F.—4a,

26

No. 44. Messrs. Gilcheist, Watt, and Co., to the Hon. the Postmastee-Geneeal, Wellington. Sie, — Sydney, 19th September, 1877. We have the honor to acknowledge receipt of your letter dated 23rd August with reference to Messrs. Foster and Thomson's claim for law costs, and stating that you had decided to abide by any decision the Government of New South Wales might arrive at in this matter. We have, &c, Gilchbist, Watt, and Co., General Agents for the Contractors, San Francisco Mail Service. The Hon. the Postmaster-General, Wellington.

No. 45. Messrs. Gilcheist, Watt, and Co., to the Hon. the Postmastee-Geneeal, Wellington. Sie,— Sydney, 26th July, 1877. We have the honor to acknowledge receipt of your letter of 17th instant, enclosing schedule of amounts paid to our credit, and to state that the amounts therein named have been duly accounted for by the Bank of New Zealand. With reference to the sum lodged as payment for inward subsidy, " City of New York," from 25th April to 19th May, 1877, we beg to point out that this steamer came down under the terms of the old contract, as is witnessed by the fact of the Government of New South Wales paying us on that basis. We have therefore the honor to request that the balance of subsidy may be lodged to our credit in accordance with the time bill, as customary. We have, &c, Gilcheist, Watt, and Co., General Agents for the Contractors, San Francisco Mail Service. The Hon. the Postmaster-General, Wellington.

No. 46. Mr. Geat to Messrs. Gilcheist, Watt, and Co., Sydney. Gentlemen, — General Post Office, Wellington, 21st August, 1877. I am directed to acknowledge the receipt of your communication of the 26th ultimo, and with reference to the exception taken by you to the amount of subsidy lodged for the downward trip of the " City of New York," which vessel left San Francisco on the 25th April and reached Auckland on the 19th May last, 1 have to state that, as this department provided for the service from Manukau to Port Chalmers on the occasion in question, for which £192 6s. 2d. was paid, and remembering that the modified temporary arrangement had effect from the 4th May, it was considered but fair that the contractors should be paid subsidy at the rate agreed to for the modified service. Having, however, further considered the matter, the Postmaster-General has consented to make payment for the voyage in question on the old basis, less the sum already mentioned as having been paid by this department for the coastal service, and a sum of £287 10s. has therefore been scheduled for payment to the contractors, and will bo lodged with the Bank of New Zealand in the usual way. I have, &c., W. Grat, Messrs. Gilchrist, Watt, and Co., Sydney. Secretary.

No. 47. Messrs. Gilcheist, Watt, and Co. to the Hon. the Postmaster-General, Wellington. Sie,— Sydney, 19th September, 1877. We have the honor to acknowledge receipt of your letter dated 21st August, intimating your approval of the payment, on the old basis, of the inward subsidy of the " City of New York," leaving San Francisco 25th April last, less the sum paid for the service from Manukau to Port Chalmers on that occasion, and to thank you for such approval. We have, &c, Gilcheist, Watt, and Co., General Agents for the Contractors, San Francisco Mail Service. The Hon. the Postmaster-General, Wellington.

No. 48. Messrs. Gilcheist, "Watt, and Co. to the Hon. the Postmastee-General, Wellington. Sie,— Sydney, 16th August, 1877. We haye the honor to acknowledge receipt of your letter of 23rd July, advising the lodgment of subsidy for the last trip inward of the " City of Sydney," and to state that the amount has been duly accounted for by the Bank of New Zealand. We have, &c, Gilchbist, Watt, and Co., General Agents for the Contractors, San Francisco Mail Service. The Hon. the Postmaster-General, Wellington.