total of ships entered into the two import- aut colonies of South Australia and Western Australia put together are actually less than the increase we have made this year. In truth, gentlemen, when I compare the posi tion of this Colony with that of other colo- sies, and especially when I remember-and we are bound to do that, I think, in fairness~~~ that in the nine months to which I have been referring, and of which I have the authentic returus now before me, may be said that our prosperity is due to no real activity of trade in the United Kingdom or India, we surely have the utmost cause for satisfaction. In the United Kingdom during that period there has been great depression. In India, we have had during the same period great mercantile uncertainty, an uncertainty that still continues. In China itself we have had a severe and desolating famine, and even down to the Kwang-tung province, which this Colouy adjoins, there has been during the same period unexampled and severe distress, i Therefore it is some satisfaction to me to-day in making to you this preliminary financial statement--sketching out to you the proposals I may have the honour to submit to you I hope at the usual time next month-to know that in the history of this Colony no Governor was

over before able to put before his Council ! such indisputable proofs of growing, stondy, and safe prosperity as the facts that you have before you to-day. And, gentlemen, knowing | that, I have every confidence that you will assist me cordially in dealing with the fin ancos next mouth in such a way as to effect for the taxpayers of this Colony a consider. able reduction. It will be our duty no doubt to maintain our revenue at a safe figure, and I would throw out to my unofficial friends this for consideration, that something like $900,000 a year ought at present to answer ns for all the requirements of the Colony. If you agree with me that we ought to determine our revenue this year at something like that figure, then you will at once see the feasibility of our making some considerable reductions of revenue; and this point of course we shall bear in mind in doing so, namely, that if we stiranlate the opium farm, and if we gain much increase of revenue from the ¦ spirit farm, we ought at once to reduce taxation upon those who are producing the wealth of i the Colony. The native junk trado, of course, is ¦ employed in producing the wealth of the Colony, but evory householder here, every poor Por tuguese clark who works away with his pen in a merchant's office, is producing wealth by his labour, and I think it hard we should be deriv. ing from the householders here such au exorbi. taut taxation as we have been doing. Therefore, gentlemen, in the sketch I have ventured to put before you I have indicated on the one hand the exact state of the finances; you see how prosperous | they are; I have also told you frankly the general idea I have of how we should deal with them, and when next November I submit my schemes to you. more in detail I shall look forward with confi- dence to receiving your support.-(Applause.)

Hon. P. RYRIE asked His Excellency if, in the estimate he had made of the expenditure for | the oud of the year, ho had taken the full amount voted for the different departments, because he had been given to understand occasionally some of the departments did not spend the amounts voted. For instance, the Police sometimes did not spend the entire amount voted, and he would. ask if in his estimate His Excellency had taken the full amount voted or only the amount actu- ally expended.

His EXCELLENCY said he had only taken the actual expenditure of the nine months. It some times happened, indeed, it almost invariably hap pened, that a little more was voted than was required during the year, so that in almost every case there remained a small amount to be spent, but speaking generally, he could say that for the oneuing portion of this year the ex. penditure would be in the same proportion it bud boen. He had not the figures before him, but there were some items which ap peared in the estimates last year Bount of which no expenditure whatever had been incurred. For instance, one for which his hon. friends the anofficial members kindly supported the vote, still he knew they enter lained some little doubt about, and that was the item for a time ball. A considorable

on ac-

sum was voted for the establishmout of an ob- servatory and time ball, but hon. members entertained a little doubt about it and accordingly his hon. friend the Surveyor-Goueral had not spent one farthing of that vote for an observatory. From time to time, as his bon. friend was aware,

the Finance Committee had voted certain sums. These were all included.

Hon. P. RYBIE--They are supplementary.

His EXCELLENCY-They are supplementary, but they are included and appear in the statement submitted to me by the Treasurer. Sometimes money has to be spent immediately; for instance, after that heavy rain storm my hon. friend the Surveyor-General had to set to work immediately and the Finance Committee then dealt with it.

Hon. P. RYRIE said that with regard to the Police rate, it was during the time of General Bunker that it was eleven per cent., and when he was superseded it was put up.

His EXCELLENCY said that was so.

REFRACTORY PRISONERS.

His EXCELLENCY moved the second reading of an Ordinance to amend Ordinance 4 of 1863.

The object of the Bill is to remove doubts as to whether punishments for breach of re- gulations or of prison discipline cau be carried out after the expiration of the term for which the offender was originally sentenced. The Bill provides that such punishments can we carried out as if the orignial sentence had not expired.

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The ATTORNEY-GENERAL said there was one point might be raised with regard to the Bill, and that was that it made provision only for carrying out the sentence that was inflicted. during the time the prisoner was under the sen- tence of some courtor magistrate, but it had strnok him it might happen that the prisoner was again refructory while undergoing his additional sen- toboe. The Bill was brought in to prevent a system adopted by prisoners, whom the term of their imprisonment was just about expire, of becoming insubordinate and abusive, and it was thought there was no authority to keep thom in prison after the expiration of the sentence. This Bill was therefore introduced to remove doubts, and authorised the prisoner being kept the gaol for any time to receive punishment under Ordinance 4 of 1863. But hon. members would observe that it only dealt with the sentence in- flicted by the Visiting Justices while the prisoner was undergoing his original sentence. It was

· possible they might get hold of a refractory pri- soner, who, at the expiration of the punishment imposed by the Visiting Justices, would be again insubordinate. The Bill might be referred to a Select Committee.

The ACTING COLONIAL SECRETARY said that. subject to the correction of his hon. friend and to make the object of the Ordinance quite clear, he might say there was a great difficulty indeed when men were under sentence in bringing them before a magistrate, so that after committing some breach of prison discipline thore was no means of punishment. They could not be punished in gaol because their time was just expiring, nor could they be brought before a magistrate becunse they were under gaol discipline at that time. There had been one or two cases of that kind, and it was believed the magistrate had no power in them. Therefore the position of the Superintendent was partionlarly annoying, cause the conduct of these men showed to others bow far they might go without committing themselves.

The ACTING CHIEF-JUSTICE suggested that Ordinance 4 of 1863, which this Ordinance was to amend, might be repealed altogether. The Gaol Commission, which he had the honour to sit upon some time ago, recommended that that Ordinance should be altered and perhaps a New Ordinance drawn up. If this course were adopted, then the provision the Attorney. General suggested might be made in the new Bill

Has EXCELLENCY-Gentlemen, I think that is a most admirable suggestion of His Honour the Chief Justice. There is no doubt the Commission has pointed out the fact that our present Ordinance is defective. The time has come when it ought to be remodelled, and I agree with the Attorney-General that we might refer this little Bill to a Select Committes and perhaps at the same time it would be proper to ask the Committee to consider the propriety of dealing with Odinauce 4 of 1863. Therefore, with your paruission, I will refer this Bill. I hope, however, the Committee will get through with it as quickly as possible. The cases it applies to do not occur very often, but still they

do oceur.

A prisoner gets three months; the very day he is released he commits an offence, and we have no means of dealing with it. There- fore I should like the Committee to pass it rapidly through, and perhaps also to deal as rapidly as possible with Ordinance 4 of 1863.

The ATTORNEY-GENERAL said the difficulty he had referral to struck him in reading

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