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The owners or parties interested in them are under the impression that they can go with these steamers, with or without cargoes, from any port in this Province up the Stikeen River through our Territory to British Columbia, without at any time entering or clearing, calling or reporting either at Sitka or Fort Wrangel.

They claim that by the late Treaty of Washington this privilege is conceded to them; I am myself altogether of a contrary opinion.

You would oblige me very much by informing me, by return mail, what are the laws or regulations in force which govern such cases at the present time, and whether our Government has adopted any new regulations under which the subjects of Great Britain have the free use of said river for purposes of commerce and free navigation. As to late regulations adopted by the Custom House authorities here, and having reference to the importation of foreign merchandize intended for the mines at Dease Lake, I have to refer you to my letter of the 16th instant, and to the notice of the Collector at Victoria.

I am, &c.,

D. ECKSTEIN, United States Consul.

W. CHAPMAN, Esq., Collector, Sitka, Alaska.

The Earl of Dufferin to Her Majesty's Chargé d'Affaires. No. 30.]

OTTAWA, 20th July, 1874. SIR: With reference to Sir E. Thornton's despatch, No. 15, of the 5th of May last, I have the honor to enclose, for the information of the Secretary of the Treasury of the United States, copy of a Report of Council, and a Report from the Customs Department on the subject of the collection of duties on goods entering British Columbia via the Stikine River.

I have, &c.,

R. G. WATSON, Esq.,

Charge d'Affaires, Washington.

DUFFERIN

[Enclosure.]

Copy of a Report of a Committee of the Honorable the Privy Council, approved by His Excellency the Governor General in Council on the 18th July, 1874.

The Committee of the Privy Council have had under consideration the despatch dated 5th May, 1874, and accompanying correspondence from Her Majesty's Minister at Washington, having reference to a notice issued by the Collector of Customs at Victoria, B. C., whereby goods destined for Dease's Lake, via the Stikine River, are required to pay duties at Victoria or Esquimalt, and to the inconvenience to which American vessels would be thereby subjected.

They have also laid before them the annexed Report, dated 4th June, 1874, from the Hon. the Minister of Customs, to whom the above despatch and correspondence were referred, and they respectfully submit their concurrence in the said Report, and advise that it be communicated by Your Excellency to Sir Edward Thornton. Certified.

[Enclosure.]

W. A. HIMSWORTH,
Clerk, Privy Council.

CUSTOMS DEPARTMENT, Ottawa, 4th June, 1874.

The undersigned Minister of Customs has the honor to submit for the consideration of His Excellency the Governor General in Council, the following memoranda on the subject of the accompanying correspondence respecting navigation of the Stikine River, and the collection of the revenue in the adjacent territory, referred by His Lordship to the Hon. the Privy Council, and by that body referred to the undersigned, and as the despatch of the Acting-Secretary of the Treasury, of 25th

April last, addressed to the Hon. Hamilton Fish, contains a clear statement of the substance of the whole correspondence, he begs leave to remark thereupon:

The Acting-Secretary of the Treasury says: "It will be observed that the Collector of Customs at Victoria, B. C., has given notice to the effect that all foreign goods destined for the mines at Dease Lake, B. C., via the Stikine River, must be entered for payment of duties at some port in British Columbia, the ports of Victoria and Esquimalt being particularly mentioned," and remarks thereupon "that, the effect of such regulation will be to require goods shipped from ports in the United States to British Columbia, by the route proposed, to be turned aside from their usual route and carried to some Canadian port in the south-western portion of British Columbia, for payment of duties to the Canadian Government as preliminary to their shipment through the territory of the United States by way of the Stikine River, &c., &c.," and from these premises the Acting-Secretary proceeds to argue that certain onerous requirements are imposed upon the trade of the United States in connection with the trade on the Stikine River, which will not affect the domestic commerce of the Dominion.

To this the undersigned begs to reply that the notice of the Collector applies equally to all vessels, whether Canadian or foreign, sailing from any port other than those named, and was only intended to secure the due collection of the Dominion revenue pending the establishment of a port of entry at some convenient point on the Stikine River, and a perusal of the order of the Collector will be sufficient to show that it applies equally to British or Canadian vessels having dutiable goods on board for the territory named, as to those of the United States.

The Acting-Secretary further raises the question, whether this order of the Collector of Victoria, in its effects, "does not work a discrimination against American commerce in contravention of the provisions of the Treaty of Washington, thereby, in practical effect, depriving the United States of all the benefits supposed to have been acquired under the Treaty of Washington as regards the free navigation of said river." It may be admitted that vessels plying between the Port of Wrangel and the upper waters of the Stikine River would be placed at a disadvantage if obliged to proceed first to Victoria or Esquimalt, but the following extract of a letter from the Collector at Victoria, will show that means have already been taken to prevent the possibility of any such inconvenience.

