PAPERS REALTING TO THE EXTENSION OF TELEGRAPH BETWEEN SHORTLAND AND TAURANGA.

Appendix to the Journals of the House of Representatives, 1871 Session I, E-06

E.—No. 6,

PAPERS REALTING TO THE EXTENSION OF TELEGRAPH BETWEEN SHORTLAND AND TAURANGA.

(Return to an Order of ihe House of Representatives, No. 49, of Thursday, the sth day of October, 1871.) That there be laid upon the Table of this House " Copies of any Contracts entered into with Mr. Dixon, Mr. McKenzie, or any other persons, for the Extension of the Telegraph between Shortland and Tauranga; together with all Tenders and Correspondence in reference thereto." (Mr. Gillies.)

WELLINGTON.

1871.

E.—No. 6.

PAPERS RELATING TO EXTENSION OF TELEGRAPH BETWEEN SHORTLAND AND TAURANGA.

No. 1. Mr. Dixon to the Hon. D. McLean. Sir, — Grahamstown, Thames, 16th June, 1870. With reference to the Tauranga and Shortland [Telegraph Line, I beg to inform you that my brothers have returned from surveying the supposed route (this is through Ohinemuri), and we shall be prepared to send in a tender next week, together with a letter stating terms and time of completion. I have, Ac,E. V. Dixon. N.B. I shall visit the Piako Natives this week ; any communications you may do me the honor to send, will reach me through the Auckland Post Office. The Hon. D. McLean, Defence Minister. E. V. D.

No. 2. Hapi Rewi and others to the Hon. D. McLean. Sir,— Waihi, Bth July, 1870. Salutations. We wish to inform you that we are afraid of what the Hauhaus are doing at Ohinemuri. We have applied to Mr. Puckey and Mr. Clarke for some guns, with which to protect ourselves during these days. That is all on that point. This is another word of ours to you: Edward Dixon has asked us to allow the wire to go to Ohinemuri. We replied, "We are willing, but the wire is to break down the iron fence of the Hauhaus at Ohinemuri." That is all. Hapi Rewt, Kepa Raharuhi, Harawira, To Mr. McLean. Ngatikoi.

No. 3. Mr. Dixon to the Hon. D. McLean. Sir,— Auckland, Bth July, 1870. I beg to offer my services to remove the Native difficulties that now exist about that portion of the Auckland and Shortland Line between the Piaka and Waitakarura Rivers, and also of the Shortland and Tauranga Line through Ohinemuri, for the sum I offered in my letter of 17th of May, £500 ; £150 to be at once placed at my disposal, subject to such check or scrutiny as you may consider satisfactory. I have, Ac, The Hon. D. McLean, Defence Minister. E. V. Dixon.

No. 4 Mr. Dixon to the Hon. D. McLean. Sir, — Auckland, Bth July. I have to apologize for not forwarding the tender for the telegraph from Shortland to Tauranga, through the Ohinemuri country at an earlier date. But I have been inspecting the line, and also to the Piako. I have Been the Natives on the subject, and have no hesitation in saying that I can carry it right through, as the greater part of the Native owners have appointed me their sole agent or manager of their affairs. With reference to that part of the line between the Piako and Waitakarura Rivers, I visited the Natives on 28th June, and Pinehaha of the Ngatimuros has already given his consent to me. He is the chief landowner of the place. I wish you would send me a written authority to act in the matter ; and if my offer should be accepted, I have no doubt that I can arrange the affair and carry on the works without any hindrance, as I have told the Natives that the Government would not give them anything for the line passing over their lands. But if the contractor thought fit to do so the Government would make no objection. The Natives do not care as long as they get some money. I do not think it can be done for less than my estimate, as the Hauhaus are against Government works, and nothing but hard talking, with a little money, will get over the difficulties. I have, Ac, E. V. Dixon. P.S.—At the request of the Natives I have enclosed their letter.—E.V.D. The Hon. D. McLean, Defence Minister.

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Enclosure in No. 4. Tender of Dixon Bros., Auckland. Tender for Telegraph from Shortland to Tauranga — about 120 Miles. Auckland, Bth July, 1870. We, the undersigned, hereby agree to furnish and erect totara poles, fix insulators (for two lines), stretch the wire, and complete it in accordance with usual Government specification. The Government to find the wire and insulators. The line to be given up to the Government in efficient order in twelve months from signing the contract, or sooner if possible. Payments to be made in the usual way as the line progresses. For the sum of £5,000. E. V. Dixon, pro Dixon Bros. G. Byrk Allen.

No. 5. Mr. G. S. Cooper to Mr. Dixon. Sir,— Colonial Defence Office, Wellington, 28th July, 1870. I am instructed by the Defence Minister to inform you, in reply to your letter of the Bth instant, that the Government has accepted your tender (of same date) to erect the telegraph line from Shortland to Tauranga, via Ohinemutu, for the sum of £5,000. You will be furnished with full specifications, and instructions as to the manner in which the work is to be carried out, from the General Manager of the Telegraph Department. I have, Ac, G. S. Cooper, E. V. Dixon, Esq., Auckland. Under Secretary.

No. 6. Mr. C. Lemon to Mr. Dixon. Sir, — New Zealand Telegraph, Head Office, Wellington, 30th July, 1870. I am directed by the Hon. the Defence Minister to request that you will be good enough to furnish me, at as early a date as possible, with details of the route that you and your brother have travelled over, and which you have fixed upon for the carrying of the telegraph line between Tauranga and Shortland, in order that the same may be included in the specification of the works under which your contract has been accepted, in accordance with the terms of your tender dated Bth July, 1870. 1 have, Ac, C. Lemon, E. V. Dixon, Esq., Auckland. General Manager.

No. 7. Mr. Dixon to Mr. C. Lemon. Sic,— Auckland, 10th August, 1870. lam in receipt of yours of 30th July, 1870, requesting details of proposed route. I enclose a tracing showing the route as nearly as I can in the absence of a proper survey. You will greatly oblige by forwarding the specification at as early a date as possible, as we are anxious to proceed with the work. I have, Ac, To the General Manager of the Telegraph Department, Wellington. E. V. Dixon.

No. 8. The Hon. Dr. Pollen to Messrs. Dixon Brothers. Gentlemen, — General Government Offices, Auckland, 22nd August, 1870. With reference to your undertaking to carry a telegraph line from Shortland to Tauranga by way of Ohinemuri, I have to request that, pending the receipt of further instructions from the Colonial Government, you will not commence operations, or enter into any contract, or make any arrangements involving the expenditure of money on account of any work on the proposed line. 1 have, Ac, Messrs. Dixon Brothers, Auckland. Daniel Pollen, A.G.G.

No. 9. Mr. G. S. Cooper to the Hon. Dr. Pollen. Sib, — Colonial Defence Office, Wellington, 6th September, 1870. In reference to the correspondence which has taken place upon the subject of the construction of the line of telegraph between Shortland and Tauranga, 1 have the honor to request that you will inform Messrs Dixon that, in consequence of the Native difficulties which have arisen, it is not the intention of the Government to proceed any further at present with the work. I have, Ac, (for the Defence Minister), The Hon. Dr. Pollen, Auckland. G. S. Cooper.

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No. 10. Mr. Dixon to Mr. C. Lemon. Sic, — Grahamstown, 29th November, 1870. I beg to call your attention to the acknowledgment by the Government (dated 30th July, 1870) of my tender for the erection of the telegraph line between Tauranga and Shortland; also, my reply, dated 10th August, 1870, with which was submiited a copy of my plan of the intended work. I am now induced, after waiting over three months for instructions to commence the work, to request that you will kindly put me in possession of full particulars regarding it, as promised in your communication of July 30th, 1870, seeing that I might then take advantage of the summer season, as well as the present state of impecuniosity of tho Natives. I would respectfully suggest that any further delay in authorizing me to proceed with the work may, in the future, involve Native difficulties, which at the present time can be easily obviated. In the event of your not having received the plan of my proposed route which I previously forwarded, I beg to submit for your information another copy of the plan alluded to. I have, Ac, E. V. Dixon, C. Lemon, Esq., General Manager, Telegraph Department. Contractor.

No. 11. Mr. Dixon to the Hon. D. McLean. Sir,— Auckland, 18th February, 1871. With reference to the erection of the telegraph which I undertook some time ago, I beg to inform you that I have on several occasions applied to Mr. C. Lemon, General Manager of Electric Telegraphs, AVellington, and have not as yet received any reply. As the uncertain nature of the affair materially interferes with my business, I would take it as a great favour if you would decide and let me know at your earliest convenience whether I am to commence operations or not. I am, Ac, D. McLean, Esq., Native Minister. E. V. Dixon.

No. 12. Mr. Lewis to Mr. Dixon. Sir, — Alexandra, 27th February, 1871. Referring to your letter of the 18th instant, respecting the construction of the telegraph line between the Thames and Tauranga, I have the honor, by direction of the Native Minister, to inform you that, in the present unsettled state of the Natives in that district, it is not considered advisable to procoed with the work in question. I have, Ac, E. W. Dixon, Esq., Auckland. T. AY. Lewis.

No. 13. Mr. Dixon to the Hon. D. McLean. Sir, — Grahamstown, 9th March, 1871. In reply to yours of 27th February, 1871, which I have received, I wish to state that I have been speaking to Tukikino and Turapipi about the matter, and they will help us all they can with the line. I have, Ac, Pro E. R. Dixon, The Hon. D. McLean, Defence Minister. G. B. All_:n.

No. 14. Mr. C. Lemon to Mr. Blake. (Telegram.) Wellington, 9th July, 1870. WnEN you have leisure I should like you to examine upon the possibility of continuing the line to Auckland; this is only as regards spanning the two openings into Tauranga Harbour. I am told by Mr. Heale that on this side of Tauranga Harbour the land is very high, and on the north head of northern opening the land is also high. My reason for asking you to do this is to be satisfied as to whether we can take the line that way, as the one round the Harbour to Kati Kati would be a tremendous job; looking at map, there appear to be so many long inlets running up into the mainland. C. Lemon, G.M.

No. 15. Mr. Blake to Mr. C. Lemon. (Telegram.) 9th July, 1870. Mr. Heale correct as to description. I think it the best plan so far as I could see at Tauranga, and there would be no Native opposition ou the Island. I have plan on large scale, which I will send you. It would probably require two sets of piles driven, one at each entrance on Sandy Spit, that runs out into shallow water. Spans would not be more than six or seven hundred yards. I will go in boat to examine when next at Tauranga. W. Blake. 2

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No. 16. Mr. Blake to Mr. C. Lemon. (Telegram.) 9th August, 1870. lam going to-day to examine Tauranga Harbour for crossing wire. I expect to get ten acres of land at the Ngae from the Mission Agent—an office will have to be built, but no sawyers will be got before poles are finished cutting. Everything will go on here satisfactorily if weather will only be fine. Walter Blake.

No. 17. Mr. Blake to Mr. C. Lemon. Sir,— Maketu, 12th August, 1870. I have the honor to inform you that I have made an examination of Tauranga Harbour crossing for proposed line to Kati Kati. The Tauranga entrance could be spanned, but it would necessitate a tower or high pole on each side; one on the hill could easily be erected, but the one on the sandbank would require a large expenditure to make it safe—the position of the latter would be on a loose sandy spit covered about 3or 4 feet deep at low water. There is also a very strong current ruuning here, and in rough weather, with wind from the north, a very heavy surf breaks along the spit. I therefore examined the harbour further towards Kati Kati, and on inspection decided that it would be preferable to cross line where marked on accompanying tracing at the island Motuhoa; by so doing the township of Te Puna will be passed. No large vessels can pass beyond Te Puna, also a little higher up, a mud or sand bank runs right across the harbour, caused by the tides meeting. So this route leaves it optional either to cross the island, or run it across on the sandbank. It would also save making a long loop-line into Tauranga, as shown on tracing. Tho distance also would be lessened because poles for crossing at the Tauranga entrance would start from where Taupo line leaves the beach. The accompanying tracing will show that the line to reach Kati Kati, without crossing harbour at all, would be very difficult, both to erect, and also to look after when finished. I have sketched a line on tracing, but have not examined the country sufficiently to say that it is the most feasible; but, with slight deviation where necessary I see no obstacles to prevent it being made a good line. The Tauranga Pilot or Harbour Master, considers if line crosses at Motuhoa no high poles will be necessary, as only open boats go up through that portion of the harbour. The entrance at Kati Kati will probably require a high pole or tower on eastern side, but any expenditure for such pole will be saved by the distance being shortened. I have, Ac, AValter Blake, General Manager, Telegraphs, Wellington. Inspector.

No. 18. Mr. Siieatii to Mr. C. Lemon. Sic, — New Zealand Telegraph, Auckland, 16th August, 1870. Mr. Dixon has been twice to my office to gather information as to the construction of tho line between the Thames and Tauranga. I referred him to you in AVellington for specifications and the necessary instructions, as I have received no authorities on the subject. I have, Ac, Alfred Sheath, C. Lemon, Esq. District Inspector.

No. 19. Mr. Dixon to the Hon. D. McLean. Sir, — Grahamstown, 19th June, 1871. I regret to have again to call your attention to the injury that is being done, both to my brothers and myself, through being deterred by your authority in proceeding with the telegraph line between Tauranga and the Thames. We would be satisfied if the Government would deign to give us a reply, in the shape of a substantial reason, why we are so abruptly stopped in our preliminaries for the work, and Mr. McKenzie (another contractor) was allowed to proceed with a portion of the line which the Government had stipulated with us to complete. In conclusion, I cannot but call your attention to the fact that the conduct of the Government towards us in this matter has had the tendency to shake the confidence which the Natives in this part of the country have always had in us, and this latter is likely to prove extremely detrimental to us in all our future dealings with the Native tribes. Trusting that you will see the propriety of replying to this communication as soon as possible, I have, Ac, E. V. Dixon, Contractor, The Hon. D. McLean, Defence Minister. Grahamstown, Thames Gold Fields.

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No. 20. Mr. C. Lemon to Mr. E. V. Dixon. New Zealand Telegraph, Sir,— Head Office, Wellington, sth July, 1871. I am directed by the Hon. the Telegraph Commissioner to acknowledge receipt of your letter of 19th ultimo, with reference to the telegraph line between Tauranga and the Thames, and to inform you, in reply, that there are sufficient reasons why the work cannot be proceeded with, and that until the Government feels perfectly sure that it can be done without any interruption by the Natives, no further steps will be taken. I would beg to remind you that, on the 27th February last, you were informed that it was not then considered advisable to proceed with the undertaking. I have, Ac, C. Lemon, E. V. Dixon, Esq., Grahamstown. General Manager.

No. 21. Mr. McKenzie to the Hon. D. McLean. Snt,— Tararu, Ist April, 1871. I the undersigned hereby agree to deliver all telegraph poles required for the line from Tauranga to the Kati Kati Heads, all timber to pass your Inspector, at the rate of 405., and if erected, at the rate of 445. I am, Ac, The Hon. D. McLean, Hector McKenzie. Native and Defence Minister.

No. 22. Mr. Sheath to Mr. C. Lemon. (Telegram.) Auckland, 6th April. Urgent.—Contract entered into by Hen. Mr. McLean to carry line fram Tauranga to Kati Kati, thirty miles. First mile of posts to be erected first of May and contract completed tenth of June. Contract for supply, delivery, and erection of posts. Please telegraph who is to carry out the works and mark off the line. Letters per post. Alfred Sheath, District Inspector.

No. 23. The Hon. D. McLean to the Hon. J. Vogel. Sic, — General Government Offices, Auckland, 3rd April, 1871. I have deemed it advisable to authorize Mr. Sheath, District Inspector of Telegraphs, to enter into negotiations with Mr. Hector McKenzie, contractor, for the supply, delivery, and erection of about 600 telegraph posts, to continue the line of telegraph from Tauranga to Kati Kati, a distance of about thirty miles. This extension possesses a threefold advantage. It will, in the first place, considerably reduce the distance of carrying the mails between Tauranga and Shortland, while it cuts off the most difficult part of the journey. In the next place it carries the line to Aongatete River, a point that Mr. Commissioner Clarke considers the best adapted for branching off to Cambridge. Finally, it brings the line thirty miles nearer Shortland, should it ultimately be found necessary to carry the line in that direction. Looking to the advantages that will accrue, and bearing in mind the rapid approach of the winter, when outdoor work will be impeded, I have considered it prudent to push on this work without delay ; and consequently a contract will be signed by Mr. McKenzie and his sureties in the course of the week, for carrying out the work above mentioned, at tho rate of £2 per post, a price exceedingly moderate, owing no doubt to the fact of his having some 200 posts now at Tauranga, left over from his last contract. A clause is to be inserted in the agreement to terminate the contract in the event of any obstruction of the work by the Natives, through the act of the contractor or otherwise. I have, Ac, The Hon. J. Vogel. Donald McLean.

No. n. Mr. Sheath to Mr. C. Lemon. Sir, — New Zealand Telegraph, Auckland, sth April, 1871. The Hon. Mr. McLean has decided on carrying the line from Tauranga to Kati Kati, a distance of about thirty miles. This will cut off the most difficult part of the mail route between the Thames and Tauranga. He requested me to ascertain from Mr. McKenzie his minimum offer for carrying out the work, and to prepare the necessary deeds and specifications. The deed and specification coincide with those for the line between Pukoroko and Shortland, as far as possible.

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PAPERS RELATING TO EXTENSION OE TELEGRAPH

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The work is to be completed on the 10th June, and the first mile of twenty posts to be erected on the Ist May. It is therefore absolutely necessary that some one should be sent to the spot to mark off the line and to inspect the posts as early as possible. "AVill you please issue instructions to this effect? The price per post, supplied, delivered, and erected, is £2, a very reasonable price considering the nature of the country over which the line will be carried, and that 400 of the posts will have to be shipped from tho neighbourhood of the Thames. I expect the contract will be signed on the Bth instant, perhaps sooner. I have, Ac, Alfred Sheath, District Inspector.

No. 25. Mr. C. Lemon to Mr. Blake. (Telegram.) 10th April, 1871. Can you furnish me, from memory, the substance of your report re investigation of Tauranga Harbour, as regards carrying wire to Kati Kati, spanning both entrances, what you suggested ? C. Lemon, G.M.

No. 26. Mr. Blake to Mr. C. Lemon. Sic, — Kaupokonui, 21st April, 1870. Re Tauranga to Kati-Kati. The line I recommended ran along south side of Tauranga Harbour as far as Te Puna Township, or point running out towards the Island of Motohoa, onto Matakana Island, running along Matakana and reerossing on to the mainland at Kati Kati, or crossing from Te Puna Point across the sandbank thrown up by the meeting of the tides from Tauranga and Kati Kati entrances. There will be some expense incurred by these three crossings, but I considered at the time it would not be so expensive as carrying line all the way by the mainland. There is no trade at present requiring the crossings of Motohoa being high. The Maoris also threatened to prevent line going along the mainland. I spoke to Captain Heale on the subject, and he agreed with me respecting the route. I would suggest that the crossings of harbour at Motohoa Island, and also Kati Kati crossing, be carefully examined and measured as to height of poles required, and also the span of tbe wire. It was not practicable to examine the line very accurately when I was there, on account of threatening attitude of Natives. The line might be carried across the harbour by Otaemaitai, just above the old Mission Settlement, and without crossing on to Matakana Island, at once ; but the wire would require to be at least 100 feet high at centre of span. Tho deep water is not very wide at this place, but there are no high banks to start from, and I think at Motohoa and Te Puna banks would be at least safe. I was informed that the road from Tauranga to Kati Kati was more than thirty miles, on account of the inlets running so far up towards the bush. I have, Ac, C. Lemon, Esq., G.M., Wellington. Walter Blake.

No. 27. Mr. C. Lemon to the Hon. D. McLean. (Telegram.) AVellington, llth April, 1871. Re contract from Tauranga to Kati Kati. —The Hon. Mr. Sewell has requested me to draw your attention to the fact that Mr. Blake reported on the practicability of taking the line across Tauranga harbour, and not round the harbour, as he gathers from a telegram sent me by Mr. Sheath, wherein he says you have contracted with McKenzie for thirty miles. Mr. Blake's report on this matter is E. T. 70-1418, attached to E. T. 70-1787, papers relative to Mr. E. V. Dixon's claim for compensation, which papers you have with you, as I learn from the Defence Office. My object now in addressing you is respectfully to ask you to reconsider this matter, and if possible to get contractor to alter the line of route, as not only a saving in money will be effected, but the future maintenance of the line, and its quicker repair, in case of breakdown, will be much facilitated. Mr. Blake, as far as I can recollect, reported most favourably on the route by the island which which forms the harbour of Tauranga. Will you therefore be good enough to see his report, and, if you then feel satisfied, do what you can to alter present contract if possible? I shall send up to Tauranga by return steamer sufficient line material to build thirty miles, in case you cannot alter line. C. Lemon, Hon. D. McLean, Auckland. General Manager.

No. 28. Mr. C. Lemon to Mr. Sheath. (Telegram.) Wellington, 12th April, 1871. Re extension of line to Kati Kati, see my telegram to Hon. Mr. McLean. Am sending material by " Ashley " next trip to Tauranga. Also person to superintend erection and lay off line. Was it your suggestion to take line round route indicated ? From all I can gather, the country is very rough, and it will be a most expensive line to maintain, and delays in repairs will be long. C. Lemon, General Manager.

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No. 29. The Hon. D. McLean to Mr. C. Lemon. Sir, — General Government Offices, Auckland, 21st April, 1871. Prior to the receipt of your telegram, considerable caro was taken to ascertain which would be the most desirable route for carrying the telegraph between Tauranga and Kati Kati, and the present line was then considered the best. Subsequently, since the arrival of Mr. Clarke from Tauranga, Captain Heale and he have been discussing the subject in conjunction with Mr. Sheath, and they have arrived at the conclusion that the present line, under all circumstances, and especially considering its proximity to the Cambridge Line, should that be adopted hereafter, is the best proposed, and I therefore do not see the necessity for any alteration. I have, Ac, C. Lemon, Esq., General Manager, Donald McLean. Telegraph Department Wellington.

No. 30. Mr. C. Lemon to Mr. Hector McKenzie. Sir,— New Zealand Telegraph, Head Office, Wellington, 15th April, 1871. The bearer of this letter, Mr. AY. H. Floyd, Electrician to the New Zealand Telegraph, has been intrusted with the duty of supervising the carrying out of your contract for the supply and erection of poles between Tauranga and Kati Kati; and I have further to inform you that progress payments for the same will be made to you on his certificate, in accordance with the terms of your contract. I have, Ac, C. Lemon, Hector McKenzie, Esq., Contractor for Tauranga General Manager, and Kati Kati Line, Tauranga.

No. 31. Copy of Bond. Know all men by these presents, that we, Hector McKenzie, of Tararu, Samuel Young, of Tararu, and Daniel McAuley, of Tararu, all of the Province of Auckland, New Zealand, are jointly and each of us bound to Her Majesty Queen Victoria in the penal sum of two hundred (200) pounds sterling, to be paid to Her said Majesty or her successors, for which payment to be well and truly made we bind ourselves jointly and severally, and the heirs, executors, and administrators of us and of each of us and of every of them firmly by these presents, sealed with our seal, and dated this twelfth day of April, one thousand eight hundred and seventy-one. Whereas the above-bounden Hector McKenzie has lately entered into a contract and agreement with the General Government of New Zealand for the supply, delivery, and erection of six hundred (600) telegraph posts, more or less, according to the agreements, conditions, and particulars mentioned, particularized, and contained in the specification hereto annexed, at or for the price or sum of two pounds sterling for every post supplied, delivered, and erected. And whereas, at the time of entering into such agreement as aforesaid, the said Hecter McKenzie and the said Samuel Young and Daniel McAuley, as his sureties, agree to execute the above-written bond or obligation for the due performance of the work so contracted to be done as aforesaid according to the specification aforesaid : Now, therefore, the condition of the above-written bond or obligation is such that if the above-bounden Hector McKenzie, his heirs, executors, or administrators, deliver to the said General Government of New Zealand, or cause to be delivered, six hundred (600) telegraph posts, more or less, of the size and at tho places and at the time mentioned, together with the other works mentioned, specified, and particularized in the hereinbefore-mentioned specification conformably to the said specification in all respects whatsoever, then the above written bond or obligation shall be void and of no effect, or otherwise shall be and remain in full force and virtue. Hector McKenzie. Samuel Young. Daniel McAuley. This contract was signed by Hector McKenzie, Samuel Young, and Daniel McAuley in my presence the 12th day of April, 1871. Alfred Sheath, Tele-cranh Enrn'neer.

No. 32. Specifications for Tauranga and Kati Kati Line of Telegraph. Conditions and Specifications of Works to be performed in the supply, delivery, and erection of Six Hundred (600) Telegraph Posts, more or less for a Line of Telegraph between Tauranga and Kati Kati, both in the Province of Auckland. The posts to be sawn from the heart of totara. The posts to be twenty (20) feet long, eight (8) inches square at the butt, and six (6) inches square at the top. The, posts to be perfectly free from sap, loose knots, shakes, speckled timber, or other defects. The posts to be sunk into the ground to a depth of not less than four (4) feet. The posts to be well rammed and left firm and perpendicular when in straight lines. Angle posts to incline to meet the strain of the wire, and struts to be used where required. 3

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The posts to be erected about four (4) chains apart, at points to be indicated by tho District Inspector of Telegraph or his delegate. Not less than a mile of posts to be erected on any one day (Sundays excepted) during the term allowed for completing the contract. The first twenty (20) posts to be erected on or before Monday, the Ist day of May next ensuing, and not less than twenty (20) posts to be erected on each succeeding working day till the tenth of June, 1871, when the contract must be fully completed to the satisfaction of tho District Inspector. A penalty of five pounds (£5) to be paid by the Contractor to Her Majesty the Queen for each and every day that the above-named works remain unfinished after the expiration of the date above named. All penalties due for non-performance of contract shall be deducted from any money or sums of money that was or shall become due to the Contractor under this contract. Progress payments of eighty (80) per cent., and of not less than one hundred pounds sterling (£100) to be made to the Contractor as the works advance. The remaining twenty (20) per cent, will be paid upon completion of the contract. No payments will be made to the Contractor without tho written certificate of the District Inspector, and all works under this contract will have to be performed to his satisfaction. The Contractor shall not let or sub-let any part of his contract, without the consent in writing of the District Inspector; any departure from this clause will render the Contractor liable to a fine of fifty pounds (£5O), to be deducted from the final payment on account of contract. Should the Contractor, by any act of his own or by any act of those in his employ, cause any disagreement- with the Natives either living upon or owning the land over which the line may pass, the works will be immediately stopped and the contract thereby will be rendered of no effect. Hector McKenzie, 4th December, 1871. Alfred Sheath.

No. 33. Mr. Sheath to Mr. C. Lemon. (Telegram.) 22nd April, 1871. The Hon. Mr. McLean requests me to inform you that, after due consideration, the proposed route round the Tauranga Harbour will be adhered to. Mr. Floyd has seen Mr. Heale on the subject. Alfred Sheath.

No. 34. Mr. C. Lemon to Mr. Floyd. (Telegram.) Wellington, 29th April, 1871. The under-mentioned letter is referred to you for report on the last paragraph contained therein, and also my minute on that letter. Reply by wire. C. Lemon, General Manager. " Sir,— New Zealand Telegraph, Auckland, 24th April, 1871. " I have the honor to acknowledge the receipt of your telegram of the 13th instant, from several sources, referring to the Tauranga Kati Kati Line. " Before receiving your telegram, I was not aware that Mr. Blake had made any report on the subject. " The Hon. Mr. McLean made known his intentions and wishes to me, and requested me to inform him how they could best be carried into effect. I did to the best of my ability, and my suggestions have been indorsed both by Messrs. Heale and Clarke. " Since receiving your telegram, I have carefully read over Mr. Blake's report, and consider the suggestions contained therein quite impracticable. " Mr. Floyd saw Mr. Heale on the matter, and he quite supported my views. " I have, Ac, " Alfred Sheath, " District Inspector." " Referred to Mr. Floyd to make full report on this matter by wire. Did Mr. Floyd see Mr. Blake's report ? " C. Lemon, " 29-4-71. ___________________________ " General Manager."

No. 35. Mr. Floyd to Mr. C. Lemon. (Telegram.) 30th April, 1871. The whole question of the route to Kati Kati was closed before I reached Auckland. I had nothing to do with the decision arrived at. I was not consulted in the matter at all, but was told by the Hon. Mr. McLean that he had finally determined on the route round the harbour. I afterwards saw Captain Heale, but not on the subject of choice of route. I considered that settled, and merely went to see map of the country and pick up information. In conversation, Captain Heale informed me that the width of the Kati Kati entrance from the high land to island was three-quarters of a mile ; that the ground on the island was not good for building a high tower on; that it was worse on the Kati Kati end of the island than on the Tauranga end, which Blake had reported to be bad ; that there was some fear the Kati Kati point of the island would be washed away, and that he believed the channel of the entrance was near the island. I said that with a tower 100 feet high on the island I should only

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E.—No. 6.

get a height of about 40 feet above the water in the sag of the wire, if tho distance across was so great as Captain Heale represented. That was tho only opinion I expressed on the matter. I fancy Mr. Sheath's last paragraph is intended to convey that I saw Captain Heale quite supported Mr. Sheath's views. If so, I can fully corroborate Mr. Sheath, for Captain Heale seemed to be strongly in favour of the route round the harbour. Mr. Sheath cannot mean that I quite supported his views, for beyond my remark about tho span I said absolutely nothing that could be construed into an opinion favourable to the line decided upon. I read Blake's report very carefully. He says, in effect, that he could not positively declare the route he suggested was the best possible, but he believed a good safe line might be made on it, and that it would probably be found necessary to erect a tower on the eastern side of tho Kati Kati entrance. The report does not exhaust the question, and I had determined that if the Hon. Mr. McLean asked my opinion, I would beg to be allowed to examine both routes, and report before the work proceeded. As I was not consulted, but merely informed of the decision arrived at, I had nothing to do but use my best efforts to push forward with the work. I repeat that there is no foundation for a belief that I quite supported the view that Mr. Blake's suggestions were impracticable. I have formed no positive opinion on the matter, nor should I think of doing so until I had thoroughly examined both routes. W. H. Floyd, Electrician. »111...11.l I -11W11...... I I I

No. 36. Mr. W. 11. Floyd to Mr. C. Lemon. (Telegram.) Ga, Ist May, 1871. McKenzie here. Hopes to complete contract 10th June, but finds country worse than he anticipated. He had 100 poles stacked here. I passed 90 and rejected 10. Those passed are very bad. I leave in morning, and propose to camp out till exploration finished. Have arranged that 25 of the poles shall be 25 feet long. Following is copy of specification. W. H. Floyd, Electrician.

No. 37. Mr. Floyd to Mr. C. Lemon. (Telegram.) Tauranga, 13th May, 1871. Have been through to Kati Kati, and see my way to make a strong, good line throughout. Will report further in morning, after seeing men who are pegging up to my flags. Maoris threaten to stop work. Mr. Clarke advises me to go on until Natives stop me, and then come away and let Government settle with them. He believes we shall get through. W. H. Floyd, Electrician.

No. 38. Mr. C. Lemon to the Hon. D. McLean. AVellington, 15th May, 1871. The Hon. Mr. Sewell has requested me to inform you that Mr. Floyd reports that Natives threaten to stop the work on Kati Kati Lino. Mr. Floyd has been advised by Mr. Commissioner Clarke to go on, and when they stop him to come away and let Government settle the matter. Mr. Floyd is progressing favourably. McKenzie commenced erecting poles to-day. C. Lemon, Hon. D. McLean, Napier. General Manager.

No. 39. Mr. Floyd to Mr. C. Lemon. (Telegram.) Tauranga, 26th May, 1871. On AVednesday afternoon, as I was riding over my line from Kati Kati towards Tauranga, I found that three of my flags had been removed, near the Rereatu Kahia River. I replaced two of them, and was on my way to put up a third, when I was stopped by Maoris at the Rereahu Kahia Settlement, and told by them that I was doing wrong, and that any flags I put for the telegraph would be pulled down. I asked who had pulled my other flags down, and was told that they had been removed by Enoka' daughter, who had been instructed to do so by Pratene, a chief living near. I asked tho Maoris if they would pull down the flags I was then putting up ; and, on their answering that they would, I told them I was just going to put up one, and asked them to pull it down while I was present that I might see they meant what they said. They declined to do this, and I placed my flags. Then, I made all haste to Tauranga. I have told Mr. Clarke, who says he thinks nothing of this opposition ; the part he thought a stoppage might occur at had been passed. He will write to those men at Rereahu Kahia, and he recommends me to proceed with my work. 1 shall be at Rereahu Kahia while the pegging is being done there, so that no difficulty may occur through any blundering of my men. My interpreting on the occasion, under report, was done by my guide, a man named Peter Grant. I carefully avoided entering into any discussion with the Natives, being of opinion that, if negotiations were necessary, they were better left in the hands of the Native Department. W. H. Floyd, Electrician.

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PAPERS RELATING TO EXTENSION OE TELEGRAPH

No. 40. Mr. Floyd to Mr. C. Lemon. (Telegram.) Ga., 20th May, 1871. I have paid McKenzie £139 4s. on account of eighty-seven poles delivered and erected on the line from Tauranga to Kati Kati. W. H. Floyd, Electrician.

No. 41. Mr. Floyd to Mr. C. Lemon. (Telegram.) Aongatete, 3rd June, 1871. Clearing and flagging party now close to Rereatu Kahia. I remain with men till delicate ground passed. Natives removed my second lot of flags, so I put some more in yesterday. They said they should not remove them " to-day nor to-morrow, but after that, when more Maoris came, they would pull them down." I have informed Mr. Clarke, who had previously sent a letter telling the Natives the wire must go up. I am pushing on as fast as possible, and devoting every energy to the work. McKenzie is behind hand. His men are stopped by want of poles. Out of two hundred and forty poles submitted by McKenzie I have had to reject eighty. They were very bad indeed, many of them being quite half sap. W. H. Floyd, Electrician.

No. 42. Mr. Floyd to Mr. C. Lemon. (Telegram.) Ga., 12th June, 1871. I have this day paid McKenzie an instalment of £112 on account of poles. This is the second payment, and makes the total sum paid to McKenzie up to this time £251 4s. W. H. Floyd, Electrician.

No. 43. Mr. Floyd to Mr. C. Lemon. 12th June, 1871. Following from McKenzie just to hand. Without doubt there has been some bad weather, as he says. He has now on ground, including those erected, about half the number of poles required, and will probably be able to finish by the 10th July. W. H. Floyd, Electrician. " Dear Sir,— " Tauranga, 12th June, 1871. " Through wet weather and bad roads I have been detained getting the telegraph poles in terms with my contract for the line from Tauranga to Kati Kati. Hoping you will grant me another month longer till the 10th July ; by so doing you will oblige " Mr. Floyd. " Hector McKenzie."

No. 44. Mr. Floyd to Mr. C. Lemon. (Telegram.) Ga., 23rd June, 1871. Got in from camp this afternoon. Two days coming fifteen miles in a boat; very bad weather. I finished pegging on tho morning of the 19th instant. Could have got done three weeks earlier, but as McKenzie was so far behind I kept only a moderate staff employed, and stopped to do extra clearing and track making that might have waited till wire was up. Had I been supplied with poles from Wellington, and done all the work myself, I could have opened a temporary office at Kati Kati on Ist July ; as it is I fear we shall not get through for another six weeks. No more poles have arrived since McKenzie applied for extension of time, and we may expect a large proportion of bad weather during next two months. Altogether I have rejected 110 poles, principally for sap, several of them had bark on. I believe those I have accepted are really good poles. McKenzie makes a great fuss about my numerous rejections, but lam thoroughly satisfied I have only done my duty. 219 poles are erected. 279 more to be erected ; total, 498, with spare poles ; my full number will be about 520. I will give you chained length of lino on Monday. I commence wiring next week, and have reserved some necessary work en route to employ my men on when they are stopped b}- want of poles. Clearing round poles and sowing grass-seed will be done by my own men after wiring finished—nearly all poles will require it. W. H. Floyd, Tauranjra. Electrician.

E.—No. 6.

BETWEEN SHORTLAND AND TAURANGA.

13

No. 45. Mr. Floyd to Mr. C. Lemon. Ga., Ist July, 1871. No more poles erected since I reported last Saturday. McKenzie sent fifty-four down here on Monday, but I had to reject thirty-seven of them for sap; the remaining seventeen are lying here until the arrival of another cutter. lam getting on with wiring. Weather unfavourable most of this week, fine to-day. W. H. Floyd, Electrician.

No. 46. Mr. McKenzie to the Hon. D. McLean. (Telegram.) 20th July, 1871. I had to stop delivering the poles on the line from Tauranga to Kati Kati, as Mr. Floyd is condemning the most of the poles on the line. He says, does not know the sap from heart, so he trusts to other people. All I want is to send practical man or leave it to arbitration. lam willing to put up the line and then leave it to arbitration. I have now 143 poles on the line more than will finish. lam anxious to get it finished, and doing all in my power, but never will, the way lam used. Reply to Auckland or Tauranga. Hector McKenzie. Hon. Native Minister, Wellington.

No. 47. Mr. Floyd to Mr. C. Lemon, Wellington. Ga., 21st July, 1871. I examined 123 poles brought by McKenzie on 18th and 19th instant; accepted 48, rejected 75 — 30 of those rejected had bark on. The following note was brought to my camp this morning : — " Kati Kati, 19th July, 1871. Sir, —I am obliged to stop delivering till I hear from AVellington. Mr. Floyd. Hector McKenzie. The poles offered by McKenzie for this lino are as a lot thoroughly bad, the line I am making is over a most difficult country, and there are necessarily many long spans ; unless it is put up with the very best material, it cannot be expected to stand, and repairs in bad weather will be more than ordinarily difficult from the number of rivers, creeks, and swamps on the route. McKenzie has tried every possible argument and artifice to drive me of my line off duty or to deceive me ; having failed in both respects, he now appeals to Wellington. I am satisfied that I have not rejected a single pole that is up to or anywhere near the specification, and shall gladly hail investigation if the question is limited to "sap or no sap." He ordered his men to erect all the poles he brought. But I have taken measures to prevent that. W. H. Floyd, Electrician.

No. 48. Mr. C. Lemon to Mr. McKenzie. AVellington, 22nd July, 1871. The Hon. the Telegraph Commissioner requests me to inform you, in reply to your telegram to the Hon. Mr. McLean, that the Government will support Mr. Floyd in the rejection of the poles, which are evidently in violation of your contract; your proposals for arbitration cannot be entertained. I have, Ac, C. Lemon, Mr. Hector McKenzie, Contractor, Tauranga. General Manager.

No. 49. Mr. Floyd to Mr. C. Lemon. (Telegram.) Ga., 30th July, 1871. Following from McKenzie just to hand : —" Auckland, 27th July, 1871. Mr. Floyd. Sir, —I am going to put up the poles that I think that is up to specification, and stand the consequence when the job is finished.—l remain, yours respectfully, Hector McKenzie." I have just got in from camp —go ont again to-morrow. I shall in the absence of contrary orders resist any attempt made to erect rejected poles, and if they are laid on line, will split them up into firewood. W. H. Floyd. Electrician. 30th July 1871. I will be in Ga. office at five this evening, if you wish to speak to me re poles. W. 11. Floyd, Electrician. 4

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PAPERS RELATING TO EXTENSION OE TELEGRAPH

No. 50. Mr. C. Lemon to Mr. Floyd. (Telegram.) Wellington, 31st July, 1871. Supposing this question comes into a court of law, it will be necessary to prove beyond doubt, that the poles you have rejected are not up to the specification ; what evidence, therefore, will you have besides your own ? You should inform Mr. McKenzie that you forbid him to put up any poles not passed by you. You must not destroy any poles, however defective, nor must you put wire or do any work on any poles rejected by you which he may put up. Reply sharp about evidence ; will instruct you then—future. C. Lemon, Mr. Floyd, Tauranga. General Manager.

No. 51. Mr. C. Lemon to Mr. Floyd. (Telegram.) Wellington, 31st July, 1871. Is Mr. Jordan a respectable man ? could you rely on him togive an impartial opinion ? If so, better take him and let him see rejected poles; in meantime give McKenzie notice forbidding him to put up any poles. If you take Jordan, get him to report direct here. C. Lemon, Mr. Floyd, Ga. General Manager.

No. 52. Mr. Floyd to Mr. C. Lemon. (Telegram.) July 31st, 1871. Jordan was formerly in Government employ at A.K. as a surveyor. His contract is an important one, and Captain Turner, resident engineer here, mentioned him to me some time ago as one whose judgment of totara would be good. He is expected back from A.K. by Ashley. Will see him and get him to report to you. Have sent note to McKenzie forbidding erection of poles not passed by me. W. H. Floyd, C. Lemon, Esq. Electrician.

No. 53. Mr. Floyd to Mr. C. Lemon. (Telegram.) Ga., 10th August, 1871. Cannot say what McKenzie's intentions are. He paid a flying visit to my camp on 17th July; thence he went through Kati Kati and Ohinemuri to Auckland. He has not yet returned. No poles erected since 24th June. I have passed seventy-two that might be got up, but there is no one to erect them, for the men who were doing that work for McKenzie got tired of his dilatoriness and have gone to another job. None of McKenzie's friends here appear willing to take the responsibility of acting for him, and bo the work stands still until it shall please him to return to it. Thorp, who has been placing poles at pegs, received written orders from McKenzie a few days ago to pick out from rejected poles all such as would be passed by a good judge of timber and place them on line; but Thorp has not yet stirred in that direction. A cutter with a cargo of poles is expected daily at Kati Kati, and McKenzie may accompany them. If so, I will endeavour to get a definite understanding of his intentions and let you know. A mail leaves here for Auckland to-day. Would it be well to write to McKenzie on the subject. W. H. Floyd, Mr. C. Lemon, Electrician.

No. 54. Mr. C. Lemon to Mr. Floyd. (Telegram.) Ga., 10th August, 1871. If not too late, send McKenzie copy of my telegram to him, dated 22nd July, copy of which I sent you, and request to know from him whether he intends to go on with the contract or not. C. Lemon, Mr. Floyd, Ga. General Manager.

No. 55. Mr. Jordan to Mr. C. Lemon. Ga., 10th August, 1871. I have examined thirty-seven telegraph poles and found sap varying from one to three and a half inches across one entire face on thirty-six of them, and a small quantity of sap one corner of the remaining one. C. Lemon, Esq. R. E. Jordan.

BETWEEN SHORTLAND AND TAUEANGA.

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E.—No. 6,

No. 56. Mr. Floyd to Mr. C. Lemon. Ga., 14th August, 1871. The poles reported on by Mr. Jordan are thirty-seven that I rejected on Tauranga AVharf. Mr. Jordan will report further, after visit to Omokoroa on Thursday. Going Kati Kati to-day ; back to-morrow or AVednesday. W. H. Floyd, C. Lemon, Esq. Electrician.

No. 57. Mr. Jordan to Mr. C. Lemon. Ga., 18th August, 1871. 1 accompanied Mr. Floyd, on 17th instant, to Omokoroa to examine some telegraph poles. The proportion of sap in the poles shown me is as follows: —One-twelfth sap, 6 poles ; one-tenth, 4 poles ; oneeighth,4 poles ; one-seventh,4 poles; one-sixth, 3 poles; one-fifth, 2 poles ; one-fourth,4 poles j one-third, 2 poles. Total, 29 poles examined carefully and separately. Of these poles 14 had bark on them; on 23 the sap extended across one face, and on six there was one corner of sap. I then examined 120 more, with the object of ascertaining if there were any poles free of sap. I only succeeded in finding two, the balance averaging the same as those detailed above. R. E. Jordan.

No. 58. Mr. Floyd to Mr. C. Lemon. Tauranga, 18th September, 1871. Referring to Mr. Jordan's report, the two poles found free of sap were, one badly shaken, and one bearing my accepted mark, but stacked with rejected poles by McKenzie's men. Mr. Jordan has now seen nearly all the poles I have rejected; the remaining few are in places difficult of access, or have been lost from rafts during collection of rejected poles to Omokoroa, but there are not more than thirty altogether that he has not reported on. W. H. Floyd, Electrician.

No. 59. Mr. Floyd to Mr. C. Lemon. (Telegram.) Tauranga, 24th August, 1871. McKenzie has not answered my note of 10th instant, asking whether he intended to proceed with line, nor has he yet come himself. He has sent a note to the man who was erecting poles for him which will probably result in the almost immediate erection of about fifty more poles ; but Thorpe, who has been putting poles on line, declines to do any more work until he has had an explanation with McKenzie. whose cheque given last time he was here has been returned dishonored. In a letter dated 14th instant, McKenzie told a business friend of his living here that he would be at Tauranga in a week. Ten days have passed and he has not been here. Respectfully submit that, in view of the facts that the extended time for the completion of McKenzie's contract has been exceeded by more than six weeks, that no poles have been erected for more than nine weeks, that McKenzie has not been near the work for more than five weeks, the Government would be justified in cancelling the contract, and supplying poles from Wellington to finish the line. I require one hundred and eighty more poles. At McKenzie's rate of progress I shall not get them in less than three months' time. For iv four months I have only passed three hundred and thirty-four, and of that number eighty-six were stacked at Tauranga before I arrived here. Those rejected yesterday and to-day were very bad. They were nearly all undersized and badly cut, and I see no hope that McKenzie will offer better ones. The captain of the cutter by which they came says he refused forty-three at the loading-place as manifestly unfit to bear inspection, else his cargo would have been one hundred and sixty poles instead of one hundred and seventeen. Fifty of this cargo came from Auckland, and probably they supplied those I have passed, for I am told McKenzie brought several influential people to look at fifty in Auckland as a sample of the poles I was rejecting. W. H. Floyd, C. Lemon, Esq., Wellington. Electrician.

No. 60. Mr. Floyd to Mr. C. Lemon. (Telegram.) Tauranga, 24th August, 1871. Yesterday and to-day, I examined 101 poles at Kati Kati. Accepted forty-five, rejected fifty-six. There were sixteen more brought by the cutter, but they were in deep water, and could not be recovered this morning. Of the fifty-six rejected, fifty-three for sap, one for rot, and two broken. Of those rejected for sap, fourteen had bark on. W. H. Floyd, C. Lemon, Esq., Electrician.

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PAPERS RELATING TO EXTENSION OE TELEGRAPH

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No. 61. Mr. C. Lemon to Mr. Floyd. (Telegram.) AVellington, 25th August, 1871. Write Mr. McKenzie that as he is now more than six weeks beyond the extended time for completion of his contract which involves him in a penalty of £5 per day, that unless he proceeds immediately to take steps to complete his contract, aud does so within one month from Ist of September, the Government will on the expiration of the said month treat the contract as cancelled, and take possession of the works, and that in any event all penalties heretofore and hereafter incurred will be enforced, and proceedings taken against him and his sureties for any loss the Government may incur by reason of his breaches of contract already and hereafter committed. Send a copy of this notice to Mr. Sheath, Auckland, requesting him, by order of the Telegraph Commissioner, to give Mr. McKenzie a copy of it in case your letter does not reach him. Also to his sureties (Mr. Sheath to send), informing them that the terms of it will be strictly enforced. The names of the sureties are Samuel Young and Daniel McAuley, both of Tararu. Please acknowledge receipt of this, and be careful you word McKenzie's letter and copy to Mr. Sheath in accordance with above. C. Lemon, Mr. Floyd, Tauranga. General Manager.

No. 62. Mr. Floyd to Mr. C. Lemon. (Telegram. Following to McKenzie :— " Sir,— Ga., 25th August, 1871. "I am directed by the Hon. the Telegraph Commissioner to remind you that the extended time for the completion of your contract to supply and erect poles on the telegraph line from Tauranga to Kati Kati has now been exceeded by more than six weeks, and that you are subject to a penalty of £5 per day for every day since the 10th of July last that your contract remains uncompleted. And to inform you that unless you proceed immediately to take steps to complete your contract, and do complete it within one month of the Ist of September, 1871, the Government will on the expiration of the said month treat your contract as cancelled, and take possession of the works. Also, that in any event, all penalties heretofore and hereafter incurred through non-completion of your contract will be enforced and proceedings taken against you and your sureties for any loss the Government may iucur by reason of your breaches of contract already aud hereafter committed. I have, Ac," Copy to Mr. Sheath, and a request to him to give it to Mr. McKenzie, also to give copy to each surety, accompanied by notice from himself that terms of my letter would be strictly adhered to by Government. , W. 11. Floyd, C. Lemon, Esq. Electrician.

No. 63. Mr. Floyd to Mr. C. Lemon. (Telegram.) Ga., 16th September, 1871. Back from Kati Kati. Office progressing, will be good one. Mr. AVallis McKenzie's partner is here, with power from McKenzie to act for him in carrying out contract. Expresses great regret at delay, and says it has been caused by efforts to get poles that would pass. Declares that better poles than those sent cannot be obtained, and sawyers have refused to cut any more. Is going to examine those I have rejected, and will let me know what he proposes to do on his return, about middle next week. I declined to accompany him to examination, as I had finally determined on standing to my rejections, and could not discuss the question of fitness or unfitness any more. I have got everything in train for going ahead vigorously at end of mouth, if work comes into our hands. C. Lemon, Esq. W. 11. Floyd.

No. 64. Mr. Floyd to Mr. C. Lemon. (Telegram.) Ga., 27th September, 1871. Just arrived from Maketu. lam informed that Mr. AVallis McKenzie's partner returned here last evening, and went on at once to my camp, with the avowed intention of erecting all the poles I have accepted, and then handing the line over to the Government to finish. In accordance with notice sent to McKenzie, the Government would take possession of tho works on Saturday next. Shall Ido so without regard to the amount of work done by that time by VVallis, or stand by for a few days until he has erected the poles I have passed ? W. H. Floyd, C. Lemon, Esq., G.M. Electrician.

No. 65. Mr. C. Lemon to Mr. Floyd. (Telegram.) AVellington, 30th September, 1871. Attorney-General says : —lf work is going on satisfactorily take no notice ; but if work is not going on satisfactorily, enter on the day your notice mentions. You are not to pay any money. If in doubt on any point, telegraph mo further, aud I will assist you. C. Lemon, Mr. Floyd, Ga. General Manager.

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E.—No, 6.

No. 66. Mr. C. Lemon to Mr. Floyd. (Telegram.) AVellington, 2nd October, 1871. No. 1. AVhat number of poles, including those to be erected, will McKenzie have supplied and erected ? No. 2. AA^hat loss has the Department sustained in the shape of paying men and nothing for them to do, through McKenzie not delivering ? Reply to-night. An approximate will do. C. Lemon, Mr. Floy-d, Tauranga. General Manager.

No. 67. Mr. Floyd to Mr. C. Lemon. (Telegram.) Ga., 2nd October, 1871. No. 1. —Total number supplied and placed on line by McKenzie will be 330. I think this will be within five poles of the truth. But it is impossible to be exact, as several passed poles have disappeared, and AVallace is going to try to find them. This includes poles laid for spare, which I verbally agreed to pay same price for as for those erected, on condition that twenty-five feet poles, though not mentioned in specification, should only be charged same price as twenties. No. 2.—1 have never paid men without getting work out of them ; they have been engaged making fascine roads over swamps, and doing other road-making that was necessary to make lino passable. The loss is that I shall have been kept hero more than two months than necessary. The same amount must have been spent for actual labour. The difference would have been that I should have employed more meu and done with a large staff in one month what my few hands have done in three months. Taking into account that my detention here has involved almost constant employment of a boatman and a good deal of service for a mounted guide, the actual money loss to the Department may be estimated at £100. W. H. Floyd, C. Lemon, Esq. Electrician.

No. 68. Mr. Floyd to Mr. C. Lemon. (Telegram) Ga., 2nd October, 1871. The hundred pounds I estimate as money loss to tho Department is made up as follows :— £ s. d. Electrician's travelling allowance during August and September ... 32 0 6 Wages of boatmen, guide, and camp-keeper during same period ... 61 15 0 Horsefeed and sundries ... ... ... ... ... 646 Total ... ... ... ... £100 0 0 W. H. Floyd, C. Lemon, Esq., Wellington. Electrician.

No. 69. Mr. Floyd to Mr. C. Lemon. (Telegram.) Ga., 2nd October, 1871. Mr. Wallace proposed that Government should credit McKenzie with the contract price for every pole used upon the line, and debit him with cost of those poles supplied and erected by this Department. I told him I could not say what Government would do, but it appeared to me that as the contract was for an uncertain number of poles at a stated price per pole, the simpler plan would bo to credit McKenzie with the work he had actually done, and enter into no statement whatever with him as to the expense incurred by the Department iv completing the line. I believe the circumstances are such that the Government can finish the line at a cheaper rate than the contract price, but you can judge when I tell you that if the " Luna " discharges at Kati Kati and Kauri Point, the subsequent charges for placing at pegs and erecting will be about Ss. per pole. I have not committed the Department to any particular course, aud should be glad to receive early advice. W. H. Floyd. C. Lemon, Esq., AVellington. Electrician.

No. 70. Mr. Floyd to Mr. C. Lemon. (Telegram.) Ga., 2nd October, 1871. Work now going ou satisfactorily. AVallace expresses greatest regret delay. Says mainly due efforts get good poles. Many poles rejected by me never intended for use on line, but being on hand were sent to Tauranga for sale. He will erect all poles that I have passed, aud would finish line if he could ;

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PAPERS RELATING TO EXTENSION OE TELEGRAPH.

but as he would have great difficulty in getting such poles as I would pass, and if he succeeded ho would necessarily be a long time about it, he wishes tho Department to get poles and finish the line, and he appeals to Government not to enforce penalties. Told him to make his appeal to me in writing, in order that I may lay it before you. This will be done. To complete the line, I shall require 175 twenty-feet poles, and 10 twenty-fives. Will you supply from AVellington ? If so, there will bo great advantage in sending them by " Luna," as she would discharge at Kati Kati and Kauri Point. The master of any other vessel would probably object to going into Kati Kati, as the entrance is not well known, and would discharge at Tauranga. This would make a difference of Is. 6d. per pole to us, besides causing a delay that would certainly be four days, and might be fourteen if the weather became bad. W. H. Floyd, C. Lemon, Esq. Electrician.