B.—No. 8l

PAPERS RELATIVE TO CERTAIN PROVINCIAL DEBTS OF THE PROVINCE OF WELLINGTON.

No. 1. Copy of a Letter from His Honor I. E. Feathekston to the Hon. E. W. Stafford. Superintendent's Office, ~ tj ,„,, , .... . . Wellington, 2nd October, 1868. I do myself the honor to call the attention of the Colonial Government to the following Loans (enumerated in Schedule), raised under the authority of certain Acts of the Provincial Council of Wellington and which are not included in "The Public Debts Act, 1867." These loans amount to redeemable ™ J re£eroncG to tho Schedule, immediately or shortly Under the present depressed state of the finance of the Province, from the falling of the Consoli dated I und, the almost entire cessation of land sales, and the general decrease of the other Provincial receipts, the Provincial Government finds the payment of so high a rate of interest as 10 per cent on the sum of £/4 000 a very heavy burthen on its resources, and is unable to look forward with certainty to repayment of the capital sum of Loans 2 and 3. Laiuujr Having these facts in view, the Provincial Council, during its last Session, instructed the Provincial Government to apply to the General Assembly or the Government, with a view to obtain their consent to the conversion of these loans, omitted from the Schedule of "The Public Debts Act 1867 " ' intn Colonial Government 5 per cents. ' ' -n i/V? fJIT" 6?,* H, faV°Ur tffte ooMolidation, j would remind Miniaters that undor „ Tho publ; Debts Act 1867 tie Province of Wellington really is charged with £43.321 17s. 9d. more than tho amount of her actual indebtedness on account of loans affected by the provisions of that Act, viz.:— Amount of Wellington Loan upon which interest has hitherto been paid by Havvke's Bay 31 260 Q Q Sinking Fund accrued on— Provincial Loan, £25,000, Session IV., Act 2 ■) Provincial Loan, £50,000, Session XIV., Act 3 ... j 6,526 17 9 Sinking Fund on Land Purchase Loan, 1856 5 535 q q £43,321 17 9 <'TheTpab°£ eDUL tS/l^ n ''aW)S Ci iOn T Pti *S r lude. in the Sc"e<^ of Loans appended to Ihc 1 ablic Debts Act 186/ all the loans which had been raised by the Province at the time of tho passing of that Act and thereby to effect an annual saying to the Province of £7,656 10s I annex a statement showing the amount of the Wellington Loans at the time of the passing of the Public Debts Act, the present annual charge, and the amount of the loans and of the annual charge in the event of Mr. Fitznerbert s proposal for the conversion of Provincial Loans received by this mail being adopted You will perceive that while the indebtedness of this Province under his proDos-ih will he ,W«JI from £250 000 to £272,625, the annual charge on the Province will b" SffiSd Ij £7 656m8J There surely can be no reason why the Province should be prevented from effecting this savin- and therefore I trust that His Excellency's Ministers will enable the Provincial Government to do so by bringing these loans under the operation of the Public Debts Act ° a° So ' I have, Ac, The Hon. E. W. Stafford, Colonial Secretary, & c. L E' schedule a. Schedule of Unconsoltdated Loans, Pbototce of Wellington. 1. Wanganui Bridge Debentures, Session X., No. 6, redeemable £ s a on three months'notice ... ... 16 000 0 1) 2. Mortgage on Eeclaimed Land Harbour Eeserves Amendment Session VIIL, No. 3, to be redeemed 30th June 1869 33 000 0 n 3. Mortgage on Unreclaimed Land, Session XVI., No. 5 redeemable on notice. To be redeemed by 31st March, 1869 ... 25,000 0 0 £74,000 0 0