, 1858-09-24


THE HUDSON BAY CoMPANY-THE LEGAL
ASPECT OF THE QUESTION INVOLVED.
WASHINGTON CRY, July 2l, 1858.
Hon. LEWIS CAss, Secretary of State:
SRI had the honor to inform you by
my communications Of May lS and June
30 of the extensive immigration Of Ameri-
can citizens into the British possessions Of
New Caledonia, in consequence Of the dis
coveries Of "gold placers" on Frazer and
Thompson rivers, and of the distractions
which had been placed upon this immigra-
tion by Gov Douglas, acting as chief factor
Of the Hudson Bay Company, and as Gov
ernor Of Vancouver's Island and its de-
Tendencies, and assuming authority over
the region in which the new "placers
have been found.
The object Of the present communica-
tion is to exhibit to the government Of the
United States the enorminity and absolute
illegality of the impositions placed upon
the citizens of the United States by the
British authorities assuming to exercise
Jurisdiction over the whole territory in
which the late gold discoveries have been
made, and to ask the interpOsition Of the
government in behalf Of our citizens seek
ing to enter that territory.
On the 28th of December, 1851, his
Excelleney James Douglas, styling himself
Governor Of Vancouver's Island and its
dependencies, issued a proclamation de-
claring that all mines of gold in its natural
place Of deposit within the district Of Fra
zer river and of Thompson river, belonging
to the crown of Great Britain and that no
person will be permitted to dig, search for
or remove gold on, or from any lands, pub
lie or private (within said district), with
out first taking out and paying for a license
in the form annexed.
Here follows the form Of license, the
proclamation above alluded to, the general
sufferance, conditions Of sufferance, &C., all
Of which have been published in the PIoN-
EER AND Democrat
The first consideration presented is the
effect of these proclamations, provided
they should be submitted to, upon tho en-
terprise Of the citizens Of the United States.
1t is estimated by the most intelligent
gentlemen Of the Pacific coast that not less
than forty thousand persons will enter the
gold placers" of New Caledonia within
the present year. Nearly all these persons
will be citizens of the United States. The
tax Of twenty-one shillings (say five dollars
per month"; upon these forty thousand per-
sons will amount in one year TO two million
four hundred thousand dollars. The con-
sumption Of provisions, clothing, &c, Of
these men cannot be estimated at less than
thirty dollars per month, at the fair cost Of
the supplies If the Hudson Bay Com
pany should have the exclusive right Of
furnishing supplies, they will receive from
four hundred thousand dollars. But it is
shown by evidence taken before the British
Parliament that this company has been in
the habit Of charging for supplies furnished
to persons outside the company profit Of
from two hundred to three hundred per
cent. These supplies cannot be drawn
from the present resources Of the Hudson
Bay Company, but must be obtained from
the State Of California and the Territories
of Oregon and Washington. So that in
fact these States are compelled to make
the Hudson Bay Company their factor for
the sale Of their produce, and allow them
all the profits from the sale Of goods to
their own citizens.
This simple statement is sufficient to
show that a state of things exists in the
newly discovered gold regions which can
not be submitted to by American citizens,
unless imposed by positive and imperative
law.
have no hesitation in declaring the
opinion that these proclamations have been
made without any legal or binding authori-
ty which should be respected BY the citi-
zens or government Of the United States.
The two important questions presented
are, the authority Of the Governor Of Van
couVer's Island to impose tax Of twenty
one shillings per month upon every person
searching for gold on Frazer or Thompson
rivers, and the right to compel all persons
in those territories to purchase their sup
plies from the Hudson Bay Company
The first question which l propose to con-
slider is the right to impose the tax, and
demand license.
1t is we'll known that the right Of the
British crown to all those mines which are
properly royal, namely, those Of gold and
silver, was anciently claimed as one Of its
prerogatives This had its origin, as
Blackstone says, from the Kings prerog-
ative Of coinage, in order to supply him
with materials" The reason for this pre-
rogatiVe mentioned by Blackstone is sufi-
cient to show that it can no longer exist.
The materials for coinage have not for CEN
turies, and probably never will be furnished
by the working Of mines by the crown.
! The foundation for the prerogstive no
longer exists, "ccSsaHte TatiOne oessat Lsr."
This prerogatiVe has been obsolete from
non use. It has never been exercised in
the United Kingdom. 1t has not been
called in force in ireland, although consid-
erable placer washings" have been work