The New York herald., 1874-01-19

Peruvian Citizen Anxiety Concernfna
tho Relations Of the United states to
Cuba-Report OF . Declaration OF Wss
Against spafn-PoPular Rejoicing,
with Symptoms or Dfstrust-Presiden-
tiai War Against the Bank Proprie-
tary-Questfons Of Home Policy and
Foreign Diplomacy.
LIMA, Dec. 20, 1873
Awaiting with the utmost eagerness the news
from the United States regarding the attitude that
might be assumed towards Spain by the Cabinet
at Washington the people OF Peru were
sorely disappointed when, ON the l7th
inst' 1t was announced that some person
had cut the telegraph wires between
Lima and Payta Had the offending individual
oeen wlthn reach one Of the telegraph poles would
probably have been burdened with his body. Bus
all things have an end, On the afternoon OF tho
10th OF this month arrived the steamer Lima from
Panama, conveying the intelligence that the
united states had declared war against Spain, and
that powerful squadron under the Stars and
Stripes was, on the 1st inst, within sight OF Santt-
ago de Cuba, steaming rapidly towards that scene
Of the late dreadful massacre and murder. The
despatch was Immediately wired up from CallaO
to His Excelency President Pardo, and this func-
tionary-a thorough American at heart lethis other
peccadilloes be what they may-lost no time con-
graduating the Cuban representative here on the
hopeful prospect Of the colonial horizon Doubters
there always are-the telegram from Jamaica to
Colon was somewhat contradictory; an ultimatum
was spoken OF and 1t was stated that CASTELAR, had
given up Cuba to her fate, from the reckless in
subOrdnaton and dtsobedence manifested by the
blo0dthirsty volunteers We will know the truth
by the steamer due here on the 23d OF the present
month.
On the receipt OF the frst welcome despatch the
numerous CUBAN residents Of Lima class OF men
w in a al m Ia arlv ahn IN
larity and standing in Peru-might have been seen
at all the prominent loungmg places OF the city.
the ''Great Republic" 1t was noticed, how
Investigate the intimate convictions OF the Cubans
that there existed a certain dread regarding the
aate ac0m o ene as
sally demanded Unable to Iathom the policy OF
the American department OF State the interrog-
atory was not to be readily solved.
SOUTH AMERICAN POLICY.
The peculiar phase OF the imbroglo with respecs
to these republics of the west coast now arises.
They, 1t Is true have signed no armistice with
Spain; on the contrary, when the new state o.
aIiairs was declared in that most remarkable re-
public, Peru, Chil and Bolivia anxiously awaited
the steps that might be taken by the governments
Of the situation Nothing was done; the same satss
quo remains In force, and it is doubtful II the allied
Pacific Republics can prove to be Of advantage 70
their struggling sister OF the Antilles. Their Co
operation at all times weak, may not now be re-
quired; but 1t may be truthiully asserted that tho
Cuba, as lar as the circumscribed means at its
power may permit its action The telegram from
United States vii. I,t arrive until several hours
after the departure OF this despatch. To say that
our xety is at boiling point would not be under
rating the 1act
On the 18th instant decree was published by the
Executive which calls for the first forced loan ever
eXacted directly by a legal government Of Peru.
BY this instrument all banks issuing notes are
obliged to invest seventy per cent OF their paid.
up capital in the treasury bonds OF the republic
these bonds to be given at ninety-two per
deemabie at two TWO years from issue. the .re::
naming thirty per cent OF paid up capital
Bullion ana bans NOT CONFORMING e to this de-
cree viii be regarded as out OF the market by the
government, and its notes will not be received
treasures. No law governing banking institutions
exists in Peru. The perfect COED lait1 that has
established in the capital and In the provinces and
the intimate knowledge possessed by the holders
solvency and power Of these great contributors to
the public welfare, have to the present proved TO
Dey pc Sow tS the ora to sell is
bonds otherwise not disposable, threatens the
banks @ that tqey y 40 not 19s paper .ae
this unexpected measure with distrust and dis
taste. conflict is imminent
As has been already mentioned In previous COM
munications, the situation Of Bolivia remains un-
changed. An effort was made to bring forward
General Quevedo, prominent member OF the op.
position party, as candidate for the Portfolio Of
War; but, owing to the fears OF the Presidents ad-
visers, the plan failed. The extraordinary Con-
gress shortly since dissolved in Sucre, did all that
was possible to relieve the nation from some OF Its
financial embarrassments. The budget was re-
duced, to the detriment Of the State pensioners;
additional contributions were ordered on the ex-
portation OF minerals from the coast and Of live
stock from the interior; the small standing army
was economically distributed throughout the coun-
try thereby preventing colusion and conspiractca.
and last but by no means least, the health OF Colo
mel Balivian, the President, was improving
rapidly.
Perfect peace prevailed.