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Sievwright on the subject of the purchase proposed, and I now respectfully submit this memorandum and solicit your recommendation of the purchase as desired by the Hon. the Colonial Treasurer. D. M. Luckie, Government Insurance Commissioner. D. M. Luckie, Esq., Commissioner of Assurance. Ido not know a better site for offices. The price I consider fa : r, and offices are required. All the other insurance associations have acquired or aro acquiring sites, and it would bo injurious to the department not to acquire one. I therefore recommend purchase. 24th December, 1884. Robert Stout. I may add His Excellency the Governor must consent to the purchase, and I respectfully recommend His Excellency to consent.—Robert Stout. For His Excellency the Governor. •Approved.—W. F. I). J., 27th December, ISS4. 140. Then, having obtained this assent, on what date did you signify to the vendors that the purchase was accepted ? —On the 24th December, 1884, the following communication was sent: — Dear Sir, — Government Insurance Department, Dunedin, 24th December, 1884. I have the honour to acknowledge receipt of your letter of this day's date, covering copy of a letter from Messrs. McLandress, Hepburn, and Co., Dunedin, as agents for the proprietors of the allotment and buildings thereon, in this city, known as " Wise's Corner," as more particularly described in their letter, and offering that property for £35,500. By direction of the Hon. the Colonial Treasurer lam instructed to authorize you to accept the said offer. I have, &c, Basil Sievwright, Esq., Dunedin. D, M. Luckxe, Government Insurance Commissioner. P.S.—You are also authorized to arrange the question of interest on Kilgour's mortgage to Captain Fraser. —D. M. L. Memorandum. —Tho interest on this mortgage of Kilgour's is 7 per cent.; the department consents to allow 5 per cent., Mr. Kilgour paying the difference until expiry of mortgage in 1886. This according to Mr. Sievwright's advice. 141. That closes the transaction so far as the purchase is concerned? —Yes. 142. What steps were then taken to give effect to the purchase? —It was left entirely in Messrs. Sievwright and Stout's hands to prepare the deeds, and the purchase was completed. 143. When was the purchase money paid?—On the 10th February, 1885. The following communication was sent: —- Minutes for the Board. I respectfully recommend that £30,500, as requested by Messrs. Sievwright, Stout, and Co., be remitted to that legal firm.—D. M. Luckie.—9th February, 1885. Payment approved. Acting General Manager to arrange transmission of mortgage free of exchange.—N. Reid. Payments arranged by Mr. Luckie.—J. H. R.—llth February, 1885. £30,500 was the purchase-money then paid. 144. Was this purchase ever submitted to the approval of the Board ? —This purchase was concluded before the Board existed. 145. When did the Board begin to exist ?—On the Ist of January, 1885. 146. When did you receive the claims for services rendered in connection with the purchase ; and what were they ?—Mr. Pym complained that he had not got his commission, and asked for payment for his services immediately after the transaction was closed. That was while I was in Dunedin. 147. What claim did he make ?—He said that he considered himself entitled to 1J per cent, commission. As he had been told to stand out, he was afraid he was going to be entirely overlooked, and said so. 148. What answer did you make to his claim? — I said I thought he was entitled to commission, and Mr. Stout was of that opinion also—that he was entitled to commission from the vendors. 149. Was there anything said about commission to the vendors before the purchase was completed?—l do not know about the vendors; but Sir Julius Vogel said to me before I left, that the vendors ought to allow Pym commission—that it ought to conic out of the vendors' pockets. 150. Was anything said to Mr. Pym about this when he was recc to stand on one side? —I do not remember. I think Sievwright said that Pym's int rei ~ protected. Pym claimed at the time that his interest ought to be protected Ly the j ur< 1 asei s, 151. Then, what further took place upon Mr. Pym's claim?- On the 24th December, 1864, I wrote to the Premier, — The Hon. the Premier. Dunedin, 24th December, 1884. In consideration of the valuable services which Mr. Pym lias rendered to the department in connection with the purchase of the property at Wise's coiner, which was first initiated by him, as he aided me in making the preliminary arrangements, and expected a fair commission on the transaction, I respectfully recommend that he be allowed a commission of \-\ per cent, on the puichase-pric.e of the property. D. M. Luckie. This is Mr. Stout's memorandum upon that: — D. M. Luckie, Esq., Dunedin. 24th December, 1884. Ido not know that Mr. Pym cannot claim a commission. He put the department on to tho bargain, and, though he was- not agent at the close of the bargain, he is certainly entitled to be paid for his services, and I think 1-J per cent, fair commission. R. Stout. 152. Did all that take place in Dunedin?—Yes, all on the one day. This is a telegram, dated Wellington, the 24th December, 1884, which Sir Julius "Vcgel sent to me :— D. M. Luckie, Esq., Dunedin. Wellington, 24th December, 1884. Pym is a connection of mine, and I cannot authorize a special payment to him unless on direct recommendation of the Hon. the Premier, who is better cognizant of the circumstances than I. Julius Vogel. On receiving that telegram I wrote the memorandum which I have already read, and upon that Mr. Stout made the recommendation. 153. Did Mr. Stout see the papers ?—Yes.

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