THE PANAMA CONTRACT.

New Zealander, Volume XXII, Issue 2342, 1 February 1865, Page 5

THE PANAMA CONTRACT.

We have been favored with the following letters, with reference to the Panama Contract, complemental to the correspondence previously printed ; and we have been requested to publish them ; 43, Chancery Lane, W.C., August 25, 1864." g Dear Sir, —I understand that my correspondence with Mr. Crosbie Ward in reference to the Panama Postal Contract has been published by the Government of New Zealand, and that the parties in the Colony adverse to the contract arc endeavoring to shew that the Directors of your company were aware that Mr. Ward, in making that contract, was exceeding his powers, because in my letter of the 12th December, 1363, I told liiin " that I should have advised the company to enter into the contract under any circumstances provided he were willing to sign it." The facts are simply these. Mr. Ward told me that the contract was a necessity for the Colony, and that he would not leave England until it was signed, and that if the company would not enter into it somebody else would • and under the circumstances, I should, had the question arisen, have advised the Board to enter into the contract even had they had reason to doubt Mr. Ward's power to bind his Government ; but in that case I should have in the contract a clause requiring it to be confirmed by the New Zealand Government (which ciause, as you know, Mr. Ward struck out of the draft as unnecessary), and the Board would not have ordered the vessels for the J anama service until such coiiunnatiou had been obtained. I am, &c., (Signed) Robert Ccnliffe. James Worley, Esq.

COPIES OF LETTERS FROM MK. CROSBIE "WARD TO MR. WORLET RELATIVE TO THE PAXAMA SERTICE. (Letter to which No. 18 in published correspondence is a reply.) (.Keceived June 25, 1863 ) Mr dear Sir, —I take this opportunity of reminding you ihat though I cannot bind the Government ot New Zealand to detail alterations of existing services

Smuch may be done towards arranging a solid contract to take effect on the expiration of the present one, that is in two years from next November. If your Diiectors loo'< forward to taking np the whole mail steam service of the Colony, as I assume that they do, enough is already known by them to serve as"the basis of a tender, taking ns the basis of such no specified services at an annual subsidy, but for the present merely a mileage rate. You would probably divide it somewhat as follows : 1. For services between Sydney and Auckland. 2. For services between Sydney and Nelson. 3. For services between Melbourne and Southland 4. For services between all or any inter-provincial ports (naming them), and stating a rate for each. Tne exact services to be definable with such previous notice as might be agreed upon. I think it is not too soon for both sides to begin to turn the matter over in their minds. It is what I suggested nearly a year ago, and what I think would materially clear our way before us. If soon done, both the Government, through me, and Captain Hall, through you, would have plenty of time to consider and agree on the special stipulations of the contract. I merely throw this out as a hint, I have been some time expecting that you would address the Government on the general question, as it is clearly your interest to do so. I am, &c, Crosbie Ward. (Reply to No. 21.) Victoria Hotel, August 29, 1863. My Dear Sir, —I fear very much that you overestimate the capabilities of your boats. It would overwork them if you tried the Panama service with your present fleet. I shall be happy to tell you all I know about the requirements for such a service, so far as I understand them. But you will recollect that another offer stands between you and me, which it would not be right in any sense that I should throw over. I am, &c, Crosbie Ward. (Letter to which No. 24 is a reply.) Killiuchy, bounty Down, Sept. 7, 1863. My Dear Sir —I think I understood you to name the 16th, as the day when your Board can confirm or withdraw your offer.. I want you to fix this, or at any rate some early day for doing so, for I cannot wait very long, and I do not wish to shut your offer out from consideration. The effect of the establishment of the Panama route on your prospects may be advantageous or the reverse in no slight measure. I cannot but think it will cause your contract to be determined at the seven years expiring for a certainty as regards your intercolonial work. I don't say this is part of my plan, but only that the interests of the Colony, so far as I can foresee, will point that way. You can judge of this as well as I can. At any rate, a3 you have had late notice. I think it is reatonable to give you time to consider, but don't let it be long. The taking up of the Panama service yourselves would of course be a splendid move as a safeguard against accidents if you do it on paying terms. Name a day, beyond which I need not wait for a confirmation of your offer and then I shall know what to do. I have, &c., Crosbie Ward. (Letter to which No. 26 is a reply.) Killinchy, County Down, September 19, 1863. My Dear Sir, —I have received your letter of yesterday's date, as well as that of the 9th, very satisfactory. I await another from you, as I understood you to say that tho question would be referred to a special general meeting. Till then I cannot say more than I have done, which is, that I am prepared to take the most favorable offer made to me. I don't see any sign of a new arrangement having been made about the Otago and Sydney service, lam, &c, Crosbie Ward. (Reply to letter No 27.) Killinchy, County Down, September 27, 1864. My Dear Sir,—Yours of the 23rd has just reached me, as I have been a few days from home. From the statements made by you of the intention of the Board, 1 have no doubt that we shall now come to terms, and I have arranged my affairs, therefore, so as to be in town at latest on Friday next, the 2nd inst., as soon after which as possible I will see you. Would you kindly put the particulars given in your letters up to this time in the more formal shape of an official letter, that I may have something to show my Government by next mail as the basis of the negotiation which, by the way, once agreed upon need not be long in settling. I am exceedingly pleased to hear from you that you propose to get a larger class of ships for the line. This will make ail the difference to y asou well as to us. Do not forget to arrange in your mind some ideas about the adjustment of the existing services contingent upon the adoption of a eontract for Panama. I have, &c, Crosbie Ward. (Letter, to which No. 27 is a reply.) ~,, Victoria Hotel, Euston-square, Friday evening, Oct. 2, 1863. My Dear Sir, —I send this line to apprize you that I have reached town, and will do myself the pleasure of calling on you as near noon to-morrow (Saturday) as possible. I have asked a few New Zealand gentlemen to meet me at two p.m. on that day, and I wish to bring them (if you please) a statement of your offer in detail. If you put your tender into a formal or official state, I can I believe give you an answer immediately after that meeting. I have. &c„ Crosbie Ward.

