Enemy's loss as follows: four Privates killed, and Lieutenant Colonel John Shac Green and 13 non-commissioned officers and privates wounded and taken prisoner.

Lieutenant-Colonel Green was too severely wounded (three saber cuts in his head) to bring, in and was paroled after received the opinion of Brigade-Surgeon Johnson. Many others were wounded slightly, but escaped.

The officers and men engaged all behaved with great coolness and courage, receiving a volley at short range, but dashing in with the sabers, without the least faltering.

The officers in front, Lieutenant-Colonel Preston, Captain Perkins, Captain Erhardt, Lieutenant Adams, Captain Flint, and Lieutenant Cummings, commanding skirmishers, deserve great praise for their conduct.

On the return, 2 commissioned officers (sick in hospital) and 148 enlisted men, found at Middleburg and Aldie, most of whom were sick or wounded, were paroled. A captain of the Twenty-second New York was found in a hospital at Middleburg, wounded. He was brought back and sent on to Washington. He had not been paroled.

The two guides sent me by General Banks I found to be energetic and reliable men, having a thorough knowledge of the country and its inhabitants.

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

R. BUTLER PRICE,

Colonel, Commanding Cavalry Brigade.

Lieutenant Colonel CHAUNCEY McKEEVER,

Asst. Adjt. General, Hdgrs. Third Army Corps.

[Indorsement.]

HDQRS. DEFENSES WASHINGTON SOUTH OF THE POTOMAC,
Arlington, Va., September 27, 1862.

A report of a gallant affair, respectfully forwarded.

S. P. HEINTZELMAN,

Major-General, Commanding.

SEPTEMBER 25, 1862.- Reconnaissance from Shepherdstown, W. Va.

Report of Major General George B. McClellan, U. S. Army, commanding Army of the Potomac.

NEAR SHARPSBURG, MD.,

September 26, 1862.

A cavalry reconnaissance made yesterday in the direction of Martinsburg from Shepherdstown, found the enemy in force encamped 2 miles out from Shepherdstown. One lieutenant-colonel, Thirty-fifth Virginia Volunteers, was captured, and 1 lieutenant, Fifth Virginia Cavalry, also. I go to Harper's Ferry this morning to look into the condition of things there.

GEO. B. MCCLELLAN,

Major-General.

Major-General HALLECK,

General-in-Chief.