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CANADA AND THE STATES RECOLLECTIONS 1851 to 1886.

BY SIR E. W. WATKIN, BART., M.P.


"_If the Maritime Provinces [of Britain] would join us,
spontaneously, to-day - sterile as they may be in the soil under a sky
of steel - still with their hardy population, their harbours, fisheries,
and seamen, they would greatly strengthen and improve our position_,
and aid us in our struggle for equality upon the ocean. _If we would
succeed upon the deep, we must either maintain our fisheries or_
ABSORB THE PROVINCES."

E. H. DERBY, Esq, Report to the Revenue Commissioners of the United
States, 1866.




[Illustration: The Duke of Newcastle, K.G.]





_In the absence of any formal Dedication, I feel that to no one could
the following pages be more appropriately inscribed than to_

Lady Watkin.

_On her have fallen the anxieties of our home life during my many
long absences away on the American Continent - which Continent she once,
in 1862, visited with me. My business, in relation to Canada, has, from
time to time, been undertaken with her knowledge, and under her good
advice; and no one has been animated with a stronger hope for Canada,
as a great integral part of the Empire of the Queen, than herself._

_E. W. WATKIN._
_ROSE HILL, NORTHENDEN,_
_2nd May, 1887._




PREFACE.


The following pages have been written at the request of many old
friends, some of them co-workers in the cause of permanent British rule
over the larger part of the Great Northern Continent of America.

In 1851 I visited Canada and the United States as a mere tourist, in
search of health. In 1861 I went there on an anxious mission of
business; and for some years afterwards I frequently crossed the
Atlantic, not only during the great Civil War between the North and
South, but, also, subsequent to its close. In 1875 I had to undertake
another mission of responsibility to the United States. And, last year,
I traversed the Dominion of Canada from Belle Isle to the Pacific. I
returned home by San Francisco and the Union Pacific Railways to
Chicago; and by Montreal to New York. Thence to Liverpool, in that
unsurpassed steamer, the "Etruria," of the grand old Cunard line. I
ended my visits to America, as I began them, as a tourist. This passage
was my thirtieth crossing of the Atlantic Ocean.

Within the period from 1851 to 1886, history on the North American
Continent has been a wonderful romance. Never in the older stories of
the world's growth, have momentous changes been effected, and,
apparently, consolidated, in so short a time, or in such rapid
succession.

Regarding the United States, the slavery of four millions of the negro
race is abolished for ever, and the black men vote for Presidents. A
great struggle for empire - fought on gigantic measure - has been won for
liberty and union. Turning to Canada, the British half of the Continent
has been moulded into one great unity, and faggotted together, without
the shedding of one drop of brothers' blood - and in so tame and quiet a
way, that the great silent forces of Nature have to be cited, to find a
parallel.

In this period, the American Continent has been spanned by three main
routes of iron-road, uniting the Atlantic and Pacific Oceans: and one
of these main routes passes exclusively through British territory - the
Dominion of Canada. The problem of a "North-west Passage" has been
solved in a new and better way. It is no longer a question of threading
dark and dismal seas within the limits of Arctic ice and snow, doubtful
to find, and impossible, if found, to navigate. Now, the two oceans are
reached by land, and a fortnight suffices for the conveyance of our
people from London or Liverpool to or from the great Pacific, on the
way to the great East.

Anyone who reads what follows will learn that I am an Imperialist - that
I hate little-Englandism. That, so far as my puny forces would go, I
struggled for the union of the Canadian Provinces, in order that they
might be retained under the sway of the best form of government - a
limited monarchy, and under the best government of that form - the
beneficent rule of our Queen Victoria. I like to say our Queen: for no
sovereign ever identified herself in heart and feeling, in anxiety and
personal sacrifice, with a free and grateful people more thoroughly
than she has done, all along.

In this period of thirty-six years the British American Provinces have
been, more than once, on the slide. The abolition of the old Colonial
policy of trade was a great wrench. The cold, neglectful, contemptuous
treatment of Colonies in general, and of Canada in particular, by the
doctrinaire Whigs and Benthamite-Radicals, and by Tories of the
Adderley school, had, up to recent periods, become a painful strain.
Denuding Canada of the Imperial red-coat disgusted very many. And the
constant whispering, at the door of Canada, by United States
influences, combined with the expenditure of United States money on
Nova Scotian and other Canadian elections, must be looked to, and
stopped, to prevent a slide in the direction of Washington.

