The Sun.
London, England, 1859-02-14 00:00:00

INDIAN FINANCE.

The City articles of the Times carry much
weight, and generally are based on good intelli-
gence, and display correct views. But the note of
alarm sounded by ith correspondent on Wednesday
on the subject of Indian finance, and which appeared
in the Times of Thursday, is not characterised by
these qualities. We quite agree in the writer's obser-
vations as to the necessity of setting a limit to the
grant of guarantees of five per cent., or any other
rate of interest, to the projectors of works pretend-
ing to be of urgent public benefit, and of certain
reproductive profit. The market of London, rich
as it is in capital; cannot bear straining beyond a
certain limit; and that limit has been reached, if
it has not been exceeded, by the guarantees al-
ready given to railways that will cost more than
fifty millions to compete. The portion of the East
Indian line that has been constructed, though
the most expensive, from proximity. to Calcutta,
yields, nevertheless, seven per cent. in the work-
ing ; and we have little doubt that the traffic up to
Delhi on this great line will prove remunerative.
Still at each successive call for fresh capital the
price of the stock falls, showing evidently that the
market will not take off more than has already been
sent into it. There cannot be a clearer indication
of the folly of forcing on new schemes when this,
the very best of these afloat, shows such weakness;
and we quite go along with the Times in warning
the public and the authorities against putting out
fresh schemes, and attempting to throw their
guaranteed stock into the market while in such a
condition.

But the Times' correspondent has discussed the
finance of India also, of which he evidently knows
nothing. Of the fifty crore of rupees of registered
Indian debt, two-fifths are held by natives, and
three-fifths by Europeans. It is only those stock-
holders of the latter class who are resident in Eng-
land that will think of having their promissory
notes enfaced for the receipt of interest in London
by bills drawn there on the treasuries of India.
It is a convenience to them to receive interest in
that manner, and no doubt the enfaced notes will
be saleable in the market here, which may give
them additional value to the holders. But this
will not affect the selling price in India so long as
the existing loan is open, to which subscriptions
are invited at a rate equal to six per cent. Native
holders will not sell to Europeans for enfacement,
but English capitalists who wish to embark their
capital in this kind of investment because of the
enfacement benefits will subscribe to do so, and
thus give the Indian Government the additional
means it wants. There is no doubt that the pros-
pects of Indian finance are not very flourishing
just at present ; but how can they be so while the
Government is maintaining a 'force of 100,000
British troops there, and most of aim in the field,
and on field allowances, instead of the 25,000 or
30,000 that used to be paid out of ordinrry revenues
when the income of India was barely sufficient to
meet the current expenditure P Let this drain
cease, and we doubt not the ability of India again
to support her own expenditure. To meet it while
war lasts will require a recourse to the loan market,
both there and here. We shall learn from Lord
Stanley on Monday what demand he means to
make for the year on this market. Of course if
there should be a fresh issue of debentures on the
same terms as last year their selling price will fall,
but we doubt if that price will be at all affected by
the enfacing privileges of the Indian Registered
Stocks, for the debentures are held by quite a
different class of capitalists, and not for purposes of
fixed investment, as is the case with the promigsory
notes of the Indian Government, Whether enfaced
or not—Allen's Indian Mail,

THE NAVY.

