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Caiied .siates oad Bneaos .4ures,
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Jaifed ssfdtes oad Bneaos Ayres. The origin of the misunderstanding between our Governmeat and that of Buenes Ayres, and which led 10 tie re. urn of our Charge q 'Atlaires, Alr. Bay. iiss, is no doubt, to many of eur read CTS, involved in ehseurily, as WE con iess Il vas to ourselves, until we met with lucid explanation of the whole affair from asi intelligent cores pondent of tie New 1ork Journal of Commerce. contained in q letter 10 the Editors of that paper, dated tie 18th of October last. As 1t is too loug for our columns, NC condense the itforination contained Tn ii. II must be borne in mind that the establishment of Ncrnet at the Falkland Islands was hrokcnnp by Capt. Duncan, Tn the U. $. sEoop of war Lexington, and Nernet and his companions taken prisoners and detained as such. until inc arrival of the late Commodore Roc- CTS at Baenos Ayres, when they were given t'P to that Government. 'ffhc writer states that "lhe question atissue embraces two aistiuc, points, by the confounding of which much of the exist. ing !. g FPerfplexityy and mistake is caused.-- fifsl, whether the Falkland Islands be- long oi right to Buenos A,rcs euetsiue- lg, or 10 the nations Of the earth in common, as nnapproprialed terrilery. Second, whether the establishment of senet, destroyed by Capt. Duncan, was q ooao tde colony of Boenos Ayrcs, or Ii pIraiicai enterprise, for the acts of which nolegitimate government was re- sponsihlc."

 The tile to these Islands has always oeen claimed by Bucnos A,res since the revolution. The solution of the first question he leaves 10 lawyers. ihe second he discusses at some leneth.-- Inc following are the facts of the case; In 1891, Nernet commenced his estab- iisilnent at the Falkland Islands as d private enterprise, under the sanction oi the Government. In 1899, decree Was issued by the Bnenos Asrean Sc. ver,ment, appointing Don Luis VcrneF clsIl and military Governor of these Isl. ands, defining the powers tllns confer red, among which was the exclusive control of the fisheries in the vicinity. m accordance with tiiis power, 'efnes issued circulars warning all persons 2. galnstilshrg without his speci#llc Subsequent 10 this, three Americanses- seis appeared at the Islands, and copies oi this notice were put on board each Of them. They persisted in fishing, and were consequently capturcdby Verneis order, and by agreement between Yer net and the Captains, one of them was sent 10 Buenos Ayrcs 10 be tried as iile representative of the three.

 Upon her arrival, MT. Slacum, M