Sess. 11.—1897. NEW ZEALAND.

PUBLIC ACCOUNTS COMMITTEE. REPORT BRINGING UP THE PAPERS RELATING TO THE DEPOSIT OF £150,000 BY THE GOVERNMENT WITH THE COLONIAL BANK OF NEW ZEALAND, IN NOVEMBER, 1894.

Report brought up 20th December, 1897, and ordered to be printed.

ORDER OF REFERENCE. Extract from the Journals of the House of Representatives. Fkiday, the 19th Day of Novembbb, 1897. Ordered, " That Standing Order No. 211 be suspended, and that a Committee, consisting of thirteen members, be appointed to examine into and report upon such questions relating to the Public Accounts as they may think desirable, or that may be referred to them by the House or by the Government, and also into all matters relating to the finances of the colony which the Government may refer to them; five to bo a quorum : the Committee to consist of Mr. J. Allen, Mr. Fraser, Mr. Fisher, Mr. Guinness, Hon. J. G. Ward, Hon. W. J. M. Larnach, Hon. J. McKenzie, Mr. Montgomery, Hon. G. F. Richardson, Captain Russell, Hon. Sir R. Stout, Mr. Tanner, and the mover." — (Rt. Hon. R. J. Seddon.)

β-epoet.

The Public Accounts Committee have the honour to bring up the papers relating to the deposit of £150,000 by the Government with the Colonial Bank of New Zealand in November, 1894. The Committee recommend that the pap2rs lie on the table and be printed. A. E. Guinness, 20th December, 1897. Chairman.

No. 1. Exteact from Letter from President, Bank of New Zealand, to Hon. Colonial Treasurer,. dated Bank of New Zealand, "Wellington, 27th November, 1894. >!< :1: * :|: -\- * With regard to the investment of the £150,000, I have the honour to state that the bank is prepared to purchase New Zealand Consols to that amount as an investment of part of the second million. Will you be good enough to direct that the £150,000 Consols be allotted to the bank when they are available for issue. I am to-day, by cable, instructing the bank's manager in London to place £150,000 to credit of the New Zealand Public Account, advising the Agent-General that he has done so. Interest, it is understood, is to run from date of the advance, and is to be payable half-yearly. It will suit the bank to receive the interest in London. I have &c, W. Watson, President.