vance was at Front Royal. It is reported that the rebels are moving in force toward Williamsport. Morning report for this division, which I have organized into three brigades, for the 20th July, will go on by mail to-morrow. These reports show a total aggregate of 7, 228; present for duty, equipped, 5, 839. Respectfully, your obedient servant,

HENRY H. LOCKWOOD,

Brigadier-General, Commanding.

BALTIMORE, July 21, 1863.

Brigadier General H. H. LOCKWOOD, Harper's Ferry, W. Va

Your telegram of this morning is my first knowledge of your being at Harper's Ferry, or remaining within this department. I desire your views as to affairs on the Eastern Shore. Troops must go back there. Contrabandists are having high holiday, and secessionists are growing saucy, and threatening about draft and other matters.

ROBT. C. SCHENCK,

Major-General, Commanding.

HARPER'S FERRY, W. VA., July 21, 1863.

Major-General SCHENCK, Baltimore, Md.:

My view on Eastern Shore matters is, that two companies of cavalry and six of infantry, if of an active kind, and not too delicate, will hold in check any demonstrations on the Eastern Shore of Virginia and Maryland. The people are timid, and easily put down by a decided course. These can be easily re-enforced from Baltimore and Fort Monroe. I would employ six or eight companies of marine infantry on board of boats and small vessels, to scour the streams emptying into the Chesapeake, and also the bay itself. I would also, if possible, have a similar coast guard on the Virginia coast, from Mob Jack Bay to the Potomac River, and such a force up the Piankatank, and other streams, as would hold some points difficult of access but defensible by gunboats. From these strongholds, companies of cavalry should debouch and hold in check the whole of the Chesapeake coast south of the Potomac, and for 30, 40, and 50 miles back. This would effectually stop the illicit trade. I would also have two companies of cavalry and some six companies of infantry in Saint Mary's and Charles Counties, or, if posts be established on the Piankatank, &c., in the Northern Neck between the Potomac and Rappahannock Rivers, I feel confident that no serious outbreak will take place on the Peninsula between the Delaware and Chesapeake. The existence of this trade is an injury to our cause in many ways, both physical and moral. I can be spared from this post part of the time to put the machinery in motion, and with a good steamboat can visit it every month to keep it going.

HENRY H. LOCKWOOD,

Brigadier-General, Commanding.