PAPERS RELATING TO AN ALLEGED SALE OF AURIFEROUS LAND TO MR. ALLAN McDONALD, AT SWITZERS.

Appendix to the Journals of the House of Representatives, 1872 Session I, C-06

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PAPERS RELATING TO AN ALLEGED SALE OF AURIFEROUS LAND TO MR. ALLAN McDONALD, AT SWITZERS.

PRESENTED TO THE HOUSE OF REPRESENTATIVES, BY COMMAND OF HIS EXCELLENCY.

WELLINGTON.

1872.

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PAPERS RELATING TO AN ALLEGED SALE OF AURIFEROUS LAND AT SWITZERS.

No. 1. Mr. J. B. Beabshaw to the Hon. the Colonial Seceetaey. Sie, — House of Eepresentatives, Wellington, 18th October, 1871. It has been brought to my notice, by residents of the Switzers District, that a piece of auriferous land, of fifty acres, has been disposed of by the Waste Lands Board of the Province of Otago, to one Allan McDonald. Also, that a very serious injury thereby has been done to the mining community by the sale of this known auriferous land, as well as the sale of improvements affected on the said piece of land, without any compensation being allowed to the owners thereof. I have, therefore, the honor to request you will bo be so good as to cause an inquiry to be made into the whole matter, and in the meantime to cause the Crown grants or certificates of sale to be withheld until the inquiry shall have been made. I enclose, for your information, two letters, from Mr. Shaw, of Switzer's, relative to the subject, dated respectively 29th September and 6th October, 1871. I have, &c, The Hon. the Colonial Secretary, Wellington. J. B. Beabshaw.

Enclosure 1 in No. 1. Mr. E. Shaw to Mr. J. B. Beabshaw. Sib, — Switzers, 29th September, 1871. I telegraphed to you on the 23rd instant relative to a Crown grant of fifty acres, applied for by Allan McDonald ; I also telegraphed to Mr. Thomson in Dunedin, asking him if the land had been sold. Mr. Thomson's reply is— " Sold, 13th May last; Crown grants not yet issued.—J. T. Thomson", Ch. Comr. C. and B." I have now to inform you that this land was applied for, some years ago, by Win. Acton, who went to considerable expense in obtaining runholder's consent, private survey, &c. The Government of that day promptly refused to sell the land. McDonald must have applied under Acton's old survey, as no fresh survey has been held. Some of the miners remember seeing an application in the papers for fifty acres by McDonald, in April last, but as locality was stated to be Hinden, 100 miles from here, no notice was taken of the affair. There is a departure here from the recognized rule, as the application is usually made through the Wardens' Courts : our Mr. Warden Wood is in blissful ignorance of the whole transaction. There is a deep lead of gold running right through the aforesaid land ; and to show you that such is not a myth, about last Christmas, the Break'em-all claim was running forty, fifty, and sixty ounces per week. There are besides several improvements on the ground. I may mention one place built for a public-house, but not yet licensed; no doubt the owner thought he was building on Crown land. It is reported that McDonald has sold the land to Bastings and Simpson. I will conclude by copying the resolution of the Switzers Miners' Protection Association : — " That Mr. Bradshaw be written to, to take steps to prevent the issue of Crown grant of fifty acres of auriferous land, formerly applied for by William Acton, and sold to A. McDonald, and to cause a prompt and searching inquiry to be made in reference to the said sale. " As our representative, we respectfully request you to take this matter in hand, and sift it to the bottom, as from the feeling of the people on the subject, I am satisfied it will not be let drop easily.'' I am, &c, E. Shaw, Mr. J. B. Bradshaw, M.H.E. Secretary, S.M.P. Association. P.S. —The Chinese petition from Switzers I think I shall be able to forward you next mail. Pray, is the Government likely to interfere to stop the further increase of these Celestials ? I think there will be a row some day over it. I was requested by the Committee to ask you for copies of the questions to the Wardens on Chinese immigration. E.. 8;

Enclosure 2 in No. 1. Mr. E. Shaw to Mr. J. B. Bkadshaw. Sib,— Switzers, 6th October, 1871. I am instructed by the Committee to request you will be kind enough to have forwarded to Secretary the New Zealand Government Gazette. I may mention that a Hansard was talked about, but I suppose it would be asking too much to trouble you on the subject. ;

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We are most anxious to hear from you on the fifty-acre A. Macdonald question. We have taken no further steps, the Committee concluding it were better to leave the matter in your hands, until you should instruct us how to proceed. Should McDonald get it, he need not much regret the loss of the station. Apologizing for the trouble, I am, &c, E. Shaw, J. B. Bradshaw, Esq., M.H.E. Secretary, S.M.P. Association. P.S.—The Chinese petition from Switzers District I will forward you by mail from here of 14th instant. ~&.&.

No. 2. Mr. Or. S. Coopeb to the Commissionek of Ceown Lands. (Telegram No. 801.) Government Buildings, Wellington, 20th October, 1871. Eepoeted here that fifty acres auriferous land within proclaimed gold field at Switzers has been sold by Waste Lands Board to Allan McDonald, without report from or knowledge of the Warden; same land previously refused to William Acton. Please report immediately by telegraph full information. G. S. Coopee.

No. 3. Mr. E. Shaw to the Chaieman, Waste Lands Board. Sie, — Switzers, 22nd October, 1871. I am instructed by the Committee of the Switzers Miners' Protection Association, to request from you full information on a grant of fifty acres of auriferous land, sold to Allan McDonald, 13th May last, with a copy of his application to Waste Lands Board; the date of the paper the application appeared in; and under what section of the Waste Lands Act the application was granted. As the Committee is in correspondence with Mr. Bradshaw, M.H.E., on the subject, a reply in course of post will be gratefully received. I am, &c, The Chairman of the Waste Lands Board. E. Shaw, Secretary.

No. 4. The Hon. W. Gisboene to Mr. J. B. Beadshaw. (No. 539.) Colonial Secretary's Office, Sib,— Wellington, 26th October, 1871. I have the honor to acknowledge the receipt of your letter of the 18th instant, enclosing two letters from Mr. Shaw, of Switzers, relative to the disposal of fifty acres of auriferous land to Mr. Allan McDonald by the Waste Lands Board of the Province of Otago ; and, in reply, to transmit for your information the enclosed copy of a telegram which has been received from the Commissioner of Crown Lands at Dunedin. I have also to state that the Crown grant of the above land will be withheld for the present. I have, <fec, J. B. Bradshaw, Esq., M.H.E., Wellington. W. Gisboktte.

Enclosure in No. 4. Mr. J. T. Thomson to Mr. G. S. Coopee. (Telegram.) Dunedin, 20th October, 1871. Pipty acres sold to Allan McDonald, the transferee of William Acton, by Waste Lands Board, on 4th May, 1871, under clauses 83 and 123 "Waste Land Act, 1866." Plan by Government Surveyor shows gold workings outside of section, but no report of Warden was recently obtained, such not being obligatory by regulations, and as the same Warden was favourable to the sale in 1868.

No. 5. The Hon. the Coionial Seceetaey, Wellington. The humble Petition of the undersigned Miners and other Residents on the Switzers Gold Meld, in the Province of Otago. Most Respectfully Showeth, — That your petitioners have heard with great alarm that the Provincial Government have sold to one Mr. Allan McDonald fifty (50) acres of auriferous land, situated in the centre of this gold field. We, therefore, pray that your honorable Government will take immediate steps to prevent the issue of a Crown grant for the said land, and will cause the same to be immediately thrown open for mining purposes. And we beg to submit the following reasons for our request, viz.: —■ 1. That the said block of land is known to be highly auriferous, including, as it does in its area, the celebrated claim known as the " Break-'em All," which was formerly held by Mr. William Acton, and has now been in work for the past six or seven years, yielding handsome returns. Said block is

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also bounded on the south-east side by the sluicing claim of the Messrs. Hurley Brothers and party, Wilkie and party, and others ; said claims have also been in full work the past three or four years. In fact, the entire block is surrounded on all sides by auriferous ground, and now being worked. 2. That said block contains a very rich lead of gold, and will, when capital is brought to bear upon it, turn out to be one of the richest and most important leads of gold yet found in the Province. 3. That said block was formerly surveyed by Mr. Win. Acton, at a cost, with the runholders, of some seventy (70) pounds; and that Mr. Acton, on two several occasions, did make application for an agricultural lease of the said block ; which applications were refused by the Waste Lands Board, Dunedin, Mr. Warden Wood, and Mr. A. J. White, clerk to the Executive Council. 4. That said block was illegally and fraudently obtained, and has been sold without being resurveyed ; no notices were posted either at the Warden's Office or on the ground, nor was the Warden asked to report on the same. The Otago Witness contained a report of the meeting of the Waste Lands Board when Mr. McDonald applied, stating that Mr. Allan McDonald had applied for fifty acres of land situate in the Hindon District, an entirely different district, and some 200 miles away from this. We, therefore, surmise that Mr. McDonald's application was similarly worded, the intention being evidently to mislead the public, and debar the miners here from objecting ; and had it not been for the transfer of the land to Mr. Horace Bastings and Mr. H. W. Simson, the public here would never have heard a word about it until the Crown grant was issued, and the Government w rould then have had to give compensation in order to regain possession of the land. Trusting that you will accede to tho prayer of your petitioners, and as in duty bound they will over pray, &c, Signed ( Gteobgte Abmsteong, ° \ Jeremiah Kennedy, and 145 others.

No. 6. Mr. E. Shaw to the Hon. the Colonial Secretary. Sie, — Switzers, 16th November, 1871. Mr. Bradshaw sent me, for the information of the Committee of the Switzers Miners' Protection Association, your letter to him of 26th October, No. 539, in reference to the sale of fifty acres of auriferous land to A. McDonald by the Waste Lands Board, Dunedin, and informing us that the Crown grant would be withheld for the present. This Committee assume you will have been presented long ere thia with the petition of the residents of Switzers, praying you to set aside the above grants. In your letter to Mr. Bradshaw is a copy of a telegram from Mr. J. T. Thomson, Dunedin, to Mr. Q-. S. Cooper, Wellington, in which the following passage occurs, and to which we take exception:— "No report from Warden was recently obtained, such not being obligatory by regulations, and the same Warden was favourable to sale 18G8." We believe this statement is contrary to the fact, as Mr. Warden Wood has on several occasions publicly stated that he was adverse to the sale; in fact, most strongly opposed it. I will refer to one other paragraph in same telegram : " Plan by Government surveyors shows gold workings outside of section." A part of the grant has been worked for the last six or seven years; there are also water-races on the section. Had the ground been advertised for sale it would have realized £500 as easily as £50. The grant was issued through false representations. There are residence areas on the section, granted by Mr. Wood, and which will involve the Government in endless litigation. One claimant has already applied to the Waste Lands Board for compensation ; his improvements would be valued at from £100 to £150. Had the application been made in the usual way, through the Warden's Court, it never would have been entertained; but Mr. McDonald knew too much for that: he knew it could not be obtained except in an irregular and clandestine manner, and therefore resorted to the Waste Lands Board. This Committee note some resolutions carried unanimously in the Legislative Council, and introduced by Mr. Holmes, bearing on the Moa PJat sale; the Committee think sections 3 and 4 of aforesaid resolutions are equally applicable to McDonald's grants ; the Committee most respectfully desire to direct your attention to the same. In conclusion, and apologizing for trespassing so far on your Honor's valuable time, this Committee think they have shown sufficient cause why this grant should be set aside. However, Sir, should you be of the contrary opinion, we would most respectfully solicit the appointment of a Commission of Inquiry to inquire and report on the whole transaction ; and should you, Sir, decide on appointing a Committee, we would observe, with all deference, that the Commission should consist of one or more gentlemen far removed, socially or politically, from that local bias which is ever the attendant of small provincial institutions. I have, &c, Ealph Shaw, The Hon. the Colonial Secretary. Secretary, S.M.P.A. P.S. —The Commission to sit at Switzers, with power to procure all information regarding application, &c, from Waste Lands Board. E. S.

No. 7. Mr. E. Siiaw to the Chaieman, Waste Lands Board, Dunedin. Sib,, —• Switzers, 16th November, 1871. I have the honor to acknowledge receipt of your note of 2nd instant, in reference to the application of the Eev. Mr. Morrison for 1-J- acres of auriferous ground in Happy Valley, Switzers, and to thank you for the information therein contained. 2

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This Committee requests me again to call your attention to the sale of fifty acres of auriferous land to A. McDonald on 4th May last. Eeferring to a telegram of yours of 20th October, addressed to Mr. G. S. Cooper, Wellington, I find the following passages occur : —" Plan by Government Surveyor shows gold workings outside of section;" and again: "No report from Warden was recently obtained, such not being obligatory by regulations, and as the same Warden was favourable to sale in 1868." With regard to the first paragraph which I have the honor to quote, I would observe, that if no gold workings are shown on the plan, then the grant was obtained by false representations, as gold working and water-races have been on the section for the last six or seven years. With reference to Mr. Warden Wood having reported favourably of the sale in 1868, I must observe there is a wide difference here betwixt you and the Warden, as I know for a fact that Mr. Wood has on several occasions publicly stated that he was always adverse to the sale ; in fact, has most strenuously opposed Acton's application. I would also like to direct your attention to Mr. Holmes' resolution in reference to the sale of the Moa Elat run, and which would seem to have been unanimously adopted by the Legislative Council. I think sections 3 and 4 bear strongly on this grant to McDonald. The Committee also to desire me to direct your attention to the fact, that had the land been advertised for sale, £500 could have been had for it as easily as £50. As far as this Committee is aware, the land was applied for, granted, and resold same day, at a profit of £200. We do not quite believe Mr. Acton transferred his interest in original application to McDonald. I would also call your attention to the fact, that residence areas exist on the section; two have been granted within the last eighteen months by Mr. Warden Wood. One of the parties applied to this Committee to know the proper quarter to apply for compensation. Of course we directed them to apply to the Waste Lands Board. The improvements on one area I have no doubt would be valued at £100 to £150. I am sorry, Sir, for trespassing at such length on your valuable time, but the question is really a very serious one. McDonald's grant takes in 40 chains, more or less, of a payable lead of gold, proved at eastern and western extremities of boundary. The inhabitants here feel that they have been grossly wronged in allowing such property to pass into the hands of any single individual. One or two more such grants, and it will absorb all the payable ground known of on Switzers. The miners more particularly feel the injustice of the grant, as they have to go through all the forms of fourteen days' notice ; pegging out their extended claims of one acre ; maintaining notice on the ground pending Warden's decision; contesting all objections; and, in case of obtaining the grant under any misrepresentation, the grant is at once set aside by the Warden. Hoping, in the interest of right and justice, your Board will reconsider its decision, I have, &c, Balph Shaw, The Chairman of the Waste Lands Board, Dunedin. Secretary, S.M.P.A.

No. 8. Mr. G. Bailey to the Chaiemast, Waste Lands Board, Dunedin. Sib,— Switzers, 11th November, 1871. I have the honor to forward herewith particulars of the claim of Mr. Dugald Matheson against the Provincial Government, in connection with the recent sale of fifty acres of land at "Winding Creek, Switzers, to Mr. Allan McDonald. The claim arises thus : Mr. D. Matheson is the holder of a residence area on the fifty acres alluded to, granted by the Warden in conformity with the Gold Fields Regulations. On this residence area is erected a large building intended for a road-side hotel. Application for a license for this hotel was forwarded, with the usual fee, to the Provincial Treasurer, in December last, in the name of James Graham, but the license was not granted as the building was not quite completed. Since the sale to Mr. McDonald, the building is quite useless. Notice has been given by Mr. Bastings, the transferee of Mr. McDonald, to remove the building, but as old building materials in Switzers will be of no value at all, the sale to Mr. McDonald renders Mr. D. Matheson's interest in the property valueless. I trust you will bring this claim before the Board at an early date, and awaiting your reply, I have, &c, GEOEaE Bailey, The Chairman, Waste Lands Board, Dunedin. Agent for Mr. Dugald Matheson. Enclosure in No. 8. Switzera, 16th November, 1871. The Waste Lands Board of Otago, Dr. to Dugald Matheson. To value of a seven-roomed house constructed of weather board and iron, situate on the Winding Creek, Switzers, and sold by the Provincial Government to Mr. Allan McDonald ... ... ... ... ... ... £125 0 0 Memo.—The above is the actual cost of erection.

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No. 9. Memoeandtjm by Mr. Beadshaw to Seceetaet of Lands and Woeks. The miners resident at Switzers have petitioned the General Government, complaining of the sale of this land and the improvements thereon, and the Government has promised them to inquire into the matter of the sale, and in the meantime to withhold the Crown grant until the inquiry shall have been made. J. B. Beadshaw, 20th December, 1871. Provincial Treasurer.

No. 10. Mr. J. B. Beadshaw to the Hon. the Colonial Seceetaet, Wellington. Sie, — Dunedin, 28th November, 1871. With reference to my letter of the 18th October last, and yours in reply thereto, dated 26th of the same month, and subsequently to those dates, a petition from the miners at Switzers, which I presented to you two days before prorogation of Parliament, relative to the sale, by the Waste Lands Board of Otago, of fifty acres of auriferous land at Switzers diggings, I have the honor to request that the evidence of Mr. Warden Wood, of Switzers, and that of Mr. John Hughes, a member of the Waste Lands Board of Otago, may be taken, when investigating the circumstances of the said sale of land. Those gentlemen, I have been told, can throw more light on the matter of the sale than any one else. I have, &c, J. B. Beadshaw.

No. 11. Mr. J. W. Wood to the Gold Fields Seceetaet. Sie, —■ Warden's Office, Switzers, Bth December, 1871. I have the honor to inform you, for the information of the Waste Lands Board, that on the sth day of December, 1870, one James Graham obtained a residence area (No. 3,119), under section 2of Eeg. XX., G-.F. Bulcs, 1870. By section 3of the Eeg. XX., " Condition of certificate," you will notice that the holder of a certificate of a residence area " shall erect and at all times maintain a secure and substantial fence around the land held by virtue thereof," &c. The residence area is not inclosed by any fence, or is it in any way improved, except by the erection of a wooden building, in very bad repair, worth about £25 at the outside. The claimant, Mr. Matheson, purchased the building, by auction, on the 15th of September last, for £36, far more than it was worth: he has never done anything with it. The late owner, Mr. Graham, applied for a licence for the house in December last, but it was objected to by the police as not completed. I visited the house yesterday, and it is a shell, with the windows out. Mr. Bastings, who owns the fifty-acre section on which it is, informed me that he did not claim the building, and that Matheson could take it away any time. I would, therefore, suggest that Mr. Matheson be informed that he can move the place, as I do not think he has any equitable claim for compensation. I have, &c, J. W. Wood, The Gold Fields Secretary. Warden.

No. 12. Mr. E. Shaw to the Hon. the Colonial Seceetaet. Sie, — Switzers, 22nd December, 1871. I am requested by the Committee of the Switzers Miners' Protection Association, to request your attention to the petition of the inhabitants of Switzers, presented to you in October last, relative to the granting of Crown title for fifty acres of auriferous land sold by the Waste Lands Board, Dunedin, to Mr. Allan McDonald, and am further desired to ask you what steps the Government have taken to set aside the sale. I have, &c, E. Shaw, The Hon. the Colonial Secretary. Secretary, S.M.P.A.

No. 13. Mr. E. Shaw to the Hon. the Colonial Seceetaby. Sib,— Switzers, 24th February, 1872. We presented to you, through our Mr. Bradshaw, in October last, a petition, signed by the greater number of the inhabitants here, praying you to set aside a grant by the Waste Lands Board, Dunedin, of fifty acres of auriferous land in the centre of this gold field, to Mr. Allan McDonald. I was afterwards instructed by the Mining Society here to ask for a Commission.of Inquiry into the transactions, with power to call for papers, &c. I also wrote you in December last, asking information as to what steps the Grovernment had taken to set aside the sale. To none of these communications have I received any reply: not even the acknowledgement of the receipt.

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I find Mr. Wood, our Eesident Warden, has not been referred to in the matter. In conclusion, the Mining Society request mo to ask if it is the intention of the Colonial Executive to interfere in the matter. If not, it is their opinion the Crown grant had better issue, keeping both parties in suspense no longer, and completing one of the greatest acts of injustice ever perpetrated on a mining or other community. I am, &c, Ralph Shaw, The Hon. the Colonial Secretary. Secretary, S.M.P.A.

No. 14. Memoeandum for the Hon. the Colonial Seceetaet. Action of Waste Lands Board hy " The Otago Waste Lands Act, 1866." Clause XVII. reversible only by Order of Supreme Court. Clause XVIII. limits time within which appeal may be made to thirty days from date of Board's decision. Applications for rehearing (by aggrieved parties) by Waste Lands Board may be granted without any limitation of time. Clause XXIII. gives power to Board to sell land " situated within any gold field." Any aggrieved person may now apply for rehearing. Action lies with the Provincial Government, and, I submit, the Superintendent is the " aggrieved " party, and may apply for the rehearing, as he is alleged to be liable (representing the Council) to compensations in excess of the purchase money. This, under the Statute. Public policy also points the duty of Superintendent to prevent the damage to mining enterprise if the real facts be as alleged. As granting lands within gold fields appears to be entirely with discretion of Board, it is competent to them to reverse their decision on grounds of public policy. W. S. Mooehouse, 7th March, 1872. Secretary, Crown Lands.

No. 15. Mr. G. S. Coopee to Mr. E. Shaw. (No. 197.) Sie,— Colonial Secretary's Office, Wellington, 16th March, 1872. I am directed by Mr. Gisborne to acknowledge the receipt of your several letters, and of a petition from certain inhabitants of Switzers upon the subject of the sale, by the Waste Lands Board of Otago, of a section of land to one Allan McDonald, which land is said to be auriferous, and the sale therefore illegal. The matter is still under the consideration of the Government, it being necessary that a preliminary inquiry should be instituted in order that the Government may be able to properly determine what ought to be done. I have, &c, G. S. Coopee, Ealph Shaw, Esq., Switzers, Otago. Under Secretary.

No. 16. The Hon. W. Gisboene to His Honor J. Macandeew. Sib,— Colonial Secretary's Office, Wellington, 16th March, 1872. I enclose to your Honor, as Governor's-Delegate under the Gold Fields Act, a petition from certain inhabitants of Switzers, and subsequent correspondence upon the subject of the sale, by the Waste Lands Board, of a certain section of land to one Allan McDonald, which land is said to be auriferous, and the sale of it therefore illegal. I request that your Honor will be good enough to communicate wjth the Commissioner of Crown Lands, and to give the Government such information on the subject as will enable them to determine whether any, and, if any, what, interference on their part is called, for. I have, &c, His Honor the Superintendent, Otago. W. Gisboene.

No. 17. His Honor J. Macakdeew to the Hon. the Colonial Seceetaey. Sib, — Superintendent's Office, Dunedin, 18th April, 1872. Enclosed I have the honor to transmit the papers referred to me, in reference to the sale of fifty acres of land at Switzers, together with memoranda on the subject from the Gold Fields Secretary, the Commissioner of Crown Lands, and Mr. Warden Wood. From these, it would appear that the Waste Lands Board has committed a blunder by disposing of the fee-simple of the land in question, and that to cancel the sale might probably involve compensation to an extent beyond any public benefit which might result. From a personal conversation with the Warden of the district, lam led to understand that the nature of the ground in question is such as to preclude its being advantageously

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worked, if, indeed, it can be worked at all, without the application of extensive capital, a condition which, to some extent, mitigates the error of the Board in having sold it. I have, &c, J. Macandrew, The Hon. the Colonial Secretary, Wellington. Superintendent.

Enclosure 1 in No. 17. Memoeandtjm for his Honor the Sttpebinteitdent. In re sale of Fifty Acres of Land at Switzers, to one Allan McDonald. I beg to prefatorily remark that I make no mention as to the legal part of the question as to the sale of this land. That should be left to the Law Officer of the Crown, to whom, no doubt, the Hon. the Colonial Secretary has submitted the case. From papers your Honor has been pleased to refer to me, I take it for granted, — 1. That fifty (50) acres of land has been sold to Mr. McDonald by the Waste Lands Board. 2. That the sum realized is the upset one, viz., £1 per acre. 3. That the land is situated within a proclaimed gold field, and that the area sold is auriferous. I find, also, that the Chief Commissioner of the Waste Lands Board (Mr. Thomson), in a telegram to the Under Secretary for the Colony, is made to say " that no recent report was obtained from the Warden of the district that such a report is not obligatory, and that the same Warden was favourable to the sale in 1868." I infer from these remarks that application was made to the Waste Lands Board to purchase the land in 1868, and that the sale was declined, although the Warden was then favourable to the I would, under the circumstances, respectfully suggest to your Honor the advisability of ascertaining from the Chief Commissioner why the sale of the said fifty acres, which was not granted in 1868, was granted three years after, namely, on the 4th May, 1871. Mr. John Hughes, who was then, and is now, a member of the Board, can, I believe, throw some light on the matter, if your Honor would consult him. Mr. Warden Wood, who is now in Dunedin, could inform your Honor as to the character of the land, its situation, and whether he was favourable to the sale in 1868, and is still of that opinion. The policy of the Gold Fields Acts is to prevent monopoly, to encourage the expenditure of capital, by fostering legitimate mining enterprises, and preserve for ordinary mining all auriferous lands which can be worked by lona fide miners. If, however, the fee-simple of this land has been obtained for less by half than the price which would have to be paid to the Province annually in terms of the leasing regulations, a great wrong has been done. Under the leasing system, and also under the ordinary mode of working in virtue of the possession of a miner's right, the land must be constantly in work. Now, the land is tabooed against the mining community, and may remain undeveloped for years. I have, &c, J. B. Bbadshaw, Dunedin, 4th April, 1872. Secretary for Gold Fields.

Enclosure 2 in No. 17. Mr. J. W. Wood to the Peovincial Seceetaey, G-old Fields. Si B) _ Dunedin, sth April, 1872. In accordance with the instructions contained in the memorandum of His Honor the Superintendent, I have the honor to inform you, in re the fifty acres of land to Mr. Allan McDonald, that I am not aware of any report having been made on Mr. William Acton's application, made in 1807 or 1868, previous to my being Warden of the Switzers Gold Field. At the request of some one, I presume on a memorandum of the Government to Mr. Acton, or his agent, Mr. M. Hay, I forwarded my letter No. 120-68, 2nd September, 1867, with Mr. Swanston's receipt, dated the 4th May, 1868, for his interest as runholder, and gave Acton a certified copy of the same, and, at his request, asked the Government to get the survey proceeded with, as a Government Surveyor was in the neighbourhood. I was never called on for a report, but in October or November, 1868, when in Dunedin, I refused to recommend the sale of the fifty acres lest it should hereafter prove payably auriferous. At that time I was not of opinion that it it was payable, as Acton had been working on the ground for two or three years, and was on the verge of insolvency. Since that time the ground has been worked, and proved highly auriferous. I have, &c, J. W. Wood, The Provincial Secretary for Gold Fields. Warden.

Enclosure 3 in No. 17. Will Commissioner of Crown Lands be good enough to explain the position of the matter in 1868 ? The "Waste Lands Board seems to have declined an application to purchase, although the Warden was favourable to the sale. In 1871 the sale is effected, the Warden being of opinion that it was payably auriferous. J. Macandbew, 4th June, 1872. Superintendent. 3

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Memoeandum for His Honor the Slteeintendent. The Members of the Provincial Executive sitting on the Board, including the Gold Fields Secretary, being in favour of the sale, I know of no objections. The Board can reverse its decisions. The correspondence in the Gold Fields Office was not laid before the Board. J. T. Thomson, 6th April, 1872. . Commissioner of Crown Lands.

Can the Board reverse its decision now, so as that the land in' question shall revert to the Crown without cost beyond return of deposit ? 4th June, 1872. . J. Macandeew. 9th April, 1872. It might reserve its decision, but purchase money having been paid, the Board would have to meet an action for damages. J. T. Thomson, To His Honor the Superintendent. Commissioner of Crown Lands.

No. 18. The Hon. W. Gisboene to His Honor J. Macandeew. • Sie, — Colonial Secretary's Office, Wellington, 29th April, 1872. Adverting to your Honor's letter of the 18th instant, returning, with certain remarks, the papers referred to you on the 16th ultimo, relative to the sale of auriferous land at Switzers, I have the honor to request you to be good enough to inform me, whether the buyer is now, or has been since the sale, mining for gold on the land in question, or allowing others to do so ; and whether your Honor thinks that it would be advisable under the circumstances to give the buyer notice that the Crown will not permit him to mine for gold on that land ; and whether such a notice would be likely to have the effect of inducing him to throw up the land. I have, &c, His Honor the Superintendent, Otago. W. Gisboene.

No. 19. His Honor J. Macandbew to the Hon. the Colonial Seceetaky. Sie,- —■ Superintendent's Office, Dunedin, 17th June, 1872. Referring to your letter of 29th April, relative to the sale of auriferous land at Switzers, I have the honor to forward herewith a communication on the subject from the Warden of the district, which fully sets forth the position of the case. I have, &c, J. Macandeew, The Hon. the Colonial Secretary. Superintendent.

Enclosure in No. 19. Mr. J. W. Wood to the Peovincial Gold Fields Sbceetaet. Sib,— Warden's Office, Switzers, 18th May, 1872. In reply to His Honor's memorandum on the Colonial Secretary's letter, as per margin, respecting the fifty acres of Winding Creek, sold to Allan McDonald about twelve months ago, I have the honor to inform you that the original purchaser (McDonald) has sold the land to Bastings and Simson, who have been and are now mining on it for gold. I called up at Simson's a few days ago, and wormed out of him that they had spent upwards of £700 on the claim alone, and that they have only got a little over £100 worth of gold out of it, and that the claim and plant is in debt now over £600. To turn round on them, after their having laid out money in plant and labour, and tell them the Crown w.ould not allow them to mine for gold upon it, would be, I consider, injudicious, as they would, most likely, take no notice of the order, or seek compensation, and raise a cry about the number of men thrown out of employment by the act of the Government. I think the best course to adopt would be to let the disagreeable subject drop, as Mr. Kalph Shaw tells me that he will not bother himself again on the subject, but let Simson ruin himself working at it. I believe if the ground was thrown open again that no one would try and work it, as it is deep sinking and very wet, and individual miners have not the money to speculate in it. I have, &c, J. W. Wood, The Provincial Gold Fields Secretary, Dunedin. Warden.

No. 20. Mr. C. E. Haugiiton to the Cohmissioneb of Ceown Lands, Dunedin. (Telegram.) 3rd July, 1872. Please send me copy minutes of "Waste Lands Board, 4th May, 1871, relative alleged sale auriferous land to McDonald, at Switzers. To Commissioner of Crown Lands, Dunedin. Hatohton.

11

C—No. 6.

OE AURIEEROUS LAND AT SWITZERS.

No. 21. Mr. A. Baeeon to Mr. C. E. Haughton. Sib,— Dunedin, sth July, 1872. I have the honor, by direction of the Commissioner of Crown Lands, to forward you copy of minute of the Board relative to sale of fifty acres of land to A. McDonald,, of 4th May, 1871. I am, &c, A. Baeeon, C. E. Haughton, Esq. Clerk to the Board.

Enclosure in No. 21. Extract from the Minutes of the "Waste Land Board, 4th May, 1871. " 13. Allen McDonald applied to have section 1, "Wendon District, agreed to be sold to ■William Acton, granted to him, as transferee. The request was -granted, provided the transfers are correct." A true extract. A. Baeeon, Clerk to the Board.

, _ t No. 22. Mr. C. E. Haughton to the Commissioned! of Ceown Lands, Dunedin. Sib,— "Wellington, 22nd July, 1872. "Will you bo kind enough to oblige me with a copy of the minute of the "Waste Lands Board, by which it was agreed to sell section 1, Wendon District, to "William Acton ; and also the names of the members present ? « I am, &c, The Commissioner of Crown Lands, Dunedin. C. E. Haughton.

No. 23. Mr. J. T. Thomson to Mr. C. E. Haughton. g IE _ i Crown Lands Office, Dunedin, 27th July, 1872. I have the honor to acknowledge receipt of your letter of the 22nd instant, and herewith beg to transmit a copy of the minute of the "Waste Lands Board meeting at which Mr. Acton's application was received, and directions given to him to deposit the cost of survey to bo executed by the Government Surveyor prior to sale. I have, &c, J. T. Thomson, C. E. Haughton, Esq., ■Wellington. Commissioner of Crown Lands.

Enclosure in No. 23. Exteact from the Minutes of the Waste Lands Board, 3rd June, 1868. Present —The Chief Commissioner, Mr. Cuttcn, Mr. Commissioner Duncan, Mr. Commissioner Mollison. Application of "William Acton, of "Winding Creek, for fifty acres on run No. 254b, with which was produced the runholder's consent. Resolved, That the amount of survey be deposited as on surveys of pre-emptive rights. A true extract. J. T. Thomson, 27th July, 1872. Chief Commissioner.

No. 24. Mr. G. S. Coopee to Mr. R. Shaw. g IE Colonial Secretary's Office, "Wellington, Ist August, 1872. Adverting to my letter No. 197, of the 16th. March last, on the subject of the alleged sale of auriferous land at Switzers, I have the honor, by direction of Mr. Gisborne, tq inform you that, after consultation with His Honor the Superintendent of Otago and the "Warden of the district, the Government do not consider it advisable to take any further action in the matter. I have, &c., G. S. Coopee, Ealph Shaw, Esq., Switzers, Otago. Under Secretary.

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