{"@context":{"@language":"en","AIPUUID":"https:\/\/open.library.ubc.ca\/terms#identifierAIP","AggregatedSourceRepository":"http:\/\/www.europeana.eu\/schemas\/edm\/dataProvider","AlternateTitle":"http:\/\/purl.org\/dc\/terms\/alternative","CatalogueRecord":"http:\/\/purl.org\/dc\/terms\/isReferencedBy","Collection":"http:\/\/purl.org\/dc\/terms\/isPartOf","Contributor":"http:\/\/purl.org\/dc\/terms\/contributor","DateAvailable":"http:\/\/purl.org\/dc\/terms\/issued","DateIssued":"http:\/\/purl.org\/dc\/terms\/issued","Description":"http:\/\/purl.org\/dc\/terms\/description","DigitalResourceOriginalRecord":"http:\/\/www.europeana.eu\/schemas\/edm\/aggregatedCHO","Extent":"http:\/\/purl.org\/dc\/terms\/extent","FileFormat":"http:\/\/purl.org\/dc\/elements\/1.1\/format","FullText":"http:\/\/www.w3.org\/2009\/08\/skos-reference\/skos.html#note","Genre":"http:\/\/www.europeana.eu\/schemas\/edm\/hasType","Identifier":"http:\/\/purl.org\/dc\/terms\/identifier","IsShownAt":"http:\/\/www.europeana.eu\/schemas\/edm\/isShownAt","Language":"http:\/\/purl.org\/dc\/terms\/language","Notes":"http:\/\/www.w3.org\/2009\/08\/skos-reference\/skos.html#note","Provider":"http:\/\/www.europeana.eu\/schemas\/edm\/provider","Publisher":"http:\/\/purl.org\/dc\/terms\/publisher","Rights":"http:\/\/purl.org\/dc\/terms\/rights","Series":"http:\/\/purl.org\/dc\/terms\/isPartOf","SortDate":"http:\/\/purl.org\/dc\/terms\/date","Source":"http:\/\/purl.org\/dc\/terms\/source","Subject":"http:\/\/purl.org\/dc\/terms\/subject","Title":"http:\/\/purl.org\/dc\/terms\/title","Type":"http:\/\/purl.org\/dc\/terms\/type","Translation":"http:\/\/purl.org\/dc\/terms\/description"},"AIPUUID":[{"@value":"5dc25d37-fbdc-4fce-944c-46bdb96b5ce7","@language":"en"}],"AggregatedSourceRepository":[{"@value":"CONTENTdm","@language":"en"}],"AlternateTitle":[{"@value":"Canada and British Columbia. 1863","@language":"en"},{"@value":"Canada and British Columbia. Copy of all correspondence, from 1 January 1862 to the present time, between the Colonial Office and the Hudson's Bay Company or other Parties, relative to the road and telegraph from Canada to British Columbia, and the transfer of the Property and rights of the Judson's Bay Company to other parties","@language":"en"}],"CatalogueRecord":[{"@value":"http:\/\/resolve.library.ubc.ca\/cgi-bin\/catsearch?bid=1587128","@language":"en"}],"Collection":[{"@value":"British Columbia Historical Books Collection","@language":"en"}],"Contributor":[{"@value":"Great Britain. Colonial Office","@language":"en"},{"@value":"Carlingford, Chichester Samuel Parkinson-Fortescue, Baron, 1823-1898","@language":"en"}],"DateAvailable":[{"@value":"2015-06-29","@language":"en"}],"DateIssued":[{"@value":"1863","@language":"en"}],"Description":[{"@value":"\"([Great Britain. Parliament, 1863. House of Commons papers] 438)\" -- Lowther, B. J., & Laing, M. (1968). A bibliography of British Columbia: Laying the foundations, 1849-1899. Victoria, BC: University of Victoria, p. 24.
\"\u201cOrdered, by the House of Commons, to be printed, 15 July 1863.\u201d -- Title page.","@language":"en"}],"DigitalResourceOriginalRecord":[{"@value":"https:\/\/open.library.ubc.ca\/collections\/bcbooks\/items\/1.0222145\/source.json","@language":"en"}],"Extent":[{"@value":"21 pages ; 34 cm","@language":"en"}],"FileFormat":[{"@value":"application\/pdf","@language":"en"}],"FullText":[{"@value":" The Library\nTHE UNIVERSITY OF BRITISH COLUMBIA\nVancouver 8, Canada\nTO:\nCANADA AND BRITISH COLUMBIA\n1863\nFORM 600 CANADA AND BRITISH COLUMBIA.\nRETURN to an Address of the Honourable The House of Commons,\ndated 10 July 1863 ',\u2014for,\nc< COPY of all Correspondence, from the 1st day of January 1862 to the\npresent Time, between the Colonial Office and the Hudson's Bay Company\nor other Parties, relative to a Road and Telegraph from Canada to\nBritish Columbia, and the Transfer of the Property and Rights of the\nHudson's Bay Company to other Parties.\"\nColonial Office,^\n14 July 1863. J\nC. FORTESCUE.\n{Mr, Aytoun.)\nOrdered, by The House of Commons, to be Printed,\n15 July 1863.\n438. SCHEDULE.\ni\n2.\n3.\n4.\n5.\n6.\n7.\n8.\n9.\n10.\n11.\n12.\n13.\n14.\n15.\n16.\n17.\n18.\n19.\n20.\n21.\nCorrespondence relative to a Road and Telegraph to British Columbia, and\nTransfer of the Rights of the Hudson's Bay Company to other Parties.\nH. H. Berens, Esq., to his Grace the Duke of Newcastle, K.G. (19 May 1862) -\nMessrs. Baring, Glyn, and others to his Grace the Duke of Newcastle, K.G. (5 July 1862) -\nSir F. Rogers, Bart., to Thos. Baring, Esq., M.P. (31 July 1862)\t\nSir F. Rogers, Bart., to H. H. Berens, Esq. (31 July 1862) - - - -\nH. H. Berens, Esq., to his Grace the Duke of Newcastle, K.G. (11 August 1862)\nSir F. Rogers, Bart., to Thos. Baring, Esq. M.P. (18 August 1862)\t\nSir F. Rogers, Bart., to H. H. Berens, Esq. (28 August 1862)\t\nH. H. Berens, Esq., to his Grace the Duke of Newcastle, K.G. (5 September 1862) -\nT. F. Elliot, Esq., to H. H. Berens, Esq. (21 Nov. 1862)\t\nE. W. Watkin, Esq., to his Grace the Duke of Newcastle, K.G. (27 December 1862) -\nT. F. Elliot, Esq., to E. W. Watkin, Esq. (5 March 1863)\t\nE. W. Watkin, Esq., to his Grace the Duke of Newcastle, K.G. Extract (25 April 1863) -\nE. W. Watkin, Esq., to his Grace the Duke of Newcastle, K.G. (28 April 1863)\nC Fortescue, Esq., M.P., to E. W. Watkin, Esq. (1 May 1863)\t\nC. Fortescue, Esq., M.P., to H. H. Berens, Esq. (1 May 1863)\t\nC. Fortescue, Esq., M.P., to E. W. Watkin, Esq. (5 May 1863)\t\nH. H. Berens, Esq., to his Grace the Duke of Newcastle, K.G. (6 May 1863) -\nC. Fortescue, Esq., M.P., to E. W. Watkin, Esq. (16 May 1863)\t\nH. H. Berens, Esq., to his Grace the Duke of Newcastle, K.G. (15 June 1863) -\nThe Right Hon. Sir Edmund Head, Bart, K.C.B., to his Grace the Duke of Newcastle, K.G.\n(3 July 1863)\t\nThe Right Hon. Sir Edmund Head, Bart., K.C.B., to his Grace the Duke of Newcastle, K.G.\n(6 July 1863)\t\nthe\nPage.\n1\n5\n6\n6\ntWjff\n7\n7\n8\n8\n8\n11\n12\n12\n13\n15\n15\n15\n16\n17\n17\n19\nAppendix.\n1. S. Fleming, Esq., to his Grace the Duke of Newcastle (10 June 1863)\n2. T. F. Elliot, Esq., to S. Fleming, Esq. (29 June 1863) -\n21\n21\n\u25a0aiiMiiSn \nCOPIES\nOF\nCorrespondence between the Colonial Office and the Hudson's Bay Company\nsince 1st January 1862, relative to a Road and Telegraph to British\nColumbia, and the Transfer of the Rights of the Hudson's Bay Company\nto other Parties.\nNo. 1.\nCopy of a LETTER from H. H. Berens, Esq., to his Grace the Duke of-\nNewcastle, K.G.\nMy Lord Duke, Hudson's Bay House, London, May 19, 1862.\nI have the honour to enclose, for your Grace's information, copy of a\ncorrespondence that has passed between Mr. Charles Alleyn, Secretary to the Government of Canada, and Mr. Dallas, who has lately succeeded Sir George Simpson in the\ngovernment of the Hudson's Bay Territory in North America, on the subject of a\nproposed road and line of telegraphic communication between Canada and the gold\nregions of British Columbia.\nI take the liberty of forwarding this correspondence to your Grace, because my\ncolleagues agree with me that any negotiation on the subject should be carried on, not\nwith the Colonial Authorities, but with Her Majesty's Government in this country.\nThe Canadian Government propose, in the first instance, to establish steam communication on Lake Superior, and to open up roads from Fort William in the direction of Red\nRiver ; and they appear to consider that it is the duty of the Hudson's Bay Company to\nundertake the further prosecution of the work through their territories. Of course there is\nno difficulty as far as steamers on Lake Superior are concerned; but between Fort William\nand the heights of land, the natural difficulties of the country will make road-making a\nvery expensive business ; while the soil, which consists chiefly of rock and swamps, will\noffer no inducement to settlers, even if they obtain the land for nothing.\nWithin the last few years a considerable sum of money has been granted and expended\nby the Canadian Government for the purpose of opening this route; but I am not aware\nthat there has been any practical result. Beyond Red River to the base of the Rocky\nMountains, the line will pass through a vast desert, in some places without wood or water,\nexposed to the incursions of roving bands of Indians, and entirely destitute of any means\nof subsistence for emigrants, save herds of buffalo, which roam at large through the plains-,\nand whose presence on any particular portion of these prairies can never be reckoned on.\nThese again are followed up by Indians in pursuit of food, whose hostility will expose\ntravellers to the greatest danger.\nWith regard to the establishment of a telegraphic communication, it is scarcely necessary\nto point at the prairie fires, the depredation of natives, and the general chapter of\naccidents, as presenting almost insurmountable obstacles to its success.\nI have thought it my duty thus slightly to sketch the difficulties in the way of the enterprise, the subject of the correspondence which I have brought under your Grace's notice.\nBut if it be thought that the interests of Canada and British Columbia, or of this country,\nrequire that the experiment should be made, the Hudson's Bay Company will most readily\nacquiesce in the decision of Her Majesty's Government. At the same time it is my duty\nto state that, injustice to our proprietors, the Directors of the Hudson's Bay Company\ncannot risk their capital in doubtful undertakings of this description, spread over such\nvast distances through a country where the means of maintaining them, if once made,\nwill lead to an expenditure scarcely to be contemplated. Although, therefore, the\nDirectors, on behalf of the Company, are ready to lend Her Majesty's Government all\nthe moral support and assistance in their power, it must be distinctly understood that the\nCompany have no means at their disposal beyond those employed in carrying on their\ntrade, and cannot consequently undertake any outlay in connexion with the schemes\nsuggested by the Canadian Government.