A.—ffa. 4,

22nd April. As I consider it advisable not to continue the correspondence on the subject to which your two letters relate I make no reply to them, but I will forward copies of them for the information of the Secretary of State for War, with such observations as I may consider it necessary to make with reference to their contents. I have, Ac, D. A. Cameron, His Excellency Sir George Grey, K.C.B. Lieut.-General. No. 90. His Excellency the Governor to Lieut.-General Cameron. Sir.— Government House, Auckland, Bth May, 1865. Adverting to your letter of the 3rd of May, regarding the publication of a Memorandum from my Eesponsible Advisers to myself of the 4th of March last, which you had with other papers transmitted to Her Majesty's Government, I have the honor to enclose for your information the copy of a despatch in relation to this subject which I have addressed to Her Majesty's Secretary of State for the Colonial Department, together with the copy of a Ministerial Memorandum, dated the Bth of May instant, which I enclosed in that despatch. I have, Ac., Lieut-General Sir D. A. Cameron, X.C.8., Head Quarters. G. Grey. No. 91. His Excellency the Governor to Lieut.-General Cameron. Sir, — Government House, Auckland, nth May, 1865. In reply to your letter of the 3rd instant, requesting me to inform you if I wish a post to be occupied at the White Cliffs, in the Taranaki district, I beg to state that it is my wish that a post should be held at that important point. I have the honor at the same time to thank you for directing General Waddy to reinforce Colonel Warre with 250 men, but I should wish that the reinforcement to Colonel Warre should be made up to 400 men if possible. I have, Ac, Lieut.-General Sir D. A. Cameron, K.C.B. G. Grey. No. 92. Lieut-General Cameron to His Excellency the Governor. Sir, — Head Quarters, Auckland, 9th May, 1865. I have the honor to inform your Excellency that I have received by this mail a despatch from the Secretary of State for War, communicating to me the wishes of Her Majesty's Government that five regiments should as soon as possible be sent home from this country; and I shall be glad to know your Excellency's views with reference to this reduction as soon as convenient I have also been directed to offer encouragement to the soldiers of those regiments which are to return home to take their discharges with a view to settling in the Colony, and I have been instructed to put myself in communication with your Excellency on this subject. I have, Ac, D. A. Cameron, His Excellency Sir George Grey, K.C.B. Lieut.-General. Enclosure to No. 92. COPY of a Despatch from the Eight Hon. the Secretary of State for War to Lieut.-General Sir D. A. Cameron. Sir,— War Office, 27th February, 1865. I have the honor to acknowledge the receipt of your despatch of the Bth December, No. 102. The confidential despatch which 1 addressed to you by the last mail informed you that Her Majesty's Government contemplated a reduction of the force serving in New Zealand, and the communication lately received from the Governor of that Colony have led the Government to the conclusion that five battalions may at once be sent home, and that the battalions which remain may be reduced to an establishment of 900 instead of 1000 rank and file. The Estimates which have just been presented to Parliament have been framed on the assumption that this reduction of the force now serving under your command will be effected; but at this distance from the Colony I must leave it to your discretion to determine the period at which these measures can be carried into effect with safety, and without endangering the results which it is the policy of Her Majesty's Government, as embodied in the despatches of the Secretary of State for the Colonies, to secure. Subject however to the latitude thus entrusted to you, it is my wish that the five battalions to bo withdrawn at once from New Zealand should return to this country with as little delay as possible, and that no time should be lost after the receipt of this despatch in providing the means of transport for them. I have requested His Eoyal Highness the Field Marshal Commanding in Chief to give instructions to the several commanding officers of the regiments which are to return home to offer encouragement to their men to take their discharge with a view to settling in the Colony, and it is desirable that you should put yourself in communication with the Governor on this subject. You will be pleased to make such a reduction in the staff employed in New Zealand as this diminution of force may render possible ; and if the services of any of the chaplains now employed in that Colony can be dispensed with, you will direct them to return home. I

33

GOVERNOR AND LIEUT.-GENERAL CAMERON.