The Sun.
London, England, 1861-09-30 00:00:00

AMERICA.

ARRIVAL OF THE ARABIA.
LIVERPOOL, SUNDAY.
The royal mail steamship Arabia, Captain Stone,
which left Boston on the 18th instant, and Halifax
on the 20th, arrived here this morning, at 10.45.
The New York Herald, of the 17th, gives the
following summary of the state of affairs :
" From Western Virginia the news is still en-
couraging. General Lee, with a very large force,
attacked General Reynolds's troops at Cheat Moun-
tains, but, after a long engagement, was success-
fully repulsed, with heavy loss. The Unionists,
fighting behind entrenchments, suffered but little;
and when after the engagement the scouts were
sent out, they found the rebels had retreated several
miles. General Cox's body of Kanawha Valley
Union troops had advanced some distance from
Ganley Bridge towards Lewesburgh, and Generals
Wise and Floyd were in full retreat eastward.
General Roaencranz was at Camp Scott, directing
the arrangements of the advancing forces.
" The news from Baltimore is very important.
A few more of the rebel members of the Maryland
Legislature were arrested yesterday by the Balti-
more police, and every effort is being made to secure
the whole of them. As it is, there can be no quorum
of the legislative body. Therefore the State can-
not now be forced out of the Union against the will
of the citizens, a majority of whom are still loyal.
" The rebel army before Washington is still re-
ported quiet, with the exception of a few trifling
shots exchanged between the pickets. The steamer

Satellite arrived safely at the Washington Navy.

yard, notwithstanding the assertion of the rebel
newspapers that the banks of the river are com-
pletely lined with their batteries, so that they can
close np the navigation of the same at any moment
they please.

" The reported proclamation of the Captain
General of Cuba continues to occupy the attention
of the State Department, notwithstanding the
denial of official knowledge thereof having been
made by the Spanish Minister.

"_Potter's Investigating Committee is still prose-
cuting its inquiries relative to the loyalty of the
Government employes.
" The intelligence from General Banks's column
is interesting. A smart engagement took place on
Sunday afternoon, opposite Pritchard's mills, three
miles above Darnstown, between the rebels, about
450 strong, and five companies of Union troops.
The contest was very spirited and lasted two hours,
re4ulting in the complete rout of the rebels, driving
them out of every house and breastwork they had
occupied, with a loss of ten killed and a number
wounded. The Union loss was only one killed,
arising, doubtless, from the superiority of range of
their guns.

From Fortress Monroe tidings have been received
relative to the constant chango of the rebel forces
at Sewall's Point, at last reports numbering only
500. A scarcity of provisions in the county is
doubtless the cause. A number of United States
vessels are reported off Old Point.

" From Leavenworth, Kansas, intelligence has
been received of an engagement between Colonel
Montgomery, with 500 Kansas troops, and General
Rains, with between 2,000 and 3,000. The latter,
having several pieces of artillery and superior
numbers, proi•ed too formidable for the former,
who had but one howitzer. Notwithstanding
these disadvantages, the Union men kept up a run-
ning fight whilst slowly retreating, causing serious
loss to the rebels. Nightfall setting in, Colonel
Montgomery made good his retreat towards Leaven-
worth.

F " A vessel, said to have run the blockade at
Galveston, reports a great amount of distress pre-
vailing throughout Texas.
" A privateer, mounting four guns (6-pounders)
was reported as having arrived at the port of
Minititlan, Mexico, about the beginning of the pre-
sent month. The privateer Sumpter was reported
at Surinam on the 21st ult. threatening. to fire the
town unless she was supplied with coal. _and provi-
sions, of which she stood much in. need."
The New York Times says :—" From Washington
we have a confirmation of the rumour that has been
prevalent for several days in a variety of phases, of
a difficulty between the President and General
Fremont, that seems likely to result in the removal
of General Fremont from his command. Such a
step, if the affair should have that result, will excite
a very general feeling of regret."
The Richmond Examiner of the 9th September
says :—" Jefferson Davis had so far recovered from
his severe illness as to be able to take an airing in

•
his carriage."
The New York Evening Post states that it is
rumoured at Washington that the offer of the Ame-
rican Government to accept the propositions of the
Paris Conference, relative to privateering, has been
rejected by the European Powers.
The Maryland Legislature met on the 17th.
Only eleven members answered the roll in the
house, and not a single member answered in the
Senate.

All the banks of New Orleans suspended specie
payment on the 16th September.
The Secretary of War in the Confederate Cabinet
has resigned, in consequence of bad health.

