[9] Oral history and creation stories from the Wathaurong, Woiwurrung and Boonwurrung languages describe the flooding of the bay, which they call Narm-Narm; it was previously covered in scrubby tea-tree and was a kangaroo hunting ground.
Coming from New Zealand in 1770, Lieutenant James Cook in HM Bark Endeavour sighted land at Point Hicks, about 70 km west of Gabo Island, before turning east and north to follow the coast of Australia.
Several captains viewed the expanse of water between Van Diemen's Land and the east coast of New South Wales and wondered whether it was a large bay or a strait.
In December 1800, Lieutenant James Grant in HMS Lady Nelson, on way from Cape Town to Sydney, sailed through Bass Strait from west to east.
This initially friendly encounter started with trading, eating, and gifting, and was suddenly interrupted by a violent ambush by another group of Aboriginal people.
A full description of Murray's and Flinders' discoveries, together with King's thoughts on settlement, but not Grimes' report, reached England just as HMS Calcutta was being prepared to send a shipload of convicts to Sydney.
Reports from exploring parties led by Lieutenant James Tuckey and surveyor George Harris described strong currents, sandy soil, poor timber, swampy land and scarce fresh water.
This was achieved in two voyages of Ocean in January and May 1804, assisted by HMS Lady Nelson which had been surveying Port Dalrymple on the north coast of Van Diemens Land.
The party was transferred to the fledgling settlement of Hobart, founded by Lieutenant John Bowen as a penal colony at Risdon Cove in September 1803.
They arrived on the shores of Corio Bay, mistakenly believing it to be Western Port, and returned to Sydney in January 1825, lavishly praising the quality of the country they had passed through.
Worried by this renewed French interest in the area and encouraged by Hume and Hovell's reports, Governor Darling ordered a settlement to be established at Western Port.
The shortage of good pasture in Van Diemen's Land led to settlers there showing interest in the country across Bass Strait, following Hume and Hovell's reports and stories of visiting sealers.
In April 1833 Edward Henty, returning to Van Diemen's Land from Spencer Gulf called in to Portland for a cargo of oil, and was much impressed.
When Major Thomas Mitchell led an expedition to the region from Sydney in 1835, arriving at Portland in August 1836, he was surprised to find a small but prosperous community living off the fertile farmland.
[20] Coinciding with the introduction of a fixed-price land sale scheme in January 1840, the District was expanded north to follow the course of the Murrumbidgee River from its source to the Pacific coast at Moruya.
[21] However, the border was retracted south to the Murray River after extensive opposition in Sydney, including from the Legislative Council,[21][22] all of whom were appointed by the Sovereign or the Governor of the Colony.
[25][26]: 23–27 In protest and in support of a campaign for independence,[27][28] the 1848 election scheduled for 27 July[29] was disrupted by not nominating candidates for Port Phillip[30] and putting forward for the Town of Melbourne the incumbent Secretary of State for War and the Colonies in the British Cabinet, Earl Grey.
One highly notable incident called the Convincing Ground massacre occurred in Portland Bay in 1833 or 1834 in a possible dispute about a beached whale between whalers and the Kilcarer gundidj clan of the Gunditjmara people.
[37] Melbourne was founded in 1835 by John Batman, also from Van Diemen's Land and quickly grew into a thriving community, although at great human cost to the original inhabitants.
Its foundation was the result of an invasion of wealthy squatters, land speculators and their indentured servants (including ex-convicts) who arrived from 1835, in a race with one another to seize an 'empty' country.
Upon discovering the scene, and a nearby food store which appeared to have been ransacked, George Smith travelled to Point Gellibrand and formed an exploratory band.
"[42] "It was government policy to encourage squatters to take possession of whatever [Aboriginal] land they chose,....that largely explains why almost all the original inhabitants of Port Phillip's vast grasslands were dead so soon after 1835".
This took place in 1842, a mere seven years after John Batman's treaties with the Kuhn people, when the two Tasmanian Aboriginal men were publicly hanged for murder.
"[45] The Tunnerminnerwait and Maulboyheenner public marker exists at the place of execution near the site of the Old Melbourne Gaol, with artwork by Brook Andrew and Trent Walter.
[46] A severe financial crisis took place in 1842–3, mainly due to the Government demanding from the banks the large rate of 7% for all moneys deposited with them, the result of land sales.
[citation needed] The first petition for the separation of the Port Phillip District (or 'Australia Felix') from New South Wales was drafted in 1840 by Henry Fyshe Gisborne and presented by him to Governor Gipps.
In 1857, reflecting the growing presence of Irish immigrants, in Victoria the British Empire had its first Catholic government leaders: John O'Shanassy as Premier, and the former Young Irelander, Charles Gavan Duffy his deputy.
One famous Punch image, "Citizens John and Charles", depicted the pair as French revolutionaries holding the skull and cross bone flag of the so-called Victorian Republic.
[50] In 1862 Duffy's Land Act attempted, but failed, through a system of extended pastoral licences, to break the land-holding monopoly of the so-called "squatter" class.
Historian Geoffrey Serle has called Kelly and his gang "the last expression of the lawless frontier in what was becoming a highly organised and educated society, the last protest of the mighty bush now tethered with iron rails to Melbourne and the world".