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3. With regard to the manner of the institution of appeals, it is considered that the best course would be for the authorities conducting the proceedings in an oversea Court on behalf of the Crown to be authorized to give notice of appeal under the Prize Court Rules in all cases where they may be of opinion that an appeal from a decision unfavourable to the Crown should be brought. It would still be possible to withdraw the appeal if on further consideration it was considered here not to be advisable to proceed with it, while in the few cases in which His Majesty's Government might desire to appeal although no notice of appeal had been given in the oversea Court, resort could still be had to the procedure by way of application to the Judicial Committee for special leave. 4. It is suggested also that in any case of appeal the local authorities should prepare the draft case for the Privy Council required under the Privy Council Rules. The case should be sent in draft, for the reason that it must be settled and signed by one of the counsel to appear on the argument of the appeal. 5. It would be convenient if in any case of appeal the local authorities would communicate direct with the Procurator-General's Department, forwarding all the papers required in connection with the case. The record should be settled and printed locally. 6. I should be glad to learn wbether your Ministers see any objection to this procedure. I have, &c, L. HARCOURT. Governor His Excellency the Right Hon. the Earl of Liverpool, G.C.M.G., M.V.0., &c.

No. 81. New Zealand, No. 12. My Lord, — Downing Street, Bth January, 1915. With reference to my despatch, No. 596, of the 24th ultimo, I have the honour to request Your Excellency to inform your Ministers that as the best market for ships is, generally speaking, to be found in this country, the Lords Commissioners of the Admiralty are anxious that no sale or chartering of prize ships of over 1,000 tons should take place in New Zealand without prior reference to the Home Government. I have, &c, L. HARCOURT. Governor His Excellency the Right Hon. the Earl of Liverpool, G.C.M.G., M.V.0., &c.

No. 82. New Zealand, No. 32. My Lord, — Downing Street, 22nd January, 1915. I have the honour to transmit to Your Excellency, for the information of your Ministers, copies of new Foreign Office Regulations revising the system and form of passports granted to British subjects for travelling to foreign countries. I have, &c, L. harcourt. Governor His Excellency the Right Hon. the Earl of Liverpool, G.C.M.G., M.V.0., &c.

Enclosure. Passports. The Secretary of State for Foreign Affairs gives notice that it has been found necessary, in view of the present European war, to revise the and form of passports granted to British subjects for travelling to foreign countries.