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August 12.

The One Hundred and Twenty-third Illinois regiment, mounted infantry, under command of Lieutenant-Colonel Biggs, returned to Winchester, Tenn., from a trip into Alabama, with the aim of disbanding a party of bandits, near the junction of Larkin's Fork and Point Rock River. About three hundred of the Eleventh Texas regiment were encountered and driven back, being closely followed a considerable distance down Point Rock River. A number of prisoners were taken, and refugees, issuing from their hiding-places among the mountains, poured in continually until Colonel Biggs's command withdrew toward Winchester.

The United States steamer Wateree was launched at Chester, Pa., this morning.

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