9

D.—6

21. The Hon. the Minister for Public Works to Mr. Cuthbert Cowan, M.H.R. (Telegram.) Wellington, 20th April, 1886. W taimea Railway: We are prepared to deal fairly with company, and I have, by wire to-day, gone as far as I can to meet their views. If they now refuse, they must take the consequences. Edward Richardson.

22. The Secretary, Waimea Plains Railway Company, to the Hon. the Minister for Public Works. (Telegram.) Dunedin, 21st April, 1886. Your telegram of yesterday considered by directors; they are willing to agree to proposed modification of terms in last paragraph your letter Bth instant, but not to forego rates unless amount added to price. If public policy necessitates relief to ratepayers, that relief should be at expense of colony, not of company, which has already lost twenty months' guaranteed interest, amounting about £11,000. R. 11. Leary.

23. The Hon. the Minister for Public Works to the Secretary, Waimea Plains Railway Company. (Telegram.) Wellington, 27th April, 1886. In reply to your telegram of 21st instant sorry you are not able to agree to proposals, which I cannot increase. As regards relief proposed to be given to ratepayers, if that were withdrawn, they could not be asked to consent to purchase. As it is, even with that relief, it is doubtful if it would not be much better for them to pay the rates due, and wait until the Act allows the Governor to purchase. Unless with the ratepayers' consent it would not be possible to buy, as the purchase is on their account and the Government jointly. Edward Richardson.

24. Mr. Cuthbert Cowan to the Plon. the Minister for Public Works. (Telegram.) Dunedin, 4th May, 1886. Have met directors Waimea, who will not accept your offer. Am authorized by them to say if you offer £37,000 they will close as from 31st March last, accepting one-half of four years' rates and other conditions imposed by you. I would urge you to meet them, as sum demanded is trivial compared with importance of line becoming property of Government. Cuthbert Cowan.

25. Mr. Cuthbert Cowan, M.H.R., to the Hon. the Premier. (Telegram.) Dunedin, 4th May, 1886. Have met directors Waimea re offer of Minister for Public Works. They want a rise of £4,000 on his offer, which I think can fairly be made. They will accept his conditions, including the foregoing of one-half of four years' rates, being an amount of £7,756. I would urge you in interests of district to meet this demand of directors, importance of line becoming property of the Government warrants your stretching a point. Kindly see Mr. Richardson to-day. Price demanded entails on shareholders loss in capital £1 10s. a share, or, computing loss of interest as well, £4 10s. a share. Cuthbert Cowan.

26. Mr. F. Fergus to the Hon. Robert Stout. (Telegram.) 4th May, 1886. Understanding that negotiations between Government and Waimea Railway Company have come to a hitch by reason of difference of £4,000, would urge that Government should make some concession, seeing that settlers will be permanently relieved of rate, and interests of district vastly benefited by line becoming Government property. P. Fergus.

27. Mr. Cuthbert Cowan, M.H.R., to the Hon. the Colonial Treasurer. (Telegram.) Dunedin, 4th May, 1886. Am here interviewing Waimea directors. Richardson's offer is £4,000 short of their views. They accept conditions, including the foregoing of one-half of four years' rates. Kindly try induce Richardson to meet directors, as extra sum demanded is trivial compared with value of line to Government. Cuthbert Cowan.

28. The Hon. the Minister for Public Works to Mr. Cuthbert Cowan, MH.R. (Telegram.) 4th May, 1886. Hon. Mr. Stout has handed me your telegram on the subject of the Waimea Railway. I also " have received yours direct to myself. I can only express my regret that the company have not seen their way to accept my offer, as I cannot recommend my colleagues to make any further advance on price now offered. Indeed, the last concession made was one that I had serious doubts as to whether I could justify it. 2—D 6.