\n1 think it may not be improper to take this opportunity of referring your Grace to\nformer communications between the Hudson's Bay Company and the Colonial Office on\nthe subject of settlement in their territories. The Company have always expressed their\n(191,) A 2 willingness\nNo. l. ( 4 )\nwillingness to surrender the whole or any part of the territorial rights upon terms that\nwould secure fair compensation to the proprietors as well as to the officers and employes\n\u25a0fe country. The Governor at Red River Colony has instructions to make grants of\nin\nland to settlers, on easy conditions, without any restriction as to the Company's right of\nexclusive trade ; and if Her Majesty's Government, with reference to the interests of the\npublic, consider more extensive plans for the improvement of the country expedient,\nthe Directors of the Company will be quite ready to entertain them with the desire to\nmeet the wishes of Her Majesty's Government in any manner not inconsistent with the\nyested tights of the constituents.\nI have, &c.\nHis Grace the Duke of Newcastle, K.G. (Signed) H. H. BERENS,\n&c. &c &c. Governor.\nEncl.inNo.1, Enclosure in No. 1.\nSecretary's Office,\ngIRj Quebec, 15th April 1862.\nThe Government of Canada have had their attention very strongly directed to the important\nsubject of an overland communication with British Columbia through the Hudson's Bay Territory,\nvia the Red River; and I am now commanded by his Excellency the Governor General to inform\nyou of the steps proposed towards effecting this object, and to seek the co-operation of the Hudson's\nBay Company therein.\nThe Canadian Government do not wish at present, to raise any question as to the rights of the\nCompany, who must be regarded as de facto in possession of the country intervening between Canada\nand British Columbia. They consider that most important public interests demand the establishment of a practicable line of communication across the continent, and they desire to have the practical\naid of your Company in carrying it into effect.\nArrangements were made within the last four years for postal service with Red River, but the want\nof territorial rights at Red River and along the greater part of the route defeated the plans of the\nCanadian Government, and after a very considerable outlay the line had to be abandoned. Another\neffort is now being made in the same direction, and as the Hudson's Bay Company claim the right of\nterritory and government over this region, it is hoped they will also assume their co-relative duties,\nand unite with Canada in opening up the country.\nThe Canadian Government is about to establish steam communication with Fort William on Lake\nSuperior immediately. A large tract of land at this point has been surveyed, and a Crown lands agent,\nhas been recently appointed to reside there. Appropriations have been made by the Legislature for\nroads towards Red River, on which free grants will be made to settlers, and every effort will be made\nto attract settlement, the ultimate object being the connexion with the Red River and Sackatchewan.\nCanada is therefore now prepared to guarantee that, so far as her undisputed boundary extends, every\nfacility will henceforward exist towards a communication with the West.\nThe Canadian Government cannot doubt that the Hudson's Bay Company are fully alive to the\nvast importance of such a communication. The recent gold discoveries on the Sackatchewan cannot\nfail to attract many adventurers, who must at present be principally drawn from the United States.\nThe settlement of Red River itself has now its sole communication with Minnesota, and will naturally\nimbibe American principles and views unless brought into connexion with the British settlements.\nEast and West Canada must look with some apprehension to the probable result that in a very few\nyears the population lying to her -west will be wholly foreign,' and that unless facilities for settlement be afforded from Canada equal to those enjoyed from the United States, and unless efficient\ncivil government be speedily established, British rule over this part of the continent will virtually\nhave passed away, and the key of the trade to British Columbia, and ultimately China, have been surrendered to our rivals. The Hudson's Bay Company cannot desire a result that would equally militate\nagainst their own interests, and the Canadian Government therefore hopes for their hearty co-operation\nin opening up the Red River and Sackatchewan territories by a cominmunication from Canada to\nBritish Columbia.\nThe Government of Canada consider that, in connexion with the means of transport across the\ncontinent, a telegraph communication should be established as especially necessary for Imperial\ninterests, inasmuch as both the United States and Russia possess telegraphic lines to the Pacific,\nwhile Great Britain has no other mode of doing so but through the Hudson's Bay Territory. Recent\nevents have proved the paramount importance of such a line.\nLeaving untouched, therefore, all disputed questions, I am commanded by his Excellency the\nGovernor General to state that the Canadian Government have decided at once to establish steam\nand stage communication to the extreme limit of the territory under their government, and are ready\nto unite with the Hudson's Bay Company in a mail service and post route to British Columbia. The\nCanadian Government is also prepared to guarantee the construction of a telegraph line to the extreme\n\u25a0western limits of the province.\n3 I request that you will inform me how far you will be prepared to act for the Hudson's Bay Company\nin carrying out objects of such great national importance, and which cannot be long delayed without\nthe most serious injury to the interests of the empire, and especially to the future progress and security\nof\u20acan\naua.\nurity\nAlexander G. Dallas, Esq.\n&c &c &c.\nI have, &c.\n(Signed) Chables Alleyn,\nSecretary. W\n\u25a0S\n( 5 )\nSiRj \\ j Montreal, 16th April 1862.\nI have the honour to acknowledge receipt of the important communication which you have'\naddressed to me by command of his Excellency the Governor General, under date the 15th instant\nwherein you intimate the desire of the Government of Canada to establish an overland communication\nwith British Columbia, through the Hudson's Bay Territory, as well as the steps proposed towards\neffecting that object, and further request the co-operation of the Hudson's Bay Company therein.\nAfter stating that the Government of Canada, regarding,the Company as de facto in possession of\nthe intervening territories, does not wish to raise any questions as to its 'rights, you proceed to point\nout the great, public interests which are involved by the formation of a chain of settlements connecting Canada with British Columbia by postal and telegraphic services, the paramount importance\nof which is proved by recent events. You also point out the danger of the Red River settlement\nfrom its close connexion with Minnesota, consequent on its isolated position with regard to Canada\nbecoming imbued with American principles and views, and passing away to our rivals, thus depriving\nthe country of the key of the trade to British Columbia and ultimately to China.\nWhile fully admitting the force of the above arguments, and the immediate necessity of some\narrangement being come to, I am reluctantly compelled to admit my inability to meet the Government\nof Canada in this forward movement, for the following reasons:\u2014\nFirst, the Red River and Saskatchewan Valleys, though not in themselves fur-bearing districts, are the\nsources from whence the main supplies of winter food are procured for the Northern posts from the\nproduce of the buffalo hunts. A chain of settlements through these valleys would not only deprive the\nCompany of the above vital resource, but would indirectly in many other ways so interfere with their\nNorthern trade as to render it no longer worth prosecuting on an extended scale. It would necessarily\nbe diverted into various channels, possibly to the public benefit, but the Company could no longer exist\non its present footing.\nThe above reasons against a partial surrender of our territories may not appear sufficiently obvious\nto parties not conversant with the trade or the country; but my knowledge of both, based on personal\nexperience, and from other sources open to me, point to the conclusion that partial concessions of the\ndistricts which must necessarily be alienated would inevitably lead to the extinction of the Company.\nSecond, granting that the Company were willing to sacrifice its trading interests, the very act would\ndeprive it of the means to carry out the proposed measures. There is no source of revenue to meet the\nmost ordinary expenditure, and even under present circumstances the Company has practically no\npower to raise one. The co-operation proposed in calling on the Company to perform its co-relative\nduties pre-supposes it to stand on an equal footing with Canada.\nIt is not to be supposed that the Crown would grant more extensive powers to the Company than\nthose conveyed bv the Charter. If any change be made it is presumed that direct administration by the\nCrown would be resorted to as the only measure likely to give public satisfaction.\nNot having anticipated the present question I am without instructions from the Board of Directors\nin London for my guidance. I believe I am, however, safe in stating my conviction that the Company\nwill be willing to meet the wishes of the country at large by consenting to an equitable arrangement\nfor the surrender of all the rights conveyed by the Charter.\nI shall by the next mail forward copies of this correspondence to the Board of Directors in London,\nwho will thus be prepared in the event of the subject being referred to Her Majesty's Secretary of State\nfor the Colonies.