(Letter, to which No. 30 is a reply.) 3 Adelaide Place, London, Monday, Oct. 5, 1853. My Dear Sir.—l regretted the receipt of Mr. Wilson's letter of Saturday afternoon, asking me not to consider the offer officially made. I was in hopes that my concession of 28 days settled at least the basis of the offer. Still I must admit that under the circumstances you ought to have ample time to consider the whole question, though it is a serious inconvenience to me to keep open the other offer which has been made to me so long. To facilitate matters, I have jotted down the heads of an agreement which I should be prepared to accept from you in case your Board thinks fit to embody them in an offer! at an early date. It wou'd leal to— A through Panama and Sydney service, for £66,000 An Inter Colonial (Sydney and Auckland) service, 6,000 Three Inter-Provincial do., say, 15,000 £87,000 Perhaps a fourth Inter-Provincial, bringing the total up to ... ... £92,000 The smaller amount employing eight boats, and involving two more as reserves ; the larger nine and eleven respectively. Being anxious to get this suggestion off to you quickly, I have taken no fair copy, therefore please keep it for return to me. 1 have, ice, Ckosbie Ward. Dublin, Oct. 6, 1863. Mt Dear Sir.—With reference to my memorandum of yesterday pray cousider one Intercolonial Service certain, i.e. in connection with the Panama line on to Sydney, instead of being left optional. I wish to show New South Wales that I have consulted her interests from the first. This wiil no doubt be satisfactory to you, for it vrill only leave power to the Government to require a second intercolonial, and a fourth interprovincial, to be maintained on the terms mentioned, and that on giving due notice to the Company. The three interprovincial services I propose to arrange : 1. From Auckland, East Coast, to Invercargill and back, calling at all intermediate ports. 2. Prom Manukau, West Coast, to Invercargill and back, calling at all intermediate ports. 3. From Auckland, by Cook's Straits, to Manukaa and back, calling at all the intermediate ports. If the second intercolonial service be taken up, it would weave in with one of the East Coast services, so as to give communication between Sydney and all ports. I shall be in town on Friday, when I hope to see you, and come to a final understanding. 1 have, &c. Cbosbie Wabd. (Reply *o L-tter 34.) 3, Adelaide Place, London Bridge, 17th October, 1863, My dear Fir. —I have received the official communication from your Board of yesterday's date, and will reply formally after taking a liu\e time for consideration. I am, &c., I Cbosbie Ward.

(Letter to which No. 35 is a reply.) 3, Adelaide Place, London Bridge.Monday Morning, I9th Oct., 1863. My dear c ir, —Is the Auckland and Sydney service at £9,000 a year to employ the ' Claud Hamilton ' a necessary part of the offer, or can it be withdrawn without referring to another Board meeting? An early answer will oblige, I am &c:, Crosbie Ward, • (Letter to which So. 36 is a reply.) 3, Adelaide Place, London Bridge. 21st October, 1563. Mr dear Sin, —If you have any formal communication to make amending the tender, please let it be posted by Friday at latest to the address, Bellair, Moate, Ireland. I go over to-night, and to catch the Marseilles msil to the Colony must come, on Saturday night, from there. If you amend the tender at all, please include the little points which I mentioned yesterday. I am tec, Crosbie Ward. (Letter to which No. 40 is a reply.) Bellair Moate, Oct., 1863. My Dear Sir,—l am in receipt of your note of Friday, and regret that a want of confidence in the result should have prevented the Board from handing me the amended tenders. I can say now that it would have been accepted. In fact I had my letters written to the colony ready for despatch in casi your letter had been favorable. As it is, I am chiefly vexed that the mail goes out again without something being decided. I don't suppose you could have understood me to say that I should accept the previous tender of the Board, subject to the approval of the New Zealand Government, though this seems to be inferred from your expression, alternative suggestion. It is only in case no other offer was acceptable that I would do this. Fray let us not stand about trifles If the Board would make this offer, provided it would bo accepted, then let it be made. But if they have declined to make it, because they do not approve of the terms, then please tell me so plainly. I am, &c, Crosbie Ward. I shall be in town on Friday next, 30th Oct. Please address to Adelaide Place if you have any communication make. Killinchy, 2nd Nov., 1863. My Dear Sir,—Partly a severe return of illness which prevents me going to town, partly the fact that no less than two new offers are about to be made for Panama, for which I wish to give time, and partly my belief that your Board and I will really come to term-. These three reasons have induced me to postpone a decision on the subject of Panama. I must say, however, that I am Jgetting very anxious to have it over, for it is important that I should leave England at no late period. The accompanying 1 tter is therefore written to be a formal matter of consideration for the Board. And I trust, uuless there is something really objectionable, that you will not postpone a decision. You speak of a Board meeting on receipt of news from the colony. I hope this means " Marseilles," for a week is a matter of importance just now to me. If you cannot get a regular Board meeting, cannot the amendment be made without, by consultation, or at least a final answer in the negative given. I hope the result will be to give you the contract and I only regret that too great reset ve on my part at our last meeting seems to have hindered a satisfactory conclusion. Yours in haste, James Worley, Esq. Crosbie Ward. (Letter to which No. 46 is a reply.) ivillinchy, County Down, 13th .\ovember, 1863. Mr Dear Sir,—l think it right to tell you that enquiries respecting Panama, with a view to tender for the service, are positively floating upon me. Of these, two I may name as really bona file, and of practicable and acceptable kind. One comes from the Pacific R.M. Company, in Liverpool. The other from the New General Steam Company. Allow me to point out that it would be an excellent move for your security in working the contract tc amalgamate with one or other of these. With the latter in particular such an amalga nation might be easy to effect. It is not at all to my interest to reduce the number of competitors. But as there are no less than tour of these, I cin spare you one to strengthen your hands. I repeat what I have said, that if at your approaching Board an arrangement to accommodate the difference between us be proposed in a satisfactory way, I will accept. If not Igo at once elsewhere, as time now grows very short. If we are to close, you are then in a position to make terras with any of those who are now anxious to be in it. I shall be in London on Wednesday morning early, the 18th inst. I am, &c, Crosbie Ward. (Letter to which No. 46 is a reply.) Killinchy, County Down, 16th November, 1863. My dear Sir, - Since writing to 'you yesterday I have received your note of tho 12th instant, wnich has been in some way delayed in arriving here. Your present statement is satisfactory and needs nothing but the confirmation you speak of, which I hope will be given early enough to have plenty of time for drawing and executing the contract. 1 shall however, endeavour to save time by sketching the terms of t the agreement in a shape to be place 1 in tb.2 lawyer's hands—(The solicitor of the Post-office) —to which I will ask your prior consideration as soon as the formal ratification is given. I venture to repeat my suggestion of yesterday as to amalgamating with the General Steam, who, as is not unusual in a large new Company seeking im ediately paying investments, may be ready to amalgamate on favorable terms having the assurance of Government contracts of some extent. You will I hope pardon me if this suggestion should seem to you to be an indiscreet attempt at interfering with the Company's private concerns. It is offered in a way the most remote from official, and is prompted I assure you by sincere good will.—T am, &c, Cito bie Ward. 3, Adelaide Place, London Bridge, 19ch Nov. 1863. My dear Sir, —I have this morning arrived in town, having waited at home for the delivery of the mails. I will step round to Moorgate-street about one p.m. to-day.—l am, &c, Crosbie Ward. London, December 17th, 1863. My Lord, —Agreeably with the Board's request, I undertake and agree, on the part of the General Government of New Zealand, Ist. That the time table for the Panama Service shall always be arranged so that the vessels engaged in that service may continue their voyage from Wellington, or other the port of arrival in New Zealand, to Sydney, in performance of the inter-colonial service, to be performed under the agreement of the 28th of May, 1858, and may return from Sydney to Wellington, or other port of departure in New Zealand, in time to perform the service to Panama, thus making continuous through line between Sydney, New Zealand, and Panama. 2nd. That the port of arrival in New Zealand for such inter colonial service, to be performed under the agreement of the 28th May, 1858, shall always be the port of departure for Panama, and that such port shall be the only port in New Zealaud to which the intercolonial service, under the said agreement of 1858, shall extend. 3rd. That when a fine shall be imposed under the original contract of 1858, in connection with the intercolonial service between Sydney and New Zealand, a fine is not to be imposed for any consequent delay or breach in the performance of the Panama Service, and v : ce versa, that is to say, when a fine is imposed for a breach in the performance of the service, between Panama and New Zealand, a fine is not to be imposed for any consequent breach of any service to be performed uudt-r the original contract of 1858. 4th. That the Company shall be allowed seven days for the performance of the service between New Zealand and Sydney, and for stoppages in New Zealand. sth. That the existing inter-colonial and mter-pro-vincial services shall continue on their present footing until the Ist January, 1865. It is als ■ agreed between us that all the vessels now belonging to the Company are accepted for the performance of the present mail services, and the contemplated extra inter-proviiicial service, subject to their being provided from time to time with certificates from the Steam Navigation Board in Sydney. I have, &c, &c, Crosbie Ward. To the Right Hon. Lord Claud Hamilton, M.P., Chairman, &c, Sec.

CORRESPONDENCE BETWEEN THE GENERAL GOVERNMENT AND THE SUPERINTENDENT RESPECTING THE SETTLEMENT OF THE CONFISCATED TERRITORY. Message No. 6. The Superintendent transmits, for the in* formation of the Provincial Council, copy of the Correspondence which has passed between himself, as Agent for the General Govvinnent, and the Responsible Advisers of His Excellency the Governor, relative to the share taken by the Provincial Executive in the management of the scheme of Immigration into the Northern Island for the settlement of the confiscated Territory. Robert Grahum, Superintendent. Superintendent's Office, Auckland, 24th Jauuary, 1860. Colonial Secretary's Olfice, Auckland, 21st December, ISIU. Si a, —I have the honor to address you in reference to the scheme of Immigration into the Northern Island, undertaken by the late Government, in pursuance of the " New Zealand Settlements Act, 1863," and the " Loan Appropriation Act, 1863." Your Honor is aware that a number of Immigrants have arrived, and are now waiting to be located on their land A large addition to these numbers is expected. Adverting to the sth Section of the : ' Loan Appropriation Act," it will be seen that, if the money which may arise from the sale of land under the "New Zealand Setthmems Act," within the Province, should be insufficient to repay the sums expended for the permanent advantage of the Province, including Immigration, Surveys, Location of Settlers, &c, the deficiency will be chargeable against the Revenue of the Province, in such manner as shall be hereafter determined by the General Assembly. The Province is therefore interested in the expenditure upon the above objects, and i.i the sale of land, applicable to the reimbursement of the outlay thereon. Under these circumstances, it is, in the opinion of the Governn.ent, reasonable, that Provincial Executive should have a considerable share in the management of the Immigration into your Province, as well as iu laying out Settlements, and locating the Im nigrants. Should your Honor concur in this view, the General Government willboprepared from time ; to time, to supply you with funds for the main tenanceand location of the Immigrants, according to a plan to be arranged with your ilmor. They will also, from time to time, hand over to the Provincial Government suitable blocks of land for purposes of settlement. They must reserve to themselvos the right of approviug of the plans of settlement, so as to insure the fulfilment of engagements enteredinto on behalf of the General Government with the Immigrants, and the carrying out the objects of the " New Zealand Settlements Act." I shall be glad to receive your Honor's early reply, I have, &c, Henry Sewell, (For the Colonial Secretary). His Honor the Superintendent, Auckland. Superintendent's 0 fise, Auckland, 21st December, 1864. Sir, —I have the honor to acknowledge receipt of your letter of this day's date iu which you propose that the Provincial Executive should take a considerable share in.the nnnagement of the Immigration into this Province under the scheme initiated by the late Government. I have the honor to accept the proposal, and to undertake the necessary duties, subject to the conditions expressed in your letter. I have, &c, Robert Graham, Superintendent. The Hon. The Colonial Secretary, Auckland. Colonial Secretary's 0 Hce, Auckland, 23rd December. 1864. Sir, —Referring to the arrangement proposed in my letter of the 2lst instant, and agreed to irr your Honor's letter of the same day, for the future location of the Immigrants who have arrived, or are expected to arrive in this Province, 1 have to propose that, with a view to a practical completion of this arrangement, the care and supervision of - mmigrants on their arrival, (inclusive of diseaibarkation, proper treatment on board, payment of passage, &c, and until they cau be located on their lands, should be under the administration of the Provincial Executive. It is clear that the cost of this maintenance can be materially diminished by a stringent supervision of the actual expenditure ru-cessary; a judicious employment of some of the Immigrants on Public Provincial Works, and by facilitating, and even necessita ing t!ie private employment of others. Thus, while the primary expense is minimised, the labour will be utilised to the utmost exteirt. It i* equally clear, that on the one hand the Pr vmcial Government at their disposal toe best means of effecting these desired objects, inasmuch as they have a local machinery of administration and supervision in such mu't<-rs, a variety of local works on which employment can at once be given, aud an immediate and personal interest in the economical and usefix expenditure of available funds otr this account* —and that on the other hand, any attempt on the part of the General Government, which has not these advantages to act in their absence, or suddenly to create them would entail a heavy additional expenditure, and in all probability a failure of useful results. Under these circumstances, your Honor wil[, I am sure, agree with me in the proprrety of this undertaking, the cost of which ultimately falls in any case on Provincial Revenue, being admin stered by the Provincial Executive. The accommodation already provide! by the General Government for these Immigrants would, of course, be available, and the services of two or three gentlemen who have been temporarily employed by the General Government in the supervision of, aud irr medical attendance on, the Immigrants, would ;dso be placed at the disposal of the Provincial Government, and such sums as may from time to time be required by your Honor for the whole undertak ng. As both Colonial faith and Colonial funis are involved in this matter, tire General Government would still have an overriding control, which probably in practice would never require to be exercised, and it would b* necessary that your Honor should periodically (sav every month) cause to be firrrushe I detailed reports of the proceedings of the Provincial Executive, with regard to these Im :.i°-rants, and o. their actual condition, and I of all expenditure t>n account of them.

I would.add, that in my .later of the 21st instant, it is intended to include in the location of' the Im mi grants the administration of the neressary survey of the lots on which they are to he located, and that such administration is in like manner handed over to your Honor's Government. • , •••• ; . On learning your Honor's acquiescence in these a: rangemeuts, I will at once direct all the necessary steps to be taken for carrying them into immediate effect. I have, fee, Henry Srwei.l, (For the Colonial Secretary). His Honor the Superintendent, Auckland ~.-;• . '

Superintenden 's Office, Auckland, 28th December, 1864. gj R) —I have the 'honor '.to acknowledge receipt of your letter of the 23id instant, concerning jhe'pracucal completion of the arrangement proposed b> the General.Government and accepted by me for the laying out of settlementsand Inciting Immigrants' now in course of arrival under inducements'offered hy(he General Government. I beg 'leave to state in general terms, thai I am prepared to. use my .best endeavours to minimise thi? cost, arid to assist the General Government in' the matter ; but that I have not as yet received that complete information which would, enabje rne to go into details or to make a'n absolutely practical reply. My desire of course will be to fulfil every agreement that' has ~heen niade with the Immigrants but it is necessary that I should be informed of the nature of .those agreements, in order that I may satisfy myself whether I have been the' means' of acting up to them I- therefore suggest' that I should be put in possession of copies of the records of the General Government offices bearing upon this sut.ject; I refer more particularly to the correspondence with Messrs. il. Morrison, W. S. Grahame, A. Clarke, and . others who have formed engagements on behalf .of the Government with . the' Immigrants. _ The agreements and other documents', relating to the Immigration from the Cape of Good Hope, which were transmitted through me, might be returned into my cusVody. In regard to your Suggestion that some of the immigrants should be employed .in public Provincial . works, 1 to observe that I will do my best to find them in employment ; but that have this is a matter in which the Provincial Council have a voice as well as myself." 'I he Council may give or refuse the means, and have moreover on more than one occasion expressed a desire that all Provincial works as far as possible should be done by contract. 1 merely mention this to guard against undertaking as agent for the General Government more than I have the certainty of being able to perform. In regard, to your proposal that I should undertake' the administration 'of the necessary, surveys of the lots on which the immigrants are to be located, 1 have the honor to state that I am willing to do so," but I'take'occasion [to observe that I am strongly of opinion that advantage should be taken of the present opportunity to initiate a proper system of geodetic surveys to embrace the whole of the confiscated territory, and which may hereafter be extended ever' the whole province. ..The necessity of the provincial surveys being conducted on a proper system of triangulation, is even now occupying my attention, and the survey of the large territory now acquired affords facilities for commencing a general system so long'and so greatly required. This will probably lead to some slight increase of expenditure in the organization of a proper Survey Department but I feel strongly that this should not .be allowedjto interfere with a measure of such importance. Iu accepting your proposals I fequest that it might be understood that it' must remain an open question how far sums', already exf ended by the Geheral Governpenf, df which have no account shall be held to be for the permanent advantage of the Province of Auckland, and I,trust thatyqu will inform me at the earliest possible period of the charges which in your opinion ought to be made by you against this 1 Province, in order that they may be checked while the necessary information ii still obtainable'. "' As soon as you 'shall have taken all the necessary steps for carrying the proposed arrangements into effect', I shall acquaint you at length with the ! plan on which 1 propose to work. It will b'e especially necessary, how" «ver, that I should f>4 informed,' approximately of k the amount of the 'large 1 additions to the numbers of the' which in your letter of the 21st'December 'instant youtell roe is expected arid, without" 1 Which large addition in my opinion,'' a' successful realization of the scheme cannot 1 be depended on;' also, approximately of the quantity of land within the confiscated block which the Provincial' Goo vernment may calculate upon; 1 having to dispose of for the purposes of this lindertakirig ; also, which of thd sections of the :<l New Zealand Settlements Act"'! am to be empowered to carry out. It appears to hie essential that! Sections 16, 17 and 18 should be included. ' I have, &c, ' , , ' Robert Graham, ' ! Superintendent. The Hen. the Colonial Secretary, Auckland. Colonial Secretary's Office, Auckland, 28th December, 1864. g lK) —Referring to my letter, No. 347, of the 23rd instant, respecting' the supervision . and care of the emigrants who have arrived, or may soon be expected to arrive in this Province, I have to trausmit fur your Honor's information and consideration the enclosed documents bearing on that subject. I have, &c, Fred. A. Weld. His Honor the Superintendent, Auckland. ' ' ' Superintendent's Office, Auckland, 29th December, 1864. sir reference to your letter of lhe2lst inst., suggesting that tbeProvincial Executive should take a considerable share in the management of the immigration undertaken by he late Government in pursuance of the " New Zealand Settlements Act,"and the "Loan Appropriation Act, 1863," on the ground that tthe Province is. interested in the expenditure upon that object, arid in the tale of laud applicable to the reimbursement of the outlay thereon, I have the honor to offer a general outline of the measures which I propose to take. I desire to'obtain permission to construct a house in each setdemrnt to be used at once for barrack accommodation, but in such a style jo building as would afterwards enable the immigrants to use it either as a place of worship, a school, or j>lace of refuge iu case of alarm i from the Natives. I propose to settle the immigrants on the best lamis that can be found, leaving reserves Sufficient fop a'l public purposes, school?, hos- ! pitals, and places of worship.

I propose that farm 3 in the adjoining districts, varying from one hundred to one thousand acres in i«e, should he cut up and offered for sale by auction, ..subject t» the following conditions :—one-fourth of the purchase mor.ey to be paid on the fall of the hammer,one-fourth at the expiration of the first year, one-fourth at the expiration of the second year, and onefourth at the expiration of the third year, when a Crown Grant shall be issued upon condition of one-third of the land being substantially fenced and the whole being under crop or in grass. By these provisos mere speculation will be discouraged and employment for immigrants will be secured. It must be clearly understood that in assuming the weighty duties entrusted to me, I can not, under my powers, hold myself in any -way responsible for the protection of the immigrants. But I am prepared to hold myself responsible for this complete success of the scheme (accidents excepted), provided that the laud which I consider most suitable for thje location of the immigrants and for sale be at once, handed over to the ProvincialJJExecutive. •■ I propose that the Waikato regiments (to remain stilf under the controlof the General Government) should be settled well ,up in the interior for defence of the. frontier line, that inside that line farms on l ' the fotementioned conditiorisof improvement should be laid out and sold. Under such, coqd.itlonp it may ( be a ssumed that the land would mainly be bought and occupied by active young'men, the sons of industrious farmers, acquainted with the work of cultivation, with the 'Native language, and possessed of means sufficient to improve their farms and give employment to the immigrants. These I propose to place on'the most favored situations nearer to Auckland, something, injthe manner of the .enclosed ski tch. lam aware that although a large sum (one hundred and fifty thousand pounds) has been appropriated by Act of the Assembly for the introduction of settlers 'into the 'Provinceof Auckland,, the General Government, under present circumances, cannot conveniently make immediate disposal of the whole Still I desire most strongly to impress upon you that the leading feature, of success in, the scheme must be the realization of a good price for-the'-land brought into the market. The price, will be governed mainly by the amount of population introduced. It appears to me that in default of the full number being at once introduced by the General Government, a useful increase to the population might be made by an arrangement under which immigrants brought out by the Provincial Government might lie placed on the confiscated land. For instance, t > each party of General Government immigrants I propose to add a given proportion of persons holding land orders under the Waste Lands Act of the Assembly Should you feel disposed to entertain this question I will endeavour to arrange details so as to meet your views. I have, &c, Robert Graham, Superintendent. The Hon. the Colonial Secretary, Auckland.

j . Superintendent's Office, Auckland, 4th January, 1865. Sir,—l have the honor to acknowledge receipt of your Liter, No. 351, of date 28th December ult, transmitting sundry documents respecting the General Government immigrants who have arrived, or are about to arrive in this Province. I have, &c, Robkrt Graham, Superintendent The Hon. the Colonial Secretary, . Auckland. Colonial Secretary's Office, Auckland, 4th January, 1865. Sir, —I have to acknowledge the receipt of your Honor's letter of the 28th ult., in which you submit proposals in reference to the management of the immigration into this Province, undertaken by thelate Government in pursuance of the " New Zealand Settlements Act" and the "Loan Appropriation Act, 1863." I have also to acknowledge the receipt of your Honor's letter of the 29 ch ultimo, in reference to the same subject. 1 have to express my satisfaction at finding that your Honor is prepared generally to accept the rriariagement and responsibility of the arrangement,. •■■„.■' > I transmit copies of documents, showing the nature of the agreements entered into with the immigrants and Emigration Agents, as far as I am in possession of them, particularly the correspondence referred to with the Emigration Agents in England. I return the documents relating to the immigration from the Cape of Good Hope. , As regards the location of the immigrants, and their employment upon Public Provincial Works, I desire to express generally tho views of the Government. , ' One main principle to be borne in mind, is, that engagements entered into with these emigrants by the Government should be scrupulously fulfilled. Another is that the location of the settlers should Joe effected in such a manner as will best tend to carry out the objects of the Colonial Legislature, who appropriated altogether in 1863, £600,000 for the "introduce tion into the Northern Island, of sett.'ers from Australia, Great Britain, and elsewhere) and' for the cost of surveys, public works, and other expenses incident to the location of settlers.'-:. . ■ :! i. <> v-.'i

The objects of the legislature may be inferred from the " Loan Appropriation Act, 1863," to be the formation of permanent defensive settlements, and the recovery of the cost of such formation from the Province concerried, either from the sale of land within if, under the "New Zealand Settlements Act, 1863/' or ultimately from its revenne. It may be safely concluded that 1 the administration by the Provincial Government of the whole undertaking, mder the' overriding control of the General Government, is the best means of dealing with the subject. It is the best, because'the Province which conducts its own Provincial Emigration, has at its disposal, administrative machinery for the purpose, because it can combine the two classes of Emigration into one harmonious whole, the elements of which mutually assist each other; and because the Province is most nterested in the economical and successful management of the matter, as the direct recipient of the benefits conferred and the ultimate payer of the cost. On this assumption it remains for the General Government to indicate to the Provincial Government in broad utlineits view of such a "location" of the immigrants as will, compatibly with the means at the disposal of the General Government, best carry out its engagements and the wishes of the Legislature.

. The promise of temporary., employment on public works must be considered an engagement. ' The performation of the settlements giving man will moreover be the best means o fulfilling the objects of the Legislature, in the pacification (actually and prospectively) of the country ; in the civilisation of the Natives, and in so enhancing the value of adjacent Crown Lands, as to make it the means of refunding in a considerable degree the expenditure incurred. On these grounds'the General Government will,, within its means, give to. the Provincial Government every reasonable facility for rendering the location ■ of; these immigrants,' the means of creating permanent'settlements', and securing to the utmost extent beneficial results. - Having expressed these general" views, I observed in particular that the employment of the immigrants upon public'works must be undertaken hy the Province* The works themselves to be arranged in concert with the General Government, which will place at the disposal of the Provincial Government means for the purpose, so' : far. as' lies in its power, subject to the question of future adjustment between the Province and the General Government, Sunder the' provisions! of the ".Loan Appropriation. Act, 1863." Pending the realization of funds from the disposal of securities issued under authority of the Acts, of last session, of from the sale of land, the Government will place in; the hands of the Provincial Government sufficient 8 per cent. Debentures (1864) to cover these and all other estimated liabilities to be undertaken by the Provincial Government, on account of these immigrants. The question whether the works should be undertaken by contract, or whose is one which will be properly left to your Honor to decide. As regards surveys, I concur in your Honor's remarks, as to the importance of conducting them upon a general and true system, and I would gladly facilitate your Honor's wish to institute a. proper geodetic system of Triangulation, embracing the' whole of the confiscated territory, with a view to the future extension of such system over the whole of the Province. At the same time I must point out that the heavy burthen now thrown on the Government, by the sudden arrival of immigrants in large numbers, for whose reception uo preparation has hitherto beep made, renders it imperatively necessary to lose no time in placing them upou their land, for which purpose the quickest kind of survey pract'cable, imperfect though it may be, must be had recourse to. I am desirous that no time should be lost in organising such a plan of surveys. I transmit a copy of an Order in Council, declaring certain districts to be settlements, under the " New Zealand Settlements Act," available for the location of military settlers and immigrants. I shall be glad to confer with your. Honor on (he. subject of laying out these districts, or some of them for the immediate location of the newly arrived immigrants, and for sale. In reference to your. Honor's wish to be informed of "the particulars of charges which, in the opinion' of Government, ought to be made against the Province;' upon the final adjustment of accounts, I will supply the required informtaion as speedily as possible. As regards the number of immigrants expected, I have no means of giving you an approximate estirriate beyond what appears in the published papers, and in the other correspondence transmitted to you, from which I gather, that 20,000 was the number originally contemplated ; that specific arrangements were made, under the authority of the late Government for sending out 5000 from the United Kingdom, but that these arrangements were countermanded, when it was ascertained that the expected funds were not likely to be available. The letters of the agents lead me to anticipate that about 2000 will be sent altogether from the United Kingdom and 1000 from the Cape of Good Hope. But I must observe that, whatever the number may be, the General Government will look to your Honor mainly for relieving it from the difficulty of providing for and disposing of them; the General Government rendering its due- share of assistance upon the basis of the present 5 arrangement. As regards the quantity of land approximately which may be depended upon as available for the purpose of the undertaking, I am unable at present to do more than refer you to the accompanying Order in Council, proclaiming specific districts ■ as subject to the •'New Zealand Settlements Act." Other districts will ho doubt be included, but I shall be glad to receive suggestions from your Honor on this point. Asto : which6fthesections'.ofthe"New Zealand Settlements Act" your Honor should be empowered to carry into effect, I may state generally that, as regards military settlers, the details of arrangements and management should be left with the' General Government. As regards immigrants of the ordinary class, the management should rest with your Honor. I now refer to the various points in your letter of the 29th ultimo. Your Honor suggests that a house should be erected capable of being used for barrack accommodation, but ultimately available as a place of worship, a school, and place of refuge in case of alarm. The General Government will gladly afford every facility to your Honor In giving effect to such a plan, but it does not think it fully within the Jproper scope of its duties, or of the liabilities imposed on it by the Acts of the Legislature. The Govern merit will gladly'arrange, in concert with your, Honor, reserves for public purposes, such as schools, hospitals, and places of worship,, as well" as ""the mode of laying out farms, and offering i lands for sale. The plan of sale will properly be left in great measure to ■your Honor's judgment. The question whether sale's Of larid should' be made tipori a scheme of deferred payments, is open to grave doubt. I would point out to you that schemes of this kind have not generally been found successful in this Colony. I admit the reasonableness of your Honor's reservation, by which you guard . yourself against holding yourself in any way responsible for the protection of the immigrants. I must observe, also, that the..'General Government cannot assume any special obligation oFjthis kind. It will be the: duty both of the General and Provincial Governments 1 , in fixing the location of the immigrants, to placethem as far as possible under protection, and out of reach of danger; It will therefore be necessary that the actual sites of settlement should be approved of by the General Government. Upon the point to which I understand your Honor attaches most importance, namely, the extent to which the Government is prepare 1 to carry out the scheme of immigration, by applying funds arising from lind sales to that object, the General Government will he prepared, provided it meets with the hearty cooperation and assistance, financial and otherwise, of your Honor and the Provincial Government,

to apply the proceeds of land sold uudor the " New Zealand Settlements Act," afteridefraying charges incurred by them for compensation to Native claimants, surveys, immigration and location of settlers, ami on public works, to hold such proceeds available towards the completion of the scheme to the extent contemplated in the " Loan Appropriation Act, 1863." Failing your Honor giving your hearty assistance in the location of the immigrants arriving, for whom no preparation has been made, it will be a matter for the consideration of the Government, whether its attention must not be turned to drafting them away into other Provinces, so as to prevent them becoming a public burthen. I have, ,&c., , Henry Sewetx, For the Colonial Secretary.

ORDER IN COUNCIL,

Proclaiming certain Lands under " Ne v Zealand Settlements Act, 1863."

G. Gret, Governor. At the Government House, at Auckland, the 291h day of December, IS6I. Present:— '" His Excellency the Governor in \ Council. , Whereas by the " New Zealand Settlements Act, 1863" it was enacted amongst other things, that whenever the. Governor in Council should be satisfied that any native tribe or section of a tribe, or any considerable .number thereof, have since the first day of January, 1863, been engaged in rebellion Against her .Majesty's authority, it should be lawful for the Governor in Council to declare that the .lietrict within which any land being the property or in the possession of such tribe or section or considerable number thereof should be situate, should be a district within the provisions of the said Act, and die boundaries of such district in like manner to, define and vary as he should think fit. And whereas the Governor in Council, is satisfied that certain native tribes, or sections of tribes, having respectively as their property or in their possession the lands hereunchr described, have been engaged in rebellion against her Majesty's authority. Now, therefore, h>s Excellency the Governor, in exercise of the power vested in him by the said recited act, doth hereby with the advice and consent of the Executive Council of the Colony, declare that from the date hereof, the larid described in each of the eight schedules to this proclamation shall be a district within the provisions of the " New Z aland Settlement's Act, 1863," and sha'lbe designated by the name mentioned iri such schedule} and doth declare that the said lands are required for the purposes of the said Act and are subject to the provisions thereof, and doth order that the said .lands shall be and the same are here by set apart and reserved as sites for settlement aud colonization agreeably to the provisions of the said Act. Forster Goring, Clerk of Executive Council. LANDS ABOVE REFERRED TO. Schedule 1. Military Settlements. . AH that land bounded on the North by a straight line running East from the junction of the Waipa and Horatiu Rivers, to the eastern boundary of the lauds described in the Proclamation of December '7, 1864, and by a prolongation of the same line, running West from the junction of the Hortiua rivers and Waipa to the sumtnit of the Hakarimata Range ; on the West by the summits of the Hakarimata, the Kampamahunga, and the Pirongia Ranges ; On the South by the southern boundary of the aforementioned proclairned lands ; and on the East by the eastern boundary of the afore-mentioned proclaimed lands, to a point due east of the junction of the Waipa and Horatiu rivers^ aforesaid.

Schedule 2. —Patumahok.

All that laud known as the Patumahoe Reserve, containing 701 acres, bounded on the North by land sold to the Queen, 7100 links ; on the East by land sold to the Queen, 5970 links on the South hy land sold to the Queen, 2450 links, 6325 links, and 3260 links • on the vVest by land sold to the 1403 links. Queen, 3551 links, and 3377 links, and by a road 105 links.

Schedule 3.—Pukekoe.

All that land known as the Pukekohe Block, containing 5381 acres, bounded on the .North west by the Karaka Block, 21,040 links ; on the North-east by lots 4, 12, and 16, in the Pukekohe purchase, and by other lands in the same purchase, 29,400 links ; on the Southeast by other land in same purchase, 13,108 links,.and the South-west by a cut line, bearing N. 38 o W. 33,550 links.

Schedule 4.—-Pokeno

All that land, estimated to contain 19;000 acres, and known as the Pokeno Block, bounded on the West by land sold to the Queen iii the parish of Manatawhiri, by the._ Great South Road, and by the Ramararaa purchase ; on the North by the Ramarama and Hunua purchases ;-on the South by theMangatawhiri Creek and Swamp ; and on the East by a line bearing N. 36 W. 53,600. links.

Schedule s.—Tuakau.

All that land known as the Tuakau Block, estimated to contain 10,887 acres, bounded on the South by the Waikato River ; on the West by the YVaikato River, and by land sold to the Queen, by a cut line 1775 links, by a creek and a line 850 links, by a cut line 3100 links, by a cut line 7550 links, by a cut line 11,100 links ; on the North by the Tirikohua Creek, and bv land sold to the Queen 600 links, 1250 links, 450 links, 456 links, 1800 links, 2750 links, 1700 links ; by a road 200 links, by land sold to the Queen 5,400 links, 6,850 links, 10,450 links, 200 links, and 8,050 links ; on the East by land sold to the Queeo, 8010 links, 1400 links, and by the Waikato River.

Schedule 6.—Waiuku North.

All that land known as the Waiuku Block North, bounded on the North by the Ramaroa and Rangiriri purchases ; on the West by the sea ; on the South by land formerly sold to Dalziel's ; and on the East by the town of Waiuku and the Waiuku Creek.

Schedule 7.—Waiuku South,

All that land known as the Waiuku B'ock South, bounded on the North by Dalziel's claim ; on the East by the town of Waiuku and its suburbs, and by the Awaroa ; on the South by the Waikato River ; and on the West by the sea.

Schedule B.—Tuimata.

All that land known as the Tuimata Block, containing 640 acres, bounded on the North by lot 41 of the Parish of Opaheke 8250 links ; on the East by lot 47, 800 links, and by lots 47 aud 49, GIOO links, aud by 2900! links on

the South by land sold to the Queen, 2000 links ; and ou the West by lot 81, 6750 links. Superintendent's Oißce, Auckland, 21st January, 1865. g IR , I have the hotior to acknowledge receipt of your letter of the 4th instant concerning the management of the General Government immigrants. It is gratifying to find that no real difference of opinion exists concerning the proposals which I have submitted to you ; it being clear that success must depend upon the cordial co-opera-tion of the two Executives, to promote which nothing on. my part shall be wanting. I undertake that the location of the settlers shall be effected in such a manner as will best tend to carry out the objects of the Colonial Legislature, when they appropriated monies for the "introduction into the Northern liland of settlers from Australia, Great Britain, and elsewhere," and " for the cost of surveys, public works, and other expenses incident to the location of settlers." I am prepared to arrange, in concert with the General Government, and to undertake such public works as will afford employment to the immigrants, who will derive additioual advantage from Provincial works undertaken in their vicinity. With reference to these, however, I have to observ that I cannot recommend any disproportionate diversion of Provincial funds to the Waikato. It is my duty to distribute the revenue as fairly as I can over the whole of the Proviuce, and were I sacrifice any one district to another, I should be amenable to censure, which certainly would not be spared. But I shall recommend for Waikato full its share of Provincial expendi ture, in which the completion of works on the Great South Road alone, must be an important item. I am content that, as regards military settlers, the details and management should be left with the General Government. Your explanations of the intention the of General Government concerning the application of the proceeds of land sold under the " New Zealand Settlement Act " (if subject to the question of compensation to settlers of this Province, who have suffered loss through war) seems to me complete and satisfactory. Permit me to repeat that the one cardinal point is the power to make sale, from time to time, of sufficient portions of the confiscated land, thereby obtaining funds for the formation of public works, for bringing employers of labor in to the immediate vicinity of the immigrant settlers, and for strengthening the position by completing the colonisation of the district It is as essential to the seheme proposed by the Provincial Executive, as was the confiscation of land to that proposed by his Excellency's Ministers in the session of 1863. Without that power, I could not have pretended, and would not have attempted, to carry out what I have undertaken to do. With it', if sufficiently available blocks be handed over for immediate survey and sale, I feel confident (untoward events, which neither Government can forsee, excepted) that there will be no occasion to draw on the General Government for any genarl amount beyond the twenty-five thousand pounds which you have promised to supply. I calculate roughly, that during the next four mouths an expenditure of thirty-five thousand pounds, exclusive of surveys, will be required. This, I propose to obtain from sales ; and the question is, whether the surveys can be pushed on with sufficient rapidity to put the Executive in funds before the exhaustion of the twenty-five thousand pounds aforesaid. You will thus perceive that the demands upon the Colonial Treasury must be proportionate to the time which may elapse before the handing over the necessary quantity of land. Reports of the proceedings of the Executive shall be periodically supplied to you. I may state in brief, for your present information, that already the immigrants have been removed from the North Shore, except ten or fifteen invalids, and are located on the Waiuku block, in two settlements. The passengers per " Reihereteig," from Onehunga, are at this time at Maoro. Those per " Heleaslee " ■ere at Pokeno, arid will in a few days be employed on public works. It is my intention to place the passengers per '* Mataoka'' and "Maori" on Orewhero Block, provided there be no objection on the part of the General Government. I have, &c., Robert Graham, Superintendent.

Superintendent's Office, Auckland, 21st January, 1865. Sm, —I request to be informed whether there be any objection on the part of his Excellency's Ministry, to my laying before the Provincial Council copies of the correspondence which has taken place between the Colonial Secretaiy and myself concerning the location of the General Government immigrants in Waikato. I have, &c, Robert Graham, Superintendent. The Hon. the Colonial Secretary, Auckland. Colonial Secretary's Office, Auckland, 24th January, 1865. Sir, —I have to acknowledge the receipt of your letter of the 21st instant, and have to inform your, Honor, in reply, that there is no objection on the part of the General Government to your laying before the Provincial Council copies of the correspondence which has taken place between the Colonial Secretary and yourself concerning the location of the General Government immigrants in Waikato. I have, &c, Walter Mantell, For the Colonial Secretary. His Honor the Superintendent, Auckland.

Mr. Commissioner Ayrtou and Mr. R. P. Harding, tha persons appointed by the Lord Chancellor to investigate the accounts of the Bankruptcy Courts, have been spending some time at the Manchester court, where they seem to have dealt rather stringently with the officilis. Their enquiries extended over a period of two years and three quarters, beginning October 11th, 1861, and ending July Uth, 1864. The result is that they have ordered Mr. Millar, the messenger, to pay over a sum of £1,060, over and above the surplus with which he debits himself. This amount is made up of several items, of which the principal one is a sum of £853, charged as payments for travelling expenses, inventories, and advertisements, and disallowed on the ground that the items of which it consists have not been actually paid. However, these charges seem to have been in accordance with the practice of the London courts, and Mr. Millar alleges that if the whole sura be disallowed he will lose mou"v actually paid to assistant clerks, and others employed by him in making the inventories, &c. He claims, therefore, to have the total surcharge of XI ,060 leduced by £249. Southland.—Southland b at last provided with a Superintendent. On the meeting of the Provincial Council Dr. Menzies and Mr. Heale, the two rival candidates, withdrew their claims, and Mr. Taylor was thus enabled to gain that absolute majority of votes in the Council which the Supreme Court has decided tc be necessary,— Southland Times.