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from La Paz, to Chuquisaca and Potosi; carried thither, no doubt, by the political conspiracy above mentioned. It is stated in the Gazette of Colombia, as an article of news officially communicated, that Sucre persisted in the intention, which, as we have seen, he had repeatedly expressed, of leaving Bolivia to be governed by her own citizens. His resolution was taken

to convoke an extraordinary congress during the then current year, for the purpose of resigning his authority into their hands, and restoring himself to Colombia. With this object in view, he had solicited of the Colombian government temporary leave of absence from his military duties for the space of three years, with permission to reside in the departments of the south.*

*Our account of Bolivia is derived from the documents cited in the chapters on Colombia, Peru, and Chili.

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CHAPTER XII.

Chile.-Blanco's resignation-Chilian finances-Resignation of president Freire Of vice-president Pinto-The latter not accepted-Pinto's installation-War in the southern provinces-Constitution of Chile-Proceedings of the provincial assemblies-Arguments of the federal party— Arguments of the centralists-State of parties-The present government.

AT the last advices CHILE continued in an unsettled condition. Our account of this country for 1826 closed with the choice of D. Manuel Blanco Encalada as provisional, and the vote of congress resolving to organize the republic according to the federal system. But ere two months had expired, the chief magistrate retired from his office in disgust, assigning the distracted state of affairs, and the inveteracy of the factions which agitated the country, as the causes of his resignation. In the course of his address he said:

"I had hoped that congress, sensibly alive to the critical position of affairs, and the exhausted state of the treasury, would lend their active co-operation, and unite in perfect harmony with the executive, for the purpose of calling in to action those indispensable resources that were so imperiously

demanded for meeting the urgent and daily necessities of the state, which have been a source of unceasing perplexity to the govern. ment from the first moment of its installation. What has been the state of the public treasury, from that period to this, will sufficiently appear from the repeated representations made by the executive to congress. It is, therefore, quite nugatory again to allude to the lamentable appearance it presents, and which has been already submitted to the consideration of the representatives, without ever producing the effects that might reasonably be expected, and which were equally demanded by necessity, reason, and sound policy.

"The cause that has induced me to adopt the resolution of tendering my resignation, is the alienation and neglect manifested by all parties towards the executive power,

which has been left to the mercy of public opinion, without aid or hope, to steer its course amidst a thousand hidden rocks, which must ultimately be its destruction. Some other individual, more fortunate than he who addresses you, or more experienced in the science of making nothing out of something, may succeed one, whose unhappy fate it has been to struggle with insuperable difficulties; at one time to oppose dangerous innovations, at another to discountenance the most absurd and inexplicable theories; now to foil the intrigues of party, now to calm the ardour of passions neither elevated nor generous.

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This it must be confessed, is a melancholy picture of confusion and disorder. Indeed the pecunia. ry embarrassments of the govern. ment of Chile seem to fall but little short of those, which oppress the other republics of the south. They seem to be wholly unacquainted with the principles of finance; and instead of adopting decisive mea. sures for permanently arranging their revenues, so as eventually to obtain relief from the debts with which the war of the revolution left them encumbered, they have recourse to temporary expedients and improvident shifts, which only serve to plunge them deeper and deeper in misfortune. The mode provided by Chile for paying the Chilian bondholders in London, fairly illus. trates the mischievous nature of

their financial system. In order to meet the interest punctually as it became due, the government conveyed to a mercantile company the monopoly of certain articles of general consumption, in considera. tion of which the company undertook to discharge the interest of the national debt regularly as it accrued. It would not have been easy to maintain such a monopoly in Chile, even under the Spanish system of administration; but the difficulties attending it were augmented in a tenfold degree, under a government, which relied altogether upon its popularity in the public opinion for its very exis. tence. The consequence it is easy to imagine. In the hands of the government, the monopoly would have been odious; in the hands of a body of private speculators it was likely to prove intolerable. Hence the company, beginning to apprehend they should derive no gain from their present bargain, declared that they could not dis. charge the interest of the debt, unless the government should grant a large extension of their exclusive privilege. And as the executive dared not comply with this demand, the Chilian bondholders re. mained unpaid, like the creditors of Peru and Colombia.

Notwithstanding the prostration of the public credit abroad, the proceedings connected with the new organization of the executive would

seem to show, that the members of the legislative body had not desisted from the improvident course of conduct, of which admiral Blanco so bitterly complained. Instead of a supreme director, in whom the executive power had formerly been vested, the Chilians adopted the style of president and vice president, in imitation of the United States, the great model of the new republican governments. D. Ramon Freire, the ex-director, was chosen president, and general Francisco A. Pinto, vice president. While the congress were engaged in discussing the provisions of the projected constitution, it became necessary to instal the chief magistrate; and the discussions were suspended for a while, by reason of Freire's renunciation of the presidency of the republic. The renunciation was received and read in the session of May 2d, 1827, and referred to the committee of government, to consider and report there on. On the 4th, they made a report, which being deemed unsatisfactory, was recommitted by congress, with instructions to report in a more specific manner. This committee reported once more on the 5th, in favour of accepting the renunciation. After some discussion, it was voted, 1. to accept the renunciation of the president; 2. that the vice president should perform his duties, according to law; 3. that the president of the legislative body should

signify to general Freire the senti. ments of regret felt by the national representation, at the termination of his supreme command, which he had discharged so greatly to the public satisfaction. The votes were communicated to him, with a request, that he would continue to exercise the supreme authority, until it was regularly committed to the vice president; and at the same time, a communication was made to the latter, announcing to him, that he was called upon by law, to fill the office vacated in consequence of the president's résignation being accepted by congress.

On the 7th, a note was received from general Pinto, resigning his office of vice president of the republic, and soliciting congress to accept his resignation. This be ing referred to the committee of government, they reported a set of resolutions, which were adopted without debate, as follows: "1. The resignation of the president of the republic being accepted, his duties devolved by law upon the vice president elect; and the reason as. signed by him for resigning, bé. cause the country is destitute of any laws, is considered insufficient; because congress ought to enact opportune laws as occasion requires, to facilitate the march of government; this body, hoping that he will propose them by virtue of the initiative conferred on the execu.

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