THE FINANCIAL STATEMENT.

tend «f die several grades *ft*» Br<s 2 are of opinion that are to.be be necessary to classify ! V ffl limiting the number of p> enli ! The Government a really efficient service, must be reason iV°Tdet ca must be able to look £*•* A service be enters as a I* •"tonTin which his advance- « a S upon his capacity, &d , Kention to bis duties, of the Minister cost to 1* , ..* Before leaving the subject » nolry, J expenditure, I would say be a considerable »« ap Stavelling. I have not i» iDlon Lboka S fully into the wished, but the 11 mobably be surprised to amount expended upon JV % & Z year from the Ist !**!B to the 30th of Sep *J*Su ia i; s £56,417. Ido not * 7ss exceptionally large, but as i* 0 " ,11 This includes the expenses I*B*'tat does not include the allowance which is # tal I officers. There is, how- returned to the railway fares, but £s£ to the amount to ■Ki'are of opinion that very ecUsbouldandcanbe. *mmTitem, the leading principle &?*» b ein S that the allowance Jf.l recoup legitimate expenses lEeanctions in Grants in Aid Mine, sir to the consideration of Salbodies, and however painful Onanist recognise the fact that Eawenow being given to them Kdbne our taxation must be in fflVjproportionate amount. WL ud Native Lands Bating. I'AWplace, let me ask your atten- Kciwn a" d Native Lands R - ltln? X to this Act was passed it was Mm that there would be a sufficient Eh'tSe land fund to pay the rates K tem lands. That estimate has, E'ffoved incorrect. As a matter oi X w fend is insufficient by more R« amount paid for the rates on ffiiiak to meet the charges as voted ifomek It must also be admitted Wife advantages conferred by this Bfiiperatedvery unequally in various Bile colony. It is with much ■tfattheGovernJient propose that it ■Kfepealed from March next, with Ksary reservations as to securities Baler the Act, for nothing can he Skthe principle that all lands by qfttrer owned should not contribute to the district ifflieyaresituated. But as money opening up new lands for we cannot always con- HpSg largely for that purpose, it Eft-] le fetter, in the interests of jßiiiy, to use the land fund at our to apply, as it has been JBiitcethe passing of the Crown and [heUs Rating Act, to the relief of n, By the repeal, however, of jßiiiTery large question is opened up of the Maoris paying rates Bar tod in settled district's as their llpslers of the European race are ■■Kid it seems to the Government that Batoarfjvedwhen the Maoris should W£s w an equal footing in this and -jMttjH&witb their European fellow ■;Bsiii time districts which may be pro- Ws& settled districts. I have already Jyiotlie correlative rights which it is natives :fl*p3te them for being called upon to jßatiij dnty, If the Act which we repealed, there will : ?B'wg-to the. consolidated. revenue ■■Kttnd fund of £34,000 per annum of-the expenditure of borrowed to pay the native per'annum. Although ■Ppis recoverable, it will be some There has e»n?diiptp3oth September £1,843, ;.?BJ*»afcp«senfc outstanding on this which has been Hi the public works fund. fit Loca:l Bodies. ijßiW W regarded by everyone -]■"«»« onr real financial position SejfjWrioDS source of revenue to * K*S, and the late Government, - re K ret » proposed to 'E" -i rednce the amount of the one-half for jWiW7ear r and I, sir, also with ■ have now to make a MM; fe the present Govern ■fctt!! ope to be * in a p° sifcion to eJr!^* 6 *w^rate next year, ;;WJent shall gee fit; but we IMS'^'after the present year ■Z! ■ T be charged wholly as now, O ne-half that they should v, our ordi nary finance, IKI , for a delinitc " tim e, but β-i^ii 6 ? 111115 source-as, for ci a W?Ppating,to the purpose a eSS,™.' , * 6 . property tax. For e>r. ,?° doDbt th e local bodies e2? provide iunds to carr y »%£^ b ?' »■? do not, how e««SW^ :t6 understand «{*% that the Government, Crown lands and •hJ?JkrW. a savin S fco thafc B iSH ■We are^ •^■SJ revenue eW^-- ocallties whatever - m is absolutely necessary sor ?«S,W chan g e induces c^ l °luteHavin- anabs S^ ■asatißfac- o . ncest -'B^,asfr : Weave to recover our only be done by .■S*»isftf y avoidud - Ji -'m^vt o tMt not only these i !' arß now speakincr, «« k fC S. we have not s° ( ' ,S «i>4l7L*? ,d i * hat wemnst : mSii • ol ' thcm B lh fi e T whol ° of m " BKc bl « tft hem toeexpsndi ■jr>.%ir c^-the ill nv6nience . of

items of which this large sum is .com posed :— Salaries of Ministers .. £3,450 Allowances to members of the General Assembly 10,000 Departmental appropriations, including reductions in respect of Ministers' resi dences, travelling allowances, etc. .. 252,450 Rates on Crown lands, etc .. 32,000 Making a total for a full financial year of £300,000

