Diary of John Beauchamp Jones: August 5, 1864

Hot and dry. I hope there will be a rain-cloud this evening.

No war news, except a letter from Gen. Lee, indicating that Gen. Morgan is probably on a raid in Northwest Virginia and in Pennsylvania. Morgan proposed going into Georgia (rear of Sherman), but the Secretary indorsed that perhaps the matter had as well be left to Gen. Lee. The President quietly indorsed that he “concurred in the conclusion that all the movements of troops in Virginia had best be left to the discretion of Gen Lee.”

Gen. Hood telegraphs that no important change has occurred in front of Atlanta. There was some skirmishing yesterday, and shell thrown into Atlanta.

My daughter Anne, after ten months' residence in the country, returned to-day (with Miss Randolph, of Loudon Co.) in perfect health. She brought apples, eggs, a watermelon, cucumbers, etc. Mr. Davies sold my reel (German silver) to-day for $75, or about $3.20 in gold-enough to buy a cord of wood. I parted with it reluctantly, as I hope to catch fish yet.

SOURCE: John Beauchamp Jones, A Rebel War Clerk's Diary at the Confederate States Capital, Volume 2, p. 260-1

Diary of John Beauchamp Jones: July 11, 1864

Hot and dry, and the famine continues.

The Secretary of War intimated on Saturday that if the clerks of the bureaus would raise a fund and send an agent South to buy provisions, he would insure them transportation, etc. To-day he denies that he made the promise, and refuses to aid them.

The government now proposes to increase its schedule of prices from 300 to 500 per cent., thus depreciating its own credit. Before harvest the impressing agents allowed about $40 per barrel for flour; now, that we have a good harvest, about $130 will be paid, thus raising the price everywhere. The transportation is the expensive item.

A dispatch from Gen. Johnston, at Atlanta, says the enemy having flanked him with his cavalry, he has fallen back across the Chattahoochee.

Dispatches from Gen. S. D. Lee, Tupelo, state that a column of the enemy, 20,000 strong, is about marching from New Orleans against Mobile, and he fears he cannot spare men to resist them. The reserve class is not ready. Also that 15,000 of the enemy are marching from Lagrange, and he will have to dismount some of Forrest's cavalry. Gen. E. K. Smith will not cross the Mississippi to assist in repelling the foe without orders. Orders have been sent from the Secretary of War I fear too late !

Northern papers of the 8th inst. indicate a state of high excitement. Some there believe we have an army of 60,000 pouring into Pennsylvania. Gold was $2.65 for one.

There is some commotion in Grant's army, and it is believed by some that he is about to retire down the river.

It is rumored that the prisoners heretofore confined at Point Lookout have been removed by the Federal Government.

At 7 P.M. we had a gentle shower, lasting more than an hour.

SOURCE: John Beauchamp Jones, A Rebel War Clerk's Diary at the Confederate States Capital, Volume 2, p. 247-8

Diary of John Beauchamp Jones: June 27, 1864

Bright and hot-afterward light showers.

By the papers we learn that President Lincoln has been on a visit to Grant's army. If Grant does not accomplish some great wonder in a few days, his campaign will be noted a failure, even in the North.

We learn to-day that gold is now at $2.15 in the North.

The raiders are beginning to pay the penalty of their temerity; besides Hampton's fight with them, on this side the James River, we learn that W. H. F. Lee has struck them a blow on the south side.

SOURCE: John Beauchamp Jones, A Rebel War Clerk's Diary at the Confederate States Capital, Volume 2, p. 239

Diary of John Beauchamp Jones: June 28, 1864

Bright and cool-a little rain last night.

The Departmental Battalion is still kept out. They have built a line of fortifications four miles long-to Deep Bottom from near Chaffin's Farm. The Secretary of War intimates that these clerks are kept out by Gen. R. E. Lee.

The superintendent of the Central Railroad informed the Secretary of War to-day that the road would be reopened to Staunton on Thursday (day after to-morrow), such is the slight damage done by the enemy. He asks that the bridge near Hanover Junction be defended, that being the only part of the road that can be much injured by a small raiding party. And he don't want the papers to say anything about the reopening of the road.

