee and tea planters, the jute, linseed, and salt-
petre merchants, and I only express my own con-
viction when I add the great majority of indigo
planters, have done and are doing in other parts of
India. And if they succeed in this, who will reap
the chief benefit ? 2001 b. of cotton at 6d. is
50r., while 1001 b. at 4d. is only 16r. Ba., and
the difference will go mainly to the native who
owns and the native who cultivates the
acre. In conclusion, let me say shortly that
when I look at the state of things now and
at that which I found not 12 months ago, when I
first landed on the shores of India, I feel great con-
fidence in the future of this interesting and mag-
nificent country. Much doubtless remains to do, but
it does seem to me that an impulse has been given
and progress realised which are an earnest of further
improvement, and while my health permits me to
remain among you you may depend upon it that my
best energies shall be devoted to completing the
financial reforms which have been begun, and car-
rying out the system of policy which history will
identify with the latter years of Lord Canning's
administration."
On the same day the landholders and Commercial
Association presented their address. This was mainly
remarkable as eliciting from Mr. Laing opinions on
Mr.Beadon's suspended Contract Law, and the ex-
portation of Coolies, " the life-blood and marrow of
the country." Mr. Laing was very explicit on both
points. Regarding the first, he said that he thought
that the misunderstandings that had induced the
Home Government to object to the Contract Bill
had been removed by explanation, and that no ob-
jection would now exist as to passing a measure of
the same purport, provided only that the remedy
should be of the nature of a civil and not of a cri-
minal proceeding. On the second point he expressed
his agreement with the Association that India had
no redundant supply of labour, but he added that CHINA,
we could oppose no obstacles to the free transfer of I
labour to other countries SHANGHAE, Nov. 24.
who could afford to outbid We have been startled, within the last few days
us. He advised the community to organise internal with news from Pekin, announcing the seizure and
emigration schemes, to transplant labourers from execution of three ministers, under. the new regime,
places where they were redundant to localities in as traitors to their King and country. From the
, and
which their services would be needed added Would appear that these men, high in authority,accounts given in the Pekin Gazette of the affair, it
that the Government would not object to see
converted into a second Ce l Assam have been deceiving the late Emperor with regard
yon or Mauritius. The to the relations of the allies towards his person and
following are his own expressions on the subject :
go.vernment, after the occupation of the capital.
mistake Pang
"As regards the contract law, I think a greater
was exceedingly anxious to lecaaviel his
trhigeisde m.ou.ntain retreat and return to Pekin, but
mistake was never committed aan in supposing it
ministers deterred him from putting his desires
toLion of Europeans against the natives. Lord Can-
Prince Kung, and his widowed
ning's previous conduct might, I think, have been a sufficient
found out; and they
guarantee that no measure of Empress, have
attribute the death of her

self for many years a magistrate in Bengal, and

one of the best friends the natives ever had. It is

something for men accustomed to crouch before

authority to see that the law may be safely ap-
pealed to, and that not even officials are safe from
its action.

You will have heard direct from Bombay of the
great increase in the export of cotton from that
Presidency, and of the great rise in price. The ex-
port in 1858 was only 250,000 bales, and in 1860
371,000. For the year ending the 30th of Septem-
ber last the export had reached 916,358 bales, and
prices in many instances had doubled. Nearly the
same post that brought this intelligence to Calcutta
conveyed also a Minute by Sir William Denison,
Governor of Madras, in which he stated his opinion
that the great surplus of cotton supposed to exist in
the interior and only awaiting cheaper means of con-
veyance to market was imaginary. Yet in one year
for the last six months of which only was there a
demand for cotton, Bombay has quadrupled its
exports !

It is expected that Lord Canning will embark
for Rangoon and the Godavery in the course of the
month. A resolution has lately been published by
which the province of Nagpore and the districts of
Saugor and Nerbudda are united under the title of
Central Provinces, with a chief commissioner as
administrator, on the same plan as Oude. Lieut.-
Colonel Elliot is appointed chief commissioner.

