added the number of men mastered into the old and new regiments since the 1st of February, and the number supposed to be enlisted not mustered in, and the number of re-enlisted veterans, in all estimated at 17,000 men, making the total excess about 24,000 men, which number will probably be largely increased by the 1st of April next.

The settlement made in September was not satisfactory, as I believed that full credit had not been given for recruits which had joined the army in the field, and that the original basis itself was incorrect. But I had no data, nor did it exist in the War Department, upon which to correct it. In the present adjustment it will be perceived that the September settlement is entirely ignored.

On the 1st day of March Colonel Barker received from the Provost-Marshal-General the following dispatch:

WASHINGTON, February 29, 1864.

Colonel CONRAD BAKER,

Acting Assistant Provost-Marshal-General, Indianapolis:

By fully prepared to commence the draft on March 10, and make it in every sub-district which shall not have raised its quota before March 1. Volunteers between March 1 and 10 may be deducted after draft commences. Make known to Governor.

J. B. FRY,

Provost-Marshal-General.

On being furnished with a copy of this I sent the following dispatch to Colonel Fry:

INDIANAPOLIS, March 1, 1864.

Colonel J. B. FRY,

Provost-Marshal-General, Washington City:

Colonel Baker has just shown me a dispatch in which he is required to commence the draft on the 10th of March in all sub- districts that have not furnished their quota. Are we to infer from this that sub-districts are to be drafted when the State in the aggregate has filled her qouta?

O. P. MORTON,

Governor of Indiana.

To this I received the following answer:

WASHINGTON, March 2, 1864.

Governor O. P. MORTON,

Indianapolis:

Section 3,act approved February 24, 1864, requires the draft to be made in every sub-district which is deficient in its qouta. Orders for draft will be given accordingly, without regard to the aggregate raised by the State at large.

JAMES B. FRY,

Provost-Marshal-General.

The third section of the act approved February 24, 1864, is in these works, to-wit:

SEC. 3 And be it further enacted, That if the quotas shall not be filled within the time designated by the President, the provost-marshal of the district within which any ward of a city, town or township, precinct, or township, precinct, or election district, or county where the same is not divided into wards, towns, townships, precincts, or election districts, which is deficient in its qouta, is situated, shall, under the direction of the Provost-Marshal-General, make a draft for the number deficient therefrom; but all volunteers who may enlist after the draft shall have been ordered and drafted in such ward, town, township, precinct, or election district, or county. And if the qouta of any district shall not be filled by the draft made in accordance with the provisions of this act, and the act to which it is an amendment, further drafts shall be made, and like proceedings had until the quota of such district shall be filled.

According to the construction given to this section by Colonel Fry, a draft would be made in eery ward of a city or township in a