D.—No. 1b

No. 4. MEMOEANDTJM on the Secretary of State's Circular Despatch of 20th March, 1864, enclosing Accounts against New Zealand for Contribution to Main Line of Steam Service between Great Britain and Australia. 1. The balance due by the Colony for this service to December, 1863, as shown by the accompanying Memorandum (24th June, 1863) on the Despatch enclosing the amounts, was £32,075 Os. Id., from which there is to be deducted a remittance of £6000 made in February 1864, leaving a balance of £26075 Os. Id. 2. It was arranged, I believe, that Mr. Wood, while in England, was to settle this, with other outstanding accounts against the New Zealand Government. Assuming, therefore, that this will be done to 31st December, 1863, the account will stand thus : — Proportion of expense chargeable to New Zealand, to 31st December, 1864 - -■ - - - - - £16,771 12 0 Deduct balance of vote of General Assembly by Estimates for 1863-64, to be remitted £6,000 0 0 Showing a balance to be provided for of ... £10,771 12 0 3. The remark which I made on the account received last year as to the insufficiency of the vote taken from the General Assembly, equally applies to this account: for instance, the sum charged for the twelve months ending 31st December, 1804, is £16,771 12s. Od., whereas the vote of the General Assembly for the twelve months ending 30th June, 1864, is £12,000 ; and the proportion chargeable to New Zealand will increase in consequence of its rapidly increasing population. G. Eliott Eliott, Secretary. General Post Office, Auckland, 9th June, 1864. No. 5. Government House, Auckland, 23rd July, 1864. Sir, — In reply to your Circular Despatch, of the 20th March last, relative to the amount payable by the Colony of New Zealand, on account of the Mail Packet Service, I have the honor to state that my Responsible Advisers inform me that Mr. E. Wood was authorised to settle all accounts with the Imperial Government, up to the 31st December, 1863, and the Government of New Zealand hope that this will have been done prior to the receipt of this Despatch, and that the contribution towards the Suez mail subsidy for the half-year ending 30th June, 1864, shall be remitted by the August mail, unless this Government, in the meantime, hear that Sir. Wood (as is possible) may have paid it in London. I have, &c, G. Grey. The Eight Hon. Edward Cardwell, M.P., &c„ &c, <fee. No. 6. General Post Office, Auckland, 4th August, 1864. Sir — I have tie honor, in the absence of His Excellency the Governor from Auckland, to enclose a Draft on the Bank of New Zealand, London, for Eight thousand three hundred pounds, in favor of Her Majesty's Postmaster-General, on account of the contribution due from New Zealand to the main line of Steam Service between Great Britain and Australia, and also of the commuted payment of Three hundred pounds per annum for letters between Australia and New Zealand. I have, &c, Thomas B. Gillies, Postmaster-General. The Right Honorable H.M. Principal Secretary of State for the Colonies, &c, Ac, <fee

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NEW ZEALAND MAIL SERVICE.