I—G. 1.

I

TNTEKJM REPORT.

Judge's Chambers, Wellington, 20th March, 1907. Sir, — We have the honour to enclose an interim report of the Native Land Commission for presentation to His Excellency the Governor. We have, &c, Robert Stout. A. T. Ngata. The Hon. the Acting-Premier, Wellington.

Your Excellency,— Wellington, 19th March, 1907. We have the honour to state that we have undertaken the burden of the Commission you were pleased to issue to us on the 21st day of January, 1907, in regard to Native lands. We have investigated several blocks of land, and we propose to make an interim report regarding some of them. We make this interim report for many reasons. First, regarding some of the blocks, which may be called the Waimarama Estate, there are lessees in possession and negotiations have proceeded for a new lease, and it is of importance for the intending lessee to know what our conclusions are. Litigation is also in progress, and it is in the interests of the Natives that our views should be expressed. Second, regarding some of the other blocks, at Mohaka, Wairoa, Nuhaka, &c, the Maori occupants of the blocks are exceedingly desirous to know how they may proceed with their farming operations. We have no power, as Your Excellency is aware, to do more than recommend what, in our opinion, should be done with these and other blocks. We would also most respectfully beg to state that we intend to refer in our general report to the history of some of these blocks and of the transactions concerning them. We think that when that history is stated it will appear plain that the mode of dealing with Native lands in the past has not been beneficial to the Natives, nor to the Europeans desiring to obtain land for settlement, nor to the State. The Waimarama Estate. This estate includes three separate blocks, known as Waimarama, Waipuka, and Okaihau, of a total area of about 35,000 acres. About 33,000 acres of these blocks were leased by the Native owners to Messrs. Meinertzhagen and Moore on the 18th May, 1886, for twenty-one years. The rental was to be for the three blocks £1,500 per annum from the 19th May, 1886, to the Ist September, 1889, and thereafter £1,800 per annum till the end of the lease on the 19th May, 1907. On the 10th February, 1887, a sublease was granted by the lessees to Mrs. Arini Donnelly and her husband, Mr. George Prior Donnelly, of about—we are giving round numbers —15,000 acres, the rent of which was to be £1,000 a year from the Ist September, 1889. Mrs. Donnelly was a considerable owner of land in the Waimarama Estate, and it is admitted that she, or she and her husband, received £10,000 for their aid in the obtaining by Messrs. Meinertzhagen and Moore of the lease from the Native owners. This money was not, it has been said by her counsel, received as trust money, but was, it is contended, a payment for the services rendered by the Donnellys in obtaining the lease. It seems to have been also part of the bargain that the sublease mentioned was to be granted. Ten thousand pounds in cash meant that Messrs. Meinertzhagen and Moore would pay for the lease of the portion they retained (about 18,000 acres —we again quote round numbers) an additional annual rent of £779 if the calculation is made on a 5-per-cent. basis, and £850 if made on a