A.—4d

6

Shortly after this I had to abruptly dismiss them, for, becoming excited, they commenced a conversation that I could not listen to in this consulate : such as they would all fight any one who hoisted any other flag than the British flag over them, and that they would all like to see flying over them. There can be no doubt that the natives are really alarmed at the many reports of German annexation, and as a body resent the idea. The increasing loud talk of German power and importance impressed upon them every day of their lives, backed up by the newspaper reports of German desire for land acquisition, all of which in a more or less distorted condition they attain knowledge of and formally discuss, naturally cause them to think very seriously of the matter. There is a report here that distinct orders have been received from Home to enhance in every possible manner the value of German interests in the group, and to lose no opportunity for impressing the natives with German importance, with the view of establishing a protectorate. Prom the very loud and decided manner in which some of the principal Germans have been talking lately, and all of them generally, there would appear to be some reason for believing this report to be a fact. A noticeable thing is that few of the German remarks of their own intentions of advance are unaccompanied with corresponding depreciation of British ideas. A source of great personal annoyance to the Germans is of course the undeniable and increasing preference that the Samoans have for the British, coupled with the moral certainty, as shown by recent events, of soon being in active commercial opposition with British enterprise and capital. The preference for the British here has almost taken an official character, as instanced by an entirely unprecedented act on the part of the .King, who, previously to the departure of the British syndicate that came here to negotiate the acquisition of the American and McArthur's land claim, sent the principal member some handsome mats, a ring, &c. These presents were publicly brought to the hotel and delivered by the King's wife, who was escorted by some of the Government police. This could not have been done without the consent or knowledge of the whole Government, who to a noticeable degree, keep his Majesty a sort of prisoner, and regulate all that he does. There can be but little doubt that the pressure put upon the Samoans in the Muliunu affair has very much more to do with their openly-expressed opinion of British sympathy than the speech complained of, which in itself was nothing more than a natural grumble from the loser of a lawsuit, for the ViceKing was the man whose claim was disallowed. Before the arrival of the British land syndicate, although an arrival was expected, yet it was thought to be in the American interest. Of this the Germans took little or no notice, although a considerable quantity of land is claimed by both parties; but when it was found to be a British enterprise, which, if carried out, would place the Germans very much in the shade, the loud talk became redoubled, and has continued so ever since. The last cause for complaint is that the missionaries at their annual meeting made use of the word Peretania (Britannia) too frequently—in fact the smallest accidental circumstance forms a subject for loud-spoken suspicion. 30th October.—l have just received a message from Muliunu to the effect that the King, Taimua and Taipule, intend doing or saying nothing until the arrival of a British man-of-war, by which they expect a letter in answer to the King's sent last November through Captain Acland, of H.M.S. " Miranda." This is in itself a certain proof of the now universal desire for British influence here. When the letter in question was sent no one appeared in the matter but the King himself and two or three of his people, although others were cognizant of it; yet his Majesty did not wish it to be known what had been done. Now, I am assured that the whole Government as a body are most anxious for a favourable answer, and have privately sent me word that it is the desire of the whole people. If they do not receive a favourable answer, they hint at doing something mysterious of their own accord. They have not told me what that is, but I imagine it is what they have threatened to do before—namely, hoist the British flag and proclaim themselves British. In anticipation of such an occurrence I should be glad of your Excellency's advice in the matter. 31st October.—This morning the annexation alarm amongst the natives was vastly increased by the quite unexpected arrival of the German 12-gun corvette "Marie." This appeared to corroborate all the previous reports that had been spread abroad. The " Elizabeth," 19-gun corvette, being also daily expected, seemed to surely point to a naval demonstration of some sort or other in these parts. The next day I received a visit from the commander of the " Marie " and the German Consul. The former told me that he suddenly received telegraphic orders at Callao to proceed without delay to this station. Dr. Stuebel at the same time stated that he was left in complete ignorance of her mission further than that she had been ordered for service on this station. She is, I understand, to wait here for orders presumably to arrive per "Elizabeth." Although Dr. Stuebel informs me that he has had no intimation of the "Elizabeth" calling at all, I have been informed from several sources that the German Consul will, now the " Marie " is in port, proceed to enforce a settlement of certain German causes of complaint against Samoans, the nature and importance of which i have not as yet been able to ascertain. This will have the effect of still more alarming the Samoans. Finally, I would respectfully again ask your Excellency for instructions as to the line of conduct to be observed should the natives carry out their threat and hoist the British flag as against aggression, and proclaim their desire to become British. This I am confident they will do should they come to any difficulties with the Germans, which at present is very likely ; and, should these difficulties not occur, it is more than probable that before long, perhaps on the arrival of a British man-of-war, an offer of cession will be made. It is on this account that I am anxious to know your Excellency's views as to the line of conduct to be observed. Her Britannic Majesty's Consul-General in the Pacific Islands. W. B. Chuechwaed.