and has excited most of that irritation and bad feeling from which Indian hostilities have originated. In justice to the Indian and to the Government, which is in fact responsible for any wrong done to him, and to secure peace which shall possess some of the elements of permanency, such measures should adopted as will put an end to the condition of things respect which now exists.

It is believed that the inclosed code of regulations, if strictly executed, will effect this purpose. It is not necessary to explain to you in detail each of the provisions of this code nor the reasons which have dictated them, but to some explanation of one or two of them I desire invite your attention. Article XIII provides that-

When hostilities break out with any tribe of Indians, all trading posts in reach of such Indians shall be closed and trade suspended until quiet is restored.

At present the Indian trading posts are established at points remote from military posts, so that Indians are offered inducements to keep away entirely from the military forces. The very opposite should be the object of the Government, and is the object of the military commanders in the Indian country. When hostilities break out in one part of the country, the hostile Indians have only to resort to distant trading posts to supply themselves with ammunition, &c., to carry on hostilities, so that the only persons on the frontier who do not suffer from Indian wars are likely to be Indian traders.

The Indian, being at any time able to replenish his supplies at these irresponsible trading posts, suffers little inconvenience from hostilities. The trading posts have been located at remote and isolated points, and even if the traders wished to refuse supplies to the Indians who are committing depredations in another part of the country their own safety forbids it. They are therefore as dangerous to white men nearly as Indians themselves. It is not doubted, either, that unfair dealings with the Indians by these very traders, who are neither overlooked by nor responsible to any authority, is the accession of most of or Indian difficulties. You will perceive that articles III and XIII provide for the difficulties likely to arise from our present system of trading.

By these articles the Indian is forced to resort for trade to some military post or its immediate vicinity. This to a large extent fixes his permanent abiding place or at least gives him a necessary place of resort, where very frequently he is compelled to come into the presence and under the supervision of the military authorities. The moment hostilities, occur, all trading is suspended and both the Indians suffer their continuance. It therefore becomes the interest of both to restore quiet,and traders as well as all other Indians are at once enlisted on the side of peace by the force of their own pecuniary and personal interests. It is my purpose also hereafter to treat all Indians in this department who have been directly or indirectly concerned in hostilities as prisoners to the United States as soon as they are are subdued and ask for peace, and to specify to each tribe thus surrendering the trading post at which it must deal.

No treaty will be made with them and no expense incurred by the Government in any way. The liberties of the Indians will not be further restrained than as herein indicated, and they will be permitted to roam over the country and subsist themselves in the same