A Malta correspondent, under date of the 7th
of Feb., announces, as being in Valetta Harbour on
that day, the Marlborough, 131 (bearing the flag of
Vice-Admiral A. Fanshawe, C. 8.), Captain Lord F,
H. Kerr; the Conqueror, 101, Captain H. R. Yel-
verton, C.B: ; the Centurion, 80, Captain Sir. G. N.
Broke, C.B. ; the Hibernia guardslup (bearing the
flag of Rear-Admiral H. J. Codrington, C. 8.),
Captain the Hon. A. C. Hobart; the gunboat
Boxer, Lieutenant S. P. Townsend, tender to the
Marlborough ; the paddlewheel steamvessels Me-
dina, Captain T. Sprat; the Recruit, 6, Commander
H. M'Killop • the Tartarus, Commander A. L.
Mansell; the Hearty tug steamer ; and the Caradoc
steam despatch vessel, Lieutenant C. 111. Buckle ;
also the Cesarewitch, Russian line-otbattle ship,
Captaincorvette,
offrthe
Captain
rG. s ;
Her M Euryalus,
ajesty's steamer having on board
Ia n dd netbheet or-
g
enbjhig Royal Highness Prince Alfred,elke, Swedish
left Malta har-
bour on the 3d inst. for Candia and Alexandria.
Her Majesty's frigate Severn, 501 which was
launched at Chatham a short time singe, and at-
tached to the reserve, is now found to be altogether
unadapted for the present requirements of the navy.
Admiralty orders have accordingly been received at
Chatham, directing the vessel to be cut asunder, and
lengthened, and converted into a screw steamer.
The Banshee is underging repairs at Woolwich,
and is ordered to be got ready for foreign service. '
The Dee, Master. Commander Pullen, arrived at
Woolwich on Saturday from Portsmouth, and will
reload with machinery for vessels fitting at the
western yards.
- Tile Hecla, 6, paddle, Commander Aplin, from the
coast of Africa, is being dismantled at Plymouth,
prior to paying off.
The Termagant, screw, Captain R. Hall, has
hauled over to the Gosport moorings to receive her
full complement of coal from the Malabar, and pre-
pare with all dispatch for foreign service. Her
guns are in position, and sea stores on board ; her
rigging all ataunt.
The Urgent, screw steam transport, Commander
J. W. D. M'Donald, en route to Malta, with troops,
put into Plymouth, on Friday, to embark some
Ordnance stores.

A court-martial was held on board the flagship
Impregnable, at Devonport, on Thursday morning,
" to inquire into the conduct of Lieut. A. T. Day,
of her Majesty's ship Curagoa, on the occasion of
that ship coming into collision with the merchant
brig Fleta, off Shoreham, on the morning of the4th
of February, he being officer of the watch at
the time." The court consisted of Rear-Admiral
Sir T. Pasley, President ; Captain R. S. Robin-
son, W. J. Williams, Sir W. Nicolson, A. W.
Jerningham, J. P. Thompson, James Wain-
wright, H. Mason, and R. Maguire. Mr. W.
Eastlake officiated as Judge-Advocate. All the
witneses concurred in saying that the brig carried
no lights as required by the Admiralty regulations,
and that in consequence they were unable, until
too late, to determine her position ; and that, in

effect, the lieutenant adopted such precautions as
were in his power, and that he was not to blame
for the accident. The defence threw the onus upon
the master of the brig, to whose neglect of the Ad-
miralty regulations the accident was mainly attri-
buted. The Court considered that no blame was
attachable to the accused, who, in their opinion,
had used every exertion in his power to prevent the
collision, and therefore acquitted him of the charge.
CHATHAM DOCKYARD.—The greatest activity
prevails in this establishment in getting ready the
various vessels on the stocks preparatory to the
launches, the first of which takes place in April.
The construction of several large screw steam ships
is so far advanced that they can be sent afloat this
summer. The Hobd is a magnificent first-class man
of war, carrying 92 broadside guns, and ono pivot
gun; from her fine shape and clear run she is
expected to prove a noble line-of-battle ship, having
a screw of 600-horse power. The shipwrights are
making preparations for her launch ; her launching
ways were placed on Saturday. It is expected that
the Charybdis, 20, screw corvette, will be launched
the same day as the Hood.
The following appointments have been made at
the Admiralty :—Lieut. C. J. Didham to the Royal
William for service in Ordinary, vice Oke, pro-
moted to the Reserved List ; John W. Elliot, sur-
geon, additional to the Nile ; Henry Liddell, sur-
geon, to the Fisgard ; and F. Seaton, master's
assistant, to the St. Jean d'Acre,