H.—B

6

were landed, I presume he did not deem it necessary to exercise this extra caution. My own opinion is that it should have been done. Inspector Hunt's conduct throughout the whole affair I consider highly reprehensible. He coolly admits —in both evidence at inquiry and again in Court (Q. v. Archer) —that when he first saw the sheep he knew they were infected; yet he allows them to be travelled to public saleyards, mixed with any number of clean sheep, with the feeble excuse that he intended to take note of purchasers and watch them: this to be done when scabby sheep had been thoroughly distributed through district: and takinginto consideration also the fact that he allowed the sheep to come three or four miles into Happy Valley, and through other flocks, as well as camping on a sheepowner's place, before he saw them : then he is only with them, walking round them on the road, for about twenty minutes. His style of inspection, or idea of performing his duty, will not bear close criticism. The last case I inquired into at Nelson, some six months or so ago, which Inspector Orbell brought under my notice, did not redound to Inspector Hunt's credit, although subsequent events, fortunately for him, gave such colour to his action at that time as precluded his being dealt with in the manner his procedure on the occasion, in my opinion, deserved. In my opinion he is not fitted for the position he fills, and his services should be dispensed with. Inspector Price deserves every credit for the careful manner he has discharged his duties, as well as his expertness in so quickly detecting and promptly dealing with this case. At the same time Ido not consider him totally free from blame. Being in charge of the district he should have given orders that no sheep should be allowed within the boundaries of where sheep were running in his district until they had been thoroughly inspected. On this point I have given instructions, to be carried out in future, by which no sheep.shall come nearer than four miles of the settled districts without inspection. After leaving Nelson I returned to Havelock, inspecting several of the flocks through which Archer passed, in one of which a sheep, evidently again one of Harvey's, and with Archer's brand on, was found. This sheep was beginning to break badly. From Havelock I proceeded to the Sounds and saw Harvey's sheep. Although they had been dipped some time previous they were breaking. Several showed scab, and on being closely questioned Harvey admitted to me that one of his sons had told him two days previous to my visit (12th instant) that in the month of February two rough sheep (wild) had been killed and burnt by him at a place called Beatrix Bay, a small place owned by, and about six miles from, Harvey's main station, and where he has about from 130 to 150 sheep running. It is quite possible that Harvey, senior, did not know his sheep were infected when he sold them to Archer. The latter Ido not think, under the circumstances, would take infected sheep, as the gain would not be sufficient for the risk, and in doing so, were it discovered, he was simply ruining himself. There are certainly some very suspicious matters surrounding the case. Why should Harvey dip his flock directly Archer leaves with his draft ? Why again should he dip the Beatrix Bay flock, although directed not to do so until they had been seen by an Inspector? Yet he did it. With a view to take proceedings for concealment, Inspector Hull is now making further inquiries, and making a close examination of the Beatrix Bay flock, hitherto not inspected. Eeviewing the whole matter, my opinion is that neither Archer, Mills, Cawte, Kerr, nor Inspector Blundell knew that the sheep were infected when they arrived at Havelock. I believe Archer did previous to their arrival at Nelson. lam of opinion that Inspector Hunt did not know ; in fact, is not sufficiently a judge to be certain. If he did, his subsequent action makes the matter worse. Inspector Price deserves commending for his sharpness and subsequent action. With reference to the man who sold the sheep (Harvey) I am not yet prepared to give an opinion, but as all connected with the place are relatives I do not expect being able to ascertain much truth. I anticipate, however, that, as several of those who have been infected by these sheep going through will bring actions against Harvey, should these cases come on, the whole truth will leak out. In the meantime I await further report from Inspector Hull, and full precautions are being taken to prevent further outbreak from this cause. Benj. P. Bayly, Superintendent Inspector.

Mr. B. P. Bayly to Sheep Inspector Price, Nelson. (Memorandum.) Wellington, 9th May, 1884. From the memorandum enclosed (under cover to you), addressed to Inspector Hunt, you will see that it has been decided by Government to dispense with Inspector Hunt's services, after the end of this month, for incompetence and negligence exhibited in connection with the inspection of P. Archer's sheep, introduced into Nelson from Havelock. Further, that he has been instructed to hand over all books, &c, the property of the Government, which you are to receive and take a list of for reference. What recommendations have you to make with regard to Inspector Hunt's successor; or do you think the work can be satisfactorily performed without a fresh appointment'? Benj. P. Bayly, Superintendent Inspector.

Mr. B. P. Bayly to Sheep Inspector Hunt, Nelson. (Memorandum.) Wellington, Bth May, 1884. All facts connected with the introduction of infected sheep to Nelson from Havelock, driven by P. Archer, and inspected by you at Eai Valley, having been considered by the Hon. the Colonial Secretary, it has been decided that,- after the incompetence and negligence exhibited by you in this matter, it is not desirable that your services be longer retained as Inspector in the Stock Department. You will therefore be prepared to hand over any books, &c, that may be in your charge ; and take notice that your services will not be required after 31st of present month. Benj. P. Bayly, Superintendent Inspector. Forwarded through Inspector Price.—B. P. B.