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terms a suitable site for a homestead can be obtained from the Native owners at Eangitukia. You will then report to the Government, and await further in tiuotious before concluding any arrangement with the Natives. The Government will not object to a liberal payment, if necessary, for an eligible site of moderate extent. In conclusion, I have to convey to you the best wishes of the Government for the discharge of the important duties which devolve upon you, and in carrying out a work for which your past experience in the Native branch of the public service, together with your previous connection with the Natives of the East Cape, seem to point you out as specially fitted. It is a work iu which a really zealous officer has singular opportunities of distinguishing himself by success, and by setting himself resolutely to overcome whatever may cause disappointment at first. It is only by constant devotion to the high duty of teaching the Native race the advantages of submission to law, that real progress will be made. The Government expect and require such devotion at the hands of every officer they shal,l appoint to this duty: and if they see that it is willingly and cheerfully given in your case, you may depend on their support in youi1 future career. I have, &c, Thomas H. Smith, Acting Native Secretary.

No. 2. FIRST REPORT FROM W. B. BAKER, ESQ., R.M. Auckland, January 3rd, 1862. Sir,— I have the honor to report, as briefly as possible, the result of my visit to the East Cape District, and tlie present state of the Natives occupying the territory lying between Te Kaha on the North, and Whangara on the South. Immediately upon my arrival, on the 25th November last, I proceeded to Rangitukia, the mua upoko (metropolis) of the Ngatiporou, where I received a most cordial welcome. The majority of the adult population having assembled on that evening, I explained to them the object of my visit, and the intentions and wishes of the Government regarding them. They assured me that they appreciated the paternal interest in their welfare which the Government evinced towards them; and in the most emphatic manner expressed their desire to "live under the shadow of the Queen.'* On the following morning, I commenced a tour through all the villages of Waiapu, and along the banks of the river bearing that name, travelling by easy stages in order to afford ample time for the people to declare their sentiments. At every kainga a Runanga was assembled to welcome the Ture, and to hear my message. Returning from Upper Waiapu I next visited the northern part of the District, and met the natives at Te Kawakawa, where I found the same eagerness for the introduction of law and order. Te Iharaira Houkamau, a chief of the first rank, and possessing great influence, was about to proceed nor:hwards as far as Te Kaha and Opotiki, " to preach the law," as he expressed himself. I then turned southwards, and passed through all the villages of the Ngatiporou, Te Urungawera, and Titangahauiti. I found the latter tribe far behind the others in every respect, and somewhat inclined to favour the King Movement. This I learned from the Ngatiporou Assessors who accompanied me. The Titangahauiti appeared to be quite willing to receive and accept British law, but they did not manifest the same desire for its introduction as the tribes occupying the northern part of the District. For more detailed particulars relative to the kaingas visited, I beg to refer you to my journal, extracts from which will be furnished as soon as possible. Having1 distributed freely among the Natives copies of the two Acts passed during the session of 1858 of tiie General Assembly, " The Native Districts'Regulation Act," and " The Native Circuit Courts' Act," and carefully exnlained the nature and working of them to the more intelligent young men, who availed themselves of every opportunity to converse with me on such matters, I am decidedly of opinion that from Patangata (the northern part of Hiek's Bay) to Tarainga (the south head of Tokomaru) those Acts may be brought into operation. Of the Apanui country (north of Patangata) and the Titangahauiti country (south of Tarainga) I cannot speak so positively; I think, however, that the whole may safely be included in one general district. Of the Native Assessors, Te Mokena Kohere, Hamiora Tamanuitera, and Popata Te Kauri, the two former have exerted themselves to the best of their ability to maintain order and to administer justice. Te Popata, though a man of great influence, has not taken any part in the movement which has excited so much attention among the Ngatiporou. I shall report more fully upon the subject in a separate communication. The Runanga system is now very general. Almost every village has its own, in which everything, from far country news to domestic life, is freely discussed. As at present constituted they are productive of much evil, but I feel assured that under careful and judicious supervision they may be made instrumental to a large degree in amelioration of the moral and social condition of the Native race. The greatest suspicion and jealousy exist in the minds of the Natives as to the design of the Europeans (I can hardly say of the Government) upon their lands. They frequently stated in their speeches that they would rather die than part with any of their territory; but they are perfectly willing

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REPORTS OF OFFICERS: