The politics of the time, the introduction of government legislation designed for the poor, but badly drawn up, interpreted and administered, together with the growing resentment of an authority believed among the community to be corrupt, all combined to influence Ned's personal attitudes.
Also, as a consequence of the unscrupulous action of some squatters in attempting to force the small selectors off their land, many, including members of the Kelly family, were forced to resort to stock stealing and other unlawful activities just to survive.
At the age of 15, Ned was first brought before the Police Court on a charge of assault on a fowl and pig dealer named Ah Fook, and secondly with aiding the bushranger Harry Power in some of his robberies. Fortunately for Ned he was found not guilty in both cases. But before the end of that year, he was sentenced to six months hard labour for assault and indecent behavior, the result of a prank of a family friend.
Within three weeks of his release, Ned was arrested again, this time for receiving a stolen horse. He had no idea the horse was stolen but was given three years hard labor.
On his release from prison. However, it wasn't long before Ned's feelings changed and in partnership with his stepfather, George King, and numerous relatives and associates, they carried out large scale reprisals against those persons whom they believed were persecuting the
An embittered Ned was released in 1874 and made his way home. He returned a hardened but much more mature man than the average nineteen year old. In his absence he discovered that all but one of his thirty two horses had been stolen by the local constabulary, and for a while his determination to stay out of prison kept him on the right side of the authorities He found that his mother had married again and her new husband, George King, was from California. He was later described by Ned as a clever horse-thief. King gave Mrs Kelly (she retained her first husband's name) four children and then moved on. Ned had worked with him for a time, running stolen horses across the Murray River for sale in New South Wales. Brother Dan Kelly also fell foul of the law while still in his teens. He was given three months for damaging property, but later the chief police witness against him was charged with perjury. On his release from prison Dan went home unaware that the police, unable to find the horse-thief, King, had sworn warrants against both Ned and Dan. It was reported that Ned had slipped over the border into NSW, however, evidence suggests he was very close by on the night of the "Fitzpatrick Incident".
