One of the most determined and virulent in his attacks on the Company at this time was one A. K. Isbister, who addressed a long communication to Earl Grey, besides other letters to public men in England. In answer to Mr. Isbister, Earl Grey forwarded the substance of a report which had been made by Major Griffiths, late in command of Her Majesty's troops at Fort Garry, to whom had been communicated the petition of certain residents of Red River settlement.
To all the petitions, memorials, and complaints of interested parties and self-seekers against the Company, Earl Grey had but one answer. He said he had gone to the bottom of the matter, and he believed the Company was honest and capable. If he had had any doubt about it, this doubt must have been removed by a remarkable despatch of Lord Elgin, Governor-General of Canada, under date of 6th June, 1848. "I am bound to state," he wrote, "that the result of the enquiries which I have hitherto made is highly favourable to the Company, and that it has left on my mind the impression that the authority which it exercises over the vast and inhospitable region subject to its jurisdiction, is, on the whole, very advantageous to the Indians.... More especially it would appear to be a settled principle of their policy to discountenance the use of ardent spirits. It is indeed possible that the progress of the Indians toward civilization may not correspond with the expectations of some of those who are interested in their welfare. But disappointments of this nature are experienced, I fear, in other quarters as well as in the territories of the Hudson's Bay Company; and persons to whom the trading privileges of the Company are obnoxious may be tempted to ascribe to its rule the existence of evils which are altogether beyond its power to remedy. There is too much reason to fear that if the trade were thrown open and the Indians left to the mercy of the adventurers who might chance to engage in it, their condition would be greatly deteriorated."[120]
Such was the opinion of the Earl of Elgin on the Hudson's Bay Company, and it was the opinion of all who really understood the Company's aims, its history and its position. "Persons to whom the trading privileges of the Company are obnoxious." It was thus that the Earl laid his finger upon the cause of the whole onslaught. Jealousy of the Company's rights was at the bottom of the whole matter.
Opposition of Mr. Gladstone.
The Vancouver Island negotiations were suspended for a year, and then the Company, seeing the opposition it had evoked, put forward a less extensive proposal, by which it offered to continue the general management of the whole territory north of the forty-ninth degree, and for colonizing purposes to except Vancouver Island alone. It agreed to colonize the island without any pecuniary advantage accruing to itself, and promised that all moneys received for lands and minerals should be applied to purposes connected with the improvement of the country. The proposition seemed a reasonable one; but in a certain rising statesman, who had inherited his opposition to the Company from his father, and who had many followers, the Honourable Adventurers had a powerful enemy. His name was Mr. W. E. Gladstone, and his enmity to the measure caused the Government to halt.
The Company was not without strong friends, as well as enemies. It drew up a deed of charter, and boldly relied on the Earl of Lincoln (afterwards Duke of Newcastle) to procure favour for it in the House of Commons. On the 17th July the Earl opened the subject, and drew from Mr. Gladstone a speech which occupies many columns of Hansard's Debates. With mighty energy he hurled argument, invective, appeal and remonstrance at the heads of his fellow-members. It was even suggested that he was actuated by personal malice. Every statement, every slander that could wither or blacken the fair fame of a corporation which had deserved well of its country, was employed on this occasion, and his conclusion was that the Company was incompetent to carry out its promises. Mr. Howard, who followed, believed that it would be "most unwise to confer the extensive powers proposed on a fur-trading Company." Yet he did not deny that as California had recently been ceded to America, it was a matter of the highest importance that a flourishing British Colony should be established on the Pacific Coast as an offset to that power. Lord John Russell undertook to enlighten the House as to the achievements of the Company, apart from fur-trading. He said that it already held exclusive privileges, which did not expire until 1859; that the western lands were controlled by a Crown grant, dated 13th May, 1838, confirming the possession by the Company for twenty-one years from that date; that these privileges "could not be taken away from it without breach of principle and that if colonization were delayed until the expiration of this term squatters from America might step in and possess themselves of the Island."
The grant of Vancouver Island.
It was voted to refer the matter to the Privy Council Committee for Trade and Plantations; and on the 4th September this body reported in favour of granting Vancouver Island to the Hudson's Bay Company. The grant was duly signed, sealed and delivered on the 13th January, 1849.
The Company, in the midst of its triumph, was not satisfied. It had aroused enmities which it was powerless to allay. It had been lured, by too zealous friends, into making promise of a policy which it foresaw could not be followed without ruinous cost. It also foresaw that the rush to the Pacific, consequent upon the gold-fever of 1849, would bring about new interests not its own and, in brief, that the colony would pass from its hands, and that all its outlay and labour would have been expended without profits. What it anticipated came about sooner than it expected. Opposition had been collecting from without, and had been engendered from within. Some of the Adventurers announced that when, in 1859, the grant would expire, they would object to its renewal. The Company's enemies asserted that it had not exerted itself to bring about the desired colonization of Vancouver Island. The settlers forwarded a memorial asking to be relieved from the Company's control. At the same time, the Governor it had appointed, Mr. Douglas (afterwards Sir James Douglas), was popular, and when the grant was allowed to expire and Vancouver Island became a Crown colony in 1859, he was retained in the same office. Soon afterwards, a Government was organized, with Mr. Douglas at its head, on the mainland of British Columbia.