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216. Had your term expired, or did you resign on account of this special audit?—l resigned in October, 1882. 217. Your resignation was sent to the Kumara Borough Council in consequence of the settingup of the special audit ?—I do not know that that was the only reason, but it would be a reason. 218. Did you put any reason in your letter sending your resignation ?—I cannot say, but I have no doubt of the matter the letter contained. 219. That special audit caused you to resign?— Yes. 220. You also say that you and Mr. Toms were dissatisfied with the special auditors' report when it became public ? —Yes. 221. Had you any opportunity of handling the books and vouchers after the special audit was held?-No. 222. In whose possession were the books and vouchers left?— Whoever was appointed. 223. We know Mr. Wylde held possession during the time he occupied the position of Town Clerk, but when these charges were brought against him, and the special audit was being made, do you think the Borough Council would still leave the books and vouchers in his hands ?—I think they could not be; they were taken to Hokitika at the time of the trial in the Supreme Court. 224. They were not left in the hands of Wylde after the special audit ?—They would be in the hands of the man who occupied his place—the acting Town Clerk, Mr. Skelton. 225. How do you account for the statements made in connection with the loss of vouchers as between the special audit that was held in the latter end of October and the 13th November ?—I cannot account for it. 226. You do not know anything about it ?—No. 227. You also said it was the usual habit of Mr. Wylde, when an audit took place, if you stated he must have a certain amount of money in hand he generally produced it?— Yes. 228. He always accounted for the money, or produced the vouchers showing that money had been paid to certain parties ?—I do not know what you are referring to now. The moneys he held were simply deposits on contracts. The Chairman : Mr. Morrison is inquiring about payments. 229. Mr. Morrison.] Suppose you made an audit of the books, and they showed a credit balance of £50, was it the habit of Mr. Wylde to produce that money ?—What I referred to was the money Mr. Wylde held in the form of deposits on contracts from contractors. That is the money I said he would have in his safe, and, no doubt, when asked about it he would take it out of his safe and put it back again. 230. That was money received in deposits from contractors ?—Yes. 231. You stated in reply to a question you could not make head or tail of the special auditors' report ?—lt differed so much from ours. 232. What reason had you to arrive at that opinion ?—For the reason it was so different from ours. 233. Did you take any steps to support your own audit against the special auditors' report ?— Not after that. 234. Your recommendations to the Council showed that you were perfectly certain your audit was correct : were you asked to prove that ?—No, we never were asked. 235. T suppose naturally you and Mr. Toms would be slightly annoyed over this special auditors' report ?—I should think so. 236. You said you could make neither head nor tail of it, but you made no recommendations to the Borough Council about it ? —No. 237. You had been resident there for a number of years ?—Yes. 238. How long?— From 1876 to 1891. 239. I suppose you would be thoroughly conversant with the opinions held in the district with regard to these defalcations that had taken place during the period Mr. Wylde was Town Clerk?— Yes. 240. Did you ever hear any resident or Councillor suggest or hint that Mr. Nathaniel Seddon had received £219 overpayment from the funds of the Borough Council ?—I never heard anything about it. 241. What is your opinion?— There was no more straightforward honest man than Mr. Nathaniel Seddon. 242. You held strong opinions about that—that he ever received this money ?—Yes, that he never received a shilling more than he was entitled to. 243. The Chairman.] I find on page 14, Exhibit B. you were cross-examined by Mr. Guinness, and you said, " The way we arrived at the sum of £229 was that we took the amount of rates to be collected and the amount paid." You say you took the statement of the Town Clerk—you had nothing to show what money had been received. I suppose you took the rate-roll, &c. :is that so? —No, I do not think that was the meaning of it. 244. You took the rate-book which showed the amount of rates that should have been paid, and Mr. Wylde's statement of the amounts paid —that is all I can understand. You cannot explain it any further? —No. 245. You say on page 25, Exhibit D, " The prisoner gave me the particulars of the sum of £229 7s. 6d. on the balance-sheet, which is purely for rates. I asked prisoner for the blocks of the rate receipt-book. He gave me one book with one or two block receipts, which were of little use." Have you any recollection of that ?—No, I have no recollection of that. 246. That points to the conclusion in the former statement made by you?— Yes. 247. It points to the conclusion that you must have taken the block receipts with Mr. Wylde's statement that he had received the money ?—Yes. 248. You say Mr. Toms read the vouchers and you checked them from the books ?—Yes.