Letter from Vilhjalmur Stefansson to Alfred J. T. Taylor, 03 May 1922

Your letter of April 26th came too late. I spent just one day in Ottawa, and during that time I did not have an opportunity of looking up Dr. King because I spent so much time getting interviews with the Prime Minister, the Minister of the Interior, and Mr. Crerar. I had to wait around a good deal for the two ministers, which is natural for they are distracted with all sorts of cares during the session. I always have plenty of opportunity to see Mr. Crerar. Most of my ideas have his wholehearted support, which I take to be pretty valuable in Ottawa now.

So far as I know, I shall be in New York from the 20th of May till about the 3rd of June. Accordingly, I have good hope of seeing you. I think we should make a point of getting together because important plans may develop out of present conditions.

As to paying customs duties at Wrangel Island, you and I are in complete agreement. The customs minister, Mr. Bureau, said at a meeting of part of the Cabinet yesterday that he did not think it necessary for us to pay duty so as to make a showing of our rights to the island, in view of the fact that the Department of the Interior intends to lease us the island.

Both the Prime Minister and the Minister of the Interior asked me what I expected in a financial way with regard to our Wrangel Island enterprise. I said we would prefer to have returned to us without interest the money actually spent on the Wrangel Island expedition. As a second choice I would like them to give our company a lease on Wrangel Island which would enable us to develop its resources ourselves or else to sub-lease so as to get our money back. They both seemed to prefer that method and Mr. Stewart asked me to speak to the Deputy Minister, Mr. W. W. Cory. Mr. Cory turned the matter over to Mr. O. S. Finnie, Commissioner of the Northwest Territories, and Mr. Craig in Mr. Finnie's office. I do not know Mr. Craig’s present official status in the Department but he is one of those most in touch with northern developments.

We discussed the terms upon which the lease should

While the conditions of the lease be somewhat modified, I understand they will be roughly as follows:

Our company gets a lease of Wrangel Island that shall be free for fifteen years. For the fifteen years following that there shall be a rental of $1,000. a year, and for twenty years following that the company shall pay a rental that shall be arrived at by arbitration at the end of the second fifteen-year period.

The lease shall confer on the company the following privileges:

1. Exclusive rights for trapping or otherwise killing foxes and polar bears;

2. Exclusive right to maintain stations on shore for sealing, walrusing or fishing;

3. Privilege of grazing reindeer, ovibos or other suitable grazing animls;

4. Privilege of erecting and controlling all buildings necessary in connection with the operations of the company, including harbor facilities and any facilities connected with the landing or launching of aircraft and for storing supplies for ships, aircraft, etc. The only exception is that the Government will have the right to make any harbor improvements or erect structures that may be deemed necessary for the direct or indirect use of the Government.

Vancouver is closer than any part of Canada to Wrangel Island. What do you think of the possibility of getting capital in Vancouver, either to finance our present company for the development of Wrangel Island or to form another company to which we can sublet Wrangel Island?

I was assured that we will get a favorable lease within a month. Meantime, this matter must be very confidential, for if it gets noised abroad in Vancouver that we are to get such a concession there may be a protest from fur companies or even from private citizens.

In my dealings with the Government I am making it

- 3 -

plain that we would prefer a refund of money actually expended rather than a lease of the island. I am making this very explicit for two reasons; first, I prefer that arrangement; and second, it will be a good thing for the Government and for us to have it clearly understood that we were not primarily interested in securing concessions when we sent the expedition north, and that the Government should have no idea that they are giving away privileges of fabulous value. In fact, I do not think the privileges as outlined above will be of fabulous value; they should, however, give a very handsome return on any capital invested.