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No. 26. The Hon. Geo. McLean to the Hon. the Colonial Seceetaey, Sydney. (Telegram). Wellington, 16th February, 1877. If you agree we are willing to give up De Bussche's dividend, provided an immediate cash settlement is made, not otherwise. Suggest you press Cunningham, and not be delayed by further negotiations. Geo. McLean, The Hon. the Colonial Secretary, Sydney. Postmaster-General.

No. 27. The Hon. H. Paekes to the Hon. the Colonial Seceetaey, Wellington. (Telegram). Sydney, 18th April, 1877. Eefeeeing to your telegram, 16th February last, concerning compromise with Cunningham, we find our predecessors telegraphed.to Agent-General as follows on sth March:—" Offer often thousand pounds will be accepted subject to approval of Parliament." To this Agent-General replied asking to be instructed definitely whether pending approval of Parliament, and before actual receipt of money, actions are or are not to be discontinued. Mr. Robertson replied, " Can only be done when the Assembly has approved." We now propose to telegraph to Agent-General that we are willing to accept the ten thousand pounds without waiting for tho approval of Parliament, and to instruct him to receive the money as soon as possible, and to stay further proceedings. Please say if you concur in this; if so, I suggest that you similarly instruct your Agent-General. Heney Paekes, The Hon. the Colonial Secretary, Wellington. Colonial Secretary.

No. 28. The Hon. Geo. McLean to the Hon. the Colonial Seceetaey, Sydney. (Telegram). Wellington, 19th April, 1877. We agree to your proposed telegram to Agent-General. It will be sufficient for our Agent-General if you say in telegram we concur. Geo. McLean, The Hon. the Colonial Secretary, Sydney. Postmaster-General.

No. 29. The Hon. Saul Samuel to the Hon. the Postmastee-Geneeal, Wellington. Sic,— Sydney, 24th April, 1877. AVith reference to your telegram addressed to the Hon. the Colonial Secretary, Sydney, dated the 19th instant, respecting the compromise with Mr. Cunningham on account of Messrs. Hall and Forbe's default in regard to their San Francisco Mail Contract, I have to inform you that a telegram was sent yesterday to the Agent-General for this colony as follows :—" Re Cunningham: Accept offer ten thousand. Obtain money soon as possible, and stay proceedings. New Zealand Government concurs." I have, &c, The Hon. the Postmaster-General, Wellington. Saul Samuel.

No. 30. The Hon. Geo. McLean to the Hon. the Postmastee-General, Sydney. Sib, General Post Office, AVellington, 16th May, 1877. I have the honor to acknowledge the receipt of your communication of the 24th ultimo, embodying copy of a telegram, which was sent on the 23rd ultimo to the Agent-General for your colony, respecting the compromise with Mr. Cunningham, on account of Messrs. Hall and Forbes's default in regard to their San Francisco Mail Contract, intimating on behalf of both Governments the acceptance of Mr. Cunningham's offer, on the understanding that immediate payment should be made, and requesting that further legal proceedings in the matter should be stayed. I have, &c, The Hon. the Postmaster-General, Sydney Geo. McLean.

No. 31. The Agent-Geneeal to the Hon. the Colonial Seceetaey. 7, Westminster Chambers, Victoria Street, Westminster, S.W., Sni — sth April, 1877. I have the honor to enclose you a copy of a letter which I have received from Messrs. Mackrell and Co., respecting the actions instituted in the United States against Messrs. Forbes and Cunningham, as sureties of the .old postal contract. I also enclose a copy of my reply, and of their letter in acknowledgment. Before instructing Messrs. Mackrell, I put myself in communication with the Agent-General for New South AVales, and ascertained that in case I had no definite information as to the acceptance by our respective Governments of the compromise offered, he would, if I should think 2—P. 4.