\nI may state that it is my intention to make immediate arrangements at the existing settlement of\nRed River for the sale of land on easy terms, free from any restrictions of trade. It would, I believe,\nbe impolitic to make any distinction between British subjects and Foreigners. The infusion of a\nBritish element must be left to the effects of a closer connexion and identity of interests with Canada\nand the mother country.\nI have, &c.\nHon. Charles Alleyn,\n&c. &c.\n(Signed)\nA. G. Dallas.\nNo. 2.\nNo. 2.\nCOPY of a LETTER from Messrs. Baring, Glyn, and others, to his Grace the\nDuke of Newcastle, K.G.\nMy Lord, London, 5th July 1862.\nThe growing interest felt by the commercial world in British Columbia, and in\nthe communications which commerce, as well as considerations of empire, require across\nthe continent of British North America, renders it, as it appears to us, opportune and\ndesirable for some adequate organization to apply itself, under the sanction of Government, to the task of providing a telegraphic service, and of securing the means ot travelling with regularity to the British territory on the Pacific.\nConnected with a country so new and so vast, and as to which so little is popularly\nknown, such an enterprise could only hope for success in the event of its being undertaken with the full approbation and support of Government.\nAs a preliminary to any practica discussion of the question, it is desirable to ascertain\nhow far Her Majesty's Government recognize the importance and desirability of such an\nenterprise to be placed in proper hands, and also how far assistance would be given to\naid in its prosecution.\n(191.) A3 ( 6 )\nParliament is naturally averse to the increase of the national burdens, and it may be\nthat a money grant might be out of the question f but without adding to the expenditure\nof the country, there are large resources available in the shape of territory. Would,\ntherefore, the Government, if approving such an attempt, be ready to grant to any sound\nand sufficient company a considerable tract of land in aid to the construction ot the\nmeans of communication by telegraph, and the provision of the means of transit across\nthe continent ? ,., r i r> \u2022 \u2022 i \u2022 \u2022\nKnowing the interest which your Grace feels in the progress of the British empire in\nNorth America, we do not hesitate thus to call attention to the subject.\nWe have, &c,\n(Signed) Thomas Baring.\nGeo. Carr Glyn.\nR. D. Hodgson.\nGeo. G. Glyn.\nR. W. Crawford.\nTo his Grace the Duke of Newcastle, K.G. William Chapman.\n&c. &c. &c\nNo. 3. No. 3.\nCopy of a LETTER from Sir F. Rogers, Bart., to Thos. Baring, Esq., M.P.\nSIR} Downing Street, July 31, 1862.\nThe Duke of Newcastle has received the letter signed by you and other gentle\nmen, dated the 5th of July, relative to the formation of a company for the purpose of\nopening a route for passenger traffic, and telegraphic communication across the continent\nof British North America to the British Colonies on the Pacific.\nI am desired in reply to express the Duke of Newcastle's regret that Her Majesty's\nGovernment cannot afford any direct pecuniary assistance to this object, and that, except\nin British Columbia, he has no power to make any grant of land for the purpose. At the\nsame time his Grace fully appreciates the importance of the proposed scheme, and will\ngive it every encouragement in his power. For this purpose he has written to the\nHudson's Bay Company, through whose territories any such communication must pass,\nto enquire what facilities they would be ready to afford to the undertaking; and the\nDuke of Newcastle would suggest that you, and the gentlemen associated with you,\nshould place yourselves in communication with the chairman of that Company, and in\ncase of any satisfactory arrangement being made with them, his Grace will write to the\nGovernors of Canada and British Columbia, and endeavour to procure for you some concession of land from those Colonies.\nI am, &c\nThos. Baring, Esq., M.P. (Signed) FREDERIC ROGERS.\nNo. 4.\nSir,\nNo. 4.\nCopy of a LETTER from Sir F. Rogers, Bart., to H. H. Berens, Esq.\nDowning Street, July 31, 1862.\nI am directed by the Duke of Newcastle to request that you will bring under the\nconsideration of the Hudson's Bay Company the enclosed copy of a letter* from\nMr. Thomas Baring, M.P., and othe'r gentlemen, relative to the formation of a company\nfor the purpose of opening a route for passenger traffic and telegraphic communication\nacross the continent of British North America to the British Colonies on the Pacific.\nHis Grace, appreciating the importance of the scheme submitted to him, is disposed\nto give it every encouragement in his power, and for that purpose intends to invite the\nco-operation of the Governments of Canada and British Columbia.\nAs, however, the proposed communication could only be carried through the territory\noyer which the Hudson's Bay Company claims rights, his Grace, though not permitting\nhimself to doubt from the tenour of your letter of the 19th of May t that the Company\nwould afford such facilities as are in their power for co-operating in this great public\nobject, would nevertheless be glad to learn distinctly whether they would concede a\nJuh\n1862. Printed at page 5.\nf Printed at page 3. ( 7 )\nline of territory to any company which men of such position and character as those who\nhave signed the enclosed letter might form for the purpose.\nHis Grace is in communication with Mr. Baring on this subject.\nI am, &c.\nH. H. Berens, Esq. (Signed) FREDERIC ROGERS.\n&c. &c.\nNo. 5.\nCopy of a LETTER from H. H. Berens, Esq., to His Grace the Duke of\nNewcastle, K. G.\nHudson's Bay House, London,\nMy Lord Duke, August 11, 1862.\nI have communicated with my colleagues in the direction of the Hudson's Bay\nCompany on the subject of your Grace's letter of the 31st of July, of which I had the\nhonour to acknowledge the receipt on the 1st instant.\nThey direct me to assure your Grace of their readiness to co-operate with Her\nMajesty's Government in any measures they may be pleased to recommend for the\nimprovement of the communication across the territories of the Company, and for the\nsettlement of the country, provided always they are not required to advance the capital\nof their constituents in aid of speculations projected by other persons, of the success of\nwhich the projectors are the most competent judges.\nThe Directors of the Hudson's Bay Company will have no objection to make such free\ngrant of land to any association, of which the gentlemen who have made the application\nto your Grace, by their letter of the 5th July,* are the responsible Directors, as may\nreasonably be required for effecting the proposed communication, on the sole condition\nthat adequate security is taken for the establishment and completion of a sufficient road\nfor passenger traffic and telegraphic communication across the continent.\nI have, &c.\n(Signed) H. H. BERENS,\nHis Grace the Duke of Newcastle, K. G. Governor.\n&c. &c. &c.\nNo. 5.\nNo. 6.\nCopy of a LETTER from Sir F. Rogers, Bart., to Thos. Baring, Esq., M.P.\nNo. 6.\nSir, Downing Street, August 18, 1862.\nWith reference to my letter of the 31st ult.,t I am directed by the Duke off rage 6\nNewcastle to transmit to you for your information a copy of a letter from the Chairman\nof the Hudson's Bay Company, J stating the extent to which the Company will be willing JAug\nto co-operate with yourself and colleagues in establishing telegraphic communication with Supra\nBritish Columbia across British North America.\nI have,\u00ab&c.\nT. Baring, Esq., M.P. (Signed) FREDERIC ROGERS.\n&c. &c.\n11.1862.\nNo. 7.\nCopy of a LETTER from Sir Frederic Rogers, Bart., to H. H. Berens, Esq.\nNo.\nDowning Street, August 28, 1862.\n5Ut' Your letter of the 11th instant\u00a7 has been laid before the Duke of Newcastle and \u00a7SuPra.\nhis Grace requests that you will express to your colleagues in the management of the\nHudson's Bay Company his gratification at their readiness to make a grant of land to the\npromoters of the contemplated undertaking of a passenger and telegraphic commumca-\n(19L) A4 ( 8 )\ntion between Canada and British Columbia. It will be obvious to you that the means of\nany association which may be formed to effect this great design must depend upon the\nextent of the proposed concession. His Grace, therefore, directs me to ask you to have\nthe goodness to state what breadth of land the Governors of the Hudson's Bay Company\nare willing to grant for this purpose.\nI am, &c.\nH. H. Berens, Esq. (Signed) FREDERIC ROGERS.\n&c. &c.\nNo. 8.\n* Page 7.\nNo. 8.\nCopy of a LETTER from H. H. Berens, Esq., to his Grace the Duke of\nNewcastle, K.G.\nHudson's,Bay House, London,\nMy Lord Duke, r j September 5, 1862.\nI have the honour to acknowledge the receipt of Sir Frederic Rogers'letter of the\n28th August,* and am pleased to observe that your Grace is gratified by the readiness of\nthis Company to meet the views of Her Majesty's Government in reference to the contemplated communication between Canada and British Columbia. In reply to your inquiry\nas to the breadth of land the Hudson's Bay Company are willing to grant for the purpose\nof the undertaking, I beg to say that being in utter ignorance of the sort of route projected, and in the absence of any communication from the promoters of the undertaking,\nit is impossible for me to state to what extent the grant would amount.\nI have, &c.\nHis Grace the Duke of Newcastle, K.G. (Signed) H. H. BERENS,\n&c. &c. &c. Governor\nNo. 9. No. 9.\nCopy of a LETTER from T. Frederic Elliot, Esq., to H. H. Berens, Esq.\nSir, Downing Street, November 21, 1862.\nWith reference to your interview with the Duke of Newcastle on the 18th instant,\nupon the subject of a proposed Postal and Telegraphic Route from the Canadian frontier\nto that of British Columbia, at which his Grace understood you to express the willingness\nof the Hudson's Bay Company to enter into personal communication with some of the\ngentlemen who are desirous, under certain conditions, of undertaking this scheme, and to\nconfer with them either upon the basis of forming a road through the country comprised\nin the Charter cf your Company, or upon that of the purchase of the whole of the\nCompany's rights, I am directed by his Grace to inform you that he has to-day seen 1\ndeputation of the gentlemen referred to, and they, on their part, expressed their readiness\nto attend the proposed meeting.