pillows. State of quarters - very good. State of mess-houses - cleanly. State of kitchen - cleanly. Food, quality of - good. Food, quantity of - circular of June 1, 1864, complied with. Water - excellent (Croton). Sinks - cleanly. Police of grounds - excellent. Drainage - good. Police of hospital - no hospital at post, prisoners very sick are sent to Fort Hamilton. Attendance of sick -Hospital Doctor Gibson attends to sick every morning. Hospital diet - none at post. General health of prisoners - very good. Vigilance of guard - guards vigilant, prisoners verified three times during the night.

Remarks and suggestions. - There are fifty-fourth prisoners confined in Fort Lafayette, consisting of prisoners of war, state prisoners, and blockade-runners. Their treatment as regards quarters and exercise is excellent. Everything allowed by existing orders is furnished to them and a good degree of satisfaction is expressed by them for the uniform excellence of their treatment,

Very respectfully, your obedient servant,

CHARLES STEELHAMMER,

First Lieutenant, Seventeenth U. S. Infty., Post Adjt. and Insp. Officer.

[Indorsement.]

Remarks of commanding officer. - Treatment, &c., in accordance with instructions received is strictly carried out and adhered to.

WASHINGTON CITY, December 26, 1864.

Major General E. A. HITCHCOCK, Commissioner of Exchange:

GENERAL: I have the honor to acknowledge receipt of your telegram of 23rd instant, directing me to report in person at Washington, and to bring with me such correspondence in relation to the subject of exchange as may, in the absence of General Butler, be under my control.

In reply to that portion of your dispatch relating to correspondence on the question of exchange I have to inform you that all papers pertaining to the business of the exchange of prisoners are in custody of Major-General Butler, commissioner for exchange, and are not subject to my control.

I am, general, very respectfully, your obedient servant,

JNO E. MULFORD,

Lieutenant-Colonel and Assistant Agent for Exchange.

U. S. S. RICHMOND,

FIRST DIVISION, WEST GULF SQUADRON,

Mobile Bay, December 26, 1864.

Major General DABNEY H. MAURY,

Commanding, Mobile, Ala.:

SIR: I inform you that in compliance with a request of Major General Gordon Granger, U. S. Army, &c., the senior naval officer under my command off Dog River Bar, Mobile Bay, will receive immediately below the obstructions and take charge, at such time as you may indicate, under a flag of truce (weather permitting), of the vessel containing the 1,000 bales of cotton which Lieutenant-General Grant, U. S. Army, gave permission to the agent of exchange of prisoners at Richmond, Va.,