Colonial Despatches

With reference to your letter of 15th Ultimo, on the Subject of the Claim of the Hudson's Bay Company on the resumption of Vancouver's Island by the Crown, I am Commanded by The Lords Commissioners of Her Majestys Treasury to transmit Copy of Mr Andoes Report of 24th Ultimo for the information of the Duke of Newcastle.

I am directed to request that you will observe to His Grace that previous to submitting to Parliament a Vote to defray expenses consequent upon the resumption of Vancouver's Island from The Hudson's BayCompany Company by The Crown, this Board had given much Consideration to the claims of that Company, that the Sum of £55,000 was submitted to Parliament as a maximum and that The House of Commons evinced some hesitation in Voting it.

Their Lordships have since further considered the Representations made by the Company, and in Their Letter to you of 20th June, after adverting to the Reports of Mr Murdoch and Mr Andoe, My Lords expressed Their opinion that, while the claims of the company could not be considered as Established to an extent much beyond £25,000 in addition to £25,000 paid on account, yet, with a view to the advantage of the Colony from anEarly Early and amicable Settlement, They would not object to pay the Company £30,000 in full Satisfaction of all these claims.

My Lords have given further and full consideration to the letter of the Governor of the Company of 4th Ultimo, with the Report thereupon of Mr Andoe, and Their Lordships have only to repeat that they would not feel justified in extending the offer made in the communication of 20th June, or in Submitting any further Vote to Parliament in respect of the Claims of the Company.