On the other hand, the statesmanlike action of Sir Edward Bulwer
Lytton, Colonial Minister in 1859, in erecting British Columbia into a
Crown Colony, was a break-water against the fell waves of annexation.
The decided language of Her Majesty's speech in proroguing Parliament
at the end of 1859 was a manifesto of decided encouragement to all
loyal people on the American Continent: and, followed as it was by the
visit - I might say the triumphal progress - of the Prince of Wales,
accompanied by the Colonial Minister, the great Duke of Newcastle,
through Canada, in 1860, the loyal idea began to germinate once more.
Loyal subjects began to think that no spot of earth over which the
British flag had once floated would ever, again, be given up - without a
fight for it. Canada for England, and England for Canada!

But, what will our Government at home do with the new "North-west
Passage" through Canada? The future of Canada depends upon the
decision. What will the decision be? How soon will it be given?

Is this great work, the Canadian Pacific Railway, to be left as a
monument, at once, of Canada's loyalty and foresight, and of Canada's
betrayal: or is it to be made the new land-route to our Eastern and
Australian Empire? If it is to be shunted, then the explorations of the
last three hundred years have been in vain. The dreams of some of the
greatest statesmen of past times are reduced to dreams, and nothing
more. The strength given by this glorious self-contained route, from
the old country to all the new countries, is wasted. On the other hand,
if those who now govern inherit the great traditions of the past; if
they believe in Empire; if they are statesmen - then, a line of Military
Posts, of strength and magnitude, beginning at Halifax on the Atlantic,
and ending at the Pacific, will give power to the Dominion, and,
wherever the red-coat appears, confidence in the old brave country will
be restored.

Then the soldier, his arms and our armaments, will have their
periodical passages backwards and forwards through the Dominion. Mails
for the East, for Australia, and beyond, will pass that way; and the
subject of every part of the Empire will, as he passes, feel that he is
treading the sacred soil of real liberty and progress.

Which is it to be?

Some years ago, Sir John A. Macdonald said, "I hope to live to see the
day - and if I do not, that my son may be spared, to see Canada the
right arm of England. To see Canada a powerful auxiliary of the Empire,
not, as now, a source of anxiety, and a source of danger."

Does Her Majesty's Government echo this aspiration?

Thinking people will recognize that the United States become, year by
year, less English and more Cosmopolitan; less conservative and more
socialist; less peaceful and more aggressive. Twice within ten years
the Presidential elections have pushed the Republic to the very brink
of civil war. But for the forbearance of Mr. Tilden and the Democrats,
on one occasion; and the caution of leading Republicans when President
Cleveland was chosen, disturbance must have happened.

We have yet to see whether Provincial Government may not, in the
Dominion, lead towards Separation, rather than towards Union. While one
Custom-house and one general Government is aiding Union, the Province
of Quebec accentuates all that is French; the Province of Ontario
accentuates all that is British: the problem, here, is how, gradually,
to weaken sectional, and how gradually to strengthen Union, ideas.
State rights led to a civil war in the United States: Provincial
Government fifty years hence may lead to conflicts in Canada.

In the United States there was no solution but war. Surely in Canada we
can apply the safety valve of augmenting British aid and influence. Why
not try the re-introduction of the red-coat of the Queen's soldier
- that soldier to be enlisted and officered, let us hope in the early
future, from every portion of the Queen's Dominions - as of the one
Imperial army; - an Imperial army paid for by the whole Empire.




CONTENTS.


CHAPTER I.
PRELIMINARY - ONE REASON WHY I WENT TO THE PACIFIC

CHAPTER II.
TOWARDS THE PACIFIC - LIVERPOOL TO QUEBEC

CHAPTER III.
TO THE PACIFIC - MONTREAL TO PORT MOODY

CHAPTER IV.
CANADIAN PACIFIC RAILWAYS

CHAPTER V.
A BRITISH RAILWAY FROM THE ATLANTIC TO THE PACIFIC

CHAPTER VI.
PORT MOODY - VICTORIA - SAN FRANCISCO TO CHICAGO.

CHAPTER VII.
NEGOCIATIONS AS TO THE INTERCOLONIAL RAILWAY: AND NORTH-WEST
TRANSIT AND TELEGRAPH, 1861 TO 1864.

CHAPTER VIII.
NEGOCIATIONS FOR PURCHASE OF THE HUDSON'S BAY PROPERTY


CHAPTER IX.
THE RIGHT HONORABLE EDWARD ELLICE, M.P.

