Soon Juan and his companions were busy digging and washing the earth and sands in the region where the little wild flowers grew. These mines were called “placer,” from a Spanish word meaning loose or moving about, because the metal was loosely mixed with sand and gravel, generally in the bed of a stream or in a ravine where there had once been a flow of water which had brought the gold down from its home in the mountains. From these mines Don Abel Stearns sent, in a sailing vessel round Cape Horn, the first parcel of California gold dust ever received at the United States mint, and it proved to be of very good quality. The San Fernando mines, as they were called, because they were on a ranch that had once belonged to San Fernando mission, yielded many thousand dollars’ worth of gold dust. It is on record that one firm in Los Angeles, which handled most of the gold from these and other mines of southern California, paid out in the course of twenty years over two million dollars for southern gold. The true golden touch, however, was to come in a different part of the territory among people of another race and tongue. It was to transform California from an almost unknown land with slight and scattered population to a community so rich as to disturb the money markets of the world; a community sheltering a great host of people, all young, all striving eagerly for the fortunes they had traveled thousands of miles to find. After the signing of the treaty of Cahuenga between Colonel Fremont and General Pico, the Spanish-speaking people settled down quietly and peacefully. The only disagreements were between the American leaders, General Kearny and Commodore Stockton, and between Kearny and Fremont, who had been appointed by Stockton military governor of the territory. This appointment General Kearny disputed. General Vallejo tells in one of his letters of having received on the same day communication from Kearny, Stockton, and Fremont, each signing himself commander-in-chief. Whoever was right in the quarrel, Fremont was the chief sufferer, for General Kearny, after Stockton left, ordered him to return East under arrest and at Washington to undergo a military trial or court-martial for mutiny and disobedience of orders. Although the court found him guilty and sentenced him to be dismissed from the army, the President, remembering his services in the exploration of the West, and quite possibly thinking him not the person most to blame, pardoned and restored him to his position. Fremont, feeling that he had done nothing wrong, refused the pardon and resigned from the army. The next year the new President, Taylor, showed his opinion of the matter by appointing Fremont to conduct the important work of establishing the boundaries between the United States and Mexico.