A.WI'AL REPORT —OF— HENRY D. MOORE, State Treasurer. READ JANUARY 8, 1861 To the Senate and House of Representatives of the Commonwealth of Pennsylvania:— Gk.ntl.kukn —ln obedience to the require ments of the Act of 16th March, 1832, iu refer ence to this Department, I herewith submit the following report for the fiscal year ending No vember 30th, 1861 : The disbursements and general duties of the Department for the past year have been largely in excess of those of any previous year in the hist ry of oui State. An unholy war and re bellion against the General Government, upon the part of a number of the Southern States of the Union, rendered it nec ss.iry for the Presi dent to call upon the loyal States lor aid to assist him in sustaining the Government, main taining the Union, and upholding the Constitu tion ana the laws. In response to that call, Pennsylvania has most nobly dune her duty, as is attested by a hundred thousand of her brave and loyal sons who are now in the field, sustaining her honor and assisting the Govern ment in crushing out this traitorous rebellion. The arming, equipping and sustaining such a large force as this by our State, has necessarily involved a large expenditure of money, and caused the vast increase of lal>or aud expendi ture of this Department to which I have alluded. Presuming that it will he more sitistactory to have the ordinary receipts and disbursements of the Department shown separate and distinct, from the war expenses, I respectfully report Available balance in the Treasury at the close of the fiscal year ending November 30, 1861.... $681,433 08 Receipts into the general fund for the last fiscal year 3,017 645 57 Total $3,609,078 65 Payments of the ordinary appro priations and general expenses of the State from December Ist, 1860, lo November 30th, 1861, inclusive $3,144,480 34 Available balance of the general fund, November 30, 1861 $554,598 31 By comparing the receipts into the general fund for the last year, with the receipts for the preceding year, it will be seen there is a falling off or deficiency of $461,611 74. This deficiency is mainly on the following items, viz: Tax on bank dividends. Tax on real and personal estate. Interest on railroad and canal bonds. The deficiency on aecouut of taxes is to be attributed to financial embarrassments and ' great depression of business, caused by the war in which our Government is eDgaged. On the 12th of April last, the Legislature by "An Act for the better organization of the Militia of the Commonwealth," authorized the Governor to negotiate temporary loans to the amount of five hundred thousand dollars to carry out the provisions of that act. Under this act temporary loans were obtained from the banks in Philadelphia to the amount of $475,- 000. On the 15th of May following, another act was passed, "to create a loan and to provide for arming the State " By the provisions of this act the Governor and State Treasurer were au thorized "to borrow on the faith of the Common wealth any sum not exceeding three millions of dollars, and to issue the bonds of the Common wealth for the same at six per centum interest per annum, and reimbursable at any time after the expiration of ten years from their date : Provided, That no certificate should be negotia ted at less than its par value." There being doubt upon the minds of some of the members of the Legislature, as also of the officers of the State government, whether a six per cent loan could at that time be negotiated at par, the Governor was authorized by the sixth se dion of the Act of 16th of May, "for the payment of members, &c., to advertise for proposdsfor the loau or any part thereof, and allot the loan to the highest and best bidders." On examination of these two acts by gentlemen conversant with financial matters, as well as by the Hon. At torney General of the Commonweal th, it was decided that they did not confer any power to negotiate the loan at less than its par value. In this situation of things, with a civil war exist ing against the Government, its very existence, as well as the capital of the nation threatened, and Government sixes under the panic then ex isting, selling iu the market at 15 per cent be low par. it seemed almost useless to undertake the negotiation of our State loan at its par value. In this emergency, by the consent of the Governor, I called upon two of the promi nent Banking Houses of Philadelphia, Messrs. Drexel, and Jay Cooke & Co., and after consultation with them, they agreed, with the assistance of this Department, to under take the negotiation ev.u in the face of all the difficulties surrounding it; and to the the credit of Pennsylvania be it said, that in this dark hour of our country's trial, and in the midst of an excitement such as the country had never before known, with the credit of the General Government rapidly falling in the mar ket as it then was, the citizens and corporate institutions of our Commonwealth most nobly responued to the fervent and patriotic appeal of those gentlemen, and vindicated the loyalty and patriotism of our people by subscribing to this loan at its par value, and setting a most noble example for her sister States, who were to follow her in like appeals to their own citizens. In this connection I cannot forbear expressing the thanks