No. 45, Financial

Referring to your Despatch No 2 dated 30th April 1864, I have the
honor to enclose a copy of communications which have passed between
the House of Assembly, the Legislative Council and myself, together
with a letter from the Treasurer on the same subject.

I cannot but concur in the popular belief that the Resolutions which
have given rise to this correspondence were hurried through the House
by a few influential persons on the eve of my arrival in the Colony
for the purpose of embarrassing my administration.

The prompt and judicious reply conveyed in your Despatch No 2, 30th
April 1864, supported by the public opinion of the colony, has
entirely discredited the authors of this proceeding, and I entertain
little doubt that the question of a "Civil List" will be met in a
becoming spirit on the re-assembling of the Legislature which will be
necessary at an early period.

I trust that you will approve of the course I have adopted in paying
the public officers under the vote of indemnity passed by the House.
Had I declined to do so, the public service must have fallen into
serious confusion, as you will observe by the tenor of the
Treasurer's letter that he had no funds other than Crown Revenue in
his hands to meet current liabilities.

It is now obvious that the Resolutions contained misstatements which
ought not to have been transmitted to the Secretary of State
unchallenged.