The Sun.
London, England, 1857-09-25 00:00:00

AMERICAN AFFAIRS.

We extract the following from a letter dated
New York, Sept. 12 : .
The long-pending negotiations between New
Grenada and the United States have ended—the
mountain has brought forth a mouse of an indem-
nity. treaty. The people murdered in the Isthmus
riots are to be paid for, those wounded are to be
indemnified, and a commission is to sit to deter-
mine who were killed and who were wounded, and
how much ought to be paid in each case. The
great political questions of difference are left as
before—or rather worse than before—for discussion
having been broached, and the parties having failed
to agree, each party will have the pleasure of ad-
hering all the more firmly to its own views. The
State of !Panama laid, and still lay claim to levy a
capitation-tag on passengers from the Eastern
United States to the Western passing through its
territory ; a severe tonnage-tax upon the shipping
of the United States coming to the transit ports ; a
heavy impost upon the goods passing in transit ;
and onerous postal charges upon the mailsfrom New
York to California. The right to levy these rates,
which have been resisted by the United States, is
left unsettled. This Government will not submit
to them. It avows that it considers all these ques-
tions settled by existing treaties, and if the New
Grenada authorities are so unwise as to provoke
the question there will be every disposition to en-
force the American construction. They say that
before American capital flowed through the Isth-
mus to the shores of the Pacific the track now tra-
velled by the locomotive was a wilderness, the
site of Aspinwall a deadly swamp, and the streets
of Panama overgrown with grass. The life and the
wealth which it now possesses are the offspring of
American enterprise. It is not right that after hav-
ing done so much for the country capital and enter-
prise should be further taxed for the support of a
set of lazy fellows who have not energy enough to
take care of theinselvv. But they say further, we
are not obliged to f4ll back on the natural rights
which the comity of nations gives io every Power.
These questions have already been determined be-
tween the two countries by existing treaties, which
the United States will enforce. New Granada, on
the other hand, plays lamb to the American wolf,
with this trifling exception, that it stands above the
wolf in the stream.

The "hard times" still continue. Each day some
new failures are announced. It would be worse
than useless to burden your columns with the un-
known names. The banks have been for a few days
back discounting more freely, but money is still
in so great demand that holders of Excellent
investments are obliged to throw them on the
market, and sacrifice them at present 'prices.
The Bank Stocks are now feeling the effect
of the pressure in this way. Bank of Commerce
shares, for instance, which commanded 108 not
long ago, now sell at 95, and other banks in pro-
portion. In fact, everything is locked up. Since
Michigan Southern and Ohio Life and two great
borrowers are out of the way the market ought to
be easier, but the effect of their stopping has been
to create such a want of confidence that business is
carried on with difficulty. The dry goods people are
the first to feel the pressure. I think I have several
times pointed out to you that they would probably
have trouble this autumn—though in saying this 1
certainly have no wish to claim to be a Cassandra,
or to have foreseen the present state of things.
Considering it as I do entirely unreasonable, with-
out a sufficient cause for its intensity, I have no
wish to claim the demerit of having been its pro-
phet. To go back to the dry goods dealers, they are
at present the heaviest sufferers, and in the worst
repute. The produce dealers stand next. Flour
must fall. They may try to keep it up by combina-
tion, but with a great crop in Europe and a great
crop in the West combinations will be useless. At
present the home clop is stationary, both because
nobody has money enough to move it, and because
all interested in it are disposed to hold on for
higher prices. But that state of things cannot last

The wheat must collie to marfier, the rail-
ways must have the transportation, the farmers
must have money to pay their grocers' bills and for
their wives' dresses—the first end of the hou,e that
Jack built. And when the crop gets out bread will
be cheap—the first and surest sign of returning
prosperity. On the whole I think things look better
than when I last wrote; and could one foreree the