such a nature would have been allowed to emanate
from his Government. But, in truth, it is a question
in which the native has a far larger interest than
any one else. There are other fields for English
capital than India, and if you drive the enterprising
settler to Australia or New Zeal ird it is by no
means clear that you injure him so much as you do
the population here, which would have benefitted
Iby his presence. Moreover, the advances by Euro-
peans are but a trifling part of the total advances
annually made in India, which must always remain
in the hands of the natives themselves. Now, bad
security is only another word for high interest and
if the practical remedy against breach of contract is
slow and expensive, the lender, whether he be Eu-
ropean or native, must compensate himself either
by paying for the produce below its market value,
or by charging an usurious rate for his advances.
And even more than this, if by lax legislation you
encourage fraud, you impoverish population in the
exact degree in which you make them dishonest. I,
in my experience of life, have never seen an excep-
tion to the rule that in the long run ' honesty is the
best policy,' and if you want to see the ryot better
clothed, better fed, and better housed, I know of
nothing you can do for him half so effectual as mak-
ing him truthful and honest in his dealings. For
these reasons it was a matter of great surprise and
regret to me to find that so much misapprehension
existed on the subject at home. I believe, however,
that public opinion there is very much changed and
that Manchester especially views the question very
differently- when it comes to be presented in the
practical form of 'no contract law, no cotton.' I
have reason to belive also that the misunderstand-
ings which led the Home Government to object to
the passing of Mr. Beadon's Bill are so far removed
by explanation that there will be no obstacle to our
passing and carrying into practical effect any mea-
sures necessary to punish fraudulent breaches of
contract, provided the remedy is in the nature of a
civil and not of a criminal proceeding. I say
frankly I should have proposed myself a criminal
proceeding for the sake of the moral effect in re-
pressing the fraud, but I am not wedded to
the form, provided the substance be attained, and I
hope that shortly after the meeting of the new Legis-
lative Council we may be in a position to pass such a
law to give a summary and cheap remedy to those
who advance capital directly to the ryots for cotton
or other produce. Lastly, as regards coolie emi-
gration, I entirely agree with you that India has
no redundant supply of labour. On the contrary,
I believe that her soil could support twice the pre-
sent population in a far higher degree of comfort, if
the cultivation of waste lands and the improved cul-
ture of existing tracts were carried as far as another
generation may hope to see. It would be a suicidal
policy, therefore, in any way to force emigration,
but we can oppose no obstacles to the free transfer
of labour to other localities who can afford to outbid
us for it. To certain places some amount of emi-
gration is inevitable, as to the Mauritius and Ceylon
for the advantage of sea transit from Madras, and
the proximity of their fertile lands to ports of ship-
ment gives them a certain command of the labour
market. To this extent emigration is healthy, and
the Government cannot interfere to prevent the
poor coolie from going where he can earn the best
wages, and, indeed, it would be shortsighted as well
as cruel to attempt it, for many of these men return
after a time and bring with them both money and
habits of acquired industry. But beyond this the
remedy is with yourselves. Organize internal
emigration schemes and come before the Government
with well-considered practical measures, by which
the coolie may be transplanted as a free labourer,
with duo protection, sanitary and otherwise, from
places where labour is redundant to places where it
is deficient, and you may depend upon it that the
Government of India will not object to see Assam
converted into a second Ceylon or Mauritius. Upon
these and other similar questions, however, I would
say come freely to the Government whenever you
see a practical evil to redress, or a practical remedy
to apply. The advantage is great to you and still
greater to the 6overnerient of coming to the foun-
tain head and ascertaining by viva voce discussion
how matters really stand, and what is feasible for
the common object of promoting improvements.'
Orders, it is said, have arrived to put a stop to
all expenditure on the defences of Singapore. The
fort in that place has been constructed, but the
barracks have not yet been completed. I read the
other day in a local paper a bon mot attributed to
a French officer at Saigon on this subject, which, it
was stated, had caused something like a panic at
Singapore. " You English," he said, " have a fort
and no men ; we have men, but no fort." The
Frentih officers did not, perhaps, recollect that in a
week India could pour thousands into Singapore,
and possibly might turn the tables on Saigon.
Several of the Calcutta Baboos, among whom
were some of those who lately distinguished them-
selves in their demonstrations against Sir Mordaunt
Wells, have presented an address to the Lieute-
nant-Governor of Bengal, in which, while express-
ing their deep sense of gratitude and admiration for
the many beneficent measures adopted by his Hon-
our to vindicate the true relations in the eye of the
law between the indigo manufacturers and the
ryots of Lower Bengal, they point to " shortcom-
ings and deficiencies in the Administration, the re-
sults of unheeded years, the removal of which has
an intimate relation to the complete solution of the
indigo question." The Lieutenant-Governor, in
reply, expressed his great satisfaction that so many
of his native fellow-subjects should have approved
his policy in the indigo business, but made no
allusion to the unreformed deficiencies and short-
comings referred to. It is curious, and certainly
deserving of remark, that in this address the natives
expressed their appreciation of the importance of
English energy and capital in India. It is a re-
markable sign of the times that they should speak
such language, for nothing is more certain than that
twelve months ago their opinions were all the other
way. Can it be that they have become satisfied by
the events of the past year that the presence of an
European settler in a district is the best guarantee
they could have against administrative oppression
This was the opinion of the Hon. Mr. Shore, him,

