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length I was able to supply the settlers week about with Mr. Robinson, getting a guarantee from Mr. Macfarlane to be paid by him out of the settlers' earnings, on the condition that each settler received only a small quantity each week, which was most satisfactory to the settlers and myself. It appears there is something not right, for Mr. Macfarlane has informed me that he will not pay me for the meat I may supply to the settlers, the reason given in his communication being that I refuse to serve the Okuru settlers, such reason being unfounded. I submit that if I had refused that was not a sufficient reason to coerce the settlers to get their meat in one place while they thought they were better served in another. By the way, I have not got payment for meat supplied at Okuru in September, although charged against the settlers in the Government books. Also, I sold a cow to a settler here in October, and was informed by Mr. Macfarlane that I would receive the balance of price when some account became payable. He now informs me that he has placed the said money against that settler's provision account. I have asked Mr. Macfarlane to forward you a copy of correspondence on this matter, and I would respectfully ask you to deal in this matter as you think fit. I have, &c, John Murdoch, E. Patten, Esq., the Officer in charge of the settlement. A Settler.

Sic, — Arawata, 15th December, 1877.* I desire to bring under your notice how some matters are carried on in the Jackson's Bay Special Settlement. I have to complain of tho manner in which we are allotted the work promised by the Government. On the 19th February I tendered for the formation of five chains of street in the town of Arawata. My tender being accepted, I offered to sign tho contract at once. I was told that duplicates had to be made out for the offices here and at Hokitika, and that I might sign the contract when I came to start work. I got timber sawn for barrows and planks on this contract. I had just got enough when I saw Mr. Macfarlane on Friday, 23rd, at the settlement. He said I might have the use of some Government barrows and planks. I informed him who was going to work with me, giving him the names of five settlers besides myself. It was agreed that we should start work on Monday, 27th, in the meantime getting flax to tie fascines. Next day, 24th February, I received a letter from Mr. Macfarlane, a copy of which I enclose.t I took my tools and a bundle of flax to the work, and then saw Mr. Macfarlane at his office. He informed me that he had moved a peg, the commencing point, some twenty-five feet, and that I would have to build a culvert over a side-drain. On inquiry he said lie would allow nothing for the additional labour. I declined the offer, but informed him that I was prepared to carry out the contract according to the original specification, or the now proposed alteration for an additional £2. He informed me in these words : I shall allow you nothing on account of the alteration, and I will not allow you to put a pick in it until you sign the contract. I pointed out to him that there was no culvert in the original specification, and to a clause in the articles of contract which provided that all additions or .alterations were to be paid for such sums as may bo agreed upon, which he said did not apply, as the contract was not signed. I said I should hold myself in readiness to carry out the work for which I tendered if called upon to do so. He said if I would not carry it out as at present pegged, without an extra charge for the culvert, he would take care I would have nothing to do with it. I also tendered for some road formation on the Ist December; the tenders were declined as being too high. The work was re-advertised with the alteration that barrows and planks or truck and rails would be supplied to contractor by the Government. In the meantime the amounts of the previous tenders were divulged from the office, and I was informed of the fact, and complained to Mr. Macfarlane before re-tendering ; but I got no satisfaction. The consequence being, that the English-speaking portion of the tenderers, four in number, were thus: B. Doherty, £5 ; John Murdoch, £5; Wm. Jackson, £4 18s.; and A. Macarthur, £4 17s. per chain. I have, &c, E. Patten, Esq. John Muedoch.

Sic, — Hokitika, 15th January, 1878. I beg to acknowledge the receipt of your letter, dated the 15th of December, 1877, re supplying meat to the settlers at Jackson's Bay, and complaining of the action of Mr. Macfarlane, the Eesident Agent, in tho matter, in not protecting you in recovering payment thereof by deducting from the settlers' earnings the amount due to you. In reply, I have to inform you that, as the Government stores have been disposed of to Mr. Marks, who will in future supply all goods to the settlement, such a practice cannot now be carried out. Tou will, therefore, have to use your own discretion in the matter of supplying the settlers with any meat they may require. I have, &c, Mr. J. Murdoch, Jackson's Bay. Edwin Patten.

Sir, — Government Resident Agent's Office, 28th February, 1878. I am under the disagreeable necessity of calling upon you to withdraw certain malicious falsehoods uttered by you about me in my public capacity, to tho Hon. Mr. Macandrew, Minister for Lauds, and the Hon. Captain Fraser, in connection with what you are pleased to call the " truck system," and the issuing of orders to settlers. You stated to the Hon. Mr. Macandrew, the representative of the Government, that I had established the worst kind of what is known as the truck system ; and, in the second place, that I had given orders to the settlers which compelled them to buy their goods from the store kept by Mr. John Marks. I, therefore, demand that you at once withdraw the above statement in as public a manner as you have attempted to malign my character; otherwise the matter will be placed in the hands of my solicitor. I have, &c, D. Macfarlane, Mr. J. Murdoch, Arawata Road. Government Resident Agent. * This letter has been noted as not having been seen by Mr. Patten. f Vide page 81,