Letter from William Fox, to the Honble, the Colonial Secretary, dated 3rd. June 1850. relating to the mode of payment of the Second Instalment of Rangitikei purchase. New Zealand Company's Office Wellington, 3rd. June 1850. Sir, In continuation of the correspondence which has occurred between yourself and Mr. Kelham, during my absence from Wellington, relative to the payment of the Second Instalment of the Rangitikei purchase money, - I now have the honor to reply to your letter of the 27th. ult. I beg to assure His Excellency, the Lieut. Governor, that it is not my desire, nor would it be the result of my proposal to oblige the Local Government, "to meet from its own resources an unexpected demand." All that is required is the guarantee of the Treasurer's Official name, to satisfy the Bank; from whose resources, and not those of the local Government, the money would be procured. His Excellency, in intimating that I ought to have provided the necessary funds, having been aware for a year past, that they would be required at this date, is probably not informed of the manner in which I am supplied with funds from Home. I am authorised, from time to time to draw for specific sums, in accordance with my own annual estimates. The letter of Authority has hitherto enabled me to obtain at the Bank by discount of my own Bills on the New Zealand Company, the money I required, In the present instance, however, the Manager of the Bank, for reasons which I think fully justify him, but which it is unnecessary to repeat, requires the endorsement of my Bill, by the Colonial Treasurer. With that endorsement, the money is ready; without it, it cannot be had. I admit that the responsibility of disappointing the natives is great; but at the same time, I cannot feel that it is the least degree falls on me. Will you please to offer the following suggestions to His Excellency. The payment required is for the extinction of the Native Title in lands which by such extinction becomes demesne of the Crown, applicable for Colonizing purposes, in accordance with the arrangements between the Home Government and the New Zealand Company. If the Company continue its operations after July next, there cannot be a doubt that my Bill (which I am fully authorised to draw), will be met by it; should it have discontinued, it is equally certain that the Home Government, which takes, under the Act of Parliament, all the Company's liabilities and assets, will meet the Bill. Should it, however, happen by any accident, that the Bill were dishonoured, there are many thousands of acres of first rate land purchased by the proceeds of the Bill, which would then be at the disposal of the Local Government, and from which its amount could be raised without the least difficulty; to say nothing of the fact that the Bill being drawn by myself, the Company's assets in the Colony would be primarily liable to meet it. Under these circumstances I respectfully submit that the Treasurer's endorsement (though absolutely necessary to satisfy the Bank), subjects the Local Government to not the smallest temporary inconvenience, and cannot be ultimately productive of any injurious consequence. It is, in fact, a mere matter of form; and if, for want of it, the natives are disappointed of the payment, I beg to disclaim all responsibility. I remain Your most obedient servant, (Signed) William Fox. Principal Agent N.Z. CO. To:- The Honble. The Colonial Secretary.