They had not been on the river many days before Mr. Wedge--one of Batman's party--in crossing the country from Indented Head to the Yarra, was astonished to see the masts of a vessel rising amid the gum trees. On reaching the river bank, what was his surprise to find, in that lonely spot, a vessel almost embedded in the woods, and the rocks and glades echoing to the sound of hammer and saw and the encouraging shouts of the ploughmen! Wedge informed Fawkner's party that they were trespassers on land belonging to John Batman and Company. Captain Lancey, having heard the story of the purchase, declared that such a transaction could have no value. When Wedge was gone, the settlers laid their axes to the roots of the trees, and began to clear the land for extensive cultivation. A fortnight later Wedge brought round all his party from Indented Head in order to occupy what Batman had marked as the site for a village, and the two rival parties were encamped side by side where the western part of Collins Street now stands. A little later Fawkner arrived with further settlers and with a wooden house, which he soon erected by the banks of the Yarra, the first regularly built house of Melbourne. He placed it by the side of the densely wooded stream, which was afterwards turned into Elizabeth Street. Great crowds of black and white cockatoos raised their incessant clamour at the first strokes of the axe; but soon the hillside was clear, and man had taken permanent possession of the spot. #8. William Buckley.#--Meanwhile a circumstance had happened which favoured Batman's party in no small degree. The men left at Indented Head were surprised one morning to see an extremely tall figure advancing towards them. His hair was thickly matted; his skin was brown, but not black, like that of the natives; he was almost naked, and he carried the ordinary arms of the aborigines. This was William Buckley, the only survivor of the three convicts who had escaped from Governor Collins's expedition. He had dwelt for thirty-two years among the natives. During this long time he had experienced many strange adventures, but had not exercised the smallest influence for good upon the natives. He was content to sink at once to their level, and to lead the purely animal life they led. But when he heard that there was a party of whites on Indented Head, whom the Geelong tribes proposed to murder, he crossed to warn them of their danger. Batman's party clothed him and treated him well, and for a time he acted as interpreter, smoothing over many of the difficulties that arose with the natives, and rendering the formation of the settlement much less difficult than it might have been.