28

P.—2

Enclosure 1 in No. 48. Messrs. Williams, Dimond, and Co., to Mr. Ceeighton. Agency, Pacific Mail Steamship Company, S IE _ San Francisco, 17th March, 1880. Our Mr. Williams had the pleasure of meeting you on this company's dock on Monday last, and, in our conversation in regard to the accident onboard the " City of Sydney," you kindly expressed your conviction as to the soundness of his suggestions in reference to the repairing and hastily despatching that ship, and by that means getting the colonial mails through in better time than by any other method. As the London mails have only arrived in this city to-day, the " City of Sydney could not, even had no accident occurred, have sailed earlier than this afternoon ; therefore, by detaining her until Saturday, the 20th, the actual delay will only amount to less than three days.^ Under the circumstances —you being fully acquainted with all the facts in this case—we_ respectfully beg the favour of you to represent the same to your Government and postal authorities in such a way as to relieve us from blame, so far as you can consistently do so. Our action has been taken under the full conviction that it was for the best interest of the Governments whose service we are performing, and that we could in no other way have served them so well. . . We beg to add that, by diligence and proper driving of the ship on the outward voyage, we anticipate being able to reach Auckland very nearly on schedule time. We are, &c, Williams, Dimond, and Co. Eobt. J. Creighton, Esq., Agent, New Zealand Government.

Enclosure 2 in No. ,48. Mr. Cbeighton to Messrs. Williams, Dimond, and Co. Gentlemen, ■ San Francisco, 18th March, 1880. I have the honor to acknowledge your letter of the 17th instant, relative to the unavoidable detention of the " City of Sydney " until Saturday next, and in reply beg to state that I would have felt it my duty to inform the New Zealand Government that under the circumstances the contractors' agents here had done everything possible to avoid delay. From the late performance of the "Australia," and the well-known sailing qualities of the "City of Sydney," I am not without hope that your anticipations regarding the voyage to the colony will be realized. 1 have, &c, Eobt. J. Ceeigiiton, Agent, New Zealand Government. Messrs. Williams, Dimond, and Co., San Francisco.

No. 49. Mr. Geat to the Seceetabt, General Post Office, Sydney. (Telegram.) General Post Office, Wellington, 19th April, 1880. Re fire " City of Sydney." Seeing it arose from uncontrollable causes, and that Company used every possible exertion to make good lost time, Postmaster-General considers full subsidy should be paid. What is opinion your department ? Please reply sharp. The Secretary, Post Office, Sydney. W. Geat.

No. 50. The Secbetabt, General Post Office, Sydney, to Mr. Geat. (Telegram.) Sydney, 19th April, 1880. Postmastee-Geneeal concurs that full subsidy should be paid for " City of Sydney's " last voyage. S. Dalgaeno, The Secretary, General Post Office, Wellington. (pro Secretary.)

No. 51. Mr. Geat to Messrs. Williams, Dimond, and Co. Gentlemen, General Post Office, Wellington, 22nd April, 1880. Ihave the honor to acknowledge receipt of your letter of the 20th ultimo, reporting the facts in connection with the fire which broke out on board of the steamship " City of Sydney " on the evening of the 14th of March, while lying at the Company's Wharf, San Francisco. The Postmaster-General has carefully perused your narrative, and considered it in connection with the other reports made to this office ou the matter, and is of opinion that the subsequent action taken by you was best calculated to servo the interests of the contracting colonies. Seeing that every endeavour was made to give the steamer the quickest possible despatch from San Francisco, and that the commander was instructed to press his vessel on the run to Auckland, the Postmaster-General has, after consulting the Postmaster-General of New South Wales, agreed that your Company shall receive full subsidy for the voyage in question, which.was performed in 4GI hours to Auckland. I have, &c, W. Geat, Messrs. Williams, Dknond, and Co., San Francisco. Secretary.