(undated copy.) Sir, I enclose copies of a correspondence which has lately taken place relative to the affairs of the New Zealand Company, which will put you in possession of an arrangement which Her Majesty's Government have thought it advisable to enter into with the association. I also transmit a Bill which will be proposed by Parliament for the more effectually carrying this arrangement into execution, - referring to a Bill that had passed through the Lord's Committee, and was to have been read a third time on the 22nd. July. You will continue to retain in your own hands, the exclusive management of all negotiations with the natives, for the sale of their lands; but when any transactions of this sort are concluded in the Southern Province, the New Zealand Company will provide the means of payment from funds placed at their disposal; and have the disposal of lands co acquired. I have only to add that these arrangements are not to interfere with the operation of any laws which, in accordance with the intention you have expressed you have thought it advisable that the local legislature should pass for the purpose of enabling the natives, under certain restrictions, to sell their own lands.