Indiana American, Volume 22, Number 51, Brookville, Franklin County, 8 December 1854 — Page 2

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BROO KVILLE. INDIANA rillDAYi DECE.11DCU t, 184. CT SIX OLE COPIES of the IXDIAXA AXEIZICAXttknUUd at tili i odce, neatly enveloptd and prt paid with stamp at fivt ttnti euch. (Ö""Tht Mesisgt I tht alsorbinsab Jc bis week tht Jcua Dchoit In tend to mikt is oyster supper on tht 224 Pork It $i in Cincinnati. PRESIDENT'S MESSAGE: FiUoxe Ciiiitns of the Stnatt, and Eoutt cf Riprtitntatvtt: Tht past has been an eventful year and will be hereafter referred to mi a marked epoch in the history of the world. Whilt we hav j been happily preferred from tht calamitietof war, our domestic prosperity has not been entirely uninttrupted. Tht crops in portion of the country have been nearly cut off. Disease has prevailed to a greater extent than usual, and tht tacrine of human life, through asualü by tea and Und. i without a parallel. Bat the pestilenco has twept by, and tht restored salubrity invites the absent to thtir homes and tht rttarn of business to its ordinary channels. If the earth has rewarded the husbandman less bountifully than la former years, it has left him abundanee for domestic wants and a large surplus for txportation. In the present, theiefore, as in the past, we find amnla trround for reverent thankful- ... to ihm God of Grace and Prov ide art fo. Iii protecting care and mcr oiful dealings with us as a people. Although our attention has been ar rested by paiufuliutercst in passing Tents, vet ourcountry feels no more than the slight vibrations of the conrulsions which have shaken Europe. At individuals we cannot repress sym pathy tor human suffering nor regret fnr th cxu? which produce it. As a. nation wt are reminded that what eTer interrupts the peace or checks the prosperity of any part of Christendom tends more or lees to involve onr own. The condition of states is not unlike that of individuals. They axe mutually depend ntfupon each other. Amicable relations between them and reciprocal good will aro. essential for the promotion of whatever is desirable m their moral social and political condition. Hence, it has been my earnest endeavor to maintain peace and friendly intercourse with all cations. The wise theory of this government to early adopted and steadily pursued of avoiding all entangling alliances, has hitherto exempted it from many complications in which it would, otherwise, hm become involved. Notwithstanding our clear and well defined course of action, and our geographical position bo remoto from Europe, increasing disposition has been manifesetd by some of its governments to supervise, and ia some respects, to direct, our foreign policy. In plans for adjusting tho balance of power aznong themselves, they have assumed to take us into account, ,and would constrain us to conform to their views. On or another of tho power of Euro ne have from time to ti mo underta ken to enforce arbitiary regulations contrary to the established principles of international law. That law the United States have, in their foreign intercourse, uniformly respected and ob served; and they cannot rccognizo any such iQ'orpolation therein as tho temporary interests of others may suggest. Thev do not admit that tho sovereigns of one continent, or cf a particular community of sUtes, can legislate for others. Leaving tho trans-atlantlo cations to adjust their political systrm in the way thev mayihiidi best for thctr common wrlfarc, iha independent powers of this continent may well assert their right to be free from all annoying interference on their part. Systematic abstinence from intimate political connexion with distant foreign nations, does not conflict will giving the widest ranrc to our foreign commerce. This distinction, so clearly ranked in history, seem o have been overlookforeign states. Our refuial to bo brought within, and subjected to their peculiar system, has, I tear, created tv jealous dtstiusl of our conduct and induced on their part occasional acta of disturbing effect upon our foreign relations. Our present attitude and past course -give assurances, which should be undoubted, that our purpotea are not aggressive, nor threatening to the safety and welfare of other nations. Our military establishment; in time of peace, is adapted to maintain exterior defences, and to preserve order among the aboriginal tribes within the limits of the Union. Our naval force is intended only for (he protection of our citizens abroad, and of our commerce, diffused, as it is over all the seas of the globe. The government of the United Slates being essentially pacific in policy, stands prepared to repel invasiin by tho voluntary service cf a patriotic people, and provides no permanent means of foreign aggression. These considerations should allay all apprehension that we are disposed to encroach on tht rights or endanger the security of other states. Pome European powers have re garded with disquieting eoncern the territorial expansion of the United States. This rapid growth has result ed from tho legitimate exercise of sovereign rights belongi.ig alike to all nations and by many liberally excrcis ed. Under such circumstances i could hardly have been expected that those amon? them which have within a comparatively recent period subdu od and absorbed ancient kingdoms, planted their standards on every con tinent, and now possess or claim the control of the islands of every sea as their appropriate domain, would look with unfriendly sentiments upon the acquisitions oi this'country, in every instance honorably obtained, or would feel themselves justified in imputing our advancement to a spirit of aggression or a passion for political predominence. Our foreign commerce has reached a mafcitudo and extent equal to that of the first maritim power of the earth, and exceeding that cf my oilier. Over this great interest, in, which