CHAPTER X.
THE SELECT COMMITTEE, ON HUDSON'S BAY AFFAIRS, OF 1857

CHAPTER XI.
RE-ORGANIZATION OF HUDSON'S BAY COMPANY

CHAPTER XII.
THE HUDSON'S BAY COMPANY AND THE SELECT COMMITTEE OF 1748-
9

CHAPTER XIII.
THE HUDSON'S BAY POSTS - TO-DAY.

CHAPTER XIV.
"UNCERTAIN SOUNDS"

CHAPTER XV.
"GOVERNOR DALLAS"

CHAPTER XVI.
THE HONORABLE THOMAS D'ARCY McGEE

CHAPTER XVII.
1851 - FIRST VISIT TO AMERICA: A REASON FOR IT.

CHAPTER XVIII.
THE RECIPROCITY TREATY WITH THE UNITED STATES.

CHAPTER XIX.
THE DEFENCES OF CANADA.

CHAPTER XX.
INTENDED ROUTE FOR A PACIFIC RAILWAY IN 1863.

CHAPTER XXI.
LETTERS PROM SIR GEORGE E. CARTIER - QUESTION OF HONORS


CHAPTER XXII.
DISRAELI-BEACONSFIELD

CHAPTER XXIII.
VISITS TO QUEBEC AND PORTLAND: AND LETTERS HOME CANADA AND THE
NORTH ATLANTIC COUNTRY.




CHAPTER I.

_Preliminary - One Reason why I went to the
Pacific._


A quarter of a century ago, charged with the temporary oversight of the
then great Railway of Canada, I first made the acquaintance of Mr.
Tilley, Prime Minister of the Province of New Brunswick, whom I met in
a plain little room, more plainly furnished, at Frederickton, in New
Brunswick. My business was to ask his co-operation in carrying out the
physical union of Nova Scotia, New Brunswick, and through them Prince
Edward Island and Newfoundland, with Canada by means of what has since
been called the "Intercolonial" Railway. That Railway, projected half a
century ago, was part of the great scheme of 1851, - of which the Grand
Trunk system from Portland, on the Atlantic, to Richmond; and from
Riviere du Loup, by Quebec and Richmond, to Montreal, and then on to
Kingston, Toronto, Sarnia, and Detroit - had been completed and opened
when I, thus, visited Canada, as Commissioner, in the autumn of 1861. I
found Mr. Tilley fully alive to the initial importance of the
construction of this arterial Railway - initial, in the sense that,
without it, discussions in reference to the fiscal, or the political,
federation, or the absolute union, under one Parliament, of all the
Provinces was vain. I found, also, that Mr. Tilley had, ardently,
embraced the great idea - to be realized some day, distant though that
day might be - of a great British nation, planted, for ever, under the
Crown, and extending from the Atlantic to the Pacific.

Certainly, in 1861, this great idea seemed like a mere dream of the
uncertain future. Blocked by wide stretches of half-explored country:
dependent upon approaches through United States' territory: each
Province enforcing its separate, and differing, tariffs, the one
against the other, and others, through its separate Custom House; it
was not matter of surprise to find a growing gravitation towards the
United States, based, alike, on augmenting trade and augmenting
prejudices.

Amongst party politicians at home, there was, at this time, of 1861,
little adhesion to the idea of a Colonial Empire; and the reader has
only to read the reference, made later on, to a published letter of Sir
Charles Adderley to Mr. Disraeli in 1862, to see how the pulse of some
of the Conservative party was then beating.

There was, however, one bright gleam of hope. That was to be found in
the, still remembered, effects of the visit of the Prince of Wales,
accompanied by the Duke of Newcastle, to Canada, and the United States,
in 1860.

Entertaining, with no small enthusiasm, and in common, these views of
an Anglo-American Empire, Mr. Tilley and I were of the same opinion as
to practical modes. We must go "step by step," and the Intercolonial
Railway was the first step in the march before us.

In the following pages will be found some record of what followed.
Suffice it here to say, that the Railway is made, not on the route I
advocated: but it is in course of improvement, so that the shortest
iron road from the great harbour of Halifax, in Nova Scotia, to the
Pacific may be secured. The vast western country, bigger than Russia in
Europe, more or less possessed and ruled over, since the days of Prince
Rupert, the first governor, by the "Merchant Adventurers of England
trading to Hudson's Bay," has been annexed to Canada, and one country,
under one Parliament, is bounded by the two great oceans; and, as a
consequence, the "Canadian Pacific Railway" has been made and opened
for the commerce of the world.

