B.—No. 5.

Lessee shall be entitled to a Grant from the Crown in fee simple of the Land contained in such Lease, on payment of the price thereof as aforesaid : Provided always that if the purchase money and all the rent due be not paid within six calendar months after the expiration of the Lease, the Land therein comprised, together with all improvements thereon, shall be sold by Auction, by order of the Superintendent, after two months' notice given in the " Provincial Government Gazette," and in two of the Newspapers published in Napier ; and the proceeds, after deducting all sums due in respect of the said Land, and all expenses incident to the sale thereof, shall be paid over to the Lessee forfeiting the claim, or to his appointee or representative : Provided that in default of such sale by direction of the Superintendent within twelve calendar months after the expiration of the Lease, the Governor may direct the sale of such Land, upon not less than two months' notice, given in such wise as he may think fit. 9. Every person shall be deemed to have bond fide occupied any Credit Land under Lease as aforesaid, who shall have erected a habitable dwelling-house thereon during the first year, and made improvements thereon, or any part thereof, after the rate of one acre in ten of Open Land, and one acre in twenty of Forest Land, for every year after the first year during such occupation, such improvements to consist of tillage, or clearing of forest, or laying down to grass ; and a residence during the whole term of five years by the Lessee on any such Land shall be deemed and taken to be equivalent to such improvements. 10. Any Lessee of Credit Land who shall at any time during the term of his Lease have completed all the improvements which he is by these Regulations required to make during the whole term of five years, and who shall pay the price thereof, and also all rent accrued due, shall be forthwith entitled to a Grant of the Land included in such Lease. 11. If any Lessee or other Person shall continue in possession of Land which shall have become forfeited under the provisions of these Regulations (unless an Appeal as hereinafter provided be pending) he shall be deemed to be in the unlawful occupation of Waste Lands of the Crown, and shall forfeit and pay for every day during which he shall so continue in possession, the sum of forty (40) shillings, to be recovered before any Justice of the Peace in a summary manner. 12. Every Lessee of Credit Land shall forward to the Commissioner, on the last day of the second year, and on the last day of every subsequent year of the term of his Lease, or within fifteen days after such days respectively, a Return in writing, in a form to be from time to time prescribed by the Superintendent, of the Land improved by him during the preceding year, and the nature of such improvements, which Return shall be certified by two householders. 13. Any Lessee, or his Assign, will be permitted to assign and transfer any Credit Land, subject to the terms and conditions prescribed in the original Lease, and subject also to the approval of the Superintendent, on the recommendation of the Commissioner. 14. If any person, holding under such Lease as aforesaid, shall not, within six months, enter into hon&fide occupation of the Land thereby leased, or, if he shall not pay the yearly rent of Ten per centum per annum on the price paid for such Land at the end of the second and every subsequent , year, or, if he shall cease to bond fide occup} 7, or, if he shall omit for two months after notice to make the lleturn in writing required as aforesaid, the Commissioner shall forthwith, by a notification, to be published in the Provincial Government Gazette, declare that the right and interest of snch Lessee in such Land has become forfeited ; and the Superintendent may let or sell, or otherwise dispose of it under these Regulations in the same manner as if the Land had never been let to such Lessee. 15. If any question shall at any time arise as to whether a forfeiture has been incurred, or sufficient improvements made, as required by these Regulations, it shall be lawful for the Lessee, within one month after such question shall have arisen, to prefer an appeal, in writing, to the Superintendent, ■which appeal shall be referred, at the expense of the party requiring the same, to two (2) Arbitrators and an Umpire, to be appointed in the usual way, whose decision shall be final and conclusive. 16. If any Lessee, or any other person, shall, after the time for appealing to the Superintendent against the decision of the Commissioner shall have elapsed, continue in possession of Land which shall have become forfeited under the provisions of these Regulations, and of which due notice shall have been given him, he shall be deemed to be in the unlawful occupation of Waste Lands of the Crown, and shall forfeit and pay for every day during which he shall so continue in possession the sum of Forty (40s.) shillings, to be recovered before a Justice of the Peace in a summary way.

SCHEDULE of lands keferred to in resolutions to be RESERVED FOR SPECIAL SETTLEMENT. Pohui Block 3,324 Acres. Pukititiri Block .... ... 14,000 „ Mohaka Reserve. (To contain three thousand acres, to be defined by Survey, and laid out on the road to Turanga, in such manner as may secure the inclusion of the most suitable Lands in tha Locality for Settlement) 3,000 „ Total 20,324 „ John Wilkinson, Speaker.

7

PROVINCIAL LOANS.