CORRESPONDENCE RELATIVE TO THE MAINTENANCE AND LOCATION OF EMIGRANTS INTRODUCED INTO THE NORTHERN ISLAND, UNDER "THE NEW ZEALAND SETTLEMENTS ACT, 1863."

Appendix to the Journals of the House of Representatives, 1865 Session I, D-02

D.—Xo. 2

CORRESPONDENCE RELATIVE TO THE MAINTENANCE AND LOCATION OF EMIGRANTS INTRODUCED INTO THE NORTHERN ISLAND, UNDER "THE NEW ZEALAND SETTLEMENTS ACT, 1863."

PRESENTED TO BOTH HOUSES OF THE GENEKAL ASSEMBLY, BY COMMAND OF HIS EXCELLENCY. WELLINGTON. 1865.

D.-No. 2,

No. 1. The Hon. the Colonial Secbetaey to the Superintendent, Auckland. Sic, — Colonial Secretary's Office, Auckland, December 21, 1864. 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 thnt, if the money which may arise from the sale of land under the New Zealand Settlements 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 in the sale of land applicable to the reimbursement of the outlay thereon. Under these circumstances, it is, in the opinion of the Government, reasonable that the Provincial Executive should have a considerable share in the management of the immigration into your province, as well as in laying out settlements, and locating the immigrants. Should your Honor concur in this view, the General Government will be prepared from time to time to supply you with funds for the maintenance and location of the immigrants, according to a plan to be arranged with your Honor. They will also, from time to time, hand over to the Provincial Government suitable blocks of land for the purposes of settlement. They must reserve to themselves the right of approving of the plans of settlement, so as to ensure the fulfilment of engagements entered into on behalf of the General Government with the immigrants, and the carrying out of the objects of " The New Zealand Settlements Act." I shall be glad to receive your Honor's earlj- reply, and I have, &c, HXKBY Sf.WELL. His Honor the Superintendent, Auckland. (For the Colonial Secretary). No. 2. The Supebintendent, Auckland, to the Hon. the Colonial Seceetaby. Sib, — Superintendent's Office, Auckland, December 21, 1864. I have the honor to acknowledge receipt of your letter of this day's date, in which you propose that the Provincial Executive should take a considerable share in the management 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, The Hon. the Colonial Secretary, Auckland. Robert Graham, Superintendent. No. 3. The Hon. the Colonial Seceetaet to the Supebintendent, Auckland. Sib, — Colonial Secretary's Office, Auckland, December 23, 1564. Referring to the arrangement proposed in my letter of the 21st instant, and agreed to in your' Honor's letter i>f the same day, for the future location of the immigrants who have arrived, or are expected to arrive in this province, I have to propose that, with a view to the practical completion of this arrangement, the care and supervision of these immigrants on their arrival (inclusive of disembarkation, proper treatment on board, payment of passage, &c.),and until they can 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 necessary ; a judicious employment of some of the immigrants on public provincial works ; and by facilitating, and even necessitating the private employment of others. Thus while the primary expense iy minimised, the labour will bo utilised to the utmost extent. It is equally clear that on the one hand, the Provincial Government have at their disposal the best means of effecting these desired objects, inasmuch as they have a local machinery of administration and supervision in such matters, a variety of local works on which employment can at once be given, and as immediate and personal interest in the economical and useful expenditure of available funds on thin 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. A

CORRESPONDENCE EELATIVE TO MAINTENANCE AND LOCATION OE IMMIGRANTS INTRODUCED INTO THE PROVINCE OF AUCKLAND, UNDER "THE NEW ZEALAND SETTLEMENTS ACT, 1863."

D.—No. 2.

Under these circumstances, your Honor will, I am sure, agree with me in the propriety of this undertaking, the cost of which ultimately falls in any case on Provincial Eevenue, being administered by the Provincial Executive. The accommodation already provided 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 (if, and in medical attendance on, the immigrants, would also 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 undertaking. As both Colonial faith and Colonial funds are involved in this matter, the General Government would still have an overriding control, which probably in practice would never require to be exercised, and it would be necessary that your Honor should periodically (say every month) cause to be furnished detailed reports of the proceedings of the Provincial Executive, with regard to these immigrants, and of their actual condition, and of all expenditure on account of them. I would add that, in my letter of the 21st instant, it is intended to include in the location of the immigrants the administration of the necessary survey of the lots on which they are to be located, and that such administration is in like manner handed over to your Honor's Government. On learning your Honor's acquiesence in these arrangements, I will at once direct all the necessary steps to be taken for carrying them into immediate efiect. I have, &c, Henht Sewell, His Honor the Superintendent, Auckland. (For the Colonial Secretary). Xo. 4. The Supebixtendext, Auckland, to the Hon. the Colonial Secretary. Sir, — Superintendent's Office, Auckland, December 28, ISG4. I have the honor to acknowledge receipt of your letter of the 23rd instant, concerning the practical completion of (he arrangement proposed by the General Government and accepted by me for the laying out of settlements and locating imigrants now in course of arrival under inducements offered by the General Government. I beg leave to state, in general terms, that 1 am prepared to use my best endeavours to minimise the cost, and to assist the General Government in the matter ; but that I have not as yet received that complete information which would enable me to go into details or to make an absolutely practical reply. My desire of course will be to fulfil every agreement that has been made with the immigrants, but it is necessary that 1 should be informed of the nature of those agreements, in order that I may satisfy myself whether I have 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 subject; I refer more particularly to the correspondence with Messrs. J. Morrison, "W. 8. 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 custody. In regard to your suggestion that some of the immigrants should be employed in public provincial works, I have to observe that I will do my best to find them in employment; but that this is a matter in which the Provincial Council have a voice as well as myself. The 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. I 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 necccssary surveys of the lots on which the immigrants are to be located, I 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 over the whole province. The necessity of the provincial surveys being conducted in 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 allowed to interfere with a measure of such importance. In accepting your proposals, I request that it might be understood that it must remain an open, question how far sums already expended by the General Government, of which I have no account, shall be held to be for the permanent advantage of the province of Auckland, and I trust that you will inform me at the earliest possible period of the charges which in your opinion ought to be made by you against this province, in order that they may be checked while the necessary information is 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 I propose to work. It will be especially necessary, however, that I .should be informed, approximately, of the amount of the large additions to the numbers of the immigrants, which in your letter of the 21st December instant, you tell me is expected, and without which large addition in my opinion a successful realization of the scheme cannot be depended on; also, approximately of the quantity of land within the confiscated block which the Provincial Government may calculate upon having to dispose of for the purposes of this undertaking; also, which of the sections of the New Zealand Settlements Act I am to be empowered to carry out. It appears to me essential that sections 16, 17, and 18, should be included. I have, &c, The Hon. the Colonial Secretary, Auckland. Kobert Gkauam, Superintendent.

2

CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—No. 2.

No. 5. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sin,— Colonial Secretary's Office, Auckland, December 28, 1864. Referring to my letter No. 347, of the 23rd instant, respecting the supervision and Care of the immigrants who have arrived, or may soon be expected to arrive in this province, I have to transmit for your Honor's information and consideration the enclosed documents bearing on that subject. I have, &c, His Honor the Superintendent, Auckland. Feed. A. Weld. No. 6. The Superintendent, Auckland, to the Hon. the Colonial Secheiaet. Sib. — Superintendent's Office, Auckland, December 29, 1864. In further reference to your letter of the 21st instant, suggesting that the Provincial Executive should take a considerable share in the management of the immigration undertaken by the late Government in pursuance of the New Zealand Settlements Act and the Loan Appropriation Act, 1863, on the ground that the province is interested in the expenditure upon that object, and in the sale of land 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 settlement, to be used at once for barrack accommodation, but in such a style of building as would afterwards enable the immigrants to use it either as a place of worship, a school, or a place of refuge in case of alarm from the natives. I propose to settle the immigrants on the best lands that can be found, leaving reserves sufficient for all public purposes, schools, hospitals, and places of worship. I propose that farms in the adjoining districts, varying from one hundred to one thousand acres in size, should be cut up and offered for sale by auction, subject to the following conditions :—Onefourth of the purchase-money 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 one-fourth 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 cannot, under my limited powers, hold myself in any way responsible for the protection of the immigrants. But I am prepared to hold myself responsible for the complete success of the scheme (accidents of war excepted), provided that the land which I consider most suitable for the location of the immigrants and for sale be at once handed over to the Provincial Executive. I propose that the Waikato regiments (to remain still under the control of the General Government) should be settled well up in the interior for defence of the frontier line, that inside that line farms on the before-mentioned conditions of improvement should be laid out and sold. Under such conditions it may be assumed 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 favoured situations nearer to Auckland, something in the manner of the enclosed sketch. 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 province of Auckland, the General Government, under present circumstances, 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 realisation 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 be placed on the confiscated land. For instance, to each party of the 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 the question I will endeavour to arrange details so as to meet your views. I have, &c, Eobekt Ghauam, The Hon. the Colonial Secretary, Auckland. Superinteudent. No. 7. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir, — Superintendent's Office, Auckland, January 4,1865. I have the honor to acknowledge receipt of your letter K"o. 351, of date 28th December ultimo, transmitting sundry documents respecting the General Government immigrants who have .arrived, or are about to arrive in this province. I have, <fee, Eobert Graham, The Hon. the Colonial Secretary, Auckland. Superintendent.

Xot Printed,

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AND LOCATION OF IMMIGRANTS

D.-No. 2

No. 8. The Hon. the Colonial Secketaby to the Supebintendext, Auckland. Sib, — Colonial Secretary's Office, Auckland, January 4, 18G5. I have to acknowledge the receipt of your Honor's letter of the 28th ultimo, in which you siibmit proposals in reference to the management of the immigration into this province, undertaken by the late Government in pursuance of the New Zealand Settlements Act, 1863, and the Loan Appropriation Act, 1863. I have also to acknowledge the receipt of your Honor's letter of the 29th ultimo, in reference to the same subject. I have the honor to express my satisfaction at finding that your Honor is prepared generally toaccept the management 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 the views of the Government. One main principle to be borne in mind is, that engagements entered into with these immigrants by the Government should be scrupulously fulfilled. Another is that the location of the settlers should be 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 forthe " introduction into the Northern Island 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." The objects of the Legislature may be inferred from the Loan Appropriation Act, 1863, to be the formation of permanently defensive settlements, and the recovery of the cost of such formation from the province concerned, either from the sale of land within it, under the New Zealand Settlements Act, 1863, or ultimately from its revenue. It may be safely concluded that the administration by the Provincial Government of the whole undertaking, under 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 owu 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 interested 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 outline its views of such a " location " of the immigrants as will compatibly with the means at the disposal of the General Government, best carry out their engagements the wishes of the Legislature. The promise of temporary employment on public works must be considered an engagement. The formation of thriving permanent settlements will moreover be the best means of fulfilling the objects of the Legislature in the pacification (actually and prospectively) of the country; in the civilization of the natives ; and in so enhancing the value of adjacent Crown lands as to make it the meansof refunding in a considerable degree the expenditure incurred. On these grounds the General Government will, within its means, give to the Provincial Government every resonable 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 observe in particular that the employment of the immigrants upon public works must be undertaken by 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 it lies in its power, subject to the question of future adjustment between the Province and the General Government, under 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, or 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 otherwise, 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 thp future extension of such system over the whole of the province. At the same time I must point out that the heavy burden now thrown on the Government, by the sudden arrival of immigrants in large numbers, for whose reception no preparation has hitherto been made, renders it imperatively necessary to lose no time in placing them upon their land, for which purpose the quickest kind of survey practicable, 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 the 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 information as speedily as possible. As regards the number of immigrants expected, I have no means of giving you an approximate estimate beyond what appears in the published papers, and in the other correspondence transmitted to

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CORRESPONDENCE RELATIVE TO MAINTENANCE

D.-No. 2.

you, from which I gather that 20,000 wan the number originally contemplated; that specific arrangements were made under the authority of the late Government, for sending out 5,000 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 2,000 will be sent altogether from the United Kingdom and 1,000 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 arrangement. As regards the quantity of land approximately which may be depended upon as available for the purpose of the undertaking, I am uuable 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 no doubt be included, but I shall be glad to receive suggestions from your Honor on this point. As to which of the sections of the 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 aft'ord every facility to your Honor in giving effect to such a plan, but it does not think it falls within the proper scope of its duties, or of the liabilities imposed on it by the Acts of the Legislature. The Government 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 lands for sale. The plan of sale will properly be left in great measure to your Honor's judgment. The question whether sales of land should be made upon a scheme of deferred payments, i,s 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 of this kind. It will be the duty both of the General and Provincial Governments, in fixing the location of the immigrants, to place them as far as possible, under protection, and out of reach of danger. It will therefore be necessary that the actual sites of settlement should bo 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 prepared to carry out the scheme of immigration, by applying funds arising from land sales to that object, the General Government will be prepared, provided it meets with the hearty co-operation and assistance, financial and otherwise, of your Honor and the Provincial Government, to apply the proceeds of land sold under the New Zealand Settlements Act, after defraying charges incurred by them for compensation to native claimants, surveys, immigration, and location of settlers, and on public works, and to hold such proceeds available towards the comjiletion of the scheme to the extent contemplated in the Loan Appropriation Act, 18G3. 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 Sewell, ( For the Colonial Secretary.) Enclosure to ~No. 8. OKDER IN COUNCIL, Proclaiming csrtain Lands under New Zealand Settlements Act, 1863. G. Grey, Governor. At the Government House, at Auckland, the 29th day of December, 1864. 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 district 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 the 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 hcreundcr described, have been engaged in rebellion against her Majesty's authority: Now therefore, His 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 land described in each of the eight Schedules to this Proclamation shall be a district within the provisions of the New Zealand Settlements Act, 1863, and shall be designated by the name mentioned in such Schedule, and doth declare that the said lands arc 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 hereby set apart and reserved as sites for settlement and colonization agreeably to the provisions of the said Act. Forster Goring, Clerk of Executive Council. B.

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D.-No. 2

LANDS above referred to. Schedule 1. —Military Settlements. All that land bounded on the north by a straight line running east from the junction of the Waipa and IToratiu rivers, to the eastern boundary of the lands described in the proclamation of December 17, 18G4, and by a prolongation of the same line, running west from the junction of the rivers Horatiu and Waip.i to the summit of the Hakarimata range ; on the west by the summits of the Hakarimata, the Kap&mahunga, and the Pirongia ranges ; on the south by the southern boundary of the aforementioned proclaimed lands ; and on the east by the eastern boundary of the aforementioned proclaimed lands, to a point due east of the junction of the Waipa and Horatiu rivers aforesaid. SCHEDULE 2. PaTUMAHOE. All that land known as the Patamahoe Reserve, containing 70 L acres, bounded on the north by land sold to the Queen, 7,100 links ; on the east by land sold to the Queen, 5,970 links; on the south by land sold to the Queen, 2,450 links, 6,325 links and 3,200 links ; on the west by land sold to the Queen, 1,403 links, 3,551 links, and 3,377 links, and by a road 105 links. Schedule 3.—Pukekohe. All that land known as the Pukekohe Block, containing 5,381 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 south-east by other lands in the same purchase, 13,108 links ; and the south-west by a cut line bearing N. 38 ° 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 in the parish of Maungatawhiri, by the Great South Road, and by the Ramarama purchase ;on the north by the Ramarama and Hunua purchases; on the south by the Maungatawhiri Creek and Swamp ; and on the east bearing N. 3G ° W., 53,600 links. Schedule 5. —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 Waikato river, and by land sold to the Queen, by a cut line 1,775 links, by a creek and a line 850 links, by a cut line 3,100 links, by a cut line 7,550 links, by a cut line 11,100 links; on the north by the Tirikohua Creek, and by land sold to the Queen, 600 links, 1,250 links, 450 links, 45G links, 1,800 links, 2,750 links, 1,700 links, by a road 200 links, by land sold to the Queen 5,400 liuks, 6850 links, 10,450 links, 200 links, and 8,500 links ; on the east by land sold to the Queen 8,100 links, 1,400 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 Rangariri purchases ; on the west by the sea ; on the south by land formerly sold to Dalziels ; and on the east by the town of Waiuku and the Waiuku Creek. Schedule 7. —Waiuku South. All that land known as the Waiuku Block 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, 8,250 links ; on the east by lot 47, 800 links, and by lots 47 and 49, 6,100 links, and 2,900 links; on the south by land sold to the Queen, 2000 links; on the west by lot 81, 6,750 links. No. 9. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir, — Superintendent's Office, 16th January, 1865. In accordance with your request that the Provincial Executive should inform you from time to time of their proceedings in reference to the location of immigrants on the Waikato, I have the honor to transmit for your information copy of a report on that subject, made by Mr. Newman to me, together with an illustrative tracing. I have, &c, Hugh Carletox, The Hon. the Colonial Secretary. (For the Superintendent.) Enclosure to No. 9. REPORT from Mr. Newman as to Location of Immigrants on the Waikato. Sir, — Remuera, 13th January, 1865. I have the honor to report, upon my return from Waiuku, the arrangements I have made to locate.the immigrants per " Steinwaerder" and " Alfred." I reached Waiuku on Monday evening, and on Tuesday started early, accompanied by Mr. Albrigh and Mr. Constable, —the latter, from his local knowledge of the country, rendering great service. Proceeding towards the sandhills along the road generally taken to the Waikato Heads, we followed the upper road, as shown on the plan, towards Waipipi. The land between the two roads is the best; under the sandhills it is generally good; while between the lower road and the Waiuku river, the soil is below the average quality. Reaching the Waipipi, I found the immigrants (about 220) had been landed on Monday, and had erected their tents, under Mr. Zimmerman's directions. The temper of the immigrants was somewhat

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CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—Ko. 2.

ruffled from the inconvenience and discomfort of the passage, but I imagine they will soon be contented when they get located upon their land. Arrangements were at once made for them to commence work the next day at ss. per diem, the overseers Gs., and the mechanics, when working at their own trade and finding their own tools, Bs. per diem — all paying back the cost price of their own and their families' rations. This arrangement will leave the young men about 225. per week, but the men with families requiring four rations will be left 2s. per week in debt. This can be avoided by selecting such as overseers, or, when earthworks are leb by the yard, and other work by piece-work, they will earn more money by increased labor. I was glad to find Mr. Smith well advanced with the survey, and with the assistance of Mr. Mclntosh, who goes down to-morrow, he promises to give each o-acre lot to the owner in ten days or a fortnight. Mr. Zimmerman is instructed, after they obtain possession, to allow each single man one week and the married men ten days to build their huts. With working over-hours upon their own lots, they will soon improve their dwelling-place, and render themselves comfortable. I am happy to report great improvement in their health since they left the North Shore, where they had been very sickly ; but five or six women and children had to remain in Waiuku under Major Speedy's care, and require medical aid. Proceeding to Waiuku along the lower road, we reached our lodgings about 7 p.m. The next day we were joined by Major Speedy and Mr. King, native interpreter to the Resident Magistrate. From the latter I was glad to learn that our movement is looked upon with favor by the friendly natives, and Mr. King manifests anxiety that we should act promptly in getting the settlers on the land. On our way towards Maioro, we selected " Whiri whiri," a place situated about two and a half miles from Waiuku, for a second settlement. In both cases the land is very good, with plenty of wood very near and water to be obtained everywhere by digging a well; also running streams and swamps close by. On our journey we passed over some very fine land, but more broken than desirable for farming purposes. At Maioro we found a suitable spot for a small settlement of about 150, and I propose to locate the passengers per " Eeiherßtcig" on a piece of table-land just above the landing-place on the Waikato, leaving the frontage to the river to be sold as a township. The suburban and general country laud is very rich, and about 5000 acres can be sold to give employment to the immigrants around each settlement; and from the good quality of the soil, I anticipate the amount realised will be 20s. to 40s. per acre. The first effort of the immigrants will be directed to making a passable dray-road to Waiuku, and then a leading road from the Maioro to the Pollock settlement at Awhitu. I desire to call attention to the necessity of some medical assistance being provided for a limited period, say twelve months, until the settlements are established, and to prepare for religious instruction by different ministers who may visit them, —and also a rallying-point in case of alarm from the natives, I strongly recommend that a substantial rough building should be erected, with temporary earthworks around, in the centre of each township. I do not recommend this expenditure from a sense of danger, but as a precautionary measure to give confidence to the people, and to deter the natives from making any attempt upon their lives. The building could also be used as a school, and should not cost more than £250. I have, &c, His Honor the Superintendent, Auckland. JoSEPn Newman. No. 10. Draft of a LETTEE to the Superintendent, Auckland. Sib, — Colonial Secretary's Office, Auckland, January 20th, 1865. With reference to my former communication on the subject of the Immigrants arrived and about to arrive in this Province under the scheme of Immigration undertaken by the late Government, I venture to suggest to your Honor the propriety of submitting to the Provincial Council, now in Session, a proposal for appropriating a portion of the funds available from the Provincial Loan of 18G2, towards the reproductive employment of their immigrants upon roads and public works in their immediate neighbourhood, the effect of which will be to relieve the Colony in part at least from its present heavy expenditure in a service the benefit of which will mainly accrue to the Province. Until the loan of 1803 is negotiated, the General Government is, as you arc aware, obliged to borrow the money required for carrying on the various public services, including that of Immigration under the New Zealand Settlements Act; and in so doing, it exhausts those resources which would be available for other objects of pressing need. The hearty co-operation of the Provincial Council at this moment by supplying funds in aid of this most difficult and most costly service, would afford very sensible relief to the Colony at large. In particular I venture to call your Honor's attention to the superior claims which the object I propose has over such objects as the Railway from Auckland to Drury, a work which may well be deferred for a time —or the building of a Government House and Public Offices, for which, under existing circumstances, there can be no pressing need. It has been the object of the General Government so to carry out the plan of Immigration undertaken in pursuance of the New Zealand Settlements Act as to secure the cordial co-operation of your Honor's Government and to advance the interests of your town. I feel that the Colony as represented by the General Government is entitled to claim from the Province in return the utmost assistance that it may be in its power to render. m MEMORANDUM by the Colonial Seceetaey. This draft never matured. F. A. W.

7

AND LOCATION OF IMMIGRANTS.

8.-No. 2

MEMORANDUM by the Attorney-General. Mr. Mantell, — I saw tlio Superintendent on 1 lie subject of this draft letter. I did not read it to him, but I expressed to him its general purpose. I ascertained from him that the Commissioners of the Drury Railway are pressing on their railway scheme so pertinaciously, and have involved the Provincial Government so far in liabilities, that it is hopeless on this account, as well as from the temper of the Council, to expect any relief to the General Government from the source indicated in this letter. I make this minute that it may be on record that the attention of the Provincial Government has been drawn to the subject; meantime, I have suspended the transmission of this letter. January 20th, 1865. Henry Sewell. Referred for the information of the Colonial Treasurer. March 29th, 1565. Henry Sewell. No. 11. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sir, — Colonial Secretary's Office, Auckland, 23rd January, 1865. I have to acknowledge receipt of your letter of the 16th inst., and to thank your Honor for the copy of a Report by Mr. Newman, together with an illustrative tracing on the subject of the location of immigrants on the Waikato, forwarded therewith, and to inform you that the suggestions of Mr. Newman shall receive the consideration of the Government at the earliest possible period. I have, &c, Walter Mantell, His Honor the Superintendent, Auckland. (For the Colonial Secretary.) No. 12. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir, — Superintendent's Office, Auckland, January 21st, 1565. I have the honor to acknowledge the 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-operation 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 Legislature, when they appropriated moneys for the " introduction into the Northern Island 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 sva will afford employment to the immigrants, who will derive additional advantage from provincial works undertaken in their vicinity. With reference to these, however, I have to observe 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 province, and were I to sacrifice any one district to another, I should be amenable to censure, which certainly would not be spared. But I shall recommend for Waikato its full share of provincial expenditure, 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 explanation of the intentions of the General Government concerning the application of the proceeds of land sold under the New Zealand Settlements 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 sales from time to time of sufficient portions of the confiscated land, thereby obtaining funds for the formation of public works for bringing employers of labour into the immediate vicinity of the immigrant settlers, and for strengthening the position by completing the colonization of the district. It is as essential to the scheme proposed by the Provincial Executive, as was the confiscation of land to that proposed by His Excellency's ministers in the session of 1868. 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, 1 feel confident (untoward events, which neither Government can foresee, excepted) that there will be no occasion to draw on the General Government for any large amount beyond the £25,000 which you have promised to supply. I calculate roughly that during the next four months an expenditure of £'35,000, 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"£2s,ooo 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 " Reihersteig," from Onehunga, are at this time at Maioro. Those per " Helenslee" are at Pokeno, and will in a few days be employed on public works. It is my intention to place the passengers per "Matoaka" and "Maori" on the Onewhero 15!o,-k, provided there be no objection on the part of the General Government. 1 have, &c, Robert Graham, The Hon. the Colonial Secretary. Superintendent.

