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The letters of marque in England

--Letter from the Underwriters — The Palmetto Flag Hoisted in the Prince's Dock.--We are credibly informed that there are at present in the port of Liverpool several vessels undergoing repairs and being fitted up for the purpose of privateering. These vessels are now awaiting the return from America of parties interested in this buccaneering business, with the necessary "diploma" from Montgomery, the seat of the Confederate Government in the South.

In the Liverpool Underwriters' Rooms, yesterday, the following significant notice was posted up:

New York, May 8.--The Montgomery Conference yesterday passed an act recognizing war with the United States, and authorizing the granting of letters of marque and reprisal, for which applications are very numerous. A proviso announces that free ships make free goods, and thirty days are allowed to Federal vessels in the ports of the Confederate States to return home.

The general opinion in Liverpool is that this last act of the Southern Government will be the means of infesting the seas with a horde of unprincipled adventurers from all parts of the globe, who will have no respect for the flag of either the Palmetto State or the Federal Union, but who will attack friend or foe indiscriminately, and cause a revival of those bloody privateering incidents so common towards the end of the last, and the beginning of the present century. In the Prince's dock yesterday, for the first time since the civil discord in the United States, an American vessel hoisted the flag of the Confederate States in an English port.--Liverpool Cor, London News, May 21.

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