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exercise her power of disallowance with respect to the Act of the Legislature of New Zealand, entitled "An Act to provide for giving Eree Grants of Land to "certain Immigrants," a transcript of which accompanied your Despatch No. 81, of the 22nd October, 1873. I have, &c, The Officer Administering the Government KIMBERLEY. of New Zealand.

No. 31. Copy of a DESPATCH from the Eight Hon. the Earl of Kimberley to Governor the Eight Hon. Sir J. Eergusson, Bart. (No. 10.) Sir, — Downing Street, 6th February, 1874. With reference to your Despatch No. 75, of the 7th October, I transmit to you a copy of a letter from the War Office, on the subject of the adjustment of the claims which had been in dispute between the Imperial Government and the Government of New Zealand. I concur in the view taken by Mr. Cardwell, and am of opinion that the settlement arrived at in April last, which was communicated to you in my Despatch No. 50, of the 31st of July, must be considered as final, except as to claims, if there be any, for the maintenance of military prisoners under sentences of courts martial. I have, &c, Governor the Eight Hon. Sir J. Eergusson, Bart. KIMBERLEY.

1 Jan. 31,1874.

Enclosure in No. 31. Lord Lansdowne to the Under Seceetaey, Colonial Office. (No. 3,714.) Financial Secretary's Department, "War Office, Sic, — ' 31st January, 1874. I am directed by Mr. Secretary Cardwell to acknowledge the receipt of Sir H. Holland's letter of the 31st ultimo, forwarding a copy of a Despatch from the Governor of New Zealand on the subject of the claims connected with the late wars in that Colony, which had been in dispute between the Imperial G-overnment and the Government of New Zealand. "While agreeing to the adjustment effected of all existing claims, the Governor states that his Advisers are not prepared to concur in the understanding attached by the Secretary of State for "War to the present settlement, viz., that the Government of New Zealand is thereby debarred from making any further claim on account of expenses for military services arising out of the wars referred to. It was, however, upon this condition, and in order to effect a settlement of the dispute, that Mr. Cardwell consented, in April last, to the arrangements proposed in Sir H. Holland's letter of the 13th March, 1873 ; and I am to state that Mr. Cardwell still adheres to the views expressed in the final paragraph of the letter last referred to. I have, &c, The Under Secretary, Colonial Office. Lansdowne.

1\ TO. 32. Copy of DESPATCH from the Right Hon. the Earl of Kimberley to the Officer Administering the Government of New Zealand. (Circular.) Sir, — Downing Street, 13th February, 1874. I have received a communication from the Secretary to Her Majesty's Commissioners for International Exhibitions, stating that it has been found necessary to postpone, for the present, the construction of the Special Colonial Annexe, to which proposal your attention was directed by my Circular Despatch of the 11th March last. It has, however, been decided to place at the disposal of such Colonies as desire to participate in this year's Exhibition, a building which was formerly used as the Belgian Annexe, at a rental of £2 per foot run of the building.