CO885-(13-15) — Page 578

mwimmhim C.O. 885

14 PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- | LUPYRIGHT PHOTOGRAPH-NOT TO

Tel. 23.Aug. 1898.

Australian No. 127.

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touching the essence of the Agreements were desirable, you would endeavour to obtain the assent of the syndicate. That to that message no reply was received, but that, in reply to a further message from you pressing for an answer, the Governor of Queensland reported that his Chief Secretary had requested him to inform you

that the Governments of New South Wales, Victoria, and Queensland objected most decidedly to the syndicate Ordinance either in its original form or as required to be amended, and that they desired that her Majesty the Queen should be advised to disallow the proposed

measure.

That in reply to that message you telegraphed to the Governor of Queensland on the 13th ultimo, that if his Ministers were prepared to pay the syndicate reasonable compensation for breach of the contract made with them by the Government of British New Guinea, with the concurrence of the Government of Queensland, and approved by the Secretary of State subject to amendments which had been acceptedl by the syndicate, you would be willing to advise the disallowance of the Ordinance. That you further pointed out that no specific objections had been urged to the concession, and that no answer had been made to your offer to negotiate amendments with the syndicate.

That to that message a reply had now been received embodying resolutions passed at a conference of the Prime Ministers of the three Colonies at their meeting at Sydney, from which it would be seen that they adhered to their demand for the disallowance of the Ordinance; and that a further telegram had been received from the Governor of Queensland stating that his Prime Minister had desired him to inform you that the matter of the disallowance of the Ordinance ought to be considered apart from any question of compensation, and that in his opinion there was no shadow of a right to a claim for compensation, but that the ordinary tribunals were open to any parties considering themselves so entitled.

That Mr. Wingfield was also to enclose a copy of a letter from Sir H. Nelson, dated 18th June, explaining his action in the matter; and that a copy of the Instructions to the Governor of Queensland as to his relations with the administration of British New Guinea would be found at pages 72-74 of the enclosed Confidential Print.

That Mr. Wingfield was to request that we would be good enough to take the papers into our consideration and advise you :--

1. Whether, in all the circumstances, if the Ordinance were disallowed by Her Majesty at the instance of the Governments of Queensland, New South Wales and Victoria, the syndicate would have a claim to compensation from the Government of New Guinea, or the Government of Queensland ?

2. Whether that claim was such as could be enforced in a Court of Law by Petition of Right, or otherwise?

We have taken the matter into our consideration, and, in obedience to your commands, have the honour to

Report

THAT we are of opinion that if the Ordinance were disallowed by Her Majesty the syndicate would not have any legal claim to compensation from the Government of New Guinen or of Queensland.

The memorandum of 29th December 1897 binds the syndicate to nothing. It contains a promise by the Government of New Guinea, with the concurrence of that of Queensland, to pass an Ordinance conferring on the syndicate an option to take 250,000 acres of Crown lands.

For this option the syndicate gave nothing, and the promise of the Government to confer it being founded on no consideration is not, according to English law, capable of being enforced legally as an Agreement.

No claim of the kind could be enforced in any Court of Law.

The promise, of course, bound the Governments of New Guinea and Queensland,

as a matter of good faith, to do all in their power to pass the Ordinance promised.

The Ordinance has been passed in New Guinea. The Queen is asked to disallow it

on the ground that such a measure is one on which the Governments of the other Colonies ought to have been consulted as not being one of ordinary administration. It is clearly not a measure of ordinary administration, and the question is whether the measure should be allowed to pass in spite of the protests of these other Colonies which were not consulted, as, constitutionally, they should have been.

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If Her Majesty should see fit, on this broad ground, to disallow the Ordinance, we cannot see that any breach of promise by the Government of New Guinea can be alleged, as they have done all they could to have the promise fulfilled.

The Government of Queensland are hardly in so favourable a position, as they now ask that the Ordinance should be disallowed, but it can fairly be urged on their behalf that the grave constitutional objection arising out of the fact that the other Colonies were not consulted had been overlooked, and, in any case, for the reasons given in the earlier part of this report, we think that no legal proceedings can be successfully taken.

We have, &c.,

The Right Honourable Joseph Chamberlain, M.P..

&c.. &c., &c.

RICHARD E. WEBSTER. ROBERT B. FINLAY.

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1 see fit, on this broad ground, to disallow the Ordinance, we of promise by the Government of New Guinea can be alleged, could to have the promise fulfilled.

Queensland are hardly in so favourable a position, as they now uld be disallowed, but it can fairly be urged on their behalf l objection arising out of the fact that the other Colonies were erlooked, and, in any case, for the reasons given in the earlier k that no legal proceedings can be successfully taken.

We have, &c.,

RICHARD E. WEBSTER. ROBERT B. FINLAY.

oseph Chamberlain, M.P..

&c.

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C.O. 885

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