The amount we shall probably be able to obtain by these reductions within the cur rent iinancial year will be about £71,000, particulars of which will be found in a table appended to this Statement. Proposals Relating to the Current Year. I have already informed the Committee that it is estimated the expenditure of the consolidated fund during the year ending 31st March, 1888, would exceed the re venue by £389,305, if the expenditure proceeded at the old rate, and further taxation be nob imposed. This sum will, however, be lessened by savings during the remainder of the year arising from the reductions we shall be able to give eflect to, estimated at £71,000, and we propose to still further reduce it by increasing the property •tax from 13-16ths of a penny to one penny. These reductions will leave a sum of about £253,000, expended in excess of revenue to 31st March to be provided for; thns,together with the deficit of last year, amounting to £92,293 on the ordinary revenue account at 31st JSlarch, 1887, and of £54,263 on the land fund account, making a total of about £399,500, for which provision has to be made. It will also be necessary to meet the amount to be paid as compensation for loss of office. This will probably be a con siderable sum indeed, large in proportion, as the ultimate saving is as large ; but it is impossible to state the amount, eyeD approximately, at present, or until the Government have determined upon the specific reductions andamalgamations which will have to be made, if Parliament should see iib, as we trust it will, to ratify our pro posals, and limit the total cost of the respec tive services. Now, Imustask hon. members to bear in mind that, as I shall hereafter ex plain, we are proposing to reduce gradually our public works expenditure, and also to shape our ordinary iinance as gradually to enable the consolidated fund to bear many charges for works now borne by loan. If we succeed in doing this, as I think we must, it will entail a heavy burden upon the revenue, and render ib impossible for it to meet the large amount which I have referred to otherwise than gradually. The Govern ment therefore propose that the proceeds of debentures issued under the Consolidated Stock Act, 1884, for interest on investments of sinking fund, to which 1 have referred in my remarks upon the public, amount ing now to about £40,000 a year, bub in creasing yearly, and which for four years, including the present year, have been paid into the consolidated fund, and used as revenue, should from March next be ap plied to redeem yearly a like amount of this deficit until the debt is finally extinguished. We propose also that any credit balance of ordinary revenue from year to year shall be devoted to that purpose instead of being carried forward to the next account, and in the meantime wo propose that short-dated debentures, payable in the colony, shall bo issued to cover the two amounts.

Loan for Public Works.

The Committee will be naturally anxious to know what the Government propose about public works and further borrowing. Ib will undoubtedly be necessary to place the Worth Island Main Trunk Railway loan upon the London market eai'ly next year. The late Government had contemplated issuing this loan about the end of this month, but owing, 1 suppose, to the result of the elections, the matter was allowed to stand over; bub in order to obtain the necessary funds the Colonial Treasurer made arrangements with the Bank of New Zealand here to ad vance £500,000, repayable in London in April next in securities of this loan. The Government therefore propose to place this loan upon the London market at the first favourable opportunity, and the question will naturally now be asked by hon. members how long will it be possible to continue the necessary public works with the amounts at our disposal in tho several accounts of the public works fund? in order to answer this question, let me again call the attention of the Committee to the state of the three accounts in this fund. No. 1 account, which contains the balances of the loans raised prior to 1886, is really exhausted. There was to the credit of the account on the 30th September last, £247,292, with liabilities amounting to £280,495, of which at least £162,000 will come in for payment by. March next, leaving only £85,292 for expenditure next year, with outstanding liabilities of £118,495. It is, therefore, evident that no new votes can be taken against this account, and yet my colleague, the Minister for Public Works, assures me, and he will show you when he makes his Statement, that there are works to the amount of at least £150,000 which it will be impossible to ivoid execut ing, as they are absolutely necessary com plements to undertakings already entered into, and they must therefore be authorised this session. They consist principally of roads to open up Crown lands before sale, public buildings and school buildings, pur chase of native lands, telegraph extension, and harbour defences. In point of fact the £150,000 is a liability, though not brought to book, almost as much as the liabilities which have been brought to book, and must, therefore, be provided for. In No. 2 ac count, the North Island Main Trunk Railway loan, there are ample funds to continue the work for three years at least. In No. 3 account, the funds for several important works which must be completed are prac tically exhausted, and therefore without further funds it will bo impossible to con tinue after the present contracts are done either the Manawatu Gorge line or the Central, even up to Middleman*, which is the leasb distance to which ib may be carried and be of any practical use at all. There are three courses open to 1 arlia me'nt. 1. We may stop those works for which the funds are exhausted. 2. We may u«e some ot the cash to the credit ot the unexhausted items cither in Is o. 2 or No. 3 account to continue the work ot ttie exhausted items. 3. We may decline to raise another loan. The choice thus forced upon us is not a • pleasant one, and yet ib must be made. VY ltn re eard to the iirst course, the. Govern ment is of opinion that all works the stopping of which will not materially retard the progress of the country should be stopped." Mere present inconvenience must not be considered ; but to go further than this would they think bo a very unwise and shortsighted policy. The Government can not, therefore, recommend the adoption ot the first course. We will now consider the second course. Shall we use the money allocated to one work temporarily or per manently upon another work ? It the House should so determine, it will be possible, with the money at our disposal, to find the funds to carry on necessary works to a moderate extent by borrow ing from one account in aid of the funds exhausted in another, and by doing this and limiting our public works expenditure to an average of £70,000 a month for the next Iβ mofe, which, lam »*>"«** can be gradually worked down to, as com pared with an average of fW.OOO a montj, which it has been during the last 12 months -viz., from 31st September, 1886, to end September, 1887, it will be possible to find thl means of carrying on our pubUc worksuntil tho pnfl ot. December ,1888. Difficulties would, however, v arise