Mr. Tilley, now Sir Leonard Tilley, is, at the moment, Lieutenant-
Governor of New Brunswick, having previously filled the highest offices
in the Government of the "Dominion of Canada;" and he has not forgotten
the vow he and I exchanged some while after our first acquaintance.
That vow was, that we neither of us would die, if we could help it,
"until we had looked upon the waters of the Pacific from the windows of
a British railway carriage." The Canadian Pacific Railway is completed,
completed by the indomitable perseverance of Sir George Stephen, Mr.
Van Horne, and their colleagues - sustained as they have been,
throughout, by the far-sighted policy and liberal subsidies, granted
ungrudgingly, by the Dominion Parliament, under the advice of Sir John
A. Macdonald, the Premier. I have, in the past year, fulfilled my vow,
by traversing the Canadian Continent from Quebec to Port Moody,
Vancouver City, and Victoria, Vancouver's Island, over the 3,100 miles
of Railway possessed by the Canadian Pacific Company, and have "looked
upon the waters of the Pacific from the windows of a British railway
carriage."

My impressions of this grand work will be found in future chapters.

"The Dominion of Canada" now includes the various Provinces of North
America, formerly known as Upper and Lower Canada, New Brunswick, Nova
Scotia, Prince Edward Island, British Columbia, Vancouver's Island, and
the extensive regions of The Hudson's Bay Company, including the new
Province of Manitoba, and the North West Territories; in fact, the
whole of British North America, except Newfoundland.

This territory stretches from the Atlantic to the Pacific Ocean, and
(including Newfoundland) is estimated to contain a total area of some
four million square miles.

As matter of mere surface, and probably of cultivable area, also, more
than half the Northern Continent of America owes allegiance to the
Crown and to Queen Victoria. So may it remain. So it will remain if we
retain the Imperial instinct. These noble provinces are confederated
into a vast dominion, with one common Law, one Custom House, and one
"House of Commons" - by a simple Act of the Imperial Parliament, the
Confederation Act of 1867, passed while Lord Beaconsfield was Prime
Minister and the Duke of Buckingham Colonial Minister. This union was
effected quietly, unostentatiously, and in peace; and (circumstances
well favouring) by the exertions, influence, and faithfulness to
Imperial traditions, of Cartier, John A. Macdonald, John Ross, Howe,
Tilley, Galt, Tupper, Van Koughnet, and other provincial statesmen, who
forced the Home Government to action and fired their brother colonists
with their own enthusiasm.

At home, all honour is due to a great Colonial Minister - the Duke of
Newcastle.

Taking up, some years ago, a tuft of grass growing at the foot of one
of the grand marble columns of the Parthenon at the Acropolis at
Athens, I found a compass mark in the footing, or foundation - a mere
scratch in the stone - made, probably, by some architect's assistant,
before the Christian era. I make no claim to more than having made a
scratch of some sort on the foundation stone of some pillar, or other,
of Confederation. And I throw together these pages with no idea of
gaining credit for services, gratuitously rendered, over a period of
years and under many difficulties, to a cause which I have always had
at heart; but with the desire to record some facts of interest which,
hereafter, may, probably, be held worthy of being interleaved in some
future history of the union of the great American provinces of the
British Empire. I have another motive also: I should wish to contribute
some information bearing upon any future account of the life of the
late Duke of Newcastle. He is dead: and, so far, no one has attempted
to write his biography. That may be reserved for another generation. He
was the Colonial Minister under whose rule and guidance the foundations
of the great measure of Confederation were, undoubtedly, laid; and to
him, more than to any minister since Lord Durham, the credit of
preserving, as I hope for ever, the rule of her Majesty, and her
successors, over the Western Continent ought to attach. For, while the
idea of an union, of more or less extent, was suggested in Lord
Durham's time - probably by Charles Buller, - and was now and then
fondled by other Governors-General, in Canada, and by Colonial
Ministers at home - the real, practical measures which led to the
creation of one country extending from the Atlantic to the Pacific were
due to the far-sighted policy and persuasive influence of the Duke. The
Duke was a statesman singularly averse to claiming credit for his own
special public services, while ever ready to attribute credit and
bestow praise on those around him.

