No. 52.
Mr. Carlisle to Mr. Bayard.

No. 44.]

Sir: I have the honor, referring to my despatch No. 41, to report that the military insurrection at Sucre has been suppressed and civil order completely restored.

President Arce, with the troops from Oruro, arrived at Potosi on the evening of the 6th instant, and after re-enforcing his army to 2,500 men, marched out from Potosi on the morning of the 8th and late in the afternoon encountered the insurgents, 800 strong and well posted on the heights of Karikari with eight Krupp guns. He at once attacked them and with the few remaining hours of daylight gained a decided advantage. The next day they retreated to Chaqui, a few miles south of their original position, and there dispersed, the same afternoon abandoning their cannon and other material of war and taking precipitate flight in the direction of the Argentine frontier.

Their courage in marching almost to the gates of Potosi to meet the constitutional army is explained by the fact that the road from Karikari afforded them the only safe line of retreat out of the country in event of disaster.

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The loss on either side was insignificant.

This mutiny never had the sympathy or support of the people, but from the beginning to the end was the work of a brutal and cowardly body of soldiers, instigated by a few degraded and dismissed officers of the line. This is shown especially in the conduct of the citizens of Sucre, who, as soon as the insurgents had marched out towards Potosi, began the re-establishment of order and took effective measures for the defense of the city against their return.

The President, after the engagement, returned to Potosi, whence, on the 14th instant, he directed an official proclamation re-assembling the national congress at Sucre on the 1st of November next-There is some disaffection in the North, caused by retention of the seat of the government and the sessions of congress at Sucre, but it is generally believed that it will soon be quieted under the President’s conciliatory assurance and conduct.

I am, sir, etc.,

S. S. Carlisle.