not only our merchants, but all classes

01 our citizens, at Uatt indirectly art concerned, it i tht duly of the executive and legislativ branches of tot government to exercise a carefu) supervision, and adopt proper measures for its protection. The polier which I have had in view, in regard to this interest embraces its futur as well as ita present security. Long experience has shown that, in central when tht principal power of Luroptare engaged in war, tue nguts of neutral nation art endangered.This consideration, led, in the progress of the war of our independence, to tht formation of onr celebrated confederacy of armed neutrality, a priniury object of which was, to assert the doc trine, that tree ships mako rret goods, except in the case of articles contra-! band of war; a doctrine which, from from the very commencement of our national being, bns been a cherished idea of the statemcn of this country. At one period or another, every maritime power has by some solemn treaty stipulation, recognised that princi ple; and it mighthavo been hoped that i it would como to be universally reI'cctcd as a rule of international law. But the refusal of one power preventted this, and in tho next grat war vi Lieh ensued that of the French rev olution, it failed to be respected among I a - sr me oewgerent states oi jcurope. Notwithstanding thii, the principle is generally admitted to bo a sound and that at tlio commencement cf the exis ting wiir in Europe, Great Britain and France announced their purpose to observe it for the present; not, however, ms a recognized international right, but as a mere caneesiion for tlio time being. Tho co-operation, however, of these two powerful maritime nations in the intermi t of neutral rights, appcared to rao to afford an occasion, invuinir and iustifvihir. on the nart of the United States, a renewed effort to make tho doctrine a principle of international law, by means of special convention between the several powers of Europe and Americu. Accordingly, a proposition, embracing not only the rule, that free ships mako free goods, except contraband articles but alio the less contested one, that neutral property, other than contraband articles, though on board enemies ships, shall be exempt from confiscation, has been submitted bv this government to those of Europe and America. Russia acted promptly on this matter, and a convention was concluded, betwen that country and the United States, providing for the observance of the principles announced, not only at between themselves, but also as between them and all other nations, which shall enter into like vtipuiaiions. None of the other powers have as yet taken final action on the subject. I am not aware, however, that uny ob jection to the proposed stipulations has been made; but, on tho contrary, they are acknowledged to, bo essential to the security of neutral commerce, and the only apparent obstacle to their general adoption is ia the possibility, that it may be encumbered by inadmi isible conditions. The King of tho Two Sicilies has expressed to our Minister at Naples, his readiness to concur ir. our proposition relative to neutral rights, and to enter into a convention on that subjest. Tho King of Prussia entirely approves of the project of a treaty to the same effect, submitted to him, but proposal an additional articlo providing for the renunci ition of privateer ing. Such an article, for most obvious reasons, is much desired by nations having naval establishment!!, large in rironortion to their foreirrn commerce. if it were adopted as an international rule, tho commerce of a nation having comparatively a small naval force, would bs very much at tho mercy of its enemy, in case of war with a pow er ot decided naval superiority. Tho baro statetaetit of tho condition in which the United .States would be pla ced. alter bavin' surrendered tue right to resort to pnvatecr, in th event of war with a belligerent of naval supremacy, will show that this government could never lijtca to such a proposition. The navy of tho tirst maritime m Luropu u at leant ten times as largo as that of the United States. The foreign commerco of the two conntric U nearly equal, and about equally exposed to hostile depnidations. In wer between that power and tho United States, without resort on our part to our mercantile marine, tho m-.-ans of our enemy to inflict injnry upon onr comraeroo would bo tenfold irreatcr than ours-to reUliate. We could not extricate our country, from this unequal conditilion, with such an enemy, unless wo at or.ee departed from our present peaceful policy, and became n great naval t'owcr. Nor would this country be ettcr situated in war with one ol the secondary naval powcrj. Though the naval disparity would be lesi, tho greater extent, nndmore exposed condition of our wide spread commerce. would give any of them a like advantae over ns. Tho proposition to cute." into en gagements to forego resort to privateers, in caso this country should bo forced into war with a great naval G ower, is not entitled to more favorale consideration than would be a is . . a a proposition, to agree not to accept the tt-rvice of volunteers for operations on land. When tho honor or tho rights of our country rcquiro it to ussuroe a hostile atituJe, it confidentially reliej upon the patriotism of its citizens, not ordinarily devoted to tho military profesioa, to augment the army una the navy. 60 as to make them fully adequate to the emergency which calls into action. Tho proposal to surrender the right to employ privateer is professedly founded upon the principlo tbat private property ot unoffending non-combatants, though enemies, slould be exempt from the ravages of war; but tho proposed surrender goes but little way in carrying out thai principle, which equally requires that su-.h property should not bo seized or molested by national ships of war, Should thu leading power of Europe concur in proposinür, as a rule of inter national law, to exempt private prop erty, upon the ocean, from seizure by public armed cruisers, ns well as by privateer, tho United States vrili read' ily meet them upon that brood ground. Sin'.e the ttbjuuruiaent of Congress, the ratification of the treaty between the United Statos' snd Great Dritain, rela.

