No. 19

Since I had the honor of addressing you, on the 6th of April
last,

on the subject of the "Couteau" Gold Mines, they have become, more than
NewspapersAmericanaccounts of gold discoveries
Gold fieldsconditions at
Douglas, Jameseconomic policies
ever, a source of attraction to the people of Washington and Oregon
Territories, and it is evident from the accounts published in the latest
San Francisco
Papers;

that intense excitement prevails among the inhabitants of that
stirring city, on the same subject.

2. The "Couteau" country, is there represented and supposed to be,
in point of mineral wealth, a second California or Australia, and those
impressions are sustained by the false and exaggerated statements of
steamboat owners, and other interested parties, who benefit by the
current of emigration which is now setting strongly toward this quarter.

3. Boats, canoes, and every species of small craft, are continually
Gold fieldspopulation of
employed in pouring their cargoes of human beings into Fraser's River,
and it is supposed that not less than one thousand whites are already at
work, and on the way to the gold districts.

4. Many accidents have happened in the dangerous rapids of that
Minersloss of life
River; a great number of canoes having been dashed to pieces and their
cargoes swept away by the impetuous stream, while of the ill fated
adventurers who accompanied them, many have been swept into eternity.

5. The others nothing daunted by the spectacle of ruin,
and buoyed up by the hope of amassing wealth, still keep pressing
onwards, towards the coveted goal of their most ardent wishes.

6. On the 25th of last month the American Steamer
"Commodore",

ShipsCommodorearrival of
arrived in this Port, direct from San Francisco with 450 passengers on
board, the chief part of whom are gold miners for the "Couteau" country.

7. Nearly 400 of those men were landed at this place, and
have since left in boats and canoes for Frasers River.

8. I ascertained through inquiries on the subject, that those men
Minersarrival of
Minerscharacteristics of
Minersconduct of
are all well provided with mining tools, and there was no dearth of
capital or intelligence among them. About 60 British subjects, with an
equal number of native born Americans, the rest being chiefly Germans,
with a smaller proportion of Frenchmen and Italians, composed this body
of adventurers.

9. They are represented as being, with some exceptions, a specimen
of the worst of the population of San Francisco; the very dregs, in fact,
of society. Their conduct, while here, would have led me to form a very
Victoriaconditions at
different conclusion; as our little town though crowded to excess with
this sudden influx of people, and though there was a temporary scarcity
of food, and dearth of house accommodation; the Police few in number; and
many temptations to excess in the way of drink, yet quiet and order
prevailed, and there was not a single committal, for rioting drunkeness
or other offenses, during their stay here.

10. The Merchants and other business classes of Victoria are
rejoicing in the advent of so large a body of people in the Colony and
are strongly in favor of making this Port a stopping point between San Francisco and the Gold mines, converting the latter, as it were, into a
feeder, and dependency of this Colony.

Victoria would thus become a Depôt and centre of trade for the
gold districts, and the natural consequence would be an immediate
increase in the wealth and population of the Colony.

11. To effect that object it will be requisite to facilitate by
every possible means the transport of passengers and goods to the
furthest navigable point on Fraser's River, and the obvious means of
accomplishing that end is to employ light Steamers in plying between and
connecting this Port (Victoria) with the Falls of Frasers
River,

distant 130 miles from the discharge of that River, into the Gulf of
Georgia; those Falls being generally believed to be, at the commencement
of the remunerative gold diggings, and from thence the Miners, would
readily make their way on foot or after the summer freshets, by the
River, into the interior of the country.

12. By that means also the whole trade of the gold regions would
Tradecoasting
pass through Fraser's River, and be retained within the British
Territory, forming a valuable outlet for British manufactured goods, and
at once creating a lucrative trade between the mother country and
Vancouver's Island.

13. Taking a view of the subject, simply in its relations to trade
and commerce, apart from considerations of national policy, such perhaps
would be the course most likely to promote the interests of this Colony,
but on the contrary, if the country be thrown open to indiscriminate
immigration the interests of the empire may suffer, from the
Immigrationdangers of foreign
introduction of a foreign population, whose sympathies may be decidedly
anti-British, and if the majority be Americans, strongly attached to
their own country and peculiar institutions.

14. Taking that view of the question it assumes an alarming aspect
and suggests a doubt as to the policy of permitting the free entrance of
foreigners into the British Territory for residence, under any
circumstances whatever, without in the first place requiring them to take
the oath of allegiance, and otherwise to give such security, for their
conduct, as the government of the country, may deem it proper and
necessary to require at their hands.

15. It is easy, in fact, to forsee the dangerous consequences that
may grow out of the unrestricted immigration of foreigners into the
interior of Fraser's River. If the majority, of the immigrants, be
American, there will always be a hankering in their minds after
annexation to the United States, and with the aid of their countrymen in
Oregon and California, at hand, they will never cordially submit to
British rule, nor possess the loyal feelings of British subjects.

16. Out of the considerations thus briefly reviewed, arises
the question which I beg to submit for your consideration, as to
the course of policy that ought, in the present circumstances to
be taken, that is whether it be advisable to restrain immigration,
or to allow it to take its course.

17. The opinion which I have formed on the subject leads me to
Minersforeignthreat posed by
think that, in the event of the diggings proving remunerative, it will
now be found impossible to check the course of immigration, even by
closing Fraser's River, as the Miners would then force a passage into the
gold District, by way of the Columbia River, and the valuable trade of
the country, in that case, be driven from its natural course, into a
foreign channel, and entirely lost to this country.

18. On the contrary should the diggings prove to be unremunerative,
a question, which as yet remains undecided, the existing excitement
we may suppose, will die away of itself, and the Miners having
no longer the prospect of large gains will naturally abandon a country
which no longer holds out any inducement for them to remain.

19. Until the value of the country, as a gold producing region,
be established, on clearer evidence than can now be adduced in its
Law enforcementneed for
favor; and the point will no doubt be decided before the close of the
present year, I would simply recommend that a small naval or military
force should be placed at the disposal of this government to enable us
to maintain the peace, and to enforce obedience to the Laws.

20. The system of granting
Licences

Licensesgoldnot operational
for digging gold has not yet come into operation.

21. Perhaps a simpler method of raising a revenue would be to
Revenuecustomsduty
impose a Custom's duty on imports, to be levied on all supplies
brought into the country whether by Fraser's or the Columbia River.

22. The export of gold from the country is still inconsiderable
Goldamount exported
Gold fieldsconditions at
not exceeding 600 ounces, since I last addressed you. The principal
diggings are reported to be at present, and will probably continue
flooded for several months to come, so that unless other diggings
apart from the River beds are discovered, the production of Gold
will not increase, until the summer freshets are over, which will
probably happen about the middle of August next. In the mean time
the ill provided adventurers who have gone thither, will consume
their stock of provisions, and probably have towards [sic] retire from
the country, until a more favourable season.

23. For the time being, all my efforts will be directed to
maintaining the peace in the gold districts; to supporting the rights
of the Crown; protecting the rights of the Hudson's Bay Company; and
infusing a British element into the population.

24. I shall be most happy to receive your instructions on
the subjects in this letter.