resolutions of the South Australian Association which it contained. I have also brought under his notice the rough draft of an Act furnished to me by Mr. Gouger, which has been suggested as advisable to be brought in for the purpose of founding a colony in South Australia.
"I am directed by Mr. Secretary Stanley to state to you that, approving of the general principles regarding emigration, upon which the committee intended to found the proposed colony, he should not be unwilling to sanction the experiment as defined in the draft of the Act before referred to (reserving to himself the power of suggesting such modifications as may appear to him to be necessary), if the following points could be satisfactorily established.
"1st. That the district pointed out for the colony is favourable in point of soil, climate, and water, for the establishment of a colony.
"2nd. That there are persons willing to purchase land in the colony to an amount of not less than £35,000.
"3rd. That there are persons willing to embark for the colony with a capital of not less than £50,000.
"4th. That there are sufficient funds actually subscribed for, and effectually guaranteed, for the support of such parts of the establishment of the colony as may appear to His Majesty's Government to be absolutely essential (including a provision for religious instruction) during the periods, and after the rates following, i.e.,
For the first 3 years … £5,000 per annum.
For the next 3 years … £8,000 „
For the next 4 years … £10,000 „
"Mr. Stanley is well aware of the difficulty of satisfying this fourth condition, and he much doubts whether, upon the plan suggested in the draft for raising a loan for these purposes, on the security of the current revenues of the colony, a sufficient fund could be obtained. At the same time, Mr. Stanley would not
