I have the honour to Enclose for your information the accompanying
               Extract from a letter recently received from 
Governor Douglas dated
               
Victoria, 
Vancouver's Island, 
5th March 1856, by which you will
               perceive that he is anxious to dispose of the tract of land on the
               Island, known as the Governor's reserve.
               
               The Directors of the Hudson's Bay Company see no objection to the
               proposed sale, the proceeds of which would of course have to be carried
               to the credit of the 
Vancouver Island Trust Fund; on the contrary, they
               consider it very desirable that this Reserve should be disposed of for
               the benefit of the Colony, as it has been found "a hindrance 
to
to the
               Settlement of the Country," and may prove, as with similar reserves in
               other Colonies, a frequent subject matter of dispute hereafter.