Desjardins Canal - The Search For Support

The Search For Support

In 1820 Desjardins had petitioned the government for a lot on Spencer Creek as well as for a small island in front of the lot. He planned to build a storehouse beside Spencer Creek, deepen the creek to make a channel from the town to the marsh and cut a channel through the marsh to allow access of larger boats from Lake Ontario. The government was far from being solidly behind the project but was willing to let Desjardins go ahead on an experimental basis as long as in case of failure no risk would be transferred to the province. Desjardins’ proposal to provide access for “sloops and small vessels” was endorsed by local business leaders and approved by an order-in-council Nov 14, 1820, with the injunction that Desjardins could not charge tolls for access to the properties.

Unfortunately, during the 1820s there was a serious depression and a reversal in the flour trade. For three years Desjardins circulated a prospectus to draw in capital but was unsuccessful. In spite of this he persevered and made substantial progress using his own resources. In 1825 a group of local incorporators, seeing in the canal a means of directing additional business to themselves and increasing the value of their real estate holdings, applied for a charter to build the canal. A joint stock company was planned.

Royal assent to the formation of the corporation was given on January 30, 1826. Eight hundred shares of capital stock were authorized at a price of £12 10 0 for a projected capitalization of £10,000. The parliamentary approval provided for a fifty year lease, with title to revert to the Crown after that period subject to reimbursement to the stockholders of the value of their holdings. Desjardins was granted land including a lot on North Quay Street in Coote’s Paradise, a piece of land on the bank of the creek in front of the lot and a small island in the creek itself.

However Desjardins did not live to see the results of his efforts. The costs that he personally incurred to get the Desjardins Canal project under way exhausted his assets and credit. He had hoped to be reimbursed when investor capital began to flow but instead was required by the agreement with the province to accept canal stock for one half of his expenditures and security (a provincial bond) for the other half. No actual cash was forthcoming. By 1827 he was forced to offer his house and some land for sale in order to finance work on the canal.

Peter Desjardins died on September 7, 1827, from injuries received while collecting amounts owing for stock in the Desjardins Canal. When his horse returned without a rider a search was made and Desjardins’ body was discovered. An inquest was inconclusive and finally ruled that Desjardins had “Died by the visitation of God”. There were no witnesses to the event and the cause of death was never truly known.