(Enclosure 1 in No. 2.)
EXTRACT FROM A REPORT OF A COMMITTEE OF THE HONOURABLE THE PRIVY COUNCIL,
APPROVED BY HIS EXCELLENCY ON THE 10TH MARCH, 1903.
The Committee of the Privy Council have had under consideration a despatch, dated 18th. December, 1902, from the Lieutenant Governor of the Province of Quebec, submitting a Report by the Minister of Lands, Mines and Fisheries of the Province of Quebec setting out that the Government of the Colony of Newfoundland has issued certain licenses to cut timber to The Grand River Pulp and Lumber Co., Limited, upon both sides of the Hamilton River, and asking that the necessary steps be taken to prevent any encroachment by the Government of Newfoundland upon the territory of the Province of Quebec.
The Minister of Justice, to whom the said despatch was referred, reports that an examination of the Statute shows that by an Act passed in the year 1774 (14 Geo. III, Chap. 83, Sec. 1) the whole of Labrador including the present Newfoundland Labrador was restored to the then Province of Quebec. By the Act of 1809 (49 Geo. III, Chap. 27, Sec. 14) the coast of Labrador from the River St. John to Hudson's Straits, with the Island of Anticosti and all other smaller islands annexed to the Government of Newfoundland by the proclamation of the 7th. October, 1763, except the Islands of Magdalen, were separated from Lower Canada and were re-annexed to Newfoundland. By the Act of 1825, (6 Geo. IV, Chap. 59, Sec. 9) so much of the coast of Labrador as lies westward of a line drawn due north and south from the bay or harbour of Anse Sablon inclusive as far as the 52 degree of north latitude, with the Island of Anticosti and all other islands adjacent to such part as last aforesaid of the coast of Labrador, was re-annexed to the Province of Lower Canada. It is thus evident that even on an interpretation of the legislation most favourable to the Colony of Newfoundland nothing can be included within the Newfoundland Labrador but coast and islands; and, he, the Minister, is of opinion that "Coast" cannot be possibly so interpreted as to include the territory through which the Hamilton River flows, hundreds of miles from the ocean.
The Committee, concurring in the said Report, advise that the Governor General be moved to forward a copy of this Minute to the Right Honourable the Secretary of State for the Colonies with a view to the cancellation of the timber licenses issued by the Government of Newfoundland.
All which is respectfully submitted for approval.
JOHN J. McGEE,
Clerk to the Privy Council.
The Minister of Justice.