WAR DEPARTMENT, C. S. A.,

Richmond, Va., May 2, 1863.

Lieutenant General J. C. PEMBERTON, Commanding:

GENERAL: I have received your letterin reference to the suppression of trade with the enemy. In reply I have the honor to say that the general rule of action on which the Department proceeds in regard to the illicit trade with the enemy is not supposed to be the best, nor is it the one which my own judgment would prescribe, but such as the power and relation of the Department in connection with the subject have induced. The trade with the enemy is illicit and an express act of Congress prohibits it. The duty of interrupting or punishing it does not, however, rest with or belong to this Department. I cannot, therefore, authorize the trade, although my private judgment is that in the exceptional condition of the States of the Confederacy, and under the privations which their people endure from the war and the blockade, the introduction of real necessities, even in exchange for cotton and from the enemy, is judicious and almost essential. The license it and keep it in safe hands under due regulation of law or of the Deparmtent, I believe would be the wiser course. As the law is, however, the only relation of the Department to the trade or those engged in it is that the military police of our lines shall not be violated. Consequently when such traders are arrested by the military authorities it is for violation of the military regulations. When it is found, however, that the object was not to convey intelligence or do injury to our armies, the parties would naturally be discharged, and they and their goods left to the disposition of the civil courts or plice, or to the authorities of the Treasury. As, however, the goods have come under the surveillance of the military authorities, any believed to be useful to the Army are taken, as they would be anywhere else (and perhaps the more readily as the trade is illicit), but not without just compensation, which is fixed from the spirit of ss prescribing, in relation to manufactures to be exempted, what they considered just comensation. The rest are left to the party under the liability to answer to the civil authority or to the Treasury, for no immunity is awarded them. The Department simply abstains from punishing for the civil offense, which it has no right to do. If it were deemed wiser that the trade should be wholly stopped, the parties might perhaps be handed over to the civil authorities. Not, however, so thinking, I have not deemed it advisable to do more than our military duty required. I do not agree in thinking the contract of purchase actually void and the property still in the enemy. It is what the lawyers call a voidable contract and requires legal proceedings. If with this full view of my opinions you can suggest a better course, I shall be hapy to have the benefit of your recommendations. My own opportunity of judging the effect is necessrily limited, and I should be gratified to be enlightened on the subject.

With high regard, your obedient servant,

JAMES A. SEDDON,

Secretary of War.

[24.]

EXECUTIVE OFFICE, Jackson, Miss., May 2, 1863.

Lieutenant-General PEMBERTON, Vicksburg:

GENERAL: I have the honor to acknowledging the receipt of your dispatch of this date to Governor Pettus.* His Excellency will adopt

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*See VOL. XXIV, Part III, p. 821.

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30 R R-VOL LII, PT II