VICTORIA. Melbourne, 12th August.

Evening Post, Issue 174, 29 August 1865, Page 2

VICTORIA. Melbourne, 12th August.

It is supposed by many persons here, well-informed in political matters, that the embroglio between the two Houses will not be finally settled without a change of Ministry, and a dissolution of Parliament. It is said, indeed, that the resignation of Mr. M'Culloch and his colleagues will follow, almost as a matter of course, from the loss of the Appropriation Bill and the consequent " stoppage of supplies to her Majesty." The Civil servants are at

present placed in a most v ,fc position by the stoppage of their monthly salaries ; and although the Government have continued to pay the police and all day laborers employed in the public service, the fund out of which such payments are being made is well nigh exhausted, and it was asserted that when the last pound has been paid, the Ministry will place their resignations in the hands of his Excellency Mr Charles Darling, and state as their reason for taking that course that " there are no funds available with which to carry on the business of the country." In that event it is supposed lhat Mr. Fellows, as the leader of the " Upper House party," will be requested by the Governor to form an administration. Should the proposal be accepted, a dissolution of the Assembly and au appeal to the country must of course follow. The main issue to be decided at a general election will be whether the financial system of the colony is for the future to be basid upon " Free Trade" or "Protection." The struggle will no doubt be desperately maintained on each side, and without pronouncing in favor of either doctrine, I feel bound to state it to be my firm conviction that the advocates of the latter policy will bo found by the event far to outnumber those of the former. \lt' I am not mistaken, therefore, a general election will have to be follnvod by the reinstatement of the present administration in office, although probably with some modification in its composition ; but those modifications certainly will not be in favor of Free Trade or of concession to the Upper House, so that after all the old difficulties of the situation will again rise up, and have to be dealt with afresh.— Otago Daily Times Correspondent.