SOUTH AMERICA.
From the Argentine Republic we have intelligence of fresh political disturbances, indicating at least the temporary failure of the new and moderate system introduced by Urquiza after the defeat and expulsion of Rosas. The Convention from the several provinces summoned by Urquiza, met at San Nicholas—ten of the thirteen provinces being represented by their governors, and adopted a Constitution for the federation. It provided for abolishing the transit duties, and for the assembling of a Congress at Santa Fé, which was to consist of two delegates from each province, to be selected by the popular vote, to be untrammeled by instructions, and the minority to conform to the decision of the majority, without dissent or protest. In order to defray the national expenses, the provinces agreed to contribute in proportion to the product of their foreign Custom-houses, and that the permanent establishment of the duties shall be fixed by Congress. To secure the internal order and peace of the republic, the provinces engage to combine their efforts in preventing open hostilities or putting down armed insurrections, and the better to promote these objects, General Urquiza was recognized as General-in-chief of the armies of the Confederation, with the title of Provisional Director of the Argentine Confederation. In the Chambers of Buenos Ayres, very warm opposition was manifested to this Convention: bitter and violent debates took place, and the popular clamor became so high that the Governor Lopez resigned his office; whereupon General Urquiza dissolved the Chambers, and took the supreme power into his own hands. In a communication sent by his order to the British Chargé, he states that the anarchy into which the province was thrown, compelled him to take this step, and declares that he shall not extend the authority with which he is vested beyond the time and the measures necessary for the re-establishment of order in the province. He also issued a brief address to the Governors of the provinces of the Confederation, declaring that he should use the power they had conferred upon him in rendering effective the sovereign will of the nation, in repelling foreign aggressions, and in restraining the machinations of those who might seek to awaken the passions which had so often brought disaster upon them. He promised that, with their assistance, the Argentine people should be presented before the world constituted, organized, and happy. "My political programme," he adds, "which is founded on the principles of order, fraternity, and oblivion of all the past—and all the acts of my public life, are the guarantee that I give you of the promise which I have just made, and, with it you may rest assured, that when the National Congress has sanctioned the Constitution of the State, and the confederated communities have entered into the constitutional path, I will deliver up to it the deposit you have confided to me, with a tranquil conscience, and without fearing the verdict of public opinion, or the judgment of posterity." After the dissolution of the Chambers there were some symptoms of rebellion, but this proclamation restored order, and was well received. He ordered all the printing offices to be closed for a few days, and banished five of the leading opposition representatives from the country. The provisional government had been temporarily reinstalled: and in this position affairs were awaiting the meeting of Congress, which was to take place in August.——In Brazil, important steps have been taken toward commencing works of internal improvement. A company has been empowered to construct railways from Rio Janeiro to several towns in the interior, and an agreement is in progress between the Imperial Government and a private company for the regular navigation, by steamboats, of the Amazon. The public revenue of Brazil continued to increase. A project for granting government credit to aid in purchasing steamers to cruise against African slave-traders, was under discussion in the Chambers, with a fair prospect of its passage.——From Ecuador, we learn that the expedition planned and led by General Flores against Guyaquil, has been defeated and dispersed. The troops comprising it, consisting of Chilians and Americans, and numbering about nine hundred, deserted Flores, and went over to General Urbina, the President of Ecuador, to whom the six vessels of the expedition were also given up. General Flores himself escaped to Tumbez. From the partial narrative of an officer engaged in the expedition, which is the only account of it yet published, the army of Flores seems to have been singularly deficient in energy, discretion, and valor. One of the vessels was blown up on the 3d of July, by the discharge of a pistol by one of the men, who were drunk in the cabin: about thirty lives were lost by this casualty.——In Chili, Congress was in session at our latest date, July 1st. Bills were under discussion to levy a direct tax on all property in cities and towns for municipal purposes: subjecting all schools to the control of the parish priests; and providing for the maintenance of the clergy. The telegraph from Valparaiso to Lima was in operation, and another line was projected to Copiapo—which is at the head of the province whose silver deposits have yielded so abundantly of late: it is said that the export from that province for the year will amount to six millions of dollars. Coal, said to be very little inferior to the best English coal, is found at Talcahuana. Labor and the necessaries of life were very high at Valparaiso.——From Montevideo, accounts to the 5th of June, state that the ratification of the Brazilian treaties puts an end to all fear of another foreign war. The principal clauses of the Convention agreed upon are the abandonment of the line of frontier which the treaties of October, 1851, conceded to Brazil, and the cession of the right of free navigation on Lake Merim to the Oriental flag.