HEADQUARTERS DEPARTMENT OF NORTHERN VIRGINIA,
August 2, 1862.

Major General D. H. HILL,

Commanding Department of North Carolina.

GENERAL: A letter from General McClellan informs me that our prisoners at Fort Warren to leave that place July 31 on the steamer Ocean Queen for James River; also that the prisoners from Fort Delaware were expected at Westover in a day or two. In firing on the enemy's fleet in the river caution will be necessary so as not to inflict loss on the returning prisoners.

I am, general, very respectfully, your obedient servant,

R. E. LEE,

General.

HDQRS. DEPARTMENT OF SOUTHWESTERN VIRGINIA,
Salt Sulphur Springs, August 2, 1862.

Honorable G. W. RANDOLPH, Secretary of War.

SIR: I have the honor to inclose two communications one from Colonel George Crook, commanding Federal forces at Meadow Bluff. In the recent dash made by our cavalry we captured the notorious spy and bridge burner, Dr. Wm. P. Rucker, and in retaliation they have arrested three of the most respectable citizens of Greenbrier to be detained as hostages.

I would most respectfully request that the prisoners captured by us in our last raid, as they are nearly all Virginians, be retained as hostages until the release of Messrs. McClung, Tuckwiler and Handley if the facts prove the truth of the inclosed statement. I will immediately adopt means to find out if such be the case and inform you at once. We have sent the prisoners taken by Major Bailey to Lynchburg.

I have the honor to be, very respectfully, your obedient servant,

W. W. LORING,

Major-General, Commanding.

[First indorsement.]

Respectfully submitted to the President for his information.

G. W. RANDOLPH,

Secretary of War.

[Second indorsement.]

Communicate to General Loring the action which the Government has taken so that he may see the policy adopted in relation to the prisoners of war. Retaliation by hanging our disloyal citizens does not seem to me a remedy which should be adopted [by] which we may hope to inflict punishment on Yankees.

J. D.

[Third indorsement.]

Inclose President's indorsement to General Loring and inform him that the orders referred to by the President were published in the papers and will be communicated to him. They refer to General Pope's army.

G. W. RANDOLPH.

Secretary of War.