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of the Governor, been fixed by the Board, in pursuance of section 29 of " Tho Auckland Waste Lands Act, 1876." I beg to add that, in compliance with a suggestion made by Mr. Broomhall on the subject, the Board holds itself prepared to recommend that the block referred to bo constituted " a separate Road Board district, a separate riding, and a separate licensing district." I have, &c, D. A. Tole, The Hon. F. Whitaker, Auckland, Commissioner of Crown Lands.

Enclosure in No. 8. Resolved, That the following be the price, terms, and conditions of sale to Mr. John Broomhall of a block of land in the Thames District, known as the Aroha Block, that is to say, —■ That there be sold to John Broomhall, Esq., for the purpose of establishing a special settlement, as described in his letter dated Auckland, 23rd November, 1876, a block of land in the Upper Thames District, containing 50,000 acres, more or less, comprised within what is known as To Aroha purchase, containing 62,552 acres, more or less, and of which a plan is hereunto attached, but which purchase is subject to the extinguishment of tho Native title, and to the reservation of such lands as may be deemed necessary for Native purposes ; such reservation, however, not to diminish the area of the 50,000 acres above stated. That the said 50,000 acres shall be sold to the said John Broomhall at 10s. per acre, the amount of the purchase-money, £25,000 in cash, to be paid to the Agent-General in London within one month after the receipt by him (the said Agent-General) of a plan of the said 50,000 acres, with all Native reserves duly defined thereon. That the conditions of this sale are, further, that Mr. Broomhall shall bring 666 adult immigrants of 18 years of age or upwards (two persons under 18 years of age to reckon as one adult immigrant) from the United Kingdom, subject to the approval of the Agent-General of New Zealand, or his Agent at port of embarkation, and to place all the said immigrants on the land above described, or on such part thereof as may be most convenient; that Mr. Broomhall shall erect on the said land not less than 166 houses of a minimum value of not less than £00 each, inclusive of any buildings erected to bo used as churches, chapels, schools, mechanics' institutes, or stores, which shall each count as one house; that he shall reserve within the block sold to him land for recreation, municipal, educational, and religious purposes, placing the same in tr„st; that the one-fifth of such total area of 50,000 acres shall be put under cultivation, and that one acre of drained swamp shall be reckoned as equal to one acre of cultivated land. Thatall these conditions shall be fulfilled on or before the Ist day of January, 1883 ; that, as a guarantee for the due fulfilment of these conditions, Mr. Broomhall shall deposit with the Agent-General in London, at the time of the payment of the purchase-money before mentioned, the sum of £12,500, being at the rate of ss. per acre, in New Zealand 4£ per cent. Bonds, with coupon attached, the said bonds and coupons to be returned to Mr. Broomhall or his assigns at any period on or before Ist January, 1883, when all the conditions shall have been fulfilled. If all the conditions be not fulfilled on or before the Ist January, 1883, the said bonds, with coupons attached thereto, shall be absolutely forfeited, and bo treated as a portion of the land revenue of the Colony of New Zealand. That on receipt by the Agent-General in London of the said purchase-money, £25,000 in cash and £12,500 deposit in manner aforesaid, ho, the said AgentGeneral, shall by telegraph communicate to the Government of New Zealand tho receipt of such sums respectively, whereupon a Crown grant, reserving all precious metals, and containing tho usual covenants to lay out roads, shall be prepared in the name of Mr. Broomhall, and delivered to the Manager of the Bank of New Zealand, in Auckland, on account of the said John Broomhall.

No. 9. Mr. Broomhall to the Hon. Mr. Reed. Sir,— Wellington, 21th January, 1877. The Hon. Mr. Whitaker informed me on the 20th instant that he had sent to you a resolution of the Auckland Waste Lands Board, in which they offer to me 50,000 acres of land, one-half of the 100,000 acres provided for special settlement in the last session of Parliament. I wish to leave Wellington for London as early as possible, and, if you will kindly submit the resolution to His Excellency the Governor, I shall bo obliged. I need not remind you that the question of Native reserves, which has postponed this matter, was never mooted by Mr. Mackay until after the land had been applied for by me, nor until after the Board had offered it, and I had accepted the offer. I trust that you will allow me to place upon record that Mr. Mackay, the Land Purchase Agent, in his letter of 16th January, assures the Auckland Waste Lands Board that he will " endeavour to have the Native reserves laid out," not to " detract from the value of the remainder of the property for European settlement." According to clause 30 of" The Native Land Act, 1873," I see that these reserves are inalienable except with the consent of the Governor in Council; and so long as the Natives continue to occupy the reserves, I and my friends will ever seek their welfare ; but should the sanction of His Excellency be solicited for sale or lease, I trust the first offer may be made to me, because I and my friends strongly object to the introduction of an element which may be hostile to the foundation of our enterprise. I have, Sec, The Hon. Mr. Rcid, Wellington. J, Broomhall.