The New York herald., 1867-04-02

try First his power aud instruct ons second, coud-
fourth expenses OF loan fifth account drafts favor
Of Alsop Co. They think that there has been some
| swinding going on somewhere ana are uyins 70 una
| where
From Bolivia there Is much OF interest The VII
ages Umuala had been visited BY fear
fu thunder storm. which destroyed more than twenty
houses killed and wounded about hundred people
launch shot away from the iron-clad frigate
few days ago In Caao Bay, and now In government
| arsenal q trophy OF victory.
Custom House csao during lhe past year, without
| counting lumber, wheat coal, kc
All steamers from Panama ere put in quarantine on
arrival and letters and packages fumgated before
| coming ashore, for fear Of yellow fever.
Exchange on England BANKERS b.llS 4Skd to the
bard dollar or sol Exchange on the United Statss -
Ships bills, 80 days, 10 PEE cent discount.
The Truce and FsreiSn nlediation Rejected
Details Of the Offer 70 Mediate Made BY tho
United Statos-Tho Press the Subjecs OF
American Mediati0u-Causes Of Ill-will
Against the United States-Morc ScandaIeus
Reports Asont General Kilpatrick. Sc.
4e SANTIAGO. Chile, March l, 1857
The truce proposed by France and England to be
established between the allied republics this coast
and Spain has been finally rejected bv Chile. and that
subject, as well French and English mediation is
entirely disposed Of Some OF the newspapers stii harp
on The truce question: insisting that it has
been adopted by Chile but know that such the
casc. The relations between Chile and Spain roman
now IN the same condition that has characterized
them for the last year Mediation by the
United States may, however be accepted The history
Of offer Of mediation Chile Is have no doubt
similar to that Of the propositions to the other
begerents Upon the arrival of General Fitzpatrick in
Chile, year ago, he sought by all the means at his
command TO bring about an amcable negotiation be.
tween the Chile government and the Spanish Admiral
Aendez Nunez. The incidents Of the bombardment OF
vntn tbo cf
vent tha, outrage familiar the HxnALD's readers
After the spanish feet left Csllao French and English
mediation was offered This held under considera.
ton number OF months, and there is no doubt but
that Chile would have accepted il but for the firm
sstance OF Peru to such settlement. The Peruvian
Minister of Foreign Affairs visited Chile for the purpose
of preventing the acceptance of mediation by this gov
ernmen and soon after the Chilean Minister Of Foreign
Relations went Peru discuss with that government
the subject OF the and the best for bringing
it to honorable conclusion. In the meantime
Minister proposed to the Chile government that the
American Minister at Madrid and himself should meet at
Washington and arrange terms of peace between the al
lied republics and Spain, the terms to be submitted
the respective beigerents for their ratification. This
proposition favorably entertained by Chile the
Ministers Of Peru, Bolivia and Ecuador all expressed
the belief that would also meet the approval Of their
governments While this awaiting the decision of
the allies the proposition received from Mr. Seward
offering the friendly Intervention OF the United States
and suggesting that each of the bellgerents send
penpotentiary to Washington to meet in conference in
April This conference 1t proposed, should arrange
treaty Of peace which would be submitted each Of
the begeent for its approval rejection The
despatch reached Minister Valparaiso where the
Chilean cabinet sojournng through the season.
and presented Immediately to the Minister of
Foreign Relations who called meeting Of the Ministers
the evening General Fitzpatrick attended the
conference and explained the terms Of the proposition
Some Of the Ministers msapprehended the provisions Of
the offer Of mediation believing that the decision Of the
abi,er be selected by United States to settle
questions OF international law and courtesy which
the character of the treaty, and be obligatory
upon each OF the powers represented. This
until had been Conveyed we 70 several political friends Of
the administration, ana from thcm to the newspapers
The wrong impression created by this misunderstanding
OF the important features Of the proposition
by our government still exists among the masses Of the
people here tho newspapers having failed whether from
ignorance wilfulncss know n0t to remove by
planning the true character Of the proposed arbitration
But little said by the press the subject the Fevro-
expressed decided opinion The cabinet ministers and
diplomatic Representatives Of Peru Bolivia and Ecua-
dor express much satisfaction with offer OF our gov
ernment and only waiting TO hear from the rosrec-
tive governments of tho allied republics the subject
oSsn Of chile but being bitter sdvesary Of The Sdmn
istraton of President Perez, it is not 10
be apprehSsnd4ea 4a that its & opposition to media.
either with the government Of Chile the other
republics OF the alliance The principal obstacle to the
consummation Of the plans for Intervention bs gov
ernment exists in the recent misunderstanding between
the United States squadron in these waters and Peru
relative to sauting II seems that Admiral Dahgren
ed from tho Navy Department authority
suspend the usual coureses to Admiral Tucker, COM
for this measure was that Admiral tucker had ins1ed
the American navy by bis rude treatment Of Captain
stanley commanding the United States steamer Tusca-
sona affair." has already been explained the HERALp
and whatever report Captain Stanley may have made
the subject, the facts did not justify the matter being
noticed officially at ALL Now it appears, however, that
the for authorizing Admiral Dahigren
sauting Admiral Tucker that the latter is un.
paraoned REBEL Respecting the propriety Of this STEP
view Of all the crcumsances, have nothing to say
Its results that Peru has made the subject national
one and has ordered her ships and forts TO cease
sautng flag. OF course she will not listen to
propositions OF mediation by tho United States
as long the sAuting question the bitterness Of
feeling engcndercd by It remain unremeded; and there
is telling to what limits Chile may also so in SYM
pathy with her ally The suspension of couresies to
Admiral Tucker Is not only construed as being indg
nuy to Peru, but to Chile. as Tucker commands her
squadron also The Patrid Of Valparaiso, in speaking
OF the proposed arbitration and this difcuity, says;
"Untortuna,eiy for the government which manifests
termination, obstacle exists which will rtard for
time the negotiations preliminary to the proposed
obstacle Is the cooness produced BY the suspension Of
the customary couresies between tho North Ameri-
and Peruvian ships, originating out OF personal
difficulty between Admiral Tucker and the commander
OF of the United States vessels these waters The
North American Minister Chile is striving actively TO
bring about change in the prohibition to salute and to
disspae the amenabe in which the Navy Depart
ment OF the United states has decidedly fallen rcspec
ing the Peruvian flag II s without doubt that these ef
forts will not be tardy in producing their
good results, and that cordality will bc
re.established between the United States and Peru
Then there will be nothing TO impede government
In its advance by the of offered mediation OF the
international Congress Washington and OF arbitration
the last Another thing that has contributed In
great degree to the formation OF III will this coast
against United States has been the constant pubca
tion In the newspapers OF Peru and Chile Of articles
misreprcsenting the foreign policy Of government
Most of these articles evidently written by parties
seeking the rupture Of the friendly relations between
the United States and the South American republics
Not only this underground scheme going along the
coast but parties at Panama and New York also