B—No. 3

Provinces, and to charge the remainder with this liability in addition to their own share of the charge for the redemption of Treasury Bills ou account of Supplementary Expenditure of former years. I may also further explrin, that advances are made to Provinces during the financial year at the rate of 3-Bths Customs Revenue; but what they are eventually entitled to receive, is the balance of the local Ordinary Revenue after the adjustment of the Annual Revenue Account, iv conformity with the provisions of the " Surplus Revenue Act, 1858." I have, &c.,

His Honor the Superintendent, William Fox. Hawke's Bay.

No. 10

THE SUPERINTENDENT OF HAWKe's BAY, TO THE COLONIAL SECRETARY,

Superintendent's Office, Napier, February 11th, 1862.

Sir, —

I have the honor to acknowledge the receipt of your letter of 30th January, 1862, in reply to mine of the 18th idem. I ascertain from your communication that the question of tho adjustment of the account between Hawke's Bay and Wellington for Interest and Sinking Fund, or sums raised for Land Purchases, has been allowed to remain in suspense, i>greeably to the decision conveyed to me in your letter of 27th November last; but that the postponment of such ultimate settlement need not prevent the adjustment of Interest from time to time to such an extent as may reasonably be presumed to be within the ultimate liability of the Provinces. I beg to state that, in my letter of the 18th January, I gave it as a reason only in consequence of the General Government considering it advisable that the adjustment of accounts between the two Provinces should remain in suspense until the next Session of the General Assembly, why I should be excused from complying with your request for the payment of £2,500 and £527, for the present.

The Provincial Government had at that time no other view in seeking to defer payment. It was merely desirous of tendering the full extent of the liability of this Province as her share of interest and sinking fund on monies raised for land purchases. On December, 31st, 1861, the Provincial Government had a balance in the Chest o£ £7,618 ss. 9d.; but that sum has been greatly reduced, no Territorial revenue having been received at the Treasury for the year owing to directions contained in a letter, dated 6th January, 1862, from the Hnnble. the Colonial Treasurer to the Receiver of Land Revenue to pay to the Sub-Treasurer, Napier, the sum of £1,250, in accordance with a Resolution of the House of Representatives, passed on the 6th September last. The Provincial Government would not now seek to postpone the payment of the sums demanded; but, as the funds in the hands of the Provincial Treasurer are barely sufficient to carry on the lowest current expenditure, the Government can only state it will be prepared to pay the amount requested from the proceeds of a land sale to be held on the 17th proximo. I have, &c , The Honble. the Colonial Secretary, J. C. Lambton Carter, Auckland, Superintendent.

No. 11.

MR. FOX TO THE SUPERINTENDENT OF HAWKe's BAY,

Colonial Secretary's Office, Auckland, 24th April, 1862.

Sir —

I have the honor to enclose copy of a letter dated the 18th ultimo, from His Honor the Superintendent of Wellington, requesting that the sum of twelve hundred and fifty pounds (£125! >) may be paid into the Provincial Treasury at Wellington on account of the Province of Hawke's Bay, being the proportion payable by that Province of the half-yearly dividend on the permanent loan of the Province of Wellington due in London on the Ist of July next. As the amount has been paid into the Provincial Chest at Wellington by the Sub-Treasurer, I have to inform your Honor that the receiver of land revenue at Hawke's Bay has been instructed to pay an equivalent amount into the sub-Treasury at Napier. I have, &c, His Honor the Superintendent, William Fox.

Vide ante

Napier.

No. 12.

THE SUPERINTENDENT OF HAWKE's BAY, TO THE COLONIAL SECRETARY,

Superintendent's Office, Napier, May 9th, 1862.

Sir, —

Having been informed by the receiver of land revenue of this Province that he has been HStructed by the Honorable the Colonial Secretary to pay to the Sub-Treasurer a further sum of

13

THE PROVINCES OF WELLINGTON AND HAWKE'S BAY.