107

P. G. DALZIELL.]

I.—3a

£2,j,000, and the other to raise funds for the purpose of litigating the title to these leases. There was never at any time, in the course of these proceedings, any suggestion by anybody that it would be v good tiling for the Natives simply t<> sit down and accept the rents under the existing leases. On the contrary, they were advised bj both Mr. Skerretl and Mr. Bell that they should not accept the reni al all. So that the third alternative which has since been suggested—namely, that the Natives should sit down ami do nothing—4neanl that thej would bo without any rent whatever for these lands. The acceptance of the rent, of course, was all the time waiving forfeiture up to the date of acceptance, that being die reason why Mr. Hell and Mr. Skerretl advised against acceptance. Now, in these circumstances (In' Natives had two opinions given to them. Mr. Bell's and Mr. Skcrrett's. The opinion of each of these gentlemen was practically the same as to tin- value of the title to the leases, but, both holding the same opinion on legal questions, Mr. Bell arrived at the conclusion thai the Natives ought to tight, while Mr. Skerretl considered that if they were satisfied villi the (nice they ought to s<ll. Both sides among the Natives then took steps, 1 understand, to get proxies, and on the L'.'ith January, 1911, I made application to the President of the Maori Land Board to hold another meeting at Te Kuiti. We had consider able negotiation about that. I wanted to get a date fixed to suit the convenience of Mr. Bell and Mr. Blair, as well as myself, and ultimately the Presideni fixed, b\ consent of all three of us, the 21st February. Later on. however, we found that that date was not convenient. It fell about the same time as the Civil sittings in Wellington; and Mr. Bell, Mi , . Blair, and 1 accordingly applied for another date, and thai was agreed to, the 10th March being finally fixed. In justice to the President of the Maori Land Hoard I think 1 should read the telegrams that passed between us relating to the adjournments, because you have had evidence to the effect that the President endeavoured to force on these meetings. My first telegram was, " Great convenience all parties if Thursday, ninth February, fixed adjourned meeting Mokau-Mohakatino. If approved please instruct I nder-Secretary insert notice adjourned meeting for that date." Mr. Bowler's reply was, "Date suggestei inconvenient. Would thirteenth suit.' 1 wired, " Civil sittings commence here thirteenth. Bell, Blair, and I engaged local cases. Hope yon can arrange earlier day. Please wire urgent Under-Secretary." 4. Mr. Herries.] Who is Mr. Blair 1 -Mr. Skerrett's partner. Mr. Bowler replied, "Impossible for me to take meeting on ninth as 1 have already gazetted business for Thames on tenth. It also seems advisable to give Natives rather more notice. Can you suggest Later date suitable to counsel?'' I wired, "Would Tuesday, twenty first suit you? If so will you please arrange.'"' He responded, "Fixing twenty-first for meetings." Then I sent, this further wire: " Parties find twenty-first too early for meeting. All agree seventh March for meeting owners, if that will suit your convenience." He replied, "Seventh inconvenient. Would tenth suit? If so, will adjourn to that date. Reply here." I wired back, " Tenth will suit. Will you please adjourn accordingly." Then 1 got this further message: " Mokau-Mohakatino meeting adjourned to tenth. Presume you will inform all parties." Mr. Bowler further wired on 16th February, " Cannot get into touch with Natives. Presume you will acquaint them." On receipt of that telegram 1 informed Mr. Bell and Mr. Blair, and asked them to instruct the Natives for whom they were acting. Before that meeting I was advised by the Natives at Te Kuiti that the issue was doubtful—that is, it was doubtful if the Natives would sell; ami 1 got a telegram from Mr. Grace up there informing me that Pepene was rather doubtful about currying the resolution, and suggesting a further adjournment. I replied, "Jones writes Ik; could do nothing with Otaki Natives." Jones, I may say, is the eldest sou of Mr. Joshua Jones, and is the sublessee of a considerable area of the Mokau Block. " Think well for you see Pepene again. I feel that he may have been won over by other side. Think inadvisable postpone meeting further. If majority not favourable think best course be withdraw our offer, and apply Court determine position leases. Think certain our leases of all blocks but F good, and that if that is doubtful owing non-performance covenants, Court will relieve from forfeiture, and we can perform covenants for the future. Hosking, K.C., Dunedin, so advises. In this event, of course, we would not pay anything like twenty-five thousand to Natives. Please advise as to course you think best after seeing Pepene." That was to Mr. Grace. He replied, "If Natives still obstructive before tenth, your suggestion good. No use showing white feather. Withdrawal of offer will bring them to their senses." Now, in coming to the conclusion to withdraw the offer and test the validity of the leases, I considered these points: Messrs. Bell and Skerrett had both advised that the titles to Blocks In, Ih, and 1j were good. Mr. Skerrett had advised the Natives to sell. The Chief Justice had said that if application were made to the Court for relief from forfeiture of If he thought the Court would grant relief once. 5. When did he say that?—ln the report of the Commission. 6. Speaking as a Commissioner? —Yes. 7. Not as Chief Justice? —No, but, of course, he is Chief Justice. That was an expression of opinion from him. It was also clear at this date thai the whole of the owners of If had signed. I had also submitted the question of the title of If to Mr. llosking, K.C., of Dunedin. He is recognized in the profession, I think, as one of the best conveyancing counsel in New Zealand : there is probably no better conveyancing counsel in the Dominion. I had submitted this question for his opinion. The lease of If contains four covenants by the lessee, and it was for breach of these covenants that the parties acting for the Natives said they could re-enter. These four covenants were — (1) to reside upon the land; (2) to provide a staff of surveyors for the purpose of developing the resources of the land; (3) to form a company with a capital of £30,000; and (4) to spend a sum of ,£3,000 per annum in the development of the minerals and timber on the land. Mr. Jones had obtained a deed of covenant releasing him from the performance of these covenants. He obtained this at about the time the leases were granted. Mr. Jones: Nothing of the sort.