lands, but really to aid the rebellion. A reference to the statement of William Stinson, marked C, will throw more light on this subject, I may add that Douglas came to this department, and is known to have been in communication and concert of action with Mr. Hunt. Having for some months been on the watch and pursuit of him, observing all his movements, I finally traced him from one of Jackman's camps of guerrillas, in the interior of the State, to this city, where he was in constant communication with Hunt and others, and after having obtained money and forty six-shooting revolvers, which he designed carrying back to camp, he started off on the railroad train west, one night a few weeks since, and was arrested on the train by two detectives whom I sent for the purpose, and who found in the express car of the same train a barrel in which the forty revolvers were safely packed. Douglas is now securely lodged in Gratiot Street Prison, and his case is being prepared for trial. I may add that I have good reason to feel sure that Hunt purchased the revolves for Douglas from Beauvais & Co., which first has been detected and arrested for their sales of arms and ammunition without permits. In still further confirmation of Hunt's connection with Douglas' transactions I may state the fact that it is known to me that the counsel employed for the defense of Douglas has been employed by him.

Subsequent to this initiatory movement of General Price to establish the "Corpus de Belgique" Vallandigham was banished by our Government to the Southern States, and while at Richmond, the rebel capital, with Jeff. Davis, the order of "American Knights" seems to have had its origin, he becoming the supreme commander of the Northern section, and Price, modifying his "Corps de Belgique" so as to make it the Southern section of the O. A. K., with himself as supreme commander. Vallandigham was accordingly aided by the rebel Government to make his escape through the blockading fleet of Canada, whither he fled to establish his headquarters as the supreme commander of the Northern section of the order, and where he now is as its recognized head. Soon after his arrival there he had a conference with the master spirits of his ilk from the various States, especially those of the West. I annex a letter which has fallen into my hands, of the genuineness of which there is no doubt, from Christian Kribben, esq., of this city, which throws some light on the subject, and can leave to doubt as to the objects and purposes of the parties conferring with him. The latter is marked R.

About the 1st Vallandigham, as supreme commander, issued an address to the different lodges throughout the States of which I have obtained a copy, which discloses fully the traitorous purposes of the order. It is marked S, and deserves attention. It is too lengthy to insert in the body of this report. I cannot refrain, however, from making some quotations from it here. Read the following:

Brothers! Again renew your solemn vows! Swear at your hearthstones, at the altars consecrated to your household goods! Swear in the holy sanctuary where your fathers worshipped at their tombs and by their sacred memories! "that I will at all times, if need be, take up arms in the cause of the oppressed, in my own country first of all, against any monarch, prince, potentate, power, or government usurped, which may be found in arms and waging war against a people or peoples who are endeavoring, to establish, or have inaugurated, a government for themselves, of their own free choice, in accordance with and founded upon the eternal principles, of truth! This I do promise, without regard to the name, station, or designation of the invading power, whether it shall arise within or come from without. " Again, " that I will never take up arms in behalf of any monarch, prince, or government which does not recognize the sole authority of power to be the will of the governed, expressly and distinctly declared, nor in any cause or service as a mercenary. " Thus have you sworn at the altars of our order, in the presence of God and the