which are due to the bauks of the Commonwealth lor the promptness and liberali ty with which they responded to the call for this loan. But for their subscriptions the loan never could have been negotiated, and I deem it but an act of justice that this acknowledg ment should be made of their valuable assist ance to the State in the emergency then exist ing. 1 conceive it also to be my duty to say that in consequence of a doubt existing as to the power of the Governor under the Act to pay the gentlemen who rendered such eminent service in the negotiation of this loan, they have never received any commission or remu neration for their expenses or services. In view of these facts, and in consideration of the in vuluable services rendered the State by them, it is to be hoped that the Legislature will make prompt provision for the pay ment of their com mission by authorizing the Governor to dtuw his warrant for the sauie. The receipts and expenditures for Military or War purposes up to the end of the fiscal year, November 80, 1861, are as follows, viz: Amount received under tempo rary loan, Act of 12th April, 1861 475,000 CO Amount received under Act of Cash refunded by Paymaster and others 82,229 45 „ To, I *} $8,119,379 45 .Expended under Act 12th April, 1861 474,878 85 Expended under Act 15th May, 1861 1,708,462 68 Expanded under Act 16th May, 1861 170,535 61 Amount of tempo rary l<>an of 12th April, 1861, re paid 376 000 00 Balance on hand unexpended, November 80tb, 1861 $890,607 41 A detailed account of receipts and expendi tures will be found in the report of the Auditor General Amount outstanding against the Commonwealth, November 80th, 1861, of the war loans, viz: 1 Temporary loan, Act 12th April, 1861.. 100,000 00 War loan, Act 15th May, 1861. 2,612,150 00 $2,712,150 00 Amount of public debt funded and unfunded, November 30, i 1861 37,969,847 50 Amount paid during the fiscal year euding November 80tb, 1861 101.831 42 Amount of public debt exclu sive of war loan, Nov. 80th, 1861.. $37,868,516 08 By reference to the report of the Commission ers of the Sinking Fund, it will appear that $300,801 01 of tr,e public debt was paid during the year euding on the first Monday of Septem ber, 1861, at which time they are required by law to report to the Governor. On the 12th of Se. tember an account was presented to the Gem ral Government of expen ses incurred by our State for war purposes, up to the Ist of that month, amounting to about $1,515.000 00 On the 25th of November following $606,- 000 00 was refunded to the State, being 40 per cent, on the amount of account thus presented. There was therefore in the Treasuiy on the 30th of November, 1861, as follows, viz : Balance of general fund 554,598 31 Unexpended balance war loans . 390,507 41 Amount refunded by General Government 600,000 00 Cash from the society of Cincin nati 500 00 Balance in Treasury $1,551,605 72 The semi annual interest on the State debt, which will be due and payable on the Ist of next month will amount to nearly one million of dollais. It is gratifying to know that the State will be ready and prompt as usual to meet the interest on her obligations. How much of the balance in the Treasury may yet be required to meet expenses of < ur military operations is impossible to say, but the probability is that the unexpended balance will be sufficient for all those purposes, unless the State should receive a future requisition from the General Government for more troops. If no further requisition shall be made upon us, the refunded balance in the Treasury will then be applicable to the defeases of our State, the redemption of her loans, meeting the direct tax of the General Government, or such other pur poses as in the wisdom of the Legislature may seem most proper. By an act of Congress, approved August sth, 1861, a direct tax of twenty millions of dollars was levied against all the Statm of the Union. The quota of Pennsylvania, under that Act, is $1,946,719.33. Two modes of pay ment of this tax to the General Government are presented by the provisions of the Act. One is, that it may be paid by the citizens of each State direct to collectors to be appointed by the General Government; and the other mode, that the State may assume and pay the tax and collect it herself from her own citizens. I would respectfully urge upon the Legisla ture the assumption aud payment of this tax by our State, tor two reasons : First. The innovation of Government tax collectors among our people would be distasteful to our citizens, who would undoubtedly much prefer to pay the tax to our own State collectors in the usual manner. Secondly. Because the adoption of that coarse will save about three hundred thou sand dollars to the State, as an allowance of fifteen per cent, is made by the Act to all States who will assume the collection of said tax. L nder the supposition that the State will assume the tax, I would respectfully suggest a mode by which our citizens may be relieved from the payment of it for the coming year By a proviso in the 53d section of the Act afore said, it is allowed that this tux may be " paid and satisfied in whole or in part by the release of any State duly executed to the United States, of any liquidated and determined claim ot such State of equal amount against the United