tivttocosst flherit and to reciprocal trsJ with tht British North Amertcsn proviuces, bsvt been exchange), snJ gymoof Its snticlpated aJvsntst lres(!y eojoyed by us, sltlioupti it

wssto abide cor '.si a sets of legislation , not vet fully performed, tio sqq as it j was ratified, Grist Britain opened to our commerce tht free navigation of tho river St. Lawrenct and to our fishermen unmolested access to iht shores and bays, from which they bad beta excluded, on tht coasts of her North American provinces; la return for which she ssked for the Introduction, free of duty, Into tht ports of tht United States of tho fish caught on tbt same coast by Dritlsh fishermen. This belnjj tho compensation, stipulated In the treaty, for privileges of tht highest importance and val ue to the people of the United States, which were thus voluntarily yielded before it became effective, tho request aeemad to int te be a reasonable one, but It euuld not bt acceded to, for want of authority to suspsnd our laws Imposing duties upon all foreign fish. In the meantime, the Treiuury De partment Issucp a regulation, for ascer taining the duties psM or serurfd by bonds on uh caught on the coasts of tht Brltssh provinces, and brought to our markets by EaitUh subjects, after fht fishlnggrouods had been made fully accessible to tbt citizons or the United States. I recommend toyuur favorable consideration a proposition which will be submitted to you, for authority to re fund tht duties and cancel tiie bona thus received. The provinces of Cana da and New Brunswick have also anticipated the full operation of tht treaty, by legislative arrangements, respectively to admit, frrt of duty, the products of the UnlteJ Statte mentioned in tho free listof the treaty; and on arrangement similar tthat regarding British f;h, has been made fordutlrs now chargeable on the products of those enumerated in tho aamt free list, and Introduced therefrom Into the United States; a proposition for rtfundingwlHch will, in my opluiou, he In liks manner entitled to your fttvorabla consideration. There is a differencu of opinion between tho U. S. and Great Britain, as to tho boundary line of the Territory of Washington adjoining the British possessions on me j.-aciuc, which ihm already led to difficulties on tho part of the citizens and local authorities of tlio two government. I recommend that provision be made for n commiision, to be joined by one en the part of Her 13rittanic Majesty, for the purpose of running and establishing the lino in controversy. Certain stipulations of the third and fourth article of the treaty concluded by the U. S. and Great Britain in 1046, regarding possessory richts of the Hudson Bay Co., and property of the Puget Sound Agricultural Company, have given rise to scrions disputes, anuuis important to all'concerned, that summary means of settling them amicably should bo devised. I have reason to beliovo that an arrangement can be made, en just terms, for the extinguishment of the rights in question, embracing also the right of the Hudson Bay Company to the navigation of the river Columbia; and I thcreforo suggest to your consideration, the expediency of making contingent appropriation for that purpose. t rnnco was the cany ana emcient ally of the U. S. in their struggle for independence. From that time to the present, wun occasional angu interruptions, cordial relations of friendship have existed between tho governments and peoplo of tho two countries. The kindly sentiments, cherished alike by both nations, have led to extensive social and commercial intercourse, which, I trust, will not be interrupted or checked by any casual event of an Apparently unsatisfactory character. The French consul at San Francisco was cot long sinco brought into the U. S. district court at that place, by compulsory process, as a witness In favor of another foreign consul, in vi olation, as the French government conceives of his privilegs under our consular consular convention with Franco. There being nothing in tho transaction which could imply any nul, disrespect to iranco or her con such explanation has been made ns I hope will prove satisfactory. Subsc quently, misunderstanding uroe on tho sub ect of the French government havinz, n it appeared, abruptly ex eluded the American minister to Spain from pas-unir through France, on his way from London to Madrid. But that government has unequivocally disavowed any design to deny the riirht of transit to tho minuter of the U. S.; and after explanations to this effect, he has resumed his journey, and Actually returned through Franco to öpain. I herewith lay beloro Con kress tho correspondence on this subject between our envoy at Paris, and the minister of foreign relations of the irench government. The position of our affairs with Spain remains as at the close of your last section. Internal agitation, assuming very nearly the character of political revolution, has recently con. vulscd tbat country. Tbo hto mini.v teiH were violently expelled from power, and men of very different views in relation to its internal affairs, l.avo succeeded. Since this change, thero has been no propitious opportu. nity to resume ana press on negolia tions for the adjustment . of serious difficnlties between Spain and the U. S. Ther is reason to supposo that our minister will find the present government more favojably iuclined than the preceding to comply with our just demands, and to mako suitable arrangements for restoring harmony, and preserving peaco I etween the two countries Negotiations are pending with Den mark to discontinue tho practica of levying tolls on our vessels and their cargoes passing through tho Sound. I do not doubt that we can claim exemption therefrom as ft mailer of tight. It is admitted cn all hands that this exaction is sanciiontid, uot by the general principles of the law of nations, but only by rpecial conventions, which mostot the commercial nations have entered into with Denmark. The 5th article, of our treaty of .1020, .with Denmark, provide, that there 't-liall cot be paid, on the vessel cf (thu U. S. and their cargoes when passing tl rough the Sound, highur-duttea than those of the mojt favored nations. This may Lr regarded an an implied agreement to submit to tho tells during the coulinuur.ee of the treaty, anJ consequently may cinbarras the aw tiou ot our iighj to be rclcu!.wl ihuefrom. I here arenho other pryviMutu ia the treaty which ought to be rauJi(led.. It tra to remain iu fuico ten years, and uaül uiie year after tiil.tr party give notie to the other of inten

