Colonial Despatches
The colonial despatches of Vancouver Island and British Columbia 1846-1871
Despatch to London
Douglas, Sir James to Stanley, Lord Edward Henry 19 May 1858, CO 305:9, no. 6667, 87.
Abstract
Despatch to London.
Minutes (8), Enclosures (untranscribed) (1), Other documents (4), Marginalia (1).
Douglas reports on the progress of the gold fields in the Couteau Mines. The ever increasing influx of “Boats and other small craft from the American shore”
has brought passengers and illegal goods in “direct violation” of the customs laws.
Douglas admits that it is “utterly impossible” to close the gold fields to the entrance of
foreigners and has employed Prevost and the Royal Navy to aid in the regulation of this traffic.
The minutes agree that illicit trade goods are likely for trade with the indigenous
population and should be controlled.
Enclosed is a Proclamation establishing customs laws and the trading rights of the
HBC; a draft from the CO to the FO forwarding a copy of the despatch; a draft reply
from Lytton to Douglas with extensive revisions and notations; and two confidential replies from Lytton to Douglas ordering full transparency between the colony and the Colonial Office regarding his
policy over mining operations.
No. 23
1. Since I had the honor of addressing you on the 8th of
Instant, on the subject of the "Couteau Gold Mines"
1
it was currently reported that Boats and other small craft from the
American Shore were continually entering Fraser's River, with passengers
and goods, especially Spirits, Arms, Ammunition, and other prohibited and
noxious Articles, and as those Actsare
are in direct violation of the
Customs Laws, as extended to the British Possessions in America and
infringe the rights of the Hudsons Bay Company, I took immediate steps to
put a stop to those lawless practices by issuing a Proclamation, of which
a copy is transmitted, warning all persons against the consequences of
such offences, and I have since applied to Captain Prevost of
Her Majesty's ship "Satellite" for an effective force to carry
out the measures proposed and set forth in my
Proclamation.
2
are in direct violation of the
Customs Laws, as extended to the British Possessions in America and
infringe the rights of the Hudsons Bay Company, I took immediate steps to
put a stop to those lawless practices by issuing a Proclamation, of which
a copy is transmitted, warning all persons against the consequences of
such offences, and I have since applied to Captain Prevost of
Her Majesty's ship "Satellite" for an effective force to carry
out the measures proposed and set forth in my
Proclamation.
2
2. That force it is intended to Despatch tomorrow, under the
direction of an officer of the Customs to be appointed specially
for that purpose.
3. I also propose in a few days hence to make anexcursion
excursion to the
Falls of Fraser's River for the purpose of enquiring into the state of
the country, on which I will report to you on my return.
excursion to the
Falls of Fraser's River for the purpose of enquiring into the state of
the country, on which I will report to you on my return.
4. The American Steamer "Commodore" returned to this Port from
San Francisco two days ago with 400 passengers for the gold mines,
who are preparing to leave in Boats and Canoes for Fraser's River.
5. The excitement about the Couteau Gold Mines is on the increase,
and people are pushing from all quarters in that direction.
6. In our last accounts from that quarter of the 8th of Instant,
it is stated that 1500 white Miners, at the smallest computation, had
reached the diggings, and that they were not finding much gold, in
consequence of the Rivers beingswollen
swollen by the melting of the mountain
snow. The river beds, which yield the largest quantities of gold, being
all flooded, the Miners were in search of other diggings, and had found
gold, in small quantities, probably from one to two dollars, a man, per
day, in almost every part of the country, which they have examined, and
they expect a large yield when the rivers fall to a lower level.
swollen by the melting of the mountain
snow. The river beds, which yield the largest quantities of gold, being
all flooded, the Miners were in search of other diggings, and had found
gold, in small quantities, probably from one to two dollars, a man, per
day, in almost every part of the country, which they have examined, and
they expect a large yield when the rivers fall to a lower level.
7. Those accounts are sufficiently promising to nourish the
prevalent mania for gold; on all sides the Americans are
striving to force a passage into the gold district, through
their own Territories—attempts being at once made to open roads
from BellinghamBay
Bay, from Nisqually and by the way of the Columbia
River.
3
Bay, from Nisqually and by the way of the Columbia
River.
3
8. I am now convinced that it is utterly impossible, through any
means within our power, to close the gold districts against the entrance
of foreigners, as long as gold is found in abundance, in which case the
country will soon be over-run, and occupied by a large white population,
whether it be agreeable to our wishes or not; while on the contrary it is
no less certain that the excitement on the subject will soon altogether
cease, if the diggings prove un-remunerative, and the crowds now
gathering on the banks of Fraser's River, will in that case soon abandon
the country and return to their homes. Theevil
evil will thus work its own
cure without interposition on our part.
evil will thus work its own
cure without interposition on our part.
