Confederation was
determined upon. The Protector's liberal policy had secured the
sympathy and esteem of all enlightened nations, gave an impetus to
native enterprise and industry, and above all, restored the credit of
Peru by acknowledging and liquidating the English liabilities. This
prosperous state of things was suddenly checked by the appearance
of a hostile Chilian fleet, which seized upon the fleet of the
Confederation in the port of Callao, without any previous declaration
of war, and by the landing of a Chilian expedition on the Intermedios,
accompanied by a handful of Peruvians who were hostile to the
Confederation. This expedition was soon subdued by the skill of
General Santa Cruz, who exacted from it the treaty of Paucaupata, and
then allowed free egress from the territory of the Confederation. This
generosity on the part of the Protector was met by treachery on the
part of Chili, directly her army was once more on Chilian ground. At
this time the Government of Buenos Ayres made an unsuccessful attack
upon the Confederation. The enemies without having been successfully
repulsed, the prosperous condition of the Confederation continued,
till General Orbegoso, one of the founders of the Confederation,
rebelled, and enlisted the troops under his command in his Cause.
This internal rebellion afforded a fresh and favorable opportunity
for renewed hostility from without, and the result was that within a
short space of time Chilian troops occupied Lima. On the appearance of
General Santa Cruz, however, the foes were compelled to evacuate and
re-embark. Defeated in this direction, the Chilian troops directed
their course to the northern provinces, where Orbegoso's rebel band
were collected. Gen. Santa Cruz, in the ardor of his determination
to rid the territory of the Confederation from this treacherous foe,
undertook a march of two hundred leagues, under the severity of which
many of his troops sank, and the result of which was his defeat at
Yungay, by the rebel forces. The defection of Generals Ballivian
and Velasco, who commanded two powerful divisions of the army of the
Confederation, made this disaster irretrievable. General Santa Cruz
was obliged to retire to Guayaquil, whence he subsequently betook
himself with his family to Europe. He has lately been accredited by
his native country Minister Plenipotentiary in London and Paris.

There are few public men who have held so many important public trusts
with su