Part 46 (1/2)
In September, 1860, after an illness of but five days' duration, died Sir George Simpson, the Governor-in-Chief in Rupert's Land, amidst universal regrets. He had been often, indeed persistently, attacked by the Company's enemies during his tenure of his office; indeed almost up to the day of his death he was charged with being autocratic and tyrannical, but none could deny him great ability and exceptional fitness for his post.
He had taken a powerful interest in northern discoveries, and superintended the fitting out of several Arctic expeditions. For his services in this direction he had been knighted in 1841, and soon afterwards had set out on a journey round the world, of which he published an interesting relation. In his late years he resided at Lachine, where he entertained the Prince of Wales, on his visit in 1860.
His successor was Mr. A. E. Dallas, who having made a considerable fortune in China, had for some time served the Company on the Pacific coast. Thanks to his prudence, the landing in 1859 of General Harney and a detachment of American troops on the island St. Juan, between Vancouver's Island and the mainland, had been controlled and check-mated by the proposal of joint occupation until negotiations should settle the question of right. He was returning home to England, intending to retire, when he was persuaded to accept the Governors.h.i.+p of Rupert's Land.
[Sidenote: Proposals to buy out the Company.]
At the head of a scheme for a transcontinental road and telegraph system was Mr. (afterwards Sir) Edward Watkin, well known as the promoter of the Grand Trunk Railway. For this scheme an Imperial subsidy was sought. The dissensions which ensued between the various parties interested proved not unfruitful, for they led up to the great question of buying out the Company.
At the beginning, however, the Duke of Newcastle, then Colonial Secretary, had amiably undertaken to sound the Company as to their willingness to allow a road and telegraphs through their territory.[122]
In response to this demand the aged Governor answered, almost in terror, to the Duke of Newcastle, ”What, sequester our very tap-root!
Take away the fertile lands where the buffaloes feed! Let in all kinds of people to squat and settle, and frighten away the fur-bearing animals they don't hunt and kill! Impossible! Destruction--extinction of our time-honoured industry. If these gentlemen are so patriotic, why don't they buy us out?” To this outburst the Duke quietly replied: ”What is your price?” Governor Berens answered: ”Well, about a million and a half.”
[Sidenote: Discussions as to the price.]
On hearing this, Mr. Watkin was anxious that the British Government should figure among the purchasing parties. Purchase seemed the only way out of the difficulty. The Governor and Company seemed to have made up their minds for a sale or else to withstand the project which Mr. Watkin and the rest had so dearly at heart. An endeavour was made to convince the Duke that at the price named there could be no risk of loss, because the fur-trade could be separated from the land and rights, and after the purchase a new joint-stock company could be organized to take over the trading-posts, the fleet of s.h.i.+ps, the stock of goods, and the other a.s.sets, rights and privileges affecting trade. Such a company, it was figured, would pay a rental (redeemable over a term of years if necessary) of three or three and one-half per cent, on 800,000, leaving only 700,000 as the value of a territory bigger than Russia in Europe. Such a company would have to raise additional capital of its own to modernise its business, to improve the means of intercourse between its posts, and to cheapen and expedite the transport to and fro of its merchandise. It was pointed out that a land company could be organized in England, Canada and America which, on a similar principle of redemption rental, might take over the lands, leaving a reserve of probably a fourth of the whole as the unpaid-for property of the Government, at the price of 700,000.
”Were these proposals to succeed, then,” said Mr. Watkin, ”all the country would have to do was to lend 1,000,000 on such security as could be offered, ample in each case,” in his opinion. But a condition was to be imposed if these plans were to be adopted. The Hudson's Bay territory must be erected into a Crown colony like British Columbia, and governed on the responsibility of the Empire. As to the cost of government, there were three suggestions put forward. One was that it might be recouped by a moderate system of duties in and out of the territory, to be agreed upon between Canada and British Columbia on the one hand, and the United States on the other. The second was to sell a portion of the territory to America for five million dollars, which sum Mr. Watkin knew could be obtained. The third scheme was to open up portions of the fertile belt to colonization from the United States. When considering the second plan, the Duke said he would not sell; he would exchange; and studying the map, ”we put our fingers upon the Aroostook Wedge, in the State of Maine; upon a piece of territory at the head of Lake Superior, and upon islands between British Columbia and Vancouver's Island, which might be the equivalent of rectification of boundary on many portions of the westward along the 49th parallel of lat.i.tude.”