9. In the mean time with the view of escaping the greater evil of
compelling people to have recourse to expedients for entering the
country, by unlawful means, I am striving to legalize the entrance of
gold miners into Fraser's River, on certain conditions; which at once
assert the rights of the Crown, protect the interest of the Hudson's Bay
Company, and are intended to draw the whole trade of the Gold Districts
through Fraser's River, to this Colony; which will procure its supplies
directly from the mother country.
10. With those views I proposed an arrangement, on the following
terms, to the Agent ofthe
the United States' Pacific Mail Steam Ship
Company,
4
who having steamers of every class, connected with their operations in
California, and a staff of experienced officers, at their disposal, are
perhaps better qualified than any other parties, for carrying such an
arrangement immediately into effect.
1st That they should place Steamers on the navigable route
between this place and the Falls of Fraser's River, 130 miles
distant from its discharge into the Gulf of Georgia, for the
transport of Goods and Passengers to that point.
2ndly That they should carry the Hudson's Bay Company's
Goods into Fraser's River, and no other.
3rdly That they carry no passengers except such as have
takenout
out and paid for a Gold Mining Licence and Permit from the
Government of Vancouver's Island.
4thly That they pay to the Hudson's Bay Company, as
compensation to
them,
at the rate of two dollars head money for each passenger carried
into Fraser's River.
5thly That they should otherwise be allowed to enjoy the
whole of the profits on the River transport.
6thly That arrangement to continue in force for one year
from this date and no longer.
the United States' Pacific Mail Steam Ship
Company,
4
who having steamers of every class, connected with their operations in
California, and a staff of experienced officers, at their disposal, are
perhaps better qualified than any other parties, for carrying such an
arrangement immediately into effect.
1st That they should place Steamers on the navigable route
between this place and the Falls of Fraser's River, 130 miles
distant from its discharge into the Gulf of Georgia, for the
transport of Goods and Passengers to that point.
2ndly That they should carry the Hudson's Bay Company's
Goods into Fraser's River, and no other.
3rdly That they carry no passengers except such as have
takenout
out and paid for a Gold Mining Licence and Permit from the
Government of Vancouver's Island.
4thly That they pay to the Hudson's Bay Company, as
compensation to
them,
For What?
11. The Pacific Mail Steam Ship Company have promised to give a
decided answer on or before the 24th of the present month.
12. If that arrangement be carried into effect, it will be of
great advantage to the countryat
at large, and give the Government
a decided control over the mining population of the interior.
at large, and give the Government
a decided control over the mining population of the interior.
13. I trust from its so thoroughly protecting every interest
connected with the country, that it will meet with your approval.
Minutes by CO staff
Mr Merivale
Ammunition, Arms, [Materials?] of War, except from the U. Kingdom, or from some British possession are prohibited by the 8 & 9 Vict. C. 93: 5 and so I apprehend are other articles, if intended to be used for trade with the Indians; the introduction of such goods, other than by the H.B.Co being opposed to their license. I annex the Act to wh, I conclude, reference is made.
Ammunition, Arms, [Materials?] of War, except from the U. Kingdom, or from some British possession are prohibited by the 8 & 9 Vict. C. 93: 5 and so I apprehend are other articles, if intended to be used for trade with the Indians; the introduction of such goods, other than by the H.B.Co being opposed to their license. I annex the Act to wh, I conclude, reference is made.
ABd
14 July
See two drafts annexed for approval.
HM
July 14
Documents enclosed with the main document (not transcribed)
Proclamation, 8 May 1858, establishing customs
laws and the trading rights of the Hudson's Bay Company. Published in Papers, Pt. 1, p.12.
Minutes by CO staff
Blackwood reminds me we have said nothing about the Indians;
perhaps the words I have inserted in red ink at p.
3
6
may be added without troubling Sir E Lytton further.
Sir E Lytton has made up his mind to the [private?] despatch.
But it ought not to go without being seen by
Capt. Shepherd. If you have
not taken any steps on this subject, I think he should be asked to call
here & see either myself or you tomorrow & I send you a note to that
effect, which, if approved, had better be sent him this evening.
Capt. Shepherd. If you have
not taken any steps on this subject, I think he should be asked to call
here & see either myself or you tomorrow & I send you a note to that
effect, which, if approved, had better be sent him this evening.
HM
July 15
Other documents included in the file
Draft, Merivale to E. Hammond, Foreign Office, 15 July 1858,
forwarding copy of the despatch for consideration.
