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The collapse of Oscar Wilde's case and subsequent arrest, says the correspondent of the 'New York World' on 5th April, have cause a sensation without parallel in London since the exposure and flight of the forger Pigott during the sitting of the Parnell Commission. Still, since Wilde's first day's testimony the result was foreseen. The expectation was that the jury would stop the trial and return a verdict for Lord Queensberry. Wilde's lawyers acted wisely in consenting to a verdict at the stage the suit had reached. If Lord Queensberry's witnesses had been examined the judge would have had no recourse, but must have issues a warrant for Wilde's arrest on a charge entailing as a maximum a penalty of twenty years' imprisonment, but upon the evidence already unfolded, if Wilde is convicted, it can only be of a misdemeanor, for which the maximum penalty is two years' imprisonment. Wilde looked a changed man this morning as he slunk into the court buildings. His complexion was ghastly, and altogether he had the aspect of a man who had passed a wakeful and anxious night. To an interviewer Wilde stated, in a nervous tone quite unlike his flippant audacity as a witness, that he had withdrawn from the case to spare Lord Alfred Douglas the pain of testifying against his father, adding that he willingly sacrificed himself for his friend. That was the hollowest "bluff." The truth is that Wilde's chief lawyer, Sir Edward Clarke, decided after the close of Thursday's proceedings to withdraw from the suit. This decision was immediately communicated to Oscar, hence the restless, hopeless night he passed. Wilde's lawyers say that up to that time he had never evinced the slightest appreciation of the enormity of the accusations against him. It was only when the imminent prospect of his taking Lord Queensberry's place in the dock dawned upon him that he lost his self-command The mass of testimony ready to be given against him, as foreshadowed by Lord Queensberry's counsel, took Wilde completely back. The 'Word's' correspondent hears that this testimony was tendered by the police to Lord Queensberry's lawyers, it having accumulated during their investigations. They had planned a public prosecution if the case had proceeded. It is rumored that one of the reasons why Sir Edward Clarke decided to stop the trial was that to go on would have involved the disclosure of the names of distinguished personages, but this story is discredited. If Wilde had escaped to the Continent he would have been safe from arrest, as he could not have been extradited under the charge. It was reported he had fled, but he was seen in Chelsea at 4 p.m. to-day, and was arrested by 7 p.m. Mrs Wilde, who is distracted with grief at the turn affairs have taken, has about £500 a year of her own. For the last three years she has received no financial help from her husband.

Ever since the Police Court proceedings the bookings for both Wilde's pieces have steadily declined. The London public will never tolerate the performance of any more of his plays. Thus his principal means of livelihood is gone, and as he lived very extravagantly he has nothing from the large income he has had for some years.

FLIGHT PROJECTED.

A later London cable says:—"Oscar Wilde was arrested by a detective of Scotland Yard this afternoon on charges growing out of his own evidence given in the libel suit against Lord Queensberry, which was decided against the dramatist to-day. The warrant was issued on the application of Sir George Lewis on behalf of the Public Prosecutor. After the trial this afternoon Wilde went to the Westminster Bank, where he drew out the funds to his account, after which he was constantly shadowed. He returned to his hotel, accompanied by Lord Alfred Douglas, only remaining a few minutes, after which they drove off to Ely place, and thence to the Cadogan Hotel, where they vanished. The Scotland Yard authorities issued descriptions of Wilde, and spread them over the city, and he was captured before he could get out to the country, as was evidently his intention. He was taken to Scotland Yard and locked up; then he was taken to Bow street and placed in the dock. At the police station he stood with his hands in his pockets while the charge against him was being taken. The police inspector then read the charge aloud, and asked Wilde if he had anything to say, adding the usual warning that anything he said might be used against him. The prisoner, apparently indifferent, made no reply. He was then searched, after which he was locked in a cell. Subsequently Lord Alfred Douglas went to the police station and inquired whether Wilde would be admitted to bail. The police inspector explained that Wilde was arrested for a criminal offence, which did not allow of bail being accepted until he had been arraigned in court. Lord Alfred seemed greatly distressed by this information. Sworn informations have been lodged against several persons mentioned in the trial, some of whose names were not made public. They will be arrested."

WILDE'S EXPLANATION.

The 'Evening News' to-day received the following letter from Oscar Wilde, written upon note paper of the Holborn Hotel:—"It would have been impossible for me to have proved my case without putting Lord Alfred Douglas in the witness-box against his father. He was extremely anxious to go into the witness-box but, I would not let him. Rather than put him in so painful a position I determined to withdraw from the case and bear upon my own shoulders whatever ignominy and shame might result from my prosecution of the Marquis of Queensberry."—Oscar Wilde.

London, April 5. -- The suit of Oscar Wilde against the marquis of Queensberry came to a sudden and unexpected termination shortly after the third day's proceedings were begun in the Old Bailey before Justice Collins.

