FORT GIBSON, C. N., September 20, 1864.

COLONEL COMMANDING:

SIR: Have the honor of making my report from the 12th to the 20th. On the 13th came very near running into a squad of rebels at Mrs. McCoy's; number, about thirty or forty them; immediately wrote a note to send back to inform you of the fact, but did not get to see any one at all. On the 15th, in sight of Cane Hill, received information that Brown had left Cane Hill, for some purpose unknown to the citizens, with about 250 men. From Cane Hill, he made his course in the direction of Illinois River. On the 15th of this month the rebel women and a few bushwhackers had a big dinner. Thinking that Brooks would be in that day or next, that evening we started for the place. After we arrived in the neighborhood of the place we captured one man by the name of Armstrong; once belonged to the Federal service; deserted at Fort Smith and joined Bailie's company. On the 17th received information that rebel forces were crossing below Van Buren, and above on the Arkansas Rive,about thirty miles above Fort Gibson. All the deserters that deserted at Fort Smith are around Cane Hill, robbing and plundering. About 300 Indians at home in Going Snake district and Flint district, but will not trouble the secesh on the other side of the line without orders from these headquarters. Dissatisfaction among the Indians at home on some subject. It is not known but among themselves. John Ratliff killed on Caney, but evidently killed by his own men, robbed, and stripped of his clothing.

Yours, respectfully, and most obedient servant,

S. S. STEPHENS,

Lieutenant.

N. B.- Will, Trott remains with Brown all the time. Says Fort Gibson is a more pleasant place than in the bushes.

NEW ORLEANS, September 20, 1864.

(Received 25th.)

Major General C. C. WASHBURN,

Memphis:

Yours dispatches of the 15th and 16th received. My advices from Arkansas are as late as the 14th. Shelby's command was concentrating on the 12th at Batesville, having been much scattered in procuring supplies, and some anxiety was left in consequence of Price's failure to join him. One brigade was on Black River moving toward Missouri. The raiders will probably rapidly, but Smith, I hope, will be able to head them off; and Steele's plan of operations is judicious, and his route well selected. Several thousand men, which are held in readiness with transportation ready, will be sent to him if he should be strongly pressed. General Sherman informs me that he will be on the move in October next, but does not yet indicate the exact time. My own operations will depend to some extent upon his,and I will advise you in season.

E. R. S. CANBY,

Major-General, Commanding.