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SUBJECT OF THE ^ 
 April 17, 
 
 The Hon. H. Langevin, 
 Minister of Public \ 
 
 Sia,— 
 
 > Referring to the e 
 
 the subject of the Wind tor 
 the suggestion made by you 
 I then brought to your attei 
 
 As you are aware, I occ 
 Windsor and Annapolis B 
 composed of gentlemen of ] 
 but what is fair and right. 
 
 The capitalists, through tl 
 fion of the Railway on th( 
 which expressly enacted th 
 (Vide clause 1, Act 1864, ai 
 and with good reason, on tl 
 certainly never contemplatec 
 as the owners jf rival lines ( 
 
 In these reasonable antici 
 Govcnment have so far dec 
 
 Eowors, or the joint operatioi 
 y the concession, and by the 
 owners of a large competit 
 tended to the Pacific, which e 
 off the Company's Railway : 
 Windsor to St. John : they 
 Managing Director of anotl 
 as parallel in all respects w 
 energies of the Government 
 the crushing out of the Com 
 I submit, with great respe 
 be misled — the career they 
 , redress, is an unpleasant one 
 ' equal use of the Governmer 
 of first class steamers betwee 
 
••l ♦- 
 
 CORRESPONDENCE 
 
 ON THE 
 
 SUBJECT OF THE WmPS OR AN D ANNAPOLIS RAILWAY. 
 Ajml 17, 1871, to August 14<A, 1871. 
 
 • I' J' 
 
 Ottawa, nth April, 1871. 
 
 The Hon. H. LAVQEvrN, 
 
 Minister of Public "Works, &c., &c., &c. 
 
 Sia,— 
 
 N Referring to the conversation which I had with you uiis morning on 
 
 the subject of the Wind lor and Annapolis Railway, I venture, in obedience to 
 the suggestion made by you, to submit to you in writing the main points which 
 I then brought to your attention. 
 
 As you are aw^are, I occupy the position of Special Commissioner of the 
 Windsor and Annapolis Railway Company, which Company I may add is 
 composed of gentlemen of position, means, and character, who desire nothing 
 but what is fair and right. 
 
 The capitalists, through the Company, embarked their capital in the construc- 
 tion of the Railway on the faith of the Acts of the then Local Legidaturo, 
 which expressly enacted that it should be a Provincial Government Railway, 
 (Vide clause 1, Act 1864, and clause 3, Act 1866). They reckoned, therefore, 
 and with good reason, on the Government influence and assistance, and most 
 certainly never contemplated that the Government were to become competitors, 
 as the owners jf rival Imes of Railway. 
 
 In these reasonable anticipations the Company have been disappointed : the 
 Govcnment have so far declined to allow the Company to exercise the running 
 powers, or the joint operations to Halifax, which were expressly conferred, both 
 by the concession, and by the Local Acts : they have become the promoters and 
 owners of a large competitive system of Railways in Canada, now to be ex- 
 tended to the Pacific, which must withdraw a consiaerable amount of traffic from 
 off the Company's Railway : they have subsidized steamers from Halifax and 
 Windsor to St. John : they have appointed as their acting commissioner the 
 Managing Director of another enterprize, whose interests cannot be regarded 
 as parallel in all respects with those of the Company ; and in short the whole 
 energies of the Government are now directed to a keen competition with, and 
 the crushing out of the Company. 
 
 I submit, with great respect, that the Company have allowed themselves to 
 
 be misled — the career they have before them, if the Government refuse them 
 
 redress, is an rnpleasant one — they have no alternative but to claim a free and 
 
 ' equal use of the Government Railway into Halifax — they must put on a line 
 
 of first class steamers between Annapolis and Boston — they must endeavor to 
 
amalgamate, or to make arrangements with one or other of the great American 
 Kailways, such, for instance, as the New York Central, or the Erie, and with 
 all this prefer a claim upon the Government for tie loss which they have 
 BuiTered, and vnust still suffer, from the opposition of the Government lines. 
 
 This, I need hardly add, is not what the Company were led to expert, or 
 v'hat they desire. They believaihat if they have their rights they have a jjood 
 property ; but rather than continue in a conoem which must fight for every ton 
 of traffic, and that, too, against so powerful an adversary as the Government, 
 they would prefer much that the Government should exercise the powers of 
 purchase conierred upon them by clauses 7, 8, and 10 of the Local Act of 1865 ; 
 and they Bubmit tbat upon every principle of equity the Government are in 
 honor bound to do so. 
 
