THE GOVERNOR AND MINISTERS.

15

A.—No. 1.

ment of that debt, and interest thereon. They have never contested their responsibility to pay the liabilities they have undertaken, but tender to Great Britain the securities of the Government in payment of the advances she makes to them, to enable them to aid in this common struggle. European nations aid even their allies in a war of common interest, by guaranteeing their loans or finding subsidies. It is believed that Great Britain will not evince less sympathy for her own Colony and race, by depreciating her securities in a moment of such difficulty. Her officers however now refuse to receive them without waiting to ascertain, by a reply to the letter of the 22nd of March, whether or not the Home authorities will receive these securities in liquidation of their claims, and threaten to involve the Colony in great calamities. How, at the moment that it is proposed to reduce the force of regular troops in the Colony, can this be done, if at that instant all the means relied on for the rationing and. payment of the local forces are unexpectedly cut off? Is it possible to have fixed on a more unwise and inopportune moment for such a proceeding ? The Governor can only trust that a further consideration may induce the General to come to a different conclusion, and to continue the arrangement now in operation until Her Majesty's Government has been communicated with. 11th July, 1865. G. Geet. Enclosure to No. 20. EXTRACT of Letter from Sir D. A. Cameeojt to His Excellency the Goyeenob. My deab Sic Geoege,— Camp on the Waingongoro, 3rd April, 1865. I have answered your letter about the advances from the Commissariat chest, and have given the necessary orders to Mr. Jones on the subject. I have also had instructions sent to Mr. Strickland, who is now at Wanganui, to advance whatever may be necessary at once. I have, &c, His Excellency Sir G. Grey, K.C.B. D. A. Camebon, Lieut.-General

No. 21. MEMOKANDUM by Ministers. Ministers being anxious to adjust the accounts between the Imperial and Colonial G-overnments referred the subject for the consideration of the Auditor of Public Accounts together with the various documents forwarded from time to time by the Imperial authorities and the Commissariat Department. There appears to be a discrepancy between the returns furnished by the Imperial Treasury and those by the officer in charge of the Commissariat at Auckland, and it is found to be impossible for the Auditor to arrive at any conclusion without the data on which the latter are formed. These discrepancies were noted by Deputy Commissary General Jones in his letter to the Private Secretary dated 2nd September, 1862. It is therefore recommended with a view to a speedy adjustment of the account, and as necessary on financial grounds, that an application be made to the military authorities for a complete statement of claims by the Imperial Government against the Colony as received by the Commissariat Department. Bth July, 1865. Feed. A. "Weld.

No. 22. MEMORANDUM by the Goveknob. Rumours having reached the Governor from sources which appear entitled to consideration, —that the purchase of the Waitotara Block was a discreditable one, which rendered it no matter of surprise that the natives there have opposed our road-making, and that the Home Government ought to be made acquainted with the true history of the business, —the Governor would suggest that an enquiry should be instituted into this transaction, and a full report made upon it, for the information of the Home Government. 4th March, 1865. G. Geet.

No. 23. MEMOKANDTJM by Ministees. Ministers have taken into consideration the Governor's Memorandum of March 4, on the subject of the Waitotara purchase. They have already expressed their perfect readiness and anxiety to institute an inquiry into this question, although they fail to apprehend that the validity of that purchase has any bearing upon the present attitude of tribes which are now opposing by arms the progress of Her Majesty's troops, and which have for years long prior to the conclusion of that sale been committing and instigating outrages upon both European and Native subjects of Her Majesty the Queen. They are prepared to recommend that Sir William Martin, late Chief Justice of New Zealand, should be requested to undertake the duties of Commissioner, should such an appointment meet with the full concurrence of His Excellency the Governor. Ministers, however, before instituting this inquiry, respectfully request the Governor to specify the sources appearing to His Excellency " entitled to consideration" whence the rumours " that the purchase of the Waitotara Block was a discreditable one " have arisen. His Excellency will observe that, in reply to his Memorandum of the 4th March referring to accu-