lion to terminate it. I deem it dient thnt tht Contemplated

axptnotice nhuuld be given the Denmark. governmwQi ofl The naval xpeditioo. dspatuhd Kbout two year ago fur the purpose of establishing relation with thu smuirw oi 4 HpHQ, usi ueen aDiy ana . r . i .a ai. kuuuiiy conuuewu 10 a succeaiim termination by the officer to whom it a . . I was intrusted. A treaty opening ortain of the ports of that populous country nas oeeu negoutiea; ana in . m I order to give full effect thereto, it only remains to exchange ratification and nuopi. it-quisu commercial rsguiation. 1 he treaty lately concluded betweeu the U. 0. and Mexico settled some of our moit cmoftrrassinir dlflicultles with that country, but numerous claims upon it for wrongs and injuries to our citizens remain unadjusted, and many new cases have been recently added to tho formtr list of grievances, uur legation naa oeen earnest in thetr lendeavors to obtain from th xt-:- . vorablo consideration of these claims but hitherto without success. This ""'- KO'tmiueuk m in-1 failure is probably in sorat meHSurt to be altribute! to the disturbed condi-

lion of that country. It has been my happened to be present on that occaanxiou desire to maintain friendly ioa. Believini? that the ceotsin of

relations witn tue weiicao repuouc . i .! . t.ir.1.. nnu localise us rigms 10 do respectta not only by our own citizens, But by lorcigners who navo resonea to me U. .S. for the purpose of organizing hostile expeditions against some of tbt . . m .1 t rvi l

state i mat repuouc. iue aeienct- tncouuter desperate usistance if they lesi cndition in which its frontiers persisted to their purpose, he interpohave been left, has stimulate 1 lawless sed effectually, to prevent violence and

adventurers to emourn in tuest enterpriie, mid gieatly increased the dirlictilty of enforcing our obligations

or neutrality. Regarding it as my certain of the so called public funcsolemn duty to fulfill these obligations tionaries of the place, currdunding the

not only toward Mexico, but other foreign nation, 1 have exerted all the powers with which I am invested to defeat buch criminal proceedings, and .-:.... ... '.A ,1... L V.. iinng u p'uiniiuiciii. mosc who vj taking part therein, violated our laws, Tho energy and nctiviy of our civil and military authorities have frustrated thu designs of those who tmditated expedition, of this character ex-

ccpt in two instance. One of these pdUd to return. These incidents, tocomposed of foreigner:, , was at first gtber with the known character of the

countenanced und aided by the Mex-

ican uovernmenl itseir. it naviag etted statt, induced just apprehensionbeen deceived as to its real object, - that the lives and property of onr citThe other, small in number, eluded iaens at Punta Arena would bo in im-

the vigilance of the magistrates at San i l-ranisco, and succeeded in reaching the Mexican territories; but the effective measures taken by the Government compelled the abandonment of ine undertaking. Tht commission to establish the new line between the u. ö. ana MCXist i. i- ! and Mexico, according to the provisions of the 30th December last, has been organized, and tho work is already commencea. Our treaties with the Argentine Confederation, and with the republics of Uraguay and Paraguay, secure to

us wie ireu navigation 01 wie river oi mixea 0100U, liau previously given La Plata, and ftome of its larger trib- other indications of mischievous and utaiics; but tho same success has not dangerous propensities. Early in the attended our endeavors to open the amo month, property was clandestinAmazon. The reasons in favor of the ly abstracted from the denot of the

frco uso of that river I had occasion to present fully in a former message; and, considering the cordial relations i. i ..j t.. ..! which ji.it v ion twsiru oeiwfi-n wns government and Brazil, it may be expectcd that pending negotiations will, it a t. oventuauy, rcacn a tavoraoie result. vout viucub iuthmi oi unueit, uc" tween tho several jparts of a country arc not only desirable for the objects of commercial and personal eommu-

nication but essential to ita existence could not doubt that the caso demnuunder ono government. Separated tied the interposition of this t'ovcrn-

as are the Atlantic and Paeifio coasts ment. Justice required that repnraof the U. S. by the whole breadth of tioa should be made for so many and the continent, still the inhabitants of such gross wrong, and that a course of each are closely bound together by inaolence and Plunder, tendini? dircct-

community of origin and Institutions, and by Union. strong attachment to the llenco tho constant tod increating intcrcourso and vast interchange of commercial productions, between theso remoto divisions of the i.rouoiiu. mo iii-cnt Wiho wjo most practicable and only commodious routes for communication between

them nro by tho way of the Isthmus arms and ammunition and might caand Central America. It is the duty gilv seize upon the unarmed boats.

of tho government to secure these ! -4 M .1 - !.- ugainsi an uanger oi inier rupuon. In relation to Central America perplexing questions existed between the U. S. und Great Britain at the time of the cession of California. These, ni well as questions which subsequently aroso concerning iater-oceanio communication across the Isthmus, were, as it was supposed, adjusted by the treaty of April 0, 1050; but, unfort-

unateiy, tney nave oeen rc-cpened by being neither competent to exercise serious misunderstanding as to the the rights nor to discharge the obligaimport of pome of its provisions, a re- tions of a government, it was, in fact, adjustment of which is now under a marauding establishment, too dan-

consideration. Our Minister at Lon- gerous to do disregarded, and too don has made strenuous effoita to ac- guilty to pass unpunished, and yet incoraplUh this desirable object, but has capable of being treated in any other not yet found it possible to bring the way than as a piratical resort of out. negotiations to a termination. laws, or a camp of savages, depreda-

As incidental to these questions, I ting on emigrant trains or carevans deem it proper to notice an occurrance and tho frontier settlements of civiliwhich happeued in Central America, red states.

