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No. 21. The Secrbtaby, General Post Office, Wellington, to Messrs. Henderson and Macfarlane, Auckland. General Post Office, Wellington, 15th August, 1902. Gentlemen, — San Francisco Mail-service Contract. I have the honour to refer to your letter of the 23rd ultimo on the above subjecti and to confirm my telegram in reply of the 12th instant. The contract as signed by the Postmaster-General and the Messrs. Spreckels and Bros. Company has been laid before Parliament. I have, &c, Messrs. Henderson and Macfarlane, Auckland. W. Gbay, Secretary.

No. 22. Messrs. Henderson and Macfarlane, Auckland, to the Secretary, General Post Office, Wellington. (Telegram.) Auckland, 15th August, 1902. Unless receive cable from Mr. Spreckels, "Ventura" will not call Fanning Island this trip. Will advise you immediately we hear.

No. 23. Messrs. Henderson and Macfarlane, Auckland, to the Hon. the Postmaster-General, Wellington. Sir,— Auckland, 18th August, 1902. We have the honour to direct your attention to the subjoined copy of a Press cable which appeared in the Auckland Star and other New Zealand papers in issue of the 19th May last, and which dealt with a proposal by Mr. Spreckels for the Oceanic mail-steamers to make Noumea a port of call. We drew Mr. Spreckels's attention to the wording of the cable, from which the inference could be taken that he pointed out to the French colony the advantage of doing so in case of France being at war with England, and are now in receipt of his reply advising that he mentioned nothing that could be construed or twisted into such a suggestion, and requests us to give absolute denial of his ever having entertained such an idea. We have therefore the honour to advise you of the tenor of his remarks, and remain, &0., Henderson and Macfablane. The Hon. the Postmaster-General, Wellington. " News from Noumea, New Caledonia, states that the General Council discussed a proposal by Mr. Spreckels for the San Francisco steamers to call at Noumea for an annual subsidy. Amongst the advantages pointed out were that the French colony would be able to import from America corn and conserves, of which Australia at present had the monopoly; while in case of war with England the line would bring Noumea within twenty-eight days of Paris. The Council has authorised the Administrator to negotiate with Mr. Spreckels on the basis of a subsidy of 50,000 francs a year."

No. 24. The Agent-General to the Hon. the Acting-Premier. (Telegram.) London, 19th August, 1902.. Pacific Cable Board request you to give formal permission Spreckels call Fanning Island.

No. 25. The Secretary, General Post Office, Wellington, to Messrs. Henderson and Macfarlane, Auckland. (Telegram.) Wellington, 20th August, 1902. Did you not advise Mr. Spreekels by cable that steamers may call at Fanning Island? AgentGeneral just cabled requesting that Spreckels be formally advised that Postmaster-General consents to steamers calling at the island. Kindly reply at once.

No. 26. Messrs. Hendhbson and Macfarlanb, Auckland, to the Secretary, General Post Office, Wellington. (Telegram.) Auckland, 20th August, 1902. Cabled Mr. Spreckels on the 13th instant that Postmaster-General accepted amendment to clause 9of contract; also that he agreed to steamers calling at Fanning Island.

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