States." It is further provided "that iu case of such release, such State shall be allowed the same abatement of the amount of such tax as would be allowed in case of the payment of the same in money." I would respectfully propose that the claim of our State against the General Government for military expenses be "determined" as soon as it can te done, and that ihe Legislature shali au thorize a release to be made of such claim to pay the amouut of our State tax aforesaid. This would relieve us from imposing this tax upon our citizens for the present year, and it is to be hoped that by the time it would be ne cessary to levy such tax for any succeeding year, that the existing war and rebellion may be crushed out and the general business of the country will have recovered from its present de pression and financial embarrassment, and our citizens be better able to sustain the burthen of such a tax. In this connection 1 cannot but express the hope that our Representatives in Congress may be requested by the Legislature to take such action as shall put the expenses of this unholy war and rebellion upon the traitors who com menced and are now sustaining it; that they be lequested to support such measures in Congress as shall authorize the seizure and confiscation so far as it can be done constitutionally, of the property of the rebels engaged in this rebellion, to pay the war debt o( the Government, and thus relieve the loyal citizens and their chil dren lrotn the onerous burden of taxation which they will otherwise have to sustain for years to come. ihe State is holder of bonds of the Wyoming Canal Company to the amount of $281,000 00. Upon these bonds the interest was punctual ly paid up to the 15th of January last.— In July the company defaulted in its in terest due at that time aud it yet remains unpaid. Being informed that gome action was about to he taken by the bondholders to reorganize the company by a sale of the canals under the mortgage, I addressed a let ter to the trustees of the mortgage on the 80th of September, requesting that they would take no action in reference to a sale without first notifying me as the representative of the inter eat of the State in the matter. They refened my letter to C. H. Clark, E.-q., attorney for the bond holders, who informed me by letter that he was "fully authorized by the large bond holders to treat with the State for the bonds ti ? nd tha r U waß bis at) d their desire that the interests of the State should be properly protected to the same extent as other bond- M° r d X i- 18U h8equently had an interview with Mr. Clark, and ascertained from him that in consequence of suits having been instituted against the company, a receiver had been ap pointed, and a plan matured between the stock and bond holders to reorganize the company and that application would be made to the Court to grant a decree of sale. The action contem plated would result in a substitution of stock for the bonds held by the State, and a redac tion or loss of about ten per cent, of the amount of her bonds. I declined to act for the State in the matter, for the reason, that I had no authority to compromise or make any settle ment which would not realize to tfie State the lull amount ot her claim. Underffiese circum stances, I would respectfully recommend imme diate action upon the part of the Legislature to protect the interests of the State in this matter. At the last session of the Legislature an act was passed "to change the name of the Sunbury and Erie Railroad Company and to facilitate the eonipletiou of a railroad from Sunbury to Erie ' All the provisions of this act binding upon either the State or Company relating ! o the is suing. delivery, and cancellation of bonds. Lave been fulfilled by the respective parties, and the State now holds all the b nds of the company as specified in said act, excepting one million of the bonds authorized by the second section, which were delivered to the Philadelphia and Erie Hail road company on the 9th of May last, under a warrant of the Governor as authorized by the sixth section of the act aforesaid. My experience in this Department for the last year has satisfied me ot the necessity of a tuorough alteration and revision of our revenue 1 iws The burthen of taxation under our present system is certainly unequal and unjust. W ketber this arises from the inefficiency ot our laws entirely, or a laxity on the part of asses sors. collectors, and other officers in enforcing I their provisions, lam unable to say. When the fact is stat- d (which was alluded to by my predecessor in his last report) that the valuation of property of all kinds in our State, including money at iuterest, tax on offices, &c , is one third less than that of Ohio, and two thirds less than New York, it must be evident to every one, that properly in our State is either assessed at a mere fraction of its value or else that a very large proportion of property escapes taxation altogether. It hus been the boast of Pennsylvania for years, that our rich agricultural domain and our immense mineral wealth and resources, constitute us one of the richest States in the Union, and yet ac cording to the valuation of our property for taxable purposes, we are comparatively one of the pop rest. From facts which have come un der my own