Hobie,
From what I've read, the problems with Dominion ammo were many. Cartridges that were either too large or too small for chambers, split shell casings, misfires, inconsistant powder charges, faulty primers and bullets that gave very erratic performance. Sounds to me like they were pretty much junk.
It is funny that you should pose the question about guns being lost. I was talking with a friend in Calgary yesterday who has a rusty dug-up NWMP carbine. He in fact is sending me pictures of it next week. He said it was found at Duck Lake, a battle site in north central Saskatchewan. The Duck Lake battle took place in March, 1885, during the North West Rebellion. My friend first saw the gun many years ago, hanging on the wall of an old gun shop in Great Falls. He gave the shop owner a bad time when ever he saw him and finally the gunsmith gave him the rusty carbine.
I have another friend in Wyoming who collects Mountie carbines, all of which are very interesting. However, he has one gun inparticular that really is a historic piece. In the book called "Arms and Accoutrements of the Mounted Police" by Roger Phillips and Don Klancher, there are several serial numbers listed of guns that went missing while on the prairie. One such gun is serial number 23911. It is listed as being "lost by Constable A. Webb, while on patrol near Maple Creek". Well, this gun is hanging on the wall in my friends gun room in Wyoming. The gun is not in rusty 'as found" condition however. It looks like it may have been lost but then found shortly thereafter by Indians. It is quite rough from use, but all there and really cool. This is fun.
Adios,
Buck