The collector writes under date, 22nd April, last. "By the steamer, yesterday, I sent Mr. Hunter (who has been employed at Esquimalt) to Fort Wrangel, with directions to make the best of his way to the boundary as soon as the river is open and boats begin to run, which will probably be in about a week or ten days after his arrival at Wrangel.

"I have told him if people are willing to pay their duties at Wrangel, on goods intended for the mines, to collect them there, otherwise to take account of them as well as he may be able, and to collect the duties when the goods pass up the river." The undersigned has the honor in conclusion to state, that as soon as a report expected from the gentleman, sent to the boundary by the Collector of Victoria, pointing out the proper locality for a Customs establishment on the Stikine River, is received, a port of entry will be organized and all necessary facilities afforded for the purpose of commerce in that region.

Mr. Watson, Chargé, to Mr. Fish.

ISAAC BURPEE.

NEWPORT, R. I., July 30, 1874. SIR: In reply to your note addressed to Sir E. Thornton, of May 2nd last, I have the honour to transmit to you, herewith, and to request you to be so good as to forward to the Secretary of the Treasury, copies of a Report of the Council of Canada and of a Report from the Canadian Customs Department respectively on the subject of the Collection of Duties on goods entering British Columbia via the Stikine River. I am requested by the Governor General of Canada to communicate these reports to the Government of the United States.

I have the honour to be, with the highest consideration, Sir, Your obedient servant, R. G. WATSON.

Hon. HAMILTON FISH, Etc., etc., etc.

Mr. Fish to Mr. Watson, Chargé.

DEPARTMENT OF STATE, Washington, 18th August, 1874.

SIR: Referring to your communication of the 30th ultimo, in relation to the complaint which reached this Department through the Secretary of the Treasury, and which formed the subject of my note of the 2nd May last, I have the honor to transmit a copy of a letter of the 12th instant from the Secretary of the Treasury, and of the petition which accompanied it, from which it appears that the impediment to American trade with British Columbia, by way of the Stikine River has not been removed by the location of a British customs officer at the boundary line between the two countries on that river; as he requires that all goods intended to be introduced within the British. jurisdiction there shall first be cleared at Victoria.

This Department was encouraged by the statements contained in the Report of the Customs Department, and approved in the Report of the Council of Canada, copy of which accompanied your note of the 30th ultimo, to believe that this state of things would end with the location of a British customs officer on the Stikine, who would be authorized to collect the duties on the spot without the inconvenient and burdensome conditions complained of; and it is hoped that steps may be taken which will secure that result at the earliest practical period.

I have, &c.,

R. G. WATSON, Esq., &c., &c., &c.

HAMILTON FISH.

[Enclosure.]

The Treasury Department to Mr. Fish.

TREASURY DEPARTMENT, Washington, D. C., 12th August, 1874.

SIR: I have the honor to transmit herewith, for such action as you may deem proper, a petition from certain citizens of the United States, doing business at Wrangel, Alaska, in which they complain of the action of the Canadian officer of the Customs, stationed on the boundary line at Stikine River, in preventing them from taking goods into British Territory, unless such goods have been previously cleared at the Port of Victoria, in British Columbia.

I am, &c.,

The Hon. HAMILTON FISH, &c., &c., &c.

B. H. BRISTOW,

Secretary.

We the undersigned citizens of the United States, doing business at Fort Wrangel, Alaska, feeling ourselves aggrieved at the action of the Canadian authorities at the boundary line on the Stickine River, respectfully set forth the following facts:— Wrangell is located near the mouth of the above named stream, and is the point that all goods destined for the upper Stickine River are transshipped, and where the United States Government (to facilitate trade and accomodate persons of all nations, who might wish to navigate or do business on said river, eighty miles of which is in the Territory of Alaska,) have established a Custom House under the charge of a Deputy Collector, and have at all proper times cleared vessels and goods belonging to citizens of Canada and others.

On the other hand, the Dominion or Canadian Government has placed an Inspec tor of Customs at the boundary line on said river, and actually refuse to pass any

goods unless they are first cleared at the Port of Victoria (a distance of 700 miles from this point), and have seized and now keep in their possession valuable and perishable goods belonging to merchants of this place, the most valuable of which were purchased prior to May 1st, 1874, and before any order on the subject of the Customs were promulgated at the Port of Victoria.

These grievances have been borne by us heretofore with great patience, as we have been told from time to time that they would soon be remedied as soon as orders could come from the Canadian Government at Ottawa, &c. The time has now arrived when we can no longer keep quiet; justice to our country and to ourselves compel us to speak and respectfully ask of you, whom we conceive to be the proper person, to lay the matter before our Government.

Respectfully,

WILLIAM KING LEAR, Merchant.
BEN. COLES, Merchant.
B. BERNSTEIN, Merchant.
G. DAVIDSON, Merchant.
L. H. OUIMETTE, Merchant.
CHARLES BROWN, Merchant.
SEM. GOLDEZON, Merchant.
BARNETT W. PYLE, Merchant.
JOHN C. CURRY, Merchant.
DAVID MARTIN, Merchant.

