G.—lμ.

subdivision of the Opape Reserve, just completed but requiring surveys, various families have turned their attention to farming their small holdings. The schedules to this report will show how this block has been subdivided. Ngaitai. To the north of the Whakatohea, the Ngaitai, of Torere, a smaller but more compact tribe, are large landowners, and hold 64,706 acres, inclusive of approximately 12,000 acres of papatupu land. They have proved their capacity to administer the lands in a businesslike manner. They adopted the system of incorporation as best suited to their circumstances, and used it for the purpose of opening their lands for general settlement. In the first place the Kapuarangi No. 1 West Block was incorporated for the purpose of sale to the Crown. The sale was completed with little trouble, with the minimum of expense to the Crown, and at a price satisfactory to the Natives. The proceeds were carefully allotted by the Committees first towards the discharge of existing encumbrances on this and other tribal lands, and, secondly, amongst the owners according to their relative interests. The area sold to the Crown in this manner was 11,474 acres. There were happily absent from the transaction those incidents which usually mar the purchases of the Crown where treaty with individual owners is necessary. Once it was decided by the people in meeting to sell to the Crown and a Committee was lawfully appointed for the purpose of carrying out their desire, the rest was a matter of bargaining between the Committee and the land-purchase officer. In pursuance of their plan to sell portion of their tribal estate, to lease the greater part, and to reserve a portion, the Ngaitai have incorporated a number of other blocks, Tunapahore South, Takaputahi, Awaawakino, and Waiohoata, chiefly for the purpose of leasing to Europeans. Leases have been executed covering an area of 18,431 acres, and have been approved by the Board. The area under negotiation is 29,240 acres. The area proposed to be reserved for the use and occupation of the tribe (inclusive of the area of papatupu above mentioned) is 16,306 acres. It is proposed to finance the improvement of this reserve on the security of the revenue from the lands leased. They offer for sale an area of 729 acres. If the Ngaitai are regarded as a company or syndicate of landowners they must be complimented on the management of their business, which had as its aim the benefit of the shareholders. They have within three years made available for settlement a very large area of land. There is no better example of the success of the incorporation system in the hands of capable men, representing hapus or tribes that have been accustomed to work harmoniously together, and to sink personal differences for the common good. Whanau-a- Apanui . Their tribal lands adjoin on the north those of the Ngaitai. Indeed, the two tribes have for a generation keenly disputed the intertribal boundary. Successive Courts dealt with the boundary blocks, and a Royal Commission was set up by Parliament to dispose of the disputes. The bulk of the Whanau-a-Apanui lands are still papatupu, estimated at from forty to fifty thousand acres. The lands for which they have titles are :— Acres. Houpoto and subdivisions ... ... ... ... ... 13,754 Kapuarangi No. 1 East No. 2 ... ... ... ... n',474^ Tunapahore North ... ... ... ... ... ... 2,628 Pukemauri No. 2 ... ... ... ... ... ... 3,270 Houpoto and subdivisions have been incorporated and leased to Europeans. In fact, the Whanau-a-Apanui were the first in the Bay of Plenty to make use of incorporation for the purpose of leasing their lands. Houpoto is, on the whole, poor land, and fit only for rough pastoral purposes. Kapuarangi No. 1 East No. 2 has also been incorporated, and is under negotiation for lease to

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