The news from the North, that Congress has refused to repeal the $300 clause in their military bill-allowing drafted men to buy out at $300 each—and the rise of gold to $2.30 for $1—together with the apparent or real inertia of Grant, seem to inspire great confidence in our people to-day. They think the worst is really over, and so do I.

My little garden, during the month of June, has saved me $150. A single cabbage head to-day in market was sold for $10. Although the joint salaries of Custis and myself amount now to $8000 per annum, we have the greatest difficulty to subsist. I hope we shall speedily have better times, and I think, unless some terrible misfortune happens to our arms, the invader will surely be soon hurled from our soil. What President Lincoln came to Grant for is merely conjecture—unquestionably he could not suggest any military enterprise more to our detriment than would occur to his generals.

SOURCE: John Beauchamp Jones, A Rebel War Clerk's Diary at the Confederate States Capital, Volume 2, p. 239-40

Diary of Gideon Welles: Tuesday, March 14, 1865

The President was some indisposed and in bed, but not seriously ill. The members met in his bedroom. Seward had a paper for excluding blockade-runners and persons in complicity with the Rebels from the country.

John P. Hale's appointment to Spain was brought up. Seward tried to gloss it over. Wanted Hale to call and see me and make friends with Fox. Hale promised he would, and Seward thought he might get a passage out in a government vessel.

The capture and destruction of a large amount of tobacco at Fredericksburg has created quite a commotion. It was a matter in which many were implicated. Several have called on me to get permission to pass the blockade or have a gunboat to convoy them. One or more have brought a qualified pass from the President. Colonel Segar, the last of them, was very importunate. I told him, as I have all others, that I should not yield in this matter; that I was opposed on principle to the whole scheme of special permits to trade and had been from the time that Chase commenced it; that I was no believer in the policy of trading with public enemies, carrying on war and peace at the same time. Chase was the first to broach and introduce this corrupting and demoralizing scheme, and I have no doubt he expected to make political capital by it. His course in this matter does much to impair my confidence in him. It was one of many not over scrupulous intrigues. Fessenden followed in the footsteps of Chase, not from any corrupt motives, nor for any political or personal aspirations, but in order to help him in financial matters. He had a superficial idea that cotton would help him get gold, — that he must get cotton to promote trade and equalize exchange.

SOURCE: Gideon Welles, Diary of Gideon Welles, Secretary of the Navy Under Lincoln and Johnson, Vol. 2: April 1, 1864 — December 31, 1866, p. 257-8

Diary of John Beauchamp Jones: June 11, 1864

Sunshine and cloudy-warmer.

There is a calm in military matters, but a storm is gathering in the Valley of Virginia. Both sides are concentrating for a battle. If we should be defeated (not likely), then our communications may be cut, and Grant be under no necessity of fighting again to get possession of Richmond. Meantime it is possible Grant will retire, and come again on the south side of the James River.

Congress is debating a measure increasing the President's compensation—he cannot subsist on his present salary. Nor can any of us. Mr. Seddon has a large private income, and could well afford to set the patriotic example of working “for nothing.”

We have heard to-day that Lincoln was nominated for re-election at Baltimore on the 7th inst., and gold rose to $196. Fremont is now pledged to run also, thus dividing the Republican party, and giving an opportunity for the Democrats to elect a President. If we can only subsist till then, we may have peace, and must have independence at all events.

But there is discontent, in the Army of the West, with Gen. Johnston, and in the East with Bragg, and among the croakers with the President.

New potatoes sold to-day for $5 per quart, $160 per bushel!

Mr. Rhodes, Commissioner of Patents, told me to-day that Gen. Forrest, at last accounts, was at Tupelo, Miss., doing nothing,—Gen. Wheeler, his junior in years, superior in rank, to whom he is again subordinated by the potency of Gen. Cooper's red tape, having most of his men.

Robert Tyler has been with the Departmental Battalion at Bottom's Bridge, doing service as a private, though the head of a bureau.

