Just at this moment an event occurred which rendered it impossible for the Government to maintain its position unimpaired with the scanty forces at its disposal. In the middle of September, 1853, the total abolition of the license fee was seriously proposed in the Legislative Council of New South Wales. The news flew like wildfire to Victoria, where the diggers had hitherto looked upon the colonial legislatures--in which, it will be remembered, they were not yet represented--as their natural enemies. It seemed to them now that they had everything in their own hands, and it became clearly impossible for the Government, in the existing temper of the diggers, to exact the full amount of the license fee. A proclamation, hastily published with a view to allay excitement, by an unfortunate omission in the printed copies led the public to believe that the total abolition of the license system was contemplated by the Victorian Government. A select committee of the Legislative Council reported unfavorably upon the system. The Government made the best of a bad bargain, and accepted a fee of forty shillings for the three months ending November 30, 1853; and, on the following day, the Legislative Council passed a new Gold-fields Act, which greatly reduced the fees for diggers' licenses, while it substantially increased those demanded for permission to open stores at the gold-fields. It also provided for the grant of leases of auriferous lands, at a royalty of not less than 5 per cent., and gave legal sanction to the customs regarding the "claims" of diggers, which had gradually grown up to regulate the rival interests of neighboring miners. Offences against the act were to be decided upon by the magistrates; but the accused might demand a court of at least two members, and there was to be an appeal to General Sessions. These measures were partly successful in restoring order, but it was obvious that the gold-fields contained men who were averse to a peaceable settlement. Notwithstanding that the number of the elective members of the Legislative Council was more than once increased; that, with the full consent of the Home Government, a bill was being prepared for the introduction of responsible government; and that the material condition of the diggers was being rapidly improved, the Lieutenant-Governor had, in January, 1854, to report the formation of a "diggers' congress," which obviously had for its object the supersession of the ordinary government. Latrobe retired from office in May of the same year, and one of the first points noticed by his successor, Sir Charles Hotham, was the existence of an agitation against the Chinese at the Bendigo diggings. Notwithstanding the enthusiastic character of his reception in his progress through the gold-fields in September, the new Governor soon had to face serious disturbances.