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G.—l

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During the past year a native named Hatara Ngatai, belonging to a section of the Ngatipaoa tribe called Urikaraka, has died. Although a young man of considerable rank, I should not have mentioned this occurrence, only that he was known as Tawhiao's "Pou," or representative in this district. This mantle has, I understand, descended upon a young native named Tiwai, who, in so far as dogged obstruction to Pakeha progression is concerned, is a very fitting successor, albeit, in other matters, he is a law-abiding and quiet native, and is too sensible himself to run any personal risks, although he does not hesitate to vindicate by argument those who do. The troublesome Ngatihako tribe, to whom I referred at some length in my last report, are at present on their good behaviour, although they have not by any means been idle during the past year. In July last they shot a bullock belonging to a settler living near Ohinemuri, the only reason given for the act being that it was running on their land, and they made the matter worse by threatening in a letter, signed by Pakara te Paoro, to shoot all European cattle and horses that they might find trespassing on land owned by them. They, however, did not carry out this threat, and I have reasons for knowing that they were, and are now, fearful of being punished for what they had done. Since then they have not done anything for which they could be blamed, and I think from appearances at the present time that these people are beginning to see the error of their ways, or at least are fearful that they may go too far. My reasons for thinking so are because of their allowing the snags which are now being taken out of the Waihou Eiver (on the banks of which they reside) to be removed, without any opposition from them—a work which they opposed four years ago when attempted by the County Council, on which occasion the workmen were turned off. In October last trouble was occasioned at a place called Waitete, within the Ohinemuri Gold Field, by some members of the Ngatikoi tribe (who have mostly sold their interests there to the Crown) obstructing the Europeans from cutting Kauri timber, notwithstanding that they had obtained the necessary authority from the Warden to do so. The cause of this action by the natives was the question of reserves for them within the Ohinemuri Block not being yet settled, and they claimed the block where the Europeans were cutting the timber as theirs, by a promise from Mr. James Mackay some years ago. I went to see them about the matter, and explained the position to them, showing them that they were in the wrong, but they would not give in, so having the Sergeant of Police with me armed with the necessary summonses, they were served in the usual way, and the natives afterwards attended Court. The case was heard before the Resident Magistrate, and proved against them, but considering that they had some cause of complaint in not having their reserves fixed, and that they had taken this action more for the sake of getting the Government to fix them, than with the deliberate intention of breaking the law and committing a breach of the peace, the Magistrate only inflicted a nominal penalty, expressing his opinion from the Bench that it would be advisable, in order to prevent further disputes, that the reserves be defined as soon as possible. This I hope will soon be done, as a Native Land Court is to be opened at Paeroa on Ist proximo, in which the Crown's title to the Ohinemuri Gold Field will most likely be decided, and all native reserves fixed. During the past year a difficulty occurred at Coromandel by which the natives obstructed the formation of the main county road at places known as Te Tiki and Manaia. Acting under instructions from the Hon. Native Minister, I went there to enquire into the cause of trouble, and found that it was brought about mostly through a misunderstanding, which was set right by the Chairman of the County Council (Mr. Cadman) accompanying me with the natives on to the ground, and there discussing the matter. In November last a native named Horomona Mahoetahi (belonging to Ngatimaru tribe, but married to a Ngatihako woman, and living at Piako,) obstructed the survey of a block of land called Te Manuka, abutting on the Thames Eiver, and extending towards Piako. His only reason for his action was that he, being a disciple or expounder of Tawhiao's doctrines in the Piako District, could not allow the survey to take place, as it had gone beyond the Ngatimaru (or Thames natives) boundary. As this was a case in which the police could act in the ordinary way, a summons was issued and served on the native. He obeyed the summons, and appeared at the Eesident Magistrate's Court at Thames, but as there was no attempt to dispose of or appropriate the goods to his own use, proved against him, he was merely bound over in his own recognisances to keep the peace for six months. At first he refused to sign the necessary bond papers, and it was only after he had been kept in gaol for two days that he elected to sacrifice his principles, and accept the position, or rather change it for a better one, namely, that of freedom. Having signed the necessary documents he was allowed to go at liberty. lam not at all sure, however, that some more stringent measures will not yet be required of him, as he has lately written me a letter objecting to the proposed survey of the Piako Block, and threatens to obstruct it. He may, however, mean only passive obstruction. That letter, with translation, was sent on to Wellington in the usual way. During the time that it was feared the smallpox epidemic might visit New Zealand, I, acting under instructions received from Wellington, used every endeavour to get the natives in this district vaccinated, but lam sorry to say only with indifferent success. At first, when the dread of contracting the disease was upon them, they entered heartily into the idea, and a considerable number of them, including children, were vaccinated, but as the dreaded epidemic did not make its appearance amongst us, those natives, who had not up to that time been vaccinated, did not trouble themselves any more about the matter, notwithstanding that they were both written and spoken to on the subject. Another reason which I think had a great deal to do with their apathy, or I may say dislike to the operation, was the unfavorable circumstance of some of their children suffering considerably from the after effects of the operation ; this was, however, I think, brought about more through the unhealthy state of the children than any fault in the lymph used, or want of care or attention by the medical officer. This result is much to be deplored, as I question if their interest or fears regarding the matter can again be aroused, unless the disease really appears amongst either themselves, or theirPakeka neighbours. I have, &c, Geobge T. Wilkinson, The Under-Secretary, Native Department, Wellington. Native Agent.