Seeing the accounts at Rio were not encouraging, I was advised to delay my trip southward, but as the River Plate was my ultimate destination, and my business pressing, I was desirous to reach Buenos Ayres as quickly as possible, taking Rio Janeiro on my return. So I continued on board the steamer, which left Rio on Sunday morning, the 12th January, 1868, and we came to anchor in Monte Video harbour at 1 p.m. on the 16th—a very good passage of four days and a few hours. The weather had been hot during the passage, giving us a foretaste of what we might look for here. The health inspector did not come off to us for three hours, a very annoying delay after the captain of a steamer has done his best to get quickly to his port, and to whom, as well as to his owners, hours are of consequence; but not so to officials in these countries. I believe I surmised correctly that the health officer was at dinner when we arrived, that he would take his siesta, and then come to look after us. As it was then getting past business hours, I preferred remaining cool and quiet on board the ship, but several of our passengers went on shore, and passed the night there, as it is difficult to get off after dark. The budget of news we received from the agents, who came on board after the health visit, made me wish I had taken the wise advice of Rio friends. The cholera was raging at Buenos Ayres and throughout the Argentine Republic, and appeared to be bad enough at Monte Video, in addition to which a revolution had broken out at Santa FÉ against the Government, the rebels having actually got possession of Rosario, as well as some portion of the railway, whose metals they had partly torn up at one of the bridges, throwing them into the river below. It is difficult to account for this kind of wanton mischief, unless it was to show their contempt for civilized means of transit, for having reached Rosario, their policy should have been to keep the line open as a means of retreat in case of need, and then to have taken up the rails to impede troops who might be following them. I found Mr. and Mrs. Wheelwright at the Oriental Hotel, Monte Video, a new and handsome building erected since my last visit, and worthy any city in Europe, but unfortunately several of the inmates died of cholera there and it was afterwards deserted. The Oriental was full when we arrived, but we found comfortable quarters at the Gran Hotel Americano, also a large and handsome edifice lately built, nor can anything more strongly mark the advance of Monte Video than these two hotels in addition to those previously existing. The impressions conveyed in my former narrative as to the development of Monte Video were favourable, but I hardly expected to see the place grown half as large again since that time, which certainly is the case. Building of late years has taken extraordinary proportions here, and the price paid for choice spots in the city is something fabulous. Then again the streets have been all paved and flagged—roughly enough it must be confessed, but still they appear to answer the purpose for the peculiar description of traffic over them, and are a great improvement upon the sand and mud which existed before. During the few days I remained at Monte Video, everything was in a very miserable state, the mortality increasing and the telegrams from Buenos Ayres quite awful. I therefore resolved to return to Rio Janeiro, and wait a more favourable moment for prosecuting my mission. The heat was intense, and the minds of people so preoccupied with the pestilence as to render it impossible to follow the object of my mission with any chance of success. The City of Limerick came up from Buenos Ayres on the morning of the 24th of January, and was released from quarantine in the afternoon, when Captain Peters came on shore, and his report confirmed my previous views as to returning to Rio; so at 5 p.m. I went on board with him. We got under weigh at sunset, with a fresh breeze, and, passing Flores light, were off Maldonado light about 3 p.m.—a nasty navigation, with the island of Lobos dangerously near, on which there ought also to be a light. Daylight took us to the open sea, and four and a half days' steaming brought us again into Rio harbour on the morning of Wednesday, the 5th of February, when we were put to quarantine in what is called Three Fathom Bay, where we remained until the third morning, when we were released and steamed to the coal wharf.

Precisely three months after my first arrival in Rio, I left it again to return to the River Plate, whence the pestilence had departed and things resumed more or less their usual appearance. Monte Video had, however, been the scene of a dreadful tragedy—the murder of General Flores in open day—and the subsequent terrible retribution which followed that catastrophe. A gloom hung over the country, heightened by the impending bank crisis, and it seemed as if the spirit of evil had taken possession of the place. Whatever may have been the faults or errors of General Flores, he deserved a better fate at the hands of his countrymen. In forcing himself into power he only followed in the footsteps of others who had resorted to this unconstitutional mode of proceeding. During his dictatorship the country was perfectly tranquil and highly prosperous, nor was a single life sacrificed by him, although he knew he had many secret enemies. His personal courage was undoubted and evinced in many a bloody encounter in Paraguay, where he appeared to wear a charmed life, and had he been at all prepared the assassins might have found the old man more than a match for them. Altogether, this sad event has created a feeling in Monte Video which it will take long to recover from, nor is any confidence felt in the ability of the present rulers to overcome the difficulties of their position. It is a great pity so fine a country and so fair a city should be sacrificed to objects of mere personal ambition, and be the sport of every discontented chief or partisan who chooses to set himself in array against the Government; but unfortunately this is too much the case, nor do the people themselves rise to put down such a state of anarchy.

In alluding to the new buildings erected at Monte Video I omitted the Bolsa or Exchange, which is quite an ornament to the city, with its light, highly ornamented faÇade. The interior is of a quadrilateral form, providing a spacious hall where the business of the place is carried on, with brokers' offices on the ground floor, the upper storey being devoted to a tribunal of commerce and other public purposes. The cost of the building is stated at about 160,000 hard dollars, or £32,000 sterling, an instance of public spirit hardly to be found elsewhere in South America.

The only thing wanting to Monte Video is business, in which respect the contrast with Buenos Ayres is very much in favour of the latter. Nevertheless, the banks have gone into considerable extravagance in the way of architecture, the Italian Bank being conspicuous by a superfluity of marble. Indeed, the facility for issuing notes has evidently led to expenditure in “bricks and mortar” to an extent that must have greatly embarrassed the managers of these institutions when called upon to meet their paper in gold.

As to the cause of the money crisis there cannot be two opinions. In the first place, Government was wrong in allowing private issues of notes, and in the second place, in interfering when it came to a question of the banks meeting their notes in gold. A “forced currency,” as it was then called, was sure to lead to a depreciation in the value of the paper and only postponed the evil day. It was a curious sight to see a guard of soldiers with fixed bayonets on duty round the doors of the Italian Bank, and a crowd of people waiting outside to receive specie payment of their notes. This process had already shut up several of the banks, and there was little hope of saving the Italian Bank, although great efforts were being made by the mercantile body to do so, as from the large number of Italian tradesmen doing business with the bank serious results might attend the closing of its doors. The wisest course would have been for all the banks to have followed in the wake of MauÁ and Co. and closed their doors when they found themselves unable to meet the pressure for gold. This would have brought about some remedial action on the part of Government with a view to self-preservation.

Amongst other public improvements at Monte Video is a large market, a tramway for a few miles out of the city, and the commencement of a railway intended eventually to reach Durazno, but at present only a few miles can be completed, owing to the want of capital. Unfortunately, the Government is not in a position to assist any enterprise of this kind, spite of the large amount of Brazilian gold that has been poured into the place during the war. Altogether, Monte Video has an ordeal to go through that will require time and patience on the part of those who may have to conduct its affairs.

The Bay presents its usual animated appearance as regards the collection of ships and steamers, and a large sprinkling of foreign men-of-war, whose services have been much called into requisition of late, in order to protect foreign property; but in other respects there is a total absence of vitality or of actual business.