The New York herald., 1861-12-30
THE SITUATION.

TIIE SITUATION.
No Official action has been had in relation to
the surrender of Mason and slidel. It does not
seem probable that Lord Lyons will put them on
board British war vessel, as his government does
not regard the persons of the rebel emissaries as
OF any Importance, but merely looks to the
principle of the right Of search involved in
their capture, and settled by their surren.
der. 1t is likely that they will go to Europe in
Cunard steamship which leaves Boston on the 9Th
proximo. If however, after their release they
shall be found on United States soil, they will be
subject to arrest by the United States Marshal as
traitors to the government
With regard to the delay in not telegraphing the
correspondence between Mr.. Seward and Lord Ly-
ons to the New York papers on Friday night instead
OF ON Saturday, it is stated that it was kept back
to avoid the possibility of serious blunders being
made and sent forward in the steamer of that day.
which might unnecessarily create new complica-
tions among the people of Fagland before the 60
vernment dispatches appeared.
review of General McDowell's division was
held on Saturday, at Balls Cross Roads, after
which the troops had sham battle. Governor
Curtin reviewed General McCall,s division yester.
day, at Langley, accompanied by Secretary Came.
ron and Colonel Scott. The troops, on both occa-
sions, made a creditable display
The army on the Potomac remains quiet.
BY the arrival Of the Empire City from Beaufort
and Port Royal with dates to .he 25th instant, we
have some very interesting news from that quar-
ter. The village of Bluffton, which is about the
same size as Beaufort was occupied by the Union
troops. under General Stevens on the Gath instant
The rebels had previously abandoned it. The En-
pire City came through the southeast channel, and
found thirty feet Of water there. Our correspon-
dence from Hilton Head, which we publish to-day,
will be found of the highest interest," embracing as
1t does, the recent active movements of our feet
aud army in that vicinity, which have been mark
cd with continuous success against the rebel bate
ries.
Our news from Nassau, New Providence, by the
same conveyance is also interesting. stirring
correspondence has been going on between the
American Consul at that port and the British Gov
States vessels and the British steamer Gladiator
have received from the authorities. While the
United States gunboat Flambeau was denied coal
and other accommodations, it appears that the
Nlal ALL
arms and ammunition to schooners bound for
Southern rebel ports with the full knowledge of the
British officials. Four rebel vessels laden with
cotton and rice, from Charleston had recently ar.
rived at Nassau-among them the Theodore and
Isabel, with 900 bales Of cotton all flying the
rebel flag, and all having run the blockade of
Charleston harbor. despatch received at
Charleston from Augusta, Georgia, dated the 9th
says that the Gladiator had safely entered some
Southern port, name not stated. This rumor, how.
ever, is improbable.
The news from Missouri contains intelligence of
another success for the Union arms. On Saturday
General Prentiss, with four hundred and fifty men,
dispersed nine hundred rebels, under Colonel Dor.
sey, at Mount Sion, Boone county, killing and
wounding one hundred and fifty, and taking thirty.
five prisoners, ninety-fve horses and one hundred
and five guns, with loss on our side of only three
killed and eleven wounded. The rebels are con.
tnuing their depredations on the North Missouri
Railroad. They burned another train on Satur-
day. and they boast that they will destroy every
car on the road.
At meeting Of the bank representatives, held in
this city on Saturday it was decided unanimously
to suspend specie payment to-day. This decision
was como to in consequence Of the fact that de-.
postors have been drawing out coin and slowing Il
away in order to sell it at premium thus trading
in the exigencies Of the government. The heavy
drain upon the banks for the past few weeks has
rendered this movement necessity.
The mails of the Niagara bring full details Of the
pews from Europe to the 14th instant. Lon.
tl0 correspondent indicates, in special letter
= y. 'fachester Guardian, that even the release
q Slidel will not cause England to
a3ats fcr "..r T.. 3an'ons; and he intmates that
- %ni, uAl.. &C.. c:s2 instances, consider the