I—ll.

1900. NEW ZEALAND.

PUBLIC ACCOUNTS COMMITTEE: NEW ZEALAND MIDLAND RAILWAY. REPORT ON THE PETITIONS OF J. H. B. COATES (Nos. 132 and 263) AND NORMAN H. M. DALSTON (No. 267), TOGETHER WITH PETITIONS, MINUTES OF PROCEEDINGS AND EVIDENCE, AND APPENDIX.

Beport brought up on the 18th October, 1900, and ordered to be printed.

ORDERS OP REFERENCE. Extracts from the Journals of the House of Representatives. Tuesday, the 3rd Day of July, 1900. Ordered, " That a Committee, consisting ot ten members, be appointed to examine into and report upon such questions relating to the Public Aocounts as they may think desirable, or that may be referred to them by the House or by the Government, and also into all matters relating to the finances of the colony which the Government mny refer to them; five to be a quorum: the Committee to consist of Mr. J. Allen, Mr. Fisher, Mr. W. Fraser, Mr. Graham, Mr. Guinness, Mr. Morrison, Mr. Palmer, Captain Russell, the Hon. Mr. Ward, and the mover."—(Right Hon. R. J. Sbddon.)

Pbiday, the 10th Day of August, 1900. Ordered, " That the petitions of the committee of the New Zealand Midland Railway Company debentureholders and of the New Zealand Midland Railway Company (Limited) (by its attorney and general manager, N. H. M. Dalston), respectively, be referred direot to the Public Accounts Committee." —(Right Hon. R. J. Seddon.)

EEPOET.

No. 132. — James H. B. Coates (Eeceiver appointed by the Supreme Court of New Zealand for the Debenture-holders of the New Zealand Midland Eailway Company, Limited). No. 263. —James H. B. Coatbs (as Authorised Agent for the Committee of Debentureholders, London). No. 267.—Norman H. M. Dalston (Attorney and General Manager of the New Zealand Midland Eailway Company, Limited). Petitioners pray not only for equitable treatment, but for just and generous consideration of their claims for relief, on account of the grievances set out in the attached copy of their petitions. I am directed to report as follows : Your Committee has taken evidence and heard counsel on behalf of the petitioners and the Government, but time will not permit it to conclude its investigations this session. Without prejudicing the situation or in any way committing the colony, your Committee deems it advisable that evidence be obtained as to the value as a going concern of those sections of the railway which were completed at the time the Government took possession. This should be done irrespective of any expenditure of moneys in the construction of any portion of the unconstructed portions of the railway. It should be left to the Government to determine as to the best means of taking such evidence during the recess. This could be done either by Eoyal Commission or otherwise. For the purpose of dealing with these petitions the Committee would ask the House to allow the present petitions to be dealt with by the Committee as petitions of next session. That the evidence so taken during the recess by Eoyal Commission or otherwise be printed and circulated amongst members of the Public Accounts Committee prior to the opening of next session. The Committee further reports that evidence, addresses of counsel, and papers be laid on the table. Thursday, 18th October, 1900. John Gbaham, Ac ting-Chairman, i—l. 11.