Business of the Company as to render it difficult,
if not impossible, to provide a fair dividend upon the portion of its
capital embarked in the trade. I do not, however, the less recognize
the necessity of opening up the country and its communications. It is
not at all clear to my mind how you are to secure a remunerative
dividend upon the extra sum to be embarked in the erection of the
telegraph, formation of roads, &c., &c. In a commercial point of view,
I do not consider it safe to enter upon these extended operations till
secure of a sufficient subsidy from the different Governments
interested.
"Upon a mature consideration of the whole subject, I entirely concur in
the views expressed by Mr. Johnstone in his letter, of which I have
already sent only an extract to Sir Edmund Head, viz., that with
the government of the country the territorial right should also revert
to the Crown, upon whatever terms might be arranged. Anything short of
a full measure of this sort would fail to satisfy the settlers and the
public at large, who seem inclined to view with distrust the present
position of Her Majesty's Government in its supposed alliance with the
new Board of Direction.
"It is a question for consideration whether the northern region of the
country beyond the limits of probable settlement should not still
remain under the control of the Company, with such a monopoly of trade
as would induce them to undertake the responsibility of managing the
Indian tribes, and excluding the introduction of ardent spirits.
