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NEW SOUTH WALES

Despatches from the Secretary of State.

THE DUKE OF NEWCASTLE.

No. 1.

No. 1.

Copy of a DESPATCH from the Duke of NEWCASTLE to Governor General
(No. 67.)

Sir C. A. FitzRoy.
SIR,

Downing Street, April 22, 1853.
I have received, and have considered with the attention which it
deserves, your Despatch, No. 115.,* of the 26th of July last, relative to the
principles on which the financial accounts between New South Wales and
Victoria, arising out of their separation, should be adjusted.

On a question of so much importance to the two colonies, and one on which their respective governments are prepared to be guided by the decision of Her Majesty's Government, I was anxious to be assisted by the advice of the Lords Commissioners of the Treasury in order to have the weight of their authority

in favour of the conclusion which might be adopted. I now enclose, for your Colonial Office, information and guidance, copies of the correspondence which has passed with 21 March 1853. their Lordship's department, by which you will perceive that they agree with

Treasury, me in considering that the division of the revenue of the colonies of New 9 April 1853.

South Wales and Victoria should take place from the date of their legal separation in the year 1851.

You will also observe that the Lords Commissioners of the Treasury feel no doubt that the general provision made in the Act 13 & 14 Vict. c. 59. for the separation of the two colonies will justify the adjustment of the accounts on this principle without any further Parliamentary enactment, and that the authority of the Secretary of State, in concert with the Board of Treasury, will be a sufficient warrant for the transfer from one colony to the other of the balance which may be pronounced to be due at the time of the separation.

Now the sum due to Victoria out of the general revenue, on the principle above laid down, appears to be 33,4521. ls. 2d. ; but as an advance for the public service of the new colony has already been made out of the general revenue of New South Wales to the amount of 33,6881. 3s. 3d., the difference of 2361. 2s. 1d. remains due from Victoria to New South Wales in respect of the general revenue.

Again, as regards the territorial revenue, the governments of both colonies would appear to be agreed on the principle of adjustment suggested by Mr. Latrobe, according to which a sum of 72,6691. lls. 8d. having been advanced by you from the territorial revenue of New South Wales, and the sum of only 61,544.. 17s. having been due to that colony at the time of separation, the sum of 11,1241. 14s. 8d. will have to be refunded to New South Wales by Victoria on this account.

I shall accordingly, by instructions of even date* with this Despatch, authoriz and instruct the Lieut.-Governor of Victoria to transfer to the government of New South Wales the two foregoing sums of 11,1241. 14s. 8d., and 2361. 2s. Id., making in all 11,3601. 16s. 9d.

I have, &c.
Governor FitzRoy,

(Signed) NEWCASTLE. &c. &c.

* Page

Eucl. 1 in No, .

Enclosure 1 in No 1.
SIR,

Downing Street, March 21, 1853.
I am directed by the Duke of Newcastle to transmit to you, for the consideration of
the Lords Commissioners of the Treasury, the enclosed copy of a Despatch from the
Governor of New South Wales, No. 115., of the 26th of July last, relative to the principles
on which the financial accounts between New South Wales and Victoria arising out of
their separation should be adjusted.

On the division of the territorial revenues the governments of the two colonies are now agreed, concurring in a proposal of Lieut.-Governor Latrobe's which may be considered

| Page 10 of Papers relative to the Australian Constitution presented to Parliament by Her Majesty's command, 14th March 1853.

NEW' SOUTH WALES.

rery favourable to the province of Victoria. It allots to that province a sum of 16,0001. more than it would have received if the division had been made on the principle originally put forward on behalf of New South Wales.

On the general revenue the two governments remain at issue. The Lieut.-Governor of Victoria desires that the division both of revenue and expenditure should date from January 1849, when Her Majesty was first pleased to direct formal steps to be taken towards effecting the separation of the two colonies. The government of New South Wales, on the contrary, contends for a principle previously recommended by the Executive Council of the colony, when they advised the separation of the colony in 1846, viz., the division of the existing balance at the date of the legal separation in the ratio of the respective revenues of the two colonies for the previous twelvemonth. The pecuniary difference which would result from proceeding on the latter basis amounts to upwards of 21,0001. in favour of New South Wales.

