The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1869-02-06
PERU.
Depl0rnble Condition Of the Einances-Mili.
tary Anairs-Peace with Spain-Diplomatic
Appointments.

Deplornble Condition Of the Finances-Mili-
tnry Anairs-Peacc with Spain-DipIomatic
Appointments.
LIMA, Jan. Ia, 1862
The finances still continue in most deporable
condition. Congress has approved 0; the budget
which shows an estimated deficit Of 100000 Of
soes in the operations OF the next two years.
Enough money has been procured from the guano
companies to carry on the administration for the
ensuing three months, and after that time new loans
must be effected Congress has taken one step in
the right direction, in refusing to pay the bonds
issued by revolutionary cheftains who have always
held TO the custom OF raising money bits u paper
payable by the State the OF their schemes
at an interest and rate absolutely ruinous. This
excludes the bonds issued by Balta and Canseco
in the late revolt and although measure likely to
produce trouble Is certainly worthy OF praise.
Colonel Balta gave striking instance OF his de-
termination not TO suffer any attempts at revolution
TO 60 UNPUBLISHED AT review OF the first battalion
held in Lima some days since. The colonel OF the
regiment informed him that there were two officers
IN the corps who loudly expressed their discomfort
and emnity towards the present government, and
begged the President TO take some steps concerning
their reproval. Balta ordered file Of soldiers out,
with fixed bay0nets and charged muskets, and then
assembling the officers OF the battalion desired the
offenders to make themselves known. This they In
stantly did, and the President, latter having asked
them II their sentiments were antagonlstc to hun,
i
quired II they desired to continue In the same
opinion. They replied again afnrmatively, and
ana dismiss them g raln ~ tner
President remarking, at the same time, that he con-
sldered 1t highly dshonorable for any soldier TO be
plotting against the government from which he re-
ceived his pays and which he had pledged himself TO
support, and that he would tolerate no such sub
We viii soon have a telegraph line. partly land
and partly submarine, laid between Lima and
Panama, thus reducing the time between New York
and INN al rhf l.Ua.
100000 to a Peruvian company formed to extend
lines throughout the republic, aud tue government
same direction, "a ship having been chartered IN
Guayaquil to convey the material 10 the coast. The
line can be Land for trining cost and will no doubt
prove profitable, aided as II viii be by subventions
from both governments and possibly by those Of Co
lombla and Chic. The Peruvian company have
referred have laid nearly 800 miles Of wire since
January, 1865 and are pushing their lines forward
In all directions The railways projected and being
N hs oS s nso Z very salts
every support 70 this species OF material advance
menf.
Your correspondent Is reliably informed that the
offer OF mediation made by the government OF the
United States to Spain ana the allied republics OF the
some time past the Ministers OF Csie and BOLIVIA
resident In LANA have been holding conferences with
the Secretary OF Foreign Affairs upon the subject
stton was not accepted when made nearly two years
ago was the dissemination on the part OF chile IN
wpe Out e outrage 70
she enters into an agreement 20 send plenipoten.
uaries to Washington for the purpose OF arranging
first an armstice, and then to treat with Spain re.
garding lasting peace. The armstice will be con-
cluded on condition that hostilitics cannot be
renewed by either OF the contracting parties
until q notification OF Two years' length has been
given. IL certainly is time that the present paper
war should be settled. and the success OF the media.
ton OF the United states IL due, In great measure
TO the efforts OF the Minister from Ecuador, which
country suffers than her allies from the exist
ing state OF things.
Mr.. Garcia, VINO has 80 long and 90 ably repre-
scented Peru 10 the United States Is to be relieved by
Colonel Manuel Freyrc, who has recently been
Minister to Bogota This change Is attributed 70 the
desire OF the government TO employ Mr.. Garcia
here IN some important Affairs since with
the departure of the Peruvian monitors from
American waters there are no weighty matters
before the Peruvian Legation In Washington. DR..
Benigno Win has been sent TO Chile as Charge d'Af-
faires to relieve Mr. Moreyra, who gves 10 Bolivia.
II II rumored that Mr.. Barrenechea, the present
Secretary Of Foreign Relations will shortly be named
as rlenipotentiary TO France and England.
Congress has referred the project OF q mixed COM
mission FOR the arrangement OF American claims on
Peru 10 the Committee on Foreign Affairs, and II IL
probable that the matter viii be speedily and salts.
factorily disposed Of The Legation here has been
unremittng IN It's efforts to procure settlement OF
these claims which, though not 30 important as
those originating from the Alabamas :ruse, are stin
Of character equally grave ana weighty.