Colonial Despatches

We are honoured with your commands, signified in Sir Frederic Rogers's letter of the 14th February ultimo, stating, that he was directed by you to bring under our consideration the following case.

By Letters Patent, dated the 13th of January 1849, Vancouver Island was granted to the Hudson's Bay Company, (P.P. House of Lords 12th February 1849).

The grant was made revocable, upon the expiration ofa a certain License to trade in part of British North America, enjoyed by the same Company, subject to repayment of the Company's outlay of a Public character, and to compensation for their establishments property and effects.

In January 1858, notice was given to the Company, that the grant would be revoked, upon expiration of the License to trade which happened on the 13th of May 1859.

In the meantime, (1853), the Company had caused to be registered, as belonging to themselves by a title older than the grant, 3,084 acres, or thereabouts, including the site of the Town of Victoria, which they accordingly claimas as their own property.

This claim was not admitted, and steps were taken for its investigation by the Judicial Committee of Privy Council; which, however, was superseded by an Indenture between the Crown and the Company, which was executed on the 3rd of February 1862: (Colonial Green Book p.p. 41, 42).

By this Indenture it was agreed, that sales of portions of the disputed property, effected before the 1st of January 1862, should be valid and effectual as against the Crown; and that the unsold portion should be divided between the Crown and the Company, in the manner proposed in the Indenture.

The other claims of the Company have been satisfied, by payment of £57,500.

The Reconveyance of the Island to the Crown has been delayed, by causes into which it is not now necessary to enter.

In a letter dated the 20th March last, the Land and Emigration Commissioners submitted the Draft of an Instrument for the purpose; and, in a letter dated the 2nd ultimo, they submitted a fresh Draft, which they proposed should be substituted for the other. Copies of these letters, and of the Draft Instruments and Maps referred to in them, were annexed.

Sir Frederic Rogers was also pleased to state, that he was directedby by you to request, that we would inform you, whether the Draft last submitted would be sufficient in form and legal effect: And, that, if we should be of that opinion, the Draft would be communicated to the Company, for their approval, with an intimation, that, before it is finally submitted to the Company for execution, it would be forwarded to the Governor for verification in respect to the description of the lands, which are to be excepted from the reconveyance.

In obedience to your commands, we have taken these papers into our consideration, and have the honour to Report

That wehave have made some alterations in the accompanying Copy of the Draft; subject to which, we are of opinion, that the Draft last submitted is sufficient in form and legal effect.