Hi Sue
The informant for Mary Jane Garcia's certified copy of entry of death is not shown, but they did not know where she was married, nor at what age married, nor the first name of to whom married, - so I would say the informant was not very reliable or not very informed. I doubt it was her son James as she died when he was a few hundred miles away.
I'm not sure who the relative was who told me 13 January 1878. I've been looking into this part-time and spasmodically for thirty years and in the early days did not know the importance of keeping files and references.
I agree there could have been valid reasons such as the ones you suggest for returning the child Jane to the orphanage, but it all sounds a bit sad

. Mary Jane's mother-in-law died the year Jane was returned to the orphanage and her husband seems to have died or diappeared about that time, so perhaps circumstances became too difficult.
As to whether the children are connected? James must have been close to the adopted Stanley as he named one of his sons Stanley, but he referred to Stanley as adopted but not himself. You may well be right, but we have no evidence as yet.
Thank you Sue for helping me narrow down the search. Genni found Stanley

, now surely we could find James and end a longstanding puzzle. Just relaised Genni has been searching at SLV, which I understand is State Library of Victoria, so perhaps there is more there.
Cheers and thanks for your ongoing help

.
Shadwell