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reason was soon apparent—a determination not to have any traders on the island. In this they evidently had the sympathy of the Eev. Mr. Harris, and were further stimulated by personal jealousies and pecuniary considerations among themselves. The natives also disputed the validity of the lease granted to Pearse. They said it had been granted without the knowledge of some of the chiefs, though signed by the Eev. Mr. Harris as agent for the London Missionary Society. . Mr. Harris explained that he had signed under a belief that the chiefs had all agreed. The point chiefly objected to was the taking of rent, as this was never done in dealing with " settlement land." Mr. Harris had objected to the rent that Pearse was to pay, as being an innovation, a bad precedent, and likely to cause trouble in its appropriation. I may observe that Mr. Harris was not present at the earlier part of the meeting, but was sent for at this stage and remained till the end. The following is a copy of the translation of the lease, made at the time of the transaction by Mr. Craig. The original, in Earotongan, was produced and read at the meeting:— " Oneroa, Mangaia, 11th September, 1889. " This is the talk of the Eulers of Mangaia, and the Kings and the Governors, and the agent of the London Missionary Society. This is to make known and sure the conditions on which Mr. Pearse shall live on the island. " They (the Governors and Eulers) agree that he may live here and build a house for himself in the town (Oneroa), on the allotment of a native called Ata. They say that they know the allotment on which he is to build his house. This is the bargain established between the contracting parties. He (Mr. Pearse) shall pay $20 yearly for the said allotment. He shall live under the laws of the island, the same as natives and foreigners, and obey the said laws of the island. They shall protect his person and belongings. " King John, " Gbo. A. Haebis, L.M.S. " 16th September, 1889." " H. W. Pearse. The natives were then invited to make any comments or explanations they might desire. The following spoke:— Nga Bui : The lease was not known to him. Ata : All was correct and openly done, though only King John and Pearse were present at the signing besides himself. Nga Bui admitted that he consented in the first instance to foreigners staying on the island, but was always opposed to taking payment for land. Mr. Harris, on being asked, explained that he.had foregone his own objection to a money rental for the land, only because he believed at the time that the chiefs had done so. He should not otherwise have signed. King John said that he wrote the agreement and signed his name in accordance with a decision of the Governors at a meeting he had with them. Nga Bui adhered to his statement, and objected strongly to rent being taken from Pearse. Two payments of $20 each, for rent, had been made by Pearse to Ata, who kept the money. Daniela agreed with Nga Eui. When Captain Bourke hoisted the protectorate flag he told them the law of the land was still with them. They allowed rent to be paid by the foreigners who lived in Ata's house and other houses, but that was for living in the house, not for the land. Pearse paid Ata $25 for six months. The trouble arose from Ata and Kakerua keeping the money as their own. He wished to ask King John and Ata what became of this money. King John said Ata gave him $10, and Kakerua gave him $10 also. That was for the rent of the house. As to the two sums of $20 each paid to Ata for the land, Ata kept that for himself. None went to him (the King). In reply to Pearse's charge (No. 4) of refusing to let his goods remain on shore when landed, and taking them back to the " Little Agnes," Meringi Tangi said, Pearse was warned long before that he would have to take goods to the Market-house and not to his own store. To this Pearse rejoined that the warning was only given after his goods had been landed, and after he had been trading, with their sanction, for eighteen months on the island. Charge No. 5: Expulsion. —Daniela said " The first house Pearse built was at Iverua, in April, 1890. There was not then any agreement, and on hearing what Pearse was doing I got Turoua to accompany me to Iverua. We found the house was really being built. I asked Pearse to stop till I had again inquired if any agreement had been made. Vaipo, chief of Iverua, said to me, ' Don't look for the agreement here, but go to King John :he knows all about it.' Pearse. went on building, and would not listen to us. We afterwards found that Vaipo and King John had made an agreement with Pearse, and had received $10 each from him, which they kept for themselves. None of the other chiefs knew anything about an agreement, or the money. This was the foundation of all the trouble that afterwards happened at Oneroa. The disputes about the ownership of the land, and who should receive the money for it, were the cause of all. It was not right that Ata should get it. Some of us (the Governors) had a meeting, and decided that the work on Pearse's store and house at Oneroa should be stopped until we had settled the money question. Pearse would not cease his work at Iverua when we told him, but went on building there. Then we decided not to allow any trading to be done at his store in Iverua. He would not listen still, but went on buying and selling. Then the Governors met at Oneroa, and decided that there should be no trading there, as well as at Iverua, under a penalty of $100 to any Native who should disregard this law. This was proclaimed at Oneroa and Tamarua, but not at Iverua, as Vaipo and Buti (the Governors of Iverua), though present at the meeting, did not speak ono way or the other. Neither did they proclaim the new law at their own settlement (Iverua)." Mr. Pearse, in answer to a statement made by the Eev. Mr. Harris, desired to say that he had promptly paid all fines where adjudged finable by the native Courts. As to charge No. 3 (shipping