8.—20.

No. 17. The report to Parliament is a matter for the Audit Office to decide. The change was necessary and in order to facilitate prompt payment. R. J. S. The Audit Office. Please see Eight Hon. the Colonial Treasurer's reply. Jas. B. Heywood. (No. 100.) 12th April, 1902. The Hon. the Colonial Treasurer. The Audit Office will accordingly submit the matter to Parliament. J. K. Wabbueton, C. and A.G. 12th April, 1902.

Pressing, 079/ Oversea/1390. No. 18. (F. 3.) T. 02/915. Sib,— War Office, S.W., 6th March, 1902. I am directed by the Secretary of State for War to acknowledge the receipt of your further letter, dated the 3rd instant, regarding the audit in New Zealand of the claims which are to be preferred against this Department in respect of expenses incurred in connection with the raising of contingents for service in South Africa. In reply, I am to acquaint you that, inasmuch as the claims will be subjected to an audit, in this office, the Secretary of State is prepared to dispense with a detailed audit by the Government Audit Office in the colony, on the understanding, however, that proper vouchers are rendered and that a preliminary and careful examination is given to the accounts in the Defence Office of New Zealand. I am to request that you will inform your Government accordingly, pointing out that each ■claim should be accompanied by a certificate from the Dnder-Secretary for Defence showing that the required examination has been duly carried out and that all sums included in the claim are chargeable against Imperial funds. It is desirable that these accounts should be rendered as early as possible. I am, &c, The Agent-General for New Zealand. Fbank T. Maeziall. The Audit Office. Fob your information. Jas. B. Heywood. 11th April, 1902. Seen.— J. K. Waebubton, C. and A.G.—llth April, 1902. Approximate Cost of Paper. —Preparation, not given ; printing (1,410 copies), £2 7s. 6d.

By Authority: John Mackay, Government Printer, Wellington.—l9o2 Price 3<i]

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