This evening at 7 o'clock we heard artillery in the direction of Lee's army

SOURCE: John Beauchamp Jones, A Rebel War Clerk's Diary at the Confederate States Capital, Volume 2, p. 229

Diary of Gideon Welles: November 25, 1864

For some weeks I have been unable to note down occurrences daily. On the evening of the election, the 8th, I went to the War Department about nine o'clock by invitation of the President. Took Fox with me, who was a little reluctant to go lest he should meet Stanton, who had for some days been ill. The Department was locked, but we were guided to the south door. The President was already there, and some returns from different quarters had been received. He detailed particulars of each telegram which had been received. Hay soon joined us and, after a little time, General Eaton. Mr. Eckert, the operator, had a fine supper prepared, of which we partook soon after 10. It was evident shortly after that the election had gone pretty much one way. Some doubts about New Jersey and Delaware. We remained until past one in the morning and left. All was well.

The President on two or three occasions in Cabinet meeting alluded to his message. It seemed to dwell heavy on his mind, — more than I have witnessed on any former occasion. On Friday, the 25th, he read to us what he had prepared. There was nothing very striking, and he evidently labors in getting it up. The subject of Reconstruction and how it should be effected is the most important theme. He says he cannot treat with Jeff Davis and the Jeff Davis government, which is all very well, but whom will he treat with, or how commence the work? All expressed themselves very much gratified with the document and his views. I suggested whether it would not be well to invite back not only the people but the States to their obligations and duties. We are one country. I would not recognize what is called the Confederate government, for that is a usurpation, but the States are entities and may be recognized and treated with. Stanton, who was present for the first time for six weeks, after each had expressed his views, and, indeed, after some other topic had been taken up and disposed of, made some very pertinent and in the main proper and well-timed remarks, advising the President to make no new demonstration or offer, to bring forward his former policy and maintain it, to hold open the doors of conciliation and invite the people to return to their duty. He would appeal to them to do so, and ask them whether it would not have been better for them and for all, had they a year since accepted his offer.

Each of the members of the Cabinet were requested to prepare a brief statement of the affairs of their respective Departments. Seward had already handed in much of his. I told the President I would hand him my brief the next day.

At this meeting on the 25th, Mr. Usher made some allusion to the gold that was forthcoming in the Territories.

The President interrupted him, saying he had been giving that matter a good deal of attention and he was opposed to any excitement on the subject. He proposed that the gold should remain in the mountains until the War was over, for it would now only add to the currency and we had already too much currency. It would be better to stop than 1 to increase it.

Mr. Fessenden said something must be done, for he could not any longer negotiate on the basis of paying interest in coin. We cannot, he says, get the specie and must stop paying it out. I was amused. Neither of them appeared to have even the rudiments of finance and currency. Gold is no longer a currency with us. It is merchandise, and all that may be got from Idaho, Nevada, Arizona, and California will not swell the volume of currency. Our banking and irredeemable paper issues are legal tenders and made currency not based on specie, and of course it is an inferior currency.

Our Secretary of the Treasury must learn that if he does not demand and pay out gold he will have none. If he will reduce the volume of paper currency, so as to create a demand for gold, he will get it, but he will never have it if he slights it. He has schemes for getting out cotton to relieve him and the Treasury in making payments, and the blockade is to be indirectly violated in order to get cotton from the Rebels with which to purchase gold. Of course we shall have to pay the Rebels if not in gold, in its equivalent, for all the cotton we get of them, and shall thus furnish them with the sinews of war.

It cannot be otherwise than that the country will become impoverished with such ideas pervading the government. There will be devastation and ruin, if not corrected, before us. Fessenden is of the old Whig school of folly on finance and currency; is resorting to flimsy expedients, instead of honest, hard truth. Gold is truth; irredeemable paper and flimsy expedients are not.

SOURCE: Gideon Welles, Diary of Gideon Welles, Secretary of the Navy Under Lincoln and Johnson, Vol. 2: April 1, 1864 — December 31, 1866, p. 178-80

Diary of John Beauchamp Jones: April 28, 1864

After a slight shower last night, a cool, clear morning

The ominous silence or pause between the armies continues. Lieut.-Gen. Longstreet, it is said, is "hidden." I suppose he is working his way around the enemy's right flank. If so, we shall soon hear thunder.

