132

whether the Debentures should be a charge on
the Colonial Revenues of New Zealand, or
form a deduction from the New Zealand Com-
pany's Debt.

The interest of these Debentures is borne
on the Estimates; and I am of opinion that
until the question of debt is settled, it should
be defrayed out of the Land Fund of the Pro-
vince of Wellington.

A Despatch from the Secretary of State
dated 29th December, 1853, will be laid on
the Table of the House, together with one from
Sir George Grey, in, which His Excellency
reported to the Home Government, that, in
pursuance of instructions conveyed by Lord
Grey in his Despatch of the 19th of March,
1851, he had incurred an expenditure of
£10,520 18s. 11d. on account of the fulfil-
ment of the contracts of the New Zealand
Company towards the Wellington settlers,
and that he had called upon the Officer in
charge of the Military Chest to advance
to the Colonial Treasurer the sum of
7620l. 9s. 8d, part of that amount.

On reference to the Secretary of State's
despatch it will be seen that Her Majesty's
Government disown any liability on account
of the advance of 7620l. 9s. 8d. and has
directed that one-sixth of the land revenue
which may have accrued in the several
New Zealand Company's Settlements, since
the date of Sir George Grey's despatch, and
which may not have been absorbed by (Copy)
their current expenses, should be applied
to the reimbursement of the Commissariat
Chest for this advance.

There has a'so been laid on the Table
of the House a copy of the despatch of the
Secretary of State enquiring whether any
further payments have been made to the
Military Chest in reimbursement of the ad-
vances which have been made by Her Ma-
jesty's Government on account of the New
Zealand Fencibles. The expenditure on ac-
count of this service was incurred principally
for the purpose of reducing the military ex-
penditure in the Colony and at the same
time of benefitting the Colony by giving an
increased value to the Crown Lands in the
neighbourhood of the Pensioner Settlements.
A demand amounting to 6113 5s. 8d. made
upon the Colonial Treasury, has been dis-
charged as being the portion of the claim
which is fairly chargeable for Emigration
Purposes, and therefore the only claim to be
made on the Revenues of the Colony for the
increased value given to land, in the neigh-
bourhood of the Pensioners' settlements.

R. H. WYNYARD.

ESTIMATE OF THE AVAILABLE BALANCE IN HAND, JULY 31ST, 1854.

£ s. d.
35,671 10 11
31,000 0 0.
600 0 0
18,000.

Cash at Auckland
Canterbury
Nelson
Wellington

£85,27 10 11

Deposits unavailable 3,600 0 0
New Zealand Company's one-fourth
At Auckland 9,690 0 0
At Canterbury: 7,700 0 0
At Wellington 7,000 0 0
Loans to be repaid out of first receipts 7,200 0 0
of Land Fund at Wellington
Balance available 50,081 10 11
£85,271 10:11

Government House,
Wellington, June 24th, 1853.

MY LORD DUKE, -I have the honor to
state that Lord Grey in his
Despatch No. 32, of the 19th No. 71 Finan-
March, 1851, informed me in cial.
reference to the Nelson Settle-
ment, that Her Majesty's Government in the
opinion of the Law Officers of the Crown,
stood to the settlers in the same relation as
the New Zealand Company did before the
surrender of its charter; and his Lordship in-
structed me to create for the purpose of car-
rying on the functions of, the Colony an Es-
tablishment similar to that created by the
Company for the purpose of fulfilling its
contracts with its settlers, the expenses of
which Establishment being thrown upon Her
Majesty's Government, I was informed was
also to be borne by it.

2. In his Lordship's Despatch No. 33 of
   the same date, he pointed out to me that
   Her Majesty's Government was placed in the
   same position with respect to the settlements
   of Wellington and New Plymouth as it was
   to that of Nelson, and he directed me to con-
   sider the instructions issued by me in rela-
   tion to the Nelson settlement as being appli-