Memorandum by His Honor the Superintendent, Napier, on Land Purchases by Messrs. Davis and Mitchell.

Bay of Plenty.—Respecting Land Purchases at Bay of Plenty and Taupo.

The attached report from Messrs. Mitchell and C. O. Davis, of the result of their negotiations to the date of their letter, for the acquisition of the Taupo and Rotorua lands for the Government, is submitted for the consideration of the Government. The reply made by me to Messrs. Mitchell and Davis was to the effect that I was satisfied with the progress made—that they had better refer for authority in the case of each block, when they could state definitely the terms on which such block could be acquired—but that as regards the interests of the private parties referred to, the Government could not recognize any claim. Since then Messrs. Mitchell and Davis have made agreements for several blocks, comprising about 250,000 acres, and are still continuing their work. At present they are engaged upon the Patetere country. The Native Minister will observe that no definite arrangements have been made with Messrs. Mitchell and Davis as to the remuneration, but I led them to understand they would receive similar remuneration to what they would have received from the parties who employed them before the Government.