course of Indian contest and the effect of the New
York cramp upon extended Western credit, we
might be disposed to think it sunshiny. The Banks
are discounting more freely, andtheir specie reserve
has increased nearly $3,000.000, and will show on
Monday between $12,060,000 and $13,000,000.
Specie keeps flowing in here from the country. So
far as the moneyed institutions are concerned they
feel decidedly better than a week ago. The two
things I have alluded to above give the principal
reason for fear in the future. New York is not
so very expanded for the amount of its capital, nor
is its real estate swelled to fabulous prices. But
there are little towns in the West where every man
considers himself worth half-a-million (in building
_lots), and gives his obligations accordingly. A
tumbledown there may react injuriously upon New
York ; but in no respect as it did 20 years ago.
This country is nowsolidly prosperous ; and though,
as in all times of prosperity, there will be over-
trading, over-speculating, over-gambling, and fol-
lowing checks, revulsions, and failures, and though
even some solid fortunes may tumble with the gorge-
ous palaces and cloud-capped visions of the gam bltrs,
the great agricultural districts are far richer than
ever before, the commercial towns have much
more accumulated capital than in any former crisis,
the manufacturers are rich, and the accumulating
capital of a single year can wipe out all the indebted.
ness that presses heavily—can, that, is if people,
instead of foolishly falling helpless in fright, will
put on a gentle but steady curb, and check instead
of stop. As to the other cause, the Indian troubles,
they are regarded herewith an interest second only
to that which they excite in London. We have no
sons fighting, no daughters being massacred, but
the intercourse between the two countries has been
so intim ete that there are few American gentlemen
have not more or less acquaintances in the British
army. And, even without the excrement of per-
sonal interest, no human being can read without
emotion the stories of the savage atrocities perpe-
trated in India. The commercial effect, too, of the
revolt is felt here almost as soonas in London. Leng
ago the electric wire of mutual interest was laid be-
tween two great monetary centres.

THE SULTAYS CONTRIBUTION FOR THE
RELIEF OF THE SUFFERERS IN INDIA.

The following is a copy of the correspondence
which has taken place between the Turkish am-
bassador and the Lord Mayor, with reference to
the relief of those who are suffering in India :
Bryanston-square, Sept. 23, 1857.
"My Lird Mayor,--I have the honour to inform
you that his Imperial Majesty the Sultan, my august
Sovereign, has been pleased to order the sum of 1,0001.
to be sent to me for transmission to you as his subscrip-
tion to the fund for the relief of the sufferers by the
Indian mutiny.
" Inclosing herewith accordingly a cheque for Ile
above amount, I have the honour to be, my Lard
Mayor, your very obedient servant,
" C. MIISIIBUS.
"The Right Hon. the Lard Mayor, &c. &o."

" Sir,—l have have had the honour to receive and
lay before the committee your Excellency's letter, dated
231 September, stating that his Imperial Majesty the
Sultan has been pleased to order the sum of 1,0001. to
be paid to me, as his subscription to the fund for the
relief of the sufferers by the mutiny of India.
"The committee have received with great satisfaction
the proof which this munificent donation affords of the
sympathy of the Sultan. Persons of every rel gion in
India are left to worship God according to their own
persuasion, without any interference ; and the govern-
ment is considered as a trust from Almighty God, a ith
a view to the benefit of the people. These fundamental
maxims will never be departed from, and,. with God's
blessing upon them, India will attain to a degree of
prosperity wnich she has never yet enjoyed.
"Tbe committee request that your Excellency will
convey to the Sultan their respectful and grateful ac.
knowtedgments for his contribution, and that you will
inform his Imperial Majesty how highly it has been
appreciated.
" I have the honour to be, sir, s our Excellency's
most obedient humble servant,
"THOMAS Q. FINNIS, Mayor."

His Excellency the Netherlands Minister is staying
at the Lews, Ross-shire, on a visit to Sir James and
Lady Matheson.
The Marquis Conyngbam and Lady Cecilia Conyng-
barn have arrived at the St. George's not. 1.
The Earl and Countess of Dunraven and family left
Farranc.:.'s Hotel, Belgravia, on Thursday, for the
tinent.
The Earl of Burlington will shortly leave Volker
on a visit to the Duke of Devonshire, at Chatsworth
House, Derbyshire.
Viscountess Maynard, who has been very much in.
disposed since her arrival in town, is somewhat better.
Lord and Lady' Rodney have arrived at the Bruns-
wick Hotel, Jerinyn-street.
The Count and Countess Jean Barikoffheanvteerlteafitntiehge
Brunswick Hotel, for Paris, en route for St. Pttersbnrg .
Sir Robert Peel, my., and Lady Emily Peel have
returned to Drayton Manor, where they are
a numerous circle of friends.
The Right Hon. Sydney and Mrs. Herbert arrived in
town t
sda
y a
seat,since, from Ireland, and left on Wed-
Wilton House, Salisbur—
nforfew
their days
A letter from the Black Sea announces tbat the
Russians have completed the fortifications of Yeui-
kale.