 Having come out Arom England specially to make these representations to 
 the Government, I venture to hope that I may be permitted to supplement 
 these remarks by a viva voce explanation before the Council, and that I may 
 obtain for my request a favorable consideration. 
 
 I have the honor to be, 
 Sir, 
 Your obedient servant. 
 
 (Siyned) 
 
 3. A. MANN. 
 
 SlB/- 
 
 Departmewt of Public Works, 
 
 Ottawa, April 19, 1871. 
 
 I am directed by the Minister of Public Works tp acknowledge the 
 receipt of your letter of the 17th instant, on the subject of the Windsor ^nd 
 Anjoapplis Railway, and to state that it ha ) received his best consideration. 
 
 Thic) queM^on of purchase cannow be tp/k^n up by a mere quorum of the Privy 
 CoWUj hut ^ill 1)6 Bulmiitted to a full meeting of the Cabinet as soc n as possi- 
 ble. §npiUd the Council decide upon purchiiasing, the mi.tter will of course 
 have to be laid before Parliament for approval ; but should it not so decide^ then 
 tbe question of tho " running powers referred to in your late interview with 
 the Minister and the Members of the Sub-Committee of the Privy Council, 
 l^ill be submitted to the Honorable the Minister of Justice for his opinipn and 
 advice. 
 
 I am further (greeted to assure you that the Minister will use Ms best endea- 
 70\ir9 ,tp ^y^ tjp^e i]i9&:^er settled with as little dday «s |)oesibie. 
 
 I have the honor to be, 
 Sir, 
 Your obedieat servQDt; 
 
 (Sigmd) F. PRAUN, 
 
 ^. A. Mi^m, Esq., Seeretarp. 
 
 JSjpeml 0mff*i9s?jQMr of the Wmkor a^d AmapoU^ Sa^oy,, 
 
 Nova Scotia. 
 
 A 
 
 Sir,— 
 
 ing m( 
 you, fc 
 
 As] 
 you wi 
 by lett 
 Compa 
 
 Itn 
 here; 
 
 The I 
 
 The 
 
 Pr 
 
 Sir,— 
 
 Comidi 
 Winds' 
 ter of 
 into CO 
 decisioi 
 with a 
 import 
 press it 
 of Pub 
 that th( 
 the Coi 
 ceed to 
 
merican 
 nd with 
 ley have 
 lines, 
 ipef t, or 
 e a ijood 
 very ton 
 jrnment, 
 (owers of 
 of 1866; 
 it axe in 
 
 ations to 
 )plement 
 fc I may 
 
 [ANN. 
 
 The Russell House, 
 
 Ottawa, Idth April, X871. 
 
 Sib,— 
 
 I am in receipt of a letter from Mr. Braun of this day's date, inform- 
 ing me thct you will submit the questions, which I had the honor to lay beforo 
 you, for the consideration of the CaVnet. 
 
 As I lef> va to-day for New York en route for England, I venture to *sk that 
 you will be good enough to direct that the result may be communicated to me 
 by letter, addressed to me at the offir a of the Windsor and Annapolis Railway 
 Company, 6 Westminster Chambers, Victoria St'-eet, London. 
 
 I trust the decision may be wich as to render i*; unnecessary for me to return 
 here ; but I need not say that if necessary, I will endeavor to do so. 
 
 With great respect, I am, Sir, 
 
 Your obedient servant. 
 
 The Hon. H. Langevin, 
 
 Minister Public Works, Ottawa. 
 
 (Signed) 
 
 J. A. MANN. 
 
 >, 1871. 
 
 ledge the 
 idsor ^nd 
 ation. 
 the Privy 
 L aspossi- 
 of course 
 icide, then 
 view with 
 y Council, 
 anion and 
 
 est endea- 
 
 [JN, 
 epretfir^. 
 
 i 
 
 Halifax '^OTEL, 
 
 Halifax, 12th July, 1871. 
 The Hon. C. Tupper, 
 
 President of the Cornell, &c., &c., &c. 
 
 Sib,— 
 
 On the 17th of April last I had the honor of an interview with a Sub- 
 Comidittee of the Council, when I laid before them the grievances of the 
 Windsor and Annapolis Railway Company. On the following day the Minis- 
 ter of Public Works intimated to me by letter that the matter would be taken 
 into consideration ^t the next full meeting of the Cabinet, after which their 
 decision would be communicated to me. Since then I have not been honored 
 with any further communication, and as the subject is one of the most vital 
 importance to the Company, I have again returned from England specially to 
 press it -ipon the attention of the Government ; and hearing that the Minister 
 of Public Works is unfortunately absent from the country, I venture to ask 
 that the Cabinet will favor me with a further interview, that I may again state 
 the Company's grievances, and obtain their decision. I am prepared to pro- 
 ceed to Ottawa at any time you may name. 
 
 I am. Sir, 
 Your obedient and humble servant, 
 
 (Signed) 
 
 J. A. MANN 
 
Tee Hon. H. Lanoevin, 
 
 Minister of Public Works, &c., &c. 
 
 Russell House, 
 
 Ottawa, July 20, 1871. 
 
 Sir,— 
 
 I regret exceedingly that it has become necessary for me to return to 
 Ottawa to urge the claims of the Windsor and Annapolis llailway Company 
 upon the Government. 
 
 The capitalists interested in the Railway, among whom I may mention 
 (here follow the names of several London capitalists) have, however, well con- 
 sidered the matter, and have determined that they cannot otter to continue to 
 work the line under the present unsatisfactory arrangements with tho Grovorn- 
 ment, and they have empowered me to comnumicuto that decision to the 
 Government, and to make any arrangements that may be necessary in tho 
 matter. 
 
 In the few days since my arrival in Halifax I have occupied myself in pre- 
 paring a memorial to His Excellency tho Governor-General in Council, setting 
 ii>rth the grounds upon which the claims are based ; but hearing that you aro 
 likely to be absent from Ottawa for some time, and that a Cabinet Council 
 would meet to-day, I deemed it better to come on hero with a rough print of 
 the memorial in its incomplete and unfinished state, and of which I now beg 
 to enclose you a copy. 
 
 I trust you will, under the circumstances, excuse my laying before you so 
 rough a draft, from iti have no doubt you will be able to glean the main points 
 of the case, and as the subject is a very pressing and very serious one botii to 
 my friends and to the Provinces of Nova Scotia and New Brunswick, I venture 
 to ask that it may be brought before the Council to-day, and that I may have 
 their decision upon it. I need hardly say that I should be glad to have the 
 honor of an interview with the Council, to enable me to offer any explanations 
 which they or you may require. 
 
 I liave tho honor to be, 
 
 v'::ri ■ Sir, 
 
 . :' ■ Your obedient servant, 
 
 I- -;^."- .wK :.-.,' (Signed) J. A. MANN, 
 
 \! ■ ;•. Vjij ■? , ',, t Commissioner and Attorney 
 
 • ' ' * ' '^ ;.r Of the Windsor and Annapolis By. Co., Limited. 
 
 'I ■';? Ii'< 
 
 •Jl'Uiii* 
 
 Department of Public Works, 
 
 Ottawa, August 1st, 1871. 
 
 Sir,— 
 
 I have the honor to acknowledge the receipt of your letter of the 26th 
 July, ult., and memorial on behalf of the Windsor and Annapolis Railway 
 Company, praying for state relief in either one of the several ways therein 
 spcnfied. 
 
 "With respect to the first of these modes, viz. : to put in force certain powers 
 of purchase conferred upon the Government by clauses 7, 8, and 10 of the 
 
statute of Nova Scotia, 28 Vic, Caj). 13 (1866,) I am to inform you that the 
 Govornmont of vJanadu do not think it expedient, under present circumstances, 
 to purchase the Windsor and Annapolis Railway. 
 
 The second proposition, which is to convoy or transfer to the memorialists 
 that portion of the Government Railways in Nova Scotia operating between 
 Windsor and Waverly Junction, cannot be entortaincd ; for, besides being in 
 contradiction with the railway policy sanctioned by Parliament, such convey- 
 ance or transfer would be impossible without special legislation. 
 
 The propositions which involve grants of public money, as coinpensation or 
 otherwise, are also inadmissable ; for while it does not apjHjar that the Windsor 
 and Annapolis Railway Company have under their charter any right to c(jm- 
 pensation, there is no fund at the disposal of the Government of Canada for 
 aft'onling them relief. 
 
 Having reference to the third mode of relief suited in the memorial, that 
 "running powers" be granted over the Government line to Halifax, including 
 the use of sUitions and conveniences now or hereafter to be erected in Halifax, 
 1 have the honor to inform you that His Excellency the Governor-General in 
 Council has authorized tho Minister of Public Works to make the traffic 
 arrangements, including " running powers " mentioned ui the charter of tho 
 Windsor and Annapolis Railway Company, and to appoint any officer or arbi- 
 trator for that purpose, required by the said charter, should it prove impossible 
 to conclude the said traffic aiTangements without arbitration. 
 
 J. A. Mann, Esq., ' 
 Ruasell House, Ottawa. 
 
 I have the hoiior to be, 
 Sir, 
 Your obedient servant, 
 
 {Sif/ned) 
 
 F. BRAUN, 
 
 Secretary. 
 
 'ii^ 
 
 <V 'I 
 
 F. Braun, Esq., 
 
 Secretary of Department of Public Works, j 
 Ottawa. 
 
 Ottawa, August, 1, 1871. 
 
 Windsor and Annapolis Railway Company's Memorial. 
 
 1. I have the honor to acknowledge receipt of vour letter of this day's date, 
 from which I learn, with regret, that the Dominion Government decline to 
 accede to the Prayer of the Windsor an ' Annapolis Railway Company, except- 
 ing only as to so much thereof as relates to the running powers conferred npon 
 them under their agreement with the Government of the Province of Nova 
 Scotia. 
 
 2. I need hardly say that the Company will be very much surprised and 
 disappointed at the decision of the Dominion Government, and unless the Pro- 
 vincial Government recognize the moral and legal obligations now repudiated 
 by the Dominion Government, I am afraid the Company will not consider 
 themselves bound to continue to work the line. The Company are extremely 
 anuous to avoid closing the line, causing as it would much inconvenience and 
 
loss to tho people of Nova Scotia and New Brunswick, and will, therefore, 
 await tho decision of the Provincial Ooverntnout with much anxiety. 
 
 3. I observe that, so far ns concerns tho claims for compensation, &c., pre- 
 ferred by tho Company, the decision of the Dominion Government is onl^ 
 general, and at the risk of being deemed troublesome, I venture to ask, if it is 
 intended to repudiate tho whole of the claims upon their merits. In order that 
 I may not misunderstiind the intention of tho Dominion Government on this 
 point, I recapitulate tho claims put forward by tho Company, which are aa 
 follows ; — 
 
 1. For compensation in respect of loss and damage occasioned by the 
 past refusal of the Dominion Government to allow the Company to exer- 
 cise the rights and privileges conferred upun them under clause 11 of tho 
 Agreement, 22nd of November, 1866. 
 
 2. To have refunded to them tho duties (together with interest thereon) 
 levied upon certain materials and stores imported by them for tho construc- 
 tion and working of tho llailv ay : and to have allowed to them, in terms of 
 clause 9 of tho said Agrecmc it, a drawback of all duties upon all stores or 
 materials hereafter to bo ii iported by the Company for either of such 
 purposes. 
 
 3. To have paid to the n interest upon the prinoi-j-ol payments made 
 under clause 6 of tho Agreement, as from the dates from which such pay- 
 ments would, if they had been made in Provincial Bonds in terms of such 
 agreement, have carried interest or dividend, until tho date of actual 
 payment. 
 
 4. To have paid to them all such sums (together with interest thereon 
 as beforementioned) as were deducted by tho Government from the par 
 value of such Provincial Bonds. 
 
 5. To have conveyed to them, free of charge, in terms of clause 7 of the 
 Agreement, certain lands required for the railway track and stations. 
 
 6. To have conveyed them, free of charge, also in terms of clause 7 of 
 the said agreement, a parcel of land, at or near Windsor, and now in the 
 possession of the Dominion Government, and which it was specially agreed 
 ■with, and enacted by, tho Legislature of the Province of Nova Scotia, should 
 be so conveyed to the Company. 
 
 7. To be reimbursed all loss and expenses incurred by tho Company in 
 respect of the acquisition of the lands required by the Railway, and which 
 were, under clause 7 of the said Agreement, to be conveyed to the Com- 
 pany, free of charge. 
 
 8. To be reimbursed all loss, damages, and expenses incurred by the 
 Company in consequence of the Dominion Government charging the Com- 
 pany a higher rate of toll on certain traffic, to wit : on cattle, horses, hay, 
 (Sec, conveyed over the line between Windsor and Halifax, or some part or 
 parts thereof, than that charged to the general public. 
 
 9. To be compensated in respect of direct and incidental damages aris- 
 ing out of the subsidizing of steamers by the Government in contravention 
 of the spirit and intention of the Acts and Agreement forming the basis of 
 the Company's proceedings. 
 
 4. As to that portion of your letter which states that the Government havo 
 no funds applicable for tho purpose of affording redress or relief to the Com- 
 pany, I apprehend that it is not intended, that the Ministers of the Government 
 would, for that reason, decline to acknowledge any just claim upon the State, 
 even though it might be nece «*ary afterwards to obtain a vote from the Legis- 
 lature for the purpose of discharging it. 
 
 5. As the Company must now, of course, proceed to memorialize the Legis- 
 lature of the Province of Nova Scotia, with whom the contract was originally 
 made, it becomes important that the Company should understand clearly how 
 
far the Dominion Government claim the rights, and acknowledge the obliga- 
 tions, originally conferred or imposed upon the Provincial Legislature, under 
 the Acts and the Agreement forming the basis of the understanding with the 
 Company. From the conversation which I had with the Hon. the Minister of 
 Public Works, I am Jed to believe that the Dominion Government claim to have 
 the right, and acknowl ^o the obligation, to deal only with those questions 
 directly affecting the Customs Revenue, and the Railways taken over by them,* 
 which would, I assume, only include the claims before referred to under the 
 sub-heads numbered 1, 2. 6, and 8, and would leave the claims under the sub- 
 heads numbered 3, 4, 5, 7, and 9 to be dealt with by the Provincial Government, 
 whilst the right of purchase, under clauses 7, 8, and 10 of the Acts of the Pro- 
 vincial Legislature of 1866, and the power of controlling the rate of tolls to be 
 charged by the Company to the public under clauses 3 and 8 of the Agreement 
 of 22nd November, 1866, would, so far as they may now remain in force, also 
 vest in the Provincial Government ; and I beg to ask the decision of the 
 Dominion Government upon these points. 
 
 6. I am prepared, on behalf the Company, and am, moreover, anxious to 
 meet any representative whom the Government may appoint, with a view to 
 deal with the matters under clause 11 of the said Agreement, which I would 
 point out are not confined exclusively to a " traffic arrangement, including run- 
 ning powers," but also extend as an alternative to a "joint operation of the two 
 lines." In the interim, of course, the Company continue to suffer direct loss 
 from the delay which the Dominion Government have created, and it must, of 
 course, be understood that the Company's claim for compensation is not to bo 
 prejudiced by any action of such representatives, unless such matter of com- 
 pensation be also submitted to them for their decision. 
 
 7. I cannot conceal from myself the difficulty of the Company and the 
 Government together, working their traffic efficiently over so long a length as 
 45 miles of single line, unless the Government complete their line by the erec- 
 tion of the proper locking apparati and signals, and the construction of the 
 proper sidings and passing places, and appoint signalmen at the proper points ; 
 but being sincerely anxious to avoid trouble, and to make the most of the two 
 lines, in doing which i feel that I shall serve the interests not only of the Com- 
 pany and the Dominion Government, but also of the people of the Province, 
 I am prepared, as a further eftbrt in the interests of peace, to offer, on behalf 
 of the Company, to lease, work, and maintain the Government line and appur- 
 tenances, from the junction with the Company's line, at Windsor, to the 
 Wavcrly Junction, for the period of 99 years, and to pay over to the Dominion 
 Government, by way of rental, annually, a sum equal to ten per cent, of the 
 gross toll earned by the Company upon the line, and for the exercise of unre- 
 restricted running powers over the remaining portion of the Government line 
 from such Wavcrly Junction into Halifax, including any extensions thereof to 
 be hereafter constructed, to pay, by way of toll, annually, a sum equal to forty 
 l)er cent, of the gross toll earned annually by the Company upon the line — such 
 payment of forty per cent, to include the use of all stations and all conveniences, 
 and a share of the services of the Station Agents, Booking Clerks, and other 
 servants employed by the Government at the stations, depots, and junctions. 
 If this offer be accepted by the Government, I apprehend that I, on behalf of 
 the Company, and a representative of the Government, with an umpire to bo 
 agreed upon between us, would, with the assistance of the Superintendent of 
 the Government line, and of the Manager of the Company's line, have no dif- 
 ficulty in settling the details of the working. 
 
 * It is necessary to aid tbat since the nbovo letter wns written, tlie writer bng been iDformcd b, tlie 
 Minister of Justice tliat tbc views of the Minister of Public Worlcs as to the limitation of the liability of the 
 romiaion Government must have been misinterpreted or misunderstood. 
 
8 
 
 8. Assuming as I do that the above offer will be acceptable, and that the 
 yiew taken by me of the responsibility of the Dominion and Provincial Govern- 
 ments respectively is correct, I would even venture further, and offer that 
 the claims of the Company, before referred to, under the sub-heads numbered 
 1, 2, 6, and 8, shall, so far as the Dominion Parliament may still decline to 
 admit them, also be submitted to, and be finally dealt with by such arbitrators 
 or umpire, reserving only to the Company the right to prefer their claims under 
 the other sub-heads numbered 3, 4, 5, 7, and 9, together with their request for 
 general aid and assistance, against the Provincial Government. 
 
 9. In conclusion I would remark that the claims of the Company have now 
 been before the Government at different periods throughout the past eighteen 
 months, and as I am here at great inconvenience to myself, and expense to the 
 Company, wholly and exclusively for the purpose of adjusting the matter Avith 
 the Dominion Government, I venture to ask for a specific and early reply to 
 the several questions submitted, and propositions made in this letter, and to 
 state that I will remain in Ottawa until I receive such reply. 
 
 I am. Sir, ; 
 
 Your obedient servant, 
 
 {Signed) J. A. MANN, " 
 
 Commissioner and Attomeif 
 Of the Windsor and Annapolis By. Co., Limited. 
 
 Department or Prauc Works, 
 
 Otima, 8ih August, 1871. 
 
 SiRy— 
 
 With reference to your reply, dated the 1st instant, to my letter of same 
 date, I have the honor to state, that by the Order in Council of the 28th ultimo, 
 the Minister of Public Works is " authorized to make with the said Company the 
 " traffic arrangements, including running powers, mentioned in the Charter of the 
 '^ said Company, and for that purpose to appoint any otficer or arbitrator required 
 " by the Charter of the Windsor and Annapolis Railway Company, should he, and 
 "the said Company be unable to make those traffic arrangements without 
 " arbitration." 
 
 I am now to inform you that with the view of carrying out the terms and ob- 
 ject of the Order in Council, above referred to, in a friendly practicable manner, 
 and so as to avoid, if possible, having recourse to arbitration, the Minister of 
 Public Works has appointed Sandford Fleming, Esquire, Chief Engineer of the 
 Intercolonial Railway, to confer with the Company, as its authorized agent, on the 
 subjects referred to, with instruction to report to him, the Minister, in regard to the 
 arrangements which the Company will agree to make with the Government con- 
 cerning " traffic arrangements " and " running powers." 
 
 I have the honor to be, 
 
 Sir, ,-■'--' 
 
 Your obedient servant, . 
 
 J. A. Mann, Esq., 
 
 Commissioner and Aitomei/ 
 
 Windsor and Annapolis RaUway, 
 Kentviik. 
 
 {Signed) 
 
 F. BRAUN, 
 
 Secretary. 
 
 - -» 
 
I... .;. ;. 
 
 Windsor and Annapolis Railway, 
 
 Kentville, August 14, 1871. 
 
 F. Bbaun, Erq., ; 
 
 Secy. Depart, of Public Works, 
 Ottawa. 
 
 > ' I . ' .\ • .'< 4 ■ -. .. 1 M • ■ f 
 
 Sir,— '■• - . • ' • 
 
 I have the honor to acknowledge receipt of your letter of date, 8th 
 inst, informing me in reply to my letter of the 1st inst., that Sandford Fleming, 
 Esq., the Chief Engineer of the Intercolonial Railway, has been appointed to 
 confer with me, with a view to reporting to the Minister in regard to tho 
 arrangements which the Company will agree to make with the Government 
 concerning " traffic arrangements " and " running powers." 
 
 In reply I have to state that I shall have much pleasure in meeting Mr. 
 Fleming at any time or place he may appoint. 
 
 I cannot but feel disappointed, however, to observe that your letter makes no 
 reference to the very liberal offer which I made in the 7th paragraph of my 
 letter of the 1st inst,, viz. : to lease the line between Windsor and Waverly 
 Junction, and to pay for running powers between the latter place and Halifax ; 
 but I trust that Mr. Fleming will have been instructed to consider and report 
 upon that oifer. 
 