\nThe Duke of Newcastle thinks that it would be desirable that you should now arrano-e\nan interview either with Mr. Thomas Baring or with Mr. Edward Watkin, and, as it is\nevident that with a view to any consideration of the second proposal it would be necessary\nthat some details of the property to be sold should be laid before the intending purchasers,\nhe hopes that the Company will be good enough to authorize such information to be\ngiven as may be necessary, and as may not be detrimental to their own interests.\nI have, &c.\nH. H. Berens, Esq. (Signed) T. FRED. ELLIOT.\n&c. &c.\nNo. 10. No. 10.\nCopy of a LETTER from E. W. Watkin, Esq., to his Grace the Duke of\nNewcastle, K.G.\nMy Lord Duke, London, December 27, 1862\nill r> o ESRnING i0 the lMSS0t vvhich Messrs- G- G- Gf}'\"> MM R- W. Crawford,\nm\nc\nG\ni.P., H. Wollaston Bjake, Wiiliam Chapman, Robert Benson, Captain Glyn, R.N., and\nlyself, had the honour to have with your Grace at the Colonial Office, on the 21st\nNovember, m reference to the important question of telegraphic and other means of\nommumcation through British territory to the Pacific, I have now to report\nirace, on behalf of the gentlemen who have moved in this matter, that the su\nto your\nbject has ( 9 )\nbeen fully discussed with the Governor and Directors of the Hudson's Bay Company\nand also with the delegates from Canada, the Honble. Messrs. Sicotte and Howland Who\nwere specially authorized by their Government to deal with it, and that considerable\nprogress has been made with the negotiation.\nThe Hudson's Bay Company still decline to do more in aid of telegraphic and road\ncommunication than to make a free grant of land for the actual site of the proposed\nworks, which is much to be regretted.\nThe larger question raised has, however, not been forgotten, and accounts are promised\non behalf of the Hudson's Bay Company, which, it is stated, will give a clear view of the\nfinancial position of that undertaking, and thereby enable calculations to be made of its\nreal value to purchase.\nIt is considered desirable, however, to keep the two questions above alluded to distinct,\nthe more especially as time is so much an object.\nIn the absence of a large grant of land, it will, therefore, be necessary to ask for\nassistance by way of guarantee from the Imperial and Provincial Governments.\nThe Canadian delegates, recognizing this necessity, have officially notified to us their\nreadiness on behalf of the Canadian Government to recommend the participation by\nCanada in a minimum guarantee of four per cent, upon a capital of not exceeding\n500,0007., to be devoted to the construction of telegraph and road communication.\nThey propose to participate to the extent of one third of the guarantee in the event of\nHer Majesty's Government and British Columbia joining in the responsibility, or of one\nhalf in the event of the refusal of Imperial aid; that refusal, however, they state that\nthey cannot anticipate, considering the Imperial importance of the work.\nThe enterprize having now, and after much negotiation, been thus brought to a\npractical stage, I am desired further respectfuUy to ask if your Grace is prepared to\nrecommend in like manner that Her Majesty's Government and British Columbia, or if,\nunfortunately, Imperial aid is impossible, then that British Columbia alone, participate in\nthe proposed guarantee, to the extent, in the former case, of two thirds, or, in the latter\ncase, of one half, of the very moderate responsibility suggested?\nCopies of the correspondence with the Canadian delegates, detailing all that has transpired, are enclosed for your Grace's information.\nShould your Grace favourably consider this request, immediate measures will be taken\nto raise the capital required through an influential company; and so soon as that is\neffected the drafts of the Bills which would have to be submitted to the Imperial and\nProvincial Parliaments should be discussed and settled. Those Bills would embody all\nthe details of the arrangement as between the promoters and Her Majesty's and the\nProvincial Governments; and it would be most desirable that they should be discussed\nin the ensuing session, so that, should Parliament adopt and approve the policy of assisting these works in the manner proposed, they may, if possible, be commenced in the\nearly part of the summer of 1863.\nI have, &c.\nHis Grace the Duke of Newcastle, K.G. (Signed) E. W. WATKIN.\n&c. &c. &c.\nEnclosure in No. 10.\nA.\nMemorandum.\nThe gentlemen who have to-day met the Honourable Messrs. Sicotte and Howland at 67,\nLombard Street, will take measures to form a company without delay for the object of carrying\nout\u2014\nFirst, the construction of a telegraph and system of posts, and the conveyance of telegraphic\nmessages and correspondence, from the Canadian boundary at the head of Lake Superior to the\nPacific, (and also, if desired, from the United States boundary to Fort Garry); and,\nSecond, for the provision of facilities for travel by ordinary waggon roads and steamers\u2014\nOn the following conditions; viz.\n1. That possession of the free grant of the right of way for an adequate width, already proposed\nto be made by the Hudson's Bay Company, be confirmed to the Company under Imperial and Colonial\nLegislation; and that a grant of land of reasonable width be in like manner made by the Imperial\nand Colonial Governments through their respective territories, to the east and west of the grant from\nthe Hudson's Bay Company. . \u201e\n2. That similar rights and privileges as were granted to the \" North-west Transit Company, and to\nothers, by the Canadian Parliament, be secured to the Company proposed to be formed.\nMemorandum.\u2014It would be desirable, if fair terms can be agreed, that the property and rights ot\nthe Transit Company, or others, be incorporated with those of the new company, thereby securing\na fair protection to any existing interests, and unity of action in Canada.\n(19L) B\nEnelia No. 1 ( io )\nS\u00bb That the Canadian and British Columbian Governments arrange for the guarantee of a minimum:\nrate of interest of four per cent, per annum upon the capital required, which, for the telegraph and\nsystem of posts and letter express, is not to exceed three hundred thousand pounds, and for the\nprovision of facilities for travel two hundred thousand pounds in addition; or, for the whole, a capital\nof not exceeding five hundred thousand pounds sterling.\n4. Proper protection of the property of the Company, and of the persons employed by it, to be\nextended by the Governments under the laws existing for the tune being, and, so far as the\nHudson's Bay Territory is concerned, under the protective powers for the time being exercised by the\nHudson's. Bay Company. .\n5. That the works of the Company shall be free from all taxation for not less than thirty years.\n6. That a proper tariff of rates for messages and letters be agreed upon between the Governments\nand the new Company, and that the Company's telegraphs and letter post be used by the Governments\non terms to be agreed. .\n7. The Governments may have the power to purchase the whole concern after it has paid per\ncent, for a period of five years,, at a premium of per cent.; or, after the Company has, for a\npast period of five years, paid six per cent, per annum, half the surplus profits may be devoted to a\nsinking fund.\nIt is desired again to repeat that the gentlemen who have this day met Messrs. Sicotte and Howland\nare merely desirous of seeing executed, without further delay, the works herein proposed; and do not\nwish to undertake any action unless with the entire approval of the delegates from Canada. Should\nMessrs. Sicotte and fiowland consider that practical assistance to the object of their mission can be\nrendered in any other or better way, they will be quite ready to discuss the suggestions of the\ndelegates, and either to co-operate or retire, as may be thought best to serve the\ninitiated by Canada.\n67, Lombard Street, London,\n8th December 1862.\ngreat\npolicy\nB.\nWith a view of better enabling the gentlemen whom they met yesterday at 67, Lombard Street,\nto take immediate measures to form a company for the object of carrying out the construction of a\ntelegraph line and of a road to establish frequent and easy communication between Canada and the\nPacific, and to facilitate the carrying of mails, passengers, and traffic, the undersigned have the honour\nto state, that they are of opinion that the Canadian Government will agree to give a guarantee of\ninterest at the rate of four per cent, upon one third of the sum expended, provided the whole sum does\nnot exceed five hundred thousand pounds, and provided also that the same guarantee of interest will be\nsecured upon the other two thirds of the expenditure by Imperial or Columbian contributions.\nIf a company composed of men of the standing and wealth of those they had the pleasure to\nmeet is formed for the above purposes, under such conditions as will secure the interests of all\nparties interested, and the accomplishment of the objects they have in view, such an organization\nwill be highly favourable to the settlement of an immense territory, and if properly administered,\nmay prove to be also of great advantage to the trade of England.\n(Signed)\n(Signed)\nLondon, 10th December, 1862.\nTo MM. Glynn,\nBenson,\nChapman,\nNewmarch,\nWatkin,:\n&c. &c. &c.\nL. V. Sicotte.\nW. P. Howland.\nC.\nGentlemen, . London, December 17, 1862.