39

it may be noted that the W.O. interpretation of paragraph 101

of the 1894 Circular is incorrect.

In a court of law the

paragraph would no doubt be regarded as ambiguous; but if

it is taken as a whole it is clear that the word

"transactions" in the first line refers not to the

acquisition of land by the W.D., but to the transfer of

land from the W.D. to the Colonial Government. The

acquisition of plots A

-

F cannot therefore be regarded

as "transactions already closed" within the intention of

the 1894 Circular.

On the other hand, if the right of the W.D. to

dispose of the land for cash be admitted, the Colonial

Government may legitimately require that the W.D. should

now pay for the full leasehold rights, the benefits of

which they claim to enjoy.

The choice is therefore between: -

(a) having the W.D. pay up the capitalised Crown Rent to date, plus a lump sum representing 25 years'

purchase, and acknowledging their right to receive cash

when the land is relinquished;

(b) continuing the waiver of Crown Rent, on the

understanding that the W. D. have thereby a right only to

the user of the land and to a book entry in the M.L.A.

on relinquishment.

The

* "It is not proposed to reopen any transactions already closed and lands which have already passed out of military occupation will remain the property of the Colony, subject of course to any conditions which may have been attached to them at the time when they came into the possession of the Colonial Government."

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