near tne close of tne last session cf Congress. So noon as the necessity was perceived of eatabliaüini; interoceanic communications across the Isthmus, a company was organised, under authority of the State of Nicaragua, but composed, for the most part, of citizens of tho Uhitcd States, for the purpose of opening such a transit way by the river San Juan and Lake Nicamgua. which soon became an eligible and much used route in the trnnaportation of our citizens and their property bet weed the Atlantic nd Pacific. Meanwhile, and in anticipation cf the completion and importance f this transit way, a number of adventurers had taken possession of the old Spanish port at tho mouth of the river ßan Juan, in open oefianceof the State or plates of Central America, which upon their becoming independent, had rightfully succeeded to the local aovcreamy and jurisdiction of Spain. t nee auvcniureis undertook tochantre tne name ot the placo from San Juan del Noi te to (irey town, and, though at first pretending to act as the subjects of the lic!itious sorcreign of the Mosquito Indian, they subsequently re-pudi-ifej the control of any power whatever assumed to adopt a distinct political organisation, and declared .1 a . tucmscivcs an independent sorcreign sjLatc. If, at some time, a faint hope wjii c. tertaitied that they might bocwme a slatdo und respectable community, that hope soon vanished. They

prootaded to assert unfounded claims

to civil jurisdiction over Punta Arenas a position on tht opposite skit of the rivtr San Juan, which was in nosses sion. under a title whollv independent I - 4 -I of them, of iti Jens of the United States inUmsted in the Nicaragua Transit Uomanv. and which was mdiaoonsa ... ' . dit oecessarv to the nrosDerous opera lion of that rout across the Isthmus M A me a Tbt company resisted their groundless claims; whereupon they proceeded to Ik . . Z . . - destroy some of its buildings, and at Umpttd violently to dispossess it. At a later period they organized a strong fore lor tbt purpose of demolishing tht establishment at Punta ArenaK. but this mischievous desirni was defeated by the interposition of one of our ships of war. at that timu in th harbor of San Juan. Subseautntlv to this, in May Ust, a body of men from Grey town crossed over to Punta Arenas, arroiratinjr authority to arrest, on the charge of murder, a captain of one of the aUamboal of tht Transit Com nan v. Bein well aware that the cm m 10 X-Tcise unsiiciion t n-re would be resisted then, as it had been on nrevioua occasions, ther went nrepared to anert it bv foree of armi. bur miuisr to Cuntrid Ampric the alamooit was innocvut, lor he wit-1 . . . ' . . nsa-d the tiansactiou on which the charge was founded, and believing, ulto. that the ictiudmg party, having no Jurisdiction over the place where they proposed to make the arrest, would . . ... h oods head. The American minister Ufur ward vinited Grevtown. und whilst he was there u mob, including house in which he was, avowing that they had come to arrext him, by order 0f sorat person exercising the chief authority. While parleying with them I i r . ne was wounuuci oy a missue irom ino erowd- A boat dispatched from the American steamer "North Liirlit" to release him from the perilous situation Q which he was understood to be, was fired into by the town guard, und compopulation of Grey town, and thtir ex minent datger after the departure of the steamer, with her passengers, for New York, unlcs a truard was left for their protection. For this purpose. aid in order to ensure the safety of passengers and property passing over the route, a temporary force was or- . . f. rramzed. at eonsiderab e exnense to eanized, at considerable expi the United Mates, for which proviaUion was made at the last session of Congress. i his pretended community, a hctei- . . . . rogcneoui assemblage gathered from various countries, and composed, for the most part, of blacks and persons Transit Company, and taken to Greytown. The plunderers obtained knelter there, and thtir pursuers wcro diiv- . t i . i ea dck oy us pcopic, wiio not oniy protected tho wronir doers and shared iht plander, but treated with rudeness! I . . . I and violence those who sought to reCOaCT IUCIT properly. Such, in substance, nro the facts submitted to my consideration, and proved by trustworthy evidence. I My to tho insecurity of the lives of nutnerous travellers, rua oi tne ncn tressuie belonging to ourcitizens, passin? over this transit way, should be peremptorily arrested. Whatever it it mißntbc m other respects, tho community in question, m power to uo mischief, was not despicable. It was well r-rovidcd with ordisnce. small freighted with millions of property, . .. I . . 1 wüicn passca almost uany wuniti its reKCh. it did not nrotess to belonrr to anvreeular eovernraent, and had, in fact, no recognized dependenco on, or connection with, any one to which the United States or their injured citizen might apply for redress, or which could be held responsible, in any way, for the outrages committed. Not standing before tht world in the attitudo of unorganized political pociety I Seasonable notice was civen to the people of Oraytown that this government reautred thera to repair the iniuries they had done to our citizens, and to make suitable apology for their insult of our minister, and that a ship-of-war would be dispatched thither to enforce compliance with these demands, But the notice passed unheeded. Thereupon, a commander of the navy, in charge of the sloop-of-war Cayan,' waa ordered to repeat the demand, and to insist upon a compliance there with. Finding that neither the popu lace, nor those assuming to have au thority over them, manifested any dis- ... . .i i position to roase tne required reparation, or even to offer cxcuho for their conduct, he warned them, by a public proclamation, that if they did uot give 1 .' m ." .! ..... . f I satisucuon witnin a time kjiecined, nc would bombard the town. By this procedure h afforded them opportun ity to provide ior wieir personal saiety. To those also who desired to avoid loss of property, in the punishment aooui to oe muictcu on tne oueuuing town, he furnished the means of re moving their effects, by tho boats of his own ship, and of a steamer which be procured and tendered to them for that purpose, At length, perceiving no disposition on the purl of the town to comply with his requisitions, he sppeuled to the eouiiuunder of her BntHtinic Majesty's schooner "Ber? muJa," who va seen to have inter couree, and apparently much influence