Her Majesty's Government are requested to consider the subject, and to determine which is the more equitable mode of apportionment.

I am desired to state, that to the Duke of Newcastle the correct proposition appears to be, that the division of the revenue should take place from the date of the legal separation in 1851, as suggested by the Executive Council of New South Wales; but that his Grace is anxious to submit the question also to the Lords Commissioners of the Treasury, to learn whether they concur in this view.

I am further to state, that his Grace would be glad to be apprized, with reference to the concluding paragraph of Sir Charles Fitzroy's Despatch, whether it appears to their Lordships necessary that an Act of Parliament should be passed in order to authorize the transfer from the Treasury of New South Wales of such balance as may be pronounced due to the new colony of Victoria at the time of its separation.

I am, &c. Sir C. E. Trevelyan,

(Signed) H. MERIVALE. &c. &c.

Encl. 2 in No. 1.

Enclosure 2 in No. 1. SIR,

Treasury Chambers, April 9, 1853. The Lords Commissioners of Her Majesty Treasury having had under their consideration your letter of the 21st ultimo, and its enclosure, relative to the principles upon which the financial accounts between New South Wales and Victoria arising out of their separation should be adjusted, I am commanded to acquaint you, that my Lords concur in the opinion expressed by the Duke of Newcastle, that the division of the revenue of the colonies of New South Wales and Victoria should take place from the date of the legal separation in 1851.

It appears to my Lords, that although no special provision is made by the Act 13 & 14 Vict. c. 59. as to the exact date to which the accounts should be adjusted between the respective colonies, the provisions therein made with respect to the separation of the two colonies are sufficient to justify the adjustment of the accounts upon this principle, without further Parliamentary enactment, and that the authority of the Secretary of State and of this Board are sufficient to authorize the transfer from one colony to the other of the balance which may be pronounced to be due at the time of the separation.

I am, &c., Herman Merivale, Esq.,

(Signed) C. E. TREVELYAN. &c. &c. &c.

No. 2.

* Page 1.

No. 2.
Cory of a DESPATCH from the Duke of NEWCASTLE to Governor General

Sir C. A. FitzRoy.
(Confidential.)
Sir,

Downing-Street, June 3, 1853. I have received your Despatch marked confidential,* of the 1st of January last, in which you report the postponement by the Legislative Council until the subsequent session of the Bills which had been introduced under the authority of the Constitutional Act, 13 & 14 Vict. c. 59.

I forbear from any discussion on the subject of your Despatch, as that from Sir John Pakington of the 15th of December, and my own of the 18th of January last, which bear so intimately on the general question, had not been received by you on the date at which you addressed me.

I have, &c. Governor FitzRoy,

(Signed) NEWCASTLE. &c.

&c.

NEW SOUTH WALES.

No.3.

SIR,*

No. 3.
Copy of a DESPATCH from the Duke of NEWCASTLE to Governor General

Sir C. A. FitzRoy.
(No. 85.)

Downing Street, June 15, 1853. The Lieutenant-Governor of South Australia having reserved for the signification of Her Majesty's pleasure an Act of his Government “to amend the Laws of Customs in that colony,” in consequence of a doubt which was entertained by the Advocate-General of South Australia, whether such a reservation was not necessary under the combined operation of the Imperial Acts 5 & 6 Vic. c. 76. and 13 & 14 Vic. c. 59. I thought it necessary to submit the legal question at issue for the consideration and opinion of the law officers of the Crown, and I now transmit for your information and guidance an extract of the Despatch which, after receiving the law officer's report, I addressed to the Lieutenant-Governor on the subject.

I have, &c.
His Excellency Sir C. A. FitzRoy, (Signed) NEWCASTLE.

&c. &c. &c.

No. 13, May 11,
1852.
See page 159.

No. 4.

No. 4.

