M Elliot
Though I was present at the interview referred to I do
not recollect that it was conceded that no conclusive steps
sh be taken in this matter until
Gov Seymour had
reported. My impression is that it was simply a case of
remonstrance of
M Seymour, against charging the Colony with
![Manuscript image Manuscript image](https://hcmc.uvic.ca/~coldesp/jpg_scans/jpg_thumbnail/co_60_18/co_60_18_00224r.jpg)
payment of the claim, to which, with some discourse on our
part, we all listened; but that no expectation was held out
by any person present that the
Gov w give way.
At this moment the case stands in this position.
Sir Ja
Douglas has contracted a fresh Loan of £100,000 and by
desp 4383/64 he has told us that he has instructed the
Crown Agents to pay the debt due by the Colony out of that
Loan, as soon as the Loan receives the sanction of the
Gov. The Loan has been sanctioned—see T-y letter
5280/64—but will the terms of it justify us in directing
the Agents to repay the advance? You will observe that the
T-y confine the application of the Loan "to the survey and
first construction of Roads and Bridges & Public Works."
The Barracks, on account of which this debt has been incurred,
may surely be regarded as a "public work." But it would have
been convenient to us if
the Treasury had more definitely said
that they concurred in the arrangement proposed by the
Gov
in his
Desp 4383—of which we sent them a copy.
It will be necessary for us to
![Manuscript image Manuscript image](https://hcmc.uvic.ca/~coldesp/jpg_scans/jpg_thumbnail/co_60_18/co_60_18_00224v.jpg)
immediately tell the Crown
Agents that the Loan Act has been sanctioned. I assume that
no departure from the determination to make the Colony will be permitted.