observation, I am satisfied that a large number of our wealthy citizens escape taxation almost entirely by reason of having their wealth mainly, if not exclusively in bonds and mortgages, ground rents, and other se curities which they fail to return for taxation, and which cannot be discovered by our assessors under the present system, thus throwing an un just and unequal amount of taxation upon real estate and other tangible property, and upon those citizens who are faithful and ju-t in the returns they make of their means and wealth. Ibis state of things should not exist; every citizen of this Commonwealth is protected alike in his person and his property by our Govern ment and its laws, and should pay a fair propor tionate share of the expenses of the Govern ment from which he receives such protection. By a joint resolution of the last Legislature the Governor was authorized to appoint a board of commissioners "to revise, collate, and dijestall acts and statutes relating to or touching the revenue laws," that commission was ap pointed, and it is to be hoped they will be ready to report some basis of action during the present session. I beg leave respectfully to refer to a matter affecting the honor and credit of our State, and to which reference was made by my predecessor in his last report; I refer to the law taxing her own loans At the time our citizens responds 1 to the call of the State and gave her the use of their money, it was with the express agreement and understanding that they were to receive interest for the same at the rate of five percent, per annum. Surely this obligation on the part of the State suould have remained sacred and inviolable, and 1 cannot but think that she suf fered in her character and reputation, when, without consent of the parties whose money she thus obtained, she repudiated her obligation by i educing that low rate of interest still lower by taxation. I cannot but express the hope tbat the State will do that justice to her creditors which they have a right to expect by repealing the law which is thus affecting her own honor and credit. The subject of guaranteed interest on loans to the Danville and P .ttaville Railroad Compa ny is one which should also receive the atten tion of the Legislature. A balance of interest is yet due to the holders of that loan, and the faith and honor of the State having been pledged for it, she should in this, as well as in all other matters, set her citizens an example of unim peachable good faith, by making an appropria tion to pay the balance of that interest. My predecessor has truly said, "It would greatly simplify the acconnts in this departme nt if the amount of State taxes assessed was charged directly to the county."and he might have added it would also save a large amount to the State, for in some counties the taxes have been accu mulating for years, until in the aggregate over a half a million remains unpaid. These taxes are handed down from year to year to new Treasurers as they are appointed, and some counties ere now behind mure than a whole years assessment. It is to be hoped that this subject will also receive the attention of the Board of Commissioners appointed on the reve nue laws. I herewith submit tables giving in detail the operations of this department for the last fiscal year, together with estimates of the receipts and expenditures for the present year; all of which are respectfully submitted. # HENRY D. MOORE, State Ireasurer. January Ith, 1862. Distress in Southern Kentucky-Ee bel Outrages. The Louisville Journal says: "Although we have from time to time pub lished abundant and painful testimony of the galling oppression suffered by the loyalists of Southern Kentucky, we believe that those of us who are happily at a distance from the rebel force, and the government whose high and sol emn office it is to relieve its suffering friends, should have their memories vividly refreshed by a renewal of the sad story of the robberies, outrages and desolation which exists in the lower portions of our State. Thousands of na tive born Kentuckians, who all their lives have been the ornament and the strength of this Commonwealth, and whose only offence is their love of country, have been chased, like wild beasts, from their homes by the blood-hounds of General Buckner. "A signal instance of rebel inhumanity re cently occurred in Cadiz, the county Beat of Trigg Major Matthew Moyes, an aged citizen of irreproachable and exalted character, and one of the ablest jurists in the State, was lately compelled to fly from his home, in consequence of the threats oi Henry Burnett's ruffians, to prot. ction from the Uni n troops at Smithtield. The scoundrels, chagrined at the unexpected flight cf the old patriot, instantly dispatched a messenger, who overtook him within a lew miles of Smithtield, and assured him that the secessionists had no intention of molesting him, and that they would give him the most solemn pledge of protection. Major Moyes paid no at tention to these fair speeches, and in a short time another messenger arrived, who warned him not to return, as the first messenger had been sent by 6ome bitter enemies, who would make quick work of him should he fall into their hands. He pursued his journey to Smithfield. He is a man of large property, and has been