Issue. Rules as to Gambling under the 17th Section of the Ordinance. It is right to state that Mr. Smith was in error in ascribing to that Ordinance extensive operation which in his report he attributed to it. Sections 17 and 18 of that Ordinance impose fresh liabilities only on parties resident in the house, and therefore all prosecutions under the Ordinance have hitherto failed, as Mr. Smith had originally anticipated.

9. This Government therefore finds itself much in the same position in that particular as before the passing of that Ordinance. Whilst I have secret information at this moment of gaming houses, the information has been supplied by one of the Police who has ostensibly agreed to take a weekly payment for conveying information to the Police of all intended action likely to affect the new houses. The protection afforded by the Ordinance, though supposed to have been pushed as far as was compatible with local prejudices and much further than would be permissible in England, has not been found in practice so effectual against gamblers.

Gaming information has been supplied with the intention to establish seven more houses. Hence, though there is information against the actual gamblers, there is a want of proof that the residents were also implicated.

I do not think it advisable to postpone the period for putting the new experiment into operation, though equally with Your Excellency, I regret the necessity...

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