The news of these exploits passed quickly to Congress, and without delay Arnold was promoted to the rank of major-general. But, with an inconsistency not easily accounted for, his relative rank was not restored, and he was still left by the date of his commission below the five major-generals, who had been raised over him. If his merit as an officer now required his advancement, notwithstanding the former objections, it would seem to have been a proper act of magnanimity to place him where the reproach upon his military honor would be removed, and his sense of justice satisfied. To degrade and promote at the same time was a singular mode of bestowing reward, or expressing approbation. Arnold regarded it in that light, and was by no means at ease with his new appointment thus grudgingly conferred, or rather extorted by the fresh laurels he had won on the field of battle.

General Washington, sensible of the delicacy of his situation, and valuing highly his services, hastened to make the best amends in his power for the neglect of Congress, by appointing him to the command on the North River, which, at that juncture was as honorable a post as any officer in the army could hold. He declined the offer, however, and obtained the consent of the Commander-in-chief to go to Philadelphia, and prosecute his first design of applying in person to Congress for an examination into his conduct. He soon discovered, what he before had sufficient reason to apprehend, that the unfavorable reports of his behavior at Montreal and Ticonderoga, added to a conviction of the inherent defects of his private character, which every body was ready to acknowledge, were the prevailing causes of the disrepute in which he was held by a majority of that body. These stern patriots, regarding virtue as essential to true honor, did not consider great examples of valor, resource, and energy, even in arousing and sustaining the military ardor of a country, as an adequate counterpoise to a dereliction of principle and a compromising integrity. How far a judicious policy and pure patriotism were combined on this occasion, or to what extent party zeal contributed to warp the judgment, we need not now inquire. It is enough to know, that impressions were fixed and their influence was felt. To remove the former and weaken the latter was the task, which Arnold set himself to perform.

His complaints were loud, and expressed with a show of sensibility, which from any other man might seem to be sincere. "I am exceedingly unhappy," said he, in writing to Congress, "to find, that, after having made every sacrifice of fortune, ease, and domestic happiness to serve my country, I am publicly impeached (in particular by Lieutenant-Colonel Brown) of a catalogue of crimes, which, if true, ought to subject me to disgrace, infamy, and the just resentment of my countrymen. Conscious of the rectitude of my intentions, however I may have erred in judgment, I must request the favor of Congress to point out some mode, by which my conduct and that of my accusers may be inquired into, and justice done to the innocent and injured." This letter was referred to the Board of War. As a proof, that the poison of party was then rankling in the national councils, and that it was not inoperative in this affair, we may cite a letter written by Richard Henry Lee, on the day that the above complaint, or petition, was presented. "One plan," he observes, "now in frequent use, is to assassinate the characters of the friends of America, in every place and by every means; at this moment they are reading in Congress a bold and audacious attempt of this kind against the brave General Arnold."

After examining all the papers in their possession, and holding a conference with General Arnold, and with Mr. Carroll (one of the commissioners from Congress at Montreal when the former commanded there), the Board of War reported, that they were entirely satisfied as to the character and conduct of General Arnold, which, in the language of the Board, had been "so cruelly and groundlessly aspersed." The report was confirmed by Congress; yet, strange as it may appear, his rank was not restored, nor was any resolution adopted on that head; and he was thus left with all his griefs bearing as heavily upon him as before; and indeed more so, since their burden was increased by this unexpected but convincing proof of the deep-rooted hostility of his opponents, and of their being influenced by motives, which he had not anticipated. His disappointment was the greater at this moment, as Congress had two days before complimented him with the gift of a horse, properly caparisoned, being a token of their approbation of his recent gallant conduct against the enemy. It was no wonder, that this giving with one hand and taking away with the other, exciting hope and defeating expectation with the same breath, should worry and disgust a man, who had a right to look for consistency if not for favor. This duty Congress owed to themselves, for the sake of their own dignity; and they certainly owed it to every officer, whom they deemed worthy of a commission in the army.

