C—6

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against the money, if Te Wharepapa failed to settle with him, I, on giving the matter careful consideration, and after consultation with Mr. Kemp, who was present on the occasion, decided that my only course was to pay Te Wharepapa the amount of the purchase money agreed on in full, and to settle with Te Haurangi to waive his claim, as far as the Government were concerned, for a stated sum, reserving to himself the right to sue Te Wharepapa for whatever he might be entitled on the agreement between them, in any competent Court if he choose, if he could not effect a settlement with him. He was at first averse to doing this, but after a time came to me of his own free will and intimated that he was willing to accept what I had offered him, namely, £100 in full satisfaction as against the Government of any claim he may have had on the land or its proceeds. He at the same time said that, as regards his claim against Te Wharepapa, he would get Heta te Haara to use his influence to settle that. I accordingly, before settling with Te Wharepapa and the Mangakahia Natives, paid Te Haurangi the sum of £100 in the presence of H. T. Kemp, Esq., Civil Commissioner, explaining the matter fully to him, and getting his signature to a voucher for the amount, and explaining to him the contents of the same. On my paying the amount, he returned me £90 to take to Auckland, as requested in Heta te Haara's letter, which I took, and at the same time wrote a letter to Heta fully explaining the matter, and telling him I had, in accordance with his letter, and by the consent of Te Haurangi, taken his £90 to Auckland, to be handed over, when demanded. I read this letter to Te Haurangi, who said it was right and took it. Attached is a copy of that letter together with a translation of the same. Mr. Tole states, " They, (alluding to Heta te Haara and Haurangi) spoke on the occasion of the completion of the purchase both to the Native Mare and the Native Land Purchase Agent who was paying the money, reminding them of the agreement arrived at in the Court and sanctioned by the Judge, but Heta and Haurangi were in turn reminded that the time for a rehearing had passed," &c. The fact is, Heta te Haara was not within a hundred miles of the place at the time, nor had he been there for eight months previously. Nor did I remind Te Haurangi that the time for a rehearing had passed, but Te Wharepapa did; nor was this discussion at the time of the payment of the money, for the whole matter had been discussed for several days, and I had settled with Te Haurangi the day before I paid the money, although I gave him the opportunity of again preferring his claim to Te Wharepapa, and the others when the money was paid to them. The payment to Te Haurangi was made on the same day as that to Te Wharepapa, but during an earlier part of the day. About the end of February, Heta te Haara and Te Haurangi came to Auckland. I was very busy with some Kaipara Natives at the time, and, as they said they were in no hurry, I appointed a day to meet them at Mr. Kemp's office. During the interval I noticed them several times having long conversations with Mr. J. A. Tole and John Lundon about the town, the latter of whom seemed to be acting as interpreter. When I met them at the appointed time and offered them the £90, they both refused to take it, and Heta told me he either had seen or intended to see Sir George Grey on the matter, and that the whole purchase would be upset. There was, however, no indignation shown by either Heta or Haurangi in the matter; they certainly declined at first to accept the money, which being their own property (I only holding it in keeping), I left it where I had tendered it to them—namely, in Mr. Kemp's office —and said no more to them on the subject, leaving them to exercise their own judgment in the matter. However, on the 6th March, seven days before the letter of complaint written by Mr. Tole purporting to be on their behalf, they of their own free will asked Mr. Kemp for the money and it was given to them. Prior to this and to their visit to Auckland, they had, I am given to understand, accepted a sum of money from Te Wharepapa, through Mitai Pene Taui, as a satisfaction of their claim on him; so it seems to me they came to Auckland for no other purpose than to draw the £90 ; at the same time not losing the opportunity, when it offered while they were here, of getting more if they could. I find, as a rule, when Natives are really dissatisfied on any matter that they are quite equal to the task of writing direct to the Hon. the Native Minister ; nor are they slow in doing so, without seeking the aid of a solicitor with whom they are not acquainted. At the same time they are equally ready to revive a settled claim, if encouraged by any one to do so. I do not myself believe there is any dissatisfaction in the minds of either Te Haara or Te Haurangi on this matter; in fact I was in the same steamer with them on their return North after they had taken the money, and they seemed perfectly satisfied, and on most friendly terms with me, and never once alluded to the subject; and lam of opinion that in the amount they have received they have got fully as much, if not more, than they would have been found to have been entitled to had their case, or rather the case of Te Haurangi (Heta having made no claim whatever), been heard in detail in the Court. At all events I had no option but to deal with the legal owner, and treat Te Haurangi's claim as an equitable one, entitled to some consideration under the circumstances, and did treat with him without using any undue influence or persuasion, but in a fair and open manner, and closed with him, apparently to his satisfaction, and at all events with his consent, as Mr. Kemp will, I think, vouch for, he having been present during the whole transaction. I may or may not be chargeable with want of judgment in closing difficult Maori negotiations, but during a career of twelve years as a Native Land Purchase Agent, Sir George Grey and Mr. Toie are the first who have ever charged me with being guilty of improprieties in connection with my business. However, I can afford to let the matter rest on its merits. I have seen Paora Tuhaere and asked him what he knows of this matter ? His reply to me was, " That he was requested by Mr. Tole to accompany him, with Heta te Haara and Te Haurangi, to go and see Sir George Grey, and on their arrival there, Sir George Grey asked him what he had to say : he replied that he knew nothing of the matter ; on which a conversation took place between Mr. Tole and Sir George Grey, in English ; and that after that interview, Mr. Tole requested him to accompany them to Colonel Haultain's office: he did so, but with a view of inquiring about the Mauuganui and "Waipoua deeds, taking no interest whatever in this matter. The deed relating to the purchase of the Opouteke Block has not yet been referred to the Trust Commissioner, it being in the hands of the