make money by carrying contraband goods, such as pistols, &c., South telling Young just what he could obtain articles for North and what he could obtain for them in Southern cities, his knowledge showing that he hd been engaged in the business; that upon one occasion he recognized a couple of ladies who came in from Chicago and went South to Louisville, and afterward informed Young that they recognized him by the society sign of recognition, he telling Young that they had numbers of sashes, caps, &c. The more full detail of this evidence he can give himself with much other information not brought out in the examination.

One E. M. Davis testified that he knew of his sounding men upon governmental questions, saying that one like France was preferable, &c. ; that this Government was already destroyed, &c. He endeavored to induce Davis to institute the organization of the K. G. C., teling him fully as to the obligations, &c., and that it was to aid in substitution of a new and different form of government, explaining the condition and magnitude of the organization South.

Major Blowney, formerly of the Ninth, now of the Twenty-eighth [Twenty-ninth] Regiment Indiana Volunteers, and provost-marshal at Philippi under Dumont (colonel), recognized him as having been about Philippi during the latter part of June and fore part of July. That when there he was with one Crim, a merchant and a noted secessionist.

One Aaron Fosdick also recognized him as being about Philippi, and several others of the Ninth Regiment recognized him. Fosdick thought he waspeddling some of the time.

One John Young testified to some conversations with him, but so mixed up with other matters as to be of little bearing.

One Palmer saw him have a printed hand bill for recruits for Confederate Army. Saw the evidence of his appointment or authority to recruit whichw as in shape of a letter.

One Mrs. Fraley could have testified to about the same but owing to prudential reasons was not called upon the stand.

[Inclosure Numbers 2.]

LA PORTE COUNTY, State of Indiana:

Mary Fraley being duly sworn deposeth and saith that onor about 28th day of July, 1861, John C. Brain tried to make arrangements with he to carry revolvers for him into the States of Kentucky and Tennessee, said Brain and his wife to accompany her; he, the said Brain, agreeing to give her a share in the profits and assured her that she would make $30 per month by engaging in aid business; also that said Brain gave her a hand bill calling for men to enlist in the Southern army, which she read, after which she returned the same to him. Mrs. Brain, wife of said John C. Brain, told her that she destroyed said hand bill with other papers by throwing them into avault; that said Brain told hr that he knew all about the rebel army, and that he kept himself fully posted with regard to their doings, and that he would be with them within two months. He also told her that he would write and let them know when we were coming with pistols for them; that he also told her the names of a number of men who would assist her that she might avoid being arreted by the U. S. authorities.

MARY FRALEY.

Subscribed and sworn before me September 21, 1861.

C. S. WINSHIP,

Mayor of Michigan City.