Georgia, fixing your headquarters in Charleston or such other place in the vicinity as you may deem proper.

S. COOPER,

Adjutant and Inspector-General.

HDQRS. DEPT. OF SOUTH CAROLINA AND GEORGIA,
Charleston, S. C. July 5, 1862.

Honorable S. G. MEMMINGER,

Secretary of the Treasury:

SIR: The engineer bureau in this city is urgently in need of funds to conduct the necessary works for the proper defense of this place. Captain Francis D. Lee, engineer in charge of the bureau, informs me that only $30,000 have been placed in his hands, and that $70,000, issued on June 7, have not yet been placed to his credit with the assistant treasurer in Charleston. He has been compelled to take a loan from the Bank of Charleston to the amount of $100,000. Thirty thousand dollars have been returned to the Bank of Charleston, leaving an indebtedness to that institution to the amount of $70,000. The amount issued on June 7 will just cover this indebtedness, and will be so appropriated as soon as it arrives.

To properly conduct the work it is absolutely necessary that a further sum of $100,000 be issued and placed to the credit of Captain Lee as early as possible.

J. C. PEMBERTON,

Major-General, Commanding.

RICHMOND, VA., July 5, 1862.

General PEMBERTON, Charleston, S. C.:

Have the enemy evacuated James Island, and have you made a reconnaissance to ascertain whether his forces have been entirely withdrawn? If this is so, it would be well to occupy Cole's and Battery Islands, Bull Bay, and Georgetown, constructing the necessary works, and placing at each fort, necessary to hold on the coast of South Carolina and the Savannah River, a garrison of the best artillery sufficient to serve the requisite number of guns, so as to prevent the entrance of marauding vessels. The residue of your troops you could then bring here with the least delay for operations in the field. Additional heavy guns will be sent as may be practicable.

S. COOPER,

Adjutant and Inspector-General.

CHARLESTON, S. C., July 5, 1862.

General S. COOPER,

Adjutant and Inspector-General, Richmond, Va.:

Daily reconnaissance are made. The enemy still occupies Battery Island and probably Cole's. At least eight gunboats in StoNumbers It is impossible to occupy either Battery or Cole's Island with heavy guns. It never should be done; I hope it never will be attempted. There are few enough heavy guns for the defense of Charleston. We cannot