B.—No. 3.

those returns. It appears to be to enable yon to select a few cases of claims to be paid, and so give a little temporary relief from the pressure of immediate liabilities ; it can afford little from the pressure of the more serious liabilities ; and as much of the period over vvliich the advances fiom the General Government was to extend has passed away, I have to remind you that the position of the Provincial Government in September next will be highly embarrassing, and that it is becoming extremely anxious to learn what steps the General Government proposes to take in order to enable the Provincial Government to m:il<e permanent provision for the settlement of the balance of the unsecured debt. I trust you will put me in possession of the views of your Government by the return of this mail. I have, &c, J. A. R. Menzies, Superintendent. The Hon. the Colonial Secretary, Auckland.

Province of Southland—Outstanding Accounts. GeneralRevenue Account. £ s. d. £ s. d. Contracts 2,550 3 1 Salaries 1,520 6 10 Miscellaneous - 1,393 6 0 Secured to Bank of New Zealand by private individuals 800 0 0 Promissoiy Note 10,000 0 0 Immigration ...... G89 0 0 16,952 15 11 Bluff Harbour and Invercargill Railway Account. Contracts and.Miscellaneous Accounts - - 16.0G4 0 0 Freight 3,157 1 7 London Agent's Drafts 6.G54 4 11 23,875 6 6 Oreli Railway Account. Compensation to Land Owners, &c. - - 4,858 12 2 £45,686 14 7 Treasury, 10th August, 186 t. ■ W. F. Tarlton, Provincial Treasurer. Province of Southland. —Contingent Liabilities and Outstanding Accounts. General Revenue Account. £ s. d. £ s. d. £ s. d. Roads to complete existing Contracts - 5,060 11 8 Loan to Town L'oard ouaran'eed by Provincial Government - 10,000 0 0 Immigration • 1,000 0 0 16,060 11 8 Outstanding Accounts, as per statement attached - - 16,952 15 11 33,013 7 7 Bluff Harbour and Invercargill Railway Account Freight 1,350 7 0 Storage of Material ... 300 0 0 Sinking Fund on Loan of £140,000 2,800 0 0 Balance to complete Existing Contracts 25,000 0 0 29,450 7 0 Outstanding Accounts, as per statement attached- - - 23,875 6 6 53,325 13 6 Oreti Railway Account, Balance to complete Existing Contracts, 43,500 0 0 Outstanding Accounts as per statement attached - - - 4,858 12 2 48,358 12 2 £134,G97 13 3 Treasury, .Oth August, 1864. Provincial Treasurer.

57

PROVINCIAL LOANS.