No. 37, Financial

Adverting to my despatch No 30 of the 14th Ultimo
and to Your Grace's despatch No 14 of the 12th March 1863
I have the honor to forward herewith a Statement shewing the
application to the purposes of roads of the proceeds of the
£50,000 Loan of 1862.

2. With respect to the arrangements with the Contractors
for the roads, under which the guarantee of the local Government
was given for the sums advanced by the Bank of British Columbia,
I beg to report that the sums so guaranteed are treated, as to
security, precisely as Government Cash Advances, all liability
in respect thereof being charged on the Tolls, three fourths
of which are received by the Government untill both principal
and interest of all sums advanced be paid.