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Mr. Fi/ORENCE McCahtht examined. 136. The Chairman.'] "What is your name, Mr. McCarthy? —Florence McCarthy. 137. Are you connected with the United Press Association ? —I am not. 138. "Were you ever connected with it ? —Never. 139. You represented the Press Agency?—Tes. 140. Have you any special means of knowing how the Press Association is working, or the nature of the changes necessary?—l know generally; I have no special means of knowing beyond my former knowledge as telegraph agent. 141. Would you give us your opinion ?—You had better ask me specifically. It is too great a latitude to ask me to analyze the working of the Press Association. 142. You have no means of knowing, you say, how the Association is woi'king?—l am not interested in the Press Association in any way, and the thing does not trouble me. 143. As one of the public you are interested in anything to be done in connection with an Association of this sort, and, having had sufficient knowledge of the Press Agency, have jrou any objection to state if the system is altogether working beneticially ? —I do not think it is working detrimentally, but I do not know if it is satisfactory. I think there is rather a falling-off in the telegraph service lately. 144. Do you think it would work better with the two agencies ?—Yes, because there was keen competition. The Press Association had to flog their men to keep up with the Agency, and the Agency had to flog their men to keep up with the Press Association, and there was very keen competition. But now the service is sluggish, and has fallen off in excellence. 145. Do you consider it practical^ a monopoly?—lt is a monopoly, not in name only, but in actual fact, because it is perfectly impossible to operate against it. The hold they have is too great, unless another company started, and you granted it a special privilege as was granted to the Association. 146. There is nothing to prevent that in the agreement ?—I do not know, lam sure. 147. Have you any remarks to make as to any changes you would suggest in any arrangement made between the Government and any body or persons with regard to the special wire ? —No. I happened to glance over the correspondence between Mr. Horton and the Government, and I think there is only one improvement which can be effected—that is, to give them their telegrams for nothing, and place the whole department at their service. 148. What is your opinion with regard to the best arrangement for giving facilities to the public Press. The order of reference to us is to inquire and report as to what further facilities can be given by the Government to the Press for the use of the telegraph. Now you are an expert in that matter from your former connection with the Press and Press A gency, and I should like you, if you can, to make any statement on that point, and indicate the general nature of the facilities to be given ? —The opinion that I have formed is that the arrangements made for supplying the public with information through tha Press are now of the most liberal character. I cannot conceive of your doing anything more liberal without keeping the office open all night, or placing the whole department at the service of this Association. They do not pay more than one-third of the ordinary rates on the special wire. Ido not know how much Government could do for the evening papers, but the special-wire people have the whip-hand of both them and the Government, as they get their telegrams at about one-third the price paid by the ordinary rates. By referring to Dr. Lemon's report, when this negotiation was entered into, it will be seen the cost was estimated at £4,008, and they get it for £2,000 149. Do you think the Government would make more for the use of the wire if there was no such, arrangement? —A great deal more, and it would not cost the newspapers practically any more, because they would not send so much, but would use more intelligence and discrimination in their messages. There would be better messages, and the Government would save in the wear and tear of material and expense of operators. Of course the Government have now to keep a staff on from 8 o'clock in the evening till 1 o'clock in the morning whether they work or not. 150. Outside the special wire, you see no way in which special facilities can be given?—No; unless the Government could keep open certain stations a little later than at present. Ido not know of any other facilities that can be desired.';? At the small stations, where there is very little traffic, it would be a great convenience if they could be kept open, but it would be a great expense to the Government. 151. Mr. Murray.~\ You estimate, then, that this Press Association enjoys an advantage at a cost to the country of £2,000 more than what it pays? —I do indeed. 152. Do you consider that the terms upon which, this Association is formed would be likely to prevent the establishment of an independent Press in the colony in the event of that Association assuming a political aspect ? —lt could not assume that, because it would bo smashed up at once. I think it is perfectly impossible for any association to become a political power. Our Press Agency was accused of it, but of course it was a lie. There were plenty of lies flying about then. No Press Association could do it, because it would be condemned daily. 153. Do you think the Press Association is a monopoly?— Yes; no doubt it is a monopoly, and it is in the hands of three or four people. It will grow daily, and will bind the whole Press of the colony in bonds of iron. If the proposals of Mr Hortou are acceded to this year, more will probably be asked for next year, and there will be nothing more to grant if they get all they want. 154. You do not think the Press Association is in danger of becoming a powerful political organization to get unfair privileges conceded to the Press ? —Yes ; but as regards coloured telegrams it can only-do so by suppression, not by the dissemination of falsehoods. 155. That this Press Association will begin to gxercise for its own advantage a political influence on the Legislature in order to get favourable terms for itself? —1 think it is doing so already, and I look upon the last proposal as an indication of what is corning. 156. Mr. Fulton.'] Are you aware of any objections on the part of the Press, outside of this Association, to the privileges which are accorded to that Association ?—No; of course it is to the