to the Association, and to the landed proprietors in Canada, from its operations, and the settlement and culture of the lands which it shall acquire by such acquisition, the Board, acting upon your recommendation, wish that the purchase-money, in all such cases, should be met by shares in the capital stock of the Association.

"It is essential that I should direct your attention to one point, which has had the most careful consideration at the Board-the legal means by which the interests of the shareholders are protected, and by which their liability is limited. These particulars have been matured. By the Articles of Agreement upon which the Association has been founded, express provision is made, that the liability of every shareholder shall be limited to the amount of his subscription, and that every agreement or other contract entered into on behalf of the Association shall contain a clause recognizing the principle and restricting the liability. Upon reference to the copy of the Articles of Agreement accompanying these instructions, you will find the protective provisoes alluded to. This instrument regulates the incipient stages of the Association; and in order to act upon it to the letter, all the contracts and agreements are made in the names of three of the Commissioners, who thereby become liable as individuals, but who spread the advantages of each contract over the Association, and give the benefit of all purchases to the general body, by executing declarations of trust, in which they declare that they hold the properties vested in them upon trust for themselves, and for all other the shareholders in the capital stock of the Association, according to their respective shares, rights, and interests therein.

"It has been determined to apply for a Charter of Incorporation in the ensuing session of Parliament, for which the formal notices have been given, and the terms of which will be settled during the recess; consequently, every apprehension as to liability, all fear as to responsibility (if any could be entertained,) will be removed.

"I have entered into the preceding explanation that you may be guided in your purchases from individuals, (the nego

tiation with the Canadian Government stands upon a different ground,) by two principles: one for the immediate acquirement of land, when the agreement for the purchase shall be finally arranged, upon the delivery of the amount of the purhase money in paid-up shares in the capital stock, against the execution of the conveyance and the possession of the estate; the other by your entering into agreements for the purchase of properties by payments in shares in the capital stock, conditioned upon a charter being granted, either by the Colonial Legislature, or by Her Majesty, under the authority of an act of the Imperial Parliament.

"There is, however, one point of absorbing interest, in which your eminent position, as an influential member of the Colonial Legislature, is calculated to strengthen and sustain the Association, to connect it closely with Canadian interests, and make it that which the Commissioners especially desire it should become, one of the great links by which British connexion shall be strengthened and secured, and by which Canada shall form, that which it ought ever to be considered, an important portion of a great Empire, united under one common Sovereign, governing for the benefit of all.

"I have already intimated the intention of the Board to apply to the Imperial Parliament in the ensuing session for an act to incorporate the Association. These acts are commonly passed as of course, subject to the approbation of the Minister of the Crown as to the powers to be conferred. But it is desired, in this instance, not to rest satisfied with the ordinary means by which such legal sanctions are generally procured: it is anxiously wished that this Association should be identified with Canada; that it should be essentially Canadian, without derogating from the value of its connexion with the mother country, or with its British origin and management; and with these views you are requested to obtain the recognition of the Association by the Canadian Legislature, either by an express legislative enactment embodying the powers and authorities of a charter, or by an address from the Legislative Assembly to Her Majesty, expressive of the importance of the Association,

and of the prosecution of its objects to the Colony, and of the extent to which they will tend to promote the general prosperity of Canada; or in such other manner as, upon conference with the local authorities there, and with your colleagues in the Legislative Assembly, you shall find most conducive to the end desired to be attained.

"In conclusion, I have to inform you that the Commis. sioners attach due importance to a colonial charter, and have instructed me to prepare the requisite data to enable you to apply for one, and to facilitate and relieve your labours by corresponding with Mr. Boulton on legal points connected with the application which may require your especial consideration."

