the purpose of operating, in conjunction with General Vaughn, upon the rear of General Stoneman's command. A formidable force of the enemy-the Fourth Tennessee and the Third north Carolina (Kirk's)-occupied Paint Rock, and it became necessary to dispose of that force before leaving my district. The enemy retreated as i advanced upon them. An unexpected and severe storm so raised the streams that the troops sent to the rear of the enemy did not reach three, and they escaped. Ascertaining from Colonel Toole, whom I found in Greeneville that the enemy had passed toward Kentucky, pursued by Major-General Breckinridge, and that there was no force between Wytheville and Strawberry Plains, and that, therefore, my instructions to fall upon the rear of the enemy could not be complied with, I turned my attention to Kirk's regiment, which had gone toward Greasy Cove, in Washington Country, and which I supposed intended moving against the Watauga and Holston brigades or into my district. But for positive disobedience of orders by one of my subordinate officers, I would have surrounded and captured, or at least have effectually routed, Kirk's command. As it was, I drove him in hasty retreat to Knoxville. A portion of my command, temporarily detached in carrying out my plans, returned shod when I entered East Tennessee, had become nearly force presented itself. I therefore returned to my district, after an absence of sixteen days. Want of promptness on the part of Thomas' Legion (only 200 of whom joined me, and most of them not until the 26th) prevented an earlier movement on my part. i am very anxious to do what to aid General Breckinridge, but much cannot be expected of me unless I am given the control of Thomas' Legion.

General Lee has instructed me to move to the assistance of General Breckinridge whenever required, provided my district in not threatened by the enemy, and he also requests me to send such a force as I may see fit to the vicinity of Big Creek, provided I can do so without risk or detriment to my command.

When i returned from Strawberry Plains I left the Sixty-second and Sixty-fourth Carolina at Big Creek. The retreat of General Vaughn, from below Bull's Gap, to Greeneville, without notice to my troops, endangered their safety, and they only escaped being cut off b y falling promptly back to the Warm Springs.

With the present disposition of force in East Tennessee, the force I can spare could not remain in safety on Big Cree. I shall, however, station the Sixty-second and Sixty-fourth, as soon as practicable, at flats of Spring Creek, which instructions to keep scouting parties on Big Creek, twelve or fifteen miles distant; and have ordered four companies of Thomas' Legion to take position on Jonathan's Creek prepared to support Colonel Clayton, on Sporting Creek, or move in to Tennessee as occasion may require. I presume this arrangement will be satisfactory to General Breckinridge. It is the best I can do at present. The enemy are in some force, I learn, on French Broad and Pigon in Cocke country. Their object, I suppose, is to collect and take off the grain from that region.

Respectfully, your obedient servant,

J. B. PALMER,

Colonel, Commanding District.

Lieutenant Colonel J. S. JOHNSTON,

Assistant Adjutant-General, Dept. of W. Va. and East Tenn.