H.—B

2

section of the Act, 28 and 29 Viet., c. 113, my Lords have authorized the Paymaster-General to pay to Sir George Grey, late Governor of New Zealand, a retired allowance at the reduced rate of £125 a year, from the 12th October last, inclusive, until further instructions. I am, &c, R. G. W. Herbert, Esq., Colonial Office. William Law.

No. 4. The Hon. the Premier to His Excellency the Governor. Memorandum for His Excellency. Sir George Grey presents his respectful compliments to the Marquis of Normanby, and has the honor to return the despatches noted in the margin. 2. Sir George Grey regrets that the first of the despatches in relation to his pension was not transmitted to him by the Governor as soon as it was received in this country, as, had this been done, it might have saved mistakes, and the appearance of Sir George Grey having forwarded to the Paymaster-General's Office a wrong return. 3. The Governor has been pleased to inform Her Majesty's Government that Sir George Grey's salary as Premier of this colony commenced from the 12th of October, 1877 : but the enclosed certificate from the Colonial Treasury shows that that salary did not commence until the 14th day of October, 1877, inclusive ; and Sir George Grey long since forwarded to the Pay-master-General's Office a declaration to that effect. 4. Under the present arrangement, Sir George Grey is deprived of his pension for two days, through a mistake for which he is not responsible. Wellington, 10th July, 1878. G. Grey.

(Enclosure.) I hereby certify, that the salary paid to the Hon. Sir George Grey, X.C.8., as Premier of the colony, dated from and inclusive of the 14th day of October, 1877. The Treasury, Wellington, C. T. Batkin, 9th July, 1878. Secretary to the Treasury.

No. 5. His Excellency the Governor to the Hon. the Premier. Memorandum for the Hon. Sir George Grey. The Governor presents his compliments to Sir George Grey, and, in reply to his memorandum of this day's date, he regrets extremely to find that there should have been a mistake of two days in the date at which Sir George Grey commenced to draw his salary as Premier of this colony. The Governor will, however, take care to rectify the mistake by next mail. Government House, Wellington, Normanby. 10th July, 1878. By Authority : Geobge Didsbuet, GoTernnient Printer, Wellington.—lB7B. i Price 3d.]