guilty ot loaning large sums of money to seces sionists, who wish to conceal their debts by lynching the creditor." MR. WEED writes from Paris to the Albany Evening Journal: "After breakfasting with Archbishop Hughes, I went with Mr. Sanfoid, who came up from Belgium in the night to the residence of the Consul, Mr. Bigelow, for con sultation. What struck us all, in comparing notes, with surprise, was the fact that nobody at home seems to regard the new trouble with England as serious ; or else, if you do under stand its bearings in regard to war with England, you are willing to encounter it! lam willing to say that I shrink from the thought of war, just now, with any European power, and espe eially with one so fully prepared for war as England." Pennsylvania Legislature. SENATE OF PENNSYLVANIA First District, Philadelphia. —Jeremiah Nich ols, ®C. M Donavan, George R. Smith, George Connell 2d. Chester arid Delaware Jacob S Seirell 3d Montgomery —* Jacob C. Smith. 4th. Bucks. —William Kinzey. 6th. Lehigh and Northampton. W Stine. 6th. Berks —°Hiester Ciymer. 7th Schuylkill —® B Rei Iy. Bth Carbon, Monroe, Pike and Wayne. —Henrv S. Mott. 9th Bradford, Susquehanna, Sulivanand Wyom ing —G Laudon. 10th. Luzerne. —W. W. Ketcham. 11th. Tioga, Potter, MKean and Warren.— l. Be son. 12th. Clinton, Lycoming, Centre and Union.— "11 Johnsou 13 th. Snyder, Northurnbe'land, Montour and Columbia . - F. Bound. 14th. Cumberland, Perry, Juniata and Mifflin E D. Crawford. 16 Dauphin and Lebanon A. R. Boughter. 16th. Lancaster. John A. Hiestand, William Hamilton 17th. York.—* A. H. Glatz. 18 h. Adams, Franklin and Fulton —A. K M'- Clure. 19th. Somerset Bedford and Itunlingdon. -S. S. Wharton 20th. Blair, Cambria and Clearfield. —Louis W. Hall. 21 st. Indiana and Armstrong. —J. E. Meredith. 22d Westmoreland and FayeUe —Smith Fuller. 23d. Washington and Greene —G. Y, Lawrence. 24th. Allegheny . - °John P. Penny, Elias H. Irish. 25th. Beaver and Butler. —De L. Imbrie. 26th. Lawrence, Mercer and Venango. —J. H. Bibinson. 27th. Erie and Crawford. —B. Lowry. 28 th. Clarion, Jefferson, Forest and Elk. —*o. L. Lamberton. HOUSE OF REPRESENTATIVES. Philadelphia lst District—Joseph Caldwell, 2d Dit-trict—Thomas Gaskill, 3d District—S. Josephs, 4th District—B. E lhompson, 6th District—Jus. Moore, Jr., 6th District—John M'Mackin, 7th District—Thos. Cochran, Bth District—W. L. Dennis, 9th District—G. A Quigley. 10th District —Thomas Greenbank, 11th District—J. \V r . Hopkins, 12th District— Richard YVildey, 13 th District—F. M'Man us, 14th District— James Donnelly, 15 h District— W F Smith, 16th District—T. W. Duflield, 17th District—C F. Abbott. Adams —J. Buzby. AlUyheny —Thomas Williams, T. J. Bigham, A. H. Gross, Peter C. Shauuon, William Hutch man. Armstrong and Westmoreland —J. A. M'Culloch, U. Graham, S. Wakefield. Beaver and Lawrence— William Henry, J. W. Blanc hard. Bedford and Somerset --G. W. Householder, E. M. Shrock. Berks —C. A. Kliue, D. K. Widner, W. N. Potteiger. Blair —Thaddeus Banks. Bradford -H. W. Tracy, C. T. Bliss Bucks —L B. Labar, J. R. Boileau. Butler — H. W. Grant, W. C. M'Coy Cambria —C L. Per-hing Carbon and Lehigh —T. Craig, Jr., W. C. Lich tenwallner. Chester —P. Frazer Smith, McClellan, W. Windle. Clarion and Forest —W. Divins. Clearfield, Jefferson, M'Kean and Elk —Dr. C. R Early, G. W. Zeigler. Clinton and Lycoming —J. Chatham, W. H. Armstrong. Columbia, Montour, Wyoming and Sullivan—L G. Tate, G. L. Tutton. C aw ford and Warren —E Cowan, S S. Bates. Centre —R. F. Barren. Cumberland and Perry —J. B Rhoads, J. Ken nedy. Dauphin —James Freelaud, Thomas G. Fox. Delaware —William Gamble. Erie —J. B. Vincent, E. W. Twitchell Fayette —D Kaino. Franklin and Fulton. —John Rowe, W. W. Sellers. Greene —P. Donley. Huntingdon —John Scott. Indiana. —James Alexander. Jun.ata Union and Snyder.— J. Beaver, H. K. Ritter /.ancaster. —H. C. Lehman, Nathan VVorley, James Myers, Abraham Peters. Lebanon. —Isaac Hoffer. Liuerne. —W. S. Ross, H. V. Hall, R. H. Russell. Mercer and Vmango. —M. C. Beebe, J B. Brown. Mifflin.— J. W. Ross. Monroe and Pike. —G. H. Rowland. Montgomery. —Joseph Rex, H. C. Hoover, Geo. W Wimley. Northampton. —D. H. Neiman, Aaron Hess. Northumberland. —J. W. Brown. Potter and Tioga. —3. B. Elliott, B. B. (Strang. Schuylkill. —James Ryon, Lewis 0. Dougherty, Adam Wolf. Susquehanna. —D. D. Warner. Washington —John A. Happer, William Hop kins. Wayne. —F. M Crane. York. —Joseph Dellone, A. B. Ramsey. *Newly elected members. Taxation in the United States. It appears from the census returns that there was, in all the States in 1860, real and personal estate to the aggregate value of sixteen billions, one hundred and fifty millions, six hundred and sixteen thousand dollars, on every dollar of which the government has a lien, for the pur pose of maintaining itself against all foes, for eign or domestic—or for any other govern mental purpose. Not a dollar of this vast sum that is not subject to taxation, and to sale for taxes, if the exaction is not promptly paid. But vast as the sum is, it is only part of the taxable wealth. Another unpublished table of the last census shows the value of personal property in the United States to be five billions, eighty-one millions, six hundred and sixty-one thousand doll ars—giving an aggregate of over twelve