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In the event of the block being divided into lots of from 2,000 to 5,000 acres, it would not then be so difficult to provide access to them by a few roads, which would be also available and necessary as outlets to the country lying beyond and outside the confiscated block. I have deemed it my duty to bring this matter before you before proceeding any further than the completion of the survey of the selections already made, with a view to prevent the waste of a large sum of money in surveys, which I feel convinced will never produce any return; but, at the same time, I shall be most happy to carry out your former instructions in their entirety, should you wish it. In reference to the progress of the surveys, it will probably be six weeks yet before the selections are completed. Mr. Cussen, who is performing the work, has had a great many difficulties to encounter, more especially from the scantiness of the information relating to former surveys to be obtained. The AVaste Lands Office, Napier ; the Inspector of Surveys' Office, Auckland ; and the Secretary for Crown Lands and Defence Offices, Wellington, have been searched for information bearing on the .subject, without bringing to light anything more than imperfect and unconnected plans, which has necessarily entai ci a great deal of additional work and expense in the field before the survey could be brought (as it now is) to form an integral part of a connected and coherent whole, and wnich (owing to the extension of the geodetic survey over the whole district) will, I hope, enable your department to issue Crown grants upon a more satisfactory basis than has hitherto been the case in this district. In conclusion, I have the honor to request that you will be good enough to inform me as to whether Lot 112 (adjoining '.lie Pakowhai Eeserve) has been selected or not. I have received from Mr. J. P. Hamlin an application to have a Native reserve laid off there of 100 acres; but, before doing so, wish to learn whether the land is open for such a purpose. I have, &c, Pebcy Smith, Chief Geodetic Surveyor, in charge Wairoa District. The Commissioner of Crown Lands, Napier.

Minute by the Inspector of Surveys on Enclosure No. 1. Mb. Smith's very sensible and well-explained recommendation is quite in accordance with my opinion. As a rule, onlj- tolerable level lands, accessible by roads, not requiring large costs to make them available, are suitable for subdivision into small farm stations. Very broken lands, unsuitable for ploughing, not capable of takiDg grass with surface sowing, should only be divided by such sectional roads as are likely to be required for thoroughfare. The large blocks so defined can then be dealt with either whole, or occasionally subdivided by a right line, according to the applications made. 14th March, 1876. Theos. Heale.

Enclosure 2 in No. 1. ExTBACT PBOM ObDEB IN COUNCIL DATED 17tH MaBCII, 1875. Section 7.—A1l lands which shall remain unallotted after the satisfaction of all claims which may under the foregoing Eegulations be allowed by the said Commissioner shall be surveyed into suitable allotments of not less than forty nor more than three hundred and twenty acres in extent, and shall be sold by auction by the said Commissioner at Napier for cash, at such upset price as shall be fixed by the Commissioner and approved by the Secretary for Crown Lands, and after two months' notice shall have been given by public advertisement of such sale. And the said Commissioner is hereby empowered to prescribe the conditions of sale, which shall be read publicly at the commencement of such sale.

No. 2. Mr. C. E. Haughton to the Inspectob of Subveys, Auckland. Sib,— General Crown Lands Office, Wellington, 28th March, 1876. With reference to Mr. Percy Smith's recommendation, which was referred to you while iv Wellington, that the Wairoa Confiscated Block should be surveyed into sections of from 2,000 to 5,000 acres each for small farms, in which you concurred, I have the honor to request you will be so good as to take, with as little delay as possible, the necessary steps to have the survey of the block into the size of the sections proposed carried out. I have, &c, C. E. Haughton, The Inspector of Surveys, Auckland. Under Secretary for Crown Lands.

No. 3. The Commissioner of Crown Lands, Auckland, to the Under Secbetaby for Crown Lands. (Telegram.) 15th August, 1877. Waiboa land reported by Chief Surveyor to be simply lands of the third class, their disposal subject to provisions of " Waste Lands Act, 1874," by which the upset price of land of that class is fixed at five shillings an acre. Does not the provision of section 11 of "The Waste Lands Act, 1876," relate only to land purchased with the proceeds of the sale of confiscated lands ? D. A. Tole, The Under Secretary for Crown Lands, Wellington. Commissioner of Crown Lands.