It is also supposed that Lee meditates an incursion into Pennsylvania, and that Gen. Beauregard will protect his rear and cover this city. All is merely conjecture.

We are amused at the enemy's accounts of the storming of Plymouth. Their papers pretend to have not heard the result, and would lead their readers to believe that Gen. Hoke was repulsed, and that the place is “impregnable.”

The following appears in the morning papers:

“GEN. LEE'S BILL OF FARE.—The Richmond correspondent of the Mobile Advertiser gives the following about Gen. Lee's mode of living :

“In Gen. Lee's tent meat is eaten but twice a week, the general not allowing it oftener, because he believes indulgence in meat to be criminal in the present straitened condition of the country. His ordinary dinner consists of a head of cabbage, boiled in salt water, and a pone of corn bread. In this connection rather a comic story is told. Having invited a number of gentlemen to dine with him, Gen. Lee, in a fit of extravagance, ordered a sumptuous repast of cabbage and middling. The dinner was served: and, behold, a great pile of cabbage and a bit of middling about four inches long and two inches across! The guests, with commendable politeness, unanimously declined middling, and it remained in the dish untouched. Next day Gen. Lee, remembering the delicate tit-bit which had been so providentially preserved, ordered his servant to bring that middling.' The man hesitated, scratched his head, and finally owned up: 'De fac is, Masse Robert, dat ar middlin' was borrid middlin'; we all did'n had nar spec; and I done paid it back to de man whar I got it from.' Gen. Lee heaved a sigh of deepest disappointment, and pitched into his cabbage.”

By a correspondence between the Secretaries of the Treasury and War, I saw that Mr. Memminger has about a million and a quarter in coin at Macon, Ga., seized as the property of the New Orleans banks—perhaps belonging to Northern men. I believe it was taken when there was an attempt made to smuggle it North. What it is proposed to do with it I know not, but I think neither the President nor the Secretaries will hesitate to use it—if there be a "military necessity." Who knows but that one or more members of Mr. Lincoln's cabinet, or his generals, might be purchased with gold? Fortress Monroe would be cheap at that price!

SOURCE: John Beauchamp Jones, A Rebel War Clerk's Diary at the Confederate States Capital, Volume 2, p. 194-5

Diary of John Beauchamp Jones: April 29, 1864

A letter from Major-Gen. Hoke, dated Plymouth, April 25th, and asking the appointment of Lieut.-Col. Dearing to a brigadiership, says his promotion is desired to lead a brigade in the expedition against Newbern. The President directs the Secretary to appoint him temporarily “for the expedition.” Soon we shall know the result.

By flag of truce boat, it is understood Northern papers admit a Federal defeat on the Red River, the storming of Plymouth, etc., and charge the Federal authorities at Washington with having published falsehoods to deceive the people. Gold was $1.83.

Troops are passing through Richmond now, day and night, concentrating under Lee. The great battle cannot be much longer postponed.

Last night was clear and cold, and we have fire to-day.

The President has decided not to call into service the reserve class unless on extraordinary occasions, but to let them remain at home and cultivate the soil.

It is now probable the Piedmont Railroad will be completed by the 1st June, as extreme necessity drives the government to some degree of energy. If it had taken up, or allowed to be taken up, the rails on the Aquia Creek Road a year ago, the Piedmont connection would have been made ere this; and then this famine would not have been upon us, and there would have been abundance of grain in the army depots of Virginia.

SOURCE: John Beauchamp Jones, A Rebel War Clerk's Diary at the Confederate States Capital, Volume 2, p. 195

Diary of John Beauchamp Jones: April 2, 1864

It rained furiously all night; wind northwest, and snowed to-day until 12 M. to a depth of several inches. It is still blowing a gale from the northwest.

To-day the clerks were paid in the new currency; but I see no abatement of prices from the scarcity of money, caused by funding. Shad are selling at $10 each, paper; or 50 cents, silver. Gold and silver are circulating—a little.

