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I was transferred here as Gaoler of this Prison, .and assumed my duties on the 14th June, 1912. During the year 2 prisoners were declared habitual criminals in addition to hard-labour sentences, 4 were sentenced to various terms of reformative treatment, 1 was sentenced to a term of hard labour and in addition a term of reformative treatment. The health of the prisoners during the year has been good, the daily average on the sick-list being 071. Three prisoners were sent to the District Hospital during the year, one with self-inflicted injuries, who died one hour after being admitted to that institution ; one was suffering from heart-disease, who, after being treated, was returned to the Prison to complete his term of imprisonment; the other one, who was suffering from Hodgkin's disease, and was in the Hospital at the commencement of the year, owing to a recurrence of the disease was readmitted to the District Hospital, and is still in that institution. The conduct of the prisoners during the year has been good. There were 4 punishments for minor breaches of the Prison Regulations, which were dealt with by Visiting Justices; 3 were sentenced to bread and water, and 1 to forfeiture of marks. The industry of prisoners during the year has been good. Prison labour ceased at Taiaroa Heads fortification-works on the 20th January, 1912, consequently a number of the prisoners were transferred to other prisons. The principal employment at this Prison is making coir mats, for which there is a ready sale. The prisoners are also employed in keeping the prison, court, and police-station grounds in order. Female prisoners are employed at washing and laundrywork and keeping their division clean. Divine service is conducted each Sunday by Mr. F. G. Cumming, the Prison Chaplain, or a clergyman or some member of one of the churches. One probationary officer was dismissed during the year for misconduct. First Offenders' Probation Act and Crimes Amendment Act. There were 4 males and 1 female on probation at the commencement of the year; 1 was received on transfer from another district; 4 males were placed on probation by order of the Courts; and 1 reformative-treatment prisoner was placed on probation by the Prisons Board : total, 11. Two males completed their probation satisfactorily; 1 male failed to comply with the terms of his probation license, and was sentenced for theft to a term of imprisonment with hard labour; 4 males and 1 female were transferred to other districts: total, 8 : leaving 3 males on probation on the 31st December, 1912. I have, &c, H. McMurbay, The Under-Secretary for Justice, Wellington. Gaoler and Probation Officer. HANMER SPRINGS PRISON. Sir, — H.M. Prison, Hanmer Springs, 4th January, 1913. I have the honour to submit to you the annual report for the year ended 31st December, 1912, and also to forward the usual returns, expenditure, &c. There were 28 prisoners in custody on the Ist January, 1912. Twenty-eight males were received and 27 discharged during the year, the average number in custody being 2535. Seven prisoners were transferred during the year, 1 to the reformative prison at Invercargill, and 6to Lyttelton Prison. Five of these latter had been reported for minor prison offences, and were generally unsuitable for this place; the other one was transferred for medical treatment. With the few exceptions mentioned above, the conduct of prisoners has been very good, and the work done on the plantations exceeds, on the average, that of any previous year. This is the more satisfactory considering that work was at a standstill for seven consecutive weeks as a result of the very severe winter, which was the worst experienced here for many years. The general health of prisoners has been very good. There was practically no sickness, except of a slight nature, during the year; the daily average on the sick-list was only 012. The rations have been of the very best quality, and regularly supplied. However, owing to the very wet season, the potato crop in the prison-garden was a failure, consequently it was found necessary to purchase haricot beans and potatoes, the latter having been very expensive; which, together with the'high cost generally of provisions at Hanmer, accounts for the slight increase of expenditure for rations. The Rev. Mr. Campbell, Presbyterian minister, who has conducted Divine service at this Prison for a number of years, has recently retired, and will be sorely missed by the prisoners not only while serving their sentences, but after their discharge. Mr. Campbell very seldom failed to attend on Sundays, no matter how rough the weather was. He was a true friend to prisoners, always meeting- them on their discharge, and assisting them with money and other means, as well as procuring them employment. Since Mr. Campbell's retirement Divine service has been conducted by different ministers of the Presbyterian Church. I wish to place on record the assistance rendered by the Forestry Department, and to thank them for the work done for this Prison, whereby much ready money has been saved and expenses curtailed. Mr. Morrison, Nurseryman in Charge, carted all firewood for use of the prison-camp, which is a big item, especially so during last winter, when coal could not be purchased except at a very high figure, consequently the firewood was very acceptable.