War of the Rebellion: Serial 127 Page 0923 CONFEDERATE AUTHORITIES.

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Regretting that there should have been any misunderstanding on your part, against which I endeavored to provide by the careful wording of my former letter.

I am, very respectfully, your obedient servant,

J. P. BENJAMIN,

Secretary of War.

CONFEDERATE STATES OF AMERICA, WAR DEPARTMENT,

Richmond, February 11, 1862.

G. H. GIDDINGS, Esq.,

Austin, Tex.:

SIR: I have your two letters of 11th and 13th ultimo, brought by your brother. I regret that there should have been any misunderstanding in our arrangements. I have no authority to make an exchange of bonds with Texas, and for that reason arranged, and so stated in my letter, that the State was to buy the arms and pay for them in U. S. bonds, and this Department would receive the arms and pay for them in Confederate bonds. Your brother mentions your purpose to send to Europe to buy arms. I give you no authority to do this. I gave you authority to buy arms in Mexico- to buy in Matamoras from merchants who would agree to deliver arms there-and placed in your hands $250,000 to pay for arms, giving you power to convert the money into cotton in order to make payments, as our notes are not current in Matamoras. As fast as you exhaust your means in purchases I will replenish, but I do not see any necessity for placing funds of any kind in Matamoras to a greater amount than you have in hand until arms are there ready for delivery. The amount in your hands is more than sufficient to satisfy any house that you have authority and means to purchase, and they can certainly require nothing further till the arms are delivered, at which time they will be paid for. I want your operations in the purchase of arms and munitions for the Government confined strictly within the limits herein expressed, and desire no shipment of cotton made on account of Government except in payment for arms already delivered, nor any contracts except for the delivery of arms in Matamoras or our own ports. I do not authorize you to buy arms abroad nor contract for arms abroad, but only for arms delivered here, i. E., in Matamoras or within the Confederacy.

Your obedient servant,

J. P. BENJAMIN,

Secretary of War.

EXECUTIVE DEPARTMENT,

February 11, 1862.

GENTLEMEN OF THE SENATE AND HOUSE OF DELEGATES:

A crisis is upon us. The result of recent reverses to our arms at Mill Springs, Fort Henry, and Roanoke Island appeal in the strongest terms to our patriotism, and demand an exhibition of all our energies, an uncompromising spirit, and stern and determined resolution. The exigencies of the times are not duly appreciated by many of our people; the dangers which environ us are too lightly estimated. We must see and feel their imminence before we can be aroused to that