shall have run very close with the public works fund, unci it would then bo necessary either to cease altogether to undertake anything further, or else obtain a loan on the best terms we could. In order to understand our real position in fact, it is necessary the Committee and the country should clearly recognise that by the end of December, 1888, in the absence of any further loan, and even if transfers from one fund to another are authorised, the total cash to the credit of all the loan accounts will be only about £37,000, and we should have liabilities already incurred and rapidly accruing due to about an equal amount; and besides, the works in hand would be scarcely any of them completed, or ica profitable state, asborrowingfromone fund to the other to keep things going would necessarily leave every fund short of the purpose for which ib.waa originally in tended. The second of our alternative courses is, therefore, a possible one if Par liament sees fit to adopt it, though, after much consideration, the Government do not feel justified in recommending it, be cause of breaking clown the safeguards which the House has setup against expend ing the money provided for one work for another, for it would nevertheless fail to place us in a satisfactory position in other respects. The Government are strongly of opinion that the colony does not want such a policy (if it can be called a policy) as is in volved in merely saying "that we will not borrow this year ; let us ivaifc for a year." What, in our opinion, the colony wants, and wants imperatively, is a total change of policy as to borrowing altogether. We want so to shape our public works expenditure as to bo able to cease borrowing entirely at an early date. We want first, and at once, to reduco this expenditure, to reduce ib largely, and to reduce it at a constantly increas ing rate, so as practically, and within a short time, to reach the vanishing point. We think it quite possible to reach this desirable end, but not by the second of the proposed courses. The third course, consequently, in our opinion, seems to be by far the most prudent, and the Government, therefore, though with great reluctance, recommend that authority should be granted for a loan during the present session of £1,000,000, to be raised at .such time, and under such circumstances, as the Govern ment may deem most favourable. If Parliament agrees to this we shall a?k that the purpose of this loan shall be distinctly defined; that nu new undertaking shall be put in hand ; and, further, that we shall give a distinct pledge that no more borrowing will take place for three year? from March. 1888. We must in an\ ease, aa 1 have shown, place the Nqrlh itl.md Trunk Railway loan on the market early next year, and as it is unadvisible to ir.uke repeated applications to London for money, the Government think H important to bo in a position to place both loana on the market, at the same time if they should be f>o advised.

We have come to this conclusion, as I have said, with extreme reluctance, but it is, we believe, in the interest of true economy. The Committee, 1 trust, has ample evidence before it that the Government is entirely in earnest in its intention to retrench, to stop all superfluous expenditure, to see, in homely language, that the colony lives within its means; and wo should have been glad to avoid what, to a hasty judg ment, may look like inconsistency in re trenching largely our ordinary expenditure while proposing to borrow further for pub lic works. But you cannot bring such a system of public works as ours to a sudden end without absolute disaster. We be lieve, and think the Committee will agree with us, that were we at once, or shortly, to stop the large and important works' now on hand and unfinished, and comparatively useless, we should bo losing far more than we should gain —in other words, practising extravagance in the name of economy. My hon. friend, the Minister for Public Works, will, i think, be able to show in his Statement that with the expenditure wo propose our prin cipal works can bo brought to what may bo called a state of interim completion, where we may pause without serious loss, and the Committee will observe the safe guards we propose and the essential condi tion wo annex, that no further borrowing shall take place, at all events, for three years from March, 1888. If hon. members will add the amount of the proposed loan to tho available balance left of previous loans, and divide the total by the three years and a half over which it has to be spread, they will find that nn amount £690,913 a year available for public works of all classes ; and it they will further compare this with the actual expenditure from loan on public works for the last three years, which has been at the rate of £1,381,866 a year, they will see that the ex penditure we propose is at a rate less by exactly 50 per cent. In a word, our policy is ab once to reduce this expenditure largely and as rapidly as possible, and as I have said at a constantly increasing ratio, so that by the time the proposed loun is expended, we may be absolutely relieved of the necessity of borrowing further. It is, therefore, a practical application of that policy of " tapering oft" which has met with general approval in the colony, and will enable our public works to be carried on without any sudden break, but at a greater reduced rate of expenditure for the next three years and a half, by which" time we hope to have transferred to the Consolidated Fund a large number of Avorks hitherto charged upon loan, and to reduce to very narrow limits our expenditure on other works which are rightly charged on loan.

Tho midland Hallway.

There is one large and important Avork, the Midland Railway, which 1 have not men tioned, and which I shall here but briefly refer to, as the Government intend to detail the question immediately in another way. The importance of the work in a colonial sense has been repeatedly recognised by the Legislature, bub the Committee will have seen from the papers laid on the table that the negotiations with the Company are still incomplete in important particulars. The Government however hope, with the further aid of the Legislature, to bring these negotiations to a successful con clusion.

Conclusion.

Before I conclude, hon. members will no doubt desire to be made acquainted with the probable effect of our proposals upon the position of the consolidated fund next year, and what prospect there is of our being able to equalise revenue and expendi ture without resorting to additional taxa tion, except tor the purpose of relieving loan of certain charges which I have already indicated should be borne upon revenue. I have no doubt they will be pleased to hear that on the assumption that the ordi nary revenue for 1888-89 comes up to the amount now estimated for the cur rent year, and after making provision not only for half a year's interest (£20,000), on the North Island Main Trunk Railway loan proposed to be raised in April next, bub providing for the extinction of, say, £40,000 of deficit at the end of this year in the manner already stated to the Committee, we hope to be able, as nearly as can now be foreseen, and it will be our earnest endea vour in 1888-89 to carry on the services of the colony, chargeable upon ordinary reve nue, without being under the necessity of proposing additional taxation. With re gard to the land fund, if our proposals with respect to it are agreed to we have every reason to hope that the revenue will be quite equal to expenditure without sacrificing the public interest. And now, sir, I have com pleted my task. I have laid before the Committee as clear and complete an account as I could frame.of the financial position and condition of the colony, and the measures Which, in the opinion of_ the Government, are best calculated to reaeve it of its present difficulties, and to prevent, as far aa ib »» possible to prevent, weir

recurrence in the future. The account I have given neither conceals nor exaggerates those difficulties, while ix, shows that ib is entirely within our own power to overcome them. It needs bub the will to do ib, and the measures I have proposed, embodying as they do three trite bub vital economic principles, of foregoing such things as we can more easily spare than pay for, our making such money as we spend produce the besb possible result, and of increasing and encouraging wealth producers of the colony ; and embodying also, lasb bub not least, a wholesome self-reliance. These measures, I trust, recommend themselves to this Committee, as, I believe, they will to the country at large.