My first interview with the Duke was in January, 1847. He was then Lord
Lincoln, and the Conservative candidate for Manchester; in disgrace
with his father. His father was the old fashioned nobleman who desired
"to do what he liked with his own," and never would rebuild Nottingham
Castle, burnt in 1832 by the Radicals. The son had cast in his lot with
Sir Robert Peel and free trade. The father was still one of the narrow-
minded class to whom reform of any kind was the spectre of "ruin to the
country." They were quite honest in the conviction that the people were
"born to be governed, and not to govern." They probably saw in the free
importation of foreign food the abrogation of rent.

In 1847 Mr. Bright was the candidate for Manchester, whom we of the old
Anti-Corn Law League supported. The interview I refer to was actuated
by our desire to avoid an undeserved opposition; Lord Lincoln retired,
however, owing mainly to other reasons, including that of the
intolerance of a body of Churchmen regarding popular education.

A long period of wretched health compelled me for several years to
consume what strength I had left in the ordinary routine of daily
business. And it was not until 1852 that any further intercourse of any
kind took place between us. In that year I published a little book
about the United States and Canada, the record of my first visit to
North America, in 1851. And, if I recollect rightly, I travelled with
the Duke in the spring of 1852, probably between Rugby and Derby, and
found him in possession of a copy of this little book, on which he had,
faute de mieux, spent half-a-crown at the book stall at Euston. He
recognised me; and it was my fault, and not his, that I saw no more of
him till 1857, by which time, no doubt, he had forgotten me. Still our
conversation in 1852 about America, and especially as to slavery, and
the probability of a separation of North and South, will always dwell
in my memory. Lord Lincoln had studied De Tocqueville; but he had not,
yet, seen America. He had, therefore, at that time many erroneous
views, which could only be corrected by the actual and personal
opportunity of seeing and measuring, on the spot, the country, which
always really means the people. This opportunity was given to him by
the visit of the Prince of Wales to Canada and the United States, in
1860. He accompanied the Prince in his capacity of Colonial Minister.

These casual glimpses of Lord Lincoln were followed by an interview
between us in 1857. In the meantime, it is true, he had had my name
brought before him during his term of office pending the Crimean War
Some one had suggested to the Government to send me out to the Crimea
to take charge of the Stores Department, at a time when all was
confusion and mess, out there, and I was asked to call on the Minister
about it. It seemed to me, however, a duty impossible of execution by a
civilian, unless the condition of "full powers" were conceded, - and the
matter came to nothing.

In 1856 I was the Manager of the Manchester, Sheffield and Lincolnshire
Railway. In that year a reckless engine, travelling between Shireoaks
and Worksop, threw out some sparks, which set fire to the underwood of
one of the Duke's plantations - for he was then Duke - and he wrote to
the Chairman of the Railway, the then Earl of Yarborough, in what
appeared to me a very haughty manner. I therefore felt bound to defend
my chief, and I took up the quarrel. In a note addressed from the
Library of the House of Commons, I asked for an interview, which was
somewhat stiffly granted. This was the note which led to our
interview: -


"CLUMBER,
"1 Decr. 1856.

"MY DEAR YARBOROUGH,

"Instead of placing the enclosed extraordinary production in the hands
of my Solicitor, I think it best, in the first instance, to send it to
you as Chairman of the M. S. & L. Railway, because I cannot believe
that either its tone or its substance can have been authorized by the
Directors.

"I am sorry to say this is not the first piece of impertinence which I
have had to complain of in reference to the damage done to my woods by
the engines of the Company, and neither Mr. Foljambe nor I have had any
encouragement to treat the matter in the amicable spirit which we were
anxious to evince.

"The demands now made by the aggressors upon the party aggrieved is
simply preposterous, and, of course, will be treated as it deserves. We
shall next have the Company, or rather, as I hope and believe, the
Company's Solicitors, demanding us to cut all our corn within 100 yards
of the line before it becomes ripe, and consequently inflammable.

"Your Solicitor knows perfectly well that the Company is by law liable
for damage done to woods; and, moreover, that such damage is
preventible by proper care on the part of its servants.

"I think the Directors ought to order their Solicitor to write to me
and others, to whom so impertinent a letter has been addressed, and beg
to withdraw it, with an apology for having sent it.

"I am sorry to trouble you with this matter, because I feel that you
ought not to be troubled with business in your present state of health;
but as you are still the Chairman, I could not with propriety write to
any other person.

"I am, my dear Yarborough,
"Yours very sincerely,
"NEWCASTLE.



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