A letter from Liberty, Va., states that government bacon (tithe) is spoiling, in bulk, for want of attention.

From Washington County there are complaints that Gen. Longstreet's impressing officers are taking all, except five bushels of grain and fifty pounds of bacon for each adult—a plenty, one would think, under the circumstances.

Senator Hunter has asked and obtained a detail for Mr. Dandridge (under eighteen) as quartermaster's clerk. And Mr. Secretary Seddon has ordered the commissary to let Mrs. Michie have sugar and flour for her family, white and black.

Mr. Secretary Benjamin sent over, to-day, for passports to the Mississippi River for two “secret agents.” What for?

Gen. Lee has made regulations to prevent cotton, tobacco, etc. passing his lines into the enemy's country, unless allowed by the government. But, then, several in authority will “allow" it without limit.

I set out sixty-eight early cabbage-plants yesterday. They are now under the snow!

SOURCE: John Beauchamp Jones, A Rebel War Clerk's Diary at the Confederate States Capital, Volume 2, p. 179-80

Diary of Gideon Welles: Saturday, September 24, 1864

Sheridan follows up his work, and bids fair to disperse and annihilate Early's entire army. The effect of his successive victories has been a great fall in the price of gold, or an appreciation of paper currency. We are, I think, approaching the latter days of the Rebellion. The discomfiture of Early is likely to make Lee's continuance in Richmond uncomfortable, yet where can he go to make a more effectual stand? Some indications of a desire on the part of the authorities of Georgia to effect a restoration, are more than intimated, and a prevalent feeling of despondency is manifest throughout the Rebel region. An effective blow by Grant at Richmond or the retreat of the Rebel army will be the falling in of the crater.

SOURCE: Gideon Welles, Diary of Gideon Welles, Secretary of the Navy Under Lincoln and Johnson, Vol. 2: April 1, 1864 — December 31, 1866, p. 158

Diary of Gideon Welles: Thursday, September 29, 1864

The appointments to the Naval Academy are a great annoyance and often a great embarrassment. Of course the Secretary is much blamed for every disappointment, although he has none but contingent appointments. Persons often apply to the President, who is restricted in his appointments, but who gives a favorable indorsement to almost all. Each considers this abundant to secure him a place, and denounces me if he does not succeed.

I again spoke to the President in relation to his order to A. J. Hamilton, and remarked to him that it was in conflict with the blockade. He was disturbed, and said Seward had fixed that up, and he presumed it was right. "Suppose you see Seward yourself,” said he. This I must do, but to little purpose, I apprehend.

The great fall in gold within a few days begins to effect prices. In other words, commodities are getting nearer their actual value by the true money standard. Recent victories have largely contributed to this, but there are other causes, and I think Fessenden may be a more correct financier than Chase, but neither is exactly fitted for the place.

SOURCE: Gideon Welles, Diary of Gideon Welles, Secretary of the Navy Under Lincoln and Johnson, Vol. 2: April 1, 1864 — December 31, 1866, p. 163

Diary of John Beauchamp Jones: February 20, 1864

Bright, calm, but still cold—slightly moderating. Roads firm and dusty. Trains of army wagons still go by our house laden with ice.

Brig.-Gen. Wm. Preston has been sent to Mexico, with authority to recognize and treat with the new Emperor Maximilian.

I see, by a "letter from Mr. Benjamin, that he is intrusted by the President with the custody of the “secret service " money.

Late papers from the United States show that they have a money panic, and that gold is rising in price. In Lowell not a spindle is turning, and 30,000 operatives are thrown out of employment

From England we learn that the mass of the population are memorializing government to put an end to the war!

I saw a ham sell to-day for $350; it weighed fifty pounds, at $7 per pound.

SOURCE: John Beauchamp Jones, A Rebel War Clerk's Diary at the Confederate States Capital, Volume 2, p. 153

Diary of John Beauchamp Jones: February 23, 1864

 Bright and pleasant.

