In June, General Gregory's situation was so desperate that the Assembly again ordered General Allan Jones to send 400 men from Halifax District to North West Bridge to reinforce Gregory; and the latter officer was authorized to draft as many men as possible from the Edenton District.
General Jones informed the Assembly that he would send the troops as soon as possible, but that Gregory would have to provide arms, as he had no means of furnishing equipments for them.
Several engagements took place in June between the British and Americans in the Dismal Swamp region, and in one of them Gregory was repulsed and driven from his position. But in July he wrote to Colonel Blount reporting that his losses were trifling, and that he had regained his old post from the enemy. In August, 1781, a letter from General Gregory conveyed the joyful tidings that the enemy had evacuated Portsmouth. As his troops were no longer needed to guard against the danger of invasion from that direction, and as smallpox had broken out in his camp, General Gregory now released his men from duty, and they returned to their homes.
The British army that had just left Portsmouth, was now on its way to Yorktown, whither Cornwallis, after his fruitless chase of Greene, his disastrous victory at Guilford Courthouse, and his retreat to Wilmington, was now directing his army. There on the 19th of October the famous Battle of Yorktown was fought and Cornwallis and his entire army forced to surrender.
This battle virtually ended the war; but peace did not come to Carolina immediately upon the surrender. The Tories in the State kept up a constant warfare upon their Whig neighbors, and in March, 1782, General Greene, who not long after the battle of Guilford Courthouse had won a decisive victory at Eutaw Springs, and was still in South Carolina, sent the alarming intelligence to the towns on the coast that the British had sent four vessels from Charleston harbor to plunder and burn New Bern and Edenton. To meet this unexpected emergency, General Rutherford was ordered to quell the Tories in the Cape Fear section, who were terrorizing the people in that region. And in April, 1782, General Gregory received orders from General Burke to take 500 men to Edenton for the defense of that town, and to notify Count de Rochambeau as soon as the enemy should appear in Albemarle Sound. In August no sign of the British ships had as yet been seen, though the coast towns were still in daily dread of their arrival. Governor Martin, who had succeeded Burke, wrote Gregory to purchase whatever number of vessels the Edenton merchants considered necessary for the protection of the town, to buy cannon and to draft men to man the boats.