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imposed upon; and it has mostly turned out, when any of the disputes have been investigated, that either the Natives were labouring under a misapprehension, or that the contractors with whom and the Natives the dispute took place were either attempting to take what the Natives thought an unfair advantage, or were endeavouring to take timber, gravel, or other products the property of the Natives without first paying the prices fixed by the Committee for them. I am glad to be able to state that all the disputes that have arisen have, so far, been satisfactorily settled. As a further proof of the decadence of the King party I may state that Tawhiao has not this year called his large yearly meeting of representatives of tribes, which is usually held in the month of March. These meetings have of late years been getting of a much less important nature than they used to be, and the attendance at them has fallen off very much of late. It is quite natural, therefore, that the usual meeting should be omitted altogether this year. Native Schools. —The three Native schools in this district—viz., at Kopua, Te Waotu, and Tapapa are in a flourishing condition, that at Te Waotu being especially so. It has a regular daily attendance of over fifty scholars, and additional accommodation has lately had to be added to provide for the increased attendance. The Natives seem now to appreciate the advantages of education for their children and the foresight of the Government in providing them with schools. There is also a Native school at Waitetuna, which is fairly well attended; and another one is about to be erected at a place called Bluenose, between Ngaruawahia and Whatawhata ; but these, though in my district, are not, strictly speaking, within the King-country. Land-purchase. —Part of my duty during the last few months has been to assist in landpurchase work. Three blocks of Native land (old compensation awards) near to Ngaruawahia, known as Lots 75, 76, and 77, Parish of Waipa, have been purchased from the Native owners for the purpose of special settlement. The blocks contain 446 acres, 483 acres, and 572 acres respectively, and are abutting on the road that is now being made from Ngaruawahia to the Hot Springs, at Waingaro. The land is of very good quality, and well suited for settlement. The purchase is not quite complete yet, in consequence of the number of Native owners ; but it is nearly so. I have also completed the purchase of the Pukehinau Block, within the Thames Goldfielcl; but that will be referred to in my Thames report. Te Kooti. —Te Kooti, with his followers, still live at their' settlement at Otewa. On the principle, I presume, that a prophet hath no honour in his own country, Te Kooti is very little thought of either by Natives or Europeans in this district. Here no one troubles himself about him. It is only amongst Natives in out-districts that he has any notoriety or is sought after. He is continually being visited by Natives from the Thames, East Coast, and other places, who have adopted his karakia or form of worship, and who believe in him as a prophet. I am told that whenever these people visit him they bring presents of money with them; so that, like some of his European brother-prophets, I have no doubt he makes the vocation pay. He is reported to have made some wonderful cures, and to have prophesied correctly with regard to certain events that have happened. But it is an open question whether the cases of cures should not be put down to faith-healing, and also whether some of his prophecies were not made after the events. Of course no mention is ever made of failures or misses. A. prophet's power will never stand that test. lam rather inclined to think that Te Kooti is aware of our proverb, " Never prophesy before you know," or has one of his own similar in meaning to it, and acts accordingly. He made a journey to the East Coast last year, where, he says, he was well received. That may have been so with regard to some of the settlements that he visited ; but, if the newspaper reports of his journey are to be believed, he visited some places where he was anything but well received, and it was said that, had he persisted in visiting Gisborne and some other places, scenes of his former atrocities, that he originally intended to visit, his reception there would have been a remarkably warm one, if not fraught with actual danger to his person. It did not take much of a prophet to discover this, so Te Kooti wisely decided not to visit those places at present. He may or may not be a prophet; but Ido not think that he cares to be a martyr, not if he can help it. I forward herewith return of Natives and half-castes who have been convicted of crime or misdemeanour within the Waikato, Waipa, Baglan, and Kawhia Districts during the year ended the 31st March, 1887: Drunkenness —Pukekohe, 1; Mercer, 3; Te Awamutu, 5. Cruelty to Animals—Mercer, 1. Assault—Te Awamutu, 1; Alexandra, 1; Kawhia, 1. Besisting Police—Te Awamutu, 1. Fighting—Te Awamutu, 1. Larceny—Te Awamutu, 1; Alexandra, 4. Sly grogselling—Te Awamutu, 1. Threatening language—Kawhia, 1. Breach of Police Offences Act— Kawhia, 1. When compared with the number of Natives living throughout the .district it will, I think, be admitted that the average of crime is a low one. Thames-Hauraki (including Te Aroha, Ohinemuri, and Coromandel). My report on this district will only be a short one, as my time has been so much taken up in the Waikato during the past twelve months that opportunities to visit the Thames District have been few. There is, however, very little to report. Matters throughout the district have been going on very much as usual, with the exception that our old friend Tukukino and the Ngatihako Tribe have during the past year been on their best behaviour, and no obstruction to surveyors or public works has taken place at their hands or at their instigation. The Thames-Waikato Bailway-line formation is now completed as far as Hikutaia, and the section from there to Paeroa is well in hand. The Natives in the Hauraki District are not by any means an industrious people—that is, when compared with former years. Instead of living together in large numbers at their different settlements, and cultivating large areas of food in common, as they used to do, they now separate themselves into families or parties and go away into the hills to dig kauri-gum, where they