Colonial Despatches
The colonial despatches of Vancouver Island and British Columbia 1846-1871
Despatch to London
Douglas, Sir James to Labouchere, Henry 16 April 1856, CO 305:7, no. 5815, 35.
Abstract
Despatch to London.
Minutes (5), Other documents (1), Marginalia (1).
Douglas writes to Labouchere about gold discoveries in the Upper Columbia River District. He cautions against taxation on gold finds by the British government.
Minutes discuss how to tax and protect colonial gold discoveries. It is decided to
be left to Douglas’s “discretion to keep order in the district.”
The file includes a draft reply from Labouchere to Douglas stating Labouchere’s preference against taxation of the gold miners.
No. 10
I hasten to communicate for the information of Her Majesty's Government, a discovery
of much importance, made known to me, by Mr Angus McDonald, Clerk in charge of Fort Colvile one of the Hudson's Bay
Company's Trading Posts on the Upper Columbia River District.
That Gentleman reports in a letter dated on the 1st of March last that Gold has been found in considerable quantities within the
British Territory on the Upper Columbia, and
and that he is moreover of
opinion that valuable deposits of Gold will be found in many other parts
of that country, he also states that the daily earnings of persons
then employed in digging Gold were ranging from 2 to 8 for each man.
and that he is moreover of
opinion that valuable deposits of Gold will be found in many other parts
of that country, he also states that the daily earnings of persons
then employed in digging Gold were ranging from 2 to 8 for each man.
Such is the substance of his report on that subject, and I have
requested him to continue his communications in respect to any further
discoveries made.
I do not know if Her Majesty's Government will consider it
expedient to raise a revenue in that quarter, by taxing all persons
engaged in gold digging, but I may remark that it will be impossible to
levy such a tax, without the aid of a military force, and the expense in
that case would probably exceed the income derived from the Mines.
I will not fail to keep you well informed in respect to the extent
extent
and value of the gold discoveries made, and circumstances will probably
be the best indication of the course, which it may be expedient to take:
that is in respect to imposing a tax or leaving the field free and open
to any persons who may choose to dig for gold.
extent
and value of the gold discoveries made, and circumstances will probably
be the best indication of the course, which it may be expedient to take:
that is in respect to imposing a tax or leaving the field free and open
to any persons who may choose to dig for gold.
Several interesting experiments in gold washing have been lately
made in this Colony, with a degree of success, that will no doubt lead
to further attempts for the discovery of the precious metal. The
quantity of Gold found is sufficient to prove the existence of the
metal, and the parties engaged in the enterprise entertain sanguine
hopes of discovering rich and productive beds.
The Right Honble Henry Labouchere Esqre
Her Majesty's principal Secretary of State
For the Colonial Department.
Her Majesty's principal Secretary of State
For the Colonial Department.
Minutes by CO staff
I annex a P. Paper containing Sir John Pakington's instructions to
Governor Douglas when gold was reported to have been discovered in Queen
Charlotte's Island. It seems to me that they are applicable to the
present case.
Without imputing an arrière pens ee to Governor Douglas in
respect to the necessity of establishing a military force to collect any
tax it may be thought right to impose on licenses for gold hunting I
should myself conceive that a good strong body of Constables, but of
course sufficiently well paid to prevent their deserting to the
diggings, would be the best & the most legitimate Authority for him to
possess. Soldiers at 3d a day would certainly desert. What with the
distance, & peculiarity of this settlement almost everything must be
left in such a case as this to the Governor's discretion, aided by
general instructions, which he already possesses, from the Home
Govt. See also his desph 11 Apl/53—6981. But the time has
not yet arrived for talking about a revenue from Gold in the H.B.Co
Territories.
ABd
1 July
Mr Ball
Sir J. Pakington's directions were adapted to the case of alleged gold discoveries on an island, which can be to a certain extent guarded by a naval force, & interlopers frightened away. I should think them quite inapplicable to that of similar discoveries on the continent of Nth Am. & within easy reach of the frontier of Oregon: and that it was idle to attempt to derive a direct revenue from licenses; while, if the discovery proved real, there would soon be revenue enough for practical purposes from other sources. But it would be necessary to maintain in some way the supremacy of the British
Government, & establish some
degree of law & order among the diggers. I do not see how this can be
done without the presence of a small armed force. But, as the occasion
has not as yet arrived, I think it may be sufficient to give Govr
Douglas general instructions on this head, & direct him to take them
into consideration & devise the best means of accomplishing the object.
The H.B.C. have nothing to do with the matter farther than this, that
the territory in question is within the limits of their (all but
expired) license to trade with
the Indians.
Sir J. Pakington's directions were adapted to the case of alleged gold discoveries on an island, which can be to a certain extent guarded by a naval force, & interlopers frightened away. I should think them quite inapplicable to that of similar discoveries on the continent of Nth Am. & within easy reach of the frontier of Oregon: and that it was idle to attempt to derive a direct revenue from licenses; while, if the discovery proved real, there would soon be revenue enough for practical purposes from other sources. But it would be necessary to maintain in some way the supremacy of the British
Government, & establish some
degree of law & order among the diggers. I do not see how this can be
done without the presence of a small armed force. But, as the occasion
has not as yet arrived, I think it may be sufficient to give Govr
Douglas general instructions on this head, & direct him to take them
into consideration & devise the best means of accomplishing the object.
The H.B.C. have nothing to do with the matter farther than this, that
the territory in question is within the limits of their (all but
expired) license to trade with
the Indians.
HM
Jy 2
Mr Labouchere
I concur with Mr Merivale in thinking it idle to attempt to raise a revenue by Licenses to dig for gold. If further accounts should confirm the present reports & show an influx of population I suppose that some military force shd be provided. In the mean time I do not well understand what legal provision exists for the Government of the territory—or what power there is to levy import duties which probably wd be the best means of providing a revenue.
I concur with Mr Merivale in thinking it idle to attempt to raise a revenue by Licenses to dig for gold. If further accounts should confirm the present reports & show an influx of population I suppose that some military force shd be provided. In the mean time I do not well understand what legal provision exists for the Government of the territory—or what power there is to levy import duties which probably wd be the best means of providing a revenue.
JB
3 July
Licenses are out of the Question—all that can be done at present
is to leave it to his discretion to keep order in the district if the population should increase—that for the present we do not look for revenue nor desire to incur expence—but wish that he should keep us regularly informed of anything of interest that may occur.
is to leave it to his discretion to keep order in the district if the population should increase—that for the present we do not look for revenue nor desire to incur expence—but wish that he should keep us regularly informed of anything of interest that may occur.
HL
4 J
Returned to Dept 23 July.
Other documents included in the file
