"You Will Doubtless Have Seen What I Have Written To The Board In Regard To The Telegraph Across The Continent.

The more I consider the subject the more satisfied I am that next year's operations ought to be confined to a survey of the line, and to bring the material to Fort Garry.

In addition to sending a practical man, I would recommend that Mr. Wood himself come to Fort Carry. By following the 'Crow Wing' route he will get a perfect idea of the difficulties to be encountered along the whole line, as perfectly as a pinch of flour would represent the contents of the whole sack.

"I wish to call your particular attention to a letter which I have this day addressed to the Board, upon the subject of Indian claims to lands, and the officious part taken by the editor of the 'Nor' Wester,' in the hope that you may be able to exercise some influence over the Duke of Newcastle in prevailing upon him to discourage such men in some marked manner. As my residence in that country will now be a very short one, and as I have no pecuniary interest in the Company or the country, I write disinterestedly, and this knowledge may induce his Grace to pay some attention to my warnings. There will be serious trouble hereafter with the Indians and half-breeds, unless the local government is better supported, and such men as Ross and others are discountenanced.

"My interest in the old Company was a nominal one, merely sufficient to qualify myself for a seat on the Direction. That interest I sold out on accepting my present appointment. During my residence at Vancouver Island and on this side, I have been working for honorary occupation - my pay having formed no inducement, and being quite inadequate in countries where, in matters of expenditure, a dollar passes for little more than a shilling in England, and liable, as I was, from my wandering life, and with a family - to the losses incurred by a frequent breaking up of establishment. I allude to these matters, not for the purpose of complaint, but in support of the position that, as a disinterested and impartial administrator of the affairs entrusted to my charge, I was actuated by no selfish or pecuniary motives.

"The formation of the colony of British Columbia could not have been carried on as it was but for the assistance rendered by the H. B. Co., and I considered I was acting as much for the Government as for the Company, in the services then rendered, which, being unofficial, have not been in any way recognized. The unscrupulous way in which Douglas wished to saddle all expenses on the Company, and his attempts to deprive us of the lands which he himself made over to me as Company's property, led to serious differences between him and me, and which may have caused me to be looked on with probably a hostile eye by the Government, when I was actuated by the most impartial motives, and did at the same time everything I could to help the local government in its elections and other views, where our influence was overwhelming.

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