As for a name for the new proposed Crown colony, Dr. Mackay had suggested to Mr. Watkin, ”Hysperia,” and this name was mentioned to the Duke. Its similarity to ”hysteria” probably caused it to be dismissed.
[Sidenote: Opposition of the Colonial Office.]
The decision of the Duke of Newcastle on the whole proposition was that were he a Minister of Russia he would agree to purchase the land from the Hudson's Bay Company. ”It is,” said he, ”the right thing to do for many, for all reasons; but ministers here must subordinate their views to the Cabinet.” Nevertheless, he went so far as to believe that it was right. But the Colonial Office were in positive opposition to the scheme.
It was now clear that the promoters of the Pacific transcontinental railway could hope for no direct pecuniary aid from the British Government. They must act for themselves.
After some correspondence, it was arranged that the promoters of the ”Pacific scheme,” as it was called, should meet the Governor and Committee of the Hudson's Bay Company in an official interview. The date was the 1st of December, 1862.
”The room,” writes Sir Edward Watkin in his Memoirs, ”was the Court room, dark and dirty. A faded green cloth, old chairs, almost black, and a fine portrait of Prince Rupert. We met the Governor, Berens, Eden Colville and Lyell only. On our part there were Mr. G. G. Glyn (the late Lord Wolverton), Captain Glyn (the late Admiral Henry Glyn), and Messrs. Newmarch, Benson, Blake and myself. Mr. Berens, an old man and obstinate, bearing a name to be found in the earliest lists of Hudson's Bay shareholders, was somewhat insulting in his manner. We took it patiently. He seemed to be astounded at our a.s.surance. 'What!
interfere with his fertile belt, tap-root,' etc.”
[Sidenote: The ”Pacific Scheme” discussed.]
But the Governor showed himself more reasonable; a calmer discussion ensued, and the promoters were informed that the Company would be ready to make a grant of land for the actual site of a road and telegraph through their territory. Nothing more would be vouchsafed, unless, as they had informed the Duke of Newcastle, they were paid for all their rights and property.
[Ill.u.s.tration: FORT PRINCE OF WALES.
(_Drawn from an old print._)]
”The offer,” observes Sir Edward, ”of a mere site of a road and ground for telegraph poles was no use. So, just as we were leaving, I said, 'We are quite ready to consider your offer to sell; and to expedite matters, will you allow us to see your accounts, charters, etc.' They promised to consult their Court.”
The result of this promise was that the promoters were put into communication with ”old Mr. Roberts, aged eighty-five, their accountant, and with their solicitor, Mr. Maynard.” Many interviews took place at Hudson's Bay House between these parties. On the 17th of March, 1863, Mr. Watkin met the Governor, Mr. Ellice, junior (son of Edward Ellice, who had been nick-named the ”Old Bear”), Mr. Matheson and Mr. Maynard, at Hudson's Bay House. A number of account books were produced.
”Next day I had a long private interview with Mr. Maynard, but could not see the balance-sheet The same day, I saw the Duke with Messrs.
Glyn and Benson.” On the following day, the chief promoter spent the forenoon with Mr. Roberts, the accountant, and his son and a.s.sistant, at Hudson's Bay House.
”Mr. Roberts told him many odd things,” he says; ”one was, that the Company had had a freehold farm on the site of the present City of San Francisco of one thousand acres, and had sold it just before the gold discoveries for 1,000, because two factors quarrelled over it. I learnt a great deal of the inside of the affair, and got some glimpses of the competing North-West Company, amalgamated by Mr. Edward Ellice, its chief mover, many years agone, with the Hudson's Bay Company.
Pointing to some boxes in his private room one day, Mr. Maynard said, 'There are years of Chancery in those boxes, if anyone else had them.'