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London, April 5– The suit of Oscar Wilde against the Marquis of Queensberry came to a sudden and unexpected termination this morning shortly after the third day’s proceedings were commenced in the Old Bailey, before Justice Collins.

The result was apparently brought about by the terrible denunciations in the opening argument of Queensberry’s lawyer, Edward M. Carson, M. P., who began yesterday his statement of what he proposed to prove against Wilde. To-day he continued laying down further the line of defense that he intended to offer, and had proceeded a few minutes when Sir Edward Clarke, Wilde’s leading counsel, left the court room. He returned after a brief absence, and amid an impressive silence asked permission on behalf his client, Wilde, to withdraw the suit and submit to a verdict of not guilty in regard to the libel alleged, written by the Marquis of Queensberry. The jury, under instructions from Justice Collins, returned a verdict of not guilty, coupled with the statement that the justification set up as a defence 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 loud applause, which was not checked by the presiding justice, and the Marquis of Queensberry was discharged from custody and left the court triumphant, smiling and surrounded by his friends.

The Old Bailey was filled before 10 o’clock with a crowd which had brought lunches, prepared to stay to the end of the day. No one had the remotest idea that the end was so near at hand. The Marquis of Queensberry entered the court room at 10:20 o’clock, looking calm and confident of the result. Promptly at 10:30 Justice Collins took his seat on the bench and opened court. It was noticed that Wilde was not in the court room, but nothing was thought of the circumstance, for the plaintiff was late yesterday.

It was learned later, after Sir Eward Clarke retired, that Wilde was in the anteroom to which his counsel had gone. After a brief interview with his client Sir Edward Clarke returned and withdrew the suit, as noted above. Wilde left he building hurriedly when his counsel began his statement of withdrawal.

Sir Edward Clarke, who is a prominent conservative and who was solicitor general under Lord Salisbury’s last administration, seems desirous of setting himself right for taking the case behalf of Wilde, and the developments of the trial the stated to be altogether surprising to him.

Oscar Wilde has 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 extremely 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 from the case and bear upon my own shoulders whatever shame and ignominy might result form not prosecuting the Marquis of Queensberry."

Shortly after 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 public prosecutor.

Later in the day the application was formally made at the Bow street police court before Sir John Bridge, the presiding magistrate, for a warrant for the arrest of Oscar Wilde and the magistrate granted the application.

Officials of the treasury department, under which branch the government public prosecutions are directed, visited Bow street police court several times this afternoon, previous to the granting of the warrant for Oscar Wilde’s arrest. Upon the question of their last visit they were accompanied by a detective and two boys. After a short-consultation between the treasury officials and Sir John Bridge, during which several questions were addressed to the detectives and to the boys, the magistrate issued the warrant. Wilde during the day spent several hours in company with Lord 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.

Oscar Wilde Arrested.

London, April 5– Oscar Wilde was arrested at the Cadogan hotel this afternoon.

He was taken to Scotland yard by two detectives.

(PER MAIL STEAMER AT AUCKLAND)

The collapse of Oscar Wild's case and subsequent arrest, says the correspondent of the 'New York World' on 5th April, have caused 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 issued 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 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 forshadowed by Lord Queensberry's counsel, took Wilde completely back. The 'World'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 extradicted under the charge. It was reported he had fled but he was seen in Chelsea at 1 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 L600 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 of 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 persecution of the Marquis of Queensberry."—Oscar Wilde.