Greenville, Ashwood, and Columbia are three noted points for guerrillas. A force at Skipwith's Landing cold operate respectively against all these points, the farthest being 25 miles distant. There are a number of points on the river where small parties of troops are kept, merely offering a bait for the rebels to bite at. It will no doubt strike you that if these squads were all put together they could operate more effectually. Hundreds of soldiers, black and white, have been snatched up by the rebels at these places, which are not covered by a gun-boat nor offer any facilities for defense. I do not even know where many of these small squads are placed, and only know of their existence by seeing, as I pass up and down, a lot of soldiers, who, no doubt, would be glad to be doing something useful.

There are a number of troops at Jeff. Davis' plantation. I would recommend them to be withdrawn; the gun-boats there can protect that place. There are also a number of soldiers on some of the islands, protecting wood-yards. These islands, being isolated, protect themselves. These stations are excuses for store-boats, which supply rebels with all they want. I have directed gun-boats to break up all these trading store-boats along the river, and am sure you will give me your aid. Troops have been kept at Waterproof for some time, which Messrs. Hart and Field took advantage of to open a trade store, which supplied the rebels with $6,000 worth per month. General Slocum has, I believe, arrested this party of illicit traders. The station was a great temptation for rebels to come on there, get supplies of arms, &c., and when half drunk, to fire on steamers; liquor makes half the trouble.

I had sold at auction a few days since ninety revolvers, captured near Waterproof, and loaded, for sale to the rebels. I think this next month will wind up the guerrillas. I have directed the gun-boats to stop all trade, and to allow nothing to land except at military posts.

If all the commanders of posts will issue such orders as General Washburn has there will be no more smuggling. I have ordered all officers under my command to see his order carried out. One part of his order may, however, lead to some misunderstanding. I allude to his ordering a vessel (the Monarch) belonging to the Marine Brigade to proceed down the river and arrest all vessels trading. This duty properly belongs to the navy, and the lieutenant-commanders of naval district might not understand how it is that their duties are assumed by one of the marine or ram fleet.

These vessels have already committed a great many arbitrary acts on this river under the cover of performing duty, and have alienated a good many who were disposed to be friends, and I would respectfully recommend that they be not employed on duty that can be performed by the gun-boats; they don't seem to possess the right kind of discretion. General Grant was so convinced of the hurtfulness of this organization that he intended to break it up and use the regular troops instead, but circumstances prevented him from doing so.

Now, I would recommend that these boats be kept at different stations and ready to start at a moment's notice and to receive troops on board. Heretofore these vessels have been perfect pest-houses, and General A. J. Smith's command had 30 or more taken down with small-pox, contracted on board one of these vessels. By retaining the present organization on board they will never be fit to carry