The Sun. — 1862-10-14 (London, England)

MURDER OF GENERAL NELSCN.  LOUISVILLE, KENTUCKY, SEPT. 29.—The Galt House, at about eight o'clock this morning, was the scene of a terrible affair, in Consequence of a difficulty between Brigadier-General Jefferson C. Davis and Major-General Nelsen. It appeal s that there has been a difficulty between the parties for some time. General Nelson was standing in the office of the Galt House when General Davis approached him and spoke to him. General Nelson refused to listen to him, and used some insulting language. General Davis immediately borrowed a pistol and followed General Nelson, who was going upstairs to his room, and while on the stairs General Davis shot him. The ball entered the heart of Gen. Nelson, who walked into his room and was laid on a mat• trass, where he in a few minutes afterwards expired. There are many conflicting accounts of the shooting of General Nelson by General Davis. About a week ago Nelson placed Davis in command of the Home Guard forces of the city. At night Davis reported to Nelson the number of men working on the intrenchments and enrolled for service. Nelson cursed him for not having more. Davis replied that ho was a general officer, and demanded the treatment of a gentleman. Nelson, in an insulting manner, ordered him to report at Cincinnati, and told him he would order the provost-marshal to eject him from the city. This morning Governor Morton of Indiana, and General Nelson were standing near the desk in the Galt House, when General Davis approached, and requested Governor Morton to witness a conversation between himself and General Nelson. He demanded of Nelson an apology for the rude treatment he had received last week. Nelson being a little deaf asked him'to speak louder. Davis again demanded an apology. Nelson denounced him and slapped him on the face. Davis stepped back, clenched his fist, and again demanded an apology. Nelson again slapped him in the face, and again denounced him as a coward. Davis turned away, procured a pistol from a friend, and followed Nelson, who was going upstairs. Davis told Nelson to defend himself, immediately thereon firing. The ball penetrated his left breast, and General Nelson died in about 20 minutes.  We add to this interesting letter the following latest intelligence from New Orleans : " From New Orleans we have advices to the 20th ult. General Butler had issued an order forbidding the transfer of property or rights of property, real, mixed, personal, or incorporeal,—except necessary food, medicine, and clothing, either by way of sale, gift, pledge, payment, lease, or loan, by any inhabitant of the department who has not returned to his or her allegiance to the United States, the person transferring and the person receiving to be punished by fine or imprisonment, or both. All registers of transfer of certificates of stock or shares in any incorporated or joint-stock company, or association, in which such person had any interest, were likewise forbidden." None but loyal subjects were allowed to draw a cheque upon a bank. British subjects were desirous of having one or two of her Majesty's ships at that port for the protection of their interests. " On the 13th a force of 250 was despatched from New Orleans, under Major Strong, to look after a Confederate force under Jefferson Thompson, which was said to be at Pynchatoola. On reaching that place they found it strongly defended. It was, however, assaulted, and the Confederates routed. Jef PIIILADELPHIA, Monday, Sept. 29.—A special despatch to a morning paper, of this city, says that General Nelson called General Davis " a cowardly son of —," when General Davis fired at him and killed him.