billions of taxable property. A well known financier and property owner of New York, writes to the Committee on Ways and Means the following proposition for taxa tion, expressing his own conviction of its wis dom, and its entire willingness to abide by it, so far as he and his estates are concerned. A tax of 1 per cent, on all real and personal property to produee, net, $110,000,000 The tariff —readjusted, 80,000,000 Excise (ales, cider and liquors), 26,000,000 Tonnage of $1 per ton on all ves sels, canal boats and railroad companies, (annually), 15,000.000 Stamps, 16,000,000 Income tax, 15,000,000 Legacies, transfers of real estate and of corporate stocks, 15,000,000 Tax on soap, candies, oil, gas, salt and other articles, on which it is easy and convenient to collect, 26,000,000 Aggregate (annually), $300,000,000 THE Lowell Cit teen says that it has been decided tj start up the eutire works upon the Merrimac corporation as Boon as the necessary repairs to the machinery, now under way, can be completed. One or two mills will probably start up this week, and others in the course of two or three weeks. This corporation, when fully under way, employs about 1,700 females, and between 700 and 800 males. From Fort Boyal and Beaufort. By the arrival at New York yesterday of the Catawba and Roanoke, we learn that Commo dore Dupont was evidently preparing f. r a new strike at the rebels. Arrangements were mak ing at Hilton Head, in the last week of Decem ber, fot a naval demonstration, the details of which cannot be published in full; the frigate Wabash and a large number of armed launches having been put in order and the latter tested, in the work of assisting and covering the land ing of troops The practice in the boats had been quite extensive, and it was fully under stood that a new de-cent was about to be made on the enemy's coast. The gun-boats were con centrating ; and so far as 'he naval part of the expedition was concerned, the preparations for an otfeusive movement were nearly, if not quite, complete. In this connection the facts concerning the ability of General Sherman's forces to follow up any attickof the armed vessels are interesting The General has kept his men busily at work upon THE FORTIFICATIONS AT HILTON HEAD These defences are now nearly perfected.— The entrenchment back of Fort Walker is des scribed as a splendid work, capable ot protect ing the fort and the quartets of the federal forces against very great odd-;. One thousaud men in the fort aud along the line of the works together with such assistance as could bo ren dered by a few gun-boats, could defend our po sition against any force the rebels are able to bring against it. As the force at Hilton Head, (independent of that at Beaufort and Tybee island.) is about twelve thousand men, at least ten thousand men could be spared from Hilton Head ; a force which, with General Steven's brigade at Beaufort, would be sufficiently for midable to accomplish the reduction of either Savannah or Charl stor, or (what is more like ly to be done) detent the considerable force of rebels assembled at Coosawhatchie, a place fa nriliarly known as the "junction," situated ou the Charleston and Savannah Railroad. THE OCCUPATION OF BEAUFORT. Although largo quantities oi provisions have been lauded at Beaufort from the transports, much more, indeed, than Gen ral Steven's bri gade of four thousand men, would be likely to need for a long time to come—no fortifications have been erected near the town. Ttie soldiers are regul trly encamped, occupying only their tents. The officers are quartered in the hou-es of the town. There is no evidence that Beau fort is to be defended by our forces as a perma nent position. The indications are that some point nearer Charleston will be chosen. On the 27th ultimo, aa order was issued by General Stevens directing that the town and ail the property within its limits be protected by a military mice, and forbidding the passage of any person through the lines unless provided with a pass from the Generai or the otncer of the day. The destruction of property in the town has entirely ceased. Becoonoissance ate making by our forces, rnauy of which are exteuded to the main land. In one of these the Eighth Maine regiment, early last week captured six rebel pickets, from whom, however, little inhumation in regard to the rebel force betwe n that point and Charles ton could be obtained, 'ihe me ; were taken to Beaufort and plac d under confinement. The Departure of Mason and Hidell [From the Boston Traveler.'] The departure of Masou and Siidell from Fort Warren yesterday was conducted as quietly as possible. The garrison, with the excvpiion of the guards of duty, were kept from the side of the fort where the prisouers' quarters are, and there were but few persons upon the wharf when they embarked. The other political pri soners, as they bade them good bye, congratu lated them on their release. Mr. Mason went off in good humor, ludeed, he has recently been in good spiri s, and has boroe his impris onment with the air of a philosopher. Mr. Siidell was somewhat sulky, and not at all pleaged at going in such an unostentatious manner, and in such a vessel. He evidently expected that a steamer would come here espe ciallv for them. Fart of his ill-nature may la owing to his