SINKING FUND OF THE GUARANTEED LOAN.

9

B—No. 2

No 5. copy of a DESPATCH from his grace the duke of Newcastle to governor gore BROWNE, C.B. Downing Street, 20th January, 1861. Sir, — With reference to Secretary Sir George Lewis's Despatch No. 51, of the 18th of August last, I have the honor to transmit to you, for your information and guidance, the copy of a letter from the Treasury, enclosing a correspondence between that Department and the Union Bank of Australia on the subject of the issue of further Debentures for Ten Thousand Pounds on account of the Guaranteed Loan to New Zealand. I have, &c, Newcastle. Governor Gore Browne, C.8., &c, &c, &c.

New Zealaktd. No t 5. £10,000.

Enclosure in No. 5. ME. HAMILTON TO SIR F. EOGEES. Treasury Chambers, 10th January, 1861. Sir,— With reference to the letter of this Board of 24th July last, relative to the issue of Debentures on account of the Guaranteed Loan to New Zealand, I am directed by the Lords Commissioners of Her Majesty's Treasury to transmit to you copy of a letter from the Union Bank of Australia, dated ] 5th ultimo, of the reply of this Board thereto of 27th ultimo, and of the further letter from the Union Bank dated 31st ultimo, together with copy of the reply which their Lordships have directed to be given on the 10th instant, relative to the issue of further Debentures for £10,000 on account of the said Loan, and I am to request that you will move the Duke of Newcastle to communicate the same to the Governor of New Zealand for his information, and in order that the necessary steps may be taken for remitting the Interest and Sinking Fund of" this further portion of the Guaranteed Loan. Their Lordships are of opinion that, although no interest will be payable on the Debentures for £10,000 now delivered to the Union Bank for the period from 1st October, 1859 to 1st October, 1860, yet the amount must be considered as having been borrowed on the 1st October, 1859, and the remittances for the Sinking Fund should be reckoned from that date. I am, &c, George A. Hamilton. Sir F. Rogers, Bart., &c, &c, &c.

Sub-Enclosure 1 to Enclosure in No. 5. MR. SAUNDERS TO THE SECRETARY OF THE TREASURY. Union Bank of Australia, 33, Old Broad Street, London, E.C, 15th December, 1860. Sir,— In conformity with the arrangement of the Lords Commissioners of Her Majesty's Treasury, I am now desired by the Directors of this Bank to hand you a receipt of the Colonial Treasurer of New Zealand for a payment to him by the Bank's Manager at Auckland of £10,000 on 18th September, 1860, on account of the Guaranteed Loan to the above Colony under the Act 20 and 21 Victoria;, cap. 51. I have, &c, H. W. D. Satjnders, Secretary. To the Secretary, H. M. Treasury, Whitehall, S.W.