H.—No. 8,

2

MINUTES OE EVIDENCE OE THE

Mr. Lemon.

25th Sept., 1871

Mr. R. Pearce.

27th Sept., 1871

21. I want to ask Mr. Lemon in reference to the regulations, to point out the clause of the regulations which refers to payment of telegraph messages ? —This one, No. 14. 22. As to the scale of payments ?—No, there is nothing in the regulations, it would be in the Act. 23. No, the Act does not prescribe any scale ? —These are only fcr the transmission of telegrams. The tariff was a separate thing altogether. 24. Are you aware of any breach .of regulation No. 14 ? —ln the case of press telegrams the payment was always collected from the receiver. That is an understood thing. 25. Are you aware of any other breach of regulation 14 of any person being allowed to send telegrams without payment at all, either on forwarding or on receipt ? —Not that lam aware of. Not in my experience. Once or twice we have collected revenue from persons who had no right to send messages. 26. Are you aware of any telegrams being sent in breach of those regulations, where the money was not paid cither before or after receipt of the telegrams ? —No, sir. 27. Could officers receive instructions without your knowledge? Is it probable that any officer may have received instructions to send telegrams that were not prepaid without your knowledge ? — {Not answered.] 28. Do you think it likely that an officer may have received instructions to forward telegrams contrary to regulation No. 14, although you were not aware of it ?—I should not like to answer that question. The answer would neither be negative nor affirmative. 29. Would you like to state the reason why you decline ? If you simply decline without giving a reason it might look suspicious.—The only instance that ever came within my knowledge of the telegraph being used free was when the press combined amongst themselves to form the present association. That is the only instance. 30. Is it likely that any instructions have been given to an officer of the department to forward telegrams free, contrary to regulation No. 14, although you may not have been aware of it ?— \_Not answered.] 31. I will put it this way. Although you are not aware of it, an officer may have been instructed ? —I object to the form in which the question is put, for this reason : if I say yes, lam aware of it, my answer would imply that I did know of it at the time. 32. I will put it in this way. Mr. Lemon, you have said you are not aware of any violation of regulation No. 14 : could there have been any violation without your knowledge?—Oh, certainly. 33. In consequence of an officer receiving direct instructions from a Minister that did not come through you ?—Yes. 34. Are you aware of any case where any such instructions were given direct by Ministers to an officer ? —No, sir. The telegraph officers would obey any Minister that went to the office. 35. Mr. Vogel.] Have you telegrams with you ?—I have Mr. M'Kenzie's permission to produce original telegrams sent from the Bluff and Dunedin, and also the consent of the proprietor of the Evening Star. [Meads letter to Mr. Bell and reply.]

Tuesday, 27th Septembeb, 1871. Present: — Hon. Mr. Stafford, in the Chair. Mr. Farnall, Mr. Steward, Captain M'Pherson, Hon. Mr. Vogel, Mr. Webster. Mr. Robert Pearce in attendance, and examined. 36. The Chairman.'] You are Captain of the steamer Gothenburg ?—Yes. 37. You were Captain of that steamer in September last —Yes, I was. 38. [Letter read dated 17th April, 1871, from Captain Pearce to Mr. Larnach.] In whose custody was this telegram? —In my custody. I handed it to Mr. Larnach unopened, he being a director of the Company. -He asked me to give him the telegram. I did so, and he opened and read it, he being one of the persons to whom it was addressed. 39. Did you communicate the contents to anybody on board the ship ? —Not to any person on board the ship. He (Mr. Larnach) was very anxious to see the war news. He closed the telegram and handed it to me again. 40. Did you communicate the contents to any person on shore at the Bluff, by which means it could possibly have been telegraphed ? —Certainly not. 41. You have no means of knowing how its contents could have been telegraphed from the Bluff?— No. 42. Certain portions of the telegram would only be known in the third edition of the Argus ? — Only in the third edition ; there was some verbal news which was current on board the ship. 43. Mr. Steward.] News in addition to what appeared in the Daily Times telegram?— Yea; of course that was not reliable. 44. The Chairman.] What was that verbal news ?—I don't remember. 45. Mr. MLean.] I wish to prove distinctly to the Committee that no other telegram could have possibly got on board the Gothenburg at Queenscliffe than the one for the Daily Times. It has been proved that the telegram had been opened before the arrival of the steamer at the Bluff; it is now proved by Captain Pearce's evidence that he did not communicate the information to the operators, or to the Collector of Customs at the Bluff, Mr. O'Toole. So that when it is proved that no other possible telegram could have been received, it lies between two or three persons at the