After encountering a very stormy passage, I landed at Havre on the 14th of November, and on reaching Paris, which I took this opportunity of visiting, I discovered to my inexpressible mortification and regret, that the Association which I had left in such flourishing circumstances had been deprived of the assistance of the Duke of Argyll, and was then beset with difficulties, and encountering the most vehement denunciations of the public press. On the 7th of December, I attended a meeting of the Consulting Council, presided over by the Hon. Sir J. C. Meredith, Bart., in order to demand a Committee of Inquiry to investigate the extraordinary charges which had been preferred, during my absence, against the Association; on that occasion I addressed the Council, and extract the following portions of my appeal to it :—

"On my return to England, a few days since, I was deeply mortified on learning that this Association, which had commenced so auspiciously, had been so nobly sustained, and which promised such beneficial results, both to the North American provinces and the United Kingdom, had been subject to the severe animadversions of the public press. I had read, with the greatest care and attention, all the attacks which had been made upon it, and all the charges preferred against it, and my mind had been materially relieved in finding them of a vague and indefinite character. But, notwithstanding the feeling

wich existed in my own mind, as to the honour and merity of the gentlemen entrusted with the management of the Association, yet, considering that I was absent from the kingdom during the wildle period when these transactions scammed and from the peculiar relation in which I stood Canada. I felt that it was essential to the character of this Association and to its future efficiency, that a Committee of Inquiry should at once be instituted, composed of persons of acknowledged worth and respectability, who should fully investigate this mamer, and after having made the most searching, rigid, and scrutinising inquiry, report whether the allegations were well founded or otherwise. Until such report was made I felt i Bambent to stand aloof, nothing doubting but that the report, wien made, would furnish me an opportunity, which I desired, of demonstrating the vast advantages which would result from a jodicious and well-conducted system of Colonization. Whilst, from a combination of adverse circumstances,-all. I hoped. fully capable of explanation and vindication,-the Association had suf fered severely in public opinion here, it was with great pleasure I assured the meeting that on the other side of the Atlantic the people were most anxious to accord their warmest support, and waited with ardent anxiety to see it in successful operation. Before quitting the subject, I would take the first opportunity afforded me by this meeting of very briedy alluding to the Emigration to Canada of the present year. By the route of the St. Lawrence alone, nearly 45,000 British Emigrants had proceeded to Canada; whilst by the United States, and from the United States, of such British settlers who preferred returning to their Sovereign's dominions, there had been, at the lowest computation, at least 15,000; making a total of 60,000 during the current season. Notwithstanding this large addition to the population of that rising and noble Colony,—with the exception of a little difficulty that had arisen from the too sudden influx of a large party of labourers from the United States, to work on the Welland Canal, before their services were needed; and the unfortunate and improvident addition from the Highlands of Scotland to the poor islanders from Lewis, who went to Canada

at a very late period of the season last year, in a very destitute state, and who were distributed and settled in the eastern townships, no inconvenience was felt, the Emigrants as they arrived being quickly dispersed and readily employed. The success of this year's Emigration had fully established all that I had advanced for years past, as to the wonderful adaptation of Canada for the reception of the redundant population of the British isles. As a further corroboration, I might mention that one of the district councillors, Mr. Shea, of Oshawa, in the Home district, had complained of the paucity of Emigrants in his vicinity, yet he resided in the very centre of a district that had received and retained within it 12,000 Emigrants during the present year. In the eastern section of the province, Mr. Forbes, the member for Carillon, had assured me that numbers more might have found profitable employment between Montreal and Bytown; and Major Lachlan, one of the most intelligent, enterprising, and useful British settlers in that garden of British America, the western district of Canada, had written to me to express his deep regret that not more than fifty Emigrants had reached that portion of the province, where soil, climate, and every inducement existed for occupation and settlement. Without dwelling further, at this time, on this interesting subject, I would nevertheless say, that if Emigration to Canada had been desirable before, it was indispensable now; indispensable to its agricultural improvement, its commercial advancement, its internal repose, the perpetuity of its institutions, and its continued connexion with the British Crown."

A Committee of Inquiry having been appointed, in conformity with my desire, met on the 9th of December, and continued its sittings until the 22nd. On the day following, a special meeting of the Consulting Council, of a public nature, and very numerously attended, took place in the City of London Tavern, the Hon. Sir W. Ogilvie, Bart. presiding; when the following REPORT, which had been adopted after most earnest investigation and mature deliberation, was read :