 It is matter of surprise to me also that your letter further fails to reply to 
 the other important enquiries and proposiuons made in my letter, especially 
 those conveyed in paragraphs 3, 4, 5, 7, and 8, wherein I ask whether the 
 Dominion Government repudiate the claims preferred by the Company upon 
 their merits, and whether the Dominion Government admit their liability 
 assuming the claims to be well founded, and wherein I offer to submit the 
 claims to arbitration. 
 
 As I have before observed, it is a very serious hardship that the Company 
 are unable to obtain the attention of the Government on these matters. 
 
 It would probably be more regular if I were to await a definite reply from 
 the Government to the proposition I have already had the honor to lay before 
 them before venturing to make any further overtures, but the pressure of cir- 
 cumstances is such that I am compelled to break through the ordinary rules, 
 and I now venture to .supplement the offers previously made by submitting 
 the following proposition, with a view of settling all the difficulties between 
 the Company and Government, viz. : — 
 
 Heads of proposed arrangement between the Company and the Govern- 
 ments of Nova Scotia and of New Brunswick. 
 
 1. Dominion and Nova Scotia Governments to settle between them- 
 selves the question as to which is liable in respect of the claims of the 
 Company for compensation, &c., assuming the claims prove to be valid. 
 The cla'ms to be submitteil to arbitration. 
 
 2. Company to have a lease of the Government line from Windsor to 
 Waverly Junction, and running powers into Halifax, on terms of Mr. 
 Mann's letter of 1st of August. Representatives of the Company and of 
 the Government to settle mode of working. 
 
 3. The Company to put on a line of first class Clyde built ocean going 
 steamers between Annapolis and St. John, running them at least once a 
 day each way, and to run express trains between Halifax and Annapolis, 
 so that the entire journey from Halifax to St. John shall not occupy more 
 than Si hours. 
 
ujfr^ 
 
 ,^^ C„„p,„y a subsidy of £12,800, 
 ^''^'"^'^A"^^-^^'''»'^VT^°:^'\ by contorting its 
 
 3rd-of providing ^^^^^^^ Hulifax. , ^^^ proposition to the 
 
 tion between St. J<f '^^^^''.i.at I have submitted tne V^v ^^y^^^y, 
 
 In conclusion I l^'^^«^'l,?f and New Brunswick and I be^ jou^ ^^^.^.^. 
 
 SCofpVic Works. iha,ethe.honort«l», 
 
 Your obedient seWant, 
 
 J A. MANN, 
 
 WlNDSOU 
 
 -■> ^^X^^' !«"• 
 
 KentviUe 
 
 ^° ^"-^ l^'viiSaf^ly. *=•• ^- *«■• 
 
 «-- I „avo t~;r?Xn^S,?:py ofttogS^^^^^^^ 
 Honor tho Uon'enant-Governor .n O^^^^^^^ *° ,S°Sw";Xp»»y' "'^^"'; 
 
 toatether with copies of a corresp Company have 
 
 S SSr ^-ii:- ^^ to .. *o Oovernmont to e.orctse 
 The Company deem meiu 
 
11 
 
 ,f £12,500, 
 
 verting its 
 -2, by pay- 
 ; and 3, by 
 nd further, 
 
 ition of the 
 [government 
 
 to preserve 
 d, and, 
 of communi- 
 
 osition to the 
 you to submit 
 ister adminis- 
 lonorable the 
 
 id Attornetf 
 
 ly. Co., lAmtied. 
 
 ILWAY, _ 
 
 , Augvst, 1871. 
 
 iformation of His 
 orial which it has 
 eneral of Canada 
 Jompany, Limited' 
 ace on the subject 
 
 the Company have 
 hey have suffered 
 
 forking of the line 
 imsatisfactory, and 
 ment, the Corapnay 
 
 ernraent to exercise 
 
 the powers of purchase conferred upon them by clauses 7, 8, and 10 of the Act 
 of the Provincial Legislature of 1865 ; but being anxious to effect an early and 
 amicable settlement of all vexed questions between them and the Government, 
 1 have to-day made a proposition to the Doininion Government to the follow- 
 ing effect, viz. : — 
 
 " Heads of proposed arrangement between the Company and the Govern- 
 " ments of the Dominion, of Nova Scotia, and of New Brunswick. 
 
 " 1. Dominion and Nova Scotia Governments to settle between them- 
 " solves the question as to which is liable in respect of the claims of the 
 " Company for compensation, &c., in the event of those claims proving to 
 " be valid. The claims to be submitted to arbitration. 
 
