To remedy the depressed condition of the trade and to avoid further complications, the North-West Company was formed in 1783. A rival company was started, of which the celebrated Mackenzie was a member. The two were, however, united in 1787.
At this date the North-West Company arrogated to itself full control over the country. No operations of any kind except under their authority were permitted. The company was supreme. The private trader was driven from the field, and it would seem that these extreme measures could be carried out with impunity. They were the days of the North-West Company’s affluence and power. Influences even without its ranks came within their control, to make the organization irresistible. Peculiarly it was a Canadian enterprise, and as such commanded sympathy against competition from without. We can scarcely, at this day, understand the extent of its power. In our commercial world, as we find it, there are many wealthy corporations possessing social and political control. The avenues to wealth and distinction are numerous, branching out from many centres. It may be asserted that formerly the North-West was looked upon as the one field which promised prizes in life’s lottery to the youth of the country. The leading magnates, who had large incomes, indulged in princely hospitality, the memory of which has not wholly died away, and it may be conceived how, at that date, with a small population, with a limited field for enterprise, with little general wealth, the power of the company was everywhere recognized.
I have now arrived at the period when I have to record the settlement of Red River, the forerunner of the City of Winnipeg: indeed, the first step taken towards making the prairies the abode of civilized life. The task is not easy. The ashes of the fires of that day are yet warm under our feet. The sons and grandsons of the men whose names are identified with the leading events are among those who we meet daily. The story has often been told; nevertheless it is only imperfectly known. The principal actor in these events was Lord Selkirk. As his character is studied it must be conceded that few men have been marked by a higher sense of life and duty. A man of remarkable ability, his character was one of rare disinterestedness and chivalry, and I cannot but think his name will so live in our history.
As early as 1802 Lord Selkirk entered into correspondence with the English Government on the advisability of promoting emigration from the Highlands and Ireland to Rupert’s Land. The following year he arranged to carry a body of Highlanders to Prince Edward Island. We next hear of him in Canada and the United States, where he passed two years examining into the means available to carry out his purpose. During 1804 he entered into correspondence with General Hunter, then Governor of Upper Canada, now Ontario, with regard to making settlements in that Province. Those were not the days when questions such as these received much attention, nor were they even understood. The value of population to develop the resources of a country had generally to be better known before correct views could prevail as to the value of unsettled land, and the negotiations failed owing to the excessive price demanded for it.
As Canada did not offer the field sought, Lord Selkirk turned to the Hudson’s Bay Company as the means by which his theories of colonization could be carried out. He and his friends took their measures accordingly. He purchased stock in the company, and thus obtained a commanding influence and the recognition necessary for the prosecution of the undertaking. This event took place in 1811.
From the commencement the North-West Company vigorously opposed his project. They looked upon Lord Selkirk as a visionary, and his scheme alike impracticable and undesirable. They might not be unwilling to divide the hunting ground of a continent with their rivals, but they did not recognise that the prairies of the west were available for support of human life. They regarded the country as a wilderness, to be reserved for the fur-bearing animals alone. Hitherto their profits had been excessive and secure, and any change threatening the discontinuance or reduction of the advantages which they possessed had to be avoided.
Evidently such a scheme as that of Lord Selkirk’s was the first step towards the destruction of their trade and the diminution of their profits. The same year some ninety persons, mostly Highland cotters from Sutherlandshire, with a few additions from the West of Ireland, reached Hudson’s Bay. They wintered there, and in 1812 travelled to Red River, a proceeding in itself memorable, as from it dates the settlement of the North-West. A further number was added in 1813. The two winters 1812–1813, till the spring of 1814, were passed at Pembina, at Fort Daer. The Governor was Captain Miles Macdonnell, formerly of the Queen’s Rangers. In 1814 further settlers arrived under Mr. A. Macdonald, having passed the winter at Fort Churchill. Towards the end of the year the number amounted to two hundred.
It was in this year that the Governor issued the proclamation so much criticized and censured, and it has been brought forward as sufficient in itself to justify the inimical proceedings subsequently taken against the settlement. It is difficult to recognize that it was not warranted by the circumstances, and, considering the interests entrusted to the Governor, that it was not one which he had a perfect right to issue when he did so, in no way to the injury of others. He directed that no provisions should be exported from the country, as such stores were required for the arrivals expected, that money would be paid for all produce, and that those not observing these regulations would be arrested. The Governor must have known and felt the difficulties under which he was placed. The North-West Company, both in London and on this continent, had shown the strongest opposition to the settlement. Independently of the nature of the difficulties incident to the situation, there was this enmity to be met; an enmity known to be powerful and not over scrupulous. It is true that it had not taken the armed and open attitude which it ultimately assumed, but the ruin of the settlement had long been resolved upon.
A council of the officers of the North-West Company was held at Fort William in 1814, and it is in evidence that it was here that plans were formed to induce the settlers to abandon their homesteads and prejudice the Indians against them—every employé of the company was already their foe—and to buy up all the provisions so that scarcity should result and ruin to the settlement follow. It was in anticipation of such a scheme that the Governor’s proclamation was issued. He had obtained information that such a policy would be followed, and he endeavoured, on his side, to meet it as best he could.
The Selkirk settlers had constructed a new fort, Fort Douglas. Its site lies within the present City of Winnipeg, not far from Fort Gibraltar, the property of the North-West Company. It was in 1814 that Duncan Cameron came to the Red River in charge of the latter. His special mission was to influence the settlers to abandon their homes. Cameron is represented to have been a man of address and plausibility, and he so well executed the duty assigned him of making those who listened to him discontented that about three-fourths of the number left the Red River for Upper Canada. Their descendants are yet to be found in the Counties of Elgin, Middlesex and Simcoe, in Ontario.