with tho leaders among them, to Interpose, and persuade them to take

some course calculated to save the necessity of resorting to the extrem measures inuicateu in ins proclama tion; but that officer instead of acceding to the request, did nothing more than to protest against tho contemplated bombardment. No steps of any sort were tak.n by the people, to give the satisfaction required. No individuals, if any there were, who re garded themselves as not responsible j for the misconduct ot the community, adopted any means to seporats themselves from the fate of the guilty. Tiie several charges, on which the demauds for redress were founded, had been publicly known to all for tome time, and were again announced to tl.em. They did not deny any of these charges; they offered no explanation, nothingin extenuation of their conduct; but contumaciously refused to hohl Hny intercourse with tho commander ot the "Cyane." By their ohstinatd silence they seemed rather desirous to provoke chastizement than to srapo it. Thero is ample reason to believe that this conduct of wanton defiance, on their part, is imputable chiefly to the dclusivn idea that the American! government would be detcr.ed from I punishing them, through lear or ais- . . .... tilousinir a lormidable foreign power, which, they presume'! to thina, loosen with complacency upon thtir aggressive and insulting deportment towards the I'nited States. The 'Cyane,, at length fired upon the town. Before much injury had been done, h fire was twice suspended, In order to afford I B..IS1SB opportunity for an arrangement; but this was declined. Most of the build ings of the place, of little value gen ?riilly, were, m the aequal, destroyed; but, owing to the considerate precau tion tftk n by our naval Commander, there whs no destruction of life. When the "Cyane" was ordered to Central America, it waa confidently hoped and expected that n occasion would nrise for "i resort to violence and destruction of property and loss of life." Instructions to that effect were civen to her commander. And no rjuremo act would have been re quisitel ad not the people themselves by their extraordinary conduct in the atVuir, fruRtrnted all the possible mild measutei for obtaining satisfaction. A withdrawal from the j.lace, th ob ject of this visit entirely defeated it . would, under the circumstances in which the commander of the Cyane found himself, have btn absolute abandonment of all claim of our citi zens for indemnification, and submiss ive ncquiescenco in national indignity. it would have encourncrcd in these lawless men a spirit ' of insolence and rapine most dangerous to the lives nnd property of our citizens at Punta Ar enas, and probably emboldened them to grasp at the treasures and valuable merchandize continually pasting over the Niagara l outc. It certainly would unTc oi-trn iiiosb BaiisiKCiory vo me 1 .1 1 . .1 r . ine ooiccis oi me vyano a mission could have been consumalcd withou any act of public force; but the arro gant contumacy of tho offenders rcn tiered it impossible to avoid tho altcrna tive, cither .o break up their cstab i . i . . . .i . iisnment, or to leave tnem imprexted with the idea that they might preserve with impunity in a carreer of insolence nnd plunder. This transaction baa been tho sub ject of complaint on tin; part of ac me . i i a loreign powers, ana nas peen cnarac tenzed with more of harshness than of justice. If comparisons were bo instituted, it would not be difficult to present repeated instances in the history of states, standing in tho very front of modern civilization, where communities, far less offending and more defenceless than Greytown, have been chastised with much greater severity, and where not cities only have bcen'laid in ruins, but human lifo has been recklessly sscrificed, and tho blood of the innocent mado profusely to mingle with that of the guilty. Passing from foreign to domestic affairs, your attention is naturally directed to the financial condition of the country, always n subject of general interest. For complete and exact information regarding the finances, and tho various branches of tho publio service connected therewith, I refer you to the report of the Secretary of the Treasury; from which it will appear, that tho amount of revcue during the last fiscal year, from all sources, was acventy-thrco million fivo hundred and forty-nine thousand seven hundred and five dollars; and that tho public ex penditures for the same period, exclu sue of payments on account of tho publio deot, amounted to fifty one n;illion eighteen thousand two hundrod and forty mno dollars. During the same period, the payments made in rdemption of tho publio debt, including tho interest and premium, amounted to twenty-four million three hundred and thirty-six thousand three hundred and eighty dollars. To the sum total of tho lecipts of that year is to be added a balance remaining in the Trcusury at tho commencement there of, amountiug to twenty-one million nino hundred and forty-two thousand eight hundred and ninety-two dollars; and at the close of the same year corresponding balance amounting to twenty million one hundred nnd thirty seven thousand nine hundred and sixty 1 m seven dollars oi receipts above expenditures, also remained in the Treasury. Although in the opinion of the Secre tary of the Treasury, tho receipts of lue currant hscal year arc not likely to i . . equai in nmoum mofe oi tne last, yet they will undoubtedly exceed the amount of expenditure by at least fifteen millions of dollars. I shall therefore, continue to direct that the surplus revenue be applied, so iar ita it can be judiciously and economically done, to the reduction of the public debt, tho amount of which, at tho commencement of tho last fiscal year, was sixty-seven million three hundred and forty thousand six hundrcdand twenty-eight dollars; of which there had bo-n paid on the twentieth , day of November, 1051, the sum of twentytwo million three hundred and sixtyfive thousand and one hundred and seventy-two dollars; leaving a balance of outstanding public debt of only fourtv-four million nino hundred nnd seventy-five thousand four hundred and fifty-six dollar, redeemable at different peeiods j ithin fourteen yearsThere aro also remnants of other lov. eminent stocks, most of which arc already due, nndon which tbo interest has ceased, but which hae not ret been presented for payment, amount-;