husband to the bitter cold region where he breathed
his last. Apparently that lady is of more than
ordinary spirit, and boldly accused them to her
advisers for accelerating the death of the Emperor,
which according to the laws of China is treason,
and punishable by death—voluntary by self strangu-
lation with a silver cord, or involuntary by decapi-
tation in public. Two of the delinquents had the
felicity of going out of existence by their own
hands, while the third was beheaded at the place
of public execution.
Before this sanguinary act of retributive justice
was performed, the young Emperor made a six
days' progress from Zehol, where his father died,
to Pekin, the cortege being followed up by the re-
mains of Hien Fung. It so happened that the
chief traitor, the Prince of I, Tsai-Yuen, was in
charge of the body of his late master, so that on
reaching the end of his journey he was seized by a
squadron of Tartar cavalry and incarcerated in the
city. The other two obnoxious members of the
regency were sent on a false mission into Pekin, to
make the necessary preparation for the installation
of the boy Emperor. They were also imprisoned in
the city. The day afterwards the procession en-
tered the ancient northern capital of China, and
the people, in their quiet, subdued tone, cried,
" Long live the Emperor !" On the following day
the alleged traitors were tried by a special court of
inquiry and found guilty, after much consideration.
Their crime could only be expiated by death, so
the Princes Soo-Shun and Kwan-Kwa were pre-
sented with silver cords to strangle themselves,
which they deliberately performed in their dun-
geons, and the Prince of I was decapitated. On the
seventh day after all this sanguinary business the
Prince Kung, brother to the late and uncle to the
present Emperor, was declared regent, an announce-
ment which has give satisfaction to all, particulariy
as he is most friendly to the intercourse with foreign
nations.

On the other hand the disgraced dead members of
the late Council of Regency were among thou) who
perpetrated that treacherous proceeding when Mr.
Parkes and others were seized under a flag of truce;
then tortured, and several died in the most frightful
agony, among whom was Mr. Bowiby, the Tines
correspondent, On this head the North China
Herald has the following remarks:

"Whilst shuddering, we lament over the tragic
end of these unhappy men, we cannot but recognise,
with feelings of great awe, this marked application
of the principle of retributive justice from the de-
crees of the All-wise, whilst their hands were yet
red with the brave and innocent blood of our own
countrymen, whose loss we still continue to (le-
plore. The names of Brabazon, Bowlby,and others,
still cry aloud for vengeance; but, it is more in
sorrow than in anger that we should seek,as a warn-
ing to others, to embalm the memories of their mur-
derers, in allusion to their own bloody end, with
this pertinent motto— ~Satin to sanguine, quern

The particulars of the whole business are given in
the abovenamed journal, extracted from the Pekin
Gazette, and translated in extenso. It would not be
doing justice to these remarkable documents to send
yon garbled extracts, consequently I forward them
in full for publication at your leisure. These show
plainly that a coup d'etat of the most important
character—especially with regard to friendly
foreign relations—has been quietly but speedily
and effectively accomplished. In one week a revo-
lution has been effected in the Government of this
empire which has been the slow growth of centu-
ries; and excepting the deaths of three traitors to
their emperor and their country, it has been a blood-
less revolution. The action was quick, sharp, and
decisive. On the Ist of November the Emperor
arrived at Pekin ; on the 2d the two Ministers,
Twan-Wha and Soo-Shun, were arrested; next day
Tsai-Yuen, the chief delinquent, was seized by a
body of cavalry while escorting the late Emperor's
'remains from Zchol to Pekin. On the 4th these
three Princes and Ministers were tried by a tribu -
nal specially appointed by the Emperor and his
new advisers; on the sth they were concleumed,and
on the 6th Tsai-Yuen was publicly decapitated,
while his two colleagues were presented each with a
silver cord to strangle themselves, which they did
effectually, for they were found dead in prison next.
day. The other five members of the Council of Re-
gency have received less sanguinary punishment,ac•
cording to their deserts. On the 7th Prince Kung, the
friend to foreigners, and who was mainly instru
mental in getting the late treaties assented to, was
proclaimed Regent over his youthful Majesty, who
has assumed the new title of Tung-Chih, signifying
" Union in the cause of law and order," instead of
the former one, Chi-Hsiang, meaning "Good For-
tune." Never has there occurred in the annals of
this country a more daring or successful change of
administration for the benefit of foreigners.

