14

with the William Denny and that without
a subsidy she would be placed on another
line, has made an engagement, (a copy of
which is enclosed) with the agents of that
vessel to run two more trips on the same
terms as heretofore, under her contract
with the Provincial Government, subject
to a proviso for the cessation of the subsidy,
should Dr. Campbell and yourself have
succeeded in establishing the Branch
Service, or do so before these trips have
been made.

5. Should you therefore have entered
   into any contract when you receive this, or
   should you do so before the two trips have
   been made, you will give immediate notice
   thereof to the agents of the William
   Denny in Sydney, and forward to this
   Government a copy of the notice served.

I have, &c.,
(Signed) E. W. STAFFORD.
The Hon. Henry Sewell, Esq.

*NOTE.—The Auckland contract with
the William Denny expired on the 25th
December.

Colonial Secretary's Office,
Auckland, Dec. 17th, 1856.

GENTLEMEN,—With reference to the in-
terview which took place this morning be-
tween His Excellency's Government and
yourselves on the subject of the Steam
Postal Service between this Colony and
Australia, I am now desired by the Colo-
nial Secretary to address you to the follow-
ing effect.

You have been made generally aware of
the views entertained by His Excellency's
Government with regard to the Branch
Service to be established between Australia
and New Zealand under the recent Mail
contract with the Imperial Government.
In accordance with those views, it has been
proposed to combine the inter-Colonial
service with the inter-Provincial communi-
cation between the several Settlements,
and to have both services performed by
the same steam vessels, and to invite ten-
ders in Sydney and Melbourne for carry-
ing this proposal into effect. But at the
last dates from Australia, no copy of the
orders in Sydney and the Imperial
Government had been received there, and
until that necessary information reaches
the several Governments interested in the
contract, no final steps can be taken for
the permanent establishment of the Branch
Service in New Zealand: in the meantime,
however, the gentlemen who represent this
Government in Australia have been
authorised to enter into certain arrange-
ments for the present conduct of that
service.

His Excellency's Government is there-
fore unable to enter into a permanent con-
tract with the owners of the "William
Denny" on the same terms as that with
the Provincial Government of Auckland,
or on any terms which would confine the
Steam Postal service to this Colony to one
steamer, whilst it is not unlikely that
arrangements may have actually been made
on behalf of the Government for conduct-
ing that service for the twelve months.
But as the Government is unwilling that
the Steam Mail Service between New
Zealand and Sydney should suddenly cease,
at the very time when it is established be-
tween the latter place and Great Britain,
they have to propose to you that the same
amount of subsidy hitherto paid by the
Provincial Government to the "William
Denny," and the existing conditions there-
of shall be continued for the period re-
quired to make two trips of that steamer:
Provided always that in the event of any
other arrangements for constituting the
Branch Service under the Imperial Mail
Contract being effected before the conclu-
sion of these trips, the subsidy now offered,
or so much of it shall not be due at the
time of giving notice, either here or in
Sydney, shall not be paid.

I have, &c.,
(Signed) W. GISBORNE,
Under Secretary.
J. A. Gilfillan, Esq., and
David Graham, Esq., Auckland.

Wellington Chamber of Commerce,
24th November, 1856.

SIR,—Enclosed I do myself the honor
to wait upon you with two Memorials ad-
dressed to His Excellency the Governor
on the subject of the contemplated posta
arrangement.

I beg leave also to bring under the
notice of His Excellency's Government the
following circumstance in relation to the
mail service which has just occurred. On
the 5th instant, the ship "White Star"
araived in Port Phillip with the English
Mails of August 19th. The "Ariel"
schooner was then lying there, just ready
to sail for Wellington. The Captain
immediately wrote a letter to the Post-
master asking for the Mails. This letter
he took to the office of the Mail-master in
Sandridge, who told him that it was utterly
useless to forward the application, as a
similar one had been refused because the
orders were that the Mails for New Zea-
land were to be sent on to Sydney. The