Sir Edward Clarke, the leading counsel for the plaintiff, asked permission on behalf of his client to withdraw the suit and submit to a verdict of not guilty in regard to the words "posing as a --," written by the marquis of Queensberry on the card left by the marquis at the Albemarle club for Wilde on February 18, and which card formed the outward basis of the suit. The jury, under instructions from Justice Collins, returned a verdict of not guilty, coupled with the statement that the justification set up as a defense by the marquis of Queensberry was true in substance and in fact and that the statement complained of was published for the public good.

The verdict was received with applause which was not checked by the presiding judge, and the marquis of Queensberry was discharged from custody and left the court triumphantly smiling and surrounded by his friends. Shortly afterward it was announced that a warrant for the arrest of Oscar Wilde was to be applied for, all the papers in the case having been submitted to the prosecutor.

Before 10 o'clock this morning every available foot of space in the court room was filled with spectators who were armed with newspapers and packages of sandwiches and were otherwise ready to spend the day in court in the happiest and most comfortable manner possible.

The marquis of Queensberry at 10:25 entered the court looking calm and confident. Promptly at 10:30 a.m. Justice Collins entered and the court was opened. Oscar Wilde, however, was absent.

Mr. Edward M. Carson, Q. C., leading counsel for the defense, resumed his speech, which was not yet completed when the court adjourned. He said the marquis was justified in bringing to a climax in the way he did the case between his son and Wilde. Continuing, counsel said he approached a more painful duty. It would be his task to call several young men who would tell their own tales and who would show that the man, Taylor, frequently referred to during the proceedings, was Wilde's procurer. It was no wonder that the marquis of Queensberry protested against the intimacy between his son and Wilde. The wonder is, the counsel said, that this man had been so long tolerated in London society. His conduct in regard to the boy at Worthing, continued Mr. Carson, was an evidence of his disgusting audacity. He picked up this boy on a pier and introduced him to his family, dressed him up as a gentleman and put public school colors upon his hat.

Mr. Carson was continuing his terrible denunciation of Oscar Wilde when Sir Edward Clarke and others of Wilde's counsel left the court. They soon returned and Sir Edward asked for permission to interrupt the proceedings. Then, amidst a most impressive silence, the leading counsel for the plaintiff announced the withdrawal of the case on behalf of the client. The chief concern of Sir Edward Clarke seemed to be his desire to justify himself in undertaking the case for Wilde.

He said that after consulting with his client, who, by the way, was in the room, and who left the building hurriedly when Sir Edward Clarke began his statement, he asked to withdraw the suit and on Wilde's behalf to submit to a verdict for the marquis of not guilty in regard to the words "Posing as a --" in view of the extracts which had been read in court from Wilde's novel of "Modern Social Life," "Dorian Gray" and from the magazine, the Chameleon.

Justice Collins said that the words "Posing as a --" were either justified or not justified. If the jury consented to the course suggested and were to return a verdict of not guilty they were also to find that the justification set up by the defendant was true in substance and in fact, and that the words complained of were published for the public benefit.

The jurymen consulted together for a moment, and then without leaving their seats they returned a verdict as directed by Justice Collins, namely, that the marquis of Queensberry was not guilty of libel and that the words he had written on the card which formed the basis of the suit were published in the interests of the public.

The verdict was received with loud applause in court and Justice Collins made no attempt to check it.

The marquis of Queensberry was then discharged from custody and left the court triumphant and surrounded by his friends.

The defense, it appears, had a long array of witnesses on hand, including waiters employed in hotels of Paris, London and other cities which Wilde had frequented.

Oscar Wilde has just written a letter to the newspapers, in which he says: "It was impossible to prove my case without putting Lord Alfred Douglas in the witness box against his father. Lord Alfred was anxious to go into the box, but I would not allow it. Rather than put him in such a painful position I determined to retire and let fall upon my shoulders whatever shame and ignominy that might result from not prosecuting the marquis of Queensberry.

An application was made for the arrest of Wilde and the application was granted.

Officials of the treasury department, under which brand of the government public prosecutors are directed, visited Bow street police court several times this afternoon previous to the granting of the warrant for Wilde's arrest. Upon the occasion of their last visit they were accompanied by a detective and by two boys. After a short consultation between the treasury officials and Sir John Bridge, during which several questions were addressed to the detective and to the boys, magistrate issued the warrant.

Wilde spent several hours in company with Lord Alfred Douglas at a hotel in Holborn. His brougham was waiting in front of the hotel. Early in the afternoon Lord Alfred drove to a bank, cashed a check and returned to the hotel. Soon afterward both Wilde and Lord Alfred drove away.

Wilde was arrested at the Cadogan hotel, Sloan street, and taken in a cab by two detectives to Scotland Yard.