LATEST SPORTING.

New Zen] and Cup.

TRAINING NOTES,

(by telegraph. —own correspondent.)

CimiSTCiiuncH, this day.

No important work done at Riccarton thi s morning. Nelson cantered two miles. Gipsy King, Sextant and Hermitage went very steady once round. Moana was sweated, and Ruby galloped a mile fast. Cruch h'eld, Artillery and Regina were confined to walking exercise, and Torrent and Lor raine were not out. Artillery will probably gallop this afternoon, bub Lorraine was very lame yesterday.

Lucky Sports.

Wellington, bins day.

Two Wellington residents, Messrs Tindall and Bond, drew Silvermine in Adams's Melbourne Cup sweep, the prizes for which were £5,000, £2,000 and £1,000. They laid oft £3,000 to £200, and consequently, as their horse only came in second, they win £2,200, or £400 more than they would have received had their horso won bhe Cup.

WESLEYAN HOME MISSIONS.

The annual meeting in connection with the Wesleyan Home Missions took place ab St. John's Church, Ponsonby Road, last even ing. Mr W. Thorne presided. Fifteen native students from the Three Kings College were introduced by tho Rev W. 1 ottos, and sang hymns in Maori and Eng lish. Tho report on tlui Home Missions. which was of a very FatisJnctory character, wns read by Uui Key ('. tf. Garland. Addresses vvero delivered by the Revs tl. !;. Uowsbiiry and A. i>. Smith, unci at the close of the meeting a collection in aid of tho Home Missions was taken up.

THE TROUBLES OF A PUBLICAN.

George Thompson, licensee of tho Pier Hotel, Albert-street, was examined as to his bankruptcy by the Official Assignee to day. He stated that ho was a shipwright by trade, but gave up his employment eighteen months ago for tho purpose of entering upon a seven years' lease of the Pier Hotel. At this time he was possessed of three houses worth £900, two of which wore clear, and a third was subject to a building society loan of £150. He agreed to take over the lease of the hotel for £900 and the furniture ab £200 subject to 10 per cent, interest in each caso,it being understood that he should pay off the purchase money at his convenience within seven years. Alter the first six months the rental was in creased from £6 to £9 per week, and he gave a mortgage over one of tho houses worth £250 as security for tho lea.se. Tho other two were given in the same way to secure tho furniture, supplies of liquor, etc. Both tho lease and the furniture wore secured by mortgage and bill of sale. During the past year tho cost of running the place had exceeded the takings by £20 per week. Three weeks ago he abandoned the hotel business, being £164 in arrears for rent.

THE DEEP STREAM TRAGEDY.

"DRINK DID IT."

(BY TELEGKAHT— I'BESS ASSOCIATION.)

Ddnedin, Tuesday. From further particulars of the disaster at Deep Stream it appears that Sutton and his wife had been drinking on the preced. ing Sunday evening ab a sly grog shop kept by W. Rutherford. They returned to their hut late in the evening, somewhat the worse for liquor, taking some whisky with them. Later in the night the tM'O men, Elliott and Ure, came along. They also had been drinking, and the proba bility is that when they got into Sutton's hut "they had more drink. About four o'clock next morning the hut was discovered to be on h're. Ab this hour the hub was on lire from end to end, and the roof had fallen in. The bodies were found in the ruins soon afterwards, and from the positions in which they lay it would seem that Mrs Sutton and Ure had succumbed without having made any attempt to escape. Sutton and Elliott seem to have made some attempt to get out. Their bodies were discovered lying together almost on the door-step. Constable O'Brien had the bodies taken to Outram. They are all fearfully burnt, and present a horrible spectacle, bub as there are no marks of violence on them ib seems certain that death must have been caused accidentally by the fire. Sutton was a labourer, and about 42 years of age. His wife was some years his junior. They were married in Dunedin about 18 months ago, bub had no children. Elliott and Ure were both middle-aged men. The former was a stonemason, and his wife and family are in Auckland. Ure was a labourer, and unmarried. At the inquest a verdict of " Accidentally burned to death " was returned.

DIOCESAN SYNOD.

HOLY COMMUNION SERVICE.

TOT annual church services preliminary to the opening of the Diocesan Synod took place this morning at St. Matthew's Church. Matins were said at 10 o'clock by the Incumbent (Rev. W. Tebbs), and at 11 there was a full choral celebration of the Holy Communion, the Bishep being the celebrant, assisted by the Rev. C. M. Nelson (senior chaplain). The other paten and chalice were taken by Archdeacons Maunsell and Willis respectively. Archdeacons Govett, Clarke and Dudley occupied seats within tho altar rails, Archdeacon Dudley reading the first part of the Communion offace. Ihe other clergy present were :-The Revs. Purchas, Beatty, Gould, Baker, Bates, Boler, Burrowes, Calder, Cubitt, Dayies, Davis, England, Haselden, O. Hewlett, T Hewlett, Kattens, Marshall, Mulgan, Richards, Walpole, Walsh, Wilson, Dr. O'Callaghan and a Maori clergyman. Our report of tho Bishop's address at the opening of the Synod, ab 3 p.m. to-day will be found on the third page ot this issue.