A letter from Gen. Maury indicates now that Mobile is surely to be attacked. He says they may force a passage at Grant's Pass, which is thirty miles distant; and the fleet may pass the forts and reach the lower bay. Gen. M. has 10,000 effective men, and subsistence for 20,000 for six months. He asks 6000 or 7000 more men. He has also food for 4000 horses for six months. But he has only 200 rounds for his cannon, and 250 for his siege guns, and 200 for each musket.

Meal is the only food now attainable, except by the rich. We look for a healthy year, everything being so cleanly consumed that no garbage or filth can accumulate. We are all good scavengers now, and there is no need of buzzards in the streets. Even the pigeons can scarcely find a grain to eat.

Gold brought $30 for $1, Saturday. Nevertheless, we have only good news from the armies, and we have had a victory in Florida.

SOURCE: John Beauchamp Jones, A Rebel War Clerk's Diary at the Confederate States Capital, Volume 2, p. 156

Diary of John Beauchamp Jones: February 24, 1864

Bright and pleasant. Intelligence from the West is of an interesting character. The column of Federal cavalry from Memphis, destined to co-operate with Gen. Sherman, has been intercepted and a junction prevented. And both Sherman and the cavalry are now in full retreat—running out of the country faster than they advanced into it. The desert they made as they traversed the interior of Mississippi they have now to repass, if they can, in the weary retreat, with no supplies but those they brought with them. Many will never get back.

And a dispatch from Beauregard confirms Finnegan's victory in Florida. He captured all the enemy's artillery, stores, etc., and for three miles his dead and wounded were found strewn on the ground. Thus the military operations of 1864 are, so far, decidedly favorable. And we shall probably soon have news from Longstreet. If Meade advances, Lee will meet him—and let him beware

Gold is still mounting up—and so with everything exposed for sale. When, when will prices come down?

But we shall probably end the war this year—and independence will compensate for all. The whole male population, pretty much, will be in the field this year, and our armies will be strong. So far we have the prestige of success, and our men are resolved to keep it, if the dissensions of the leaders do not interfere with the general purpose.

SOURCE: John Beauchamp Jones, A Rebel War Clerk's Diary at the Confederate States Capital, Volume 2, p. 156-7

Colonel Rutherford B. Hayes to Sardis Birchard, July 30, 1864

CAMP FIVE MILES SOUTH OF HARPERS FERRY, VIRGINIA, 

July 30, 1864. 

DEAR UNCLE: – I received your letter of the 13th last night. I hardly know what to think about your bank. It seems likely enough that greenbacks may get lower as compared with gold, and perhaps all property employed in banking may depreciate correspondingly. But I am not thinking much of these things now and have no opinions on them which I think of any value. 

As to that candidacy for Congress, I care nothing at all about it, neither for the nomination nor for the election.* It was merely easier to let the thing take its own course than to get up a letter declining to run and then to explain it to everybody who might choose to bore me about it. 

We are gathering an army here apparently to drive the Rebels out of the Valley. I hope we shall be long enough about it to give the men rest and to heal their sore feet. We have had now three months of hard campaigning - marched one thousand to one thousand two hundred miles, besides [travelling] seven hundred (miles) by railroad and steamboat. Much night marching, four or five pitched battles, and skirmishing every other day. 

My health is good — perfect; bothered with boils from constant riding in hot weather, but of no importance. 

I wish you to send my letters to Mother. It will be a comfort to her to hear oftener than I have time to write. Colonel Mulligan was shot down very near me. We were side by side conversing a few moments before. My orderly was wounded, also my horse. Lieutenant Kelly had the narrowest possible escapes — several — balls grazing his head, ear, and body – Mrs. Zimmerman's brother, you know.

Sincerely,

R. B. HAYES. 

_______________ 

* Hayes had received numerous letters from friends in Cincinnati, William Henry Smith, R. H. Stephenson, E. T. Carson, and others, urging him to be a candidate. He was too busy in the field to bother about politics. But he was nominated August 6, and elected in November, without having taken any part in the canvass. 

