On the same day a proclamation was issued by General Banks of a patriotic and conciliatory tone. The commencement of General Banks’s administration was marked by a leniency which seemed to indicate that the severity which General Butler had thought it necessary to exercise was either distasteful to the new commander, or contrary to the policy of the Government. Many political prisoners were released, and other lenient measures adopted towards obstinate rebels, which only resulted in the abuse of his clemency, and the manifestation of a turbulent spirit and disloyal conduct on the part of rebellious citizens. It soon became evident that General Banks did not possess the ability to govern a conquered city with that ease and tact which had been evinced by his predecessor; and during his whole administration he was subjected to opposition and constant annoyance from a class of civilians upon whom the more bold and energetic measures of his predecessor had always been sufficiently potent to restrain them from direct conflict with him. Previous to the arrival of General Banks at New Orleans, he had been for two months engaged in organizing a military and naval force to accompany him, which was designed, in the first place, to cooperate with the forces of General Grant and Admiral Porter in the reduction of Port Hudson and Vicksburg, in order to open the Mississippi river to the free passage of the Federal gunboats. This accomplished, a movement on Texas was contemplated, which State was now contributing largely by her trade on the Mexican border, and her contributions of army subsistence, to sustain the rebellion. No military events of importance occurred in Louisiana until the middle of March, 1863, excepting a small expedition up the Teche river by the gunboats, in which Commander Buchanan of the Calhoun was killed. During the first weeks in March General Banks had concentrated his army at Baton Rouge, amounting to nearly twenty-five thousand men. The naval forces on the lower Mississippi were under the command of Admiral Farragut. Port Hudson, or Hickey’s Landing, as it was called some years ago, is situated on a bend in the Mississippi river, about twenty-two miles above Baton Rouge, and one hundred and forty-seven above New Orleans. Approaching Port Hudson by water from below, the first batteries were situated on a bluff about forty feet above high water mark. On the night of 14–15th March, Admiral Farragut passed the rebel batteries at Port Hudson with his flagship, the Hartford, and the Albatross. He attacked the forts with his entire fleet, but all but the two vessels above named were repulsed, and the Mississippi, having grounded, was set on fire and abandoned. A graphic description of this event is given by a correspondent of the New York Herald, on board the Richmond, from which we subjoin the following condensed account, written at the time: