PUBLIC ACCOUNTS COMMITTEE. REPORT BRINGING UP THE PAPERS RELATING TO THE DEPOSIT OF £150,000 BY THE GOVERNMENT WITH THE COLONIAL BANK OF NEW ZEALAND, IN NOVEMBER, 1894.

Appendix to the Journals of the House of Representatives, 1897 Session II, I-07

Sess. 11.—1897. NEW ZEALAND.

PUBLIC ACCOUNTS COMMITTEE. REPORT BRINGING UP THE PAPERS RELATING TO THE DEPOSIT OF £150,000 BY THE GOVERNMENT WITH THE COLONIAL BANK OF NEW ZEALAND, IN NOVEMBER, 1894.

Report brought up 20th December, 1897, and ordered to be printed.

ORDER OF REFERENCE. Extract from the Journals of the House of Representatives. Fkiday, the 19th Day of Novembbb, 1897. Ordered, " That Standing Order No. 211 be suspended, and that a Committee, consisting of thirteen members, be appointed to examine into and report upon such questions relating to the Public Accounts as they may think desirable, or that may be referred to them by the House or by the Government, and also into all matters relating to the finances of the colony which the Government may refer to them; five to bo a quorum : the Committee to consist of Mr. J. Allen, Mr. Fraser, Mr. Fisher, Mr. Guinness, Hon. J. G. Ward, Hon. W. J. M. Larnach, Hon. J. McKenzie, Mr. Montgomery, Hon. G. F. Richardson, Captain Russell, Hon. Sir R. Stout, Mr. Tanner, and the mover." — (Rt. Hon. R. J. Seddon.)

β-epoet.

The Public Accounts Committee have the honour to bring up the papers relating to the deposit of £150,000 by the Government with the Colonial Bank of New Zealand in November, 1894. The Committee recommend that the pap2rs lie on the table and be printed. A. E. Guinness, 20th December, 1897. Chairman.

No. 1. Exteact from Letter from President, Bank of New Zealand, to Hon. Colonial Treasurer,. dated Bank of New Zealand, "Wellington, 27th November, 1894. >!< :1: * :|: -\- * With regard to the investment of the £150,000, I have the honour to state that the bank is prepared to purchase New Zealand Consols to that amount as an investment of part of the second million. Will you be good enough to direct that the £150,000 Consols be allotted to the bank when they are available for issue. I am to-day, by cable, instructing the bank's manager in London to place £150,000 to credit of the New Zealand Public Account, advising the Agent-General that he has done so. Interest, it is understood, is to run from date of the advance, and is to be payable half-yearly. It will suit the bank to receive the interest in London. I have &c, W. Watson, President.

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No. 2. " -PO-^S^S^nr^an^with hpp^^cS^SS^^ cheque here, which they can pay over to Bank of New Zealand for wire remittance whfch Watson under the circumstances, has agreed to make at par for Colonial. Please get MoKenzie wire me nk WiU aCCept deP ° Sit ' aUd f ° r him t0 Wke Bank of NewTealand e aSo Hon. J. G. Ward, Oamaru express train, or to follow on. J AS . B. Heywood.

No. 3. Glasgow, Governor. OEDEE IN COUNCIL. At the Government House, at Wellington, this 29th day of November 1894 Present: His Excellency the Governor in Council Whekeas by section 7 (4) of -The New Zealand Consols Act, 1894," it is enacted that the mon P v« in the New Zealand Consols Account shall from time to time be VeenriSJ Twill fixed deposit receipts of the Colonial Bank of New Zealand. interest-bearing Alex. Willis, Clerk of the Executive Council.

No. 4. J. B. Heywood, Esq., Treasury, Wellington. Mackenzie, Dunedin.

No. 5. Herewith please receive cheque for £150,000, which it is agreed shaUbTSced with your bank a four (4) per cent., interest payable half-yearly in London from Kay P lhe principal sum is to be repayable in London in six sums of £25,000 each on 31st May 81st August, and 80th November, 1896, and 28th February, 31st May, and 31st Eus 1897 and deposit receipts due, dated accordingly, are to be handed to the Agent-General for New Zealand n London, who will be informed by cable to-day of the arrangements entered into eaUnd - ln I have, &c, A. J. Cadman, The Manager, Colonial Bank of New Zealand, Wellington. G ° lonial Treasurer -

No. 6. SlB '~ tr, ~ , The Colonial Bank of New Zealand, Wellington, 29th November 1894 I have, &c, The Hon. the Colonial Treasurer, Wellington. E " J "

By Authority: John Mackay, Government Printer, Wellington.—lB97.