Copy of a DESPATCH from the Duke of Newcastle to Governor General

Sir C. A. FitzRoy.
(Confidential.)
SIR,

Downing Street, August 4, 1853.
On referring to the correspondence which has taken place between
yourself and the Home Government on the subject of projected changes in the
constitution of New South Wales (now collected in the papers presented to
Parliament on 14th March last), you will observe that I have notified to you
my intention of addressing you more in detail on some of the most important
parts of the subject.

I have, however, hitherto delayed doing so, in the expectation that I should soon be put in possession of the ultimate decision of the Legislature on the proposed change. Hitherto this expectation has not been fulfilled ; and it may be, that the urgency of the economical questions which have arisen out of the extraordinary events of the last two years has superseded for a time the interest of political changes. If so, there is perhaps the better prospect of their being fully and fairly considered. But at all events I have thought it advisable not to let the opportunity of another mail pass without explaining my views on one point, which, as it appears to me, the course of events will soon bring prominently forward.

It is not my present purpose to enter into any discussion on the abstract merits of party or responsible government, and I am not disposed, therefore, to inquire whether there was good foundation for the assumption which has hitherto prevailed, that the Australian colonies were as yet tno scantily peopled, and the colonists too exclusively engaged in the first labour of establishing a community, to afford sufficient materials for the construction of this kind of polity. But, whatever the justice of that assumption may be, it is plain that the extraordinary increase of wealth and population which is now taking place is removing from day to day, with a rapidity unequalled, the grounds on which it has hitherto rested. There are, no doubt, many who will still be of opinion that the peculiar character of the population, thus rapidly augmenting,—its as yet slight connexion with the soil, and its addiction to the engrossing pursuit of material progress,-render it unfit to exercise any increased powers of self-government. But even if that opinion were well founded (as I am myself disposed to hope it is not), all will agree as to the extreme difficulty of withholding political privileges from bodies of men to whom the maxims now prevalent in British domestic policy afford so strong a right to claim them,

* Similar Despatch addressed to Lieutenant-Governor of Victoria, No. 69, June 15, 1853.

NEW SOUTH WALES.

and of keeping our fellow subjects in Australia on a different political footing from those to whom those rights have been fully conceded in America.

It appears to me, therefore, that while public expectation is as yet but little excited on the subject of responsible government, it is very desirable that we should prepare ourselves to regard its introduction as a change which cannot be long delayed, and for which the way should be smoothed as far as possible by the removal of unnecessary impediments.

Nor is it necessary that the preliminary steps should be many or important. The transition has been effected in most of the American colonies with comparatively little disturbance of existing interests, or even of existing political feeling. The main point is, to make it reasonably certain that no injustice will be done to individuals, and no discredit thrown on the public faith, implicitly pledged to them during good conduct, by their arbitrary removal from office. In the few cases in which such removal is essential to the working of the new system, it can only be allowed to take place with the grant of an adequate pension or other fitting compensation.

I am glad to think, from various recent indications, that your task in effecting the necessary negotiations for this purpose, when the case arises, is likely to be comparatively easy. The Legislatures of the Australian colonies have shown themselves very far from deficient in liberality in such transactions as have lately taken place between them and the Home Government; but the facility will probably be much greater if the change should take place before the occurrence of any of those reactions of temporary adversity which cannot but be anticipated as probable after a period of such unparalleled advance.

But with regard to all future appointments to situations of that class which are ordinarily regarded as subject to change with a change of administration in a colony, it is my particular wish that you should make candidates for them fully aware that they can now only be taken subject to the contingency of removal without compensation. This is the course which I have myself adopted in the only instance which has offered itself since I took the seals of this department, and it is most essential with a view to the avoiding of future difficulties.

I must, however, add, that I do not see how this form of government can be substituted for that now prevailing until the Legislature shall have effected the reform already proposed by itself

, by constituting a double chamber. To conduct what is ordinarily understood by a responsible administration with a single house, composed in part of nominees of the Crown, would be at all events a new experiment, and one of which if I cannot very well foresee the issue, I am not inclined to anticipate the complete success. I have thought it advisable to caution you beforehand on this point, in case any accidental circumstance or difference of opinion should have delayed the passing of the measure which has been so long reported to me as under consideration.

