7

A.-3

meeting; but the occupiers of the allotments, by asking the Superintendent for a reduction in the rent, and for the term of years mentioned for the first time in Dr. Giles's notice, must, we think, be taken to have accepted the terms thereof; and we are of opinion not only that Mr. Sharp made the building stipulation, but that it was known to and accepted by the allottees, that Dr. Giles's notice had reference thereto, and that, to insure the bond fide use and occupation of the allotments taken up, it was fair and equitable, and should have been respected. On the 24th Eebruary, 1873, his Honor the Superintendent attended a public meeting at Westport, called with a view to obtaining a modification of the terms which, in our opinion, were made upon the allocation of the sections. His Honor is stated to have delivered himself upon that point as follows : — " In settling the terms upon which such sections should be held, the Pro- " vincial Council had determined to withdraw the Colliery Reserve from the gold " fields, and proposed that the same rate of payments heretofore made under " bnsiness license, namely £5 per annum, should be continued under lease. But " since coming to Westport he had found that, owing to the necessity of removal " of buildings, the inhabitants looked upon the proposed rate of £5 per year, for " 14 years, as far too much, and after fully considering the subject he was now " inclined to agree with them, and he would suggest that, instead of asking them " to sign leases for 14 years, at a rental of £5 per year, the terms might be £1 per " annum for the first two years, £2 10s. per annum for the next five years, and " £5 per annum for the last seven years, thus making the burden lightest when " difficulties were most pressing." The original occupiers of the land coloured green located themselves under business licenses, and for a time paid the usual licensing fee. Eventually, however, they relinquished the privileges acquired under the Gold Eields Act, and claimed to be, and indeed they were admitted to hold as, tenants in terms of the Superintendent's promises. It was proved to our satisfaction that, whilst in many instances the allottees have not performed the conditions imposed by Mr. Sharp, the Provincial Goverment of Nelson have made no effort to fulfil the promises made by the Superintendent in 1873. At the instance of Mr. Commissioner Mackay, the Receiver of Land Revenue refused to receive rents for the said allotments subsequent to November, 1874. Your Excellency will perceive, by referring to Schedules A and B, that a number of each class have built and paid rent, that others have built and yet have not paid rent, and vice versa, whilst many have not complied with either condition. Upon the premises just disclosed, we respectfully submit to your Excellency that neither of the claimants have any legal or equitable right against the General Government of this colony, inasmuch as, by nonpayment of the business license fee, some virtually abandoned, whilst others never availed themselves of the provisions of the Gold Fields Acts, and there is no evidence of the creation of any other tenure. The claimants comprised in the first three categories of each class are entitled to relief at the hands of the Provincial Government of Nelson, and we commend them to your Excellency's favourable consideration; but the claims mentioned in the last subsection of B should be discarded. The original occupants of the allotments pink and green were alike injudicious, the former for not taking up and holding under business licenses, the latter for abandoning a position acquired under the Gold Eields Acts. At the same time we conceive they were justified in assuming that the Provincial Government would invoke the aid of His Excellency the Governor, and the Provincial Council of Nelson, to enable them to respect an agreement so easy of performance, and upon the faith of which people when in extremis were induced to expend both labour and capital. Such of the claimants in each class and subdivision thereof as hold under derivative titles should be, we conceive, permitted to stand in loco the original allottee and business licensee. To direct otherwise would be to inflict injury upon many who have acted up to the letter of Mr. Sharp's conditions. Some of the business licensees, who, in anticipation of being washed out, succeeded in obtaining fresh allotments in the land coloured pink, have sold the com-