RTERS FIFTH DIVISION
Memphis, Tennessee, August 11, 1862

Hon. S. P. CHASE, Secretary of the Treasury.

Sir: Your letter of August 2d, just received, invites my discussion
of the cotton question.

I will write plainly and slowly, because I know you have no time to
listen to trifles. This is no trifle; when one nation is at war
with another, all the people of the one are enemies of the other:
then the rules are plain and easy of understanding. Most
unfortunately, the war in which we are now engaged has been
complicated with the belief on the one hand that all on the other
are not enemies. It would have been better if, at the outset, this
mistake had not been made, and it is wrong longer to be misled by
it. The Government of the United States may now safely proceed on
the proper rule that all in the South are enemies of all in the
North; and not only are they unfriendly, but all who can procure
arms now bear them as organized regiments, or as guerrillas. There
is not a garrison in Tennessee where a man can go beyond the sight
of the flag-staff without being shot or captured. It so happened
that these people had cotton, and, whenever they apprehended our
large armies would move, they destroyed the cotton in the belief
that, of course, we world seize it, and convert it to our use.
They did not and could not dream that we would pay money for it.
It had been condemned to destruction by their own acknowledged
government, and was therefore lost to their people; and could have
been, without injustice, taken by us, and sent away, either as
absolute prize of war, or for future compensation. But the
commercial enterprise of the Jews soon discovered that ten cents
would buy a pound of cotton behind our army; that four cents would
take it to Boston, where they could receive thirty cents in gold.
The bait was too tempting, and it spread like fire, when here they
discovered that salt, bacon, powder, fire-arms, percussion-caps,
etc., etc., were worth as much as gold; and, strange to say, this
traffic was not only permitted, but encouraged. Before we in the
interior could know it, hundreds, yea thousands of barrels of salt
and millions of dollars had been disbursed; and I have no doubt
that Bragg's army at Tupelo, and Van Dorn's at Vicksburg, received
enough salt to make bacon, without which they could not have moved
their armies in mass; and that from ten to twenty thousand fresh
arms, and a due supply of cartridges, have a