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The unavoidable result was so as to reduce the average value of the remaining lands, by reason of the most available land in the various Settlements having been placed at the disposal of the compensation grantees. Some attempt was made to maintain a fair system of selection, but the obvious result was, where the quantity of available land was so limited, to depreciate the value of the remainder. Can you state what will be the probable final expense in surveys for the purpose of completing the contracts of the New Zealand Company? I made a calculation that the probable whole expense would not be much less than 20.000 L lam speaking of the expense subsequent to the surrender of the Company's charier and their giving up possession of the lands ; in the Province of Wellington an expensive surveying staff has been kept up for the last three years, and almost wholly occupied with surveys connected with the completion of the Company's contract. Has that expense been increased by the acts or omissions of the Company or its officers or any of them ? I should say very largely increased by the omission of the Company to execute the surveys which it ought to have completed before it surrendered its charter. The Company's officers executed all the surveys for which the Company provided funds before that surrender ; but that was much the smaller portion of the whole. Will you state what, in youropinion, was in England the supposed selling price of land in New Zealand when the rale of ss. per acre was fixed upon by the British Government for the purchase of the whole land of the Company, to be charged as a debt with interest? It varied, in different parts of the Colony, from 20s. to -40s. per acre. The Government price was 205., and the Company had different prices in the different Settlements, selling price now varies from a minimum price of ss. per acre under the Government regulation now in force, to a maximum of 31, per acre, under the Reglations of the Canterbury Association. I allude, of course, to rural land only, and not to town and suburban land, the maximum of which I speak is in force within a block of 2,500,000 acres at Canterbury, being the original block of the Association ; but the lower price of Ss. and \ 0s per acre prevails over by far the greater part of the Crown Lands of the country, if the selling prices are maintained, and the proportion of the gross proceeds of sale reserved for the Company be also maintained, the burden of the debt will fall unequally on the different Provinces. Do you know any other circumstances tending to increase or diminish the Company's claim ? I know of none whatever to increase it; but I have always thought it altogether monstrous that any portion of the Company's claim should be maintained in respect of that land which it had given away in compensation, subsequent to the passing of the Act by which (he claim was established. I also consider that the whole expense of completing the contracts of the Company throughout its Seitlements, being in fact the principal object for which Her Majesty's Government made the arrangements of which that Act formed a part, and which provided for very large advances of money to the Company from the British Treasury, ought to be in equity and fairness deducted from the Company's claim, for I am quite sure, having myself an intimate knowledge of the circumstances as they appear in official records, that if the Parliament and Government had known that the Company would both fail in completing its contracts with the settlers, for doing which they received the money, and would grant away, without consideration, a large proportion of the land in respect of which the charge was created, the Colony would never have been placed in the position which the Acts of Parliament, creating the charge, have placed it at the present time. Another ground ot'diminution in the claims arises from the fact, that while the Colony has now to bear the whole future expense of extinguishing the Native title, the Company still receive a fourth of the gross proceeds of sale of that land, without making any contribution towards the cost of acquisition. Thus, if a district cost 10,000?., to buy from the natives, and sold for 40,000 i., the Colony would have to pay 20,000 i., besides the whole cost of administration and survey, before receiving any portion for its own use. On the two first items of compensation land and expense of surveys there should be a reduction of not less than 60,000/. of the debt. As to the latter question of contributing towards the extinction of the Native title, I can form no calculation of what would be a fair reduction, but it certainly would be a large one ; l'or I think it obviously fair that wherever any money was paid to the Company from the proceeds of sales of land purchased from the Natives since 1830, the Company should also bear part of the cost of acquiring that land. I think the imposition of the Company's debt without such a contribution on land acquired from (he Natives since the time when the charge came into operation most unjust.