, 1864-07-23

+ The encouragement Of the rebel leaders IN
tile trsna Mississippi district, wns complete
more 10 thAa In 2uy other rebel tenatorJ
IL View If t':is state OF affiIs., and the ap-
parrnt to-lrintT 1tat the rebel power west
OF The Mississippi p oud be overthrow In
few months, Gen Kirby Smith BET about
nakibg the best Of his situation Be deter
mind to pay of his army, furlough the men
tor ae inoeneite period, and then retire With
his principal officers, to Mexico The Cos
federate currency was so deprecated taat ne
did no: look upon il I'd proper material for
The pa3 neDt Of snldie1s who had served faith
fully. In this dilemma, he concluded TO sell
Confederate cotton su parties In the Federal
lioes, and receive in return, gold or stirling
EARLY ii January Of the present year Gen.
Smith u.ade propositions TO Mr. :: l.
lsst Cprgyess, :nrp eogsgcd ia cotton speed
lations Ut Vi.kssuFs, Bliss. The propositions
came through Col. Floyd Of Louisiana, aa in
dlyidual reported to possess the remarkable
faculty of being either loyal or dlsloysl -
circumstances might require: hts title IS
Colonel was merely an honorary one, Gnd
since that event has become ofno moAent in
consequence Of the death Of Its bearer. Kir-
By Smiths proposition was to sell two aua-
drcd thousand baIc6 OF cotton 1t ten pence
per pound, to be delivered at the rebel lines,
Or in the Red River district Whenever oar
1tILAb Aufa0CCAt A4U W uE RAAA AZ IA 6oAA VI
Bank of England notes. With the proceeds
thereof be wss to pay of his army ind theacc
act ss above stated. Mr. Casey W~nt to
Washington to obtain the sanction Of the
Government to the usa,tion, or at all
evenIs permission for MIN to proceed. He
returned e:rly in FobruarJ bringing the Can
sent Of tho Government, and luttsss TO thst
effect to Gen. Mcpherson. lie Immediately
set ont, In company With Colonel Floyd. in
the direction Of Shreveport, tho headQuar-
ters Of Gen. Kirby Smith. Tho twaia bore
passes from General McPherson, and sealed
letters from that officer to hirby SMITH At
Monroe, L., they were aIrested ~ ING rebel
cort to Shreveport
Immediately on his arrival, Casey obtained
an interview with Gen Smith, md alter some
delay succeeded in forming contract Oh the
bssis Of the original proposition. With some
slight modihcattons. II was further stlpu.
more than show Of resistance to our forces
In their advance up the Red River, so that
the occupation by tho Federal arms, which
appeared Inevitable, should be accomplished
with as little bJoodsled as possible. h1r.
Casey and Col Floyd returned to Vicksburg
The former proceeded to Washington to ae'
quaint the authorities with the tidlngs Of his
SUCCESS. Everything appeared to be fully
arranged to give our army complete control
Of the Red River without opposition, and
thus break up, in toto, the rebel power In the
trans Mississippi department.
the administration, moved BY the frequent
ly expressed fear Of doing something that
might recognize the existence Of the Confed-
eracy, refused to make official endorsement
of the documents In the affair. IT allowed
Casey to take such measures as be thought
proper for accomplishing his purpose, and
wished him every SUCCESS. He was still In
{nc$ $F1 hpn nd
Porter started up Red River. Mr. Casey says
they were aware of the arrangement he had
made, though they bad no ''off1cial'' knowl-
edge Of It from Washington. for the reason
above stated. He arrived In Vfcksburg too
lite to join the expedition ut Ae1andria, but
did not anticipate any trouble until he learn
ed Of the course which had been pursued by
thsse worthy commanders.
Those who were familiar with the history
Of the Red River expedition, will remember
ence to cotton. They seized 1t wherever
found, no matter who was the owner or what
might be his stntus, and marked 1t &C. s.
A." to tneure claim for its condscatton.
The rebel Gems Smith and Taylor commenc-
I'd to carry out their part Of the contract, as
vas evidenced by the successive abandon
ment Of s1mmesport. Fort De Rusaey and
Alexandria, with only show Of Resistance.
When they first learned of the seizure Of cot
ton, they supposed 1t to be the plan adopted
In accordance with Casey's contract. They
sent in an enquiry three successive times
to ascertain II any vouchers were being given
for the cotton 60 seized.
In evacuating the country they had given
Etrlct orders that no cotton should be
burned. When they learned that no remu-
perati0n of any kind was being given In re-
turn for the cotton, they gave orders for
burning MI that was then within their hnes.
Furthermore they made preparations for re-
sisting Banks' advance. His delay to take
cotton and hold elections at Alexandria aud
Eatchitoches gave them opportunity to make
their combinations. The careless manner in
which our forces advanced opened the way
for an attack, the result Of which is well
known. No comm ent is necessary.