From a point of fact it is certain that the existence of gold was known in the colony years before Michel made his discovery, but he was the first person to make it known to such an extent that the colony derived some benefit from it. He may be looked upon as the first person to discover gold in much the same sense as Captain Cook is considered to be the discoverer of Australia though the existence of the country was known so many years before.
In regard to the rival claims presented by Michel and Hamonds, it appears that they both made their finds about the same day, but the committee preferred Michel's claim because he gave the Government all the facts - including the location of the field - immediately; whereas Hamonds was working his claim for nearly three weeks before he announced the exact location of his find. On July 11th, 1851, the Geelong Advertiser gave its readers a hint that a discovery had been made when they wrote "In the course of a short time we hope to lay before our readers, an account from "our own Diggings", until then we must beg them to be patient and bide their time."
This was the only announcement made in connection with Hamonds' discovery, whereas, on the other hand, Michel's party did everything possible to induce the Government to take up their proposal. This will be seen by their letter to Latrobe on July 8th, 1851.
"Sir,We the undersigned, forming together a party, who have of late devoted some time in searching for mineral deposits in this district, deem it our duty to make known to Your Excellency the success which has attended our efforts, and also to inform Your Excellency of the locality from whence the specimens were obtained.The distance from Melbourne, by Hodgson Punt, we calculated to be about 15 miles.The veins were first discovered at Deep Creek, from there they were traced for some distance across Major Newman's Run. Its formation is quartz and primitive sandstone.We followed the veins for several miles, and have no doubt that they extend over a very great extent of country.We have visited the locality 3 times, and on the last occasion Dr. Webb Richmond accompanied us on behalf of the Gold Reward Committee.The specimens tested were gathered from various places along the surface of the veins. We have also tested the specimens ourselves both by acid and by testing in a furnace, and by each of these tests we have obtained gold.From these facts we are led to believe that when the veins are opened to a depth of a few feet, gold will be found in quantities, but as we have already lost some time, occurred expense in prosecuting the search, and have so far proved by the opinion of the scientific men that it is an auriferous region, we beg to enquire whether the Government will be disposed to remunerate the party for their past outlay and assist in prosecuting the search further, by opening the veins as we have not the necessary means at our command which will enable us to prosecute the search further.We have the honour to be Your Excellency's Most Obedient Servants.Signed: Wm. Habberlin, James Furnival, L. J. Michel, James Melville, James Meaden, Ben Greenig."
As we have already shown, Latrobe was not greatly interested in the party's discovery owing to the fact of the colony having no means of treating or crushing quartz and nothing further was done.
After persistent agitation that the Victorian Government should reward their original discoverer of gold in a similar way to the £10,000 reward the New South Wales' Government had given Hargraves, a Select Committee of the Legislative Council was set up October, 1853, and sat almost continually till the following March, sifting out various claims for a reward.
Michel's letter to this body was dated October, 1853, and read as follows :-
"Gentlemen,We must respectfully beg to claim being the first gold discoverers in Victoria.In support of our claim we have to state that, on the 26th of July, 1851, we brought gold dust into Melbourne, which was tested by your Honorable Chairman in Mr. Hood, the chemist, in Collins St, in the presence of Mr. Walsh and others, and pronounced by them to be gold.The gold was sealed up and given to William Nicholsen Esq., the then Mayor of Melbourne.We can prove by evidence that the gold dust brought by us to Melbourne, and tested as abovementioned, was found by us at Anderson's Creek.On the 6th August, 1851, we conducted Messrs. Edward Bell, N. Fenwick, N. W. Wrede, David Armstrong and several other gentlemen to the place where we discovered gold, who on examination were satisfied that the soil was auriferous.We also beg to bring under the notice of the committee that Anderson's Creek was the first place in Victoria where a commissioner was appointed.We have the honour to be Gentlemen, Your most obedient and humble servants,Louis J. Michel. William Habberlin."
