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subscriptions in support of the institution have been received, not, I should think, in any year exceeding £10, nor do I think that the contributions from scholars or their parents in any year exceeded £20. The salaries of the Wesleyan ministers from time to time in charge of the institution are included in my estimate of £4,000. I will furnish a statement of the items of which this amount was made up. Only one quarter's rent has yet been paid by Captain Machell: another is nearly due. This £100 per annum is not intended to be accounted for to the Wesleyan body in England, it is purely an internal arrangement within the Colony. It is proposed to be devoted to the support of the four missionaries maintained in purely Native districts. These are New Plymouth, Eaglan, Kaipara, and Hokianga. In the case of the other trust estates to which I have referred, at Aotea and elsewhere, no claim is due analogous to that against the Three Kings estate. Note.— The remainder of Mr. Butler's evidence is published with the evidence on the estates to which it respectively relates. The Eev. J. Wallis, being duly sworn, states: My name is James Wallis. I reside at the Three Kings institution, and am a Wesleyan minister and Superintendent of the institution. I have been eight months in that capacity. During that period there have been twenty-seven children continuously resident there. The staff consists of myself as superintendent, two female teachers, and a matron. The children vary in age from three to nine years. One Native boy is about twelve or thirteen years old. There are sixteen boys and eleven girls, to the best of my recollection. The education given to the boys and girls is elementary, including spelling, reading, writing, and arithmetic: it is in the English language. Irrespective of the revenue, if any, accruing from the trust, the children were supported by the allowance of £5 per head, by the Provincial Government, for nineteen of the twenty-seven children. The General Government capitation allowance had been discontinued just before I went to the institution. I know the land at Waikowhai. The chief portion of it is worthless. There is a part, about ten acres in extent (which was cultivated by the Natives, but not since the commencement of the war), which is of good quality; the rest is white clay, of a character similar to that of much of the ground near Auckland. The only benefit the institution derives from the estate at Waikowhai is the firewood cut upon it. The General Government do not at present contribute anything towards the maintenance of the children in the institution. The Provincial Government pay, as above stated, £5 per head for nineteen. The whole income of the school is not, I consider, sufficient to keep the children as they ought to be kept. One of the Half-castes is paid for, and others are leaving, being removed by their friends at the end of this quarter. In fact, the school will be closed then (that is, to-day), when the remainder, sixteen or seventeen, will be sent in to Auckland. One quarter's rent having been since received from Captain Machell, the advances from the bank, referred to in my evidence before the Committee of the Provincial Council, have been repaid. The sole revenue of the institution was Captain Machell's rent of £250 per annum, the capitation allowance from the Provincial Government at £5 per head, and the labour of the Native lad, which was considered to be an equivalent for his keep. The income above named was not sufficient to keep the children properly clothed and fed. This could not be properly done at a less sum than £17 per head. This is on the supposition that the number was as above named, viz., twenty-seven. If the number were larger, say fifty, the cost per head would be a little less. Out of the revenue accruing—which would have allowed about £14 10s. per head for the maintenance of the children— there was, as already stated, a deduction to be made of £100, as interest on advances made to the institution. Since I went there the salaries have been much reduced. They were a very large proportion of the expenses. The superintendent had £200, —reduced to £150. The present claim of £100 per annum arises partly from the accumulated charge of the salary of the superintendent. He was an ordained minister from England. The buildings consist —lst. Of one large erection, about ninety feet by thirty feet (not in a very good state, but now requiring shingling and other repairs), containing kitchen, dormitories, diningroom, bathroom, washhouse, and storerooms. The foundation is stone. I cannot state the amount of the insurance. 2. A schoolhouse about sixty feet by thirty feet. 3. A dwelling-house, containing seven rooms —these edifices are also of wood. 4. A smaller house (perhaps with five rooms), occupied by the farmer, of stone. This is now in the occupancy of the present tenant. These wooden buildings replaced the original stone buildings, now dilapidated, which are now occupied as stables, &c, by the tenant. I understand that the tenant of the farm is bound to maintain the buildings of which he has the occupation. lam not aware whether any efforts have been made to supplement the income of the institution by voluntary contributions. I am intending myself to remove to Onehunga, about three miles distant, and shall occasionally look at the premises, say twice or thrice a week. No one will be at present resident there, but it is proposed, if a suitable person can be obtained for the purpose, to place one there to look after the premises. The institution must have been closed before this if I had not taken the superintendence of it gratuitously. Mr. B. B. Lusk —(Saturday, 3rd April, 1869), —being duly sworn, states : On the first of this month fifteen children were sent in from the Three Kings institution, that school having been closed the previous day. The managers had previously given notice that, if not removed by the Provincial Government, they would be sent to the Superintendent's office. The children were admitted into the Orphan Home at Parnell on the joint authority of Archdeacon Lloyd and myself. They were inspected by Dr. Goldsboro, who can give evidence of the condition in which they were received. We were applied to by Mr. King, the Believing Officer, to know whether they could be received temporarily into the Orphan Home, so that the Provincial Government might know what to resolve upon in respect of them. Note. — The remainder of Mr. Lusk's evidence is published with the evidence on the estates to which it respectively relates.