Memo. from G. Eyre, to Mr. Domett, dated 5th. June 1850. Mr. Domett, Inform the Company's Principal Agent, that I regret I cannot view the transaction referred to in these letters, in the same light that he does; nor can I be a party to doing that which, although it may not immediately create a demand upon the funds of the local Revenue, may very possibly entail upon them, at a time when they are little able to bear it, the payment of large sums of money, together with the very heavy expenses which always attend the protecting of Bills. Although I quite believe that ultimately arrangements would be made by the Government at Home, in the event of the New Zealand Company dissolving, to meet all their liabilities; yet as this may not be done in the first instance, or in time to obviate the protecting of the Bills, should the Company's operations have terminated, - I am not justified in acceding to his proposal. With regard to Mr. Fox's disclaiming the responsibility of disappointing the natives, - I would remark that it is too late to do this after having left the Government to suppose that he would find the necessary funds, up to the very time the payment becoming due; and then informing them that he could not do so, when it is no longer in the power of the Government to take measures for supplying the money from other sources, which it had been relying upon the New Zealand Company to provide. Had Mr. Fox brought the subject under the notice of the local Government or had he communicated with the Governor-in-Chief, who was at Taranaki for many weeks prior to the 4th. Instalment on the Wairau purchase falling due, -arrangements might have been made in time for the Government to take upon themselves the onus of meeting the arrangements made with the natives. Now, however, all responsibility of disappointing them rests with the Principal Agent. At the same time, I beg to inform Mr. Fox that I have lost no time in communicating with the Governor-in-Chief on the subject; and requesting that he will take such measures as he may deem best, to enable me to complete the payment of the Second Instalment on Rangitikei, with as little delay as possible. (Signed) G. Eyre. 5th. June 1850.