SOURCE: Charles Richard Williams, editor, Diary and Letters of Rutherford Birchard Hayes, Volume 2, p. 488-9

Diary of Gideon Welles: Tuesday, June 28, 1864

We have bad news from Sherman to-day. Neither Seward, Chase, nor Stanton was at the Cabinet-meeting. The President, like myself, slightly indisposed.

Mrs. General Hunter was at our house this evening and has tidings of a favorable character from her husband, who is in the western part of Virginia. Has done great mischief to the Rebels, and got off safely and well. This small bit of good news is a relief, as we are getting nothing good from the great armies.

Gold has gone up to 240. Paper, which our financiers make the money standard, is settling down out of sight. This is the result of the gold bill and similar measures, yet Chase learns no wisdom. We are hurrying onward into a financial abyss. There is no vigorous mind in Congress to check the current, and the prospect is dark for the country under the present financial management. It cannot be sustained.

SOURCE: Gideon Welles, Diary of Gideon Welles, Secretary of the Navy Under Lincoln and Johnson, Vol. 2: April 1, 1864 — December 31, 1866, p. 61

Diary of Gideon Welles: Monday, June 20, 1864

A very busy and eventful week has passed without my having time to jot down incidents, much less observations and reflections. Among other matters, on representations made by attorneys, detectives, and others, I directed the arrest of Smith Brothers, in Boston. It is stated they have attempted to defraud the government in the delivery of the articles under contract. Mr. Wilson, Mr. Goodman, Mr. Eames, Mr. Watkins, Mr. Fox, Mr. Faxon, Admiral Smith, all concur in opinion as to the criminality of the Smiths. Yet they stand high in Boston as pious, sharp men, who profess great honesty and much religion. The arrest will bring down abuse and hostility upon me from many. But duty demanded action, however unpleasant.

Mr. Rice called on me early Saturday morning with a telegram received at midnight from Mrs. Smith, concerning the arrest of her husband. She is in great distress and has the earnest sympathy of Mr. Rice, who believes the Smiths innocent. He says the arrest has ruined forever the families, whether innocent or guilty. Mr. Gooch soon came in with a similar telegram, received at midnight, and went over the same story more briefly. Gooch felt bad and had slept but little. I told Mr. Rice that the parties should have the benefit of bail, or rather that I had written Mr. Wilson, authorizing bail. Colonel Olcott writes Fox, to whom these matters are specially committed, opposing bail; wants them confined in Fort Warren, where they have been sent, until he has examined their papers. He is a cormorant, searching papers, utterly reckless. I told Fox that I wished a firm but mild man; that I would not be oppressive. But Fox is violent against these men, who, he believes, are hypocrites and rascals. While I may not differ with him in that respect, they have rights in common with us all that must be respected and not rudely violated.

Preliminary measures for the arrest and trial of Henderson, Navy Agent at New York, have been taken. From the statements of Savage, Stover, and others he has been guilty of malfeasance, although standing high in the community as a man of piety and purity. It has been with reluctance that I have come to the conclusion that it was my duty to ask his removal and take measures against him. But I am left no alternative. That he, like all the Navy Agents, was getting rich at the public expense I have not doubted,  that there were wrong proceedings in this matter I fully believed, –and yet to break with old friends was and is unpleasant. My own impression is that Henderson has kept more accurate accounts than his predecessors, and I expect his books will square up faithfully, — accurate in dollars and cents, – but the wrong has been in another way. His representative, and friend, and fellow church-member Odell has looked into the subject, and says he has committed great frauds.

The gold bill, as it is called, has been finally enacted and we shall soon ascertain whether it effects any good. Chase and his school have the absurd follies of the Whigs and John Law in regard to money and finance. I have no confidence in his financial wisdom or intelligence on those subjects.

We get no good army news from Petersburg. Our troops have suffered much and accomplished but little, so far as I can learn. But there is disinclination to communicate army intelligence, as usual. Were the news favorable, it would be otherwise.

The President in his intense anxiety has made up his mind to visit General Grant at his headquarters, and left this P.M. at five. Mr. Fox has gone with him, and not unlikely favored and encouraged the President in this step, which I do not approve. It has been my policy to discourage these Presidential excursions. Some of the Cabinet favored them. Stanton and Chase, I think, have given them countenance heretofore.