Mr. Watson to Acting Secretary of State.

WASHINGTON, September 29, 1874. SIR: I have been requested by His Excellency the Earl of Dufferin to forward for your information, copy of a minute of Council, from which it will be perceived that instructions have been given to the Collector of Customs at the Boundary Line on the Stikine River, with the view of meeting the complaints preferred by American Citizens respecting the entry of Foreign goods at that place.

In compliance with the Earl of Dufferin's request, I have the honour to enclose to you herewith copy of this report.

I have the honour to be, with the highest consideration, Sir, your obedient servant,

R. G. WATSON.

The Honorable JOHN L. CADWALADER, etc., etc., etc.

[Enclosure.]

Copy of a Report of a Committee of the Honorable the Privy Council, approved by Excellency the Governor General in Council on the 22nd September, 1874.

On a communication from Mr. R. G. Watson, Her Majesty's Charge d'Affaires at Washington, with enclosures, referring to the question of the collection of Canadian Customs duties at the boundary line on the Stikeen River, British Columbia;

The Hon. the Minister of Customs, to whom this communication with enclosures has been referred, reports that the difficulties complained of in the memorial of certain citizens of the United States, doing business at Fort Wrangel no longer exist, instructions having been sent on the 1st August last by telegraph to the Collector of Customs at Victoria, British Columbia, to authorize the officer of Customs stationed at the said boundary, to permit the importation of foreign goods and accept the Canadian Customs duties in the usual manner, and the said Collector at Victoria has advised the Department that the instructions had been immediately forwarded as directed.

The Committee advise that a copy of this minute be transmitted to Mr. Watson for the information of the Government of the United States. Certified.

W. A. HIMSWORTH,

Clerk, Privy Council.

Mr. Bristow to Mr. Fish.

TREASURY Department, Washington, D. C., September 13, 1875.

Hon. HAMILTON FISH, Secretary of State.

SIR: I have the honor to transmit herewith, for your information, a copy of each of two letters, dated the 21st ultimo, received at this Department from the Collector of Customs at Sitka, Alaska, in which that officer reports the surveying by British authorities, of a site for a town believed to be located on territory belonging to this country. I have the honor to be, Sir, your obedient servant,

B. H. BRISTOW, Secretary.

[Enclosure.]

CUSTOM HOUSE, SITKA, ALASKA,
Collector's Office, August 21, 1875.

Hon. B. H. BRISTOW,

Secretary of the Treasury, Washington, D. C.

66

SIR: It becomes my duty to inform you that citizens of British Columbia have surveyed and laid a town five or six miles down below Boundary post, at the place known as Big Bend"-where the English Custom House is, on the Stickine River. They have applied to the board of Land and Works of British Columbia for a Charter and assignment of the land. The general belief is that the town is established on American territory.

The unexpected and sudden development of the unexcelled richness of the Cassiar Mining district, with the desire of the Hudson Bay traders and other speculators to get near tide water is partially the cause of this infringement of the supposed Boundary line. Another reason I might add is the apparent indifference regarding the settlement of Boundary question between Alaska and British Columbia evinced by the last past Congress.

I am, Sir, very respectfully, Your obt. sert.,

[Enclosure.]

M. P. BERRY, Collector.

Hon. B. H. BRISTOW,

CUSTOM HOUSE, SITKA, ALASKA,
Collector's Office, August 21, 1875.

Secretary of the Treasury, Washington, D. C. SIR: I have the honor to lay before you the following report:-Took passage on the Mail Steamer July 14th for Port Wrangell remaining there until the 20th inst.-Met the Revenue Steamer Oliver Wolcott by appointment on the 15th of July and dispatched it on further cruise without delay. Assistant Inspector Dennis with his office work,— went up the Stickine River to the British Custom House. During my interview with the Deputy Collector of Customs for Canada,--He gave it as his opinion that the new town-surveyed at Big Bend on the River was in American territory. Met a Choquette, trader, known as Buck, of Bucks Bar,-stated that he was with Engineer Leach when he established the line for the Russian and Hudson Bay Company:that the thirty miles was at or near the Hot Springs, opposite the great Glacier-that the English Custom House was in Alaska.

Had an interview with Judge Sullivan-the Gold Commissioner for Cassiar, who, provided I understood him-had been called to view and declare the town site eligi ble, or not. Told him that according to Wright's map-they were establishing a town in American territory. He held a different opinion and enquired if I was authorized to stop the survey.-My reply was that no such authority was delegated to me by my Government, but that I should report the fact to the Hon. Secretary of the Treasury. Interviewed Mr. McKay,-Hudson Bay Factor, on the same subject. He gave it as his opinion that the town was located some distance from the line on British territory. All interested American Merchants hold a reverse opinion.

The owner of the English River Steamer "Gertrude" and "Glenora" will build two

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