position under the recent arrangements, I wish to premise that I think Colonel Caine ought not to be prejudiced in the slightest degree by changes made under the direction of the Government, and for the convenience of Public Service, and whatever may be the ultimate decision as to my own salary, should not be raised at Colonel Caine's expense.

But it may be a question in future arrangements whether the office of Colonial Secretary should not be associated with the Military Command - or devolve upon the Lieutenant Governor in the Governor's absence. I consider that the Military Secretary should not be retained. Appointment largely ornamental and seldom invested with real duties, is likely to expose its holder to undeserved animadversion and annoyance, especially when payment is made from the Colonial fund.

7. The grounds which influenced the Duke of Newcastle to introduce changes in the general manner in which the government of the Colony should be conducted are stated by Mr Secretary Peel in his dispatch of 15th February 1854 - They were.

1st That the Civil Establishment...

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