D.— 6

16

You will, with this information before you, bo enabled to put your proposal before Government in a more definite shape. In doing so, bear in mind that the only reason that warrants Government entertaining your proposals is, the hojie that you will be the means of introducing desirable persons from the United Kingdom, who would not be likely to emigrate unless with the assurance that they could be associated together as neighbours after arrival in the colony You must therefore be prepared to state how many families and persons you would guarantee settling on the block within a specified time. Other conditions will be —satisfactory proof as to the eligibility of emigrants before embarkation; the occupation, improvement, and limit of land allotted to a family, as defined in sections 7-13, draft of agreement arranged between yourselves and the Hon. the Minister for Immigration (see No. 13, D.-3, Vol. 1., Appendix to Journals of House of Representatives, 1878) In your reply you will be good enough to say when you are prepared to pay the purchasemoney, should an arrangement be completed with you for the block. I have, &c, James McKerrow, G. V. Stewart, Esq., Wellington. Secretary for Crown Lands.

No. 41. Mr. George Vesey Stewart to the Secretary for Crown Lands. Sir,— Wellington, 7th January, 1880. I have the honor to acknowledge the receipt of your letter of yesterday, and regret that the Government is not in a position to deal with the entire area for which I have applied. I have no desire to acquire a monopoly, and would not, therefore, unduly press for the reserve of 3,000 acres proposed for deferred-payment selectors; but I trust the Government will consent that the balance of such 3,000 acres which may not be taken lip within some definite period (say in six months) shall revert into my special settlement, to be sold by me to colonists or others of my own selection. But I would point out to you that the Auckland Land Board hold for immediate settlement in the Tauranga and Te Puna districts the following area, namely : Surveyed lands, 14,400 acres; unsurveyed lands, 38,498 acres: total, 52,898 acres. A large portion of this land is of first-class quality, and would be far more suitable for deferredpayment selectors than the 3,000 acres proposed to be deducted from Te Puke for that purpose, and which (if deducted) will considerably mar the benefits of my proposed settlement, by thus restricting the small area of really good land at present available on that block. Proposed Village Reserve, 400 acres. —Considering that, between Native reserves, the proposed deferred-payment reserves, and the timber reserves, nearly one-half of the good land on the block will be absorbed, and as I am paying the full value as a wholesale transaction, and in addition bound to settle and populate same (whereas in the settlement of the North Island the mere price of the land should be a matter of minor consideration), I would respectfully submit it would be but some slight act of justice and legitimate compromise to allow me to deal with this portion. The best site for village settlement is on the adjoining block, Rangiuru, only separated by a narrow stream, which block enjoys deep-water frontage on the Kaituna River, and will immediately fall into the hands of the Government, having passed the Native Lands Court. 1 herewith enclose tracing of the best site for village settlement. In the formation of special settlements, not only from motives of honor and justice, it is of paramount importance that the settlers should be fully satisfied with their selections. I would therefore propose only to stipulate at present for about 15,000 acres, be the same more or less, as per clause 4 of my last agreement, which, taken at your average, would be about £16,000; and I would suggest that the final boundaries shall be defined by my surveyor after a field survey, but that for concluding this agreement and enabling me to return to Great Britain, comparative boundary-lines be run, so as to conclude this agreement. Eligibility of Emigrants. —l fully appreciate the confidence Government proposes to place in me as to the class of persons with capital I intend to introduce, many of whom are but waiting for my instructions, and, unless they are brought out in a body, as proposed, will emigrate to the Transvaal or Canada. I propose to iutroduce at least one adult to each 100 acres —two children under twelve years to count as one adult; that the emigrants composing this proposed party No. 3 shall be fully equal to, if not better than, those forming parties Nos. 1 and 2; and I need not refer you to the published reports of the Crown Lands Ranger, which have been laid before Parliament, and further testified by the influential petition from Tauranga, presented to the House of Representatives, praying the Government to deal with me for further blocks. Specified Time for Settlement. —The last agreement proposed about eighteen months for landing of emigrants, but, as the present block is larger, I consider it would be expedient to extend the time to twenty-four mouths from the date of signing the agreement, though I expect the main body should reach in twelve months; still, it is not advisable to limit the time too much, as men of means and substance cannot dispose of their properties on short notice. Improvements. —l suggest these should be similar to those contained in my last agreement, including erection of weatherboard houses, no Crown grant to issue till such house be erected.