health, which has not beeu good fur some weeks, keeping him pretty close to bis room, although he has not casled for medical aid The tug Starlight, with the four rebels, reach ed Provincetown a little before five P. M , and immediately proceeded to the English sloopof war Rinaldo, and transferred her passengers. Com. Hudson, who was in gharge of the ar rangements, went with them on board the English war vessel, and remained on board for about fifteen minutes, when he returned to the tug. At about six P. M., the Rinaldo got under way and proceeded on her voyage In about two hours afterwards a violent gale commenced, end blew all night at Pioviucetown, with al most the violence of a hurricane, but, as the wind was off shore, probably the safety of the vessel was not endangered During the stay of the Rinaldo at Proviucetown no communica tion was allowed with the shore, nor was any boat allowed to come alongside ANOTHER RAILROAD ACCIDENT.— A most binder ful Escape. —Another accident occurred at a rail road crossing near the Green Tree on the Penn sylvania road, on Tuesday last. Mr. David C. Lee, accompanied by his daughter, was crossing the track near the Green Tree, when, just as the horse had passed over, the engine struck the carriage, crushing it into fragments. Mr. Lee was thrown on to the cow catcher with tiie door at the carriage where, in a state of insen sibility, he was carried about four hundred yards. The engineer did not even know his whereabouts. The cars were stopped and Mr Lee was taken off and carried to the Green Tree where he remained insensible for some time. His chief injuries seemed to be about the throat and jaws but no bones were broken. The daughter was thrown off the track, but so close that the wheels passed over a portion of her clothes and her muff. She supposed herself under the cars and lay with her face close to the ground till they hid pa-sed along. She had a severe flesh wound on her arm and wa badly bruised about the face. This is one of the most singular accidents and wonderful es capes ever chronicled in the history of railroad casualities. Both the injured persons are doing well and have every prospect of entire recovery Of the wagon, nothing remains to tell that it was a wagon. The horse was not injured. THE newspapers state that a sketch of the battle of Bull Run has just been published in Richmond, being lithographed in Charleston. It was drawn by Captain Samuel P. Mitchell, of the First Virginia regim~nt It is nut much in the matter of art, being but poorly printed ; but it illustrates the plan of the battle, and' confirms the fact that Gen. McDowell's plan was both admirably formed and executed. The Confederates acknowledged that they w.re at tacked on their weak part and outflanked, when some unaccountable panic seized upon the Fed eralists. As a matter of justice to an able general, this evidence from the enemy is inval uable. A CTTHIOCS theory relative to the Trent affair has been started in Franca. It is that the sei zare of Mason and Slidell entered into a gen eral plan of rebel tactics for the success of seces sion. Iu other words, that it was a trap laid for our government, into which it incontinently fell. In proof of this, it is asserted that Capt Pcgram, of the rebel s earner Nashville, an nounced in England that Mason and Slidell would not arrive at their destination, and that the La Plata would brings news of ther arrest. It is also contended that the British government was ki the plot. IMPORTANT LETTER FROM SECRETARY CHASE. WASHINGTON. J an. 4. The following letter lias been a dressed to Hon. W P Fessenden, Chaitm&u of the Com mittee on Commerce of the Senate, and Hon Thaddeus Stevens, Chairman of the Committee on Ways and Means f the House. TREASURY DEPARTMENT, 1 Jan. 3d, 18t52. j Slß:— Tlie Act of Congiess passed on the 26th of December, 1861, directing that iroia and after the date of its passage certain duties in lieu of the duties before imposed, should be levied, collected and paid on tea, coffee and sugar imported from foreign countries, d d exempt from its operation tea, coffee and sugar previously imported ami warehoused ami wa- therefore regarded by iue as a direction to collect the duties prescribed on alt such im portations without exc ption, aud instructions were issued to the collectors accordingly. 1 beg leave, however, to dire, t your attention to the fact that where goods imported have been plao ed iu warehouses under the I,w and depart mental regulations the amount i.f duties h:is in each cise been estimated, though riot levied by the naval officer, an t the bond has been taken by the collector in double the amount of the dues thus estimated far their payment, and there is a general opinion among meichants that the faith of the Government is engaged for the delivery of such goods to the merchants on payment of the duties imposed by law at the time of the waiehouseing. If this opinion be absolutely well founded or not there is certainly something in the nature of the transaction which supports it It is my duty doubtless to execute the law as it is written, but in view of this opinion of the importing merchants, I respectfullg suggest the propriety of the adoption of a joint resolution directing the See retary of the Tieasury to permit warehoused goods to be withdraw on