the presence of the transports true? They have not passed down the Potomac, nor is there any indication in General Burnside's army to show a purpose of moving.

R. E. LEE.

WAR DEPARTMENT, C. S. A.

Richmond, Va., January 2, 1863.

Colonel J. F. GILMER,

Chief of Engineer Bureau:

SIR: By a contract made by predecessor (General Randolph) with the Richmond and Danville Railroad Company, they undertook the construction of the connection between Danville and Greensborough, in North Carolina and were to receive bonds of the Confederate Government bearing 8 per cent, interest, for $1,000,000 (the amount appropriated by the act of Congress), less by the sum of $75,000, which was advanced them. This contract was made on May 6 last, and the railroad company, having given the bond and executed the securities required for the future repayment of the amount, are entitled to receive the bonds for $925,000, to be issued as of May 6 last. You are requested to draw a requisition upon the Secretary of the Treasury for the amount of bonds to which the company is entitled, and to hand them to Lewis E. Harvie, esq., president of the road, or his authorized agent, taking a receipt for them.

Your obedient servant,

J. A. SEDDON,

Secretary of War.

CHARLESTON, S. C., January 2, 1863.

Major General GUSTAVUS W. SMITH,

Goldsborough, N. C.:

War Department anticipates [attack] in force on Wilmington, but I believe their real objective point is Weldon; therefore look out in that quarter. But their troops once afloat may be landed anywhere on the coast. Bragg has gained brilliant victory; driven enemy at all points.

G. T. BEAUREGARD.

CHARLESTON, S. C., January 2, 1863.

Honorable JAMES A. SEDDON,

Secretary of War, Richmond, Va.:

I fear real point of attack is Weldon, not Wilmington. Will render all assistance possible, but to send troops hence far as Weldon might endanger Charleston. Enemy's troops once afloat can be landed anywhere. Railroad to Wilmington in wretched condition; 1,000 men forty-eight hours on way. Please see return, transmitted three days since, for effective force in whole department.

G. T. BEAUREGARD.

ENGINEER BUREAU, January 2, 1863

Colonel WALTER GWYNN, Greenville, N. C.:

COLONEL: I am in receipt of your letter of the 30th instant [ultimo], informing me that you would go over to the Tar River the following day