POLITICAL GOSSIP.

DEtIVERING- THE STATEMENT,

HOW IT WAS RECEIVED.

(BY TELEGRAPH —OWN REPORTER.)

Wellington, this day. No sooner had the excitement consequent on the receipb of bhe result of the Melbourne Cup race cooled down, than a stampede was made for the Parliamentary Buildings in ordei tohear Major Atkinsondeliverhis Fiuan cial statement. Ministers had kept their pro posals very secret, and as a consequence everyone was anxious to hear what the nature of therebrenchmentschemewas to be_ Ib was nob surprising, therefore, to find that the ladies' and strangers' galleries were filled, and several persons who had gained the right of entree to behind the chair and to the Speaker's gallery were un able to get sitting room. There were 75 members of the Elective Chamber and twenty Legislative Councillors present. A perusal'of the Statement will show that from time to time 1 had sailed very close to the wind in foreshadowing the nature of the Ministerial proposals, while my forecast of yesterday proves to have been absolutely correct. Major Atkinson spoke slowly and deliberately, but occasionally gob mixed over his figures. Little attention seemed to be given to the earlier part of the Statement, which dealt with the last year's deficit and explanations concerning the position of the Consolidated Fund, bub when the question of the tariff was reached, members seemed suddenly to become deeply absorbed, and followed the Treasurer closely. The statement that bhe Oabinet had determined not to deal with the tariff this session caused the protection clement to cry oub "Oh!" Whereupon Major Atkinson humorously remarked, "I will repeat' bhab again, sir, with your permis sion," and on his proceeding to way that the Government were strongly of opinion that ib should nob be touched until ib could be so dealc with as not to need further serious revision for a considerable time to come the free traders in the House had their turn, and applauded heartily. The intimation that substantial reduc tions would be made in Ministerial salaries and allowances, and that some resi dences would be sold were well received by thi. . Committee, but there was an ominous silence when tho reduction oi the honorarium and the increase of the Property lux to o'.ic penny were announced. Ke ferring to the proposed reduction of the number of members, Major Atkinson t-aid that though the .Statement promised the necessary reforms of the electoral laws next session, the Government proposed, if time permited, to take the work in hand this session.

Major Atkinpon was cheered on resuming his seat, and Sir Julius Vogel rose to ask when ib was likely that the tables to be appended to tho Statement would be printed and circulated.

Tho Treasurer replied that tho tables, together with the Estimates, would be dis tributed tho following day. Sir Julius Vogcl : When does the hon. gentleman propose discussion on the State ment?

Major Atkinson : As soon as it suits my hon. friend. 1 will name Friday if that will suit him. I should noi like to ask the House to interfere with private members' days so early in the session. • Sir Julius Vogel : Does tho hon. gentle man propose to take the discussion in Com mittee or in the House ?

Major Atkinson: I should suggest on going into Committee. Sir Julius Vogel: Usually it has been the case to take a week at least to consider the Financial Statement. lam not prepared to say, so far as I am concerned, and speaking only for myself, that ib will be necessary on this occasion to take a whole week. It may bo desirable to go on with the discus sion at an earlier date, and perhaps would be in well to adjourn the matter till Friday as suggested, on tho understanding if we are not prepared to go into Statement then it can' bo postponed till the following day. Major Atkinson said ho was willing to meet the views of the House in the matter, and agreed to the course suggested. Sir J. wanted to know when the Public Works Statement was likely to come down, but Major Atkinson said he could not give tho information asked. The "Budget" proposals had better be dis cussed first.

Protectionists Dissatisfied,

The Financial Statement was well re ceived, and is generally regarded as a masterly production. Of course, the pro tectionists are dissatisfied with the decision not to revise the fcariff during the present session, and may be depended on to enter their protest against the delay asked for, while some hon. members, goaded by the " roar for retrenchment," think that the re ductions, especially in the Defence and Education Departments, are not sufficiently drastic.

A Criticism of the Statement

The Financial Statement is generally regarded as an able and honest at tempt to grapple with the present difficulties, buu exception is taken to the loan projxisals and the increase of the Property Tax. Some honourable members say that deficiency bills will only prevent extra taxation this year and that no provision is made for next year, bub the tables appended to the Statement are not yet circulated. They will show that for the future we shall be able to live within our income, so re course to ex tra taxation will be unnecessary.

Ike Opposition and the statement

The action to be taken on the Budget proposals has nob ycb been determined on, bub ib is sure to be met by an amend ment mainly objecting to the post ponement of ihe question of the encouragement to local industries. Leading Oppositionists say that theyhave not yet had time to consider the figures in the statement which they admit is an able production. Chairmen of Committees. The following appointments as Chairmen of Select Committees were made this morn ing : —Petitions Classification, Mr Reeves ; Goldfields, Mr Seddon; Local Bills, Mr Downie Stewart. The Midlaml Railway. Major Atkinson will this afternoon lay before the House the draft con tract with the Midland Railway Com pany, and will propose certain altera tions, but Government will restrict tho company in the choice of theirlands to the prescribed area originally agreed on. In place of moving for a Select Committee ho will move that the matter be considered in committee of the whole House, The New C/tistoiu-ifonsc The Minister of Works gave Mr Thomp" son to understand to-day that the erection of the new Departmental Buildings (Custom House) ab Auckland depended entirely on the House agreeing to the new loan. Not a penny is available now for building?, but if the loan is assented to, Mr Newson's tender will be accepted, and the work commenced immediately. Mr Thompson is urging the use of Blaikie's fireproof plaster.

