Colonial Despatches
The colonial despatches of Vancouver Island and British Columbia 1846-1871
Despatch to London
Douglas, James to Pelham-Clinton, Henry Pelham Fiennes 28 July 1862, CO 60:13, no. 8837, 355.
Abstract
Despatch to London.
Minutes (3), Enclosures (untranscribed) (1), Other documents (1).
Douglas forwards Newcastle details of his plan to raise funds through a loan to address
British Columbia's financial problems and facilitate the construction of roads in the colony.
No. 35, Legislative
28 July 1862
With reference to your Despatch No 123, of the 13 May, and
to mine of this date No 34, I have the honor to forward herewith
for Her Majesty's Confirmation the "British Columbia Roads Loan
Act 1862," accompanied bya
a Report from the Colonial Attorney General.
a Report from the Colonial Attorney General.
2. The Attorney Generals report points out wherein this Act
differs from the Act of 1861, which it repeals. The main features
of difference exist in the Amount and in the rate of Interest.
The sum to be raised is limited to Fifty thousand Pounds (£50,000), and
the rate of interest the lowest at which that sum can be obtained, not
exceeding 10 per Cent per annum.I
I was induced to specify a
Maximum rate of interest from the fact that I received an offer
from the House of Henderson and Burnaby of London and Vancouver's
Island, to furnish any sum that might be required as a Loan not
less than £50,000, at interest of 10 per Cent per annum, but
I trust that the continued intelligence of the vast auriferous
wealth of the Colony, and the rapidly increasing confidence in
its ultimate importanceand
and prosperity, may justify the hope
that we shall be able to obtain a more favorable rate of interest
than 10 per Cent.
I was induced to specify a
Maximum rate of interest from the fact that I received an offer
from the House of Henderson and Burnaby of London and Vancouver's
Island, to furnish any sum that might be required as a Loan not
less than £50,000, at interest of 10 per Cent per annum, but
I trust that the continued intelligence of the vast auriferous
wealth of the Colony, and the rapidly increasing confidence in
its ultimate importanceand
and prosperity, may justify the hope
that we shall be able to obtain a more favorable rate of interest
than 10 per Cent.
3. Your Grace's instructions respecting a priority being
given to the Loan over all other Demands upon the Revenue, and
for its redemption by means of a sinking fund, as well as for the
Agents General being duly empowered to borrow the money, have
been carefully followed.
4. The period ofredemption
redemption has been fixed at Ten years,
instead of Twenty as in the 1861 Act, as it was considered more
desirable to terminate the liability in the shorter period.
redemption has been fixed at Ten years,
instead of Twenty as in the 1861 Act, as it was considered more
desirable to terminate the liability in the shorter period.
Minutes by CO staff
Mr Elliot
See 8836/62.
See 8836/62.
This Loan Act is founded upon the Duke of Newcastle's
desph of the 13 May, copy of which went to the Treasury.
The Treasury Lr of the 13 June had not been recd by
the Governor when he wrote this desph.
Copy to the Treasury where it will have to be decided
whether this Act is sufficient or not for the purpose.
ABd
8 Sep
I think that this should be sent to the Treasury, with
reference to their letter of the 13th of June, for their
consideration; and with the expression of a hope that their
Lordships may find the provisions of the Act to be such as
will warrant the confirmation of this attempt to render the
means of the Colony commensurate with the demands upon them.
TFE
9 Sep
Yes certainly,
recommending adoption.
N
11
Documents enclosed with the main document (not transcribed)
H.P.P. Crease, Attorney General, to Colonial Secretary,
25 July 1862, reporting on the ramifications of the act.
Other documents included in the file
Draft,
Elliot to G.A. Hamilton, Treasury, 17 September 1862, forwarding
copy of the despatch and enclosure and recommending confirmation of
the act.