G.—l3

7

charges of bribery, including that against Poniare Kingi. The Court was then sitting at Cambridge. Mr. Fraser then went to Bay of Islands. On his return he said he had seen Poniare, who admitted receiving the money, but declined to put anything in writing. I knew at this time that Mr. Fraser had applied for an interpreter's license. I spoke to the Native Minister about it, and he told me he could not sanction Mr. Fraser receiving a license in face of the part he had taken in bribing Pomare Kingi. I argued that Mr. Fraser did not at the time the money was paid know that it was paid as a bribe. By Mr. Fraser.] Dr. Buller, in his evidence before the Native Affairs Committee, stated " that in the Eangipo rehearing case, at Upokongaro, near Wanganui, he (meaning Mr. Fraser), acting under the direction of Mr. Sheehan, or on Mr. Sheehan's behalf, paid the Assessor Poinare Kingi a bribe of £25." Did you ever hear me state to Dr. Buller that I had paid a bribe of £25 to Poniare Kingi? —I heard Mr. Fraser say that he had paid, on Mr. Sheehan's behalf, a sum of £25, which from after-events he understood must have been a bribe. (Question repeated.)—No; Mr. Fraser did not toll me that of his own knowledge the payment was a bribe, but that he only surmised it. Quotation from Dr. Buller's evidence.—" Mr. Fraser states that he handed the Assessor a cheque for £25, and took his receipt for that amount as a loan, and that he received the money from Mr. Sheehan for that purpose; and that it was given on the express understanding that if the judgment went as prayed for by Mr. Sheehan the receipt would be torn up ; that if it went the other way Pomare would be called upon to repay the £25." Did you hear me say to Dr. Buller or any one else that the money was paid on that understanding?—No; certainly not. Did you hear me say that I had destroyed the receipt ? —No, I never heard you say so. You said that Mr. Sheehan asked you for it, and that you saw him destroy it. With reference to the evidence of Dr. Buller, " The original judgment was affirmed and Mr. Fraser destroyed the receipt," did I give you permission to mention the case to Mr. Bryce ?—I cannot remember. Was the matter of this particular bribe often talked about ? —No; only between ourselves, and not very often at that. Did you ever hear me make any statement that would lead you to believe that I had been a party to bribing Pomare Kingi ?• —No, certainly not. By Dr. Buller.] Did you regard Mr. Fraser's statement to you as confidential'? —I did not understand it to be confidential, and I did not understand that it was not confidential ; but I did mention it to Mr. Bryce in confidence. I did not write to you challenging the accuracy of your account of the circumstances, neither did I write admitting its correctness.

Inquiry continued at District Courthouse at 10.30 a.m. John Edwin Macdonald (sworn) : — ln reply to Dr. Buller —Did I see you on the proposed inquiry at Wellington after I saw Mr. Fraser?—Yes ; I saw 7 you, and expressed my feeling that, having regard to the death of Mr. Sheehan, there was no good in going on with the inquiry. You concurred in that, and requested me to express that view to the Native Minister. I told you afterwards that I had spoken to Mr. Lewis on the subject. You always expressed a desire that the matter should not go on now that Mr. Sheehan was dead. I may add that I never saw the Native Minister on the subject, but I spoke to the Under-Secretary. What use he made of the communication I cannot say. In reply to Mr. Fraser : Did Mr. Lewis inform you that the inquiry was to bo held in consequence of pressure brought to bear by me ? —No, neither by conversation nor by letter. I never supposed so until recently. When I heard of your application for an interpreter's license I did hear that you had brought pressure to bear. I have a confidential telegram from Mr. Lewis, received yesterday. Mr. Fraser applied that the inquiry be adjourned to enable Mr. Lewis to give evidence as to whether he (Mr. Fraser) had over asked for the inquiry to be held since Mr. Sheehan's death. The inquiry was then adjourned for an hour to enable a telegram to bo sent to Mr. Lewis asking permission for the confidential telegram received by the Chief Judge to be produced. On the inquiry being resumed, and no reply having been received from Mr. Lewis, Mr. Fraser asked that the inquiry be further adjourned to enable the telegram to bo produced or, failing permission being given, to enable Mr. Lewis to give evidence. Inquiry accordingly adjourned till Tuesday afternoon, at 2 o'clock.

Tuesday, 29th December, at 2 p.m. Permission having been received from Mr. Lewis for his telegram to the Chief Judge to be produced, it was accordingly produced; also the Chief Judge's telegram, to which it was a reply. Mr. Frascr said : With reference to the telegrams of the Chief Judge and Mr. Lewis, I reiterate my previous statement that I was asked by letter from Mr. Lewis, and verbally by Mr. Ballance, to petition Parliament on the evidence given by Dr. Buller before the Native Affairs Committee. I declined to petition, and gave to Mr. Ballance as my reason therefor that evidence prejudicial to Mr. Sheehan might be forthcoming, and, as he \va3 dead, he would be unable to controvert it. I told Mr. Ballance that if fifty licenses depended on my petitioning I would still refuse. Mr. Ballance informed me that the Government had made up their mind to proceed with the inquiry ; and the day I saw him Mr. Ballance said in the House, " It was the intention of the Government, before even the Native Affairs Committee reported, to hold an inquiry into tins and another case which had occurred some years ago ; and we shall include both cases in the inquiry."— (Hansard,