Ea—No. 1.

Nos. 36 and 43 of Panama Papers, 18^

No. 32. Copy of a Letter from the Hon E. W. Stafford to the Hon. H. Paekes. Sir, — Colonial Secretary's Office, Wellington, 3rd December, 1866. I have the honor to refer you to my letter, No 260, of the 13th August last, and *No. 320, of the 3rd October last, requesting repayment of the amounts advanced by this Government on account of the Government of New South Wales in respect of the share due by that Colony of the subsidy for the Panama Steam Postal Service, and further requesting that arrangements might be made for the payments for which New South Wales is liable in each succeeding month, and to express my surprise that these letters have not been replied to. Since I last addressed you on this subject, further payments have been made to the Panama New Zealand and Australian Eoyal Mail Company, and the proportion due by New South Wales, advanced by this Government, now amounts to the very considerable sum of £13,750. The New Zealand Legislature, on the faith of repeated assurances that the Government of New South AVales would pay a moiety of the subsidy in question, has only made provision for one moiety on behalf of New Zealand. This Government therefore is not prepared to make the advances referred to above, which have never been contemplated as likely to be required. I have accordingly to request an immediate repayment to this Government of the sum of £13,750, owed by the Colony of New South Wales. I have, &c, The Hon. the Colonial Secretary, New South Wales. E. W. Staffoed.

No. 33. Copy of a Letter from the Hon. E. W. Stafford to the Hon. Colonial Secretart, New South Wales. Sic,— Colonial Secretary's Office, Wellington, 17th December, 1866. I have been informed by Mr Crosbie Ward that your Government is prepared to make in future monthly payments of its share of the subsidy accruing to the Panama New Zealand and Australian Eoyal Mail Company, through the Company's Bankers, in Sydney. I have, accordingly, the honor to acquaint you that I have furnished the Company with an authority (copy of which is enclosed) for the Bank to grant to the Colonial Treasurer of New South Walas a discharge on behalf of the New Zealand Government for payments so made henceforward. The monthly payments are due on the 23rd of each month, and the amounts which have actually become due up to the 23rd November, included, have been paid in full by this Government. On the 23rd December, therefore, and on the 23rd of each succeeding month, the Company will be entitled, providing no interruption to the service takes place, to a payment of nine thousand one hundred and sixty-six pounds thirteen shillings and fourpence, one-half of which sum will be the amount to be paid in Sydney under the arrangement now referred to. With respect to the payments already made, you were informed by my letter No. 382, of the 3rd instant, of the total amount paid to the Company by this Government to that date, since which a further payment has been made. The sum now due by New South Wales to this Government is accordingly sixteen thousand and forty-one pounds thirteen shillings and fourpence, which amount it is trusted may be remitted without further delay. I have the honor to enclose, for your information, Parliamentary Papers relating to the Panama Mail Service, which have been presented to the New Zealand Legislature in the last two Sessions. I have, &c, The Hon. the Colonial Secretary, New South Wales. E. W. Stafford.

No. 34. Copy of a Letter from the Hon. H. Paekes to the Hon. E. W. Stafford. New South Wales. Sir, — Colonial Secretary's Office, Sydney, 20th December, 1866. In attention to your letter of the 3rd, received on the 15th instant, and your previous letters dated 13th August and 3rd October last, respectively, I have the honor to forward herewith a Sola Bill of Exchange for £13,750, in favour of the Honorable the Treasurer of your Colony, being the amount of the subsidy duo by this Government on account of Steam Postal Communication with Great Britain via Panama, from Ist July to 31st October last; and to state that all future claims on this Colony for the service in question will be paid into the Union Bank here, to the credit of the Panama New Zealand and Australian Mail Company, the receipt of whose Manager in Sydney, will, it is presumed, be considered by the New Zealand Government as a sufficient discharge. 2. It is, however, to be clearly understood that the Government of New Zealand will keep this Government duly advised of the monthly subsidy payable to the Company. 3. I shall thank you to acknowledge the receipt of the Bill of Exchange now enclosed. I have, &c, The Honorable the Colonial Secretary, New Zealand. Hexby Parkes.

No. 35. Copy of a Letter from the Hon. E. W. Stafford to the Hon. 11. Pabkes. Sic, — Colonial Secretary's Office, Wellington, 3rd January, 1867. I have the honor to acknowledge the receipt of your letter, No. 128, of the 20th ultimo, transmitting a Bill of Exchange for £13,750 in favour of the Hon. Colonial Treasurer of this Colony

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