No. 27

I have the honor to acknowledge the receipt of your Despatch No.
110 of the 1st September 1868, enclosing a Memorandum from the then
Acting Colonial Secretary suggesting a mode in which remittances to the
Agents General on account of the Interest and Sinking Funds of the
British Columbia and Vancouver Island Loans might in his opinion be
most conveniently made.

The Lords of the Admiralty to whom your Despatch was referred have
expressed their regret that they are not able to comply with that
suggestion, as by the present arrangements not only is the Naval Service
promptly supplied with the amounts required, but there is an annual gain
to the Board of Admiralty by exchange, which their Lordships see no good
reason for sacrificing.