Rate of Exchange in force in March. Apart from last, when as I understand the expenditure had already been incurred by the War Authorities for the refund made, since the payment would have been made at that time, if the matter had not been delayed. The delay had not been caused by the Government.

The reference of the claim referred to XUALA 129 in June despatch no. of 30th April last. I do not understand the last words of your telegram to what amount should be demanded of the Colonial Legislature, as stated in my despatch no. 217 of the 6th instant, the payment should be charged to vote of $820,000 for defence on this year's Estimate. Further notice was given to the Deputy on the 18th instant.

I have accordingly telegraphed on the 18th instant to the following effect: "Take..."

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