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 English territory. Mi. Ovden, who was in charge of the expedition suid in a letter of June 2. bead. to the Governor of the Russian Territory:

My tistractions from the Governor of the Honorable Hudsais Bay Co., residing In Columbia River, are te trade and fon aiestablishinent ten marine leagues inland, in aecondance with ebuse 2nd, art. 4 of Convention entered into between Great Britain and Russia, &c.

The Hudson's Bay Company had the privilege, ander the Treaty, of trading in all that country for ten vears, wal its representatives certiinly Knew then. as well as it is known now, that there were ionntiuins alone the Stikine River nearer the sen than ten marine lenwues. They understood, as everybody else had unilerstood, that the mountains referred to in the Treaty, were not those mountiins. They assomed that they were ten lengues or more from the coust, ard 20 proposed to make their establishinent ten marine leiues from the coast. If they had believed that the mountains referred to in the Treaty, were those neurest the seu. then they never would have said that they were voing to “form an establishment ten marine leagues inhind in accordance with clutse Zod art, + of Convention”.

Mr. Owden had. during the year 1835, gone up the Stikine River and fad selected the spot where the post wits to be established.

The Russinn representatives, acting fron: motives with which we are not concerned, prevented the vessel from entering the river. On necount of this auction the British Government demanded of the Rus- sian Government indemnity on beludf of the Tudsou’s Bay Company. The occasion For this demand was a letter from Pelly, Deputy Gov- ernor of the Lludson’s Bay Compnny, addressed to the representative of Great Britain. in which he stated that. the object of the expedition was, “to form a trading establishment within the British Territories at a distance from the ovean exceeding ten marine leagues.”

Lord Durham, in a communication of Dec. 11, 1835, to Connt Nesscl- rode, inuking clatin for danimees, refers to the letter of the Governer of the Hudson’ Bay Company. and the complaint that the Rossian Authorities on the N, W. Coust of Atueriea buye interfered with an expedition fitted out under the direction of that Co. for the pnrpose of forming a settlement ten les mites up the Stikine River.” He fur-