85

A.—4

with sufficient encouragement to induce the Government to persevere with it. We had very much opposition at the time to contend with, and the opponents of the proposal freely stigmatized it as the revival of the South Sea Bubble. Now that 1 read the papers again, I am more than ever convinced of the soundness of the proposal. The German Company is formed on similar lines, but with almost unlimited powers. If it can suit Germany, so averse as a rule to colonizing operations, to attach to such a Company a national importance and to assign to it a guarantee, it need scarcely be argued that New Zealand has tenfold inducements to a similar course. The South- Sea Islands, are a remote incident of German commerce, but they are probably destined to be the leading exterior feature for weal or woe of New Zealand's future. She cannot afford to continue indifferent to th& destiny of Polynesia, and the longer she remains so the more onerous will be the task when she awakens to the consciousness that nations and the dependencies of nations cannot escape the responsibilities entailed upon them by geographical and natural laws. New Zealand, from its position, is the country, possessing a temperate climate, to which Polynesia should and must in the future, attach the most importance. I trust these remarks will not be thought out of place from one who has taken so much interest in the subject. I venture to ask that immediate publicity be given to this despatch, because I think the people of New Zealand should, without delay, ponder on what may be the effect of a large foreign trading company supported by national funds taking up its position in their immediate vicinity. Who shall say what may be the limits to the ambition of the Company, and to what extent it may be able to drag its Government, reluctantly perhaps, into backing up its actions ? In self-defence, it seems to me, Now Zealand should proceed with the project commenced in 1874. State assistance is of great importance to such an undertaking, because, although in the long-run the enterprise would meet with commercial success, it might for some time have to subordinate such success to the object of laying its foundation broad and deep. The trade it would bring toNew Zealand, and the industries in the shape of mills and factories it would establish there, must also be taken into account. It is worthy of notice that the extent of the risk of the German Government is only £15,000 for twenty years. Although the guarantee is 4|- per cent., the actual extent to which the gains of the Company are to be supplemented is limited to three per cent, on £15,000 a year on half a million sterling. With this comparatively trifling encouragement, the shares were subscribed for twice over, and a great national enterprise started. I have, &c, Julius Vogel, The Hon. the Premier, New Zealand. Agent-General.

lll—Trading Companies.

Enclosures. Notice.—lssue of 8,000 Shares of the Deutsche See Handels-Gesellschaft (German Sea Trading Company), in Shares of 1,000 Marks (£5O) each, of the Value of 8,000,000 Marks. The object and plan of the Deutsche See Handels-Gesellschaft, which is to be formed in Berlin on the 21st January after the capital has been fully subscribed, may be gathered from the following extract of the statute (laws and by-laws) and appertaining supplements. Applications for shares may bo made to the General Direction der See-Handlungs Societiit, Berlin ; Bank fur Handel mid Industrie, Berlin ; Berliner Handels-Gesellchaft, Berlin; S. Bleichroder, Berlin; Direction der Disconts-Gesellschaft, Berlin ; Mendelssohn and Co., Berlin ; Gebriider Schickler, Berlin; Eobert Warschauer and Co., Berlin; Deutsche Bank, Berlin; H. C. Plant, Berlin ;M. A. von Bothscliild and Sons, Berlin; Branch of the Bank fur Handel und Industrie, Frankfort am Main; Norddeutsche Bank, Hamburg; L. Behrens and Sons, Hamburg; Joh. Berenberg, Gossler, and Co., Hamburg; Bremen Branch of the Deutsche Bank, Bremen; Sal. Oppenheim jun., and Co., Cologne—from Thursday, the 15th January, 1880, from nine a.m. till one p.m. and from three p.m. till five p.m.; on Friday, the 16th January, 1880, from nine a.m. till one p.m., when the lists will be closed. The shares are issued at par, and applications are to be made on forms to be obtained at the above-mentioned places. The first payment of 15 per cent, of the subscribed amount must be paid in on filling up and handing over the form of application. The subscribers will receive as soon as possible after the closing of the subscription special information as to the allotment of shares. In case of over-subscription, the offices above mentioned have the right to reduce the amount subscribed according to regulations to be issued by them. The subscriber can obtain the receipt-sheet for his allotted shares, accompanied by the receipt for the first payment of 15 per cent., at the same place he subscribed at, at the appointed time. In, case of over-subscription, and consequent reduction, the surplus of the first payment will bo returned to him at the same time. The receipt-sheet is made out in the name of the subscriber. The subscriber is subject for the amount allotted to him to all statute rights and duties in conformity with the statute to be executed on the 21st January, the complete text of which can bo seen and obtained at the places of subscription. Berlin, 12th January, 1880, General Direction der See Handliings Societiit.

Extract from the Statute. 1. Under the firm Deutsche See Handels-Gesellschaft, and by the present statute, a joint-stock company is to be formed, with ill seat in Berlin. The Company reserves to itself the right of removing its seat to Hamburg, or establishing a branch establishment there under the same name. The Company has besides the right to erect branch establishments and agencies at home and abroad.