P.—4

28

The Directors are, however, willing that the matter be submitted to arbitration, in the same manner as other matters of dispute between the Government and the Company are now being arranged. I have, &c, F. Phillips, The Secretary, General Post Office, Sydney. Secretary.

No. 90. Mr. Geay to the Secretary, General Post Office, Sydney. Sic,— Wellington, 11th September, 1876. I have the honor to acknowledge the receipt of your letter of the 23rd ultimo, forwarding a letter from the Secretary of the Australasian Steam Navigation Company on the subject of the claim of £533 made by the Company on account of the s.s. " City of Melbourne " having called at Kandavau on her last voyage to San Francisco, and informing me that the Postmaster-General of New South Wales had offered, and the Company had agreed to accept, £500 in satisfaction of such claim. In reply, I have to state that the Postmaster-General approves of the proposed payment being made. I have, &c, W. Geay, The Secretary, General Post Office, Sydney. Secretary.

No. 91. Mr. Lambton to the Seceetaey, General Post Office, Wellington. Sic, — Sydney, 21st September, 1876. I am directed to acknowledge the receipt of your letter, dated f^ie 11th instant, conveying the approval of the Postmaster-General of New Zealand to the payment of the Australasian Steam Navigation Company, of the sum of £500 on account of the deviation made by the s.s. " City of Melbourne" in calling at Kandavau on her passage from Sydney to San Francisco, via Auckland, in December last. Will you kindly give directions for half of the amount in question to be remitted to me ? I have, &c, The Secretary, General Post Office, Wellington. S. H. Lambton, Secretary.

No. 92. Mr. Geay to the Seceetaey, General Post Office, Sydney. Sic,— General Post Office, Wellington, 25th October, 1876. I have the honor, by direction of the Postmaster-General, to acknowledge the receipt of your communication of the 21st ultimo ; and in compliance with the request contained in the latter paragraph of the same, I now beg to forward a draft in your favour for the sum of £250, the receipt of which you will please have the goodness to acknowledge. I have, &c, W. Geay, The Secretary, General Post Office, Sydney. Secretary.

No. 93. Mr. Lambton to the Seceetaey, General Post Office, Wellington. Sic, General Post Office, Sydney, 17th November, 1876. I am directed to acknowledge the receipt of your letter, dated the 25th ultimo, enclosing a draft for £250, being a moiety of the sum of £500 accepted by the Australasian Steam Navigation Company in settlement of their claim against the two Governments on account of the s.s. " City of Melbourne " having called at Kandavau on her last voyage to San Francisco. I have, &c, S. H. Lambton, The Secretary, General Post Office, Wellington. Secretary.

No. 94. Copy of Despatch from the Bight Hon. the Earl of Caenaevon to Governor the Most Hon. the Marquis of Normanby, K.C.M.G. My Loed— Downing Street, 20th September, 1876. I have the honor to acknowledge the receipt of your Lordship's despatch of the 17th ■ of July, forwarding a memorandum by the Postmaster-General, concurred in by your Government, in reply to my despatch of the 28th of April last, on the subject of the extra charge claimed by the Government of the United States for the conveyance of mails to San Francisco, and also referring to the continuance of the present service via Fiji,

1876. F. 3b, No. 2.