ing to two hundred and thirty three thousand one hundred and seventy nine dollars. This statament exhibits the fact, that the annual income of the government greatly exceed s the amount of its public debt, which latter remains unpaid, only because the time of pay-

meninas not yet matured, ana u cannot be discharged at once, except at the option of public creditors, who prefer to retain the securities of the United States; and the other faet, not ess striking, that the annual revenue rom all sources exceeds, by many millions of dollars, the amount needed for a prudent and economical administration of the Government, The estimate? presented to Congress from different Executive Deportments at the last session, amounted to thirty eight million four hundred and six thousand ffvo hundred and eighty ono dollars; aud the appropriations made, to the sum of fifty cintit million one lundrcd and aixtecn thousand nine undred and fifty riebt dolors. Of this excess of appropnations over es timates, however more than twenty millions was applicable to extraordi nary objects, having no reference to the usual nnnualetpenditures. Among these objects, was t-m traced ten milions to meet the third article of the treaty between tlio Uniti-d State and Mexico; so that, in fct, for object of ordinary expenditure, the appropria tions wt re iimueu to consmcraoiy less thau forty millions of dollars. I there fore renew my lerommendatiou for a reduction of lh duties on import. The report of . the Secretary of the Treasury presents n series of tables, showing the operation or the revenue system lor several succ-sive years, and as the general principle of reduc tion of duties with a view to revenue irud not protection may now be regarded as the frilled policy of. the coutry ... . .... i t. r. ... . i irusi inai nine uuiicuiij win oe encounterrd in settling the details of measure to that effort. In connexion with this subject, I recommend a change in the laws, which recent experience has showu to be essential to the protection of the government. '.There is no express provision otlaw, requiring the records and papern of a public character, of the several officers of the government; to be left in their ofliccs for the use of their successors, nor any provision de claring ita felony on their part to mako talse eutries in the books, or re turn false accounts. In the absence of such, express provision by law, the outiroin-' officers, in many instance, have claimed and exercised the right to take into their own poses sion, important books and papers, on the ground that theso were theirnrivatc property; and haveplaced them beyond the rc.ichofthetrovernment. Conduct of this cheracter, brought in several instances to the notice of the present Secretary of the Treasury, naturally awakened his suspicion, and resulted in tho disclosure that at four ports, namely, Osweijo, Toledo. Sandusky, Milwaukie, tho tresury had, by false entries, btn defrauded, within the four year next preceding March, 1C53, of the sum of one hundred and ninety. ciht thousand dollars. The great difhcuHy with which tho detection ofUic'-o frauds hat been attended, in consequence of tho abstraction of books and paner by the retiring officer and the , facility with which similar frauds in the publio service may be perpetrated render the necessity of new legal enactments, in the respects above referred to, quite obvious. For other material modifications of the revenue laws which seem to me desir able, I refer to you the report of the Secretary of the Treasury. That report, and the tables which accompany it, furnish amplu proofs of the solid foundation on which financial security of tho country rests, and of the salutary influence of the independent treasury system upon commerce and all mono tary arrangements. Tho experience of the last year fur nishes additional reasons, I reirret to say, of n painful character, for the recommendation heretofore made, lo provide for incrca.sinir iho military force employed in tho territory inhabueu uy wie inuinns. a ne seiners on tho frontier have suffered much from thoincurbions of predatory bands, and large parties of emigrants to our Pncino possessions have been massacred with. Impunity. Tho recurrence o such scenes can only bo prevented by teaching thoso wild tribes the rower of.undthcii responsibility to, the United Stales. From tho garrUons of our frontier posts, it is only possible to de lach troops in small bodies; and throuel; theso have on all occasions displayed a gallantry, and astern devotion to du ty, which on a largo field would have commanded universal admiration, they nave usually sutiered severely in these conflicts with superior numbers, and have sometimes oeen entirely sacri ficed. All the disposable force of the army is already employed onthisscr vice, and isltnown to be wholly inadequate to the protection which should be afforded. The public 'mind of the country has been rcceatly shocked by savage atrocities committed upon de fenceless emigrants and border set tlcmcnts, and hardly less by the un necessary destruction of valuable lives, where inadequate detachments of troops have undertaken to furnish the needed aid. uhout increase of the military force, these scenes will be repeated, it is to be ftated on a larger scale, and with more disnsterous consequences. Congress,' I am sure, will more perceive that thu plainest duties and responsibilities of govermcnl uru involved in this questiou, and I donbt not that prompt action may be confidently anticipated when delay muit be attended by sueh fearful hazards. ; The bill of the last 1 fession, providing for on increase of the bay of the Tank and file of the army has had beneficial results, not only in facilitating enlistments, but in obvious iroqrovement in tho class of men who enter tho service. ' I rcgn hat correspon ding consideration r.ot bestowed on the officers, who, u view of their character and servicis, and tho expenses to which they are necessarily sub joct, receive at present what is, in my judgment, inadequate co&.pcnsation. Tint valuable services constantly Tendered by tho army, nnd it impor tnnooas a nucleus in the hour of dan f.yr, sufficiently attest the beccKM)' of maintaining it," yet it should be aug merited only to keep pace wilh'our ex tendinar frontier. In view of tho ex tent of thif, in my opinion, two regt

