D.-No. 1

No. 1. Copy of a Letter from the Teeasueeb, "Waste Land Board, to the Hon. the Colonial Teeasueee. (143-60.) Sic, — Treasury, Waste Land Board, Dunedin, 18th September, 1860. I do myself the honor to forward the enclosed copy of letter from A. J. Elles, Esq., Eeceiver of Land Revenue, Invercargill, written by my request to explain the circumstances under which two cheques for the payment of land were received by him, as such cheques were subsequently dishonored when presented at the Bank for payment. As the enclosed report will fully state the circumstances under which the cheques were received, I have merely to add that I trust when those circumstances are taken into consideration it will be admitted that Mr. Elles could scarcely refuse the cheques, and at the same time took all the precautions he could by retaining the receipts for the payment of the land in his possession, until it should be known the cheques were duly honored at the Bank, and the plan was adopted by Mr. Elles in consequence of his being unable to comply with the general rule of the office, that not any cheques are received except those that have been marked at the Bank as correct. It is now for myself to explain the reasons for the course I adopted on receipt of the cheques at this office. And, first, I beg to state that on the return of His Honor the Superintendent from Invercargill ho called at my office and stated that he had drawn a cheque for £100 17s. Gd. sterling, for the payment of land at Invercargill, and requested that on my receiving the cheque I would bring it to him, when he would meet it. This I accordingly did, as also a subsequent cheque for £200 sterling, both of which His Honor promised to provide for by the end of that month (May last). And if I have erred in not immediately presenting the cheques at the Bank, I beg to state that I did so after mature consideration of the circumstances, not doubting that the Superintendent would fulfil his engagements. But in consequence of his not having done so I presented the cheques at the Bank, when I was informed that there had not been any funds to the credit of Mr. Macandrew for some time. I then returned the cheques and land receipts to Mr. Elles, informing that officer that if the parties were not on the spot to pay the amount that the entries should be erased and the land re-applied for ; also, the local officer being informed of the circumstances I considered that the transaction should be closed, either by the amounts being paid or the land again open for application. I have however to state, as will be seen in the enclosed reports, that the first amount of £100 17s. 6d. sterling has been paid by Mr. Alexander Brown. The second amount for £200 sterling remains unsettled ; and as the Chief Commissioner is of opinion that the circumstances should be referred to His Excellency's Government before again declaring the land open for application, I have to request that you will have the goodness to forward to the Chief Commissioner such instructions as you may deem necessary under the circumstances stated in this report. In conclusion, I beg to state, for your information, that the land in question applied for by Mr. Neil McKinnon is unsurveyed land, situated in the Districts of the Invercargill Hundreds. I have, &c., Chas. Logic, The Hon. the Colonial Treasurer. Treasurer, Waste Land Board.

Enclosure in No. 1. Copy of a Letter from the Receives op Lakd Revejtue to the Teeasttree, "Waste Land Board, Otago. Sib, — Office of Receiver of Land Revenue, Invercargill, Ist September, 1860. At your request I do myself the honor to report on the subject of the cheque for £200, taken by me from Mr. Macandrew in payment of land, and subsequently dishonoured by the Bank, and in order that I may do so fully, I will bring the whole of the circumstances fairly before you, and enter somewhat into detail. On the 30th March, Mr. Macandrew, who was then at Invercargill, called at my office, and informed me that he had just been reminded that he had a sum of £100 17s. 6d. to pay for land on behalf of a Mr. Alexander Brown, and that owing to a resolution of the "Waste Land Board, he could not re-apply for it at the same price, and requesting me, under the circumstances, to take his cheque for the amount. With this request I complied, at the same time intimating to Mr. Macandrew that it was contrary to my usual practice to take cheques in payment of land, and that I would hold the receipt as security till the cheque was cashed, which was done, and by the very first opportunity, viz., on the 14th April, I remitted the cheque to you, enclosing at the same time the land receipts, and requesting you to hold them till the cheque was cashed; the receipt of the same was acknowledged by you in a private letter of 23rd April. Shortly after this, I received a letter from Mr. Macandrew, enclosing a cheque for £200 for payment of land on behalf of a Mr. McKinnon, and requesting me to take it and retain as before the land receipt till the cheque was cashed. It was only because there was no time for the parties concerned to communicate with Mr. Macandrew on the subject before the day on which the land required to be paid for, and because I knew

PAPERS RELATIVE TO THE CASE OF MR. MACANDREW.