The committee's findings were never very popular, particularly among the people of the Western District, the Geelong Advertiser even went as far as saying that Hamonds was the only contestant entitled to a reward, but when one considers that the Official Enquiry sat for nearly 6 months and examined thoroughly the enormous amount of conflicting evidence, it should be admitted that they had the best chances of being right. Their report was summed up as follows :-
"The precise locality of Mr. Hamonds' discovery was not made known until the 22nd, whilst Mr. Campbell and Mr. Michel divulged the precise spot on the 5th, but it appears in evidence that previous to the former gentlemen making the exact spot known, Mr. Hamonds' party were actually at work upon it. Mr. Michel and his party have therefore, in the opinion of your committee, clearly established their claim to be held as the first publishers of the discovery of a goldfield in the colony of Victoria. The situation of their works being shown publicly on the 5th July, and full particulars communicated to the Government on the 8th, and the licences to dig for gold there were issued shortly after on the 1st September, which was previous to their issue on any other goldfield, and about 300 persons were at work when Ballarat was discovered.At each of these diggings workings were carried on with more or less success by a considerable number of diggers. Probably from the want of practical experience rather than the want of good auriferous soil, it appears that not many were particularly fortunate, but the working were still in active operation in both places (Clunes and Anderson's Creek) when the extraordinary attractions of Ballarat rapidly drew them off to its prolific deposits.Your Committee therefore recommends that to Mr. Michel and his party as having, after considerable expense succeeded in discovering and publishing an available goldfield, the sum of £1,000 should be given to Mr. Hiscock, as the substantial discoverer of the Ballarat deposits, a like sum of £1,000 to Mr. Campbell, as without doubt the original discoverer of the Clunes; a like sum of £1,000 to Mr. Esmonds, as the first actual producer of alluvial gold for the markets; a like sum of £1,000 and to Dr. Bruhn, as an acknowledgement of his services in exploring the country for 5 or 6 months, and diffusing the information of the discovery of gold, the sum of £500."
The committee closed their report by stating:-
"The discovery of the Victoria Goldfields has converted a remote dependency into a country of world-wide fame, it has attracted a population, extraordinary in number, with unprecedented rapidity, it has enhanced the value of property to an enormous extent, it has made this the richest country in the world, and in less than 3 years, it has done for this colony the work of an age, and made its impulses felt in the most distant regions of the earth.
Signed: A. F. A. Greeves, Chairman. Committee Rooms, 10th March, 1854.
Explanations
1. Both Anderson's Creek and Clunes became deserted on the discovery of gold at Ballarat.
2. William Campbell M.L.C. proprietor of "Strathlodden Station", discovered a gold deposit on the property of Donald Cameron Esq., in February, 1850 but made no announcement owing to the likelihood of it injuring Mr. Cameron's property.
3. The first gold discovered by Hamonds was later sold in Melbourne, whereas Michel's gold was given to the Mayor of Melbourne.
