G—No. 40.

CLAIMS OF THE PROVINCE OF WELLINGTON AGAINST THE COLONY.

No. 1. Mr. W. W. Tayloe to the Hon. the Colonial Secbetaby. Sib, — Superintendent's Office, Wellington, 26th September, 1870. I have the honor to bring under your notice the present financial position of the Province of Wellington, consequent, amongst other reasons, on the failure of its land revenue, caused by the continued interruptions from the Natives to the survey and occupation of the block. On the 30th of this month upwards of £4,000, being four months' arrears of salaries to the ProTincial Staff —including police, surveyors, gaol wardens, hospital attendants, &c.—will be due and ■unpaid, as also a charge of £3,900 incurred for contingent expenditure for Departments which it "was absolutely indispensable to maintain, in addition to which amounts, the Province is liable to the Bank of New Zealand for the payment of £10,800, on the 18th JNovember next, on account of overdraft and interest, making a total liability for which immediate provision should be made of about £18,700, and still leaving many works of almost absolute necessity unprovided for. It is not my intention to enter upon a discussion of the question of injury sustained by the Proyince, by the delay in obtaining peaceable possession of its Manawatu lands, beyond stating that, although legally entitled to an estate of nearly half a million of acres, a very large portion of which is some of the finest land in the Northern Island, the amount raised from sales within that block, up to the present time, has not much more than covered the loss sustained to the survey work from Native interruptions ; and that the Province has been entirely prevented from carrying out those large works of road-making, immigration, and settlement upon which its progress and prosperity so much depend. Under these circumstances, and pending the settlement of the disputes raised by Native claimants, I have felt it my duty to request that you would direct an advance of not less than £20,000 to be made to the Provincial Government, to enable it to liquidate its outstanding liabilities, and meet the more pressing demands upon it. Such advance to be repaid to the General Government out of the first proceeds of land sales within the Manawatu Block, after deducting any charges to which such sales maybe legally liable. I have, &c, W. Waeing Tayloe, The Hon. the Colonial Secretary, Wellington. Deputy Superintendent.

No. 2. The Hon. W. Gisboene to Mr. W. W. Tayloe. (No. 211.) Colonial Secretary's Office, Sic,— Wellington, 30th September, 1870. I have the honor to acknowledge the receipt of your Honor's letter of the 26th instant, representing the present financial embarrassment of the Province of Wellington, and requesting, on the grounds stated by you, an advance of £20,000, repayable out of future land sales in the Manawatu Block, to enable the Provincial Government to liquidate its outstanding liabilities, and to meet the more pressing demands upon it. The Government will take the subject of your Honor's letter into their careful consideration, and I will, as soon as practicable, communicate to you their decision thereon. I have, &c, His Honor the Deputy Superintendent, Wellington. W. Gisboene.

No. 3. The Hon. W. Gisboene to Mr. W. W. Tayloe. (No. 238.) Colonial Secretary's Office, Sic,— Wellington, 19th October, 1870. Adverting to my letter, No. 211, of the 30th ultimo, stating that your letter of the 26th of that month, applying for pecuniary aid in the present financial position of the Province of Wellington, was under the consideration of the General Government, I have the honor to intimate to you the conclusion at which they have arrived on that subject. I must, in the first place, express the regret of the Government that your letter was not written before the recent prorogation, so that an opportunity might have been given to the General Assembly to take into consideration and pass such legislative measures as it might deem necessary to remedy the serious state of affairs disclosed in your letter. Without the express authority of the Legislature, the Executive is almost powerless in this matter. It appears from your letter that immediate provision is required to meet the liabilities of about £18,700; and that these liabilities consist of £4,000 for arrears of salaries of the Provincial Staff, including police, surveyors, gaol wardens, hospital attendants', &c.; of £3,900 for contingent departmental expenditure ; and of £10,800, due to the Bank of New Zealand, on the 18th of November next, on account of overdraft and interest.