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From East Tennessee.

Our forces in East Tennessee have settled down in winter quarters at Morristown. Our cavalry is daily skirmishing with the enemy, who is now back at Knoxville. Maj. Gen. McLaws has been ordered to report at Richmond. The order is based on disagreement between the Commander-in- Chief and himself, and does not in any way impugn his courage or capacity. A letter to the Atlanta Register, giving an account of the recent fighting between Longstreet and the enemy, says:

Longstreet's advance, consisting of Major-Gen. Martin's cavalry, met the enemy near Mooresburg. After a spirited engagement the enemy gave back in the direction of Bean's Station. Near that place they made a desperate stand, in some force, consisting of mounted infantry and artillery, and some cavalry.

Brig.-Gen. Gracie was then ordered forward with his brigade of infantry to rout the enemy. This was done in magnificent style. The enemy gave way in confusion in the direction of Rutledge. He lost thirty men killed and one hundred wounded. He was slightly wounded himself in the elbow.

In the meantime the enemy had placed one regiment of infantry and a small squad of cavalry in the Gap, north of Bean's Station, to prevent any movements on their flank. Giltner's brigade of cavalry was sent to capture this force. They gained the summit of the mountain without giving any alarm. Col. Carter's 1st Tennessee was then dismounted and completely surprised the enemy. --Fifty-six of the enemy fell into their hands and fifty-two wagons, thirty-two of which were loaded with coffee and sugar. The remainder were loaded with flour and canvas hams.

If the men had done as they were ordered they might have captured the entire command, but they commenced plundering wagons instead of pursuing the enemy. This has ruined the success of many engagements — made its fruits barren and unsuccessful. Nothing better could be expected from our demoralized cavalry.

The enemy took their position below Rutledge. From the appearance of their camp fires their force must have been nearly equal to ours. The position of both armies was distinctly visible from the mountain heights of the Clinch. Their line of battle could be seen, but not sufficiently plain as to discover their numbers.

Early yesterday morning Gen. Longstreet resumed his march in pursuit of the enemy. At an early hour heavy artillery, firing, also small arms, were heard in the direction of Blain's Cross Roads. The enemy are still on the retreat. Gen. Longstreet's troops follow with much spirit, and ere this arrives to you the enemy will be again invested at Knoxville. If the three corps that came to the relief of the Burnside garrison has gone back to Chattanooga, Gen. Longstreet has ample force to whip the Burnside fraternity. Two young men sent by Gen. Vaughan to the rear of the force advancing to relieve Burnside from London, on the morning of the day that the place was evacuated, arrived here yesterday. They furnish some interesting details of the enemy's strength, intention, destination, &c. They found the reinforcing column to consist of Sherman's; Howard's, and Hooker's corps, numbering in all about 18,000 men, with one brigade of cavalry and twelve pieces of artillery.

The force came hurriedly, leaving no pickets behind. They made a detour to the right from London and went to Morgantown, where they tore down some old alone houses, and built pontoons, on which they crossed on the 30th inst. In conversation with citizens, they told them that they came only as a raid to relieve Burnside. Having done this they would return to the Army of Chattanooga. Evidence of this was leaving no force at Cleveland, Charleston, nor none of the immediate towns or posts from Charleston to Loudon.

Another letter says:

‘ Supplies are abundant all over the country — corn, wheat, pork, and beef, by the millions, enough to supply our army for months. It is to be hoped that the Administration will look to the importance of wresting from the enemy this fertile country, if not from a want of supplies, for that of strategic purpose. But let the enemy remain here this winter and they will make a Gibraltar. Her hills and valleys will be, but an arsenal and depot for the concentration of arms, munitions of war, and soldiers.

’ Having once completed the Kentucky and Knoxville railroad, and gathered in these supplies, all the combined armies of the Confederacy can't drive them out.

They can then move with impunity into Western Virginia to the rear of Lee's army, move across into North Carolina, and cut our communication East and West, or they can have a strong garrison in East Tennessee, move down, connect with the armies of the West, and force our armies on Atlanta and Augusta.

Let us yield no more territory to the enemy. It is a suicidal policy. Territory has been yielded in East Tennessee sufficient to furnish supplies annually to an army of 40,000 men. We hope for a brighter day for this fated country, and bide time for the result.

On the advance of Longstreet into East Tennessee, all the prominent Union men of the counties of Jefferson and Granger left for Kentucky. Many of them were eighty years of age. But they had committed themselves in assisting in the arrest of Southern men. They heard that they would be arrested and held as hostages for the safe return of Southern men to Camp Chase. Some have come back cured of their trip. Bushwhackers are here by the thousand--more numerous than ever. Green and Carter counties are invested with this class to a great extent. Dangerous to travel alone in those counties. They will have to be hunted down like wolves before soldiers or citizens can go into the country with any degree of safety. The same policy must be enforced that was adopted in the counties of Monroe, McMinn, and Bradly. Extermination is the order. A man who follows this hellish practice against a people struggling for the independence of their country ought not to be treated in accordance with the usage of civilized nations. One cause of this boldness arises from the encouragement given them by Burnside, such as furnishing them arms, &c.

About four or five days ago a squad of our men, ten or twelve in number, captured a lot of Yankee clothing, and were in the act of draping themselves in their captured property, when they were recaptured by the Yankees, who, finding them in Yankee clothing, contrary to their published orders, led them out for the purpose of shooting them — Just at this time the 4th and 7th Alabama regiments of cavalry arrived upon the spot and charged them, but not in time to save our men, who were shot down in cold blood — the ruthless villains escaping. A few days afterwards the regiments above alluded to caught fifteen or twenty Yankees and shot them in retaliation.

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