BANK OP NEW ZEALAND AND COLONIAL GOVERNMENT.

9

B.—No. 13

L. Me. J. Woodwaed to Me. T. M. Stewart. Sic, — Treasury, Wellington, 11th January, 1869. I am instructed by tlie Colonial Treasurer to acknowledge your letter of the 6th instant, and to inform you that your.proposal contained therein is accepted, as being consistent with the spirit of the previous arrangement, subject only to this modification —that, should a mail service via Panama be re-established, the payments are to be made to the Bank in. Wellington three months previous to the date at which interest and sinking fund is due in London. The amount payable in London on the 15th April will be paid to you (in this instance) on the 15th instant. I have, &c, J. Woodwaud, Assistant Treasurer. T. M. Stewart, Esq., Manager, Bank of New Zealand, Wellington.

M. Mr. T. Russell to the Hon. the Colonial Treasueeb. Sic, — Bank of New Zealand, Christchurch, sth August, 1867. Referring to the arrangements existing between this Bank and the Government of New Zealand for the conduct of the banking business of the Government, I have the honor to direct your attention to the fact that, from papers recently printed, it appears that balances of funds remaining in the hands of the Crown Agents, belonging to the Government of this Colony, have been kept by the Crown Agents in other banks in London, and have not been deposited with the Bank of New Zealand there. I refer, by way of example, to an item remitted for investment on account of sinking fund, which it appears remained in the hands of the London Joint Stock Bank. Looking to the spirit of the agreement existing between the Government and this Bank, and seeing that it is a part of the business of the Bank of New Zealand to keep current and deposit accounts for its customers in London, I am sure you will agree with me that this Bank should have the benefit of the deposit of all balances of New Zealand Government funds, not only in New Zealand but in London. I therefore respectfully submit for your consideration my request that the Crown Agents may be instructed to keep all balances under their control belonging to the Government of New Zealand with the Bank of New Zealand in London. I have, &c, The Hon. the Colonial Treasurer, Thos. Rttssell, Wellington. For the Directors of the Bank of New Zealand.

N. The Hon. J. Hall to Mr. T. Kussell. SrE, — Treasury, "Wellington, 16th September, 1867. I have the honor to acknowledge the receipt of your letter of sth ultimo, in which, for the reasons set forth, you request that the Crown Agents may be instructed to keep all balances under their control, belonging to the Government of New Zealand, with the Bank of New Zealand in London. The Government acknowledge the fairness of your request, and will, by the outgoing mail, have the necessary instructions conveyed to the Crown Agents accordingly, it being understood that the Bank of New Zealand will allow the terms for Government balances in London that are allowed from time to time by the other banks. I hare, &c, Thos. Kussell, Esq., Wellington. John Hail.