1.—6

XV

Ayes, 6. —Mr. Graham, Mr. Guinness, Mr. McGowan, Hon. Mr. J. McKenzie, Hon. Major Steward, Mr. Tanner. Noes, 4.—Mr. G. Hutchison, Mr. Maslin, Mr. Montgomery, Hon. Mr. Seddon. So it was resolved in the affirmative. The meeting then adjourned until Wednesday next, at 11.30 o'clock a.m.

Wednesday, 15th July, 1896. Present: Mr. Graham (Chairman), Mr. Guinness, Mr. G. Hutchison, Mr. Maslin, Mr. McGowan, Hon. Mr. J. McKenzie, Mr. Montgomery, Hon. Mr. Seddon, Hon. Major Steward, Mr. Tanner. Minutes of the previous meeting read and confirmed. The Chairman stated that he had received a memorandum from the Chairman of the Banking Committee (Legislative Council) covering the following resolution, "That the Chairman inform Mr. Graham (Chairman of the Committee of the House of Representatives) that this Committee is prepared to join the Committee of the House of Representatives if the order of reference is made the same in all respects as that of the Committee of the Legislative Council, and also if counsel are not present nor Press reporters admitted." Resolved, on the motion of the Hon. Mr. Seddon, That this Committee proceed with the inquiry ; that a letter be sent to the Chairman of the Committee (Legislative Council) intimating that this Committee does not deem it advisable to apply to the House to amend the order of reference. Resolved, on the motion of the Hon. Mr. Seddon, That the persons and corporations named in the order of reference, or otherwise interested, may, if they so wish, be represented by counsel. Resolved, on the motion of the Hon. Mr. Seddon, That such counsel shall not be entitled to address the Committee. •The Hon. Mr. Seddon moved, That questions suggested by counsel be put through the Chair. Upon the question being put, a division was called for, and the names were taken down as follow :— Ayes, 6.—Mr. Graham, Mr. G. Hutchison, Mr. Maslin, Hon. Mr. J. McKenzie, Hon. Mr. Seddon, Hon. Major Steward. Noes, 3. —Mr. Guinness, Mr. McGowan, Mr. Montgomery. So it was resolved in the affirmative. Resolved, on the motion of the Hon. Mr. Seddon, That notice be sent to the persons and corporations interested of the decision which has been lastly arrived at by the Committee. Resolved, on the motion of the Hon. Mr. Seddon, That the Chairman report to the House the communication received from the Legislative Council, and also the decision arrived at by the Committee in reference to the proceedings. Hon. Mr. Seddon moved, That the report of the sub-committee be now considered. The report of the sub-committee was then considered, and, after certain alterations were made therein, on the motion of the Hon. Major Steward, it was agreed to, as follows : — Report of the Sub-committee appointed by the Banking Committee of the House of Representatives, 13th July, 1896. The sub-committee propose the following arrangement of the headings of the subject-matter of inquiry included in the order of reference : — I. — The Bank of New Zealand. 1. Its position in the year 1888, and at the time of each half-yearly balance since that date. 2. The several valuations made from time to time of its assets since Ist January, 1888. 3. Its management from time to time since 1888. 4. Its balance-sheets from the Ist January, 1888, their truth and fulness. 5. The amounts written off since the Ist of January, 1888. 6. What led to such writing-off. 7. The fulness and accuracy of the information disclosed since Ist January, 1888, by its directors, officers, and agents. 8. The conduct and fitness of such directors, officers, and agents. ll. — Bank of New Zealand Estates Company. 1. The circumstances leading up to and connected with its formation. 2. Its position at the date of its formation, and at the date of each balance since then. 3. The several valuations made of its assets, the amounts written off, what led thereto, and the adjustments ami report in connection with the issue of debentures. 4. Its balance-sheets, their truth and fulness. 5. Its management from time to time. ..... 6. The present position, value, and prospects of the properties known as the globo assets, distinguishing between those transferred to the Realisation Board and those remaining with the Estates Company on behalf of the bank. 7. The conduct and fitness of its directors, officers, and agents. 8. The present position, value, and prospects of all properties now held by the bank ; also, all statements and reports compiled in reference thereto.