160 Auckland Provincial Government Gazette.

(7c)
Superintendent’s Office,
Auckland, 4th March, 1876.

Sir,—

I am directed by His Honour the Superintendent to forward to you the enclosed copy of a telegram addressed by him to the Honourable the Premier; and to request that you will take the necessary steps to bring the matter of the stoppage of the capitation allowance by the General Government before the Court.

I have, &c.,
READER WOOD,
Provincial Secretary.

W. L. Rees, Esq., Solicitor,
Auckland.

(8c.)
Superintendent’s Office,
Auckland, 6th March, 1876.

Sir,—

In further reply to your telegram of the 23rd ultimo, I have now the honour to enclose the copy of a memorandum thereon which has been made by the Provincial Treasurer.

You will observe that the Provincial Treasurer does not, under existing circumstances, think it expedient to proceed to Wellington for the purpose of attempting to arrange, by a personal interview, the difficulty which has arisen. I concur entirely in his view upon this subject.

Your admission that the stoppages made on account of the Mercer Railway, after the arrangement concluded between the General and Provincial Governments, must have conflicted with the expectations of the Provincial Treasurer, appears to show that some notice or warning should have been given to us of the intention to make these stoppages; instead of which they were made without the slightest intimation having been given of the difficulties in which we might be placed. I also cannot concur with you that these stoppages are made imperative by law. My impression is that they are in great part illegal until the Legislature alters the law, or until an interpretation of it has been obtained from the Courts at variance with its actual letter.

The Provincial Treasurer, in the enclosed memorandum, sums up our actual position by pointing out that there will be a deficiency of £12,000 in the Provincial Revenue, arising from the stoppage of the capitation allowance; but that if the General Government carries out the arrangement it entered into, then the Provincial Government sees its way to meet all its engagements to 30th September next. And if the General Government does not do this, in that case there will, on the 30th September next, be a deficiency amounting to the above-named sum of £12,000.

I have, &c.,
G. GRAY.

The Hon. Sir Julius Vogel, K.C.M.G., M.G.A.,
Wellington.

(9c.)
Wellington, 9th March, 1876.

His Honor Sir George Grey,
Auckland.

Re clerical error in fifteenth section Public Works Act, 1875. In reply to your Honor’s telegram and letter I have to say—You argue as if insertion of "1871" was not an obvious error. The Act of 1871 had ceased to exist. It could not be referred to in the clause. Nor can there be remotest doubt as to Act meant to be referred to. Your Honor’s legal adviser might be referred to cases in which a similar point was involved: see Regina v. Wilcoek (14 Law Journals, new series, Magistrates’ cases, page 104), and Re Berithroyd (15 Law Journals, new series, Magistrates cases, page 57).

It is to be hoped your Honor will not waste money in law expenses. As far as Province is concerned, it can matter little, if Treasury thinks the law requires stoppage. For, seeing Treasury is providing Province with the funds required for carrying on Provincial business, stoppage in one direction merely means payment in another.

As to allegation about breach of faith with your Provincial Treasurer, I clearly indicated in my telegram that, though the late Colonial Treasurer’s recollection was not precisely the same as that of the Provincial Treasurer, yet we desired to smooth all difficulties; and, with that object, my colleague, Major Atkinson, telegraphed Provincial Treasurer that there was every desire to carry out arrangements, adding—"If you would run down, we could come to a satisfactory agreement. I am sure, in a very few hours." Mr. Wood replied on 24th:—"Grey at the Thames; shall see him to-morrow; should he agree, will go by ‘Phoebe’ Saturday."

On the 25th Mr. Wood telegraphed:—"Have read Premier’s telegram to Superintendent; have written memo. on it, which Superintendent will forward to Premier, and which I think makes the matter so simple as to obviate the necessity of my going to Wellington." It is obvious from this that Provincial Treasurer saw his way to easy settlement. But, instead of sending the memo. as he proposed, your Honor forwarded a long letter and telegram, in which political feelings clearly crop up in a manner that, as far as my experience goes, has been unusual when a Superintendent and the Treasury have to settle a departmental matter.

Your Provincial Treasurer evidently sees no difficulty in settling this matter. If your Honor will forward me the memo. Mr. Wood speaks of, and which he said you would send, I shall be able, I feel sure, to arrange with him. The desire of the Government is to furnish you necessary funds to carry on business of Province, during the few months before it will be the Government’s duty to provide proper services in accordance with Act of last session.

Julius Vogel.

(10c.)
Auckland, 11th March, 1876.

To Hon. Sir Julius Vogel, K.C.M.G., M.G.A.,
Wellington.

Re Rights of Province of Auckland.

I thank you for having called my attention to two law cases in your telegram of 9th. I have carefully read and considered them. A want of analogy, as I thought, between the points raised in them and those now at issue was disappointing to me, and my opinion remains unchanged.

I cannot concur in your reasoning on other points. You state:—"Seeing Treasury is providing Province with funds for carrying on Provincial business, stoppage in one direction merely means payment in another."

Nothing was said of this at first. It is a new idea, tempting, but it is a temptation which ought to be set aside.

It is the inhabitants of the Province of Auckland who provide funds for their own Province from taxes which, since attention has been directed to the subject, are, I believe, universally admitted to be oppressive and inequitable to the mass of the people of New Zealand. The Legislature approves.