Michel's chief difficulty in establishing his claim was that his application was based upon his alluvial find on the 15th July, but the select committee actually rewarded him for the original quartz find made by his party on the 30th June. This point even Michel himself does not appear to have realized. He only ever once wrote of his discovery, which was more than 40 years later on the 28th December, 1895 to the Argus. It read as follows :-
"Statements having appeared in print on various occasions as to who first discovered gold in Victoria, most of which have been either altogether wrong or misleading, I have decided to make public the true story of my discovery, for which I afterwards received the Government Reward of £1,000 in order to see the matter finally at rest. Most of the facts I am about to relate, can be found in the evidence given on oath before the Parliamentary Royal Commission, or in the columns of the Argus of contemporary date with the event, but as they are difficult to find, my personal narrative may prove of some little use to future Historians of the Colony.The report of Mr. Hargraves' discovery in New South Wales reached Melbourne in February, 1851, and caused much excitement and unrest in our small community. Our people were leaving for Sydney by every possible means, even the small lime craft which usually traded to the heads being pressed in the service. It became evident that unless we made a similar discovery in Victoria a great portion of the adult population of Melbourne would migrate to the parent colony.People in business began to feel the loss of trade, and several parties were formed to prospect for gold. At the time I held the licence of the Rainbow Hotel in Swanston Street, and like the others felt the diminution in business, so I determined to get five others to join me in searching the Dandenong and Upper Yarra Ranges. This was known as Michel party, twice we returned to Melbourne without having met with success, although on the last trip we brought in some pieces of quartz and mica slate in which, however, no gold was visible.The party being unwilling to continue the search, we separated and were not associated together again. A day or two afterwards I proposed to a friend of mine, William Habberlin, who had also been a member of my first party, that we continue to prosecute our search, all expenses being borne by me.Having agreed to my offer we left the "Rainbow" together, carrying our tools, provisions for a week, and a tent, this was in the depth of winter and so that we should not be seen or followed by other prospectors we started in the dark, about 4 a.m. in the morning. We made direct for the Ranges, by the way of Barkers Road. Keeping nearer to the river than we had done on previous journeys. After trying the gullies and water courses for several days, our stocks of supplies being about done and there being no chance of purchasing more, we faced to town.Not knowing our position exactly, we determined to follow some creek down to the Yarra, and in doing so a particular bend under a steep range led me to think that the creek had not always run in its present course. If gold were to be found this seemed a likely place -- our burdens (now considerably lighter) were flung down. Taking the spade and pick, I crossed the creek into the bend, Habberlin in the meantime lighting a fire and slinging the billy. I proceeded to remove the surface soil from about 4 ft. square and having got into the second spit I called to Habberlin to bring a dish, and I gave him some earth to wash. Neither of us ever having seen gold obtained, I gave him strict injunctions to wash the earth carefully away until the last few grains were left in the dish. -- This having been the course adopted in Sydney according to accounts I had read. "Do you see anything Bill? I said. After once or twice saying "no" he suddenly exclaimed "Your Worship here's the clickerty." Eagerly examining the residue, we found it contained 10 small grains of gold.We consulted together, and decided to cover up the hole with brushwood, follow the creek down stream, ascertain its name, and our distance from town. When we reached the river (The Yarra) it was sun down, so having pitched camp we stretched ourselves on the grass to examine our find at leisure. I had wrapped it in a small piece of blue paper (which formerly contained a Seidlits-powder) and while we were looking at it a puff of wind off the river capsized the precious grains among the grass roots, much to our chagrin.However, by carefully washing the turf we recovered six grains. We slept little, and during the night heard a cock crow - sure sign of an adjacent settlement. At the break of day, we went in the direction of the sound, and soon came on a hut occupied by a man whose name was Ginger. He told us the place was called Anderson's Creek, named after a former pound keeper; the distance from town was 18 miles. From our rough dress and appearance after traversing the ranges for days, he concluded that we were runaway sailors, and told us to make for Brighton, where we should be sure to find employment with a market gardener.With the usual hospitality then customary in the bush, he gave us some damper and hot coffee; and wishing us luck we left. Having thus ascertained our whereabouts, we made a wide detour, and returned to the hole for more gold. We washed several dishes and about 8 o'clock that night, as soon as we had cleaned ourselves, we went up to Dr. Greaves, who lived close by in Little Collins Street and enquired of him if any news of gold