CANTERBURY.

Southland Times, Issue 989, 20 July 1868, Page 2

CANTERBURY.

(PEOM OT7B OWN COERESPOKDEITT.) Christchurch, July 10, 1868. -The principal -of discussion during the month has been the stoppage of the railway trains between L/ttelton and Christchurch. It appears that some time since the contractors agreed to open the railway for traffic, although the works were not completed, and when the time had arrived when the railway ought to have been handed over to the government, the contractors presented a long bill of extras amounting to nearly £23,000. The Government required a detailed account of this claim, at the same time pressing the contractors to finish their work according to the specifications. The contractors, Messrs Holmes and Co., demurred, threw impediments in the way, and withdrew their claims, stating that they would amount to a much larger sum, and asking to refer the whole matter to arbitration. The Government declined, and in consequence the contractors intimated that they would close the line until the completion of the contract. This action on their part caused great confusion and annoyance, but on the Provincial Council being called together the whole matter was laid before that body, who discussed the subject at some length, and ended by voting a sum of money for satisfaction of the claims of the contractors, leaving the matter entirely in the hands of the Executive. This was about the best course that could have been adopted, as there is no doubt that a compromise will be effected and costly litigation will thus be avoided. You see that we also possess the luxury of a "railway difficulty," which, it is to be hoped, will not be so costly an affair as yours has proved. There has been a strong muster of the members of the Provincial Reform League and some excellent speeches were delivered on the present state of the colony — its over- taxation and consequent depression. Nearly all the principal men of the province were present. His Honor the Superintendent occupied the chair. A financial statement of the whole of the provinces was read, vhich showed that the departmental expenses and charges largely exceeded the revenue. The leading speeches of the evening were delivered by Messrs Stevens and Reeves, members of the committee appointed to draw up a report on the best mode of curtailing the present taxation. Mr Stevens, it will be remembered, some time since advocated the General G-overnment assuming the control of the police, gaols, and harbors, and retaining the whole of the Customs revenue to defray the, , expenses incurred for these departments. , In his speech he stated that he was in favor of the General Government taking the whole of the Customs revenues and assuming the whole debt of the colony, paying the interest and principal of the same without reference to the provinces — the latter he contended would then have to tax themselves locally for improvements, public works &c. The land fund should also be retained by the provinces, and this plan would enable every province to i

work out its own destiny. We arethoroughly in earnest on the subject of" taxation, and it is more than probable that most of our members in the General Assembly will insist on some plan being . adopted which will lighten the heavy burdeu we, in common with the rest of the colony, are obliged to bear. The Provincial Council sat for a few days only to pass the appropriation Act,, and transact some other slight business. Our new Superintendent, Mr Kolleston is off to Wellington to take his seat in the Assembly. He appears to be very well liked.