I have only, in conclusion, to invite your attention to the consideration which I have thus brought before you, and to assure you that I shall feel myself materially assisted by a speedy and free communication of your own views upon it, whether they may or may not accord with those which I have here expressed.

I have sent copies of this communication to the several Lieut.-Governors of Victoria, South Australia, and Van Diemen's Land.

I have, &c. Governor FitzRoy,

(Signed) NEWCASTLE. &c.

&c.

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Sir,

COPY of a DESPATCH from the Duke of NEWCASTLE to Governor General (No. 112.)

Sir C. A. FitzRoy.

Downing Street, August 30, 1853. I have the honour to acknowledge the receipt of your Despatch, No. 59,* of the 11th of May last, enclosing copies of the speech with which you had opened the session of the Legislative Council, and of the address presented to you in return by the Council.

* Page 1.

NEW SOUTH

WALES,

I desire to express the gratification I have derived from observing in this address the just sense which prevails of the advantages enjoyed by the colony of New South Wales, and of the solidity of its resources, and the extent to which they admit of being carried, and from noticing also the terms in which you and the Council have interchanged assurances of a disposition to concur and co-operate in whatever measures the public interest may seem to require.

I have recommended, for Her Majesty's confirmation, your appointment of Mr. Thomas Barber to a seat in the Council

, in the place of Mr. Icely, and shall seek an early opportunity of forwarding to you the necessary warrant.

I have, &c.
Governor FitzRoy,

(Signed) NEWCASTLE. &c.

&c.

No. 6.

Page 8

No. 6.
Copy of a DESPATCH from the Duke of Newcastle to Governor General

Sir C. A. FitzRoy.
(No. 8.)

Downing Street, January 14, 1854. Sir,

I HAVE to acknowledge the receipt of your Despatch, No. * 114, of the 6th of September last, transmitting a letter addressed to me by four members of the Legislative Council, urging the immediate separation of the northern districts from the colony of New South Wales.

I
Governor Fitz Roy

(Signed) NEWCASTLE. &c. &c.

am, &c.

DESPATCHES FROM THE RIGHT HON. SIR G, GREY, BART.

SIR,

* Page 24.

No. 7.
Copy of a DESPATCH from the Right Hon. Sir GEORGE GREY to

Governor General Sir C. A. FitzRoy.
(No. 8.)

Downing Street, July 2, 1854. I have had under my consideration your Despatch No. * 160, of the 20th December last, on the subject of the collection of Customs Duties and the establishment of Civil and Criminal Jurisdiction on the river Murray, in which you suggest the expediency of obtaining an Act of Parliament which would confer on the colonies of New South Wales and Victoria concurrent jurisdiction in all matters civil and criminal occurring on the waters of the Murray, and which would at the same time empower the Legislatures of the two colonies to pass local Acts in concert for regulating all such matters.

On the subject of Customs Duties, I have received from the Lieut-Governor of South Australia a copy of a letter bearing date the 11th * of November last, addressed to the Colonial Secretary of the Government of Victoria, with a memorandum showing the manner in which he proposed to effect the collection of such duties claimed by the colonies of New South Wales and Victoria on riverborne goods carried up the Murray. A similar communication is stated to have been addressed to your Government although you do not advert to it in your present Despatch. ' It appears to me, however, that the arrangement therein contemplated is in many respects preferable to that which is proposed by your Executive Council, and I therefore call your attention to it, and I shall be glad to receive from you any

you any observations upon it.
The necessity for some Parliamentary enactment, will be considered in con-
nexion with any Bill on the subject of Australian Government.

I have, &c.
Governor Sir C. A. Fitzroy,

(Signed) G. GREY &c.

&c.

&c.

* Vide Pages 15 and 16 House of Common’s Paper No. 89, March 7, 1854. the River Murray, Australia."

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