being found had reached town. On his replying in the negative, I showed him the result of our search. He came with us round to John Hood (the father of the present Mr. Justice Hood) the chemist in Collins Street, where he tested it, weighed it, and said it was gold of a very high quality. He gave me a certificate to that effect, with the hour and date I had brought it to him endorsed.On the Monday we went to the Government Offices and showed the gold and the certificate to Mr. Latrobe, and enquired whether any other discovery had been made known to the Government or any other claim sent in. He said nothing of the kind had taken place. I expressed a wish that my discovery should be made public, and offered to conduct any party that he might appoint to the spot where I had found the gold. He wrote down the particulars, and on the following Monday sent his private Secretary, Mr. Edward Bell, and Mr. Nicholas Fenwick, the Commissioner of Crown Lands, to go with us to the place.Several other persons accompanied us at my invitation including Mr. De Bees from the Argus Office, whose report of the trip and success of the party in finding gold may be found in the Argus of July 1851. Numbers of diggers soon appeared on the creek and I had the pleasure of assisting Mr. Fenwick to measure off the first legal claim. Licences to dig were issued on the 1st of August, 1851.In 1853 the Legislative Council appointed a Royal Commission to enquire into particulars of the gold discovery, to invite the attendance of claimants and others, and to take evidence on oath. That report was ordered to be printed on the 10th March, 1854. I made my claim before the commission on behalf of myself and Habberlin, and gave all particulars on oath. Habberlin was called and in the same way testified to the truth of my statement. I may here state that Dr. Greaves (to whom I had first taken the gold) was chairman of the commission and the Hon. James Graham who is still living among us, was one of the members. The result of the enquiry was the voting of £5,000 to Mr. Hargraves for his discovery in New South Wales, £1,000 to the Rev. W. B. Clarke of Sydney, in appreciation of his researches into the mineral wealth of the country, and £1,000 to Michel and party, who were adjudged to have clearly established their claim to be the first to discover and make known to the public, an available goldfield in Victoria.Permit me to add it was the immediate publication of my discovery that stemmed the tide of immigration to New South Wales. In a pleasant day's walk anyone in doubt was able to satisfy himself of the truth, and many hundreds did so.It is impossible to estimate the quantity of gold obtained at Anderson's Creek and the Upper Yarra, but men have been working on the field ever since the day it was opened, and only last week favourable reports as to some of the claims appeared in the mining news column of the Argus.In conclusion, I may add a few lines as to the Chapman-Bretani-Duchesne episode, particulars of which have been published on various occasions. I shall therefore only refer to it by saying that in 1850 a youth named Chapman, staying at the Watermans Arms, showed the landlord, Mr. Clark, a nugget of gold. Many of Mr. Clark's friends went to see it, myself among the number, and found it to be rough piece of gold, about 2 inches by 3 inches of irregular form. An agreement was made by Chapman to take Bretani and Duchesne to the place where he found it. Chapman, hearing his companions speaking in a foreign language, became alarmed and, during the first night of the journey, gave them the slip and was not heard of again, until Mr. Horden met him in Sydney by accident four years later.Many old colonists will doubtless remember the facts I have stated above, and I shall be pleased to think that my little narrative may prove of interest to many readers of the Argus who are desirous of learning something of the early history of the colony."
To sum up our brief resumé; the fact that Hamonds was told of the approximate location of his find could tell against him morally but he would still be entitled to the credit for having made his discovery known. In regard to his failure to tell Clarke of the locality for almost three weeks, it must be remembered that he was unaware that any reward had been offered, on the other hand Michel was fully aware of it, though it is doubtful if the reward had been offered at the time he first organized the party.
The crucial point, I believe, is whether Michel's find should be recognized. William Campbell, in replying to the criticism of the Geelong Advertiser, stated that the former's claim was not at all conclusive and relied purely on Dr. Richmond's certificate, which only stated "A vein of quartz bearing strong indications of an auriferous deposit which, when tested, did exhibit traces of gold." But even granting Campbell's doubts on the matter, it could still be argued that Michel was entitled to the credit, by virtue of his second find at Anderson's Creek, which was quite a convincing discovery, and was shown in Melbourne on the 16th with all necessary particulars which was some six days before Hamonds chose to make known the exact locality of his find.
Source: We believe from handwritten notes in records that the following text is an unpublished manuscript in 2 volumes (Ch1-11 and Ch12-21) written by Louis Radnor Cranfield (1927- 14 Oct 1992) F.R.HIST.S. (Fellow of the Royal Historical Society). Find a Grave Record. National Library of Australia Record.
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