Minutes by CO staff
Other documents included in the file
Minutes by CO staff
Founded upon the first part of Sir E. Lytton's Minute for a
draft to the Govr of Van Couver's Island.
Sir Edward
I see that this is founded on a separate minute of your writing, and therefore you have probably considered
the
policy of this step. I cannot however but fear that Govr Douglas may misapprehend your intention and will Either accept
it as his recall, or if in his uncertainty and under the
critical circumstances of the Colony he retains office will feel
great Embarrassment.
I see that this is founded on a separate minute of your writing, and therefore you have probably considered
the
policy of this step. I cannot however but fear that Govr Douglas may misapprehend your intention and will Either accept
it as his recall, or if in his uncertainty and under the
critical circumstances of the Colony he retains office will feel
great Embarrassment.
You will remember that your last confidential desp. stated to
him the alternative of serving H.M. Govt or the H.B.C. quite as
distinctly as this desp. does—the only new feature in this
being an allusion to the Pugets Sound Company wh being a
branch of the H.B.C. was [virtually?] comprehended in your former
remarks on the H.B.C.
C
July 31
Footnotes
- = Douglas to Labouchere, 8 May 1858, No. 19, 6113, CO 60/1, p. 10.
- = 8 May 58, HBC rights, disallowed. Douglas was mistaken that such actions violated the rights of the Hudson's Bay Company and his proclamation of 8 May 58 was disallowed. The minutes to this despatch give only a hint of Lytton's displeasure, which was compounded when the offending proclamation was published in London newspapers during debate in Parliament on the bill to provide for the government of BC. Douglas further elaborated on this issue in a conference between the Council and Assembly. Gazette, 7 July 1858; Hansard. TAKE IN FULL??
- = roads to the mines. For accounts of various road constructions, see the Daily Alta California, 6 May 1858, and Bellingham Bay News, Victoria Gazette, 8 September 1858. Robie L. Reid, The Whatcom Trails to the Fraser River Mines in 1858, Washington Historical Quarterly, 18 (?? 1927): 199-206, 271-76. Creech article.
- Following the expansion of the United States to the Pacific coast in 1846, the American Congress pressed the postmaster general to issue contracts for an ocean-going mail service to the Pacific ports, and in November 1847, awarded a contract to Arnold Harris, which he promptly sold to William Henry Aspinwall, a prominent New Yorker ?? with large maritime interests, to provide monthly steamer service from Panama to Oregon for a ten-year period, beginning on 1 October 1848, at a rate of $199,000 per year. The Pacific Mail Steamship Company (PMSC) was incorporated on 12 April 1848, with Aspinwall as president, and began construction of several steamers. Meanwhile Aspinwall also formed a syndicate with John L. Stephens and Henry Chauncey and began building a railway across Panama in May 1850, from a port named Aspinwall (Colon) on the Atlantic to Panama on the Pacific, to service the California gold rush. The PMSC expanded its fleet from three vessels in 1848 to eighteen in 1853 and twenty-three in 1869, seventeen of which the company had built itself. Although it lost its government mail contract to a competitor in September 1859, it continued to carry mail on a subcontract basis, and between 1865 and 1875 expanded its services to include Japan, China, New Zealand, and Australia. In 1875 the company introduced scheduled ?? service to Victoria. The importance of the company declined towards the end of the century, as road and rail travel increased across the United States. In 1900, the Southern Pacific Company took control of PMSC, selling the company to the American International Corporation and W.R. Grance and Company in December 1915. Trans-Pacific steamship service increased during World War I, and by 1920 the new owners had forty-six steamers under its flag. Five years later, however, there were no PMSC ships in operation, and the company, although still in existence, has been dormant since 1925. John Haskell Kemble, A Hundred Years of the Pacific Mail, Museum Publication No. 19 (Newport News, Virginia: The Mariners' Museum, 1950). Cf. Douglas to Lytton, 5 November 1858, No. 16, 535, CO 60/1, p. 360, and ??
- = prohibiting munitions. An Act to Regulate the Trade of British Possessions Abroad, 4 August 1845, 8 & 9 Victoria, c. 93.
- Check draft reply in Douglas to Lytton, 11 October 1858, No. 43, 12180, CO 60/1, p. 181. Lytton to Douglas, 31 July 1858, No. 6, CO 410/1, p. 147 . Or possibly this Also: Conf 16 July ??
- I.e., this file. OMIT??
- FIND, CO-TA, 15 July 58.
- There is another draft reply of the same date (No. 6, 31 July 1858) that should appear here but is filed instead in Douglas to Lytton, 11 October 1858, No. 43, 12180, CO 60/1, p. 181.
People in this document
Lytton, Sir Edward George Earle Bulwer
Prevost, Captain James Charles