"The views of the Duke of Newcastle, and also, so far as I understand
them, the views of yourself and your colleagues, being in favour of the
establishment of a separate colony unconnected with Canada, I consider
the discussions which have taken place have now put the question in its
right position here; but at the same time I shall endeavour to see Mr.
George Brown, and give such explanations, unofficially, as may at all
events prevent his considering that he has not been consulted in this
important transaction.
"I have also placed myself in communication with many of those who have
advocated the settlement of the North-west, including Professor Hind,
who has explored much of the district; and, at my request, Professor
Hind has written a memorandum, and letter upon the gold discoveries in
the Hudson's Bay territory, which I now enclose.
"I have no doubt that Governor Dallas's own letters will more than
corroborate what is stated in this memorandum, and I need not suggest
that the most anxious and immediate attention of yourself and the
Committee be directed to these discoveries, and to their political and
other necessities and consequences.
"Having possessed myself of so much information in reference to the
subjects referred to Governor Dallas and myself, I think we shall be
able to fulfil the wishes of the Governor and Committee, Governor
Dallas being here, accompanied by Mr. Hopkins, without the necessity of
my proceeding on this occasion to the Red River; though, should further
discussion with the Governor lead to our joint impression that such a
visit would be advantageous, I shall not hesitate to undertake the
journey.
"In advance of some memorandum to be prepared for you by Governor
Dallas and myself, and which I shall beg him to be good enough to
draft, I would mention that I have suggested that the Governor issue a
circular to the employes of the Company, stating briefly the nature of
the recent changes of proprietorship in the Company, and thereby having
the tendency to remove any misconceptions which might arise, and which,
I regret to learn, have in some few quarters appeared amongst the
factors and other officers of the Company, who, as partners in the
trade, have considered themselves entitled to be consulted by the late
Governor and Council on the subject of the transfer.
"Governor Dallas informs me that the outfit of 1862-3 will show very
much improved results; and I have little doubt that the wise and
energetic measures which he has initiated since his tenure of office
will bring abundant benefits in every direction. The result in the
western district, which, if I recollect rightly, exhibited a loss, and
which, in the past year, with all exclusive privileges taken away,
gives a profit of no less than $166,000, is a convincing proof of what
may be effected by improved business organization and thorough energy
and firmness.