Another circumstance now occurred, which involved the case in new difficulties. General Arnold presented his accounts to Congress, and requested an examination of them by a committee. For the want of proper regulations in the various military departments at the beginning of the war, the business of purchases, payments, and other money concerns, rested mainly with the commanders of detachments. This system prevailed in the Canada expedition as a matter of necessity. By the peculiarity of his situation, from the time he left Cambridge until the evacuation of Canada, Arnold was compelled on many occasions to act in the triple capacity of commander, commissary, and paymaster. Hence his accounts were voluminous and extremely complicated, and in many parts without vouchers or proper certificates. This irregularity was to be expected from the nature of the case; but it was soon discovered, that he had introduced a series of extravagant charges in his own favor, some of them dubious in their character, and others manifestly unreasonable, even if the items could be proved, which in the aggregate swelled his personal claims upon the government to an enormous amount.

As there was no pretence of his having carried his own money into the service in any considerable quantity, and as his credit was not of a kind to command large resources upon his individual responsibility, the inquiry very naturally arose, how he could in the space of a few months, while discharging an active and arduous military duty, accumulate property to such an amount, as appeared in the balance of his accounts. In short, every one perceived, that there was a fallacy, a deception, or an impudent attempt to overreach and defraud the public. His enemies in Congress gained new strength to their cause by these developements, and his friends were vexed at the hard task they had undertaken, of vindicating and sustaining a man, whose merits as an officer were of the highest order, and whose services they deemed invaluable to the country, but who, by the deplorable perversion of his moral qualities, was using the ascendency he had acquired as a means of robbing that very public, which, under the guise of a hypocritical patriotism, he pretended to serve from disinterested motives, and at a great sacrifice.

While the committee were engaged in examining the accounts, Arnold was appointed to the command of the army then convening in the neighborhood of Philadelphia, and awaiting the movements of General Howe, who, it was supposed, would open the campaign by a renewal of his attempt to cross the Delaware, and march into Pennsylvania. When this officer made a demonstration from Brunswic towards Washington's encampment, with a view of bringing that cautious commander to a general action, it was thought his design was against Philadelphia, and Arnold was sent forward by Congress to take post on the Delaware above Trenton, to examine the passes, secure the boats, and cooperate with General Washington in opposing the enemy's advance. This duty he discharged with his usual promptness and energy, and, when the British general retired to Brunswic, he returned to his head-quarters at Philadelphia.

Meantime his accounts lingered in the hands of the Committee, who had delayed making a report, and seemed not inclined to hasten it; nor had any notice been taken of his reiterated demands to have his rank adjusted. His impetuous temper could not brook this neglect, and his patience was exhausted. He wrote a letter to Congress, tendering a resignation of his commission, declaring at the same time, that he was driven to this step only by a sense of the injustice he had suffered, and professing an ardent love of his country, and his readiness to risk his life in its cause; but, he added, "honor is a sacrifice no man ought to make; as I received, so I wish to transmit it inviolate to posterity." Just at this crisis came the intelligence of the disasters on the northern frontiers, the unexpected evacuation of Ticonderoga, and the approach of the formidable army under Burgoyne; and it so happened, that, on the same day that the above letter of resignation was communicated to Congress, they received a letter from General Washington, recommending that General Arnold should be immediately sent to join the northern army. "He is active, judicious, and brave," said Washington, "and an officer in whom the militia will repose great confidence."

Flattered by this preference, and looking forward to a scene of action in which he always delighted, he did not hesitate to comply with the order, and suspend his demand of permission to resign, adding only, that he should leave it with Congress, and made no doubt they would listen to it when the service now before him should be accomplished. He went still farther and volunteered an act of magnanimity, which certainly must extort praise, if it cannot win esteem. General St. Clair was in the northern army, and he was one of the five major-generals, who had been promoted over Arnold. With his keen sensibilities on this subject, it might be presumed that he would insist on his rights, and refuse to be commanded by an officer thus situated; but he generously waved all considerations of that kind, declaring that he would do his duty faithfully in the rank he then held, and trust to the justice of his claims for a future reparation. This pacific overture, it is true, was owing in no small degree to the solicitude of Washington, whom he knew to be his sincere friend, and whose judgment was compromised in recommending him to this appointment.