The Sun.
London, England, 1860-03-17 00:00:00

THE ARMY.

Brevet Lieutenant-Colonel J. E. Thackwell, un-
attached, succeeds Brevet Lieutenant-Colonel James
Connolly as Assistant -Ad jutant-G encral of the
South-West District. Colonel Connolly proceeds to
Canada as Assistant-Adjutant-General of the forces
in that colony.

Captain C. Milligan, 30th Foot, aide-de-camp to
Lord W. Poulet, Ca, commanding the Ist Infan-
try Brigade at Aldershott, will retain the same
appointment on Lord Paula's assuming the com-
mand of the South-West District, rendered vacant
by the removal of Major-General Sir James Yorke
Scarlett, K.C.8., to the Horse Guards as Adjutant-
General of the Forces.

RED SE4 AND INDIA TELEGRAPH.

The first report of the directors of this company
states that her Majesty's Government had entered
into a contract with the company, by which the
Treasury engaged to grant an unconditional gua-
rantee of 41 per cent. for 50 years on a capital of
£BOO,OOO, to be extended to X 1,000,000, if necessary.
It was at the same time provided in the deed that
of the surplus profits beyond the guaranteed in-
terest one-third should be appropriated to the re-
payment of the interest advanced by the Treasury,
another third to the establishment of a reserve
fund of 10 per cent. on the capital, and
the remainder applied to the increase of the
shareholders' dividend, up to a maximum of
10 per cent; It was likewise stipulated in
the contract that two official directors should be
appointed on the part of the Treasury. Imme-
diately after the conclusion of the contract the
directors entered into engagements with Messrs.
Newell and Co. for the construction of the entire
line to India. The first section, extending from
Suez to Aden, with two intermediate stations at
Bossier and Suakin, was laid in the middle of last
year, and opened to the public on the Ist of Octo-
ber. The second section, from Aden to Kur-
rachee, with two intermediate stations at Hallani
(one of the Kooria Mooria Islands) and Muscat,
has also been laid, and will be opened to the
public as soon as the necessary tests have been
completed. The Government of India has afforded
substantial and important encouragement to the
undertaking by authorising a uniform rate of
charge of Gs. a-message from Kurrachee to every
part of India (the districts to the cast of Calcutta
exo'pted) and also by allowing its telegraph officers
at the various stations in India to receive payment
for the messages they transmit through the companys
cable—a privilege likewise conceded by the Govern-
ments of Ceylon and South Australia. During the
last few months in which the line has been open
only to Aden the promptness with which the public
have availed themselves of its convenience affords
reason to believe that the Government guarantee will
be covered by the returns at an early period, and
that the advance of interest made by the Treasury
will be speedily liquidated, and the shareholders
admitted to participate in the profits of the under-
taking. The directors have received from the
shareholders the sum of £600,000, being at the rate
of £l5 per share. Tkey have recently made
another call of £2 10s. per share, payable on the
31st of the present month, and they intend to call
up the last instalment at an early date.
The capital account showed that £549,514 had
been e:zpended, alla that the estimated liabilities
auluuntell to £184,2,50, total, £733,764 ; leaNiug a
balance of £66,235 over the authorised capital of
£BOO,OOO.