THE CASE OF MR. IV. F. TV 11VDHA3L

The adjourned inquiry into the state of mind of
Mr. W. F. Windham, of Fellbrigg.hall, Norfolk,
was resumed yesterday, in the Westminster Ses-
sions-house, before Mr. Warren, Q.C., one of the
Masters in Lunacy, and a special jury.
Mr. M. Chambers, Q.C., Mr. Field, and Mr.
Hume -Williams appeared for the petitioners ; Mr.
Charles Russell for Lady Sophia Elizabeth
Giubilei, the mother of the alleged lunatic; Sir
Hugh Cairns, Q.C., Mr. Kerslake, Q C., and Mr.
Milward for Mr. William Frederick Windham;
and Mr. Coleridge, Q.C., for Mrs. Windham.
Yesterday was the 10th day of the defence, and
the 22d of the inquiry. A few days ago Mr. Kars-
lake gave the Court to understand that the evidence
for Mr. Windham would be finished last night, or
at furthest to-day. It is almost incredible, but the
statement is made in sober seriousness and on good
authority, that the examination of the remaining
witnesses will occupy at least ten days or a fortnight
from the present date. Several additional subpenas
were issued so recently as Saturday last, and the
Master was required to sign ore or two more yes-
terday. Indeed, as matters are managed at present
there is no earthly reason why the case should ever
come to an end at all. There is apparently an in-
tention to call before the Court every person who
ever talked for five minutes with Mr. Windham,
who ever sat in the room with him at dinner, who
ever did business with him to the extent of a few
shillings, who ever enjoyed the privilege of seeing
him ride or drive or of hearing him sing or laugh, or
who ever had the pleasure of knowing his father or
paying his respects to Felbrigg-hall. Of course as
Mr. Windham has lived in the world for more than
21 years, and since 1858 has been constantly mov-
ing about from place to place, coming into contact
with immense numbers of people, the evidence of
his chance acquaintances must necessarily consume
a large amount of time, especially when each wit-
ness is subjected to a long cross-examination by the
counsel engaged on the other side. After all, how-
ever, those who are responsible for the defence of
Mr. Windham may feel themselves bound, consi-
dering the kind of case which has been attempted
to be made out for the petitioners, to go into all
the events and occurrences of his life, and in the
discharge of the difficult and critical duty which
they have to perform they are fairly entitled to a
reasonable amount of indulgence and forbearance.
No one could object to their bringing forward every
jot and tittle of evidence tending to establish the
soundness of mind of their client, but many who
witnessed the proceedings of yesterday must have
asked themselves thn question, What, in the name
:,•r all that is wonderful, have the obscure
and Uninteresting family squabbles of the Lewel-
lins to do with the sanity or insanity of Mr.
Windham P At the present moment there are two
or three Lewellin cases pending before the police
authorities, and it Is lathr hard that Mr, Windham
and his relatives should have to pay the costs ! all
investigation which is at once premature, superfiu-
OW, and irrelevant. somewhere about 130 wit-
(nesses have already been examined, and if a sepa-
rate issue is to be raised upon the character; ante-
cedents, an d domestic relations of each, the Windham
case may be prolonged until the alleged lunatic is
cold in his grave and his property has passed into
other hands. It is unnecessary to state that the
expenses of the inquiry are frightful. On the most
moderate computation the question of the sanity or
insanity of Mr. Windham cannot be decided at a
1004 cat than £O,OOO, And unjeggprompt pxdoner!