Chairman of Qoldfields Committee. Mr Seddon was unanimously elected Chairmen of the Goldfields Committee to day on Mr Riohardson'e motion.

Thames Workmen's Wagon. The moneys of the wages to men on Heath and Irwin's Hikutaia contract im pGunded by order of the Thames Court are to be paid within the next two or three days. Mr Cadman has been agitating the matter. Ponsonby Postal Delivery. The Postmaster-General has promised Mr Peacock to inquire if an afternoon postal delivery beyond the Three Lamps, Ponsonby, can be effected without additional expense, and if so, to give it a trial. Auckland Petitions. Petitions have been presented from Catherine Coolahan, Jonathan Mann, William Henry Wakeham, James Young, Henry George Barber (to be released from the Lunatic Asylum), JamesConley, Edward Latimer Clark, George Hardy, and William Miller. Australasian Federation. Government have no intention of taking steps during the session or recess towards entering the Australian Federation. Poor Wellington! Mr Taylor has stated in the House his determination to move that the seat of Go vernment be removed to some inland place in Canterbury. Native Land Legislation. Sydney Taiwhanga intends to introduce a bill to repeal the Native Land Adminis tration Act. The Trunk Railway. Twelve petitions in favour of the Strat ford route were presented to the House yes terday by Auckland and Taranaki members. The successive shots were fired off amidst a great deal of laughter. California Tbistle. Government are instituting inquiries relative to Californian thistle pest, and if found to be increasing legislation on the subject will bo introduced. Railway Servants' Grievances. The Minister of Public Works denies that there is a rule in existence providing for the dismissal of railway servants when they reach a certain age. Petitions Committee. The Petitions Committee is divided into two this session, notwithstanding the objection of the Opposition. Mr Turnbull, late chairman of the committee, was omitted from the members proposed at his own re quest. Anti Cninose Legislation. Mr Reeves wishes to amend the law so that the Chinese leaving the eclony may not bo granted a permit to return. Electoral Reform. Government hopes to bring down a bill this session dealing with the question of electoral law and purifying rolls. Railway Servants' Relief Fund. The Minister of Public Works thinks railway employees should form a relief fund of their own in case of sickness. Major Noake's Pamphlet. The Minister of Defence has promised to read Major Noake's pamphlet, which was issued contrary to the regulations, and then take what steps are necessary to maintain discipline. Denominational Education. Petitions in favour of State aid to Catho lic education still continue to pour in. Delayed Telegrams Mr Reeves is urging Government to allow 25 words to be substituted for 10 words for delayed telegrams at existing rates. Railway Reductions. Mr Mitchelson denies that reductions have been made in the wages of railway employees at Dunedin from 7s to 6s 6d per day, or that instructions have been given to discharge men. Men on permanent way could not be dismissed, but some of the others will have to go in the course of re trenchment. Vailc's System. Mr Thompson will to-day give notice to nsk Government if they will give a trial to Vaile's system on the Auckland and Wai kato or some other railway.

THE NEWTON EAST FLOGGING CASE.

INQUIRY TO BE HELD.

Although there are evidently to be no pro ceedings for assault instituted in connec tion with the caning of the girl Kate Sheard at Newton East School, the matter has not been allowed altogether to drop. An inquiry, which is to be open to the press, has been arranged to take place at the schoolroom on Friday evening next, when the Newton School Committee will take evidence on the subject, and express their opinion on the whole question. This inquiry has, we under stand, been agreed to at the request of Rev. Mr Coates, and the holding of it thus publicly should do much to restore the coniidence of parents in the management of Newton East School.

BOATING DISASTER FEARED.

FOUR MEN MISSING,

(BY TELEGRAPH—OWN CORRESPONDENT.)

Tauranga, this day. A boat containing four natives left here for Motiti Island on Friday night, and a s they have not reached their destination it is feared that a casualty has occurred. At the time the boat left there was a heavy north-east swell running, with a fresh breeze, and the boat was watched for some time after leaving, as it was felt to be a risky undertaking,- leaving when they did for Motiti. The friends of the missing men have been, out in boats in all directions searching for traces of them, but without avail so far. The Government have in structed the station masters along the coast of the supposed catastrophe, and requested them to keep a sharp look out for the missing boat and its occu pants.

Constables have also been despatched to examine the beach for bodies.

INCITING TO ARSON.

(BY TELEGRAPH. —PRESS ASSOCIATION.)

Christchurch, this day. Charles Christian Somers was committed for trial yesterday, on the charge of inciting Tola Laura I/.ett and Sarah Izett to set fire to their father's shop in Colombo-street. The evidence of Mrs and Miss Izettj corroborated by Louis Carmine, tele" graphist, was that in January last Mrs'lzett owed Somers £353 for goods, and several tomes he tried to persuade her to burn down the shop so that he might get his money out of the Insurance.