\nAt a conference of the gentlemen who have been in communication with you in reference to the\nprovision of the means of telegraphic and other communication to the Pacific, held this day at 67, Lombard Street, I was requested to acknowledge the receipt of your communication of the 10th December,\nand to thank you for it\nReferring to conversations which have taken place, and to your private suggestion that an alternative\nproposition should be considered under probable circumstances then discussed, I am desired further to\nsay, that should Her Majesty's Government not accede to the proposals which we understand you have\nalready made to the Colonial Minister, but in place thereof should propose that British Columbia, as\na province of the Crown, shall take a larger share of the proposed responsibility, they will be ready to\nproceed, at your instance and with your approval, to form a Company for the purposes detailed, upon\nLtionthat the rate of interest shall be increased say to 4-i- or 5 per cent.\nI\nDie simplest form of working the arrangements in the short time now left open would be for the\nmperial and Canadian Governments to obtain the passage of measures in the ensuing sessions of\narUarnent, by which British Columbia and Canada agreed to pay, in equal proportions, an annual sum\n. pay, m equal propor\not say 22,50W. to the Company who would execute and establish the proposed work\n, *h?\u00a3 ?Tn, ^tails could be made matter of arrangement between the Colonial Minister, on behalf\not British Columbia, and the Governor General in Council for Canada and the promoters of the\nenterpnze* r\nThe adoption of this suggestion would enable measures for the formation of a company and the subscription of capital (conditional upon the granting of Parliamentary sanction) to be at once taken, and BBSS\nc ]1 )\nwhile money is still abundant; whereas if all practical action to this end were postponed until the Parliaments have met, unforeseen financial difficulties might arise.\nIt is hoped, therefore, that as early an answer as possible may be given.\nI have, &c.\nT ,, u T \u2022 tL c. .. , w \u201e \u201e , . (Signed) Edward W. Watkin.\nTo the Hon. Louis V. Sicotte and W. P. Howland.\nD.\nAlthough little disposed to believe that Her Majesty's Government will not accede to the proposal\nof co-operation they have made in relation to the opening of communication from Canada to the Pacific\nthe undersigned have the honour to state, in answer to the letter of Mr. Watkin of the 17th instant!\nthat, in their opinion, the Canadian Government will grant to a company organized as proposed in the\npapers already exchanged, a guarantee of interest, even on one half the capital stated in these documents, should the Imperial Government refuse to contribute any portion of this guaranteed sum of\ninterest.\nThe undersigned must state, in answer to another demand made in the same letter, that the guarantee\nof the Canadian Government of this payment of interest ought to secure the monies required at the\nrate of 4 per cent., and that they will not advise and press with their colleagues a higher rate of interest\nas the basis of the arrangement.\nLondon, 20th December 1862.\nI have, &c.\n(Signed) L. V. Sicotte.\nW. P. Howland.\nNo. 11.\nCopy of a LETTER from T. Fredk. Elliot, Esq., to E. W. Watkin, Esq.\nSir, Downing Street, March 5, 1863.\nI am directed by the Duke of Newcastle to acknowledge the receipt of your\nletter of the 27th of December,* and to express his Grace's regret that so long though\nquite unavoidable a delay should have occurred in replying to it.\nI am now desired to make to you the following communication:\u2014\nHer Majesty's Government are of opinion that they cannot apply to Parliament to\nsanction any share in the proposed subsidy by this country ; and though they take great\ninterest in the project contemplated with so much public spirit by the gentlemen\nrepresented by you for carrying a telegraphic and postal communication from the confines of Canada to the Pacific, they do not concur in the opinion of the Canadian\ndelegates that the work is of such special \" Imperial importance\" as to induce them to\nintroduce for the first time the principle of subsidising or guaranteeing telegraphic lines\non land.\nHer Majesty's Government are further of opinion that without a submarine transatlantic telegraph the proposed line in America will be of comparatively small value to\nthe Imperial Government, and that whenever a scheme of the former kind is renewed it is\nalmost certain that this country must be called upon to bear a much larger charge for\nit than that which it is now proposed to devolve upon the British Colonies in respect of\nthe land telegraph and communication.\nAs Canada has offered to bear one half of the proposed guarantee the Duke of\nNewcastle is prepared to recommend, and his Grace has no doubt of ready acquiescence,\nthat British Columbia and Vancouver Island shall pay the sum of 10,000L per annum\nas their share of 20,000\/. (being at the rate of 41. per cent, on a capital of 500,000\/.) to\ncommence when the line is in working order.\nIt will, however, be necessary, before any proposal is made officially to the Colonies,\nthat the Duke of Newcastle should receive further details.\nIt is requisite that his Grace should be informed what provision will be proposed as to\nthe duration of this subsidy ; what conditions as to the right of purchasing the line ; and\nto what authorities that right should belong j and on what terms the whole arrangement\nmay be revised in the event of the Hudson's Bay Company coming to any agreement for\nthe sale of their territory. There will also doubtless be other provisions which the\nColonies will expect.\nE. W. Watkin, Esq. (Signed) \" T. FREDK. ELLIOT.\nNo. 11.\nPage 8.\n(19L)\nB2 ( 12 )\nNo. 12.\nNo. 12.\nExtract of a LETTER from E. W. Watkin, Esq., to his Grace the Duke of\nNewcastle, K.G.\nGrand Trunk Railway Office,\n21, Old Broad* Street, E.C.\nApril 25, 1863.\nI beg to enclose an extract from a letter I have received from Mr. Howland,\nwhich I think should be in your Grace's possession.\nEnd. in No. 12.\nEnclosure in No. 12.\nExtract from a Letter from Hon. W. P. Howland to Mr. Watkin.\n\" However important the Intercolonial Railroad may be, the opening up of the North-west territory\nwould increase its value, and, in fact, afford much stronger grounds for its construction than exist at\npresent; and the immediate result of opening up that territory would, in my opinion, be productive of\nmuch greater good to the people of England and Canada than would result from the construction of the\nIntercolonial Railroad.\n11 send by post the report of Mr. Taylor to the \"United States Government upon the North-west\nterritory of British America, by which you will perceive that they attach much greater importance to\nthe future of that country than the people of England or Canada have hitherto shown.\n\" The description given of the climate appears to have been compiled from reliable data, and affords\nthe clearest information upon that point that has yet come before the public. I regret not having\nanother copy to send his Grace the Duke of Newcastle. If he has not received one, will you be kind\nenough to send him this ?\n| Mr. Sandford Fleming, (who is an engineer of high character and ability,) is now here [Quebec]\nas a delegate from the people of Red River, in charge of a memorial on their behalf to the Governments\nof Canada and England. This memorial is accompanied with a very clear statement of the condition\nand prospects of the country, and a report upon the proposed communication to be made through it.\nI am now getting the documents printed; and, when done, I will send you a copy, and one will be\nforwarded by his Excellency to the Duke.\"\nNo. 13.\nPage 11.\n*Paee7.\nNo. 13\nCopy of a LETTER from E. W. Watkin, Esq., to his Grace the Duke of\nNewcastle, K.G.\n21, Old Broad Street, London, E.C,\nMy Lord Duke, April 28, 1863.\nReferring to the letter which I had the honour to receive by direction of your\nGrace from Mr. Elliot under date of the 5th ultimo,* to the interview which your\nGrace was good enough subsequently to afford to Mr. G. G. Glyn, M.P., Mr. Benson,\nMr. Blake, Mr. Chapman, and myself, and to the discussions which have recently taken\nplace, on general details, under your Grace's instructions, with Sir Frederic Rogers and\nMr. Murdoch, I have now to enclose proposals, which I trust will meet your Grace's\napproval, for the establishment of a postal and telegraphic route between Canada and\nthe Pacific Ocean.\nIt is hoped that these proposals will be found to be such as your Grace may be able to\nrecommend, and that their adoption by Her Majesty's Government, by Canada, by British\nColumbia, and by Vancouver Island, may lead to the completion of the most important\nwork involved at a very early period.\nThroughout the discussion, which has now occupied a considerable period, it has been\nassumed as a condition, that the Hudson's Bay Company will agree to the confirmation\nof the grant and consequent rights which in their letter to your Grace of the 11th August*\nlast they offered to afford in aid of the enterprise ; and that Her Majesty's Government\nwill carry through such measures as are requisite for securing to the Company the rights\nand privileges necessary to the security of the undertaking ; and, considering the deep\ninterest which your Grace has taken in proposals for connecting the Atlantic and Pacific\nfor purposes of communication through British territory, from the first suggestion of\nsuch a measure by your Grace to this moment, the promoters of the Company have had\npleasure in voluntarily adding as a concluding article of the enclosed document, a\nprovision that any further questions of detail, or matters of difference, should any arise,\nshall be left to the sole decision of your Grace.\nI have to observe that the rate of interest to be secured to the Company when it\nassumed that Her Majesty's Government would take a direct part in the guarantee\nwas\nwas ( 13 )\n4 per cent, as a minimum ; but at the same time it was proposed that in the event of the\nColonies alone becoming responsible, a larger rate of interest would be considered necessary. A reference to the documents will show that this was the case. In the enclosed\npaper, therefore, the maximum rate of interest has been taken at 5 per. cent., while a\nminimum of 4 per cent, is preserved; and it will be for your Grace, should the Colonies\ndecide to accept the proposals, to accord, as between the parties, such a rate, and such a\nrate only, as the circumstances of the time may render necessary, with a view to securing\nthe absolute success of the undertaking.\nHis Grace the Duke of Newcastle, K.G.\n&c. &c. &c.\nI have, &c.\n(Signed) EDWARD W. WATKIN.\nEnclosure in No. 13.\nHeads of Proposal for Establishing Telegraphic and Postal Communication from Lake\nSuperior to New Westminster.\nThe \"Atlantic and Pacific Transit and Telegraph Company \" propose to establish and maintain\ncommunication by electric telegraph and a mail post passing at such intervals, fortnightly or otherwise,\nas shall be agreed upon, between a point at the head of Lake Superior and New Westminster in British\nColumbia, on the following terms:\u2014\n1. That the Imperial Government, the Colonies of Canada and British Columbia, and the Hudson's\nBay Company, shall each,- within the territories belonging to them, grant to the Company such land\nbelonging to the Crown or Company, and all such rights, as maybe required for the post route,\ntelegraph, and necessary stations, and for the proper working thereof.\n2. The line of telegraph shall be divided into proper sections, and so soon as telegraphic communication is established throughout any such section, the Colonies of Canada, Vancouver Island, and\nBritish Columbia will guarantee to the Company a rate of profit on the capital expended at the rate of\nnot less than 4 nor more than 5 per cent.; provided that the total amount of the capital guaranteed\nshall be limited at 500,000?., and that the total annual payment to be made by Vancouver Island and\nBritish Columbia together shall not exceed 12,500?.; provided also, that the interest accruing upon\nthe money paid up by the shareholders until the above guarantee shall take effect shall be reckoned\nas capital; and provided further, that in case the telegraphic line shall not be completed within five\nyears, unless by reason of war or commotion, or of any interruption not arising from any wilful\ndefault of the Company, the above guarantee shall be suspended till the line shall be so completed.\n3. In case the route shall run through Crown land not within the limits of Canada or British\nColumbia, nor within the territory claimable by the Hudson's Bay Company, the Company shall be\nentitled to demand Crown grants to the extent of five square miles for every mile of telegraph fine\nwithin such Crown land. Such grants shall be demandable so soon as the telegraph communication\nshall be completed across such Crown land, and the blocks granted shall be adjacent to the telegraph\nline, and shall be as near as may be five miles square, and shall alternate on each side of the line with\nblocks of similar size and frontage, which shall remain in the possession of the Crown. The Company\nis not to sell this land except under effectual conditions of settlement, and in case the undertaking\nshall be permanently abandoned the land not so sold is to revert to the Crown.\n4. The Company shall not dispose of the telegraph without the consent of the Imperial Government.\n5. The Colonial Governments within their respective limits, or the Imperial Government in any part\nof the line, may at any time take temporary possession of the telegraph line in case the public interest\nrequires it, on payment of a rate of compensation to be hereafter agreed, and Government messages\nshall at all times when demanded have priority over all others.\n6. The Home Government, with the consent of the parties, will introduce into Parliament such\nmeasures as may be requisite to give effect to this proposal.\n7. The telegraph and works, and the servants and agents of the Company, shall be considered as\nunder the protection of the Crown and of the Colonial Governments, as fully as if in the settled districts\nof British North America.\n8. The company and its works shall be exempt from all taxation for a period of 30 years.\n9. Any further matters of detail, or questions of difference requiring discussion, to be remitted to\nthe sole decision of his Grace the Duke of Newcastle, Her Majesty's Principal Secretary of State for\nthe Colonies.\nEncl. in No.lS.\nNo. 14.\nCopy of a LETTER from C. Fortescue, Esq., M.P., to E. W. Watkin, Esq.\nSir, Downing Street, May 1, 1863.\nI am directed by,the Duke of Newcastle to state that he has had much satisfaction\nin receiving your letter of the 28th ult.,* enclosing the heads of a proposal for establishing\ntelegraphic and postal communication between Lake Superior and New Westminster\nthrough the agency of the Atlantic and Pacific Transit and Telegraph Company.\nThese proposals call for some observations from his Grace.\n(19L) B 3\nNo. 14.\n* Page 12. ( 1* )\nNew Westminster is named as the Pacific terminus of the road and telegraph. His\nGrace takes for granted that if the Imperial Government and that of British Columbia\nshould find on father inquiry that some other point on the coast would supply a more\nconvenient terminus the Company would be ready to adopt it.\nArticle 1. His Grace sees no objection to the grant of land contemplated in this\nArticle, but the \"rights\" stipulated for are so indeterminate that without further\nexplanation they could scarcely be promised in the shape in which they are asked.\nHe anticipates, however, no practical difficulty on this head, j\nNos. 1 and 2. The Duke of Newcastle, on the part of British Columbia and Vancouver\nIsland, sees no objection to the maximum rate of guarrantee proposed by the Company,\nprovided that the liability of the Colonies is clearly limited to 12,500\/. per annum. Nor\ndoes he think it unfair that the Government guarantee should cover periods of temporary interruption from causes of an exceptional character, and over which the Company has no control.\nBut he thinks it indispensable that the Colonies should be sufficiently secured against\nhaving to pay for any lengthened period an annual sum of 12,500\/. without receiving the\ncorresponding benefit, that is to say, the benefit of direct telegraphic communication\nbetween the seat of Government in Canada and the coast of the Pacific.\nIt must therefore be understood that the commencement of the undertaking must\ndepend on the willingness of the Canadian Government and Legislature to complete\ntelegraphic communication from the seat of Government to the point on Lake Superior\nat which the Company will take it up. Nor could his Grace strongly urge on the\nColonies of Vancouver Island and British Columbia the large annual guarantee which\nthis project contemplates, unless there were good reason to expect that the kindred\nenterprise of connecting Halifax and Montreal by railway would be promptly and\nvigorously proceeded with. It will also be requisite to secure by formal agreement that\nthe guarantee shall cease, and the grants of land for railway purposes revert to the grantors,\nin case of the permanent abandonment of the undertaking, of which abandonment some\nunambiguous test should be prescribed, such as the suspension of through communication\nfor a stated period.\nThe Duke of Newcastle does not object to five years as the maximum period for the\ncompletion of the undertaking, and he thinks it fair to exclude from that period, or from\nthe period of suspension above mentioned, any time during which any part of the line\nshould be in occupation of a foreign enemy. But injuries from the outbreaks of Indian\ntribes, and other casualties which are inherent in the nature of the undertaking, must be\ntaken as part of the risks which fall on the conductors of the enterprise, by whose\nresource and foresight alone they can be averted.\nHis Grace apprehends that the Crown land contemplated in Article 3. is the territory\nlying between the eastern boundary of British Columbia and the territory purporting to\nbe granted to the Hudson's Bay Company by their Charter. His Grace must clearly\nexplain that Her Majesty's Government do not undertake in performance of this Article\nof the agreement to go to the expense of settling any questions of disputed boundary, but\nonly to grant land to which the Crown title is clear.\nWith regard to the 7th Article the Duke of Newcastle could not hold out to the Company the prospect of protection by any military or police force in the uninhabited\ndistricts through which their line would pass, but he would consider favourably any proposal* for investing the officers of the Company with such magisterial or other powers\nas might conduce to the preservation of order and the security of the Company's\noperations.\nWith reference to the 9th and concluding Article, the Duke of Newcastle would not\nwillingly undertake the responsible functions proposed to him, but he will agree to do so\nif by those means he can in any degree facilitate the project, and if he finds that the\nColonies concur in the proposal.\nSubject to these observations, and to such questions of detail as further consideration\nmay elicit, the Duke of Newcastle cordially approves of the Company's proposals, and is\nprepared to sanction the grants of land contemplated in the 3d Article. He intends to\ncommunicate the scheme, with a copy of this letter, to the Govenror General of Canada\nand the Governor of Vancouver Island, recommending the project to their attentive\nconsideration.\nI am, &c.\nE. W. Watkin, Esq. (Signed) C. FORTESCUE, ( 15 )\nNo. 15\nCopy of a LETTER from C. Fortescue, Esq., M.P., to H. H. Berens, Esq.\nSir\nDowning Street, May 1, 1863.\nI am directed by the Duke of Newcastle to enclose the heads of a proposal* made\nto me by Mr. Watkin, acting on behalf of the \" Atlantic and Pacific Transit and Telegraph Company,\" with a view to the establishment of telegraphic and postal communication from Lake Superior to New Westminster.