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I think I could have sold it for £60 had I had the residence area, if it had not been sold and included in the 50 acres. I saw Simson between May and September, 1871. He never said anything about the land being sold. He offered to bet that I could not open a public-house with the buildings upon it. This was after the sale. He did not tell me his reasons. I could have sold it for £60 the day I purchased. I was offered that amount. The sale took place on 15th September, IS7I. If I had thought that McDonald was about purchasing the land, I should have taken steps to prevent it. DUGALD MATHESON.

No. 7. The Hon. AY. H. Reynolds to His Honor J. Macandrew. Sir,— Colonial Secretary's Office, Wellington, 2nd May, 1873. I have the honor to acknowledge the receipt of your letter No. 12,791, of the 10th ultimo, forwarding the report of the Commission appointed to inquire into the sale of auriferous laud at Switzers. The cost of the Commission, amounting to £142 16s. 6d., will, on my being furnished with detailed accounts and vouchers, be paid; but I would point out to your Honor that if any part of the amount consist of pay or honorarium to Mr. T. L. Shepherd, there is great probability that his seat in tho House of Representatives would be jeopardised. I have, &c, His Honor the Superintendent, Otago. AVilliam H. Reynolds.

No. 8. His Honor J. Macandrew to the Hon. the Colonial Secretary. Province of Otago, New Zealand. Sir, — Superintendent's Office, Dunedin, 20th May, 1873. I have the honor to acknowledge the receipt of your letter of 2nd May, 1873, and in reply to state that the Provincial Government only claims to be recouped in the sum of £76 ss. 6d., being the amount payable to J. P. Maitland, Esq., on account of his personal and travelling expenses incurred during the conduct of the inquiry into the sale of auriferous land at Switzers. I have, &c, J. Macandrew, The Hon. the Colonial Secretary, Wellington. Superintendent. By Authority : Giohgk Didsbuby, Government Printer, Wellington.—lB73. Price 9d.]