piyment of the duties imposed by the act of August 2nd 18t>i, and to refund any excess of duties above those thus imposed which may have been collected on goods already withdrawn. With great respect. Signed, S. P. CHASE, Sec'y of the Treasury. Too POOR TO IAKK A PAPER. —We have seen the man who was " too poor to take a pa|>er." He told us he was, aud. a few minutes after we were passing a bar room and ha i the curioi-ify to see how he economized in that pi ce. Ho called up. several of his companions and treated to whiskey. When about to drink, ho ejtcted a large quid of tobacco from his mouth. For the whiskey, he put down twenty live cents. Then he called for cigais and "handed them around'' for which he paid another quarter Hit se two items would have paid for h s papei two mouths aud would prove a benefit iu-tead of an injury. In the benefit his whole family uiight participate. Let us suppose that he spends as he is a social mail, only fifty cents a week for whiskey mid cigars for Limself and fi ieuds. He is also a chewer and will average at least, three Cents a day at that. The yearly bill would be, Whiskey slid cigars §l6 03 Chewing Tobacco 10 95 $36 95 This is what this poor man spends for what is worse than nothing ; but he is "tuo poor to lake a newtpajier. A SOLDTKR KILLED —The saddest accident that we have been called upon to record for some time, occurred on Saturday last. J. VV. Congdon, a private in Company A., Porter Guards, was instantly killed whilst standing upon the platform of the cars, on the Franklin Railroad as the noon train was passing over the Rock Creek Bridge near Chambersburg. He, with several others, bad been left behind on account of illness, and had so far recovered, as to be able to rejoin his nt. Coining in sight of the camp, and seeing a nunioer of his comrades in the distance, ho stepped upou the platform, and was in the act of expressing his joy by wiving his hat, when his head struck thetimbeisof the bridge. He fell from the cars through the bridge into the water, from which his body was immediately recovered and tken to Chambersburg. llr. CoDgdon, we understand, was among the tallest men or the Regiment, and was universally loved by the officers and men. He enlis'ed in Syracuse, N. Y., about three months ago. His residence we believe, was Red Creek, Wayne county, New York. IMPORTANT DECISION. —The long contested laud claim between James H. Lane an I Gains Jenkins, involving the title to a valuable quar ter s ctiou adjoining Lawrence, Kansas, has been finally decided by the Commissioners of the Land Office, Indian Department, and Sec retary of the Interior, unequivocally in favor of Gen. Lane. The merits of the case have been exhaustively presented on both sides by emi nent legal advisers, and involved the original parties in a personal conflict on the claim, re sulting in the wounding of Gen Lane and the death of Mr. Jenkins The case has excited great interest in legal circles, the various De partments, and the country at large. The final decision, vindicating Gen. Line in his right to the property, and in his identification with tho Jenkins tragedy, was rendered Dec 31, lSbi. The following day Gen. Lane preseuted to tho attorney of Mrs. Jenkins the sum of fifteen hundred dollars as a free will New Year's offer ing of kindness and sympathy ARRESTED FOR SEDUCTION ANO MURDER. —Prof. Austin, formeily Principal ot Boalshurg Acade my, a Minister ot the t-eceder Church, aud lat terly a prominent teacher of Common Schools, was on last Suuday ariested at Boalsiurg, in this c iunty, by a shrewd detective police officer irom the State of Michigau, on the charge of having seduced two females, and finally effect ing the death of the one, while the other is in a dangerous situation. It the charges be true, which we trust is not the case, aud the diaboli cal means by which he consumm rted the deeds, he cannot escape from being indicted for perpe trating an offense which seeks a parallel iu the criminal records. We do not now feel inclined to give further details couce.uiug the history of this horrible affair further thau to state the tact of his arrest on these charges.— B. Uthr.lt, Ct/ilrt C., Prut, Jan. 3. KINO COTTON IN PHRU.— The South American news by the Northern Lie in is c dculated to make the Cotton Lords of the C. S. A feel un comfortable. The British steamer Callao, at Panama, from Valparaiso, brought up a large quautity of cotton from Peru, cousigned to England, with the nnnouaceraent that a much larger amount is going round Cape Horn. This cotmn is said to be of superior quality, an 1 no efforts to raise a very large crop on the Peru vian coast, the ensuing year, wili be Sp ired. The rebellious American ''King Cotton" is thus threatened with a powerlul rival in a ntw quarter. WITHIN the past three weeks some of the southern cities have su Vred from couflig'a tioug to an extent wi h>ur a parallel. We g ve below the most disastrous hies, with the dates of their occuntnce : Dec. 12—Charleston, SB,OOO 000 Dec. 17—Greenville, A"a , 6'',o .0 Dec. 22—Nashville, Teun , 800 000 Jan. I—Pdchmond, 65 ouo Total. $8,915,000 COMMANDKB William lloni kendorf, of Penn j sylvania, has been appointed to the command of the United States sUamsLlp San Jacinto, I now at Boston.
Significant historical Pennsylvania newspapers