WAR DEPARTMENT,

March 8, 1862.

Major General H. W. HALLECK, Saint Louis:

The President directs me to inform you that the act of Congress, July 13, 1861, prohibits commercial intercourse with States proclaimed to be in rebellion (which includes all south of Kentucky and Missouri), except under license of the President and under rules and regulations prescribed by the Secretary of the Treasury. By the President's direction the Secretary has lately made such rules and regulations, copies of which are this day sent you ba mail. The President desires you to enforce no rules inconsistent with them, and if any such have been made, that you will rescind them.

Please acknowledge receipt of this instruction.

EDWIN M. STANTON,

Secretary of War.

[The same to General D. C. Buell.]

HEADQUARTERS DEPARTMENT OF THE MISSOURI,
Saint Louis, March 8, 1862.

S. P. CHASE, Secretary of Treasury, Washington:

The order opening the navigation of the Cumberland is not a commercial measure, but a military ruse, to get steamers into that river without disclosing the real object. The conduct of Mr. W. P. Mellen in attempting to thwart an important military movement in order to exhibit his own authority is very objectionable. If he continues to interfere, I must ask for his removal.

H. W. HALLECK,

Major-General.

HEADQUARTERS DEPARTMENT OF THE MISSOURI,
Saint Louis, March 8, 1862.

E. M. STANTON,

Secretary of War, Washington:

The opening of trade to Nashville was a military ruse, to get steam-boats up the Cumberland for the movement of troops, without the enemy's suspecting the object. If sent up empty, the object could not have been concealed. The regulations made with this intent will of course give way to those sent by the Secretary of the Treasury.

H. W. HALLECK,

Major-General.

NASHVILLE, TENN., March 8, 1862.

Major-General HALLECK:

Information, which I believe to be reliable, states that Island Numbers 10 has been abandoned; part of the force gone to New Madrid, where are four gunboats, and part to Jackson. No force of any consequence at Memphis. Cotton sent to the interior and sugar and other stores down the river. Cannonading at New Madrid on the arrival of our troops, in which the town was wholly or partially destroyed. Force at New Madrid not great. Five thousand was stated, but may be more.

D. C. BUELL,

Brigadier-General.