 " 2. Company to have a lease of the Government line from Windsor to 
 (' Waverly Junction, and running powers into Halifax, on torms of Mr. 
 ^' Mann's letter of 1st of August Representatives of the Company and 
 " of the Government to settle the mode of working. 
 
 " 3. The Company to put on a line of first class Clyde-built ocean go- 
 " ing steamers between Annapolis and St. John, running them at least 
 " once a day each way, and to run express trains between Halifax and 
 " Annapolis, so that the entire journey from Halifax to St. John shall not 
 " occupy more than 8J hours. 
 
 "4, Governments together to grant the company a subsidy of £12,500, 
 " Stg., per annum, say in the following proportions : ,, 
 
 " £5,000 by the Dominion Oov^rnment. 
 " £5^000 by the Nova Scotia Government. 
 " £2,500 by the New Brunswick Government. 
 " 5. The Company to clear itself from liabilities — 1, bv converting its 
 " Debenture Debt into a 6 per cent, perpetual Debenture Stock — 2, by pay- 
 *' ing off or converting into capital all its exiatiqg floating debts ; and 3, by 
 " providing the capitil for the boat service before mentioned, and furtjier, 
 ** to undertake ji,o;d to incur any further capital debts." 
 I have been induced by the advice of parties of position in this Province to 
 make this proposition, ibelieving that it will meet with the approval of the 
 Government of the Province. If accepted, it will at once settle all questions 
 between the Compajay and both Governments ; it will clear off all the debts, 
 and remove all the difficulties of the Company, thereby securing to the Public 
 the use of the Raikoatl ; and it will provide an improved, swift, commodious, 
 and reliable means of communication between St. John and Halifax. 
 
 As I have visited this country, and remain here, exclusively with a view 
 to effect a settlement with the Government, I beg to ask that this letter may be 
 laid before His Honor in Council without delay. 
 
 I have the honor to be, 
 Sir, 
 Your obedient servant, 
 
 {Signed) 
 
 J. A. MANN, 
 
 Commissioner and Attorney 
 Of the Windsor and Annapolis By. Co., Limited. 
 
12 
 
 Windsor and Annapolil' Railway, 
 
 Ketdville, \ith Avffust, 1871. 
 To THE Hon. John A. Beckwitr, 
 
 Provincial Secretary of New Brunswick, &c., &c., 
 Fredericton. 
 Sib,— 
 
 I have the honor to enclose you herein, for the information of His 
 Honor the Lieutenant-Governor, copies of letters which I have this day addressed, 
 on behalf of the Windsui- and Annapolis Railway Company, to the representatives 
 of the Governments of Canada, and of the Province of Nova Scotia, from which 
 you will observe that among other propositions it has been proposed, condition- 
 ally, upon a suitable annual grant being made to the Company, to put on a line 
 of first class ocean-going Clyde-built steamers between St. John and Annapolis, 
 and to run the same at least once a day, each way, in connection with 
 express trains between Halifax and Annapolis ; the result of which will be to 
 place St. John within 8 J hours of Halifax, with a regular daily means of com- 
 mrnication. 
 
 Upon the assumption that this proposition will find favor with the Governriient 
 of New Brunswick, I venture to hope that His Honor the Lieutenant-Governor in 
 Council will see fit to concur with the Governments of Canada and Nova Scotia 
 in making such grant to the Company, to the extent of £2,500, Sterling, per 
 annum. 
 
 As the Special Commissioner of the Company, I am or a visit to this country, 
 solely with the view of adjusting the seToral matters in which the Company are 
 interested, and I venture, therefore, to ask that the subject may have the early 
 co.isideration of His Honor the Lieutenant-Governor in Council. 
 
 I shall have pleasure in attending in person upon you or the Council, should 
 such be necessary. 
 
 I have the honor to be, 
 Sir, 
 Your obedient servant, 
 
 {Signed) J. A. MANN, 
 
 Commissioner and Attorney 
 Of the Windsor and Annajcolis Ry. Co., LimUed. 
 
m. 
 
 bf His 
 essed, 
 atives 
 ■which 
 iition- 
 a line 
 apolis, 
 
 with 
 be to 
 
 com- 
 
 iraent 
 nor in 
 Scotia 
 per 
 
 untry, 
 
 \y are 
 
 early 
 
 should 
 
 imiied.