Mr Seaman, as Returning Officer, reports the further nominations for riding repre sentation in the Waitemata County Coun cil : On Monday, 31st October, for Wainni Riding, Messrs Charles Hardy, Andrew Jack, jun., and John Moflatt. Mr Inglis, who had announced his candidature, was ten minutes too late. For Helensville Riding, Messrs Isaac McLeod, and James Alexander McMahon; and on Tuesday, Nov Ist, for Karangahapo Hiding, Mr Robert Sinclair, being the only candidate, was declared elected. The pollings will take place, as all ready advertised, on Wed nesday 16th inst.

LATE CABLES.

THE CASS CASE.

THE POLICEMAN ACQUITTED.

(reutek's),

London, November 1. The trial of police Constable Endi cott on the charge of perjury in con nection with the arrest of Miss Cass, has resulted in the acquittal of the

accused,

ENGLAND'S FORTRESSES.

A FEANCO—RUSSIAN DEMAND.

(SPECIAL TO PKESS ASSOCIATION.)

London, November Ist, The Russian and French newspapers are making the extraordinary proposal that England should be asked to evacuate Gibraltar, and also the Island of Perim, commanding the entrances to the Mediterranean Sea and the Red Sea, as unless this is done the Anglo- French Convention to secure the neutrality of the Suez Canal will be practically useless.

ANOTHER DEATH FROM SMALL-POX.

(reuter's telegeam.)

Hobabt, Tuesday. Another death from small-pox has oc curred atLaunceston, making the tenth since the outbreak of the disease. There are still thirty patients in quaran tine.

GOLD IN WESTERN AUSTRALIA

[eeuter's telegram.]

Perth, Tuesday.

Good indications of gold-beaiing country have been discovered on the Hampton Plains, about 250 miles to the eastward of this city.

[special.

DIVIDEND DECLARED.

The Union Mortgage Agency Com pany, of Australia, has declared a dividend of ten per cent, carrying for ward and placing to Reserve Fund £U,QOO.

BANK OF NEW ZEALAND.

London, November 1. Bank of New Zealand shares are quoted at

FORTIFYING THURSDAY ISLAND.

In a letter published in the " Times," Lord Brassey urges the Imperial Go vernment to proceed with ths fortifica tion of Thursday Island, which he says will become a future Aden. He alleges that the work, which need not be costly, is urgent in its character.

NEW STEAMER.

London, October 31, The steamer Damascus, an Aberdeen mer, has been launched.

THE TIMBER INDUSTRY.

VALUE OF MIDLAND RAILWAY LANDS.

(BY TELEGRAPH. —PRESS ASSOCIATION.)

Grkymouth, this day., TftE sawmilling industry is making rapid strides in this district, and land along the railway purchased years ago for a few shil lings, is now yielding from seven to nine pounds per acre for royalty on the timber cut up on it. One piece of silverpine bush used for sleepers is paying over £20 an acre to the owner.

FIRE INQUEST.

An inquiry into the fire which destroyed the residence of Mr Charles J. Aicken at Epsom, on the Ist September .last, is *o be held at the Junction Hotel at 2.30 p.m. to-morrow. The house de troyed was a residence containing eight rooms, owned by Mr Chas. Williamson. The furniture and effects were insured for £180,, the residence for £325 and a stable for £25.

The stock market has not yet recovered from the effects of the non-declaration of a dividend by the Bank of New Zealand. These shares are asked for at low rates, and there are buyers now at £11 and sellers about £12, but very few actual transactions. AH other stocks are dull of sale. New Zea land Insurance are quoted at 70s; South British about 36a ; Taupiri Coal are wanted at 29s 6d. In mining, business is very quiet. The Royal Oak has declared a divi dend of 6d per share, and the stock is in fair demand. Cambrias are worth sa; Saxon, 3s 2d, and Caledonian about 6s.

The question of solicitors' costs was brought before Mr H. C. Baddeley R.M., at the PoKce Court this morning by Mr Button. In a case where a fine of £1 was inflicted the costs totted up to £4 4s, and Mr Button protested against the large sum of £3 3s being claimed by the counsel for the Crown, Mr Theo. Cooper. His Worship pointed out that considerable negligence had been shown in the case, and that only a small fine had been imposed. Had the fine been £50 probably Mr Button would not have objected to the costs. Mr* Button replied that he would have done sojn; any case, and Mr Cooper pointed out tb£fcjif., there had been no conviction his would have bee'ti only one guinea. 'Sip Worship said that before he came to Aucte land he usually allowed oneguineasolicitors costs, but .he found the larger sum usual here and followed the precedent thus recognised.

A Maori boy named Hone Tohiea at tempted to get into one Of Messrs D. Nathan and Co.'s carts in Queen-street last evening. Hβ missed his *° bfcin f' *™ the cart befng in motion, he fell under one of the wheels. The wheel .went over his £g and bruised it, buf fortunately, no serious injury was sustained. ■ -

OUR GOLDFIELDS.

BY TOLSOBAPH.—OWK COSBMSPCfmV&V.)

Thames, thie day.

The Thames Foreshore. At the meeting of the Harbour Board yes terday afternoon, it was mentioned that a sum of £47 had been owing by Mr lappand others for a considerable time in conneotiofl with the lease of the foreshore, upon whioh tailings are deposited. It was decided to instruct the Secretary to draw Mr. Lapp S attention to the conditions of his lease, though some of the members were favour able to the adoption of a more extreme course. The Hilrataia Leases. At the sitting of the Warden's Court to morrow the adjourned applications fpr licensed holdings at Maxitoto will again come on, when it is probable the majority will be granted, as I am informed that most of the surveys have been completed and forwarded to Auckland for approval. Battery Bent. A sum of £82 is due by the Moanataiari Gold Mining Company to tjhe Harbour Board as rent for the battery site, and &b the meeting yesterday, Mr F. A. White, manager, asked that a p.n. should be ac cepted, at three months for the amomit. The Board declined to do so, but resolved to inform Mr White that they would be willing to take some portion of the rent due —say one-half now, and the balance in three months.