\nWith reference to your letters to this office of 11th August and 5th September last,f I\nam to call your attention to the article numbered 1 in this paper, and to request that you\nwill inform his Grace whether this clause expresses correctly the concessions which\nthe Hudson's Bay Company is prepared to make to the proposed Company.\nI have, &c.\nH. H. Berens, Esq. (Signed) C. FORTESCUE.\nNo. 15.\nPrinted at\npage 13.\nPages 7 and8.\nNo. 16.\nCopy of a LETTER from C. Fortescue, Esq., M.P., to E. W. Watkin, Esq.\nSir, Downing Street, May 5, 1863.\nI am directed by the Duke of Newcastle to acknowledge the receipt of your letter\nof the 25th ultimo, enclosing a copy of one which you had received from the Hon.\nMr. Howland of Canada, relative to the Intercolonial Railway, and the opening up of\nthe North-west territory.\nI have, &c.\nE. W. Watkin, Esq. (Signed) C. FORTESCUE.\nNo. 1\u00ab.\nNo. 17.\nCopy of a LETTER from H. H. Berens, Esq., to his Grace the Duke of\nNewcastle, K. G.\nHudson's Bay House, London,\nMy Lord Duke, May 6, 1863.\nI have the honour to acknowledge the receipt of Mr. Under Secretary Fortescue's\nletter of the 1st instant,* enclosing the heads of a proposal from the Atlantic and Pacific\nTransit and Telegraph Company in reference to the establishment of telegraphic and\npostal communication from Lake Superior to New Westminster.\nReferring to the Article numbered 1 in this paper, I beg to state that so far as this\nCompany is concerned we shall be prepared to grant such portion of land within the\nterritories belonging to us as may reasonably be required for the purpose of the proposed\npost route, telegraph, and necessary stations. As to any other rights which the Company may require for the proper working of their undertaking, we presume the grant of\nthese would rest with Her Majesty's Government.\nWe of course assume that Her Majesty's Government does not assent to the application now made to them, unless they are satisfied with the intentions and ability of the\nparties to carry out the project; but, of course, should it ultimately be abandoned, the\nland given up by this Company will revert to them.\nI have, &c.\nHis Grace the Duke of Newcastle, K. G. (Signed) H. H. BERENS,\n&c. &c. &c. Governor.\nNo. 17.\nPage 15.\n(191.)\nB 4 ( 16 )\nNo. 18.\n\u2022Pace V.\nEncl. 1. in 18.\n* Page 18.\nNo. 18.\nCopy of a LETTER from C. Fortescue, Esq., M.P., to E. W\\ Watkin, Esq.\no . Downing Street, May 16, 1863.\nWith reference to my letter of the 5th instant,* on the subject of the proposed\ntelegraphic and postal communication between Canada and British Columbia, I am\ndirected by the Duke of Newcastle to enclose for your information a copy of a letter\nfrom Mr. Berens, stating that the Hudson's Bay Company will be prepared to grant\nsuch portion of land within their territories as may reasonably be required for carrying\nout the undertaking. \\\nI am also directed to transmit to you the accompanying copies ot Despatches addressed\nto the Governors of Canada and British Columbia, on the receipt of your letter of the\n28th ultimo.\nI have, &c.\nE. W. Watkin, Esq. (Signed) ' C. FORTESCUE.\nSir,\nEnclosure 1. in No. 18.\nDowning Street, 1 May 1863.\nI enclose copies of a letter addressed to me by Mr. Watkin on the part of the Atlantic and\nPacific Transit and Telegraph Company, in which he transmits the heads of a proposal* made by that\nCompany for establishing telegraphic and postal communication between British Columbia and the\nhead of Lake Superior.'\nI also enclose copies of the answer which I caused to be returned to that letter, and of a despatch\nwhich I have addressed to the Governor General of Canada on the subject.\nThis proposal I apprehend to be made in the confident expectation that the Canadian Government\nwill provide similar means of communication up to the head of Lake Superior, and that means will\nbe adopted for completing the communication by railway from Halifax to Montreal, thus establishing\na chain of telegraphic communication, and facilitating enormously the rapid transit of letters and\npassengers across British North America.\nI need hardly insist on the advantages which such an enterprise, if completed in all its parts, will\nconfer .on the British Colonies on the Pacific. It is difficult to say whether they will be greater in war\nor peace. In war the rapid communication of intelligence will relieve those Colonies from the constant\napprehension of surprise by an enemy, and will give to the harbours of Vancouver Island, as a station\nfor Her Majesty's Navy, an importance immeasurably beyond what they can at present attain. In\npeace it can hardly fail to add a powerful and healthy stimulus to that immigration which is principally\nwanting to develope the resources of the Colonies.\nI should hope that the colonists, without whose concurrence I am by no means desirous of proceeding, will agree with me in thinking that the guarantee of 12,500\/. per annum to be paid (if\nnecessary) by British Columbia and Vancouver Island, in such proportions as the two Governments may\nagree upon, is no unreasonable price for advantages of so great magnitude.\nI have had no hesitation in giving a conditional consent on the part of the Imperial Government to\nthe grants of land contemplated in the first and third of the conditions set forth in the enclosed paper, and\nI shall transmit a copy of this draft and of its enclosures to Canada, recommending the project to the\nconsideration of the Canadian Government.\nI have to request that you will submit these papers to the Legislature of Vancouver Island, and will\nascertain the sentiments of the inhabitants of British Columbia respecting the proposed undertaking;\nand I shall receive with great satisfaction the intelligence that laws are to be enacted which will enable\nyou, if the Canadian Government shall afford their co-operation in the matter, to conclude in\ndetail an arrangement with the Company on the basis of the enclosed proposals.\nI have, &c.\nGovernor Douglas, C.B. (Signed) Newcastle.\n&c. &c &c.\nEncl. 2. in 18. My Lor\nPage 13.\nEnclosure 2, in No. 18.\nDowning Street, 1st May 1863.\nI enclose copies of a letter addressed to me by Mr. Watkin, on behalf of the \" Atlantic and\nPacific Transit and Telegraph Company,\" and transmitting the heads of a proposal * made by that Company for establishing telegraphic and postal communication from Lake Superior to New Westminster.\nI also enclose copies of the answer which I have caused to be returned to that letter, and of a\ndespatch which I have addressed to the Governor of Vancouver Island. From these you will perceive\nthat I value highly the advantages promised by this scheme, taken as it ought to be as part of a large\nscheme for connecting, through British territory, the shores of the Atlantic with that of the Pacific; that I\na\u2122 P^P*^ to accede, on the part of Her Majesty's Government, to the grant of land contemplated in\nthe 3d ^Article of the \" Heads of Proposal\"; and that I have recommended the project to the accept-\nolonies of British Columbia and Vancouver Island, subject to such modifications of detail, if\nnecessary. With this information I should wish you to\nance of the vAuomes o\nany, as further examination may show to be\nsubmit the proposal for the consideration of voi\nit Government.\nThe Vipcount Monck,\n&c. &c. &c.\nI have, fcc.\n(Signed) Newcastle. ( 17 )\nNo. 19.\nNo. 19.\nCopy of a LETTER from H. H. Berens, Esq., to his Grace the Duke of\nNewcastle, K.G.\nHudson's Bay House,\nMy Lord Duke, London, June 15, 1863.\n^ With reference to Mr. Elliot's letter of the 21st of November last,* expressing *paRes\nyour Grace's desire that this Board should place itself in communication with Mr. Edward\nWatkin, with a view to the consideration of proposals for the purchase of the whole\nof the rights of the Hudson's Bay Company, I have now the honour to inform your\nGrace, that in compliance with your Grace's suggestion, terms have been agreed upon\nby which the whole interests of the Hudson's Bay Company are to be transferred 10 the\nparties represented by Mr. Edward Watkin.\nHis Grace the Duke of Newcastle, K.G.\n&c. &c. &c.\nI have, &c.\n(Signed) H. H. BERENS,\nGovernor.\nNo. 20.\nCopy of a LETTER from the Right Hon. Sir Edmund Head, Bart., K.C.B., to his\nGrace the Duke of Newcastle, K.G.\nMy Lord Duke, London, July 3, 1863.\nI think it right to inform your Grace that I was yesterday elected Governor of\nthe Hudson's Bay Company under the following circumstances.\nA large majority of the proprietors of the Hudson's Bay Company have disposed of\ntheir shares to the International Financial Association, Limited, which has found the\nmoney for completing at once so important a purchase without delay or obstacle.\nThis transfer could only have been effected by this process, which was a matter of\ndifficulty on account of the large sum required to be paid down at once.\nThe Association are about to re-issue the shares thus transferred to a new body of\nproprietors, who are to carry on the present trade of the Company under the Charter;\nwhilst they will it is hoped, administer its affairs on such principles as to allow the\ngradual settlement of such portions of the territory as admit of it, and facilitate the\ncommunication across British North America by telegraph or otherwise. The Governor\nand the greater part of the Committee or governing body of the Hudson's Bay Company,\nhaving thus disposed of their interest in the Company, the re-organization of such body\nhas become necessary, and accordingly a new Committee has been formed comprising\nsome members of the former body, joined with a number of gentlemen of high standing\nin the City of London, under a new Governor and Deputy Governor. The latter and\nthe Committee have this day been sworn in by me, after a Court of Proprietors had been\nheld for the purpose of making certain changes in the bye laws.\nThe majority of the proprietors present at this court were persons who have held\nstock in the Company up to the present time, and the transfers are only effected as proprietors call and ask for the cheques in exchange for their stock.\nI enclose, for your Grace's information, a copy of the prospectus this day circulated by\nthe International Financial Society, and I hope soon to be able to communicate with you\non the subject of the steps which it may be necessary to take for attaining some of the\nobjects therein referred to.\nHis Grace the Duke of Newcastle, K.G. (Signed) EDMUND HEAD.\n&c. &c. &c.\nNo. 20.\nEnclosure in No. 20.\nThe International Financial Society, Limited,\nAre prepared to receive subscriptions for the issue at par of capital stock in the Hudson's Bay Company, incorporated by Royal Charter, 1670.\nThe stock will be issued in certificates of 207. each, and the instalments will be payable as follows:\u2014\n, 7 , . I ,. n f To be returned in the event\n17., being 5 percent, on application, j of n0 aliotment being made.\n47. \u201e 20 \u201e \u201e on allotment.\n57.\n51.\n57.\n201.\n5}\n20\n25\n5J\nI on 1 Sept. 1863.\n\u201e on 2 Nov. 1863.\n5J\non 1 January 1864.\nEncl. in No. 20.\n(191.) ( 18 )\nWith an option of prepayment in full on allotment, or on either of the days fixed for payment of the\ninstalments, under discount at the rate of 4 per cent, per annum.\nThe capital of the Hudson's Bay Company has been duly fixed at 2,000,0007., of which amount\nthe International Financial Society, Limited, have obtained, and are prepared to offer to the public,\n1,930,0007.\nThe subscribers will be entitled to an interest, corresponding to the amount of their subscription,\n1. The assets (exclusive of Nos. 2 and 3) of the Hudson's Bay Company, recently and specially\nvalued by competent valuers at 1,023,5697.\n2. The landed territory of the Company, held under their Charter, and which extends over an\nestimated area of more than 1,400,000 square miles, or upwards of 896,000,000 acres.\n. 3. A cash balance of 370,0007.\nThe present net income, available for dividend amongst stockholders of the Company, secures a\nminimum interest exceeding 4 per cent, on the above 2,000,0007. stock.\nThe Directors of the Hudson's Bay Company are as under:\u2014\nThe Right Honourable Sir Edmund Head, Bart., K.C.B. (late Governor General of Canada), Governor.\nCurtis Miranda Lampson, Esq. (C. M. Lampson and Co.), Deputy Governor.\nEden Colvile, Esq., Hudson's Bay House, Fenchurch Street.\nGeorge Lyall, Esq., M.P., Headley Park, Surrey.\nDaniel Meinertzhagen, Esq. (F. Huth and Co.)\nJames Stewart Hodgson, Esq. (Finlay, Hodgson, and Co.)\nJohn Henry William Schroder, Esq. (J. H. Schroder and Co.)\nRichard Potter, Esq., Standish House, Gloucestershire.\nThe Hudson's Bay Company were incorporated, under a Royal Charter granted by King Charles II.\nIn 1670, by the name of \"The Governor and Company of Adventurers of England trading into\nHudson's Bay,\" and, by the Charter, a vast tract of territory was vested in the Company, together with\nthe sole right of trade and commerce, and all | mines royal,\" as well then discovered as not discovered,\nwithin the said territory.\nThe operations of the Company, which, with slight exceptions, have been hitherto exclusively of a\ntrading character, have been prosecuted from the date of the Charter to the present day.\nIt has become evident that the time has arrived when those operations must be extended, and the\nimmense resources of the Company's territory, lying as it does between Canada and British Columbia,\nshould be developed, in accordance with the industrial spirit of the age and the rapid advancement\nwhich colonisation has made in the countries adjacent to the Hudson's Bay territories.\nThe average net annual profits of the Company (after setting aside 40 per cent, of them as remuneration to the factors and servants at the Company's posts and stations) for the ten years ending the\n31st May 1862 amount to 81,0007., or upwards of 4 per cent, on the present nominal capital of\n2,000,000\/. A portion only of this income has been distributed as dividend, while the remainder is\nrepresented in the assets and balances. The assets of the Company, in which the subscribers will be\nentitled to an interest corresponding to the amount of their subscription, will consist of goods in the interior, on shipboard, and other stock in trade, including shipping, business premises, and other buildings\nnecessary for carrying on the fur trade, in addition to which there will be funds immediately available\nfor the proposed extended operations of the Company, derived partly from the cash balance of the\nHudson's Bay Company, and partly from the new issue of stock, and amounting in the whole to a\nsum not less than 370,0007.\nThe Company's territory embraces an estimated area of more than 1,400,000 square miles or\neight hundred and ninety-six millions of acres, of which a large area, on the Southern frontier, is well\nadapted for European colonization. The soil of this portion of the territory is fertile, producing in\nabundance wheat and other cereal crops, and is capable of sustaining a numerous population. It\ncontains 1,400 miles of navigable lakes and rivers, running for the greater part east and west, which\nconstitute ah important feature in plans for establishing the means of communication between the\nAtlantic and Pacific Oceans, across the continent of British North America, as well as for immediate\nsettlement in the intervening country. The territory is, moreover, rich in mineral wealth, includino-\ncoal, lead, and iron. \u00b0\nIn addition to its chartered territory, the Company possess the following valuable landed property:\nseveral plots of land in British Columbia, occupying most favourable sites at the mouths of rivers the\ntitles to which have been confirmed by Her Majesty's Government; farms, building sites in Vancouver's\nIsland; and in Canada ten square miles at Lacloche, on Lake Huron, and tracts of land.at fourteen\nother places.\nThe trading operations of the Company are chiefly carried on in the fur-bearing and northern\nportion of the territory, where the climate is too severe for European colonization. These trading\noperations will be actively continued, and as far as possible extended, whilst the management will be\njudiciously economized.\nConsistently with these objects, the outlying estates and valuable farms will be realized where the\nland is not required for the use of the Company. The southern district will be opened to European\ncolonization, under a liberal and systematic scheme of land settlement. Possessing a staff of factors,\nand officers who are distributed in small centres of civilization over the territory, the Company can\nwithout creating new and costly establishments, inaugurate the new policy of colonization and at the\nsame time dispose of mining grants. '\n9 ( 19 )\nWith the view of providing the means of telegraphic and postal communication between Canada\nand British Columbia, across the Company's territory, and thereby of connecting the Atlantic and\nPacific Oceans by an exclusively British route, negotiations have been pending for some time past\nbetween certain parties and Her Majesty's Government and the representatives of the Government of\nCanada, and preliminary arrangements for the accomplishment of these objects have been made\nthrough Her Majesty's Government (subject to the final sanction of the Colonies), based upon a\n5 per cent, guarantee from the Governments of Canada, British Columbia, and Vancouver Island.\nIn further aid of these Imperial objects, Her Majesty's Government have signified their intention to\nmake grants of land to the extent of about 1,000,000 acres, in portions of the Crown territory traversed\nby the proposed telegraphic line.\nOne of the first objects of the Company will be to examine the facilities and consider the best\nmeans for carrying out this most important work, and there can be little doubt that it will be successfully executed, either by the Hudson's Bay Company itself, or with their aid and sanction.\nFor this as well as for the other proposed objects, Mr. Edward Watkin, who is now in Canada\nwill be commissioned, with other gentlemen specially qualified for the duty, to visit the Red River and\nSouthern districts, to consult the officers of the Compafiy there, and to report as to the best and safest\nmeans of giving effect to the contemplated operations.\nApplications for allotments of certificates of stock of 207. each to be made to the International\nFinancial Society (Limited), at their offices, 54, Old Broad Street, E. C.\nA preference in allotment will be given to parties hitherto holders of stock in the Hudson's Bay\nCompany, and to the shareholders in the International Financial Society (limited).\nNo application will be received after Wednesday, 8 July, at 12 o'clock.\nNo.\nHudson's Bay Company.\nForm of Application for Allotment of Stock.\nTo the Directors of the International Financial Society, Limited.\nGentlemen,\nI request you to allot me certificates of 207. each of the stock in the\nI Company of Adventurers of England trading into Hudson's Bay,\" and I hereby agree to become a\nmember of that Company, subject to its rules and regulations, and to accept such stock, or any less\namount that may be allotted to me.\nI am, gentlemen,\nYour obedient servant,\nName in full\nAddress in full\nDate\nN.B.\u2014If the applicant has hitherto been a holder of Hudson's Bay stock, or is a proprietor of shares in\nthe International Financial Society, Limited, the fact should be stated, together with a memorandum\nof the amount of the holding..\nHudson's Bay Company.\nBankers' Receipt for Deposit on Application for Allotment of Stock.\nNo.\nReceived the day of 1863, of\non account of the Directors of the International Financial Society, Limited, the sum of \u00a3_\nheing the first instalment made in accordance with the terms of the prospectus on an application for an\nallotment of\n\u00a3\ncertificates of 207. each in the above undertaking.\nFor Messrs. Glyn, Mills, & Co.,\nNo. 21.\nCopy of a LETTER from the Right Hon. Sir E. Head, Bart., K.C.B., to his No 21\nGrace the Duke of Newcastle, K. G.\nMy Lord Duke, Hudson's Bay House, 6 July 1863.\nIn my letter of the 3d instant * I intimated a hope that I should have to com- # pa