8

CORRESPONDENCE RELATIVE TO MAINTENANCE

D.-No" 2,

No. 13. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sir, — Colonial Secretary's Office, Auckland, 20th January, 1865. I have to acknowledge the receipt of your Honor's letter No. IGB, of the 21st instant, in reply to mine of the 4th instant on the subject of General Government immigrants. I have to express my regret that your Honor does not consider yourself at liberty to propose any special appropriation of funds for the employment of immigrants in the Waikato district beyond what you consider that district would be entitled to in comparison with other districts of the Province. I have also to request your Honor to be good enough to specify the land within the proclaimed district which you would propose to offer for sale, and also inform me of the regulations and place of sale. "With respect to the proclamation of any fresh districts under the New Zealand Settlements Act, I would refer your Honor to my letter of the 23rd instant to Mr. Newman, of which I sent you a copy on the 23rd instant. I have, &c, Henry Sewell, His Honor the Superintendent, Auckland. (For the Colonial Secretary.) No. li. The Superintendent, Auckland, to the Hon. the Colonial Secret.uiy. Sir, —■ Superintendent's Office, Auckland, January 21, 1865. 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 Secretary and myself, concerning the location of the General Government immigrants in "Waikato. I have. &c, Robert Graham, The Hon. the Colonial Secretary, Auckland. Superintendent. No. 15. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sir, — Colonial Secretary's Office, Auckland, January 24, 1865. 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, His Honor the Superintendent, Auckland. (For the Colonial Secretary.) No. 16. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sir, — Colonial Secretary's Office, Auckland, 23rd January, 1865. In reference to the management of the immigrants brought here by the General Government having now been undertaken by the Provincial Government, I have to inform your Honor that any advances of money required from the General Government funds for expenses in connection therewith will be made to the Provincial Treasurer, instead of, as heretofore, to Mr. Eaton, who was acting under the General Government; and I have to request you to be good enough to inform Mr. Eaton accordingly, who is now under the Provincial Government. I have, &c, "Walter Mantell, His Honor the Superintendent, Auckland. (For the Colonial Secretary.) No. 17. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir, — Superintendent's Office, Auckland, 23rd January, 1565. I consider it my duty to acquaint you with a piece of information which I have received. I am not yet in a position absolutely to guarantee its authenticity, but it has reached me from a source entitled to confidence. It appears that persons from Auckland, it is said with the assistance of Mr. Charles Davis, are seeking to buy land at the "Wairoa from the few natives left in possession during the war, but whose friends took part in the robberies and murders which occurred in that neighbourhood. lam informed that £50 has already been paid, and that £1000 is to be paid in a few days. I would suggest the expediency of occupying the confiscated land at the "Wairoa with immigrants as soon as possible. lam not at present aware of any reason why settlers should not be sent there direct from the ship. I have, &c, Eobeet Graham, The Hon. the Colonial Secretary, Auckland. Superintendent. C.

9

AND LOCATION OE IMMIGRANTS.

D.— No. 2

No. 18. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sru, — Superintendent's Office, Auckland, 23rd January, 1865. I have the honor to forward herewith copy of letter No. 4-28, addressed to me by the Manager of the Bank of New Zealand, under date 10th January instant, stating the conditions on which the Bank is prepared to advance a sum ut .£25,000 on Treasury Bills to the Provincial Executive in its capacity of agent for His Excellency's Government in locating the immigrants. I have to request that you will enable me to inform the Manager as to when the Treasury Bills will be deposited with the Bank. I have, &c, BoBEitT Graham, The Hon. the Colonial Secretary, Auckland. Superintendent. Enclosure 1 to No. 18. The Sunummnr, Auckland, to the Manaher of the Bank of New Zealand. Sir, — Superintendent's Office, Auckland, 7th January, 1865. I have the honor to request that you v. ill submit the terms on which you are prepared to make an advance to the Provincial Executive, who are acting as agents to the General Government in locating the immigrants, and for the sale and settlement of the confiscated land. I am prepared to pay over £25,000 in Treasury Bills, bearing interest at 8 per cent., to bo sold at par, and shall require an advance to the amount named during the next three months—say £5000 to £10,000 each month—and engage, on behalf of the General Government, to repay the whole in three or four months thereafter in cash obtained from the General Itevenue, or from the sale of land, should the Treasury Bills not be sold in the interval. This arrangement, I trust, will tend to the whole of the money transactions connected with this agency being conducted as a separate department through your Bank. I have, &c, ROBERT GItAIIAM, The Manager of the Bank of New Zealand, Auckland. Superintendent. Enclosure 2 to No. 18. The Manager of the Bank of New Zealand to the Superintendent, Auckland. Sir, — Bank of New Zealand, Auckland, 10th January, 1865. I have the honor to aeknowlege receipt of your letter of the 7th instant, requesting me to submit the terms and conditions on which the Bank of New Zealand is prepared to make an advance to the Provincial Executive, who are acting :>s Agents to the General Government in locating the immigrants, and for the sale and settlement of the confiscated lands. You state that you are prepared to pay over £25,000 in Treasury Bills, bearing interest at 8 \)er cent., to be sold at par, and shall require an advance to the amount, during the next three months, of from £5000 to £10,000 each month ; and undertake, on behalf of the General Government, to repay the whole amount advanced in three or four months thereafter in cash, obtained from the General Eevenue or from the sale of land, should the Treasury Bills be found unsaleable in the interval. In reply, I beg to state that the Bank is prepared, on your handing over to us Treasury Bills for £25,000, having a currency of not more than three years, to imike the advance required—viz., of from £5000 to £10,000 in each month during the nest three months, the total amount advanced not to exceed £25,000 ; all advances to bear interest at the rate of 10 per cent, per annum on the daily balances, and in nogociating the debentures in London or the neighbouring Colonies, the scale of charges to be the same as that for negociating the debentures of the General Government, viz., $ per cent, free of all charges;—such advances, it is distinctly understood, to be repaid in cash from the General Revenues of the Colony or the sale of confiscated lands, at the expiration of three or four months, should it be found that the Treasury Bills are unsaleable at that time. I have, &c, A. Kennedy, His Honor the Superintendent, Auckland. General Manager. No. 19. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sib, — Colonial Secretary's Office, Auckland, 2Gth January, 1865. I have to acknowledge the receipt of your Honor's letter No. 170, of the 23rd instant enclosing copy of one from the Manager of the Bank of New Zealand, under date of the 10th January, stating the conditions on which the Bank is prepared to advance a sum of twenty-five thousand pounds on Treasury Bills to the Provincial Executive, in its capacity of Agent for His Excellency's Government in locating the immigrants ; and requesting that you may be enabled to inform the Manager when the Treasury Bills will be deposited with the Bank. In reply, I have to inform your Honor that your letter and enclosures will bo transmitted to the Colonial Treasurer without delay. I have, &c, Henry Sewell, His Honor the Superintendent, Auckland. (For the Colonial Secretary.) No. 20. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sib, — Colonial Secretary's Office, Auckland, 23rd January, 1865. I have the honor to enclose a copy of a letter dated the l!)th instant, from Mr. Newman, on the subject of the further location of immigrants, and of the reply winch I have directed to be transmitted to him.

10

CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—No. 2

It will be convenient that all official communications on the subject should come through your Honor as Superintendent of the Province of Auckland. I have, &c, Walter Mantell, His Honor the Superintendent, Auckland. (For the Colonial Secretary.) Enclosure to No. 20. Joseph Newman, Esq., to the Hon. the Attorney-General. Sib, — Waikato Settlements Office, Auckland, 19th January, 1865. I have the honor to report that the immigrants from Cape Town per " Alfred," 220 in number ; the " Steinwaerder," 200 ; and the " Reihersteig," 14S ; are either located or are being located upon the Waiuku block of land. The immigrants per " Helcnslee," -111 in number, are being located at Pokcno, and their claims for land will extend to Paparata; a continuation of the same block will lead down to the Wairoa District, where it is proposed to locate some of the immigrants that are expected in a few days to arrive from Ireland by the " Ganges." It will save expense to forward them from the ship to the spot they will occupy. There are then about 400 per " Matoaka," and about 350 per " Maori," remaining at Onehunga to be located on the Waikato. I beg to recommend that another settlement should be formed near Onewhero, opposite Camerontown, for the immigrants per " Maori," and another near Rangiriri for those per " Matoaka," 440 in number. I have made this early report prior to my visit to these localities next week, so that if there are an} 1 obstacles likely to arise from friendly natives or otherwise, I may avoid the careful inspection I shall be prepared to make previous to their final settlement. I beg to state that it is very urgent that immediate steps be taken to remove the Immigrants from Onehunga, not alone on the ground of expense, but to avoid the sickness and disorder always attendant upon a crowded building when made of iron. I have, &c, Joseph Newman, The Hon. the Attorney-General, &c. Commissioner for locating Immigrants. No 21. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir, — Superintendent's Office, Auckland, 25th January, 1865. I have the honor to acknowledge receipt of your letter of the 23rd instant, enclosing a copy of a letter addressed by Mr. Newman to the Attorney-Greneral on the subject of the location of the immigrants, with the reply which you directed to be transmitted to him ; also suggesting that all official communications should come through the Superintendent of the Province. I have the honor to observe that I was unaware until now of Mr. Newman's correspondence with the Attorney-General. I shall without delay inform you of the block upon which, in the opinion of the Executive, surveys ought to be immediately commenced. I have, Ac, Robert Graham, The Hon. the Colonial Secretary, Auckland. Superintendent. No. 22. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir — Superintendent's Office, Auckland, 28th January, 1865. I have the honor to transmit herewith, for your information, a precis of the location of the General Government immigrants. Active proceedings arc being taken to remove those who are still at Onehunga to their respective destinations. I propose placing some of them at Paparata, should a favorable report be received from a gentleman who has been sent to examine that District. Also at Wairoa, above Mr. Nieholl's farm, I submit that a settlement should then be formed at Onewhero, on the south bank of the Waikato; and another at Mere Mere. I have, &c, Robert Graham, The Hon. the Colonial Secretary, Auckland. Superintendent.

PARTICULARS OF LOCATION OF GENERAL GOVERNMENT IMMIGRANTS.

11

AND LOCATION OF IMMIGRANTS.

?ro. of >'AME OF SHIP. ADULTS. ■WIIEBE FROM. WHERE LOCATED. REMARKS. Steinwaerder Alfred ... Maori Rihersteig Eveline 159 171 270 125 252 Cape of Good Hope )j )» Whiri Whiri "NVaipipi Onehunga Maioro Onehunga 40 souls from the Steinwaerder joined the Alfred passengers, and settled at Waipipi. >> >! Total 977 Helenslee Matoaka ... 263 333 Glasgow London Pokeno Oiiehunga 596 Twenty-three shi Fifteen hundred rom Great Britain. art of the and sevei number agreed upon have been sent from tl lty-five have arrived altogether,—leaving al 27th January, 1865. >e Cape. )out fourteen hundred due Feed. G. Eatox.

D.—No. 2,

No. 23. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir, — Superintendent's Office, Auckland, 28th January, 1865. I have the honor to enclose for your approval Regulations which have been framed by the Executive for the occupation of lands in ihe Waikato District. I also recommend that the lands noted in. the margin be immediately surveyed with a view to sale. I have, &c, The Hon. the Colonial Secretary, Auckland. Robert Graham, Superinteudent. Enclosure to No. 23. CONDITIONS for the sale of Land in the Waikato. The land shall be exposed for sale by auction in lots varying from forty to one thousand acres at the upset price of ten shillings per acre, on the following conditions : — Within twelve months from the date of the auction, one-fifth of the acreage shall be properly cleared and ploughed if fern land or light bush land ; or if it be timbered land, one-third of the acreage shall be properly cut and burned off, or be put in a state fit for burning. One-third of the price offered shall be paid as a deposit at the time of the auction, aud one-third within one mouth after sale. At the expiry of the said twelve months (or within six months thereafter,") it shall be lawful for the purchaser, on proving compliance with the foregoing conditions and paying the balance of the price, to complete the purchase, and require a Crown Grant to be issued. In the event of the purchaser failing to comply with the conditions, and to pay the balance of the purchase money, the sale will be held to have been absolutely void, and the Government shall be entitled to all improvements made on the land, and to retain one-third of the price offered (that is, half of the first deposit) in lieu of damage*, for breach of contract. The Government shall be at liberty in all cases where the purchase is not completed, and the conditions of the improvements fulfilled in manner and within the time above prescribed, to resell or otherwise deal with the lots affected as may be deemed most expedient. No Crown Grants will be issued until the condition of improvement be fulfilled, even though the whole of the price be tendered or paid in advance. ■No. 24 The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir, — Superintendent's Office, Auckland, 2nd February, 1865. I have the honor to acknowledge receipt of your letter No. 29, of date 26th January ultimo, informing me that you will transmit to the Colonial Treasurer my letter, inquiring when the bills required to meet expenses involved in locating General Government immigrants will be ready to hand over to the Bank. I have, &c, The Hon. the Colonial Secretary, Wellington. Robert Graham, Superintendent. No. 25. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sib, — Superintendent's Office, Auckland, March, 1565. I regret having to inform you that Mr. Newman, the gentleman I solicited to join the Provincial Executive to assist in locating the General Government immigrants on their lands in the Waikato, has resolved upon declining my proposal. I consider it unnecessary to enter into detail, but I may state that a difference of opinion arose between us as to the most desirable land to be selected for that purpose. Mr. Newman desired to place the immigrants on land more isolated than I deemed advisable, and where, in my opinion, sufficient employment for them could not be found, thereby incurring the charge upon the General Government. He also considered that some of the confiscated Native reserves on this side of the Waikato were too valuable for such appropriation. In these opinions I could not coincide —considering it my duty to place the immigrants on the best lands that could be obtained for them, and in the most likely position for procuring labor. My primary object throughout has been to make it worth the while of the new settlers to remain upon their allotments, and not abandon them in search of more remunerative occupation. This in my opinion is the main element of possible failure in the scheme, and against this I have unceasingly endeavored to provide. I have, &c., The Hon. the Colonial Secretary. Robekt Graham, Superintendent. No. 26. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir,— Waikato Settlement Office, Auckland, March 4th, 1865. I have the honor to submit the following report relative to the immigrants introduced by the General Government into the Province of Auckland, showing the numbers that have arrived up to the present date, and what steps have been taken for locating them upon their land.

Ultimata. Pukaki. Tuimata Patiunalioe. Pukekolic. Wniuku. Waikato Ileads.

12

CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—No. 3.

Five ships have arrived from the Cape of Good Hope, bringing 977 statute adults, the number contracted for being 1000, viz.: —

The passengers by the " Steinwaerder" and the " Alfred' have been put in possession of their land, md are making preparation for the building of houses for their protection against the approaching inclement season. Those immigrants who arrived by the "Maori," " Beihersteig," "Eveline," " Helenslee," and " Matoaka," are stationed in the several districts of Pokeno, Maketu, Tniinata, Pukekohe, Patumahoi, and Waiuku, and are engaged in making roads through those localities. On the arrival of the "Ganges," I was informed that there had been a great mortality on the passage, principally among children. I consequently desired the Provincial Surgeon (before any of the passengers were allowed 1o land) to make strict inquiry as to the causes, as well as the nature of the disease. He reported " bronchitis and whooping cough." I have further considered it necessary to appoint a Board of Enquiry, whose report will be forwarded in due course. I have considered it advisable to locate the immigrants by this ship " Ganges," at Onehunga. for atime, where the accommodation is good, the water pure, and where medical comforts can be more conveniently administered. 1 have appointed an officer to accompany each body of immigrants up the country to see that their provisions are regularly supplied ; also to inspect the labouring men, keep an account of their time, &c. A supervising engineer is appointed to visit the several settlements, to select the most necessary works, and see they are efficiently performed. I have found it necessary to appoint two medical men to administer relief to such immigrants as may stand in need of it. i have stationed one at Waiuku, the other at Drury. It is my intention to make the immigrants pay their own medical officers, and for their medical comforts, from the commencement of the present month. Application has been made by a number of the immigrants for an advance of a supply of timber to the amount of £10 in value for each family. I believe that some such promise was held out to them by the General Government. As the winter season is fast approaching, I shall be obliged by your informing me on this subject at your earliest convenience. Application has also been made by the immigrants to be supplied with rations on Sundays free of cost. Surveyors are busily engaged in marking oft" the land for the immigrants, who will be placed in possession with the least possible delay. Immigrants are shortly expected by the "Viola," " Bombay,'" and three other ships. I regret having to inform you that a difficulty has arisen which has hindered me from forming a settlement at Wairoa. Two of the friendly natives having laid claim to a portion of the land, I have desired Mr. Mackay, the Commissioner of tlie District, to negociate an arrangement with them. There are many strong reasons for the formation of a settlement in so favorable a position. lam anxiously waiting a reply to my application, dated 21st January, respecting Onewhtro. I think it desirable a strong party should be placed there at once, and that roads should be made through a country so fertile and peculiarly well situated for farming operations. 1 applied for that block on the 21st January, and now forward tracings, with boundaries of blocks, &c. I likewise think it desirable to locate immigrants at Kirikiri, near Papakura, at the Horaiiu, and at the Wahi The boundaries of the settlement proposed are also forwarded herewith. D

13

AND LOCATION OF IMMIGRANTS

DATE OP ARRIVAL. NAME OF VESSEL. STATUTE ADULTS. ADULT MALES. PLACE OF LOCATION. 1S64. 18th October ... 18th November Steinwaerder ... Alfred 159 171 60 91 Whiri Whirl Waipipi. ( Tuakau Drury < Pukckohe ( Maketu 23rd December Maori 270 124 24th „ ... Kihcrstci^ Eveline 125 252 56 133 Maioro. DruJy, Maketu 977 473 From the Uxited King: lOM. DATE OF ARRIVAL. . NAME OF VESSEL. STATUTE ADTJLTS. AUUI.T MALES. PLACE OF LOCATION. 1864. 23rd December ... 1865. Hclcuslec 259 122 Pokeno. 3rd January Kith February ... Matoaka Ganges 361 364 176 172 Waiuiro. Onehunga. 'oliil statute adult 984 470 i, 1961. Total ,dult males, 94-3

D.—No. 2.

I am also desirous of knowing how soon the lands may be brought into the market. I have from the first endeavoured to impress upon the General Government my conviction that the success of the scheme must depend upon making speedy provision for the employment of the labour which has been so suddenly introduced mi o the province, and foresee that a largely increased expenditure must be incurred for the maintenance of these people unless the means are found of enabling them to maintain themselves by their own exertions. Eegulations embodying the conditions of sale proposed by me were forwarded on the 28th January, but as yet I have not received a reply. In consequence of the expected arrival of five more ships with immigrants, the necessity for Onewhero being placed at my early disposal becomes the more urgent. I have, &c, KoiiEKT GItAHAM, The Hon. the Colonial Secretary, Wellington. Superintendent. No. 27. The Hon. Colonial Secketatcy to the Sui'ekintkjsdknt, Auckland. Sib, — Colonial Secretary's Office, "Wellington, Bth March, 1565. The Government will feel obliged by your Honor giving them such information as may be in your power respecting the progress made in the location of immigrants and the disposal of the confiscated blocks of land. It appears to the Government that, assiuning sufficient provision to have been now made for the immigrants either actually arrived or expected, steps may be taken for selling the unappropriated parts of such blocks. Your Honor will no doubt concur in this view, and I have therefore to request that you will be good enough to favor me, with as little delay as possible, with exact plans and particulars of the land which may be offered for sale to the public, together with such regulations and plans of sale as your Honor may in each case think suitable. The Government will be desirous, as soon as possible, to give effect to your Honor's views on tin's question ; though, of course, it must reserve to itself a right of final judgment upon the proposals which your Honor may submit. 1 shall be glad to receive any further suggestions from your Honor in reference to this important subject. As regards the Tuakau Block, the Government will be ready to accept a fair proposal from the Provincial Government for the purchase of that block in bulk. I have, &c, 11. A. Atkinson, His Honor the Superintendent, Auckland. (For the Colonial Secretary.) No. 28. The Hon. Colonial Secbetaky, to the Superintendent, Auckland. Sir, — Colonial Secretary's Office, Wellington, loth March, 1865. I have to acknowledge the receipt of your Honor's letter No. 268, of the 4th instant, relative to the location of immigrants introduced by the General Government into the Province of Auckland, and to thank your Honor for the information which it contains on that subject. I proceed to reply to the points respectively on which you desire the instructions of the Government. Ist. The Government are not aware, of any promise to the immigrants of an advance of supply of timber for their houses, and the Government cannot incur any expense iii the location of immigrants beyond what is strictly necessary. 2nd. The application for free rations on a Sunday cannot be admitted. 3rd. The Government cannot at present sanction the location of immigrants south of the "VVaikato and Pa pa rat a. 4th. With reference to the public employment of immigrants, J would observe (as stated by Mr. Reader Wood to Mr. Clark, in a letter dated June the 2nd, 18G4) "that it is not part of the present plan to secure the services of a numl er of labourers exclusively for the Government. The object is by combining capital and labour to create self-supporting settlements. The public works must not be looked upon as a constant resource. They may i c fully relied upon in the first instance to secure to the settlers a fair start, but they must not be trusted to as a means of permanent subsistence. For this the emigrant must look to his own energy, to his land, and to the employment which the ordinary business of the settlement will afford." sth. On the subject of the sale of lands, I have 1o refer your Honor to my letter No. 76, of the Bth instant. The Government will use every endeavour to place some land in the market without delay, and they are anxiously awaiting the proposed regulations of sale to which your Honor refers as enclosed in your letter of the 28th January last, but which letter has not, as far as I can learn, ever been received. I have to request your Honor to be good enough in future to transmit to me monthly estimates in detail of the probable expense on account of the immigrants for the succeeding month These estimates should be forwarded sufficiently early to enable the Government both to check the accounts and to make the necessary financial arrangements. I have, &c., His Honor the Superintendent, Auckland. Feed. A. Weld.

14

CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—No. 2.

No. 29. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sib,— Colonial Secretary's Office, Wellington, March 25th, 1865. I have addressed your Honor, in a separate letter, on the subject of discontinuing the employment upon public works of the newly-arrived immigrants. Iv connection with this subject it appears to the Government that it may be conducive to the interests of the Province and the Colony, as well as of the immigrants themselves, to give them Crown grants of their land immediately, without requiring the condition of residence. The effect of this will no doubt be to throw land into the market for sale, and so expedite the settlement of the country, and the introduction of capital into the newly settled districts. I shall be glad to be favored with your Honor's views on the subject. I have, &c, His Honor the Superintendent, Auckland. F. A. Weld. No. 30. The Hon. the Colonial Secretary, to the Superintendent, Auckland. Sut, — Colonial Secretary's Office, Wellington, March 25th, 1865. Adverting to my former letters on the subject of the sale of lands within the blocks proclaimed under the New Zealand Settlements Act: I have to urge upon your Honor the expediency of your furnishing the Government, without delay, with full particulars of all lands which, in your Honor's opinion, may be opened for sale, without infringing on the rights of the friendly natives. I conclude that the lands have been surveyed, and that the surveys are in a state to show the hinds allocated to immigrants, as well as those proposed to be offered for sale. I have to request that your Honor will be good enough to furnish me with tracings of such surveys, with the least possible delay, with such explanatory remarks as may enable the Government to form a judgment upon the proposed plans of sale. As it will be necessary, before offering land for sale, to ascertain clearly the natives claims thereto, it will greatly facilitate the bringing land into the market if you will submit the plans to Mr. Fenton, the Chief Judge of the Native Land Court, who will report to the Government as to the natives claim thereto. May I request that you will be good enough to supply Mr. Fenton with tracings of your proposed plans accordingly. With reference to the regulations transmitted to you for the consideration of the Government, and according to which it is proposed to sell the land at 10s. per acre, subject to improvement clauses, with deferred Crown grants, I would call your Honor's attention to the fact that such a system has resulted invariably in failure, both in this colony and elsewhere; and that the effect will be greatly to diminish the funds expected to arise from this source. I have, &c, His Honor the Superintendent, Auckland. Fred. A. Weld. No. 31. The Hon. the Colonial SECBETAitT, to the Superintendent, Auckland. Sir,— Colonial Secretary's Office, Wellington, March 25th, 1865. The Government having fully considered the question of employing the newly-arrived immigrants upon public works, both with reference to engagements made with them, the financial condition of the colony, and the expense now being incurred, have come to the conclusion that it will be impossible to continue such employment after the end of April next. I have therefore to request you will be good enough to inform the immigrants accordingly, so that in +he meantime they may take steps for providing themselves with other employment. The Government desire that every facility may bo given them for this purpose, and that they may be allowed a reasonable number of days, without forfeiting their wages whilst seeking employment. As regards an allowance for buildings, I do not consider that any engagement exists binding the Government indiscriminately to allow the immigrants fifteen pounds (£l5), or any specific sum, for buildings. If in any special cases application for such allowance should be made, Government will be prepared, after being fully informed of the circumstances, to consider the particular application. The Sub-Treasurer at Auckland will be instructed to discontinue payments on the above account lifter the expiration of the month of April next. I have, &c, His Honor the Superintendent, Auckland. Fred. A. Weld. No. 32. Sub-Treasurer, Auckland, to His Honor the Superintendent, Auckland. Sir,— Sub-Treasury, Auckland, March 30th, 1565. I have the honor, by direction of the Colonial Treasurer, to forward for your information an extract from a letter I have this day received from the Hon. the Colonial Treasurer, and to acquaint you that, in obedience to the instructions contained therein, I have requested Mr. Eaton, the Superintendent of immigrants, to give the parties concerned the prescribed notice with the least possible delay. I have, &c, His Honor the Superintendent, Auckland. E. F. Pobteb.

15

AND LOCATION OF IMMIGRANTS.

D.—No. 2

(Extract.) Treasury, Wellington, March 25th, 1865. I have now to request your particular attention to the following retrenchments which the Government has decided to carry into effect. IMMIGRANTS. No wages nor rations are to be given to immigrants who are located upon their lands after the 30th of April next ensuing. You will please, therefore, give the parties notice of this, and also write to the Superintendent informing him of it. This, you will perceive, will give a month's notice to all who are now on their land, after which wages and allowances will cease. I have, &c, J. WOODWARD. A ssistant-Treasurer. No. 33. The Superintendent, Auckland, to the Hon. the Colonial Seceetaht. ■Sir, — Waikato Settlement Office. Auckland, April 3rd, 18G5. I have the honor to acknowledge receipt of your letter, dated March 25th instant, informing me that it appears to the Government that it may be conducive to the interests of the Province and the Colony, as well as of the immigrants themselves, to give them Crown grants of their land immediately, without requiring the consideration of residence, and requesting to be favored with my opinion on the subject. I must observe, with much deference, that the carrying out of this proposal would amount to an abandonment of the whole scheme for the settlement of the Waikato. The sole object of bringing out these immigrants was to keep them on their lands; and anything done subversive of that object would be, in my opinion, a breach of faith with the Colony, and more especially with the Province of Auckland. The immediate issue of Crown grants would assuredly induce the greater number of the immigrants to realise and quit, thereby incurring the waste of the whole expenditure already laid out in the location. I am confident that such throwing of land into the market would not have the effect of expediting the introduction of capital into the newly settled districts. It would merely leave them waste. Capitalists do not purchase five-acre allotments; and although money contributed by bond fide settlers would readily be found for the purchase of lands alongside of the settlements, the population being fixed, it would not be forthcoming were the population removed, unless perhaps from a few speculators desirous of investment. I take occasion to observe that it is of much consequence to the Province of Auckland that the General Government immigrants should not be dispersed, as it has been found necessary to check the influx of our own provincial immigration. I have, &c, The Hon. the Colonial Secretary, Wellington. Bobert Graham, Superintendent. No. 34. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir,— Waikato Settlement Office, Auckland, April 3rd, 1865. I have the honor to acknowledge receipt of your letter dated March 25th, 18G5, urging upon me the expediency of my furnishing the Government, without delay, with full j'artieulars o f all lands which, in my opinion, may be opened for sale, without infringing on the rights of friendly natives. I must request you to inform me what are the rights of friendly natives over confiscated blocks. Until receipt of such information from you, it will not be possible for me to make a satisfactory reply. I should presume that the friendly natives have, under the Act, no rights but those of compensation. These questions, however, it appears to me, would be more properly referred to the Court which has been established by }'ou for the express purpose of deciding such matters. You proceed to state that you conclude that the lands within the above blocks have been surveyed, and that the surveys arc in a state to show the lands allocated to immigrants, as well as those proposed to be offered for sale. You likewise request me to furnish you with tracings of such surveys with the least possible delay, with such explanatory remarks as may enable the Government to form a judgment upon the proposed plans of sale. In reply I invite your attention to your letter to me, dated 23rd December, 18G4, in which you state that—it is intended to include in the location of the immigrants the administration of the necessary surveys of the lots on which they are located, and that such administration is in like manner handed over to my Government. Also to my reply dated 2sih December, 18Gi, in which I state in regard to your proposal that 1 should undertake the administration of the necessary surve3 Ts of the lots on which the immigrants are to be located, that I am willing to do so. You will observe that the administration of the surveys of the lands proposed to be offered for sale has never been officially handed over to me: consequently that I am not necessarily required to supply tracings of such surveys, or explanatory remarks. But I have used my best endeavours to promote the work, and comply, as far as I am able, with your request, by forwarding the information through Major Heaphy's office, direct. I have also applied to Mr. Fenton, whose answer I enclose. By this it appears that certain blocks, mentioned therein, will be disposable under the New Zealand Settlements Act for sale or otherwise at an early date. In regard to that portion of your letter, which treats of the regulations for the sale of hind, transmitted by me for the consideration of the Government, it appears to me that you labor under some misapprehension. These regulations were given by me into Mr. Sewcll's hand, at Auckland. They appear to have been mislaid at Wellington: and I have not yet recovered the original draft. But they were to this effect: —

16

CORRESPONDENCE RELATIVE TO MAINTENANCE

D.r-NevA

First, tliat the land shall be sold by auction; one-third cash payable at the fall of the hammer;. one-third at the expiration of one month: and the remaining third at the expiration of twelve months,, when a Crown grant will be issued on the following conditions being complied with:—namely, one-third of the land, if fern, to be cleared and ploughed; or one-third, if bush, to bo cut and ready for burning. Of course the conditions of improvement will have the effect of diminishing the prices bid for land at auction, but I am unable to devise any more certain means of providing labor in the vicinity of the settlements ; and, in my opinion, the loss entailed would be far more than counterbalanced by the relieving of the Government of the necessity of providing for the maintenance of the immigrants. The Hon. the Colonial Secretary, Wellington. I have, <fee. Robert Graham, Superintendent. Enclosure 1 to No. 34. Hokatiu Block. All that piece of hand known as the Horatiu Block, estimated to contain 20,000 acres, and bounded on the north-west by the northern branch of the Mangawara river; on the west and south-west by the Waikato river, to a point on the eastern bank (3) three miles above the junction of rivers at Ngaruawahia; thence on the south-east, by a line bearing N. 41 ° E. eight (8) miles, and thence on the north-east, by a line bearing N. 41 ° W. (3 J-) three and a half miles to the Mangawara river. Excepting sixty-nine suburban allotments, numbered from 0 to 85, lying opposite Ngaruawahia, on the eastern side of the Waikato, and which have been surveyed b} r the General Government. Onewiieeo Block. All the land called the Onewhero Block, estimated to contain 19,000 acres, bounded towards the north by the Waikato river ; towards the cast by a line commencing at Te Awamutu, and running thence to Te Karu o nga moko, thence to Oweruru, to Paperoa, to Papaioiwi, to Purukete, and thence to Te Tapora-o-ngatokorua ; towards the south by a line from Te Tapora-o-nga-tokorua to Te Reioto, thence to Te Moari, to Waiparuparu, thence in a northerly direction to a point north of Tehurua, thence to Waipuna, Ngarua, Ohinekea, Te Kauri, Waiokura, and thence to Kai-a-wharangi; towards the west by a line from Kai-a-wharangi, thence to the Wairoa, to Hurahura, Kaiaiia, and thence passing through Waiwaiia swamp to the AVaikato river. Kerikeju or Pukeki-wiriki Block. All that piece of land known as the Kerikeri Block, near Papakura, containing about 2730 acres, and bounded on the north by the Wairoa road, and by Lot No. 3, parish of Opaheke, and by Lots No. 27, 28, 29, and 30, parish of Ilunua ; on the east by a Government reserve, and by Lots Nos. 33 and 34 of the parish of Hunua, and by a road; on the south by a road, and by Lot No. 143, parish of Hunua, and by Lot No. 52, parish of Opaheke ; and on the west by a road, and by Lot No. 18, parish of Opaheke, by the Great South Koad, and by a Church of England school reserve. Wahi Block. All that piece of land known as the Wahi Block, estimated to contain 1000 acres, and bounded on the east by the Waikato river; on the north by the Wahi stream and lake ; on the west by the Wahi lake and swamp ; and on the S. by a line running S. 70 ° W. from the Coal Village landing-place-— (120) one hundred and twenty chains. Enclosure 2 to No. 34. Chief .Tuihie. Native Land Court, to the SupEiuvrENi>Evr, Auckland. Sir,— Native Land Court Office, April 3rd, 1865. In reply to your Honor's letter of the Ist instant (Saturday), I have the honor to state that I expect by the next mail from Wellington to have the service of Messrs. Rogan and Mackay rendered available for the business of this Court; and if that expectation is fulfilled, the blocks of land hereunder mentioned will be disposable under the New Zealand Settlements Act, for sale or otherwise, on the dates mentioned :—Pukekohe, 24th April; Waiuku (2), 24th April; Tuakau, 14th May ; Pokeno, 14th May. Of course there is no impediment at present to surveys and preparations for sale. I have, Ac, His Honor the Superintendent. F. D. Fenton, Chief Judge. No. 35. The SuPEnrs'TEXDEJCT, Auckland, to the Hon. the Colonial Secretart. Sib, — Waikato Settlement Office, Auckland, April 3rd, 1805. I have the honor to acknowledge receipt of your letter dated March 25th instant, informing me, in reference to engagements made with the newly-arrived immigrants, that the General Government have come to the conclusion that it will be impossible to continue such employment after the last day of April next, and requesting me to inform the immigrants accordingly; also, that the Sub-Treasuror at Auckland will be instructed to discontinue payments on the above account after the expiration of the same period. I have likewise received a letter from the Sub-Treasurer enclosing an extract from his instructions, by which he is informed that no wages or rations are to be given to immigrants who are located on their land after the 30th of April next ensuing, and directing him to give the parties notice. The two sets of notices have accordingly been issued, notwithstanding their seeming discrepancy. In your letter to myself, dated Auckland, 4th January, 1865, you observe that—" One main principle to be borne in mind, is, that engagements entered into with these immigrants, by the Government, should be scrupulously fulfilled." E

17

AND LOCATION OF IMMIGRANTS.

P.—No. 2,

Also, that " The promise of temporary employment on public works must be considered an engagement." Also, that the General Government will be prepared, provided that it meets with the hearty co-operation and assistance, financial and otherwise, of myself and the Provincial Government, to apply the proceeds of land sold under the Xew Zealand Settlements Act, after defraying charges incurred by them for compensation to native claimants, surveys, and location of settlers, and on public works, towards the completion of the scheme to the extent contemplated in the Loan Appropriation Act, 18G3. No promise of employment on public provincial works lias been made. The extracts from parliamentary papers, &c., enclosed, show how far engagements have been entered into with these immigrants, in regard to their employment on public works undertaken on behalf of the General Government. It. suffices to invite your attention to the relative position of the immigrants and the General' Government in regard to that engagement. But it becomes necessary to enter more fully into the engagements contracted by the General Government towards the Provincial Executive. At your request the Provincial Executive consented to undertake, as agents for the General Government, and on land belonging to the General Government, the settlement of these immigrants, a number of whom had already arrived, and for whom no preparation had been made. This was to be done subject to the overriding control of the General Government. In your letter to me, dated 21st December ultimo, you stated that the General Government will be prepared, from time to time, to supply mo with funds for the maintenance and location of the immigrants, according to a plan to be arranged with me. In your letter to me, dated 23rd December ultimo, you stated that such sums as may from time to time be required by me for the whole undertaking, would be placed at the disposal of the Provincial Government. In my letter to you, dated 29th December, I stated that I was prepared to hold myself responsible for the complete success of the scheme (accidents of war excepted), provided that the laud which I considered most suitable for the location of the immigrants, and for sale, were at once handed over to the Provincial Executive. In my letter to you, dated 21st January ultimo, I informed you that the demands upon the Colonial Treasury must be proportionate to the time which might elapse before the handing over the necessary quantity of land. All engagements with the General Government have been scrupulously fulfilled by me, but the land has not been handed over by you, and the supplies from the fore-mentioned date are stopped. Hitherto the scheme has been a success, all immediate difficulties having been overcome by the Provincial Executive, but the time of year at which these immigrants have arrived has made it absolutely necessary (even if the obligation were not already sufficiently incumbent on the Government at whose instance they were brought here.) that means of support be afforded them until their lirst crops shall be fit for use, or until some means of employment shall be afforded in the vicinity of their settlements. No land having yet been thrown open for sale, no capitalists or employers of labour have been attracted to the neighbourhood ; and the expressed intention of the General Government to stop all means of support by way of rat ions or of Government employment renders inevitable the desertion of the settlements ; a result to be further secured by the offer of Crown grants immediately, seemingly as a composition for the wayward abandonment of the whole scheme for permanent occupation of the Waikato. I need not dwell upon the result of this course of action —upon the misery to the women and children, cast upon charity and public subscription ; upon the inundation of pauperism into the towns ; the reckless sales that would take place if Crown grants were at once issued; the hopelessness of inducing capitalists to assist in the culture when the labourers shall be no longer on the spot, and the death-blow given to all hopes of successful immigration from abroad by such treatment of those who have come to Xew Zealand on the faith of a scheme promulgated by the General Government. Under these circumstances, 1 have no option but to resign 1 lie agency for the General Government, as do the other members of my Executive. We shall continue to act until the receipt of advices by the return mail from Wellington, after which time we shall consider ourselves relieved. I beg you to accept our assurance that we are most careful not to embarrass you in any way. All difficulties arising from unpreparedness and the first hurry of location have been overcome for you ; your staff is in thorough working order, and systematic operation has been established. l*ou have Imt to appoint a Supervisor to charge on your behalf. To him, should he think fit to accept, we volunteer our advice and active assistance. We simply require to be relieved from responsibility for a scheme which we are no longer permitted to conduct on the terms agreed to. 1 have, Ac, Eobkbt Graham, The Hon. the Colonial Secretary, Wellington. Superintendent. Enclosure to No. 35. EXTRACT from Parliamentary Papers relating to Immigration. This land should be given on condition of residence, and granted in fee simple after that condition has been fulfilled for three years. There will be no lack of employment, as public works on a considerable scale will be undertaken in the districts in which settlers are located, and until work is available in the ordinary course of country industrial occupations, the surplus labour of the districts will be employed on such works. Frederick Whttaker. The Hon. E. Wood.

18

CORRESPONDENCE RELATIVE TO MAINTENANCE

D.-No. 2.

Colonial Secretary's Office, Auckland, Ist April, 1864. The Government will find employment for them during at least six months. W. GISBOBNE, Under Secretary. [This should be compared with the Hon. Mr. "Wood's letter to Mr. Clark in regard to the Scotch immigrants.] INSTRUCTIONS for William Beeo, Esq., Emigration Agent, Cape Town. There will be no lack of employment, as public works will be undertaken in the districts in which settlers are located, and until work is available in the ordinary course of country industrial occupations, the surplus labour of the districts will be employed on such works. No. 36. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sib,— Colonial Secretary's Office, Wellington, Bth April, 1865. I have to acknowledge the receipt of your Honor's letters of the 3rd instant, and to inform you that Dr. Knight will proceed to Auckland forthwith, specially commissioned by the Government in reference to the subject of your letters, and will put himself in communication with your Honor. I have, &c, Fred. A. Weld. His Honor the Superintendent, Auckland. No. 37. LETTEJt of the Hon. the Colonial Secretary to the Superintendent, Auckland, — dated 10th April, 1865. [For this Letter, see Enclosure 1 to _/Vb. 39, post.] No. 38. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir, — Superintendent's Office, Auckland, 18th April, 1865. I have the honor to acknowledge receipt of your letter dated 10th instant, in reply to mine of the 3rd instant, informing you that the Provincial Executive requiring to be relieved from responsibility for a scheme which they were no longer permitted to conduct on the terms agreed to, resigned the agency for the Waikato Settlements. You enter at great length into the question whether there has been any breach of agreement between the General Government and the immigrants. But the question which I mainly insisted on was this, —whether there had been any breach of agreement between the General Government and me. To this no answer has been returned. The terms on which I undertook the agency were definite. These, rigidly adhered to by me, have been departed from by the General Government, without even the form of previous consultation with i ";e Provincial Executive. Even were those terms again agreed to, I could have no reasonable assurance that they might not be again departed from, and that I might not again be taken by surprise. At your request, I assumed a grave responsibility, from which, under many difficulties I have not flinched. The agreement having been overthrown by the General Government, I can see no reason for revoking the determination, to which, in common with my Executive, I had arrived, namely, —to resign the agency into your hands. You have been informed that the Provincial Executive would continue to act until the receipt of advices by the return mail from Wellington, after which lime we should consider ourselves relieved. ])r. Knight having arrived with authority to act in your behalf, we presume that he now takes charge. I have again to express my willingness and that of my Executive, to afford advice, information and active assistance, should he think proper to demand it. All may go on as heretofore, save only in this, —that I am absolved by change of direction, from responsibility for the success of a scheme in which public confidence has been so rudely shaken. I observe that you endeavour to cast blame upon your predecessors in office, and upon myself. It is to be presumed that they will find a time and place to defend themselves; but as lam unwilling that any misapprehension should remain on your mind, in regard to the Provincial Government, I shall, by the next opportunity, address a separate communication to you on the subject. I have, &c, The Hon. the Colonial Secretary, Wellington. Bobert Graham, Superintendent. No. 39. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir, — Superintendent's Office, Auckland, 20th April, 1865. In my letter of the ISth instant, written in reply to yours of the 10th instant, concerning the Waikato Immigration scheme, I informed you that I could see no reason for revoking the determination to which, in common with my Executive, I had arrived, namely,—to resign the agency into your hands.

19

AND LOCATION OF IMMIGRANTS.

D.—No. 2

I also informed you that, as you had endeavoured to cast blame upon me, and as I was unwilling that any misapprehension should remain on your mind in regard to the Provincial Government, I should, by the next opportunity, address a separate communication to you on the subject. So many questions are raised in your letter of the 10th, that I have found it necessary, to avoid the confusion induced by a succession of quotations, to return you a copy of that letter, with my own remarks thereon appended. I also send certain enclosures in elucidation of those remarks ; among others, a Financial Statement made in Council by the Provincial Treasurer, in order that you may satisfy yourself that the Auckland Loan Fund is not so much at the disposal of the Provincial Government as you appear to suppose. I have, &c, EOBERT GRAHAM, The Hon. Colonial Secretary. Superintendent. Enclosure 1 to No. 39. Colonial Secretary's LETrEK, dated 10th April, 1865, with Notes thereon by the Superintendent, Auckland. Sir,— Colonial Secretary's Office, Welliugton^lOth April, 1865. I have the honor to acknowledge the receipt of your several letters (three in number) dated respectively the 3rd instant, in reference to the intention of the Government to discontinue the employment of immigrants on public works after the 30th instant, and also in reference to the disposal of land under the New Zealand Settlements Act. I have, in the first place, to convey to your Honor the thanks of the Government for the assistance which you have been hitherto good enough to render it in the management of the Immigration Scheme undertaken by the late Government, and I have to express my regret that your Honor and the members of your Executive should decline to continue that assistance. Should your Honor's decision remain unaltered, the Government will make the best arrangement in its power to provide for the change of management. Meantime the Government feels obliged by your Honor's offer to continue the management temporarily till such new arrangements arc made. Previous to the receipt of your Honor's letter, Dr. Knight had been instructed to proceed to Auckland, with powers to act on behalf of the General Government in these and other matters. I proceed to notice briefly your Honor's reasons for giving up the management of the immigration business, founded on the determination of the Government to discontinue the employment of the immigrants after the 30th instant. In coming to this determination, I can assure your Honor that the Government has not been regardless of the obligations contracted towards the immigrants under the terms offered to them by the late Government. The various points to which your Honor refers, together with others which seem to have escaped your Honor's attention, have been deliberately and anxiously considered. The conclusion at which the Government have arrived is, that, as a general rule, no promise has been held out, or any specific engagement (1) entered into with the immigrants, binding the Government to employ them upon public works for a definite time. On the contrary, Mr. Header "Wood (under whose directions I assume the great bulk of the immigrants have been brought out), appears to me to have specially guarded the Government against any such liability. In the language of his letter to Mr. Clark, of the 2nd June, 1861, and which is the basis of the arrangements with the immigrants, the Government does not want to undertake, as a condition of settlement, to employ the immigrants at specified works (2) for a definite time. He states, indeed, that the Government is about to undertake public works upon which the immigrants may expect to be employed; but he adds, that this is a resource on which they must not rely. 1 cannot consider representations of this kind as binding the General Government, under the existing circumstances of the Colony, to undertake public works for which it has no available funds, merely for the purpose of providing the immigrants with employment. I may regret, in common with yourself, (3) that vague inducements of this kind have been held out, without (as the result has shown) a guarantee that the Government would be enabled to realize them. Hut the Government is, as you are aware, absolutely without funds (4) available for the construc(l) The immediate question is, whether specific engagements had been made with the Provincial Executive. But the following extracts from Ministerial papers seem conclusive in regard to promises or engagements with the immigrants:— Extract from Parliamentary papers, relative to Immigration, 3rd March, 1864: — " This land should be given on condition of residence, and granted in fee simple after that condition has been fulfilled for three years. There will be no lack of employment, as public works on a considerable scale will be undertaken in the districts in which settlers are located, and until work is obtainable in the ordinary course of country industrial occupations the surplus labour of the districts will be employed on such works. Frederick Whitaker.—The Hon. B. Wood." " Colonial Secretary's Oflice, Auckland, Ist April. 1864. —The Government will find employment for them during at least six months. W. Gisbobxe, Under Secretary. —Messrs. J. Martin and J. May." Instructions for William Berg, Esq., Emigration Agent, Cape Town : —"There will be no lack of employment, as public works will be undertaken in the districts in which settlers are located, and until work is available in the ordinary course of country industrial occupations the surplus labour of the districts will be employed on such worts." These, in another part of this despatch, are termed " vague inducements." (2) The obligation is to maintain, for a time, the helpless people whom the General Government has imported. Whether by undertaking public works, or otherwise, is a matter for their own consideration and discretion. (3) lam not aware of having expressed any such regret. I did not consider these as " vague inducements," nor do I admit that auy further guarantee than the pledge of the General Government should be required. (4) The General Government are without funds. But had a sufficient guarantee that the confiscated lands would be handed over to the management of the Provincial Executive been given by the General Government, I could have obtained with ease the funds required. In proof of this, I enclose copy of correspondence with the Bank of New Zealand, approved by Mr. Sewell. It was only in consequence of funds being otherwise obtained by the General Government that the arrange-

See ante,

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8.-JTo. 2.'

tiou of roads or other public works in your Province, —such as would be required to find employment for tlie immigrants in the neighbourhood of their settlements. It has not realized the securities from which alone such funds can be supplied, and is scarcely able to provide for its current expenditure by advances from its bankers. The necessity of the case, therefore, obliges the Government to narrow its expenditure in the Immigration Service within the limits of its fixed and positive obligations.(s) These obligations would, I am satisfied, be reasonably fulfilled by continuing to employ the immigrants already located on their land till the end of the present month. Time would thus be given them to find employment elsewhere. (6) In this respect, they would be better oft" than ordinary immigrants arriving in the Colony, besides the many advantages they will have received in free passages and free grants of land. If, however, in any particular cases, it should appear that engagements have been entered into with individuals of a more specific character, (7) the Government will, to the utmost of its power, fulfil such engagements. Dr. Knight is instructed to inquire into and report upon any such cases. Tour Honor expresses (as is natural) anxiety on account of the persons whose employment will thus cease. I cannot but believe that opportunities of employment will present themselves in the ordinary course of things, (8) and this, coupled with that spirit of energy and self-reliance on the part of the immigrants without which it is impossible that any settlement in a new Colony can hope to succeed, will, I trust, prevent those evil consequences which your Honor is apprehensive of. I must at the same time point out to your Honor, that from the outset (9) the General Government has endeavoured to impress upon your Honor's Government the impossibility of the General Government undertaking to provide employment for the immigrants upon public works, and the duty and necessity of the Provincial Government assuming that obligation. It has been explained to your Honor, in the clearest manner, that the General Government has no funds available for this service ;(10) that it is exhausting the resources of the Colony at large upon objects undertaken for the special benefit (11) of the Province of Auckland, and which every other Province undertakes on its own account.(l 2) The present rate of expenditure for the service of the Province of Auckland is at ment was not carried out. I have always looked lo the sale of the lands adjoining the settlements as the proper sources from which tUe engagements of the General Government to the immigrants and to the Waikato Militia should be made good ; m is shown by the following extracts from my correspondence with the Colonial Secretary : — " Auckland, 21st January, 18G5. —-I calculate roughly that during the next four months 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." " The Provincial Executive are not responsible for the manner in which the General Government have managed their own financial operations. But they have tendered their assistance in floating General Government securities." (5) The obligations to the Provincial Executive were fixed and precise, namely, to maintain the immigrants until the laud could be brought into the market. The following extract from Mr. Sewell's letter of the 4th January, 1865, will eufllce :—■ " Pending the realization of funds from the disposal of securities issued under authority of the Acts of last session, or from the sale of land, the Government will place in the hands of the Provincial Government sufficient 8-per-cent. debentures (1864) to cover them and all other liabilities to be undertaken by the Provincial Government, on account of these immigrants." (6) The object of the General Government (reiterated in their correspondence, and which I have faithfully striven to carry out for them) was the formation of permanent settlements, in order to secure possession of the conquered territory. This object would not be attained by finding employment for the immigrants elsewhere; on the contrary, abandonment of the settlements would be rendered inevitable by such enforced dispersion. (7) The General Government have already refused to admit the existence of any specific engagements whatever. (8) On thi« point it is presumable that the Provincial Executive have the better means of forming an opinion. Sufficient employment cannot be found save by the means I have suggested ; nor can a starving popidation be supported through the winter by energy and self reliance. (9) From the outset I have endeavoured to impress upon the General Government the impossibility of my undertaking to employ the immigrants upon Provincial public works, yet the General Government did not withdraw the agency. In my letter dated 21st January, 1805, T wrote as follows : —" lam 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 additional advantage from Provincial works undertaken in their vicinity. With reference to these, however, I have to observe 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 Province, and were I to sacrifice any one district to another I should be amenable to censure, which certainly would not be spared. But I shall recommend for Waikato its full share of Provincial expenditure, in which the completion of works on the Great South Road alone must be an important item." To this Mr. Sewell made reply: —" Colonial Secretary's Office, Auckland, 20lh January, 1865. —I have to express my regret that your Honor does not consider yourself at liberty to propose any special appropriation of funds for the employment of immigrants in the AVaikato Districts, beyond what you consider that district woidd be entitled to in comparison ■with other districts of the Province." (10) On the contrary, the necessary funds were promised repeatedly, and up to the present time have been found. Extract from Mr. Sewell's letter to the Superintendent, dated 21st December, 1864: —" Should your Honor concur in this vieiv, the General Government will be prepared from time to time to supply you -with funds for the maintenance and location of the immigrants, according to a plan to be arranged with your Honor." (11) Yet Mr. Fox informs the Superintendent that " the General Government will be responsible for the cost of introducing these immigrants, and all the expenses contingent thereto ; the whole matter being, in fact, an operation of the General Government." And Mr. Sewell writes on the 4th January,'lB6s : —"Another main principle to be borne in mind is, that the location of the settlers shoidd be effected in such a manner as will best tend to carry out the objects of the Colonial Legislature, who appropriated altogether, in 18G3, £600,000 for the introduction into the Northern Island 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." (12) About this question there is much confusion of ideas. The Auckland Province does, like ever;,- other Province, undertake its own immigration ; which it conducts at this time at the rate and in the manner which it deems most advantageous lo itself. Even now, for reasons ■which concern the Province alone, it is relaxing its efforts to introduce immigrants. It acknowledges no right of interference on the part of the General Government, much less that overriding control claimed by the Colonial Secretary in regard to the General Government immigrants, and admitted without demur by the Provincial Executive. Her right to manage her own revemie in her own way is unquestioned ; yet, the General Government are now F

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the rate of £30,000 a month in excess of the ordinary expenditure,—a burthen which it is obviouslyimpossible for the Colony longer to sustain. Under such circumstances, the General Government felt itself entitled to claim from that Province the utmost help it could supply, (13) both in money and general co-operation—more especially with the view of planting and settling the immigrants permanently (14) on their land. The Provincial Government of Auckland has had at command, by a fortunate circumstance, considerable funds (15) arising from the Provincial Loan of 1563. The General Government has urged upon your Honor from time to time the expediency and propriety of foregoing for a time some of those undertakings on which the Province was about to embark, —such, for instance, as the Auckland and Drury Kail way, (16) —so that funds might be available for public works in order to supply employment for the immigrants. I regret that that proposal has not been responded to. During the recent session of the Provincial Council, no measures have been adopted, nor any proposals made, with the view of relieving the burthen which the Colony is bearing on account of the Province of Auckland. That Province, in fact, seems to consider itself totally absolved from all responsibility in regard to the employment of the immigrants, and assumes that the Colony at large is alone chargeable with that liability. I cannot, on the part of the General Government, or of the Colony at large, assent to that view. Whatever disappointment or distress may result from the cessation of public works in your Province, will, in the opinion of the General Government, rest entirely with those who originated an unsound scheme of immigration,(l 7) and with the Provincial Government of Auckland, which has failed to do its part towards relieving the common burthen. With regard to the sale of land under the New Zealand Settlements Acts, and the delay which has taken place in bringing the same into the market, the delay is much to be regretted; but I must distinctly state, that, in the opinion of the General Government, it is principally attributable to the Provincial Government at Auckland, or to those departments which, as 1 understand, have been under its control. (18) It has been from the first pointed out to you, that the General Government requires to be made acquainted with the particulars of all lands proposed to be sold, in order that it might, in the language of Mr. Sewell'a letter (written in my absence) to you of the 21st January last, " 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 lands for sale." But to the present time 1 have received no such particulars. Tour Honor did, it is true, transmit some time back, some proposed Regulations (19) as to the price and conditions of sale, but which do not supply the information indispensable for the guidance of the General Government before bringing the land into the market. I have lately requested that tracings (20) of the surveys may be sent to me. endeavouring to undertake the distribution of it. Were this permitted, her finances would speedily become as deeply embarrassed as those of the General Government. The case is briefly this : —The General Government, for certain colonial purposes, appropriate from within the boundaries of the Auckland Province, oertain lands. These, for colonial purposes, they undertake of their own authority, to colonize after their own manner, by what they subsequently designate as "an unsound scheme at immigration." They now peek to impose upon the Province the burden of obligation contracted by themselves. But they are careful to retain 1 lit- land. Had they restored to the Province and to uncontrolled Provincial management the whole of the confiscated land, the Province- -waiving the question of " nnsoundness"—would doubtless have relieved them from every obligation, explicit or implied. But the Province declines to bear the incumbrance without the counterpoise. (13) The Province cannot supply nionev without appropriation by the Provincial Council, but it was expressly stipulated by Mr. Sewell that the management of the scheme should not be committed to the Provincial Legislature ; wherefore the words " Provincial Executive," in his first letter dated 21st December, 18G4, were advisedly introduced. (14) The Colonial Secretary desires to settle the immigrants permanently on their lands ; yet, in his letter dated 25th March, 186*5, he proposes to give them Crown grants immediately without requiring the condition of residence —in order to throw laud into the market for sale. (15) It is a mistake to suppose that (he Provincial Government has those fund- al command. By agreement with the Bank of New Zealand, n.it more than about £100,000 can be called for in one year. This sum will scarcely meet the requirements of the present year, large contracts for public works haying been entered into. By way of fuller explanation of tlio position of the Province in regard to the loan, I enclose the Provincial Treasurer's financial statement; also copy of a Memorandum from the Provincial Accountant. (16) It happens that the formation of the Auckland and Drury Railway has been postponed, and the less expensive branch to Onchunga undertaken instead. But to the Colonial Secretary's suggestion that I should forego the work—l reply, that I might with equal justice ask him to forego the Panama line, and other expensive operations, which are stated to be taking place at Wellington, in order to enable him to carry out his engagements with the immigrants. We nre liable for our own undertakings ; the General Government lor theirs. It is true that we can meet our own obligations, but only by great care and economy; and we shall be in actual diflicultv unless the £1-4,300, the balance beyond the fths due to us by the General Government, be paid at an early date. (17) The Province must consider tin- General Government as continuous. We have nothing to do with the blame attached by the Colonial Secretary to his predecessor. 1- it meant to be argued that each new General Government may repudiate the engagements of any preceding Government ? (18) I must state distinctly that the blame is not attril utable to the Provincial Government at Auckland, and that the Departments mentioned are not under its control. It was :'t one time proposed to place the Chief Surveyor under my control, but the matter was never pressed, and the instructions never given on this subject. I enclose copy of correspondence with Major Heaphy. It is true that that department has worked throughout most cordially with mine ; but it could not have been placed under my control, having work to perform for the General Government. During the period referred to, the Chief Surveyor twice made the tour of the Upper Waikato, at the direction of the Ministry, for the purpose of locating the Waikato Militiamen. The delay complained of has, I believe, mainly arisen from the continued inattention of the General Government to the demands of the Compensation Court, whose investigations must precede the definition of land for sale. (19) The proposed regulations were given into Mr. Sewell's hand before his departure from Auckland. Then was the time to state that the improvement clauses could not be allowed. Had this been done, the Provincial Executive would at once have resigned the agency, as they know of no other means through which employment in the vicinity of the settlements could be found for the immigrants. These clauses have been from the fir.-t an essential feature in the scheme, and have been so held forth to the General Government. They supply all the information requisite for the working of that portion of the scheme which they apply to. (20) It is to be observed the Colonial Secretary's letter, asking for tracings, <&c, is of the same date as that in which he intimates his intention to discontinue rations and employment to the immigrants.

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I now learn, for the first time, that there is some difficulty in supplying me with them, in consequence of the Survey Department not having been officially handed over to you. I regret that your Honor has not brought this plea under my notice before. Up to the present time, I have considered that Department, so far as concerns the settlement of the immigrants, to be practically under your Honor's control, (21) in accordance with the tenor of our correspondence of January last; and here I may add, that it has been a source of great disappointment to the Government that the work of this Department has not been brought to a close. Three months from the commencement of the year was the period within which I was led to expect that the surveys would be completed, (22) and the settlers and immigrants located on their land. I may call your Honor's attention to the fact that the cost of the Survey Department for the months of February, March, and April, actual and estimated, amounts to £19,885 1 Is. Bd. (23) I must also observe that, as regards the Tuakau Block, (24) the sale has been delayed by the negotiations pending between your Honor and the General Government for the purchase of such block. The non-receipt of the necessary information from your Honor, and the great anxiety of the Government to bring the available land without delay into the market, had, with other considerations, before the receipt of your Honor's letter, induced the Government to decide on sending Dr. Knight to Auckland with a view to expedite the matter, and he will proceed thither for the purpose. Referring to a former paragraph in my letter, in which I stated my belief that the General Government, in issuing the notice for the 30th of April, might, under all the circumstances of the case, fairly claim to have fulfilled its obligation towards the located immigrants, I am nevertheless prepared to assure you, that the Government, impressed with an earnest desire to mitigate, and, so far as possible, avert individual disappointment and distress, has given instructions to Dr. Knight to extend the period for pay and rations to located immigrants until the 31st of May next. That officer has at the same time been requested to inform the emigrants, that in the event of there being no employment for them, either on Provincial public works or under private employers in your Province, they will, upon application, be provided with a free passage to some (25) other settlement in New Zealand where better prospects of employment may present themselves,- —and that such removal will not debar them from their title to their land. And I may add, that it is a matter now under consideration, whether^ instructions ought not to be given authorising similar offers to be made to the immigrants expected to arrive. I have, &c, Feed. A. Weld. His Honor the Superintendent, Auckland. Enclosure 2 to Xo. 39. FINANCIAL STATEMENT made by Mr. Carletok to the Auckland Provincial Council. Mr. Carleton, said: Mr. Speaker, the motion that we do now go into Committee of Supply need not be prefaced by many words from me. I have already taken occasion to observe to this Council that the financial statement for the year 1865 had already been delivered to this House by my hon. friend the member for Eaglan. Sir, I trust that the whole Council will join in my estimate of that financial statement (" No," from Mr. King.) The hon. member opposite cries " No." (Hear, hear.) At all events I trust he will not expect a better one from me; and if I may express my own opinion, that hon. member does not expect a better. (Mr. King : I expect a full explanation.) Sir, in order not to waste the time of the Council, I shall avoid travelling over the same ground that my hon. friend has already travelled over. I shall content myself with supplementing that statement, and with indicating the points of variation, for the present estimates, as you will all see the estimates both of supply and of revenue, of ways and means, are not altogether as they were originally brought down by him. The mode of presenting the accounts, in the first place, is somewhat varied, and a few alterations are made with regard to the estimates of expenditure. I may take occasion to say, that it is not my intention to go at present into the estimates of expenditure at all. My main business before the Council is now to indicate, as far as lam able, the sources of supply. In order, Sir, to make clear the variations we have adopted, I would request hon. members to take in hand, if they have them before them, the estimates brought down by my hon. friend, Mr. Newman. I speak of the estimates of revenue which were brought down in October last, and I think, by adopting those estimates as a text, pointing out the variations between those estimates and those I have already brought down, I shall be (21) Had the Survey Department been under my control, I should have placed some of th» surveyors who are surveying upon the Waikato, on the land intended for location of immigrants. (See Major Heaphy's report.) That portion of the work is not yet completed, though every available surveyor has been engaged. It is necessary that the land for location should be surveyed before the land for sale. The General Government appear to be under the impression that the surveys for location and for cash sales can proceed simultaneously. But the requirement for immigrants must be exhausted before the boundaries of lauds for cash sales can be determined on. The General Government will bear in mind that when I undertook to assist them in placing the immigrants on their lands, not one lot had been surveyed, nor had any preparation whatever been made. The Colonial Secretary calls for tracings, without having stated which block of land he is willing to allow the sale of first, and without having stated what quantity of land will be required for friendly natives. The General Government calls for information, but supplies none. (22) By whom was the Colonial Secretary led to expect that the surveys would be completed, and the immigrants located in three months ? I was never consulted as to the time that would be required. The proper officer to consult was the Chief Surveyor; but I feel confident that he could never have expected to complete the surveys within that time. (23) Including surveys for the whole of the Waikato Militia Regiments, &c, with which the Provincial Executive are not concerned. (2-1) The negotiation in question amounting to this: —To an inquiry whether the General Government would be willing to dispose of the Tuakau block at a fair price ? The General Government, however, seem not to be aware that no survey of that block has been undertaken, consequently no sale could have taken place. (25) This is a question for the sole consideration of the General Government. I may, however, be allowed to observe that if the immigrants be removed from the Auckland Province, it cannot be held that any expenses hitherto incurred in their location are of the nature of sums expended for the permanent advantage of this Province, to be charged, under the Loan Appropriation Act, against the revenue of the Province.

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able to express my views to the Council more clearly than in any other manner that I could devise. The October estimates, it will be recollected, were withdrawn to make room for what were called the short estimates. The short estimates wore the set of estimates for November and December, also another set for January and February. I thought at the time that that arrangment was somewhat inconvenient, but I adopted it in deference to the views of certain members of the Council who urged it upon me; though, for my own part, I should have much desired to have taken the four months"in one single estimate. However, this is no longer of any consequence, as I propose to repeal those Acts, and to treat them as though they had never existed! It is possible, Sir, that some members of the Council may not have the estimate of revenue sent down by my predecessor before them, so I will take the liberty of reading it. And Ido this because I am going carefully to compare, item by item, the two statements, my predecessor's with my own. Mr. Newman's is as follows—

Estimate of the Revenue of the Province of Auckland for the year 1865. £ s. d. Surplus Provincial Eeveuue for 1864 ..... 11,000 0 0 Customs ......... 60,000 0 0 Land Revenue. ..... £10,000 0 0 Less— Intcrct and Sinking Fund . . . 4,000 0 0 6,000 0 0 Pilot and Harbor Dues ••..... 3,600 0 0 Provincial Revenue . . . . . . . . 7,000 0 0 Repayment of Assisted Passages ...... 2,000 0 0 Interest on Wharf Debt ■•..... 720 0 0 90,320 0 0 Interest and Sinking Fund on Loans . . . £6,000 0 0 Amount due by Harbor Trust, say . . . 12,000 0 0 Land in lieu of House in Short-street . , . 1,600 0 0 Military Prisoners ..... 1,300 0 0 — 20,900 0 0 £111,220 0 0

These assets, on the whole, when stated, were correct. It is only the change of circumstances that has caused the variation, and that variation lam about to explain. I shall endeavour in the first place to get rid of that confusion in the use of terms which has hitherto prevailed in our financial statements. I wish to give a little more precision to financial language, and to limit the terms which we use to their exact meaning as defined by law. We have heard, Sir, of ordinary colonial revenue, of general revenue, of surplus and of unexpended revenues (two very different things), of provincial revenue, of ordinary provincial revenue, of land revenue, of trust revenue ; in fact, of a swarm of revenues, which, unless they are absolutely defined, and always used in the same sense, merely tend to mystification of accounts. * By unexpended revenue I mean unexpended revenue as distinct from surplus revenue, between which there has invariably, ever since I have known the Council, been considerable confusion. These terms for distinction of revenues have been most carelessly made use of. I desire to restore to them the meaning which they are entitled to under the various Acts of the Assembly which created them. By the ordinary revenue of the Colony I understand the revenue arising from all existing, all future taxes, duties, fees, fines, penalties, and forfeitures, as specified in the Schedule of the " Ordinary Revenue Act, 1858." In a side note to that Act it is called " The General Revenue," wherefore, it appears, that the ordinary and general revenues are one and the same thing. In this, there is some carelessness, but that is no fault of ours. The surplus revenue is so named by the Surplus Revenues Act of the General Assembly, 1858. It is that portion of the ordinary colonial revenue which is divisible among the various provinces in the like proportion as the gross proceeds of the said revenue shall have arisen therein respectively. A debtor and creditor account is kept in each of the Provinces. Every Province is debited in the first place with the maintenance of certain departments named in the schedule, and the balance of the surplus revenue, after deducting the amount so debited, becomes the ordinary provincial revenue. By the term provincial revenue, without the addition of the term ordinary, I understand, the sums raised from the Province by direct taxation, by way of licenses, pilotage, harbor dues, &c. I consider the term to be an exceedingly loose term, by far too extensive, because it sounds very much like the whole revenue of the Province ; but I am obliged to take words as I find them, and although I could wish for a different expression to the term now in use, —" local revenue" perhaps might serve, —I have no choice but to retain it. Land and trust revenues speak for themselves. By " unexpended revenue" I mean, that portion, if any, of the gross provincial income. which may remain as a saving at the end of the financial year, in excess of the sums which had bcc:i appropriated by Council, or as votes not issued in full. This year we have savings to the amount of £9000. I repeat, that this must be carefully distinguished from surplus revenue. I have been thus careful about terms because Mr. Newman and myself do not always use them alike. Now, Sir, I will take the estimate of the revenue of the colony, as brought down by my predecessor in office. I find, as the first item, surplus provincial revenue for 1864, £11,000. "We have amended not only the designation but the amount. I consider that this ought to be more properly termed " balance of surplus general revenue, in excess of the three-eights," calculated up to June 30th, 1864, which is the end of the financial year of the General Government; and here I will take occasion to correct a very common misimpression. These three-eighths are not a fixed amount, but merely an amount adopted for convenience sake, payable until the true balance can be struck in the books. As soon as the account between the General Government and the Province is balanced, the three-eighths vanishes, and the whole of the surplus revenue subject to certain stoppages becomes ordinary provincial revenue. There is no talismanic force, no peculiar sanctity about these same

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three-eighths ; there is no guarantee, that we know of beyond the promise given by the Colonial Treasurer. (" Hear, hear," from Dr. Pollen.) There is no guarantee whatever, and we must take the promises of the General Government for what they are worth. The General Government might trench on the three-eighths if they pleased, as easily as upon what was beyond the three-eighths. The custom of the Colonial Treasurer is to pay over to us month by month three-eighths of the Customs revenue, with the intention of presently balancing the accounts, and paying over the surplus; that is, should such surplus have accrued, and should the General Government have money enough in the chest to pay their debts to the provinces. The Council will now understand why I have altered the phraseology in my predecessor's estimate, namely " Surplus Provincial Revenue," to " Balance of Surplus General Revenue in excess of three-eighths." The amount is also amended. It had been roughly estimated at £11,000; we have now learned that it amounts to £14,613. Of the unexpended revenue of the Province for 1864, my predecessor has taken no notice; probably because he had not the means, at the time, of ascertaining the amount. We find that it reaches the sum of £9000 ; that is, —assuming the short estimates of December last to be repealed. In the statement of Ways and Means, which I shall presently submit to you, it is carried to account. We now come to the Customs Revenue. My predecessor allowed £60,000 for our share; the Colonial Treasurer, in the House of Representatives, allowed £63,000. But since then the Province of Auckland appears to have been advancing in prosperity. Before preparing these accounts, I wrote to the Collector of Customs, asking for an estimate of the Customs for the whole of the current year. The Collector informed me that £180,000 might be expected as the gross amount. Three-eighths of that is £67,500. The Land Revenue I have left at the amount calculated by my predecessor in office, £6000. I had been under the impression that we should realise more from this source; but on account of the very large sales of land expected to take place in the Waikato, on account of the General Government, it is not impossible that the purchasing power of Auckland may, to a certain extent, be lessened. Therefore, by way of keeping on the safe side, I leave this item at £6000 still. In the same way, with regard to the Provincial Revenue, I have adopted my predecessor's estimate. It is possible that the sums received on account of licenses may be larger than he has estimated. It is possible that the settlement of the Waikato may bring in additional revenue to the province, although in point of fact it is a General Government scheme. But I can only say, that it is my sincere hope that that settlement will not add much to the Provincial Revenue, because it is only expected to add to it by way of licenses to public houses. The pilotage and harbor dues, I leave as they were before. These dues, I believe, are derived only from the Manukau, the Bay of Islands, and Auckland. In all the other harbors, the harbor dues go towards paying the expenses of the establishments. The interest on the Harbor Trust debt, amounting to £720, will be payable into the Provincial Treasury. Honorable members will observe that there is £2000, which I have set down as only contingent. The reason of that is that the Government have no absolute certainty at the present moment that they will be able to recover the emigration bonds upon which this £2000 was granted. It is very disagreeable—a very awkward subject to deal with, and Ido not wish to make any remarks upon it. Jt will suffice to say for the satisfaction of the Council, that the Government, at the present moment, are adopting most stringent measures to recover these bonds ; and if we should be able to do so, I shall be prepared to come down to the Council with an appropriation for £2000 more. My predecessor has added certain other sums in the assets. Among others, I find interest and sinking fund on loans, £6000; land in lieu of house in Short-street, £16,00. I have spoken of the interest on the Harbor Trust debt: but my predecessor, not content with putting down the interest, has added the principal likewise, £12,000, as part of the revenue, which he intended to recover during the present year. lam unable to see how it is possible to recover the principal as well as the interest, unless indeed it was not recovered until after the close of the present financial year, when it would more properly belong to the Ways and Means of next year. That £12,000 was an advance to the harbor from provincial sources before the great loan was taken. It is now charged against the loan, and the Government, if they thought proper, could recover it and spend it. But it must be recollected that we can only draw upon this loan at the rate of £100,000 a year, or thereabouts ; and supposing the Government were to take this £12,000, some other interest would have to suffer. So many are nibbling at this £100,000 that the Government are absolutely obliged to sacrifice this amount, and do without what they might fairly take for general purposes. I shall presently show you how many charges there are against this £100,000 ; and I can only express my regret that the Government absolutely feel themselves unable to take the £12,000, of which they would like exceedingly to have the disposal. But the Loan Fund cannot suffice for all the calls upon it. If the Government took this sum for their own purposes, other purposes must suffer, the railway, or the waterworks, or the purchase of native land. There is another item set down by my predecessor,—interest and sinking fund on loan. Now lam quite unable to see the use of carrying that amount to the assets. It appears to me to be merely a transfer from one side to the other of the account. The interest of the loan is chargeable partly against the province, and partly against the trusts; but Mr. Newman, has charged the whole of this against the Province as expenditure, recouping from the trusts, and setting down the sum so recovered as revenue; thus swelling the figures on both sides of the account. Now it appears to me impossible, by a complication of figures, to create money. Carrying sums from one side of the account to the other appears to me as valueless to the creation of good money, as shifting it from one pocket to the other. The only effect of this is to swell the amounts on both sides —upon the debit side and the credit side. ( " Hear, Hear," from Mr. Coolahan.) Of course it makes a greater show for the Province. It makes it appear we have a larger sum to deal with, but the practice I have adopted is this —to put down nothing as an asset excepting what was likely to come into the exchequer in the shape of hard cash. Those portions of the loan chargeable against the trust, I have charged against the trust; and those portions chargeable against the Province, I have set down so. Amongst the assets, I know of nothing but hard money to come in. In my predecessor's estimate, there is another item of £1600 —land in lieu of house in Shortstreet. Now, I believe the land is worth all that has been spent upon the house, or nearly so. That, G

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D. —Xo. 2

however, is a question with which the Council will have to deal when they come to the supplementary estimates. It is not the intention of the Government at the present moment to sell this land; but if we did, I think the proceeds would be more properly carried over to the land fund. Now we come to the military prisoners, £1300. I believe that the Home Government admit the claim, but do not feel inclined to pay it for the present. As nearly as I can learn, they consider that under the enormous expenditure going on in New Zealand at the present moment, a claim of this sort can be deferred. That settlement, I think will not take place during the present financial year; and although this is due to the Province, yet, as we shall not absolutely touch the money during the present year, I have not set it down among the assets. I have now explained the various causes of departure from the estimate of my predecessor; but it is due to him to say, that the changes are mainly attributable to changes of circumstance. My^own estimate will stand as follows : — Available — £ g, d. Balance of Surplus General Eevenue in excess of three-eighths 14,618 0 0 Unexpended Eevenue of 1804 ..... 9,000 0 0 Customs ........ 67,500 0 0 Land Eevenue ....... 6,000 0 0 Provincial Eevenue ...... 7,000 0 0 Pilotage and Harbor Dues ..... 8,600 0 0 Interest on Harbor Trust Debt of £12,000 . . . 720 0 0 £108,438 0 0 Contingent — Repayment of Assisted Passages .... £2,000 0 0 In preparing these estimates, I have reversed the usual mode of procedure. As far as my memory carries me back, it has generally been the object of Provincial Treasurers to make as great a show as possible of assets, and the least possible show of expenditure. The inclination appears to me generally to have been to swell the assets and cut down the expenditure. "Well, what has been the consequence? By not bringing the estimates up to the full amount of expenses that must necessarily be incurred, successive Treasurers have found themselves under the absolute necessity of transgressing the law by exceeding the appropriations. The requirements of the Province must be met even if they be not voted by Council. There is nothing for it but payment, or stopping the machinery of Government. It is no use blinking necessary expenditure. On the contrary, I have, so far as lam aware, brought up the expenses to their full amount. I have taken the sums paid during the last month, and having multiplied them by 12, I have brought down those sums and asked the Council to vote them. Some of them may appear large, yet they have to be paid; and I think it a great deal better honestly to come down to the Council and ask for the amount I shall want, instead of pretending economy, and afterwards exceeding the amount voted. The assets that I have brought down I believe to be bond fide assets. There is only one I have any misgiving about j that is, the balance of £14,800 fromjthe General Government. A letter has been received by the Superintendent from the Colonial Secretary, informing us that this was the amount due to the Province. It was possible that when the Colonial .Secretary wrote the letter stating that that sum was payable to the Province, he might have been under the impression that the whole of the General Government debentures had been taken, and of course the Treasurer supposed that he had been relieved from all financial difficulties. I have, on the whole, very little fear about the matter. I think that payment may be delayed, but after a few months, and certainly during the course of the present financial year, that sum will be brought to book. So long as there is any doubt about the matter, of course the Government will economise as far as possible, and check some of the works which are the least necessary, lest we should be brought into a state of financial confusion for the want of this sum which we had calculated upon. I have brought the establishments up to their actual amounts, instead of increasing them during the recess, and asking pardon afterwards ; for, as I have often told this Council before, my great ambition is to get to the end of my Provincial Treasurership, and retire without having in any one single instance transgressed the law. This promise can only be carried out in the event of the Council granting a large amount beyond the specific votes for unforeseen contingencies. I have set down for this purpose in the estimates £3000. Of course, if the Council think proper to refuse, the bargain is off. In that case I have nothing to do but to follow in the steps of all Provincial Treasurers who have gone before me, and make the best of a bad job. As to giving an absolute pledge for the future, no man in his senses would do that; but my strong desire is, to go out of the Provincial Treasurership with a clear conscience, however long that term of office may endure. This much I may say, that the shorter it is the better I shall be pleased. I have often been told, often been warned, that such a thing as leaving office without having transgressed the law was impossible; but that very term, Impossibility, makes one only the more anxious to try. The Council will now observe, that the available assets, exclusive of the loan and trust funds, amount to £108,438. The permanent charges on the revenue, fixed by law, amount to £14,560. There remains for appropriation by Council, £93,878. I now come to the trusts. The Harbor Trust is in a sound condition. The present income is £7500. The lease of Customhouse-street will probably bring in about £2000 more. The Harbor Endowments have been freed by meaiis of the £30,000 provided by the Loan Act, and being free will be kept so. The actual amount of the Harbor Debentures is £25,000; but the Chief Justice, for satisfactory reasons, and ex abundanti canteld, has required £30,000 to be paid into the Supreme Court for the purpose of taking them up. The interest and sinking fund on this, together with that upon other £30,000 appropriated to the Harbor works, and upon the £12,000 originally advanced by the Province, amounts to £6120 ; the Harbor Trust establishment, with contingencies, amounts to £911. The City Trust is not so clear as the Harbor Trust, but I hope shortly to see it so. The rent of the City endowments amounts to £1877. The transactions between the Government and the City are also much more complicated than

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CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—No. 2

with the Harbor. According to the distribution of the Loan Act, £50,000 is allotted to the City. Out of this the Board has received £11,000 for various purposes, and £7000 has been laid aside for the building of a market-house. Also £12,500 has been diverted, by Act of the Provincial Council, to the purchase of the Supreme Court House site. It was from the first intended to devote £15,000 out of the said £50,000 to the taking up a like amount of debentures charged and secured upon the City Endowments by the Debenture Act of 1859. These sums together amount to £45,000, leaving £4500 still due to the City Board. There is also a sum of say, in round numbers, £2500 accumulated by way of sinking fund for taking up the City Debentures. This, however, will not for the present be carried to the credit of the City Board, as it will probably have to be paid into the Supreme Court, for the same reason that £30,000 had to be paid in to cover £25,000 on account of the harbor. I very strongly advocate the taking up of these debentures at an early date. They are not yet payable, but means can be found for relieving the City endowments as those of the Harbor have already been relieved, by payment of the money into the Supreme Court. This will require an Act of the Assembly to alter the security. The City will then recover control of the endowment property, and will, I presume, be able to borrow upon that security to a much larger extent than £15,000. We now come to the Loan Account, in which I believe much more interest is taken than in the Ordinary Revenue, which supplies material for the regular estimates. This interest may^arise^ from the difficulty of understanding it. There is a strange complication of Empowering Acts, some repealed and some in force, together with diversions of money from the purposes to which it was devoted by the original Loan Act. The Council is aware that although the loan is for £500,000, the Government can only draw at the rate of £100,000 a year. The gross expenditure on account of the Loan up to the 31st January, 1865, is £172,317. From this, for all practical purposes, £50,000 for the purchase of the Government House and Supreme Court sites may be deducted, an arrangement having been made under which payment is deferred. I have brought down a general statement of the Loan Account, which I will read to the Council:—

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State of the Loan, 31st January, 186. General Distribution by Auckland Loan Act, 1863. Empowering and Loan Acts, 1863. Session 15, No. 20. Empowering Act Amendment Act, 1863. Session 16, No. 3. Redemption of Provincial Debentures . . . £45,000 Public Buildings . . 70,000 Immi gration and Purchase of Native Land. . 200,000 Lunatic Asylum . . £10,000 Stockade Improvement 2,000 Foundation of Custom House . . . 2,000 Post Office, Supreme Court House, Provincial and General Government Offices . . 30,000 Purchase of Native Land 10,000 Immigration . . 20,000 Surveys . . . 4,500 Harbor Trust . . 30,000 Manukau Harbor . 1,000 City of Auckland . 10,000 South and Onehunga Roads 6,000 Erection of Government House . . . £25,000 Erection of Post Office 5,000 And repealing the 4th item in the preceding column. Harbor Trust . . 60,000 City of Auckland . . 50,000 Public Works . . 75,000 All these Acts are repealed o: The Acts and the expenditure whi altered. I make mention o: ih immediately concern us ar thei i as that we may keep clear of them. (Hows : — Empowering and Loan Acts, and Eailway Commissioners Act, 1864. Session 16. Empowering and Loan Acts, 1864. Session 17. Expended to 31st January, 1865. Empowering Act repeals both previous Empowering Acts, and provides for— Luuatic Asylum . . £14,000 Improvement of Stockade 2,494 Government House . 25,000 Post Office . . . 10,000 Custom House . . 10,000 Lock-up . . . 3,000 Immigration. . . 44,232 Surveys . . . 2,752 Harbor Trust . . 30,000 Manukau Harbor . . 2,000 Native Land Purchase . . . £15,000 Supreme Court Site 25,000 Harbor Trust . 30,000 Water Works . 44,500 Immigration . . £21,141 New Lock-up. . 3,000 Lunatic Asylum . 5,938 Stockade . . 2,835 Surveys . . . 4,500 Eailway . . . 15,922 Native Land Purchase 5,773 Government House 25,000 Supreme Court House Site . . . 25,000 109 -[09 Harbor Trust . . 34,341 Manukau Harbor . 576 Great South Eoad . 15,000 City of Auckland . 11,000 Tamaki Bridge . 2,291 Bailway Commissioners Act .... 100,000 City Board Loan Act . 20,000 South Eoad . . . 15,000 Tamaki Bridge . . 15,000 63,208 £172,317

D.—No. 2.

This leaves, deducting the £50,000, £78,000, keeping within the limits of the agreement with the Bank of New Zealand, to draw this year—that is, the year ending Bth August, 1865. So at least I understand the terms of the agreement, which has been printed among the Council papers. I will now give a rough estimate of what additional sums will be immediately wanted : —Eailway, £25,000; City, £4,500; Waterworks, £25,000; Native Land purchase, £10,000; Panmure Bridge, £13,000; Lunatic Asylum, £15,000; Immigration, £10,000 ; Manukau Harbor, £2000 —amounting in all to £104,500, and apparently only £78,000 to pay it with. But we can trench upon the £100,000 loau for next year's service at the rate of £20,000 a month, up to £50,000 or thereabouts ; for it must not be forgotten that out of the next year's allowance from the loan we have to pay £25,000 for the Government House and grounds, and another £25,000 for the site of the Court House. Whatever might be the advantages of that large purchase in other respects, there can be no doubt that it will bo productive of some financial embarrassment. Such are the Ways and Means for 1865, —I am sorry to say not nearly sufficient for our requirements. The pinching and paring required to bring down the outgoings to the level of the income will scarcely be credited. It is painful to know how much is wanted without the means of making provision. Works of the highest importance have been left untouched. The light at the entrance of Auckland Harbor is foregone ; so also the beacon on the Plat Eock. The Great South Road is in many places becoming impassable, the very stones upon it invoking Government help, while the bridges built by the General Government and the military are falling in. The Great North Eoad is still a myth, notwithstanding the sums supposed to have been lavished upon it; yet access has to be forced to the new settlements at Kaipara, which are already getting into trouble, and to whom the Government, I think, are pledged in honor. A network of cross roads is required in common justice to the forty-acre settlers. The sum I have set down for road repairs is stated to be utterly insufficient. I shall have to come down to the Council and ask for more, if I only knew whence to take it. Large additions to the Hospital are wanted ; an almshouse, lam sorry to say, and an increase to the sum voted for the relief of the sick and destitute. The Manukau has still to be properly buoyed off, and the Pilot establishment doubled, under penalty of the exclusion of the Queen's ships from its waters. The Government, of course, would desire to bring in a bill for giving everything to everybody; but it is idle —worse than idle, it is wicked—to make promises that cannot be performed. The plain fact is, that the wants of the Province are increasing faster than its means. Of late years a great mistake has been committed. The Government has been importing a helpless population much too fast—a population which has not the means of opening up the districts in which they are located, and whose whole reliance is on the action of the Government. We have absolutely repelled capital by subdivision of allotments. It needs stronger backs to bear the burden of taxation; yet it is to direct taxation that we shall shortly have to come. It might have been avoided for ever by setting apart, in the early days of the Colony, valuable Government reserves on an extensive scale, and leasing them, carrying the rent to the ordinary revenue. I have always thought that a young colony might permanently free itself from taxation by that means. It was not thought of in the early days of this Colony ; but when I was in office under Dr. Campbell, in 1856, we did set apart a number of' valuable pieces of land with this intention, making for the Province endowments such as the city and harbor have now. But Dr. Campbell had to leave rather more suddenly than was expected, no measures were taken to secure these endowments, and his successors thought proper to turn the lands into ready cash. (Mr. King: Were they for a specific purpose ?) They were not made reserves by enactment in consequence of our going out of office ; but the specific purpose was the prevention of this very taxation. The lands were set apart, and their successors should have kept them apart. That scheme was defunct—it was no longer worth talking of. A beginning of taxation has however been made by the Highways Act, which has introduced the thin end of the wedge. It makes provision for voluntary rating. It is working well over a limited area, and will presently have to be made compulsory over the whole Province, but not until all districts alike are able to bear it. City rates, to a small extent, are being levied, and I hope to see a similar system extended to every town in the Province, without exception. But that is only a trifle, merely tentative—something to take off the chill of the first plunge,—to overcome by degrees the first impatience of direct taxation; for it will be no easy matter to persuade people to submit to so disagreeable a novelty. It is easy to talk about, but who is to bell the cat ? Moreover, the General Government might be beforehand with the Province—(" Hear, hear," and laughter) —for a Property Tax has already been talked of. There is reason to expect that it will be introduced in the next Session, and I should advise the Province to forestall the General Government, and agree to one on their own account. (Mr. Wynn : Would that save us from the General Government taxation ?) It would be a difficulty in their way at all events. Sir, when I rose, I did not profess to make a general statement, but I was called upon by the Council to do so. I have spoken rather more at length than I intended, but my desire has been, not to supersede the statement made by my predecessor, but only to supply additional information. I hope the Council will look upon any shortcomings in this statement with indulgence. It must be recollected that I have been but four months in office, and the daily work in the Superintendent's Office is so severe that I can hardly keep pace with the routine business, much less spare any time for making myself acquainted with the past. I have done my best to inform the Council, and "trust that allowance will be made for the disadvantage at which I have been placed. Enclosure 3 to No. 39. MEMORANDUM by Mr. Litsk respecting the Auckland Loan Act. By the agreement with the Bank of New Zealand, no more than about £100,000 can be called for in one year. Of this amount for the present year £45,000 has already been received and expended, and the balance will scarcely meet the obligations incurred on account of it. Of the £100,000 which the Province would be entitled to receive next year, £50,000 has been paid over to the Public Buildings Commissioners, leaving only £50,000 available for the railway and other public works already engaged for.

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CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—Fo. 2.

Indeed the whole of the loan has already been specially allotted, and I do not see that any portion of it can possibly be applied to any other works than those already engaged for. April 15th, 18G5. E. B. Lusk, Provincial Accountant. Enclosure 4 to No. 39. The Superintendent, Auckland, to the Chief Surveyor. Sic, — Superintendent's Office, Auckland, 15th April, 1865. I have the honor to request that you will have the goodness to inform me whether or not the department known as the " General Survey Department," of which you are the head, is under the control of the Provincial Executive. I have, &c, EOIJEKT GltAHAlt, Chas. Heaphy, Esq., Chief Surveyor, Auckland. Superintendent. Chief Surveyor to the Superintendent, Auckland. Sir,— Survey Office, 15th April, 1865. In reference to your Honor's letter of this day's date, enquiring whether or not the Survey Department, of which I am the head, is under the control of the Provincial Executive, I have the honor to state that it is not. I may, however, state that I have received verbal directions to have surveys executed for your Honor, in relation to the location of immigrants, and to assist your Honor in that object generally. I have, &c, His Honor the Superintendent, Auckland. Ciias. Heapiit, Chief Surveyor. Enclosure 5 to No. 39. Chief Surtetor to the Superintendent, Auckland. Sir,— Auckland, 10th April, ISGS. In answer to your Honor's memorandum of the 18th instant, enquiring whether, on the 24th February last, you did or did not propose to me that I should move some of the surveyors working up the Waikato to survey land for the immigrants, I have the Honor to state that your Honor did. In answer to the further enquiry as to whether or not I declined to do so, stating that the surveyors up the Waikato were urgently required for the survey of lands for the Waikato Begiments, and whether I stated that I would obtain every surveyor whose services were available, in Auckland, at that time, I beg to answer, to each inquiry, that I did. I may state that on the 24th and 25th February I obtained for the immigration survey the services of two surveyors, and on the 28th, the services of a third. Every competent surveyor whom I could find was employed, and every intelligent chainman who could be put in charge of a party was so promoted. I have, &c, Charles Heapiiy, His Honor the Superintendent, Auckland. Chief Surveyor to the General Government. No. 40. The Superintendent, Auckland, to the Hon. Colonial Secretary. Sir,— Superintendent's Office, Auckland, 22nd April, 1865. I have the honor to acknowledge receipt of your letter of date Bth April instant, informing me that Dr. Knight will proceed to Auckland forthwith, specially commissioned by the Government, in reference to the Waikato scheme of immigration. I have, &c, Hugh Carleton, The Hon. the Colonial Secretary, Wellington. (For the Superintendent.) No. 41. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sir,— Colonial Secretary's Office, Wellington, 15th April, 1865. With reference to my letter to your Honor of the 25th ultimo, on the subject of Works at the cost of the General Government, I have to state that, in case the Provincial Government of Auckland, after the termination of their employment by the General Government, be prepared to provide these immigrants with employment upon a place and for a period to be agreed upon between the respective Governments, the General Government will be prepared to place at your command securities to an amount to be named between us, sufficient to cover the expenditure so to be incurred. The Province of Auckland, in that case, being debited with the interest and sinking fund of the securities as appropriated. Tour Honor will observe that this proposal is identical in substance to that contained in Mr. Sewell's letter to you of the 4th January last, which formed the basis of an arrangement between us, with this difference in favor of the Province of Auckland and against the Colony, namely, that the General Government will have provided in cash, for the employment of the immigrants up to the 30th May next out of Colonial funds, instead of that Province finding the money in the first instance. The favor of as early a reply as possible to this proposal is requested from your Honor. I have, &c, His Honor the Superintendent, Auckland. Fred. A. Weld. No. 42. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir, — Superintendent's Office, Auckland, 22nd April, 1865. I have the honor to acknowledge receipt of your letter of the 15th instant, in further reference H

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D.—No. 2

to the Waikato Settlements, making fresh proposals to the Provincial Government of Auckland, to be acted on after the termination of their employment by the General Government. I am at all times willing to co-operate with the General Government to the best of my power and means; but on this occasion find myself unable to make reply to your proposals, which are so indefinite that I have failed in ascertaining your intentions. You propose that tlio Provincial Government should co-operate with you after the termination of their employment by the General Government —that is to say, after their resignation of their agency on your behalf. 1 find myself obliged to ask, in what position should we stand towards the General Government should I or the Provincial Executive (as the case may be) undertake to assist you ? You state that in the event of the Provincial Government "being prepared to find these immigrants with employment upon a plan and for a period to be agreed on between the respective Governments, the General Government will be ready to place at my command securities, to an amount to be arranged between us, sufficient to cover the expenditure incurred." I request to be,informed, firstly, whether by the word "employment" you mean employment on lands belonging to the Province. In regard to the latter, I have already explained my views. Secondly, what plan and what period you propose. Thirdly, why, in reference to the securities, the words "to an amount to be arranged between us " are introduced. It appears to me that if, as you propose, yon give "securities sufficient to cover the expenditure," there will be nothing to arrange. The "amount" you speak of will settle ilsclt'. You observe that your proposal to give securities (of what nature you do not inform me) —the Province of Auckland to be debited with the Interest and Sinking Fund —is identical in substance with that contained in Mr. Sewell's letter of the 4th of January last. That proposal was as follows: —"Pending the realization of funds from the disposal of securities issued under the Acts of last Session, or from the sale of land, the Government will place in the hands of the Provincial Government sufficient 8 per cent Debentures (ISG4) to cover these and all other estimated liabilities to be undertaken by the Provincial Government on account of these immigrants " Tarn unable to admit the identity of the two proposals. When I undertook, as Agent for the General Government, to float their securities, it was distinctly understood that the lands were to bo brought into the market at once. It was only through my assurance that such would be the case, that I was enabled to obtain the terms which the Bank of Xew Zealand then agreed to; and unless a positive understanding to that effect were given by you, it would no longer be possible to raise money on General Government securities on advantageous terms. Under the former arrangement the General Government would have had to bear any loss incurred in the negotiation of their securities, which arc not always above or up to par. Under the arrangement now proposed, if I rightly understand it, loss on thai account would have to be borne by the Province of Auckland. New conditions are also imposed, namely, that the interest and Sinking Fund on the securities to be handed over shall become a charge against the Province, to be liquidated, I presume, as it arises. It must be borne in mind that hitherto I have acted as your Agent. As an officer of the Province I cannot undertake, and indeed have no power, to impose liabilities upon the Province. I also took leave to refer you to section XIX. of the New Zealand Settlements Act, in which I find that " money to arise from the sale and disposal of any land under this Act shall be disposed of as the General Assembly shall direct in and towards * * * the settlements." Also, to section "V. of the Loan Appropriation Act, in which I find that charges against the revenue of the Province under the New Zealand Settlements Act, " shall be paid in such manner as shall be hereafter determined by the General Assembly.'' I cannot undertake to forestall the decision of the Legislature in reference to any portion of this expenditure, but I again invite your attention to the means available, by judicious sales of land, for avoiding the incumbrances which you propose to lay on the Province. You inform me that the only substantial difference between the two arrangements is "in favor of the Province of Auckland and against the Colony, namely, that the General Government will have provided in cash for the employment of the immigrants up to the 80th of May next out of Colonial funds, instead of the Province finding the money in the first instance." I am not aware that it was ever proposed that the Provincial Government should provide the money in the first instance for the fulfilment of the obligations incumbent on the General Government towards the immigrants. It has always been understood that these obligations were to be mot by the means provided by the General Assembly, and that the question of the liabilities of the Province would be in due time settled by the Legislature. I take this occasion to remind you that no intimation of your final decision concerning the improvement clause of the regulations for the sale of the lands is contained in your letter. Permit me to repeat that I am unable to give a definite reply to your letter until its meaning shall have been more clearly set forth. For the present, I can only assure the General Government that I think it my duty to afford them all the support and assistance in my power, provided always that it does not clash with my duties to the Province whose affairs I have been elected to conduct. I have, &c., Eobeet GitAHAir, Superintendent. The Hon. the Colonial Secretary, Wellington. No. 43. The Hon. the Colonial Secretary, to the Superintendent, Auckland. Sib, — Colonial Secretary's Office, "Wellington, 29th April, 1865. I have the honor to acknowledge the receipt of your Honor's letter of the 20th instant, with ts voluminous enclosures.

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D.—No. 2.

They do not appear to me to contain anything to which a sufficient reply has not been already made in my letter of the 10th instant. To prevent misconception, however, I will briefly recapitulate the views of the General Government upon the points at issue between us. First, as regards engagements with the immigrants. I deeply regret that vague expectations of employment upon public works should have been held out to them by the language of the documents you quote, and by others of similar purport, —expectations which the Government now finds itself wholly unable to satisfy. But I decline to admit any obligation on that account as resting on the Government, under existing circumstances, to undertake public works, at the cost of the Colony, for the mere purpose of giving employment to the immigrants. Labourers wages in New Zealand generally range at from 6s. to Bs. per day. With such a rate of wages ruling throughout the Colony, it is impossible that persons able and willing to work can remain long unemployed. But indeed it would be idle to discuss such a question, the Government, as has been from the first explained to you in the clearest manner, having no funds available for the purpose. But whilst I decline to admit any fixed obligations of this nature, I feel that there is a moral equity in the case resting on the General Government (I may also add on the Provincial Government of Auckland likewise) to do all in its power to mitigate any possible disappointment and distress which may result to the immigrants from the inevitable cessation of employment. This consideration has induced the General Government to give the immigrants employment for the last five months upon public works, paid for out of the Colonial Treasury, although it has been under the necessity of borrowing the money for the purpose from its bankers —a system which can no longer continue. The same consideration has induced the Government to determine on offering such of the immigrants as may be desirous of seeking employment elsewhere the opportunity of doing so by giving them free passages to other Provinces, in which employment, public or private, may be found, and the immigrants in such cases will not forfeit the title to their land by non-residence in Auckland. As to the cost incurred by the Colony in regard to immigrants who may leave under such circumstances, it appears to me that there is not sufficient grounds for exonerating the Province of Auckland from the charge incurred or to be incurred in bringing them into the Province, locating, and maintaining them up to the time of their leaving. The cost of removing them is a distinct matter. Whether any agreement has been entered into by the General Government with your Honor and the Provincial Executive to find employment for the immigrants upon public works out of Colonial funds, for any period definite or indefinite, and whether the General Government has broken faith with your Honor in this matter, are questions to be determined by reference to the facts, and I must express my surprise and regret that imputations of this nature should have been made and currency given to them under sanction of your Honor's authority, for which I beg emphatically to state there is not the smallest semblance of foundation. They are refuted in the plainest manner by the documents w rhich accompany your Honor's letter. Let me recall to your Honor the language of Mr. Sewell's letter of the 4th January : —" Having expressed," he says, " these general views, I observe in particular that the employment of the immigrants upon public works must be undertaken by the Province." I must observe that whatever the number of immigrants may be the General Government will "look to your Honor mainly for relieving it from the difficulty of providing for and disposing of them." No language can be plainer than this, and the action taken by your Honor in endeavouring to provide funds for the required object shows that your Honor did not misunderstand it. As to the remaining points at issue between us, viz. : —the cause of the delay in bringing the proclaimed land into the market for sale. In my letter of the 10th April I attributed to your Honor mainly whatever blame there may be in the matter, and I grounded this on the fact that the business of preparing the land for sale had been left practically under your Honor's control and management; your Honor has excused yourself in a former letter, and you repeat the excuse in the letter to which I am now replying on the substantial ground that you had no control over the Survey Department. I transmit a copy of Major Heaphy's report, in which that officer, to a great extent, relieves > himself from the blame of delay in getting land ready for sale, on the ground of your Honor's constant interference with his operations. I notice briefly, vhat I understood to be your Honor's sugggestion, that funds might have been, and yet might be, obtained, if the General Government would unconditionally hand over the confiscated lands to the Provincial Executive, in order that they might borrow money upon them —the General Government not reserving to itself any right of control, and not satisfying in the first instance the claims of immigrants, and friendly natives. Such a transaction would be no less at variance with the duties owing by the General Government to the immigrants and friendly natives, than it would be inconsistent with the provisions of the New Zealand Settlements Act, and the obligation of seeing to the reimbursement of the large sums of money which the Colony has expended for the benefit of the Province of Auckland. I have, &c, His Honor the Superintendent, Auckland. Fred. A. "Weld. P.S. —I am unable to send by this mail a copy of Major Heaphy's report. It shall be forwarded by the next mail. Meantime, Major Heaphy has been requested to forward a copy to your Honor through Dr. Knight. No. 44. The Supeei>'te>-dent, Auckland, to the Hon. the Colonial Seceetaey. Str, — Superintendent's Office, Auckland. May sth; 1865. I have the honor to acknowledge the receipt of your letter of the 29th ultimo, in reference to the settlement of the Waikato immigrants, recapitulating the views of the General Government upon the points which have been at issue. I think it undesirable that they should again be raised between us, and therefore confine myself to such observations only as are necessary to prevent misconception.

See post.

31

AND LOCATION OF IMMIGRANTS.

D —No. 2

I think it very possible that your immigrants might find employment were they scattered over the Province. But I was directed by you to form permanent settlements —to which I could not take employment excepting through the means proposed by me, and objected to by you. I regret that you should suppose that I have cast imputations on you. I have endeavoured to restrict myself to statements of fact, and to refutation of the blame which you have imputed to me. I have no recollection of Laving stated, in the course of the correspondence, that "the General Government had broken faith with me." If I should havo used that expression, I request you to accept my apology. " Breach of agreement," which is a question of fact, I have spoken of repeatedly. It does not appear to me that Major Heaphy's report can bear any such construction as that which you put upon it. The following extracts from that report seem clear and explicit to the contrary: — " AVith the exception of a delay caused by Mr. Newman's moving the town surveyors from the work originally contemplated, the work could not have been executed more speedily." ******* " I may state that, from the commencement of the surveys, I have always worked most harmoniously with the Provincial Executive." ******* " From an experience of twenty-six years in surveying in various parts of New Zealand, I can confidently affirm that the work could not have been done quicker." You have placed a strained construction upon my statement, that if " a sufficient guarantee that the confiscated lands would be handed over to the Provincial Executive had been given by the General Government, I could have obtained with ease the funds required." It is to be presumed, however, that, in any ease, " the claims of immigrants and friendly natives" would be as carefully guarded by me as they could be by the General Government. • I have, &c, The Hon. the Colonial Secretary, Wellington. Robert Graham, Superintendent. No. 46. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sir,— Waikato Settlement Office, Auckland, 22nd April, 1865. I have the honor to enclose a return of the number of immigrants introduced into the port of Auckland, under the direction of the General Government: the dates of arrival, and the places where located. I have, &c, The Hon. the Colonial Secretary, Wellington. Robert Graham, Superintendent. i Enclosure to No. 45. RETURN showing the Number of Immigrants landed in the Port of Auckland, under the auspices of the General Government; where they have been located, and remarks thereon.

No. 46. The Speaker of the Auckland Provincial Coi tncil to the Hon. the Colonial Secretary. Sib, — Provincial Council Chamber, Auckland, May 4th, 1865. 1 have the honor, by Order of the Auckland Provincial Council, to forward the enclosed Kesolutions passed by the Council on the 3rd of May instant. I have, &c, The Hon. the Colonial Secretary. "Wm. Powditch, Speaker.

32

CORRESPONDENCE RELATIVE TO MAINTENANCE

adu: LTS. NAME OF WHERE DATE OF PLACE NO. SHIP. FEOM. ARRIVAL. STATUTE. MALES. OF LOCATION". REMARKS. 1 •1 Stchiwaerder. Alfred Cape 1864. 18th Oct. 18th Nov. 159 171 60 91 Whiri "VVhiriJ Waipipi The immigrants by these two vessels have been put in possession of their allotments. Surveyors at work. The passengers by thes two ships were sent in the first instance to Drury, and thenee drafted to the various settlements. )J 8 Beihersteig. 5J ■ 28rd Dee. 125 56 Maioro ■I B Maori Eveline » » 270 252 124 133 (Mauku Maketu . , Tuakau i^Pukekohe J5 jj 6 Helenslee . Glasgow . 1865. 3rd Jan. 259 122 Pokeno . "} Waiuku . ) 7 Matoaka London . 361 176 Surveyors are at work. 8 i) 10 Ganges Bombay Viola . . Queenstown London . Glasgow . lGth Feb. 18th Mar. 4tli April. 364 325 283 172 161 142 Onehunga . Gt. South Ed. Wairoa These have gone to Drury Surveyors at work. Surveyors at work. 2569 1237

D.—No. 2

Enclosure to No. 46. EXTRACT from the Journals of the Auckland Provincial Council, —"Wednesday, May 3rd, 1865. (1.) That this Council having had from time to time placed before them copies of the correspondence passing between the Superintendent and the General Government with reference to the settlement of immigrants on the confiscated territory in this Province, regret to find that the Colonial Secretary, in his letter of date the 10th of April instant, should have thought it fit to state that this Province " seems to consider itself totally absolved from all responsibility in regard to the employment of immigrants," &c, &c, and feel it to be their duty, as representing the several constituencies of the Province, to represent to His Excellency's Government that the Provincial Council of this Province have never been in any way consulted upon this most important matter, but that, on the contrary, upon the occasion of their being first made acquainted with the intention of the General Government to commit to the Superintendent of the Province, as agent of the General Government, the management of a portion of the scheme of colonisation initiated by the late Ministry, it was distinctly announced by the Provincial Secretary (Mr. Carleton). as may be seen by reference to his speech, published in the local papers of the 21th December ultimo, that the conduct of the business was intrusted to the Superintendent on the condition that this Council was to be excluded from any participation in the scheme. (2.) That during the continuance of the present Session it has been invariably maintained by the Provincial Executive, that this Council were in no way concerned, either in the management or the mismanagement of the scheme, as the General Government were, through their Agent, solely responsible for its success. (3.) That the Superintendent of the Province, so far from implicating the Provincial Council in the engagements he entered into with the General Government, absolutely refrained from communicating to the Council copies of the papers relating to the subject until he received the sanction of the Colonial Secretary, as will be seen by the Superintendent's letter of date 21st January ultimo. (4.) That this Council, although they perhaps ought, as a branch of the Provincial Legislature, to hesitate, on the eve of a dissolution, to undertake a share in the management of the Immigration Scheme, devolving, as it may, serious responsibility upon their successors, would have felt bound to have given their earnest consideration to the subject if they had been consulted Upon it. (5.) That this Council, on a review of the correspondence as at present before them, is of opinion that very serious detriment will accrue to the Colony of Xew Zealand, and this Province in particular, if steps be not immediately taken of restoring confidence to the immigrants already located on their land, by fully and faithfully carrying out all engagements entered into with them. But the Council cannot but regard with disfavour the arrangement whereby the Superintendent of the Province, in his capacity as agent of the General Government, may appear to involve the Province in resjjonsibility without the concurrence of the Provincial Council. (6.) That this Council, without desiring to arrogate to themselves any powers beyond those assigned to them tinder the Constitution Act, for the discharge of which they have been elected, think it right to point out to the General Government that serious inconvenience may arise from the Genera Government inducing (as appears to have occurred in the present instance) one branch of a Provincial Legislature, irrespective of the other, to undertake duties for which it has not been elected, and which it may appear to the other branch inexpedient to undertake, as involving responsibility which they were not elected to assume. (True extract.) W)(. Powditcii, Speaker. No. 47. The Hon. the Colonial Secretabt to the Speaker of the Phovincial Council, Auckland. Sib, — Colonial Secretary's Office, Wellington, 15th May, 1865. I have the honor to acknowledge the receipt of your letter of the date quoted in the margin (4th May, 1865), inclosing Eesolutions of the Provincial Council on the subject of the settlement of the General Government immigrants in the Province of Auckland. I have, &c, Henry Sewell, The Speaker of the Provincial Council, Auckland. For the Colonial Secretary. No. 48. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sik,— Colonial Secretary's Office, Wellington, 15th May, 1865. I have the honor to acknowledge the receipt of your letter of the sth May, 1865, in reference to the correspondence respecting the General Government Immigration Scheme. I have, &c, Henry Sewell, His Honor the Superintendent, Auckland. For the Colonial Secretary. No. 49. KEPOKT of the Chief Subyeyoj?, forwarded to the Hon. the Colonial Secretary by Dr. Knight. Sib,— Auckland, 17th April, 1865. From the tenor of letters which I have seen from Wellington, and from what I have learned from yourself, I am led to infer that Ministers think that the surveys of lands for the location of immigrants could have been made with greater expedition. I

33

AND LOCATION OF IMMIGRANTS.

D.—No. 2

I have the honor to request that you will favor me by laying the following statement of facts before Ministers ; and with a view to the verification of the statements, I have further the honor to place before you the original memoranda of instructions received by me, and the office letter-book, containing copies of instructions, with their dates, issued by me to the surveyors. On the 17th December, 1804, Ministers sent for mo, and said that all lands for the location of immigrants then arriving must be surveyed in a month, and asked what surveyors were available to send out. I stated that there were but two surveyors whose services were at all available, and that of these one was a t ipsy character and the other a ehainman, who might be promoted. I was told I should receive instructions in an hour. On the 20th December I was informed that I should have the temporary services of Mr. Mclntosh, and that the Waiuku Block had been decided upon for the site of the first settlement; but delays took place in arranging with the Provincial Executive for the administration of the matter ; and it was not until the sth of January that I was enabled to dispatch Mr. Percy Smith and Mr. Keny to the Waiuku Block, to lay out the first 5-acre lots. This delay was no fault of mine. On the 19th of the previous month I had warned Mr. Clayton, surveyor at Waikato Heads, to hold himself in readiness to go to the Waiuku, and on the 30th to proceed there Mr. Newman was not prepared to set the surveyors to work until the 12th January, not having decided on the exact localities for the settlements. The surveyors at Waiuku, under Mr. Percy Smith, did their work by contract; and Mr. Newman, on his return from Waiuku, reported that the surveys were iM'oceeding in a satisfactory manner. On the sth and Gth of January, his Honor the Superintendent instructed me to survey a town and a series of small lots at Pokeno; and on the same day (the 6th) 1 obtained the services of Mr. Lusk for the town survey, and of Mr. Monro for the small lots. Tiie latter had just returned from the survey of the town site at Onewhero. These gentlemen were contractors, and it was to their interest to get the work completed as soon as possible. With the exception of a delay caused by Mr. Newman moving the town surveyor from the work originally contemplated to another locality, I do not think the work could have been executed more speedily. On the 19th of January I was directed to have lots surveyed, to give frontage to small lots, and a town-site reported on at the Wairoa. Only one surveyor was available, and he could not at once proceed; however, on the 21st, he was enabled to go, but after carrying a road for about half-a-mile, and surveying about 63 acres, was stopped by the Maories. On the 20th January I proceeded, at the direction of the Hon. the Minister of Colonial Defence, to Alexandra and Cambridge, in the Tipper Waikato, but from those places continued to give instructions to the surveyors employed on the 5-acre lots. I returned to Auckland on the 26th, but again went to Alexandra on the 3rd of February, and remained in the Waikato until the 14th February. I do not think the 5-acre work was at all delayed by my absence, as Mr. Sinclair and Mr. Mclntosh transacted business with the contracting surveyors in my absence, and I wrote to them on the subject of their work from Ngaruawahia and elsewhere. On the 18th January I was instructed by his Honor to put a surveyor to work in laying out a village for miners at the Waikato coal-pits. On the 21st I landed Mr. H. Graham and party there to commence work. On the 14th of February' Mr. Bull, a new arrival, was sent by Mr. Sinclair to Maketu, his Honor himself pointing out to him his work. On my return to Auckland, his Honor informed me of what had been done in my absence, and, with the exception of Mr McDonnell's expulsion from the Wairoa, seemed perfectly satisfied with the progress of the surveys. 1 may here state, that from the commencement of these surveys, I have always worked most harmoniously with the Provincial Executive. On the 24th of February, his Honor requested me to send surveyors to Pukekohe, Tuimata, Patamahoc, and Tuakau. The last-named place was intended to be purchased as a railway depot site; but it wa.s determined that roads should be laid out through it. Only one additional surveyor however could be obtained (and he was a stranger). On the same day Mr. Laurie was instructed by me to go to Patamahoe, and Mr. Graham was removed from the coal-pits to Lay out roads at Tuakau. For the surveys at Tuimata and Pukekohe no surveyors could be had. (See Private Journal: ''Tried JScott —engaged with Warner; 24th Feb., tried Eiffe—engaged with Warner; 25th, instructed 11. Graham to go to Tuakau.") On the 17th March I received a letter from the Hon. the Attorney-General, informing me that Mr. Kempthorne was no longer secretary to the Buildings Commission, and that his services were available. On the same day I sent him and Mr. Frazer (a new arriyal, instructions to proceed to Kohekohe, to lay out small lots at that place. Both these gentlemen were contractors. They got to their work with all possible expedition. On the 28th February Mr. Gundry had finished his plan of work at Alexandra, and his services were available. I gave him instructions to proceed to Pukekohe, and lay out 5-acre lots there in such places as afforded both wood and water (it being a volcanic district). Mr. Gundry was to report as soon as possible as to the exact position of the 5-acre land. Additional lots at Maketu being required by his Honor on the 16th March, I wrote to Mr. Bull on that day, requiring him to employ another party under an assistant to lay out lots, while he (Mr. Bull) pushed on in the forest with the roads. This was an unusual course to take with a contractor, but was done to expedite the work. Mr. Bull concurred, and I sent out to him Mr. Campbell, a surveyor just arrived from Mongonui. His Honor requiring additional lots to be surveyed near the Bazorback, I on the same day sent out Messrs. Day and Churton, chainmen, to cut lines by contract under the direction of Mr. Cooper, surveyor on the staff. This plan of placing contracting line-cutters under the surveyors is quite a new practice in this Province, but was instituted by me in order to expedite the work. On the 27th March his Honor asked me to leave off temporarily the 10-acre work at Pokeno, and lay out town lots near the mill; same day sent instructions to him to that effect; same day instructed Mr. Little, a ehainman, to peg out the lots by contract, and cut back-lines, while Mr. Lusk laid out streets and schemed the lots. This was an unusual course, but was adopted to expedite the work.

34

CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—No. "2,

On the 4th April Mr. Fenton informed mo the Wairoa matter was settled with the natives, and on the sth I found two surveyors, Mr. AVeetman and Mr. Glover —one a new arrival, and the other a promoted chainmnn —to go there. On commencing their survey they were stopped by the natives, and had to wait until after the 12th to resume work. The Tuakau Block, of nearly 11,000 acres, had been withdrawn from the list of the localities for settlement, and a negotiation had been existing for its purchase by the Province for a railroad depot site. Notwithstanding this I had sent a surveyor there to lay out roads, but at the instance of his Honor, this surveyor was withdrawn and sent to Pukckohe, where the work was more pressing. I mention this to show the stress that was on us for surveyors. On the 17th of March Mr. Duffus finished his survey of a block on the West Coast on which he had been engaged for eight months by contract; on the same day he received his instructions to survey land for cash sales at Patamahoe. liis map has now come in of that land. Finding that the purchase of the Tuakau Block was not likely to be effected, I applied to his Honor as to whether I should not place surveyors again on it, to cut it up for immigration lots; and on his concurring, I gave immediate instructions to survey it to Mr. O'Meara, who had just come to town after a six months' survey in the Upper AV'aikato, and to Mr. Pugh, a new arrival. An inspection of these dates will show that no time was lost in putting surveyors to their work, as soon as it was determined where that work should be. It is customary to allow surveyors to remain in town a week or two after a long stay in the bush ; in respect to this employment they were hurried oft" again as soon as they could engage men. Before the instructions recorded in the letter-book were given them, they each had explained on a MS. sketch-map the work they had to do. Mr. Mclntosh superintended the location of the immigrants as soon as the 5-acre lots in any place were defined on the ground; and before the plans wore sent in to the office, the people were located. "We were enabled to do this by having inspecting surveyors near each locality. The placing of the people on the land before the plans were approved by the Chief Surveyor was not without its disadvantages ; but it was done to save time. The people were in tents on the ground, waiting to build huts, and as soon aw a lot could be given them, it was so given. With one exception, all the field survej'ors were contractors ; and as the wages of their men was their chief item of expense, the saving of time was to them the saving of monc\\ From an experience of twent}--six years of surveying in various parts of New Zealand, I can confidently affirm that the work could not have been done quicker. In order to enable the immigrant to get a living from his land, it was determined that, as far as possible, each 5-acre lot should have a fair proportion of bush; and, in the volcanic districts, of water also. This caused the surveys of such lots to assume detached and irregular forms, rendering the work peculiarly tedious. At Pukekohe, Pokcno, Baird's farm, Bazorback, Maketu, and Wairoa, the land is densely wooded, and in several localities much broken. Here it was necessary to explore lines of road previous to laying out any lots. In relation to the tracings of land for cash sales not being sooner ready, I may observe that I received no direct instructions whatever on this subject, nor any at all until the 27th of March, when 1 was verbally directed by his Honor to prepare tracings of such lands. But at this time I had not been informed of the total number of small lots that would be required, nor of the area of contiguous 1 and to be reserved for those immigrants who might claim it, on repayment of their passage money. As the cash sales land was to commence where this land terminated, it was not possible for me then to give what was required —the "exact plans and particulars" of such lands. XJntil the surveys of all the immigration lots was completed, this could not I say be supplied. His Honor left Auckland about this time, but without waiting for his concurrence, I schemed out general boundaries for cash sales and immigration districts, and sent schedules and tracings of them to Wellington. I had to draw these out from my local knowledge of the districts, aided by some rough sketches I got from the surveyor^. Mr, Gundry had not yet submitted hia plan of Kohekohc; Mr. Laurie, his of Patamahoe; Mr. Lusk, his of Pokeno; nor Messrs. Cooper or Monro, theirs of Baird's farm and Eazorback. While these surveys were going on I had also to attend to the survey of the land for the Militia Regiments, and that of the townships for Mr. Wood's immigrants, as ordered by the late Ministry. These latter townships were very extensive. The contractors had been asked to curtail their surveys as much as possible, but having engaged men and laid in stores they mostly preferred finishing their contracts. These were at Eangiriri, where 814 town lots and 177 suburban lots have been surveyed; at Horatiu, where 787 town lots and 159 suburban lots have been surveyed; and at Whatawhata, where BS6 town lots and 402 suburban lots have been surveyed. These lands are available for cash sales. I may now draw attention to the number and circumstances of the blocks on which I was instructed to make surveys for immigrants. They were — Ist. Onewhero. —Site of town surveyed. Block withdrawn. 2nd. Coal-pits. —Town surveyed with suburban block. Block never proclaimed. 3rd. Taupiri. —131 small lots surveyed. Block never proclaimed. 4th. Waiuku. —21G families located. Schedules of immigration lands and cash sales land sent to Wellington. sth. Patamahoe. —25 lots surveyed for immigrants, and 8 for cash sales. Schedules sent to Wellington. Block not clear of Native claims. 6th. Tuimata.—Surveyor reports that he cannot state where 5-acre lots will be until the roads are surveyed. Block not clear of Native claims. 7th. Pokeno, Eazorback, Baird's farm, Mr>kctu. —2G2 families located. Schedules of cash sales land and immigration land forwarded. Mr. Commissioner Turton now investigating Native title. Bth. Wairoa. —Three surveyors employed, who have been stopped at different times by the Natives, up to April 10th. 9th. Tuakau. —Until April 6th, reserved for a railway depot. 10th. Paparata. —One surveyor laying out roads and lots for cash sales: land not yet clear of Native title.

35

AND LOCATION OF IMMIGRANTS.

B.—No.- 2

36

CORRESPONDENCE RELATIVE TO MAINTENANCE

Prom the above list, it is manifest that the localities really available for the securo location of immigrants—and more especially for cash sales surveys, have been but very I'ew, the majority being either temporarily reserved, withdrawn, or encumbered with Native title. AVTith regard to the diligence with which the officers of this department have worked, I have had reason to be perfectly satisfied with them. Mr. Mclntoah has done all he could do in cxpeditiously locating the people,—a most tedious and difficult office; and Messrs. Cooper and Clayton have kept, steadily and. continuously to their work. The clerks and draftsmen in the office have willingly worked on holidays and overhours very frequently. With regard to my own work, I may state that I have steadily attended to the work of these particular surveys wherever my other duties may for a time have called mo. That in order to be able to attend to the business of these surveys in the daytime, I have worked at home late into the night and early of a morning, at the examination of plans and such other work as could be taken from the office. That both myself and the clerks and occasionally the draftsmen of the department, have attended the office on Christmas day, the Bace day, the Eegatta day, Good Friday and Easter Monday, as well as frequently on Sundays; having to answer telegrams by the early Monday Waikato mail, rather than defer the replies until the Wednesday post. Under these circumstances, I have the honor with the greatest respect, to state that I cannot but deem the censure implied in the letter No. 2967, by which all the surveyors and other persons iv the department are dismissed, to be unmerited. I have, <Sc, Dr. Knight, Auditor-General, Special Commissioner. Charles Heaphy, Chief Surveyor. No. 50. The Chief Suryeyoji, Auckland, to Db. Kxigtit. Sin, — Auckland, 20th April, 1865. I have the honor to enclose Schedules of Land for cash sales, the surveys of which have been completed. Deeming that to give sufficient publicity to sales of such land, and for convenience of purchasers, the plans now in -the office should be lithographed, I have made enquiries in the town, and find that it will take three weeks after the plans are put into the hands of the lithographer, before the copies (say 500 of each of three surveys) can be printed; which would make May 11th, 1565, the earliest date on which sales could conveniently be made. I have, etc., Dr. Knight, &c, Special Commissioner. Chables llkaphy, Chief Surveyor. Enclosure to Xo. 50. SCHEDULE of Cash Bales Lands at Patamahoe. County of Eden, parish of Wniau. a. k. p. Patamahoe, block No. I.—Lot No. 1 .... 60 2 0 2 .... 57 2 0 3 .... 38 0 0 4 .... 48 0 0 5 .... 54 2 0 „ 6 .... 38 3 0 „ 7 .... 88 2 0

SCHEDULE of Allotments available for Sale in the Block of Land, recently purchased from the Ngatiteata Tribe, Waiuku West.—Maioro Block.

No. of Lot. Area. No. of Lot. Area. No. of Lot. Area. 14 . 15 . 16 . 17 . IS . 19 . 20 . 21 . 22 . 23 . 34 . 35 . 36 . 37 . 38 . 39 . A. K. P. . 78 0 0 . 117 0 0 . 91 0 0 . 76 0 0 . 95 0 0 . 78 0 0 . 43 0 0 . 66 0 0 . 47 0 0 . 44 0 0 . 49 0 0 . 51 0 0 . 46 0 0 . 64 0 0 . 55 0 0 . 69 0 0 42 . 44 . 15 . 46 . 47 . 48 . 49 . 50 . 51 . 52 . 54 . 55 . 50 . 57 . 58 . 50 . A. . 88 . 63 . 96 . 96 . OS . 54 . 71 . 7S . 100 . 98 . 131 . 100 . 106 . 108 . 06 . 58 e. p. 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 GO . Cl . 02 . 03 . 04 . 05 . 66 . 67 . 68 . 69 . 70 . 74 . 85 . 86 . S7 . A. E. P. . 71 0 0 . 72 0 0 . 76 0 0 . Ill 0 0 . 71 0 0 . 70 0 0 . 62 0 0 . 57 0 0 . 66 0 0 . 08 0 0 . 116 0 0 . 148 0 0 . 63 0 0 . 66 0 0 . 61 0 0

D.—No. 2

No. 51. The Hon. the Colonial Secretary to the Chief Surveyor. $„,,— Colonial Secretary's Office, "Wellington, 29th April, 1865. I have the honor, by direction of Mr. Weld, to ackowledge the receipt of your letter, forwarded through Dr. Knight, on the 17th instant, on the subject of the operations of your department, with reference to the location of the immigrants. Mr. Weld does not doubt that you have been anxious to expedite the work in question, and regrets that your efforts to do so appear to have been impeded. I have to request you to transmit, as soon as possible, a copy of your letter to Dr. Knight, as there is not time to send him one by this mail from this place. I have, &c, Major Heaphy, Chief Surveyor, W. Gisisorne, Auckland. Under Secretary. No. 52. De. Knight to the Hon. the Colonial Secretary. •yjjj _ Auckland, 21st April, 1865. I have the honor to report in reference to the Tuakau Block, that, in accordance with the instructions prepared for my guidance, I offered to the Provincial Government, in a letter addressed to the Superintendent, on the 17th instant, to dispose of the Tuakau Block for £18,000 cash; I find by the Eeport of the proceedings of the Auckland Provincial Council, that his Honor strongly urged upon the Council the purchase of the block on the terms offered by the General Government, but that the Council nevertheless rejected the proposal. As the Provincial Executive has urgently called upon the General Government to provide suitable lands for cash sales in order to carry out the present settlement scheme successfully, and as the General Government has required me, on the rejection of the offer of the Tuakau Block, to take immediate stews for sale, I at once called the attention of the Superintendent to the proceedings of the Council, ana informed him that inasmuch as the Council, which alone had the power to appropriate the public moneys of the Province, had rejected his Honor's proposal to purchase the Tuakau Block, it will be my duty, in order to provide funds and to carry out the views of both the Provincial and General Governments, to take steps for the immediate sale of the land. J

37

AND LOCATION OF IMMIGRANTS.

SCHEDULE of Land for Cash Sales, "Waipipi Block, Waiuku West. No. of Lot. Area. No. of Lot. Area. No. of Lot. Area. 110 . 115 . 116 . 117 . 118 . 125 . 126 . 127 . 128 . 129 . 130 . 131 . 132 . 137 . 141 . 142 . 143 . 143a . 145 . 146 . 147 . 148 . 149 . 150 . 151 . 159 . 160 . 161 . 163 . 171 . 172 . 173 . 174 . 175 . 176 . 177 . 186 . 187 . 188 . A. K. P. . 34 0 0 . 45 0 0 . 65 0 0 . 51 0 0 . 47 0 0 . 43 0 0 . 50 0 0 . 58 0 0 . 112 0 .0 .102 0 0 . 115 0 0 . 109 0 0 . 124 0 0 . 86 0 0 . 116 0 0 .153 0 0 .160 0 0 .197 0 0 .138 0 0 . 100 0 0 . 132 0 0 . 115 0 0 . 107 0 0 . 80 0 0 . 87 0 0 . 172 0 0 . 109 0 0 . 81 0 0 . 55 0 0 . 51 0 0 . 54 0 0 . 130 0 0 . 61 0 0 . 41 0 0 . 58 0 0 . 49 0 0 . 55 0 0 . 61 0 0 . 65 0 0 189 . 190 . 191 . 192 . 200 . 201 . 202 . 203 . 204 . 205 . 206 . 215 . 216 . 218 . 219 . 220 . 230 . 231 . 232 . 233 . 235 . 236 . 211 . 245 . 216 . 255 . 256 . 257 . 258 . 259 . 260 . 263 . 264 . ' 265 . 266 . 267 . 268 . 269 . 270 . A. E. . 152 0 . 97 0 . 98 0 . 82 0 . 96 0 . 65 0 . 61 0 . 54 0 . 72 0 . 55 0 . 101 0 . 77 0 . 238 0 . 59 0 . 100 0 . 104 0 . 82 0 . 89 0 . 106 0 . 63 0 . 75 0 . 94 0 . 160 0 . 106 0 . 113 0 . 54 0 . 64 0 . 55 0 . 99 0 . 45 0 . 48 0 . 56 0 . 58 0 . 62 0 . 59 0 . 59 0 . 58 0 . 57 0 . 72 0 p. 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 271 . 272 . 273 . 275 . 276 . 277 . 278 . 279 . 280 . 281 . 284 . 285 . 286 . 287 . 288 . 289 . 290 . 291 . 292 . 293 . 294 . 295 . 296 . 297 . 298 . 299 . 300 . 301 . 302 . 303 . 301 . 305 . 306 . 307 . 308 . 309 . 310 . A. R. P. . 84 0 0 . 95 0 0 . 92 0 0 . 64 0 0 . 77 0 0 . 104 0 0 . 106 0 0 . 76 0 0 . 49 0 0 56 0 0 56 0 0 74 0 0 89 0 0 G8 0 0 65 0 0 61 0 0 62 0 0 70 0 0 54 0 0 92 0 0 86 0 0 55 0 0 62 0 0 78 0 0 112 0 0 . 95 0 0 . 68 0 0 . 69 0 0 . 65 0 0 . 61 0 0 . 71 0 0 . 71 0 0 . 77 0 0 . 78 0 0 . 36 0 0 . 62 0 0 . 203 0 0

D.—No. 2.

I do not however understand how I can effectually carry out your instructions "to give preliminary notice of sale." The New Zealand Settlements Act requires the Governor in Council (section seventeen) to cause town, suburban, and rural allotments to be surveyed and laid out, and the eighteenth section provides that the land shall be disposed of for such prices, &c, as the Governor in Council shall prescribe. To enable the Governor in Council to do these things the land must be first surveyed and the allotments determined; but on reference to the Survey Department I find, that two surveyors only have been at work on the Tuakau Block laying out roads and five-acre allotments since the Gth instant, and that no portion of it has yet been laid out for cash sales. This delay appears to have been owing to his Honor having withdrawn about 11,000 acres of the block from the list of settlements, a negociation being on foot for its purchase by the Province for a railway depot and site. Until rural lots of about 200 acres each are laid off and the lines cut, it seems useless to give public notice of an intended sale. Mr. Teuton reports that the native claims for compensation on this block are very trifling ; £200 will probably suflice to discharge them. Waitjktj Block.—ln this case I am directed in the Memoranda to ascertain first that all native claims are extinguished. lam uncertain what in this instance is meant by the term "extinguishment of native claims." It seems to me quite clear that if anything effectual and final is to be done towards the settlement of the Waikato it will bo best for the Government, in order to facilitate its action, to take the legal construction of the Act, —that no claim of any kind can legally interfere with the settlement of confiscated lands, —to treat the claims of the natives on the basis of compensation, and to deal with the land without reference to any incumbrances for money compensation. The proclamation of the Governor in Council has absolutely confiscated the lands within the boundaries specified, whether held under Maori tenure or Crown grant, and leaves the claims of the previous owners to be settled entirely by compensation. It is fortunate for the settlement of the Waikato that the natives themselves have taken the same view. According to Mi1. Teuton's report, the natives in no instance have claimed acreage in any block, —the claims arc simply for compensation for lands taken under the Act. The Government can still deal with the natives on equitable or political grounds, by reserving from sale for the occupation of friendly natives, lands to be conveyed to them under a Crown grant, and the value deducted from the amount of compensation money. In the block under consideration, Mr. Fcnton has reported the land to be unencumbered. In reference to the progress in the survey of lands for sale and for immigrants, I find that to the south of the Waikato and Paparata there has been laid off for cash sales at — Kangiriri, . . . 814 town lots and 177 suburban lots. Horatiu, . . . 787 „ 150 „ WhataWhata, . . 886 „ 402 „ For Immigrants at— Ouewhero . . . Site of town surveyed; block withdrawn. Coal-pits . . . Town surveyed and suburban block laid out. Taupiri . . . 131 small lots surveyed. As the above lands have not been proclaimed or set apart for settlement by the Governor in Council under the New Zealand Settlement Act, I need not report on them further at present. These and other lands to the south of the Waikato, remain unconfiscated. It is for the Government to consider whether it is advisable that this fact should be suddenly disclosed to the natives. When the numerous claims for compensation come before the Judges of the Compensation Court, that Court may find it has no jurisdiction. The position is too critical to justify my avoiding any allusion to it. To the north of the Waikato and Paparata the lands open for locating immigrants and for cash sales are those described in the Governor's proclamations of the 3rd and 31st of January, namely— Patamahoe 701 acres. VVaiuku, North Pukckohe 5,381 „ Waiuku, South Pokeno 19,000 „ West Pukekohe 1,133 acres Tuakau 10,887 „ Wairoa Tuimata 640 „ Claimants for compensation on account of the first seven blocks have been notified by the Colonial Secretary to send in their claims. Mr. Feuton has stated for the information of the Government that the following blocks will be disposable under the New Zealand Settlements Act for sale or otherwise, and that there is no impediment at present to survejrs and preparations for sale, namely— 1. Pukekohe, on the 21th April. 3. Tuakau, on the 14th May. 2. Waiuku, „ 4. Pokeno, „ (1.) Pukekohe a:nd West Pukekohe contain together about 5,900 acres. One surveyor only has been employed on these blocks in laying out roads and determining external boundaries. He commenced his work on the 25th of March last. Major Heaphy is unable to make an estimate of the time it will take to complete the survey ; but probably five 200-acre lots may be surveyed at the end of this month. Another surveyor will be put on the work when one can be obtained. (2.) Waiuku, Noeth and South. —309 five and ten-acre allotments have been laid out and 2,082 acres set apart as " contingent " land for public purposes, and for additional grants to men who may eventually pay the half passage money. 158 additional ten-acre allotments will be taken out of this block, together with contingent land for public purposes, &c. 216 families are located on this block, and schedules of cash lands for sale sent to Wellington. (3.) Tuakau contains 10,887 acres. As I have already stated two surveyors have been at work laying out roads since April Gth. On these roads it is now proposed to cut up the best land into fifty five-acre allotments, of which forty may be expected to be surveyed by the end of the present month. The surveyors will, on the completion of the fifty small lots, be employed on lands for cash sales, or should the services of other surveyors become available, they will be employed on this block. I have pointed out to Major Heaphy the inconvenience of the practice which he has hitherto adopted of completing the survey of the five and ten-acre allotments before laying off lands for sale. I have requested him in future to mark off first the boundaries of each settlement, including a liberal reserve for " contingent" land, for public purposes, &c, and to give such boundaries a figure bounded by

38

CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—No 2.

straight lines, as few in number as possible. The accompanying sketch of the proposed boundaries of a settlement at Pukekohe will best illustrate my meaning. By this means surveyors can be set to work at once on any part of the block. I see that it is noted in the accompanying sketch that a schedule of the immigrant land, and of land for cash sales at Pukekohe, has been forwarded to Wellington for specific proclamation. No such proclamation appears necessary. These lands have already been proclaimed under the New Zealand Settlement Act in the Gazettes of the 3rd and 31st of January last. A notification to claimants for compensation on account of Pukekohe West has not been given by the Colonial Secretary, but as the Act does not require such publication it would seem best now not to give it. (4.) Pokeno. —A surveyor is laying out a town chiefly in quarter-acre lots. The area of the town will be 300 acres with a belt of four chains wide. Three hundred ten-acre lots are being surveyed; of these many are completed, and I understand that 181 families are settled on this block. Major Heaphy reports that schedules of cash sales land, and of immigration land, have been forwarded to Wellington ; but I do not find that allotments for sale have been laid out, and if so, the schedules will be of little use. At Maketu, within the Pokeno Block, 78 five-acre allotments have been completed. Four reserves for immigrants and a town belt of 233 acres for public purposes, &c, have also been laid out. The contiguous lands I have directed to be laid out in fifty-acre farms for cash sales, and two surveyors have at once commenced this work. It is estimated that about one lot per diem may be surveyed, after the roads are laid out. Besides these four blocks, to the settlement of which there seem to be no impediments, there remain three other confiscated blocks on which settlements are about being established, namely —1, Patamahoc; 2, Tuimata; and 3, Wairoa. (1.) Patamaiioe. —Twenty-five lota have been surveyed for immigrants and eight for cash sales. A schedule of seven allotments for sale is forwarded herewith to Wellington ; but the block is not clear from impediment. Hakopa, and one or two loyal natives reside on the land and desire to remain there, and have land set apart for them. Mr. Fenton is of opinion that they ought to have it, as Hakopa has no other land on which to live. The boundaries might be determined within a week, and I have thought it best, therefore, in order at once to remove this obstacle to sale, to request Major Heaphy to send a competent surveyor to mark off Hakopa's land. This may interfere with some of the lines of the cash allotments included in the schedule herewith ; but this contingency need not interfere with the notification for sale ; as lots can be withdrawn and their areas determined again. (2.) TniiATA. —The roads are not yet surveyed ; until they are cut, the survey of the lots cannot be commenced. (3). Wairoa. —There are only two convenient approaches to this block, —one by the Wairoa river, and the other by the Paparata valley. No lots have yet been surveyed, but 142 ten-acre lots are to be laid oft", with a proportional acreage for public purposes and contingencies. This survey has been twice stopped, at the Wairoa end, by the Natives. It was not until the 12th instant, the surveyors were allowed to resume their work. Several 200-acre farms will probably bo ready by the 30th of April, in the south end of the block; besides which, much work has been done in the surrey of roads and determining the boundaries of swamps, &c., previously to cutting up the block. There remains now to report on the Onewhero Block. The instructions to me, are to ask Mr. Fenton to define the boundaries for proclamation. That officer has informed me that it is important that the boundary should be carefully defined, for great part of it runs along Waata Kukutai's land. Neither Mr. Rogan's nor Mr. Mackay's services are available to do this. I have thought it best to request Mr. Fenton to obtain the services of Mr. Purchas, to assist in this work; but I regret to learn that this gentleman cannot spare the time to do it. Mr. Fenton observes, that as Onewhero forms the southern terminus of the great high road along the coast ranges, by which the southern district of Auckland is approached, some slight danger to settlement here might be apprehended, if Waata Kukutai's vigilance relaxed or fidelity wavered; of either of which, Mr. Fenton has no apprehension: at the same time, however, it would, be gratifying if the Government would recognise that Chief's past services, and also interest him in the future, by giving him a small portion of the Onewhero block. On reviewing the whole of the information which I have yet obtained, the impression left on my mind is, that the surveys for the location of immigrants have progressed slowly. On the 17th of December last, the Ministers wished the surveys for the location of the immigrants, then arriving, to be finished in a month, but delays took place, and Mr. Newman was not prepared to set the surveyors to work until the 12th of January, as he had not decided on the exact localities for the settlements. The field-surveyors employed, with one exception only, were working at contract prices; with them, therefore, the saving of time was the saving of money, and it is not likely they were indolent in their work. The great difficulty appears to have been to obtain surveyors. Another drawback was the instruction to give each 5-acre allotment a proportion of bush; and in the volcanic districts, of water also. This caused the surveys to assume long, irregular, winding forms, rendering the work peculiarly tedious. At Pukekohe, Pokeno, Baird's farm, Bazorback, Maketu, and Wairoa, the land is densely wooded, and in several localities so much broken that it was necessary to exj>lorc lines of road previous to laying out any lots. The following statement shews the work done for the

39

AND LOCATION OE IMMIGRANTS.

-ape mmigranti. — '. Fit CEE XLOTM ;t<ts. Reserved for Public Purposes. Kescrvedjfor Contingent Land. Locality. 5-Acre Lot?. Lots. Acreage. Acreage. Waiuku Patamahoe . Pokeno Tuakau 255 24 124 88 1 l(i 483 5 65 1515 233 Surveys not complete. Survey of cash land not yet in. Surveys not yet come in.

D.—No. 2.

See Mfa

In reference to tlie schedules of cash lands herewith, showing the number and contents of each lot, it is necessary the Governor in Council should carry out the provisions of the 17th and 18th sections of the New Zealand Settlements Act, by causing the land to be surveyed laid out and disposed of by public auction at an upset price of ( ) cash, per acre, on (date). The lands laid oft* for settlement in all cases include ample reserves for public purposes. None of the lands included in any schedules sent to Wellington should be sold earlier than the 13th of May next, as it will take three weeks after the plans are put into the hands of the lithographer before the copies can be printed. In reference to the remaining subjects into which I am to inquire, I am obtaining information on all the points noted in the memoranda. From their multiplicity and variety they are rather confusing at first. I have called for much of the information respecting the location of the Waikato regiments. I find that a survey of the public stores was made when the department was handed over to Captain Mitchell —a proceeding which will greatly facilitate the settlement of the store accounts. Mr. Eaton has not yet furnished any replies to my inquiries respecting the number and location of immigrants, &c. nor have we yet been able to obtain information respecting the progress of the surveys to the south of the Waikato. I am doing my best to hasten the surveys of lands for cash sales and for settlement of the immigrants. I have, &c, Cuables Knight, The Hon. the Colonial Secretary. Auditor. No. 53. The Hon. the Colonial Secbktaisv to Dr. Knight, Auckland. Sib, — Colonial Secretary's Office, Wellington, 25th April, 18(55. With reference to your letters, public and private, which have been received by the late mail, I have to inform you that Mr. Mantel] will proceed to Auckland by the " Airedale" onSaturday next, and will confer with you thereon. Meantime, as regards the proceedings of the Compensation Court, the Government will by this mail instruct Mr. Fenton (in accordance with the opinion of the AttorneyGeneral) to hold his Court by himself in case of need, without requiring the presence of other Judges. The question as to the extent, and the speediest mode of bringing lands south of the Waikato under the operation of "The New Zealand Settlements Act," is under the consideration of the Government. As to the sale of lands within the proclaimed blocks north of the Waikato, the Government desire that you will be good enough, without delay, to take steps for bringing into the market all such land as is available for immediate sale, namely, land not appropriated to the immigrants, or belonging to friendly natives, or reserved for public purposes. Tracings of plans were received from Mr. Heaphy on the 7th and 11th instants. Ido not send these tracings, as you will have access to the originals at Auckland. You will be able, with Mr. Heaphy and Mr. Fenton, to distinguish the lands available for sale. As regards the application of the proceeds of such land sales, 1 must point out to you that the arrangement between the General and Provincial Government of January last is now at an end ; that under any circumstances, in the terms of Mr. Sewell's letter to the Superintendent of Auckland of the sth January last, the first appropriation should be towards reimbursement of charges incurred by the General Government in compensation of native claimants, surveys, immigration, and location of settlers, and public works. No portion, therefore, of the proceeds of hind sales can be reckoned on as available towards the further employment of immigrants upon public works. As to the offer of the Tuakau Block to the Provincial Government for £18,000, the General Government will allow the Provincial Government their share of surplus revenue for the last year out of such purchase-money. As regards your taking over the charge of the Immigration business from the Provincial Government (which declines to act further in the matter), I have to request that you will be good enough to do so ; you will be fully authorised to make such arrangements and employ such persons for the future management of such business as you may think necessary. I need not further impress upon you the necessity of bringing to a close all expenditure in excess of the estimates within the period limited by my former instructions, subject to this qualification, that surveys absolutely required to place the settlers on their lands, or to bring the land into the market for sale, must be completed at all events, and that any specific engagement of the Government with immigrants must be fulfilled. I have, &c, Dr. Knight, Auckland. Feed. A. Weld.

40

CORRESPONDENCE RELATIVE TO MAINTENANCE

British Immiyn •nts. —Ten-Acbe Allotments. Reserved for Public Purposes. Contingent Land Locality. Lots Surveyed, No. ' Acreage. Lots. Acreage. Pokeno* Unknown. 7 10 114 83 Survey not complete. Waiuku 54 668, in 9 lota. Other blocks Sui •veys not completed. * 184 families located, and i5 lots mapped and approved of.

D.—No. 2

No. 54. The Hon. the Colonial Secretary to Dr. Knight. Colonial Secretary's Office, Sir,— Wellington, 29th April, 1865. I have the honor by the direction of Mr. Weld, to acknowledge the receipt of your report dated 21st instant, and to return to you the thanks of the Government for the valuable information which it contains, and for the important services which you are rendering. The Honorable Mr. Mantell is proceeding to Auckland by the vessel which takes this letter, and as you will be able to consult him personally, it is unnecessary to send you any further written instructions. With regard to the Report which Major Heaphy has sent through you on the Survey Department, I am to request you to be good enough to obtain a copy of that report from that officer, and to communicate it as soon as possible to his Honor the Superintendent of Auckland. I have, &c., Dr. Knight, Auckland. W. Gisboene, Under Secretary. No. 55. Dr. Knight, to the Hon. the Colonial Secretary. Sir,— Auckland, Ist May, 1865. I have the honor to enclose for your information a correspondence with the Provincial Executive on the subject of the settlement of the Waikato immigrants. On the 15th April, his Honor the Superintendent requested me to furnish a copy of my instructions on the subject of his declining further agency in the settlement of the Waikato immigrants. I stated in reply that my instructions on that subject were clearly defined in the Colonial Secretary's letter addressed to his Honor on the 10th ultimo. On the 27th April, the Superintendent requested me formally to assume the responsibility of conducting all business connected with the settling of the Waikato immigrants. To this request I replied that I had no authority to accept such transfer, and that the business he wished me to undertake was not compatible with the duties of the Auditor of Public Accounts. On the 28th April, his Honor again requested me to furnish a copy of my instructions, or at least to inform him what powers I hold, and he added that he considered himself entitled to my confidence. As I had no further information to give him on the subject to which he had restricted his inquiries, I pointed out to his Honor that it was reasonable I should expect him to accept my statement that I was not authorised to accept the proposed transfer. It seemed that no good results could be expected trom a further correspondence, and as it could not be the wish of the General Government to put any obstacle in the way of his Honor if he wished to be relieved of a charge which had been voluntarily undertaken, I accepted the transfer, and informed him accordingly. I have, &c, The Hon. the Colonial Secretary. Charles Knight. Enclosure 1 to No. 55. The Superintendent, Auckland, to Dr. Knight. Sir, —■ Superintendent's Office, Auckland, 15th April, 1865. I am informed by the Colonial Secretary, in reference to my letter declining on behalf of the Provincial Executive further agency in the settlement of immigrants on the Waikato, that he had instructed you to proceed to Auckland, with powers to act in this matter on behalf of the General Government: I have therefore to request that you will furnish the Provincial Executive with a copy of your instructions on the subject. I have, &c, Dr. Knight, Robert Graham, Auditor-General. Superintendent. Enclosure 2 to No. 55. The Superintendent, Auckland, to Dr. Knight. Sir, — Superintendent's Office, Auckland, 27th April, 1865. I have the honor to request that you will formally assume the responsibility of conducting all business connected with the settling of the Waikato immigrants. On the 3rd instant I informed the Colonial Secretary that the Provincial Executive resigned their agency, continuing to act until the receipt of advice by the return mail from Wellington, after which time we should consider ourselves relieved. Since then fresh proposals have been received from the General Government, and it remains an open question whether or not I shall accept them. Meanwhile however, my position is undefined, and I deem it prudent to avoid the complications which may arise therefrom. As I greatly desire not to cause any embarrassment either to the General Government or to yourself, 1 shall willingly assist you in any manner you may direct. You will understand however that I am not responsible for what may be done. I am the more anxious to make this understanding distinct, as immediate steps must be taken in reference to several matters of detail, including the making provision for immigrants by ships nosy due, and the retaining of the services of several of the overseers (all of whom are now under notice of dismissal) if the works are to go on. I have, &c, Dr. Knight, . Robert Graham, Auditor-General. Superintendent. X

41

AND LOCATION OP IMMIGRANTS.

D — No. 2

Enclosure 3 to No. 55. The Superintendent, Auckland, to Dr. Knight. Sib, — Superintendent's Office, Auckland, April 28th, 18G5. I have received your letter of this day's date, informing me that you are not authorised to accept the transfer of responsibility from me to yourself in the matter of settling the Waikato immigrants. I must again request you to furnish me with a copy of your instructions, or at least to inform me what powers you hold. You have told me that your " instructions are clearly defined in the letter of the Colonial Secretary addressed to me on the 10th instant." In the letter referred to, I am told that " Dr. Knight had been instructed to proceed to Auckland, with power to act in behalf of the General Government in those and other matters." lam desirous to make no difficulty where such can possibly be avoided; on the contrary, lam prepared to render you every assistance in my power. But, on the other hand, lam entitled to expect from you unreserved confidence, and the fullest information it is in your power to afford. I have, &c, Eobebt Graham, Dr. Knight, Auditor-General. Superintendent. Enclosure 4 to No. 55. Dr. Knight, to the Superintendent, Auckland. Sib,— Auckland, 29th April, 1865. I have the honor to acknowledge the receipt of your letter of 28th instant, and to state to your Honor in reply, that I entirely agree with you in your opinion that you are entitled to my fullest confidence ; and I trust you will not consider me unreasonable in expecting you to accept my explicit statement that I was not authorised to take upon myself the duties you are desirous of transferring to me. From your quoting a part of the instructions issued to me, I understand you to mean that you diifer from me in the interpretation of them. In order to prevent inconvenience to the public service, which must necessarily be the result of a correspondence on matters of opinion, and looking upon the affair as one of emergency, I have this day taken entire control of the Waikato settlements, and have so reported to the General Government. I have, &c, Chables Knight, To His Honor the Superintendent, Auckland. Auditor. No. 56. The Hon. the Colonial Secretary to Dr. Knight. Sir, — Colonial Secretary's Office, "Wellington, Bth May, 1865. I have the honor to acknowledge the receipt of your letter of the Ist instant, and in reply, am directed by Mr. Weld to convey to you the approval of the Government of the course adopted by you with reference to taking charge of the immigrants. I have, &c, Dr. Knight, Auckland. W. Gisborne, Under Secretary. No. 57. Dr. Knight to the Hon. the Colonial Secretary. Sir, — Auckland, Ist May, 1865. I have the honor to acknowledge the receipt of your letter of the 25th April. In reference to the eighth paragraph, I have this day informed you that, on the 29th ultimo, at the request of the Superintendent, I took over charge of the immigration business. I have informed the immigrants that the period of pay and rations to located immigrants has been extended to the 31st instant. I find that immigrants have either been employed by contract on public works at the ordinary rates, or they are engaged on public works at the rate of five shillings per diem ; and that the cost of superintendence of working parties, and of the three clerks in the Waikato Settlement Office is at the rate of between £4000 and £6000 per annum. I have directed the located immigrants to be employed on the public works for four days in each week during the month of May, —thus leaving them two days in each week to make preparations for the coming winter. The services of two clerks in the Waikato Settlement Office will be discontinued at the end of the present week ; and the two gentlemen in charge of the working parties have been requested to reduce the cost of superintendence as much as possible, and to employ the men in large working parties. About one-third of the superintendents will be reduced immediately. As there is a deficiency of tents, and the cost of suitable tents, if supplied from the military stores, is not less than £10 each, I have directed the heads of families living in tents, to build themselves whares, for which work they are allowed from seven to ten working days. These are more comfortable than tents and better for the winter. On the day of taking over charge I directed Mr. Macintosh to proceed at once to Drury, and remove forty or fifty families there on to allotments ready for them at Puhekohe. I have, &c, The Hon. the Colonial Secretary. Charles Knight.

42

CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—No. 2

No. 58. The Hon. the Colonial Secretary to Dr. Knight. Sib,— Colonial Secretary's Office, Wellington, Bth May, 1865. I have the honor, by direction of Mr. Weld, to acknowledge the receipt of your letter No. 32, of the Ist instant, and to convey to you his approval of the steps which you report therein, as taken by you in connexion with the charge of the immigration business in Auckland. I have, &c, To Dr. Knight, Auckland. AY. Gisborne, Under Secretary. No. 59. Dr. Knight to the Hon. the Colonial Secretary. Sib, — Auckland, 2nd May, 1865. In reference to the instructions contained in the eighth paragraph of your letter of the 25th April, requesting me to take over from the Provincial Executive the charge of the immigration business, I would call your attention to the anomalous position iii which lam now placed. You require me, while holding the office of Auditor of Public Accounts, to make arrangements and employ persons for the future management of the immigration business ; and the Sub-Treasurer will in future discharge no claims on account of that service, without my notation of approval. Cases of emergency must sometimes be met by exceptional arrangements, but I presume you do not wish the j)resent arrangement to continue longer than is absolutely necessary. I think, therefore, it will be advisable either for me to return to Wellington, as soon as I receive your reply to this; or else that leave of absence should be granted to me, and a Deputy-Auditor appointed in my place. In the latter case, I am prepared to complete the business on which I am engaged. The information I have gained enables me to move with some confidence, and there are new fields of inquiry, where reductions in expenditure ought to be made. I should however be much pleased to be relieved of the labour and responsibility that have fallen upon me. I have, &c, The Hon. the Colonial Secretary. Charles Knight. No. 60. The Hon. the Colonial Secretaet to Dr. Knight Sib, — Colonial Secretary's Office, Wellington, Bth May, 1865. I have the honor to acknowledge the receipt of your letter of the 2nd instant, and in reply am directed by Mr. Weld to inform you that the Government has already taken into consideration the question of appointing a Government Agent for the Province of Auckland, and that you will be relieved at the earliest possible period. I have, &c, To Dr. Knight, Auckland. W. Giseorne, Under Secretary. No. 61. Dr. Knight to the Hon. the Colonial Secretary. Sib,— Auckland, 2nd May, 1865. In reference to your letter of the 25th April, in which you point out to me that the arrangements between the General and Provincial Governments of the 9th of January last is at an end, and that the charge of the immigration business is transferred to me, I have the honor to call your attention to your letter of the 15th April, addressed to the Superintendent of the Province, in which you state that the Government is prepared to set aside securities sufficient to cover the expenditure to be incurred in the employment of immigrants. No provision, however, has been made for the immigrants who leave the public works on the 31st instant, and fresh arrivals are expected daily. I request to be informed what steps it is intended to take in the matter. At present the offer to the Provincial authorities to enter into new arrangements is an open question. But, whether it is so or not, the Government must make arrangements to put its own officers in a position to meet either contingency. Overtures certainly will not meet the present difficulties. The Government is requested to instruct me on the following points : —What is to be done for the immigrants who are not located on their lands on the 31st instant ? What for those who are so located ? VV hat is to be done for the immigrants who are expected to arrive in the colony shortly 'i Are the latter to be put on rations or on public works; or are they to be sent to one of the other Provinces, and if so, to which of them ? In every case, am I authorised to incur the necessary expenditure to carry out the orders of the Government ? What funds will be placed at my disposal ? As the Government is entitled to an expression of my own views, I would strongly urge the advantage of employing the immigrants on public roads throughout the confiscated blocks to the north of the Waikato and Paparata. This would give increased value to the land, and the outlay would be probably be recouped on the disposal of the land. The General Government has unexpected difficulties to contend against. At a time of great financial emergency, the Provincial Council has shewn no disposition whatever to afford any assistance to the General Government in the settlement of the immigrants in one of the most fertile districts of the Province. The Council indeed has scrupulously abstained from any action whatever, and the Superintendent has refused to recommend to the Council any disproportionate division of the Provincial funds, with a view to provide these immigrants with employment. I have, &c, The Hon. the Colonial Secretary. Charles Knight.

43

AND LOCATION OF IMMIGRANTS.

D.—No. 2

No. 62. The Hon. the Colonial Secretary to Dr. Knight. Sib,— Colonial Secretary's Office, Wellington, Bth May, 1865. I have the honor, by the direction of Mr. Weld, to acknowledge the receipt of your letter of the 2nd instant, No. 38, and. in reply, to refer you to his letter of the 29th ultimo, which you had not received when you wrote your letter, and which he thinks will obviate the necessity of any further instructions on the point to which you refer. As regards the employment of immigrants on public works, the Government do not see any sufficient reason for a deviation from the instructions already given. I have, &c, To Dr. Knight, Auckland. W. Gisborne, Under Secretary. No. 63. Dr. Knight to the Hon. the Colonial Secretary. Sir,— Auckland, 13th May, 1865. I have already reported on the progress of surveys in the Waikato District, and incidentally alluded to the progress of the settlements in that district I propose now to make a separate report on the arrangements made for the settlement of immigrants who have lately arrived in this Province under what is called the Waikato scheme, and on the expenditure hitherto incurred in bringing the immigrants to the Colony and in settling them on their lands, including the moneys issued from the Colonial Treasury for the pay of men employed on the public works, —being the subjects included in division 8 of the Memoranda. The accompanying return of the number of immigrants arrived, date of arrivals, where located, &c, gives a view of much of the information called for in the Memoranda. The first vessel which arrived under the General Government Emigration Scheme was the " Steinwaerder," bringing 159 statute adults, being a part of the 1000 which Mr. Berg, the Immigration Agent at the Cape of Good Hope, was authorised to send to this Province. This vessel arrived on the 18th October last. The immigrants were lodged in the corrugated iron building on the North Shore, and such as were willing to work were employed upon the repairs and alterations necessary to render the building suitable for receiving so many persons. The immigrants continued here until about the 6th of January, when about twelve families were removed to their allotments at Waipipi, on the Waiuku River, about six miles from the small village of Waiuku. The remainder, about sixtythree families, were put in possession of their allotments at Whiriwhiri, on the 2nd of February. The lands of these settlements are of average quality and within easy distance of the adjacent forest. The settlers are employed in making public roads in the vicinity of their respective settlements, but there does not appear to have been much progress made in building houses on their lands. The " Alfred," from the Cape of Good Hope, was the next vessel, and arrived on the 18th November last. She had on board I7l| statute adults. These were forwarded to Onehunga without delay, and their number gradually decreased, their proximity to Auckland giving them facilities for obtaining employment. The passengers by this vessel were also located at Waipipi. Since the arrival of the Cape immigrants at Waipipi they have been principally employed in bridging over the numerous small creeks, swamps, and watercourses, in forming the main line of road between this settlement and the village of Waiuku, as well as opening the various branch roads in the immediate vicinity of the settlement, so as to impart a higher marketable value to the adjacent lands. They were put in possession of their lands on the 2nd of February, and all of them have erected huts for protection against the approaching winter. On the 23rd December last the first vessel from Great Britain came into harbor, the " Helenslee" with 259 statute adults on board. As there was no accommodation for them at Onehunga it was thought best to distribute them at Otahuhu, Pukaki, and Mungari, en route for their destination. They were afterwards forwarded to Pokeno, about three miles from the Queen's Redoubt. On the 25th January they commenced work upon the district roads and have been employed up to the present time. Mr. Macintosh informs me that the Pokeno settlers appear well satisfied with their allotments, and the majority have erected their huts. They are employed in making the main line of road leading to Paparata, and have made great progress in the improvement of their settlement. The " Maori," from the Cape of Good Hope, arrived on the same day as the " Helenslee." She brought 270 statute adults, who were located in the Onehunga barracks. On the 13th of February, they were sent to Drury, and are now being put in possession of their land. They have been employed road-making in the vicinity of Drury. The " Reihersteig" arrived on the 24th of December, the day after the " Helenslee" and " Maori." She brought 124 statute adults, who were put into tents at Onehunga. On the 23rd of January, they were forwarded to their settlement at Maioro, nearly opposite Port Waikato, and distant about eight or ten miles from Waiuku. The land at Maioro is of very superior quality, but there is a great scarcity of wood within an available distance of the settlement. A day or two after their arrival they commenced road-making on the main line to Waiuku, and on the 31st March they took possession of their allotments. Some few are putting up their houses. The scarcity of wood is a drawback to the settlement; at the same time its vicinity to Port Waikato, gives the settlers facility in obtaining employment. The " Matoaka" from London, with 36H adults, arrived on the 3rd of January, the passengers were forwarded to Onehunga on the succeeding day. On the 3rd of February these immigrants were sent to Waiuku ; and on the 9th of March fifty-four families were put in possession of their allotments at Taurangaruru and Karioitahi in the Waiuku District. The remaining seventy-three families it is intended to locate at Kohekohe. These people are employed in making public roads near their respective .settlements ; but I do not learn that they have made much progress in building huts on their land.

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CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—No. 2.

The " Eveline " arrived from the Cape on the 22nd January, with 252 statute adults, who were landed and conveyed to Onehunga direct. On the Ist February twenty-five families numbering about one hundred souls were chosen to form a small settlement at Patumahoke, near Waiuku; and were employed, during the interval necessary for survey of the land, on the main line of road between Mauku and Waiuku and in building a substantial bridge over the Mauku creek. They were put in possession of their land on the Ist of April; and I understand the immigrants are very well satisfied with their land. The remaining portion of the passengers per " Eveline " were sent to Drury on the 12th of March for the purpose of forming the settlements at Mauku, Taylor's farm, and Maketu. The " Ganges," from Cork, with 363J statute adults, arrived on the 14th of February. The passengers were conveyed to Onehunga, and have remained there longer than usual, owing to the number of sick who required careful medical attendance. Some few have been drafted off; and on my directing them to be moved to Drury, the medical officer recommended a few days delay as typhus fever had made its appearance in that neighbourhood. The " Bombay," from London, with 320 statute adults, arrived on the 18th March, and although the vessel was dreadfully disabled, the passengers were all healthy. They were conveyed to Onehunga and from the Ist to the 2nd were passed on to Baird's farm. The " Viola," from Glasgow, with 283 j statute adults arrived on the 4th April, and as the Wairoa settlement was ready for occupation, the passengers were disbarked into boats alongside and conveyed there at once, and commenced work the day following their landing. I understand that in the allocation of the land, care has on all occasions been taken by the Chief Surveyor to secure to the settlers, as far as circumstances would admit, the most convenient localities and the best lands, so that they might possess most of the advantages requisite for permanent and successful settlement of an industrious class of settlers. It was found absolutely imperative to provide medical aid for the immigrants when in isolated settlements': and to secure this without entailing extra expense on the Government, sixpence per week has been deducted from the wages of each male adult; and it is expected that the moneys thus deducted will be sufficient to cover the expense of medical comforts, medicines, and the services of medical men. Under this arrangement three medical men have been appointed. Schools, I believe, are now being established at each settlement. Three more vessels are still due—The " Dauntless," from Dublin ; " Besolute," from Glasgow ; " Lancashire "Witch," from London. The immigrants have for some time been employed in making a road at Onehunga, the expense of which should be charged to the Province, as also should the labor and materials used in the construction of the Mauku bridge. A number of promissory notes for sums advanced to the immigrants at home have to be recovered from the immigrants. In respect of the " Eveline," which brought 252 statute adults, I understand that the owners of that vessel have been paid for 270 adults, as the vessel had been chartered to convey that number, and the Immigration Agent could not obtain sufficient to complete the agreement. ■ The wages of mechanics and laborers were fixed at ss. per diem. Bations were issued and the value deducted from the men's pay, except that the members of every family numbering over three adults receive rations gratis. Married men are allowed ten days' and single men seven days' with free rations to get their huts built to provide against the inclemency of the approaching winter. The immigrants are allowed to leave their settlements for any part of the Province, but are to return on a month's notice given. The expenditure on account of this service in the Colony up to the 30th April, 1865, is as follows : £ s. d. Freight and charges ...... 10,533 11 0 Eations -------- 10,992 4 3 Tools, tents, &c. ------- 1,730 9 8 Office salaries - - - - - - - 213 8 2 Removal of immigrants - - - -. - - 2,239 15 0 Wages (including Immigration Officers) - ... 5,405 16 8 Estimate for the month of April ----- 8,000 0 0 Total in Colony to 30th April, 1865 - - £39,115 4 9 Disbursed in Great Britain up to 31st December, 1864: — Freight per" Matoaka" - 2,499 1 3 • „ „ "Ganges" .... 2,657 3 9 „ " Bombay" - ... 2,555 0 0 7,411 5 0 Bedding, &c, for immigrants - 1,001 15 4 Advances to immigrants - 111 17 4 Salaries to Commissioners and staff - - - - 1,258 11 11 Travelling expenses - - - - - - 69 17 4 Office expenses - - - - - - - 749 3 9 Total paid in Great Britain to 31st December, 1864 - £10,602 10 8 The whole of the returns called for, shewing the extent of public works executed, have not yet reached me. I have, &c, Chables Knight. The Hon. the Colonial Secretary, &c.

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AND LOCATION OP IMMIGEANTS.

D.—No. 2

Statement in connection with report on the Immigration scheme : " Steinwaerder," from Cape of Good Hope, with 159 statute adults, arrived on 18th October, 1864; immigrants sent up the country on the 6th and 25th January, and located on the Bth February, 1865. " Alfred," from Cape of Good Hope, with 171 statute adults, arrived on the 18th November, 1864 ; immigrants sent up the country on the 6th January, and located on the 3rd February, 1865. " Reihersteig,' from Cape of Good Hope, with 125 statute adults, arrived on the 24th December, 1864 ; immigrants sent up the country on 23rd January, and located on the 31st March, 1865. " Maori," from Cape of Good Hope, with 270 statute adults, arrived on the 23rd December, 1864 ; immigrants sent up the country on 13th February, 1865, but not yet located. " Eveline," from Cape of Good Hope, with 252 statute adults, arrived on 22nd January, 1865; immigrants sent up the country on Ist February and 12th March, and a portion only were located on the lst.April, 1865. " Helenslee," from Glasgow, with 259 statute adults, arrived on the 23rd December, 1864 ; immigrants sent up the couutry on the 25th January, 1865, and a portion only located; papers withheld. " Matoaka," from London, with 361^ statute adults, arrived on the 3rd January, 1865 ; immigrants sent up the country on 3rd February, and located on 9th March, 1865. " Ganges," from Cork, with 363^ statute adults, arrived on the 14th February, 1865 ; immigrants sent up the country on the 3rd February, 1865, and a portion only located. " Bombay," from London, with 325 statute adults, arrived on the 18th March, 1865 ; immigrants sent up the country on the Ist and 12th March, 1565, but not yet located. "Viola," from Glasgow, with 2S3J statute adults, arrived on the 4th April, 1865 ; immigrants sent up .the country ou the 7th April, 1865, but not yet located. T0ta1—2,569^ statute adults. No. 64. Dr. Knight to the Hon. the Colonial Seceetabt. Sib, — Auckland, 22nd June, 1865. In reference to my late mission to Auckland, I have the honor to report that I have furnished information on all the subjects included in the accompanying " Memoranda." On my arrival at Auckland I found that the Chief Surveyor, Major Heaphy, in accordance as he believed with Major Eichardson's instructions, had issued directions to the whole of the surveyors oil the staff to discontinue work in the field on the 30th of April, on which day their pay was to cease. As these directions, if not recalled, would have been most inconvenient to the public service, and would have burdened, the colony for an indefinite time with the full pay of the Waikato Militia, and with the cost of rations to immigrants who had lately arrived, I, at once countermanded the Chief Surveyor's orders. I transferred the whole of the surveyors who were employed in Central Waikato in determining the boundaries of lands for which natives claimed compensation, to the survey of confiscated blocks to the north of the Waikato River. By this course, the whole strength of the Survey department has been employed on survey of lands for cash sales, or on work which when completed will put an end to the very heavy expenditure on account of the pay of those of the Militia for whom lands have not yet been located, and who are not required for garrison duty ; or else on lands for cash sales or for the settlement of immigrants. On this branch of the service I have certainly taken in**ch trouble to devise plans for hastening the surveys and for reducing the expense of the indoor work. On my arrival in Auckland, the in-door officers of the survey office were as follows :—3 draftsmen, 2 clerks, 1 messenger, 3 clerks for crown grants, 1 European cadet, 6 Native cadets, and 2 ditto absent. These I reduced to 2 draftsmen, 2 clerks, 1 messenger. The native cadets were sent into the field, either as surveyors or chainmen, in order that they might assist in hastening the surveys, and acquire for themselves a practical knowledge of surveying. As the clerks employed in the preparation of Crown grants had completed their work, their further employment was discontinued. On this subject, Mr. Domett might be requested to report what arrangement would, in his opinion, be most satisfactory for the preparation of Crown grants for lands which are now being sold under the authority of " The New Zealand Settlements Act." It seems to me that as uniformity of practice is most desirable, it would bo best to propose to the Superintendent of Auckland, that the grants should be prepared by the Provincial draftsmen, and forwarded to the Registrar-General of Crown grants in Wellington, in the same way as with Crown grants for lands sold by the Provincial authorities. I have spoken to the Superintendent ou the subject, and his Honor concurs in the view I have taken. Having hastened the surveys, I took all necessary steps to enable the Chief Surveyor, under duly authorised regulations, to sell by auction the confiscated lands as soon as the surveys come in. For this purpose, I reported to the Government that it was necessary, before the lands could be sold, that the Governor in Council should carry out the provisions of the 17th and 18th sections of the New Zealand Settlements Act, by causing regulations to be issued for the survey and disposal of the confiscated lands ; and I prepared the necessary draft regulations. These regulations having been promulgated by the Governor in Council, the Chief Surveyor can now, without further reference to the Government at Wellington, from time to time dispose of the lands by sales at public auctien. I append (he first notification of sale. I anticipate that the proceeds of the land sales will supply sufficient means to defray the current expenses of the Survey Department, so that the Treasury will be relieved in future of the obligation to provide, by extraordinary credits, the funds for carrying on this branch of the service. In reference to the confiscated lands in central Waikato, I have recommended the Government to

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CORRESPONDENCE RELATIVE TO MAINTENANCE

D.—No. 2

take the legal construction of the Act, namely, that no claim of any kind can interfere with the settlement of the confiscated lands. " The New Zealand Settlement Act" gives compensation to all parties deprived of their lands, except to those who are in rebellion. At the same time it need not interfere with the possessions of friendly natives, since the lands which the natives may wish to retain can be conveyed to them in satisfaction of their claims for compensation, by Crown grants issued under regulations of the Governor in Council, in accordance with the 17th and 18th sections of " The New Zealand Settlements Act." I endeavoured to obtain from Mr. Monro, the officer recently appointed to receive on account of the Colonial Secretary the claims of natives for compensation, a return of the extent and number of claims of loyal and insurgent natives who have made their submission. Mr. Monro replied that it would be a work of great labour to furnish the information I had called for. That the number of claimants was extraordinary ; and as to the extent of land claimed it included the whole of the Waikato. I pointed out on the 21st April that the lands to the south of the Waikato had not been included in any Proclamation under " The New Zealand Settlements Act," except the land comprised in the Military Block between the Waipa and the Horatiu. The whole of theland alluded to has since been included in a Proclamation under that Act, and certain portions of the land been confiscated. I have disposed of the Tuakau Block to the Province of Auckland for £18,000. I introduced into the draft regulations for the disposal of the confiscated lands, a clause under which the Tuakau Block can be transferred to the Province. When this transfer is made the block will be free from the provisions of " The New Zealand Settlements Act," and the Superintendent can then deal with the land in the same way as with any lands conveyed to him for public purposes. I have reported on the progress of the survey of the Military Block between the "Waipa and the Horatiu. I have shown in considerable detail that many of the officers and men to whom lands have been allocated are still in possession of full pay. I have requested the Chief Surveyor to prepare a map shewing the whole of the lots surveyed ; distinguishing those which have been individually assigned to the Militia, those reserved for public purposes, and those rejected by the Military as nnavailable for settlement in consequence of swamps, &c. It is proposed that this map should be a complete index to the district. The lots are to be numbered, and every means taken to make the map available for registration in the office of the Registrar-General of Crown grants, as I fear without some such record there will be considerable embarrassment in the registration of the grants. I would recommend that Major Heaphy's attention be again called to the subject. The boundaries of the Onewhero Block have been carefully defined, and surveyors are now employed in laying out a town, and in surveying village allotments for immigrants. The small quantity of land available for immigration purposes on the north side of the Waikato, now that the Tuakau Block has been disposed of to the Province, has rendered it necessary to push the settlements across the river. As this land is in the immediate vicinity of Waata Kukutai's, I thought it would be advisable to give that chief an interest in the security and progress of the Onewhero Settlement, by giving him a Crown grant for a small portion of the block. I have directed in this, and in all cases where lands are laid out for immigrants, that sufficient reserves for public purposes should be made in immediate contiguity to the villages. I have called the attention of the Superintendent of the Province to the inconvenient approaches to the Wairoa Block, by which the middle portion of the block is rendered useless at present for immigration purposes. There are only two approaches, one by the Wairoa River and the other by the Paparata Valley. I have agreed with the Superintendent to allocate one-half of the confiscated Kirikiri Block for immigrants, on the understanding that his Honor would endeavour to open a road from Papakura, by Kirikiri, through the Hunua to the middle Wairoa. The more peaceable aspect of native affairs in the Waikato District may render it advisable for Government to reconsider its resolution to locate none of its immigrants to the south of Waikato and Paparata. If it should be determined to locate them further up the river, it would be advisable to settle some of them in the neighbourhood of Rangiriri and of the coal-fields, where more than 1000 suburban and town lots have been laid off for emigration purposes and for cash sales. Others might be settled at Horatiu, where 787 town lots have been marked off and 159 suburban lots. Also at Whatawhata, where 886 town lots and 402 suburban lots are ready for immigration purposes and for cash sales. Since my return to Wellington, I have furnished a separate report on the transport service of the Waikato River, and have recommended the steamers, &c, to be disposed of, and the partnership arrangement between the Colony and the Imperial Government, to be closed. On this subject, I wish to call the attention of the Government to the request of the Deputy Commissary-General Jones, that the Government would come to an early decision on the subject of the proposal that the existing arrangements should be terminated as early as possible. The instructions I received respecting the immigrants and their location in the Province, have been carried out. The Province has agreed to provide, out of Provincial funds, the whole expense (except of surveys) of introducing, maintaining, and locating the immigrants. Ido not know whether securities have yet been handed over to the Superintendent to cover, temporarily, the expenses of the immigration scheme; or whether the Government have yet conveyed the Tuakau Block to the Superintendent; but unless such transfer is made before the 12th July, the engagement entered into by the Province ceases. I have reported, at length, on my proceedings as Agent of the General Government, for the settlement of immigrants in the Waikato, and on the progress of the several villages. From the day of my arrival in Auckland, I practically took over the whole management of the immigrants, and on the 20th of April, I did so formally, at the urgent request of the Superintendent. On the 12th of May I reported on the Public Works, on which the Waikato Militia had been for a short time engaged. Also on the Coal Mines : —On these I have recommended (after having visited the Waikato) that they should be given in charge of Capt. Cadell. The lands at Port Waikato, I have recommended to be sold.

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AND LOCATION OP IMMIGRANTS

D.—No. 2

I have received from Mr. King, the Military Storekeeper, a satisfactory statement of his accounts; and I found on inquiry, that the stores in his charge had been handed over to Captain Mitchell, and that the stores in hand, agreed with the balance of stores as shewn in his accounts. I forward for the information of the Government, the book in which my own letters and memoranda are entered. I have, &c, The Hon. the Colonial Secretary. . Chables Knight. Enclosure to No. 64. MEMOEANDA for guidance of Dr. Knight. 1. Tuakau Block.—To enter into arrangements for its disposal to the Provincial Government for £18,000 cash: if not accepted, take steps for immediate sale. Eefer to Ministers and give preliminary notice. 2. Waiuku Block. —After ascertaining that all Native claims are extinguished, to place it in the market at upset price of, 20 shillings, cash, an acre by auction. In no case will deferred payments be sanctioned. Onewhero Block.—Ask Mr. Fenton to define boundaries for proclamation. 3. Ngaeuawahia Hospital.—Make enquiries as to its value. Ascertain to what public uses it could be turned. 4. Cease pay to all officers and men of the "Waikato Eegiments for whom land is ready, excepting such as are required for garrison duty. 5. As to Immigrants—See copy of letter to his Honor the Superintendent of Auckland (herewith.) 6. Land.—Eeport on the progress made in the surveys for — (1.) "Waikato Eegiments. (2.) Immigrants. (3.) Land claims of loyal Natives. (4.) Insurgent Natives who have made their submission. (5.) Sale. (6.) To ascertain number of Blocks exempt from Native and other claims. 7. Waikato Eegiments.— (1.) Number located. Officers and men. (2.) Number remaining for whom land is ready. (3.) Distribution of located and unlocated. (4.) How many employed on public works. Pay-rations. Character of work. How much done. Probable value and cost. (5.) Advance in settlement by located men. 8. Immigrants.—■ (1.) Number expected and arrived. (2.) Date of respective arrivals. How long on rations. (3.) How employed. At what rates, and how long. (4.) Character of work. How much done. Probable value and cost. (5.) Number located. (6.) Proposed location of remainder. 9. Military and other Stores.— (1.) Examination of books. (2.) Present number and state. (3.) Condemned—How disposed of, and proceeds accounted for. No. 65. The Hon. the Colonial Seceetart to Dr. Knight. Sir, — Colonial Secretary's Office, Wellington, 29th June, 1865. I have the honor to acknowledge the receipt of your letter of the 22nd instant, reporting the conclusion of your mission to Auckland, on the various subjects which were referred to you. I have great pleasure in expressing to you the thanks of the Government for the valuable information which you have furnished on these subjects, aiid in expressing their high sense of the able manner in which you have discharged the difficult duties entrusted to you. Dr. Knight, Auditor of Public Accounts, I have, &c, Wellington. J. C. Eichmond. No 66. The Superintendent, Auckland, to the Hon. the Colonial Secretary. Sib, — Superintendent's Office, Auckland, June 19th, 1865. I have the honor to draw your attention to the enclosed copy of a letter from Dr. Knight, dated the 11th ultimo, containing conditions proposed by the Hon. the Minister for Native Affairs, and the Hon. the Minister for Colonial Defence, for the settlement of the General Government immigrants in the Waikato District, and accepted by me. I regret to have to state, that although several mails arrived here from Wellington since this arrangement was entered into, you have taken no official notice of the matter, and thus caused considerable inconvenience to the Government of this Province in carrying out the arrangement. I beg to remind you that the principal condition agreed to, is, that the General Government is to Iransfer to the Provincial Government from time to lime, at par, 8 per cent debentures. With

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GORRESPONDENCE RELATIVE TO MAINTENANCE

D.—No. -2

reference to this, the Sub-Treasurer at Auckland was informed about the 15th of May ultimo, that the sum required to meet the engagements for the month of May would be about £8000, but no provision w.as made to meet this sum, nor were the debentures forwarded. The other condition, namely, the handing over of the Tuakau Block to this Government in such manner as would enable me to sell, lease, or borrow money upon it, was to have been completed before the Ministers mentioned, left Auckland, It is still unfulfilled, and you will perceive that it is necessary it should be complied with, in order to enable me to obtain advances on the debentures referred to, on advantageous terms. I have therefore to request that you will comply with the conditions of the letter herein referred to with as little delay as possible. I have, &c, The Hon. the Colonial Secretary, Wellington. Robert Graham, Superintendent. Enclosure to No. 66. Dr. Knight to the Superintendent, Auckland. Sib.,— Auckland, 11th May, 1865. In reply to your letter of yesterday, informing me that you are willing to agree to certain conditions for the settlement of the immigrants arrived and expected in the Province of Auckland, I am directed by the Ministers in Auckland to propose for your Honor's acceptance the following modification of the proposed conditions : 1. The Provincial Government of Auckland to provide out of Provincial funds the whole expense, except surveys, of introducing, maintaining, and locating the immigrants arrived or expected, and of providing employment for them from the Ist instant, for such period as the Provincial Government may think fit, not less than two months after the land has been allocated for their settlement. 2. The General Government to hand over to the Province the Tuakau Block in such manner as will enable the Superintendent either to sell, lease, or borrow money upon it. The consideration money for this block is £18,000. 3. The General Government will from time to time transfer to the Provincial Government, at par, S per cent, debentures, not exceeding altogether £15,000, to cover the expense of providing employment for the immigrants, and of carrying out the proposed undertaking; the sums so transferred, together with the purchase money (£18,000) of the Tuakau Block, to be a charge against the Province; the time and manner of repayment of the said sums to be determined upon by the General Assembly. 4. That the Provincial Government shall be free to employ the immigrants in any part of the Province, keeping in view the original intention of forming permanent settlements. I have, &c, • His Honor the Superintendent, Auckland. Charles Knight. No. 67. The Hon. the Colonial Secretary to the Superintendent, Auckland. Sir, — Colonial Secretary's Office, Wellington, 24th June, 1865. Referring to previous correspondence on the subject of the arrangement entered into between the General Government and your Honor respecting the location of immigrants introduced at the instance of the General Government into the Province of Auckland, I have to inform your Honor that directions have been issued for the transfer to the Provincial Government of Auckland of £15,000 worth of New Zealand Debentures, dated the Ist May last, and for the issue of a Crown grant to your Honor of the Tuakau Mock. I have, &c, Walter Mantell, His Honor the Superintendent, Auckland. For Mr. Weld No. 68. The Hon. the Colonial Secretary, to the Superintendent, Auckland. Sir, — Colonial Secretary's Office, Wellington, 30th June, 1865. I have to acknowledge the receipt of your letter No. 166, of the 19th ultimo, referring to the arrangements for the settlement of the Government immigrants in the Waikato, and to certain conditions which had not at that time been fulfilled. Mr. Weld's letter of the 24th instant, will have informed your Honor that directions had been issued for the transfer of New Zealand debentures as agreed to, and for the preparation of a Crown grant to your Honor, of the Tuakau Block. With respect to that Crown grant, there are special difficulties connected with the carrying out the intention of the arrangement entered into with your Honor, about the Tuakau Block. The transaction will however be completed before the term limited for its completion. T have, &c, J. C. Richmond.

19

AND LOCATION OF IMMIGRANTS.