The Colonial news is in continuation of late advices from
the West, the South, and the East.
The removal of the Canadian capital from Montreal to Toronto and Quebec has satisfied nobody ; and that the councils of Go- vernment are quite to seek for a line of policy, appears in the re- cent publication of a letter from Mr. Hincks, promising com- mercial advantages in an improved trading relation with the United States,—a sop for the Annexationists. In the pseudo colony of Cephalonia, Sir Henry Ward has felt obliged so far to yield to public opinion as to grant an amnesty for political offences : not a bad step, if Sir Henry were to render the course of Government consistent, and were to follow it up by giving the reality of those free institutions which England has guaranteed and withheld. At the Cape of Good Hope, the arrival of the Neptune with the convicts has called upon the colonists to carry out their plans, by instituting a watch over the fulfilment of "the pledge" not to hold intercourse with the convicts, nor to furnish any supplies to Government pending the stay of the ship. The leading colonists thought that they had discovered in the terms of the charter- party of the ship a warrant for the Governor to send it back; and the master was willing to convey it back, if he were paid his ex- penses. That step the Governor still hesitated to take; and when the mail came away, he was still, under the screw of "the pledge," waiting orders from Downing Street. In India, it is said that another Sikh rebellion has been prevented only by the arrest of certain leading commanders who had been suf- fered to reside in their own homes; and while these signs indicate the necessity of keeping up the force in the North-west, great com- plaints arise in the civilized parts, that the war expenditure presses intolerably upon a revenue annually deficient. A few years ago, the revenue showed a surplus of ten millions sterling, but for some years there has been a constant deficit ; and the worst of it is, that no mode offers of raising the necessary money by augmented taxes. India is already so taxed that it cannot expand itself to the extent of its natural resources, but continues a beggarly system of agriculture because the actual cultivators are beggars. A beggarly people make a bankrupt state.