THE FRUIT SEASON.

RECOMMENDATIONS TO

GROWERS.

HOW TO PACK FOR MARRjIt.

We have received from Messrs Arthur and Buddie the following interesting and-

seasonable communication on the above subject, which we recommend to the atten_ tion of orchardists :—

As the fruit season is again approaching, it has occurred to us that growers might be glad of a few hints as to the mode of pack ing and transit to market, which will best secure to them satisfactory results. Much of the dissatisfaction that is at times ex-

pressed by shippers and others, on receipt of their account sales, can be accounted- for by want of care on their own part, resulting in the fruit coming to market in an un marketable condition. To minimise the chances of this dissatisfaction, we beg to make the following suggestions, which are based upon over 23 years'experience as fruit salesmen.

In the first place great care should bo taken to pick all soft fruit such as plums, gages, apricots, peaches, cherries and cur rants" fully grown, but before it is quite ripe. These should be packed in small, shallow cases, lined and covered with paper (not leaves or grass). Cases should be securely fastened, leaving- open space sufficient for ventilation, but not wide enough for pilfer ing fingers, f Gooseberries sell best before they are ripe, but the fruit should be well developed. As far as possible, let the large and small be packed separately, and in 121b to 251b boxes. .•

Cherries require very careful handling. Cases should be very shallow, and in pack ing exclude leaves and wood. Pears should not be allowed to become over-ripe, and great cane must be taken to avoid bruising in picking and packing. We would recommend that cases should not contain over.4olbs.,weight.. If specked or damaged are sent, let them come forward -in separate cases, marked as such. Apples : It generally:,happens that at the commencement of the season the prices are such as to tempt growers to rush apples in regardless of their condition. This is to be deprecated, and can only result in disap pointment. Keep your apples on the trees until they are fully ripe, then assort and pack with care (not mixing large, small, and damaged together), and we ; venture to think there will be less, cause to complain about low prices. Lemons : If more care were taken in as sorting those sent to market, it would pay the grower. Grapes require most careful handling, and should be packed in shallow cases lined • with paper. Quinces are frequently unsaleable when they come to hand, owing to carelessness in handling and packing; they should be sent in cases only. Generally, and with re gard to all fruit, the chief points to be ob served in sending to market are, (l)Care that the fruit, when picked, is fit to stand the ordinary risks of the journey it has to take ; and (2) That it is so packed as to re duce those risks to a mnnimum. Weighing and addressing. It would, be a great advantage to all concerned if more care were taken under this head. Cases should always show the gross, tare, and net weights (particularly the tare), and addresses should be and securely affixed. Avoid paper labels.

The adjourned meeting for the re-forming of the Auckland Rowing Chih was held last night and was well attended, Mr Thos. Henderson being in tlie chair. Thirty seven names were submitted to the meeting as new members, and it was then decided to re-form the Clubhand Messrs T. Hender son, Younghusband, Lindsay, James, Baker, Daere, and St. Clair were appointed a committee to canvass for new members and obtain estimates of cost of boats, shed, etc. Several matters of interest were then discuseed, and the members adjourned till Friday, the llfch inst.

Professor Carrollo's pupils at Mrs Law's private school, Remucra, gave a very suc cessful drawing-room gymnastic display last night before a large number in the schoolroom. The young ladies went through various exercises in Indian Club and dumb bell practice to music, and also did some clever work on the Roman rings, etc., suitable for girls.

Special attention was directed to two, or more dangerous railway crossings neai* Mount Albert during the hearing of a case at the Police Court to-day. It was stated that the configuration of the ground waa such that trains could not be seen approach ing the crossing, and the necessity for the matter l'eceiving immediate attention was pointed out. Mr Theo. Cooper promised to bring the matter under the notice of the Minister for Public Works.

COMING EVENTS.

Meetings, &c. To-night.

Abbott's Opeia House—" The Fairy of the Glen" ana •' The Green Lanes of Erin," 8 Agricultural Hall—Mohawk Minstrels, 8. Art Gallery—Auckland Society- of Arts Exnioi-

i tion. 7.30. I_; ; j Foresters' Hall, Newton—Musical and Elocu- , OdSo^ffi 3 Sonby-Lodge Fonsonby, CWh-Diwesan Festt- - : i&"i e -9tr ce tChurch^arreyHill3-Lecm^ by Pastor A. G. Darnells, 7.«0.

Rota of Justices at Police Court.

November 3, Messrs p1 ; A. Philips, aad G. P. !; Pierce. ■ r .— — ~X — 7~~. -■ -- ■'..-.. ", ■ ■ -tP'i

Auction Sales To-morrow.

Q, Lewis-Lease of an Iron Storqll, , / - IX F. Kvnns—Furniture, Bicycle/ &<v . , / E. Loydon—S.s. Tarn o' 12. * T. M. Jatfkson, noxt Greyhound. Hotel W^ pery, CJothing, eto., 11, . \y. s, Cochrane nod Son, W&totb&eftliP^'' - Household FuraUtue, 2, Tf '

TILET AUCKLAND EVENING STAR, WEDNESDAY, NOVEMBER ■$. 1887. '

5