A.—3.

No. 39. SlR >— . Rarotonga, Cook Islands, 15th August, 1905. With reference to your letter No. 209, of the 4-th instant, I have the honour to inform you that I have formally notified both Mr. Williams and Captain Nagle that they are now the Magistrates of their respective islands, by virtue of section 5 of " The Cook and other Islands Government Act Amendment Act, 1904," and that for the future they will b"e held responsible for the conduct of the various Courts of such islands. I will also instruct Captain Nagle as to the measures he should take during my next visit. I have, &c, W. E. Gudgeon, Resident Commissioner. The Hon. C. H. Mills, Minister administering the Islands, Wellington.

No. 32.

No. 40. S IR > — Rarotonga, Cook Islands, 16th August, 1905. In reply to your letter No. 177, of the 14th ultimo, I have now the honour to enclose a draft Proclamation for your approval, taking Section 10 as residential sites. I have received numerous letters from intending settlers of means, who ask what accommodation there would be for their wives and families in the event of their arrival at Rarotonga, and to this question I have had to reply that not only were there no houses that could be leased, but that I could not even guarantee that sites could be obtained whereon to build. You will therefore recognise that it is absolutely necessary that some land should be taken for this purpose, and I know of nothing more suitable than Section 10 (4 acres). The rent is £14 per annum, which is simply extravagant, but we will continue to pay it unless I can come to some arrangement with Jimmy te Pou. The tenants' interest is so small that I think £10 will buy it out. With reference to Sections 7 and 14a, I do not propose to deal with them at once; but I may manage to negotiate with ithe owners and save any friction, and this I will try to do. Touching the matter of a house for Mr. Blame, I will, with your approval, build on Section 10 about the beginning of the new year, unless I can arrange with the owners of Section 7 for the house he now lives in. If I can buy out the lessees at a reasonable price it would probably be cheaper than building a new house at a cost of £500. I have, <fee, W. E. Gudgeon, Resident Commissioner. The Hon. C. H. Mills, Minister administering the Islands, Wellington.

No. 41. Sir, — . Eastern Pacific, Rarotonga, 16th August, 1905. I have the honour to acknowledge the receipt of your letter No. 176, of the 14th ultimo, enclosing Order in Council directing that the additional regulations 7, 8, and 9, made under section 50 of "The Native Land Claims Adjustment and Laws Amendment Act, 1901," shall have operation in the Cook and other Islands. You will be glad to hear that the Natives of Rarotonga are taking the fullest advantage of these regulations : at least fifty orders have already been made I have, &c, W. E. Gudgeon, Resident Commissioner. The Hon. C. H. Mills, Minister administering the Islands, Wellington.

No. 21.

No. 42. Sir, — Cook and other Islands Administration. Wellington, 16th August, 1905. Referring to previous correspondence on the subject of the Government of the Cook Islands taking over the control of all the schools in the Group and the northern islands, I have to say that this matter has been considered by Cabinet, and it has been decided to defer any action for the present. I have, &c, The Resident Commissioner, Rarotonga. C. H. Mills.

17