The Lyttelton Times. September 27, 1851.

Lyttelton Times, Volume I, Issue 38, 27 September 1851, Page 5

The Lyttelton Times. September 27, 1851.

We have received private letters from England stating that a negociation is in progress between the New Zealand Company and the Government, for transferring the Company's debt of 258,000/.' from the land fund to the General Colonial Uevenue. This is a matter in which all the settlei-s in New Zealand are equally concerned with ourselves: we therefore lose no time in giving it all the publicity in our power, and in calling the attention of our contemporaries to the subject. To tlie entire accuracy of the intelligence, we pledge ourselves. It is a fact that the Colonial Office in England is now engaged in perpetrating, or, perhaps, is already guilty of having perpetrated, one of the most darinir acts of fraud

and injustice which has ever yet been attempted upon a colonial community.

The story is as follows. We tell it for the information of ovir fellow-settlers here; the older colonists are well acquainted with it.—The New Zealand Company expended 268,000/. in the course of their undertaking. Their plan was to acquire land and to resell it to settlers at such a price that, after the payment of all expenses connected with the colonization of the country, a profit would remain to the shareholders. As a speculation the scheme was a failure. There was no return to the shareholders. It is quite true the Company never had a failtrial. They justly said that they lost their money through the hostility and treachery of the local Government. Parliament took the same view ; for in 1848 it made the Company a grant of public money to the amount of 230.000/., resolving, at the same t'nie, that if at the end of three years the Company could not go on with their undertaking, they should forfeit their charter, and all their assets and liabilities should revert to the Crown. The three years of grace expired last July twelve mouths. The Company had muddled awny most of the

230,000/. and had no means of going on. They therefore resigned their charter. The Crown entered into their inheritance, seizing their assets, and accepting their liabilities. The assets consisted of the unsold waste land in the province of New Minister. Their liabilities, a debt to their shareholders of the 268,000/. in question. This debt was secured upon the future land-sales of the province. The land of the province was in fact mortgaged to that amount. Now with all these arrangements the inhabitants of this colony have had nothing whatever to do : they did not contract the debt: they did not spend the money : they were not consulted in it from first to last. If it were right or necessary that any alteration should be made in the existing arrangements, it should obviously be that the land of the province should be released from the debt. Parliament agreed that the money was lost by the mismanagement of Government, therefore if any one is to pay for the failure of the Company's speculation, clearly it should be those who caused it. In fact, it comes to this—if the people of England will keep up the luxury of a Colonial office to mis-govern distant colonies, they must pay for the fun of doing so. But what is the proposition now made,— perhaps already acted on ? That the debt shall be transferred to the Colonial revenue! That is to say, that every man, woman, and child in the colony shall be taxed to pay it, not only English, but Native. Is not this grossly unjust? Why should we pay thig money ? "Why should the natives be made to pay this money? —the natives pay customs as much as we do, —what have they done that they should be saddled with this debt ?

We feel it our duty at once to denounce this transaction, whether complete or not, as a great public fraud, and to call upon our fellow countrymen in New Zealand to repudiate the whole transaction. To s.iddle the colonj with an enormous national debt, not contracted in the improvement of the colony, but in a great measure squandered in squabbles between the Colonial office and the New Zealand Company, is an attempt which it becomes the New Zealand public to resist. We use the word advisedly when we we say to resist. If there were a Constitutional Government in these Islands, the parliament of New Zealand would not grantone farthing towards the payment of that debt, interest or principal. And if there be no such Constitutional government, then we appeal to the foundation of all Constitutional Governments, —the common sense of right in the mind of an intelligent people. And we ask whether the people of New Zealand would not be justified in refusing to pay one farthing of revenue to be expended in such a manner; —we think they would be justified. We think they ought to refuse; and we think they will refuse.

We are authorised to state that the me-i morials in opposition to this settlement which have been recently sent home from the Legislative Council for presentation to Her Majesty, will be brought before the Meeting of Land-Purchasers nekt Thursday, and a counter-memorial will be proposed for adop^ tion by the Society,

As a boat was making for the " Lady Nugent " on Tuesday, it capsized, not far from the vessel, and a policeman named Fitzgerald was unfortunately drowned. An old whaler, named Hamilton, has also been drowned, having slipped into the River Avon while in a state of intoxication.

The " Duke of Portland" entered the harbour early on Friday morning, with 151 immigrants, alter a speedy voyage- Little of fresh importance was occurring in Engr hind when she left. Her mail is a smuli one, the"' Cashmere" having sailed for Auckland a few days before.