Colonel Graham since his dispatch, inclosed. I instructed Colonel Graham, if there was a fair prospect of catching Colonel Thomas soon, to continue the pursuit; if not, to return to Sevierville and then proceed direct to Greeneville, reporting to Colonel Foster.

I have sent Crittenden down to Sevierville to clear out that region. The One hundredth Ohio left yesterday. Foster and the One hundred and third leave to-day. No news except that inclosed. If we could have moved down to Athens or could soon move there, with the whole force, I think we could whip Forrest and Breckinridge and do a good work. I prefer the idea of moving on the east do moving on the west side of the river, so as to strike the enemy directly. If forced back, we could protect ourselves by the fortifications at Loudon until we could cross, if necessary. I will establish telegraphic communication with Loudon to-day, and I hope to do so with Morristown.

Very respectfully, your obedient servant,

GEO. L. HARTSUFF,

Major-General.

[Inclosure.]

SEVIERVILLE, TENN., September 8, 1863.

Colonel DRAKE,

Assistant Adjutant-General, Knoxville, Tenn.:

COLONEL: I pursued the Indians as far as their encampment. The citizens failing to blockade the road in their rear, I was able to capture but one. They won't fight, and the country is so mountainous it is almost impossible to capture them. I returned to Sevierville with my command. I shall remain here to-day to get some shoeing done; will move to-morrow. There are 3,000 bushels of wheat belonging to the Confederate Government, which I will capture to-day.

Very respectfully, your obedient servant,

F. W. GRAHAM,

Colonel, Commanding.

WASHINGTON, D. C., September 9, 1863.

Major-General GRANT,

Vicksburg, Miss.:

GENERAL: Your letter of August 30 is just received. Neither General S. D. Lee,nor any other officer or man paroled by you has been exchanged. If any such are recaptured, they should be immediately placed in close confinement until their cases can be determined on.

It is reported that Kirby Smith's forces have been withdrawn from Northern Louisiana and Southern Arkansas to re-enforce Price. If so, and Steele is in any danger he must be-enforced. On General Hurlbut's representations I ordered two regiments, all that could possibly be spared, and directed him to assist Steele to the best of his ability. So long as Rosecrans and Burnside occupy the enemy in East Tennessee there can be little danger of raids in West Tennessee. I wish you to watch General Steele's movements, and give him all necessary assistance. His expedition is a most important