Memorandum on the above by Mr. James Mackay, Junr.

This subject was brought under the notice of His Excellency by Riwai personally, and I was instructed to write to Mr. McLean for his report. I wrote in accordance with the Governor's request, but received no answer.

On the 5th December I saw Mr. McLean, and brought the subject under his notice. He then attached the minute of that date.

Since my return to Nelson in October last, I have made inquiry as to whether Riwai actually gave a piece of land to the Government or not, and the Natives seem to be of opinion that he did not receive any compensation for his claim to the land in question. It appears that the block between Major Richmond's purchase at Pakawan and the large Native Reserve at Taitapu was cut off from the remainder of Mr. McLean's purchase by the above reserve at Taitapu, and Mr. McLean said to Riwai that he had better throw in that piece with the Arahura Block. The extent of the block thus given up is about 20,000 acres.

page 327