A.—3.

Be it enacted, — 1. From and after the passing of this Ordinance no shell shall be removed from any of the waters of the lagoon, or exported from any of the said islands, unless such shell shall be of a diameter of not less than four and a half inches. Any person convicted of a breach of this section shall, on conviction, be liable to a penalty of not exceeding twenty pounds sterling. 2. Any trader or other person who shall purchase shell of a less diameter than the four and a half inches before mentioned shall, on conviction, be liable to a penalty of not exceeding ten pounds. 3. It shall be the duty of the Eesident Agent at Penrhyn to examine all shell before it is packed in boxes for export, and to facilitate this inspection every trader shall give due notice to the Eesident Agent before packing any shell; and any person neglecting to give the required notice shall be liable to a fine of not exceeding five pounds. 4. The Customs Officer or Eesident Agent at Penrhyn may inspect shell in any shed or warehouse at any time that he may consider it expedient to do so, and may make such local regulations as to his inspection as may be found necessary and shall be approved by the Eesident Commissioner. 5. It shall not be lawful for any person to buy pearl-shell on the Islands of Penrhyn, Manihiki, or Bakahanga unless he shall have been duly licensed as a pearl-shell trader. Any person infringing this section shall be liable to a penalty of ten pounds, in addition to license fee. 6. The license fee shall be five pounds per annum from the first of July in each year, and shall be issued by the Collector of Customs at Penrhyn. 7. All shell shall be cleaned, as far as may be done, in the waters of the lagoon, in order that the small shells and spawn may be returned to the shell-beds. 8. The Customs Officer at Penrhyn may hear and decide all cases under this Ordinance, and may confiscate all shell under the four and a half inches before mentioned, provided that each act of confiscation shall be reported to the Eesident Commissioner for his instructions. 9. Any trader may appeal against a decision of the Customs Officer to the High Court by giving that officer notice of appeal in writing, at the same time paying the fine into his hands. 10. It shall not be lawful for the owners of the lagoon, or any part thereof, to lease the same to any one man to the exclusion of the remaining traders. Any such lease shall be null and void. 11. The Eesident Commissioner may, in the interest of the native owners, close a lagoon, or any part thereof, for a period of not exceeding two years, and any person who shall take shell within the preserved limits during the continuance of the rahui shall be liable to a fine, on conviction, of not exceeding twenty pounds. 12. In default of the payment of any fine imposed under this Ordinance, a Judge of the High Court may order imprisonment, with or without hard labour, for any period not exceeding six months. Passed on Monday, the 10th March, 1901. Makea. Tinomana. N GAM ABU. Pa. W. E. Gudgeon, Eesident Commissioner.

No. 92. Sib,— Premier's Office, Wellington, 22nd March, 1902. I have the honour to acknowledge the receipt of your letter (No. 45) of the 7th December last, reporting the gift of land by the native authorities at Penrhyn on which to build a house for Mr. Nagle, which is very satisfactory, and I have now to inform you that Mr. Nagle has been appointed a Justice of the Peace for the colony, respecting which you will receive a communication from the Minister of Justice. I have, Ac, E. J. Seddon. Lieut.-Colonel Gudgeon, C.M.G., Eesident Commissioner, Barotonga.

No. 64.

No. 93. Sic,— Premier's Office, Wellington, 22nd March, 1902. Beferring to your letters (Nos. 46 and 47) of the 10th and 19th December last, I have now to forward the Ordinances of the Federal Council—No. 1, Extending the Traders' License Act to Penrhyn; No. 2, Protection of Property; and No. 3, Sale of Cocoanuts Eestriction— duly assented to by His Excellency the Governor. I have, &c, E. J. Seddon. Lieut.-Colonel Gudgeon, C.M.G., Eesident Commissioner, Barotonga.

Nos. 65 and 66.

No. 94. Sic,— . Premier's Office, Wellington, 22nd March, 1902. Beferring to my letter of this date, returning the Ordinances of the Federal Council duly assented to, I have the honour to draw your attention to the omission in each of them as to by

No. 93.

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