Mr. Blount to Mr. Gresham.

No. 5.]

Sir: Last night about 11 o’clock three sticks of giant powder were found, accompanied by some preparation of mercury. Suspicion is rife with royalists and annexationists.

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The place where they were found is near the Barracks. Believing it was intended to blow up the Barracks the soldiers have been removed this morning into the Palace grounds.

The mail leaves very soon and I can not get any full or accurate statement.

I do not think it indicates any general movement, but rather seems to be confined to a few white persons.

I am, etc.,

James H. Blount.