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93 great consternation. Numbers of the settlers in the favorite western district, Portland Bay, removed their flocks westward of the Glenelg to be beyond the authority of the New South Wales Government. The Port Phillip Gazette of April 13th, 1839, exclaims,—“ If we were a Squatter, we should calmly and unhesitatingly refuse to pay the tax. If our property was seized, we should memorialize the Government of Great Britain.” During the whole of the year 1838 only £580, and in 1838 £695 were collected for licences in the district. The Squatting regulations were republished in the Sydney Gazette of March 1838. Gracious permission was granted to the inhabitants of our new country to pay their ten pounds elswliere than in Sydney. Pas turage licences were to he issued by the Police Magistrate at Mel bourne and Geelong, on the recommendation of a Magistrate or the Commissioner of Crown lands, for the half year commencing July 1st, 1838, on paying the sum of five pounds. Such were the arrangements for the settlement of the Country. We now turn to the regulations for the sale of small allotments. Though an outcry had been made for the unlocking of the land, so far as the locations upon the Yarra and Barwon were concerned, yet no direct movement for their relief was made until after the visit of Sir Richard Bourke to Port Phillip, in March 1837. As early as the 10th of April following we read the following in the Sydney Gazette ; “ The Governor directs it to he notified that the Bay at the northern extre mity of the waters called in the chart of Flinders, Port Phillip, has been by command of His Excellency, named “ Hobson’s Bay and that he has ordered the sites of two towns to he laid out,—the one on the western shore of Hobson’s Bay being called “ Williams Town,” and the other, on the right hank of the Yarra river, which discharges into that Bay, being named “ Melbourne.” The first received its appellation in honor of the King, the second in honor of his Majesty’s Prime Minister, Lord Melbourne. The Bay was called after Capt. Hobson of H. M. S. Rattlesnake, in which Governor Bourke came to this southern district. In the Gazette of the same date another proclamation appears ; “ The Governor, having taken into considera tion the number of persons who are now occupying habitations in and near the territory of Melbourne, waiting for an opportunity of pur chasing allotments, has been pleased to direct that a certain portion of the allotments, which have recently been laid out by order of His