I.—sb.

JOSEPH SHERWOOD.]

13

falling bush for Walsh " ? I said " Yes." Then he said, " How were you paid " ? (this is as near as I can remember). I said, "He gave me £25." He said, "Is that the way he paid you "? " Yes," I said, " I think 1 got about a shilling an hour." He then said, " Come into the room here." He sent for two glasses and we had a glass together, and what he put down Ido not know. 129. Did it not occur to you that it was an unusual thing for a gentleman to ask you these questions? —No. I am not accustomed to this sort of thing. 130. But you did think it was an unusual thing? —Yes. 131. Though you did not resent it in any way? —No, not at all. 132. Did it occur to you it was an unusual thing his asking you to go in and have a drink? —Not at the time. 133. And he was a stranger to you? —Yes. 134. You thought he was a right good fellow? —Yes. 135. You said that you were dealing at Parrot's store? —Yes. 136. Where is Parrot's store? —At Rahiti Store, I think, near the creamery. 137. You were not working at Mangamingi? —Not on anything connected with this contract 138. You are quite positive that you did not tell this gentleman, who asked you to have the drink, that you were working for wages? —I am quite positive. 139. And did you ever suggest to him that the money was paid by cheque drawn on the Bank of New Zealand, at Eltham —that Mr. Walsh had given you a cheque drawn on the Bank of New Zealand at Eltham? —Yes, I said I had a cheque drawn on the Bank of New Zealand. 140. Suppose Mr. Walsh says that he never had an account at the Bank of New Zealand at Eltham? —I think it was the Bank of New Zealand. I may be mistaken. 141. And if Mr. Walsh says he never had a banking account in Eltham? —The cheque was drawn on a bank at Eltham. 142. Are you quite sure that you did not tell this gentleman with whom you were drinking that you were compelled to take young Walsh into the contract ? —I am quite satisfied I nevermentioned such a thing. 143. Now, I suppose when you told him you were getting this shilling an hour, you made that up in your mind. You said to yourself, " Well, now, I have had three weeks' loafing over there, and if there is to be a rebate I will make it up at a shilling an hour, so that there is a chance of getting the shilling an hour. Is that it? —I never thought of it that way at all. I simply went by the amount paid for the time I was there 144. A good deal has been made about your going to see Mr. Walsh. You went to see Mr. Walsh, I suppose, after you went back from Hawera? —Yes. 145. It occurred to you that you had made a mistake, and you decided to go and see Mr. Walsh about it?— Yes. 146. Did this gentleman tell you what his name was, by the by? —No. 147. Did he tell you where he came from? —He told me he was going to New Plymouth. 148. Did he say that he had been sent by any one? —No; he said he was on Government busi' ness. 149. Did it occur to you that the Government had anything to do with the contract? —I did not give the matter a thought. I just answered the man. 150. You were not at all particular as to how he did ask the questions?—No, I was not. I answered the questions. He may have taken me on the hop. 151. Had you had more than that one glass that morning that you had with this gentlemanwas that the first one you had that day? —That was at 3 o'clock in the afternoon. 152. You had had some drinks? —Yes. 153 Mr. Witty.] You say there were three of you supposed to be in this contract, and that whilst you were away you were not supposed to be paid —that you were supposed to be paid for the time you were working only ? —That was between ourselves. 154. Between the three men? —Yes. 155. Very well, then; a short time ago you stated that Williams was only there three days. Therefore his share would be very small? —Yes; but you have to take the time we were loafing into consideration. 156. Mr. Ell.] If Mr. Walsh says that you and Williams were getting stores together in your own name from the store —is that correct? —In Williams's name? 157. Yes? —Yes; that is correct. 158. How did these stores come? Did you give an order for them yourself? —Williams had a brake, and he went to this store, put them in his brake, and carted them out. 159. Then, as to the other lots of stores —you got other lots of stores? —Well, they used to come in small lots, and young Walsh, who went home on Sunday, used to bring them out on the Monday morning. The store was about half-way. 160. Mr. Symes.] There is just one point I would like to clear up, as to where you were working. You say it is in the Turakina Valley. Is it not the Whenuakura Valley? —Yes, that is it; the Whenuakura Valley. 161. Mr. Ell.] How long was young Walsh working with you? Was he with you the whole of the time? —Yes, all the time. 162. And during the time that you were there Williams did not work at all? —Not while I was on the ground. 163. You never saw him working there? —No, I never saw him working. Approximate Cost of Paper.— Preparation, not given ; printing (1,425 copies) £ 8 Is.

By Authority: John Mackay, Government Printer, Wellington.—l9o4. Price 6d.] 3—l. sb.