HEADQUARTERS RETURNED PRISONERS, DEPT. Numbers 2,
Jackson, Miss., September 26, 1862.

Major General B. F. BUTLER, Commanding at New Orleans, La.

GENERAL: Your communication of September 6, addressed to Major General Earl Van Dorn, commanding, &c., has been referred to me as the officer controlling the exchange of prisoners in this department. I shall be pleased to enter upon the exchange of all prisoners held at this time by either party under the terms of the cartel concluded between Generals Dix and Hill, dated the 18th of August, 1862 (a copy* of which I have the honor herewith to inclose), at any moment indicated by yourself. The exchange will embrace all officers or men held by either party. I have but few officers or men to present for exchange or parole at this place. My practice since assuming command has been to send off to Vicksburg all prisoners of war immediately on their arrival. Officers and men were registered under the general exchange now taking place at Vicksburg and sent forward with the delay of only a few hours. I have some two or three field officers (their rank not reported) taken at the battle of Iuka a few days since. So soon as they arrive I will send them North on parole. I deem this course only proper in view to crowded state of our depots and a desire to relieve officers thus situated from their embarrassed position.

I would call your attention particularly to the case of Brigadier-General Clark, C. S. Army, who is now a prisoner (wounded) in your hands. So soon as he is able to be moved I desire that he be sent to Baton Rouge.

I would also call your attention to the prisoners taken at Fort Saint Philip and Jackson. The Confederate States Government under the cartel arranged by Generals Dix and Hill claim the right to demand that all those who surrendered at the forts above named shall be delivered. The terms of the cartel are so well arranged that but little delay or embarrassment need take place in the exchange of prisoners where both parties are I am sure anxious to ameliorate the condition of those who find themselves thus situated.

In answer to your inquiries as to the number of the rank of captain and under I shall have for exchange at this place I can only say that with an excess of over 25,000 or 30,000 prisoners embracing several general officers we shall have no difficulty in arranging for those under your immediate charge.

The delivery of the largest portion of the Federal prisoners has been at a point near Richmond, and I presume that none others than those captured at Munfordville, Ky., on the 14th instant, and Cave City, numbering 6,000 and 1,800 respectively will be subject to delivery at Vicksburg. It is probable that these prisoners may have been paroled at the point of capture.

With regard to the place of exchange I respectfully name Baton Rouge as the point. I could not consent to the place named by yourself-Vicksburg-inasmuch as I deem it incompatible with the interests of my Government. Baton Rouge offers greater facilities to your delivery of prisoners, and though inconvenient to myself I cheerfully waive this point.

In case I should have sent forward all the prisoners coming into my possession I will receipt for all you deliver and forward duplicate to Richmond, where all exchanges are ratified by the chief commissioners.

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*Probably refers to cartel of July 22, p. 266.

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