A telegram, dated Jefferson City, Missouri, Sep-
tember 17th, says :—" A man who arrived hero to-
day states that on the 14th General Price, with

17,000 men, had surrounded Lexington, and had
sent a summons to Colonel Mulligan to surrender.
Colonel Mulligan refused, when Price is re-
ported to have sent back word that he would
give him until Monday, at four o'clock, to surren-
der, and if he did not he would march on him with
a black flag. It is confidently thought in military
quarters here, that General Sturgis has by this
time reached Lexington, from St. Joseph, and that
General Price will be cut off or forced to retreat.
Quite a panic prevailed at Georgetown on the re-
ceipt of the news from Lexington, and many fami-
lies fear an attack by the rebels.

By telegraphic advice via Halifax, we learn that
the above threatened attack was made, and resulted
in the defeat of General Price, and a reported loss
ort the Confederate side of 4,000 men. Tke Fede-
ral loss is said to have been 800.

Governor Magoffin has issued the following pro-
clamation, in obedience to the subjoined resolutions,
adopted by the General Assembly of the Common-
wealth of Kentucky :—" The Government of the
Confederate States, the State of Tennessee, and all
others concerned, are hereby informed that Ken-
tucky expects the Confederate or Tennessee troops
to be withdrawn from her soil unconditionally."

A telegram, dated Frankfort, Sept. 17, says
In the House to-day a message was received
from Governor Magoffin, communicating a tele.
graphic despatch from Gen. Z)llicotfer, announc-
ing that the safety of Tennessee demanded the oc-
cupation of Cumberland, and three long mountains
in Kentucky, and that he had done so, and should
retain his position until the Federal forces were
withdrawn and the Federal camp broken up ;
also a message from Thomas C. Reynolds, lieute-
nant governor of Missouri, asking what course
Kentucky intended to take in view of the occu-
pation of the Mississippi river, below the mouth d

of the Ohio, by Federal forces, in violation of her
nationality."

The New cork Herald, in a leader, speaking of
the secret naval expeditions now fitting out for
the South, says :—" It has been rumoured for
some time that there were other secret ex-
peditions in contemplation against the southern
coast besides that which resulted so success-
fully at Hatteras Inlet, on the coast of North
Carolina; and, within the last few days, mysterious
notes of preparations were heard which went far to
show that those rumours were not without foun-
dpion. But movements have now taken place
which leave no doubt on the subject, even if we
were not placed in possession of facts we are not
now at liberty to mention, but which satisfy that
there is something in the wind. It had been re-
cently stated that those monster steamships, the
Atlantic, the Baltic, and the Vanderbilt, had been
chartered by the Government for some secret naval
service, at the same time other transports, previ-
ously engaged, had come to this city for the same
purpose. The transports have suddenly disappeared,
and with them, as suddenly, several regiments en-
camped on Long Island, at Scarsdale, Camp Winfield
Scott, Hampstead, at Fort Hamilton, and other
points. The New Hampshire Regiment, which was
missed from its camp on Sunday, was seen to take
the cars of the Long Island Railroad early in the
morning, and it is ascertained that it proceeded to
the terminus of the road at the other end of the
island. Everybody who witnessed this movement
felt astonished. What, it was asked, can troops
be wanted for in that region? But the appearance
of the Atlantic off Greenport soon solved the
mystery. The troops were taken on board, and the
ship steered in a southward direction. Of the pre-
cise destination of these troops, and of the other
regiments—in all from 6,000 to 10,000 men—we
cannot inform our readers. It is a Government
secret. But we may state generally that it is un-
doubtedly the Southern coast. There are at least three
naval expeditions afloat, and all the available troops
on the Northern coast will be sent in one, or the
other of them. General Butler went to Boston
to send forward troops from that direction, and he
is to command one of the expeditions himself. In
the course of three weeks, perhaps, 60,000 men will
have landed at different points on the Southern
coast, where they will act in co-operation to the
same end, and penetrate to the very heart of the
cotton region."

A Louisville telegram says :—" Serious fears are
entertained for the crops of the South. The rains
of August are reported the heaviest and most gene-
ral ever known, and were very disastrous. The
Savannah Republican claims fair rice crops, but
admits that continuous rains have damaged them
somewhat. The Baton Rouge Advocate says that
the cotton crops of that vicinity are literally
covered with the army worm, and that the fate
of the crop will be sealed in a few days, for the
rains and heavy atmosphere are favourable to the
workers."

The weekly averages of the New York City
Banks present the following changes from the pre-
vious exhibit :—Decrease in loans, 3,097,779 dols. ;
decrease in specie, 4,357,818 dols. ; decrease in cir-
culation, 97,961 dols. ; decrease in undrawn depo-
sits, 7,330,185 dols.