8.—25

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the 16th instant on the same account, and these amounts added to the three sums (£17,300, £7,500, and £33,300) already mentioned make together the sum of £231,900, being the total amount of the sinking fund which had accrued during the twelve months ended the 16th instant. The following is a summary showing the respective amounts received back into the Public Account on account of the sinking fund released by the past and present conversion operations :— Amount received from the Crown Agents on account of the bonds con- £ verted into 4-per-cent. stock ... ... ... ... 173,800 Amount received on account of the bonds converted into 3^-per-cent. stock previous to the 22nd March ... ... ... . . 17,300 Amount received on account of the bonds converted into 3^-per-cent. stock subsequent to the 21st March ... ... ... ... 7,500 Amount received on account of bonds redeemed by the proceeds of the sale of 3J-per-cent. stock ... ... ... ... ... 33,300 Total ... £231,900 Since 21st March I have authorised the bank to accept for conversion, at the same rate (£IOB 10s. for every £100 in bonds), several small lots of bonds which have been offered for that purpose. I have not as yet received from the bank a list of those actually sent in since the 21st ultimo, but they will, I think, amount to about £10,000. The price of the 3f-per-cent. stock continuing to rise, I have now decided not to accept any more of these bonds for conversion at £108 10s., and have for the present fixed £107 10s. 3£-per-cent. stock as an equivalent for £100 in bonds. 5 per Cents of the Loan of 1863 (redeemable 1914). Of the bonds belonging to this loan, £15,600 were brought in for conversion into stock, namely, thirteen bonds of £100, thirty-nine of £200, and thirteen of £500. This will release a proportionate amount of the sinking fund, respecting which I will shortly communicate with the trustees of the fund. Provincial Loans. Of the bonds belonging to these loans, the following have been brought in for conversion, namely: one bond of £1,000 of the Auckland Loan, converted into 3f-per-cent. stock at the rate of £107 stock for every £100 in bond, with the April and subsequent coupons attached thereto; and thirty-nine bonds of £100 and one bond of £1,000 of the Otago Loan, converted into 3J-per-cent. stock at the rate of £110 10s. stock for every £100 in bonds, with all undue coupons attached. Cheviot Estate Debentures. I have, in accordance with your instructions, paid to the Bank of New Zealand the sum of £175,000 on account of these debentures, and I am recouping the Public Account by the proceeds of the sales of the stock, created under deed-poll of the 20th February, 1894, and inscribed in my and the Audit Officer's names. Of this stock £160,000 has been sold up to the present date. Of the cash proceeds £33,300 has been taken to redeem the drawn consol debentures as mentioned in the previous part of this letter, and the balance will go towards, meeting the amount required for the Cheviot Estate debentures. Your cablegram of the 17th instant stated that £175,000 of the Cheviot Estate debentures would be at once forwarded for immediate conversion, but that it had not yet been decided to include therein the remaining £50,000. The amount of 3-J-per-ceiit. stock, therefore, which, under the circumstances, I have power to sell out of the £350,000, the inscription of which in my and the Audit Officer's names I have already advised you, is about £265,000, made up as follows, viz. : £33,300 for the drawn consol bonds ; £175,000 for the Cheviot Estate bonds ; £50,000 for the guaranteed bonds of 1856 ; and, say, £5,000 for stamp duty, &c. Before, therefore, this reaches you, I shall probably ask you for instructions as to whether you wish me to carry out any additional conversion'involving the sale of any further amount of stock, as without such authority it is doubtful whether I can proceed with sales beyond the amount I have named. I have, &c, The Hon. the Colonial Treasurer, Wellington. W. B. Perceval.

No. 47. The Agent-General to the Colonial Teeasueek. (No. 489.) Westminster Chambers, 13, Victoria Street, London, S.W., Sib,— 21st April, 1894. Eeferring to my letter (No. 464) of the 6th instant, I beg to transmit herewith copies of contract notes for the sale of £80,000 3|-per-cent stock. The proceeds of the sale of the £20,000 stock sold on the 7th instant went 'into the Public Account on the 12th instant, and the proceeds of the sales of the remaining lots will be paid in on the 26th instant. This £80,000 is part of the £350,000 stock inscribed in my and the Audit Officer's names, £160,000 of which has now been sold. I have, &c, The Hon. the Colonial Treasurer, Wellington. W. B. Perceval.