He can do no good. It can hardly be otherwise than harmful, even if no accident befalls him. Better for him and the country that he should remain at his post here. It would be advantageous if he remained away from the War Department and required his Cabinet to come to him.

SOURCE: Gideon Welles, Diary of Gideon Welles, Secretary of the Navy Under Lincoln and Johnson, Vol. 2: April 1, 1864 — December 31, 1866, p. 53-5

Diary of Gideon Welles: Wednesday, June 22, 1864

Much sensational news concerning delay of army movements. I am inclined to think our people have learned caution from dear experience, — dear in the best blood of the country.

Gold had gone up to-day to 230. Legislation does not keep down the price or regulate values. In other and plainer terms, paper is constantly depreciating and the tinkering has produced the contrary effect from that intended by our financiers.

SOURCE: Gideon Welles, Diary of Gideon Welles, Secretary of the Navy Under Lincoln and Johnson, Vol. 2: April 1, 1864 — December 31, 1866, p. 55

William M. Evarts to William H. Seward, June 10, 1862

NEW YORK, June 10, 1862.

Governor SEWARD,

Secretary of State:

MY DEAR SIR: A gentleman well-informed in the financial relations of the New Orleans banks has handed me the inclosed memorandum of what he supposes to be the probable status of the specie found under the protection of the Dutch consul at New Orleans. I send it to you, thinking it may be of some service in your investigations.

The idea of this gentleman is that the existence of an occasion for a remittance of some $800,000 to Hope & Co. has been made a cause for this deposit, without the least intention of so paying or providing for the debt, which had, doubtless, been otherwise met.

I had the pleasure of meeting Mr. Weed yesterday at a very agreeable dinner given to him by the district attorney. He seems in excellent health and spirits.

I am, very truly, yours,

WM. M. EVARTS.

[Sub-inclosure.]

MEMORANDUM.

The Citizens' Bank was chartered by the Legislature of Louisiana about the year 1836. The State loaned its bonds to the bank to constitute or raise the capital on which it has been doing business. The bank indorsed the bonds of the State, and negotiated some $5,000,000 of them through Hope & Co., of Amsterdam, where the interest and principal are payable. It is said that $500,000 of these bonds become due and payable at Hope & Co.'s counting-house this year (1862), which, with one year's interest on the whole amount outstanding, probably constitutes the sum placed by the bank shortly before the capture of New Orleans in the hands of the consul of the Netherlands. It is almost certain that Hope & Co. have nothing at all to do with any funds intended to be applied to the payment of the bonds negotiated through them by the Citizens' Bank until they reach Amsterdam; they (Hope & Co.) acting merely as distributors of the funds when placed there with them, all risk of transmission belonging to the bank. Such, I know, was the case with the bonds negotiated by Baring Bros. & Co., issued by the State of Louisiana to the Union Bank of Louisiana. Moreover, it is very probable that the Citizens' Bank has ample funds in London to make the payment due in Amsterdam this year, and will use them for that purpose should the money seized be given up. It should not be forgotten that the Citizens' Bank, or the president, or some other person connected with the bank, has been reported as acting in some way, directly or indirectly, as fiscal agent of the Confederate Government, and that that Government may have funds in the hands of such agent, which were on deposit with the Citizens' Bank. It is even probable that a portion of the gold stolen from the mint in New Orleans at the commencement of the rebellion was deposited in the Citizens' Bank by some agent or officer of the Confederate Government. My opinion is that if the money seized should be delivered up to the consul it will find its way back into the vault of the Citizens' Bank, and that Hope & Co. will be placed in funds to meet the bonds and coupons due this year from other resources of the bank. If the money seized should be found to belong rightfully to Hope & Co., then let the Government send the equivalent amount from here to Hope & Co. by bills of exchange on London, and use the specie where it is for their own purposes.

SOURCE: The War of the Rebellion: A Compilation of the Official Records of the Union and Confederate Armies, Series III, Volume 2 (Serial No. 123), p. 139-40