ment of infantry and two of moented men are needecd. With the increase of the army ia numerical fore, should, I think, b combined certain measures of reform in its organic arrangement und ad midistration. The present onracixa

tion is the result of partial legislation often directed to special objects and interests; and the laws regulating rank and command, having been adopted many years ago from the British code, nre cot alwa)s applicable toour service. It is not .surprising, therefore, that tho system sh mid be deficient in the symmetry and aim plicity essential to the harmonious working of iti several parts, and require a careful revUion. Tho present organization, by mainiaining large staff corps or departments, ipparntts many officers from thit close connection with troops, and those active duties in the fie ld, which arc dcemt-d requisit to qualify the in lor the yaried responsibilities of high command. Were the duties of the army, staff mainly dUchaiged bycCircrs detached from their reViment, it . is believed that the special service would be equally well performed, and the discipline and instruction of tne urra be improved. While du-: regard to the security of the rights of offi cers, and to the nice sene of honor which should be cnl'.ivatcd among them, would seem to exact compliance with the establicd rule of promotion in ordinary case, still it ran hardly be doubted that iht tango of promotion by selection, which is now practically confined to the grade of general officers, might bo somewhat extended with benefit to the public service. Observance of the rule of tenioriy sometimes leads especially in time of peace, to the promotion of fiicers who, after meritorious and rvtn distinguished sn vive, may have been rendered by age of infirmity incapable of performing active duty, and whose advancement, thvH'fore, would tend to impair the efficiency of the tuiny. Suitable provision for tlrs class of officers, by the creation of a retired list, would remedy the evil, without wounding the just pride of men, who by past services have established a claim to high consideration. In again commencing this measure lo tht- tavoiable consideration of Congress, I would suggestth.it tho povr of placing officers on the retired listbs limited to one year. The practical opmtion of the meas ure wonld thus bo tested, nnd if, after the lapse of yt an, there should he oc. casion to renew the provision, it can be reproduced with any improvements which experience may indicate. The present organization of thertillery into reginv.'Hs is liable to obvious ob jections. iho ecmce of artillery is that of batteries, and nu organization of batteries into a corps of artillery would bo more consistent with the nature of their duties. A large part of tho troops now culled artillery are, and have bci-n, on duty as infantry; the distinction between the two arms being merely nominal. Thii nominal aitillery in our service is entirely dia proportionate to thj whole forco and greater than the country demand. I therefore commend the discontinu anco of a distinction, which has co foundation in cither the arms used or the character of the service cxpccicd to be performed. In connection with the proposition for the increaso of the army, lhave presented these suggestions with regard tö certain measures of reform, aa the complement of a system, which would, produce the happiest results from a given expenditure, and which I hopo may attract the early nttcntiun, and be deemed worthy of the npjiroval, of Congress. The recommendation of the Secretary of tho Navy, having reference to more amnio provUious lor the disciplino nnd general improvement in tho character of seamen, i.nd for the reorganization nnd gradual increase of the navy, I deem i niitu ntly worthy o your fuvorable coijHdcnuion. Tin? principle, which have controlled our policy in relation to the permanent military force, by sen nnd land, are sound, consistent "wit'i the thtorv of our system, nnd should by no means bo disregarded. But, limiting the forco to the objects particularly set forth in tho prccoeding part of this message, we should not overlook tho present magnitfJc and prospective extension of our commercial murine, nor fall to give due weight to the fact that.besides the two thousand miles ot Atlantic sea-board, we Jjave now r Pacific coast, stretching from Mexica to the British possessions in tho coru, teeming with wenlih nnd enterprise, and demanding; the constant presence of ships-of-var. Tbt augmentation of tho navy has not kept pace with the duties properly and profitably as. signed to it in timo of peace, and it ia inadequate for tho large field of its operations, not merely in tho present but still more in the progressively increasing exigencies of the wealth and commerce of tho United Stales. I cordi ally approve of tho proposed apprentice system for our national vessels, recommended by the Secretary of tho Navy. The occurrence, during the last few months, of marine disasters of the most tragic nature, involving great loss of human life, has produced intense emotions of sympathy and sor row throughout the country. It may well bo doubted whether all these calamitous events arc wholly attributable to the necessary nnd inevitable dangers of the sea. The merchants, mariners, and ship-buildcrs of the United Stales, are, it is true unsurpajsing in far-reaching enterprise, skill, intelligence and courage, by any others in the world. But with the increasing , amount of our commercial tonnage in the aggregate, and the larger size and improved equipment ist the ships now' constructed, a deficiency in the supply of reliable seamen begins to be very severely felt. The inconvtnieney may perhaps, be met, in part,' by due regulation for the introduction, into our merch int ships, of indented apprent- i ices which, while it would afford useful and eligible occupation to numerous ) ourg men, would have a tenden cy to raise tho character ol seamen . a class. And it is deserving o serious rtileciior., whether it may cot bo desirable to ioise the existing lawa ior the maiiuainuhco ol discipline nt . seas upon which ihe security of life and property on the ocean must to so. great an extent depend. Although., much attention has already been giv-