The Hawaiian gazette., 1872-02-21

On Wednesday, Cabinet Council hav
ing been held, at which this subject wa
discussed, the following letter was there
upon sent to Mr.. Webb's agents by tn,
Minister of Finance, under date of Feb
ruary 18th:
DEPARTMENT OF FINANCE,
Honolulu, Feb. 18th, lS12- !
GENTLEMEN;
have had the honor OF laying before His Maiest!
in Cabinet Council your letter OF February 18th il
which you say that Mr.. Webb. in reply TO letter O
yours under date OF December 25,h last says that b,
is much surprised 10 learn that the subsidy promised
him 10y His Majesty Government has not been paid
and that this matter has been iadssHiiely postponed
BY the Privy Council thus placing him in a rldicu,
lous position 10 the Colonies 10 whom he had made
known bis agreement with His Maiesty's Govern
menI"
You further say that abe relies upon the agreement
made with him BY His Majesy's Ministry; that be
expects the promised subsidy be paid or arrange
ments for It's payment 10 be made before the sailing
of the steamer Nebraska aud that unless this is done
be will not be able to carry 10 his steamers any let
ters documents or papers whatever, coming from
the Hawaiian Islands, addressed to intended for
delivery south or west OF the Hawaiian Group"
You further say that Mr.. Webb's steamers are
not bound TO deliver mail or even 10 call at the Ha-
waiian Islands, hut Mr. Webb has done so IN the full
expectation that His Msjesty's Government would
fuld its promises aud pay fora mail between the Co
lonies aud the Hawaiian Islands TO the established
lue"
You, gentlemen, certainly have been sufficiently
advised that the authority the appropriation al
luded 10 in your letter. being the disposal of
the Government for the purpose Of assisting ocean
steamers between this country and the British Colo
mics, TO the south aud west, was not il the exclu-
sive control ofHis Msjesty's Executive Government
but was subject TO the advice of the Privy Council
OF State
Your letter now under consideration, has there
fore placed the members Of His Majesty's Govern
meut in position which renders it difficult forthem
TO again open the matterto the proper Council c.
the Priyy COune,) since You say that His Mojestys
Government had promised Mr.. Webb to pay him.
This is a mistake, which may be observed in refer
ring 10 my letter Of November Goth, ISL, to Mr.
Webb, in which, by direction Of the Minister'S 1
said: " Ills Majesty's Executive Government have
sgreed in view OF the conference held with you this
day, 20 recommend TO the Prvy Council of State 10
authorize the payment you Of thirty-sx thousand
dollars, 10 monthly installments Of two thousand
dollars, for eighteen months, commencing December
first next ensuing, as s subsidy towards the main
tenance Of your line OF steamships nov running be-
tween this port and the New Zealand and Austria
lian Colonies"
You will see that we oHly promised 10 lay it before
the Council with recommendation that it pass,
which promise was most faithfully kept. 1t was
recommended by myself snG each Minister in his
place used all arguments in its favor.
Nor it i5,dsfHi;ey postponed by the Council,
but, on the contrary they postponed the cousdera-
ton Of it until opportunity could be afforded
hear what had been done by the Australian Colo
mics; and the knowledge Of this fact you yourselves
seemed to have when in the third paragraph of your
letter you say that YOU received nv answer THAT
the matter bad been postponed for tsoo n1oafss.''
You, yourselves, will see the difficulty under
which We labor, for We had intended to place your
application before the Pryy Council at this time,
and had it not been for the receipt Of your letter
should have done in the early days Of the week;
but now His Msjesty's Ministers said TO have
promised that which they had no authority to
promise, and which no passage 10 my former letter
can in the judgment Of any Of His Majesty's Gov
eminent, be construed TO have promised; and it is
further intimated that His Majestys Ministers have
not kept that promise. In order apparently, TO
roerce His Majesty's Government, you say that no
letters or papers viii be delivered at any
point south or west Of the Hawsiian Group" Tie
undersigned does not propose todiscuss the wisdom
IF this resolution since it is the right of every
10 control their own business, and you say that Mr..
Webb is not under contract so to do or call at
he Hawaiian Islands. Leaving out the fact that the
Oregon and Mexican Steamship Co,
whose assignee Mr.. Wcbb's Company is, are under
,outract to call here, but admitting as fact that
Mr. Webb is under no contract 10 carry our letters,
tic, to the south west l am directed to call your
attention to the fact that this Government is under
10 contract TO afford any mmunities privileges to
teamers bound to the south west and to ask if you
ave taken into full consideration the fact that the
iovernment has the right to charge wharfage water
ues, storage, etc, etc, tor the Nebraska and
onsort as well as for the ships bringing Goals and
torres for them.
am directed to make this Communication in the
erms set forth, in order that you may take into
consideration whether you may not deem it your
ATTY to your principal TO modify your commuuica-
ion ia such a manner as to enable Us to place it /
efore the PrivJ Council Bnembarrassed by accusa-
ions of bad faith and threats Of retaliation.
Your statement that you viii carry the letters
this time, seems to His Maestys Ministers to indi
ate that the same pressure will be put upen them
) induce the legislative Assembly to continue an
after the one now at the disposal Of
be Privy Council shall have been exhausted. You
ave ofteu been informed it is quite improbable and
most impossible that the Assembly should con-
nue. the grant from year to year. IT, therefore, it
at all probable, as seems almost sure from your
communication, that the service viii be discontinued
the end Of eighteen months If the subsidy shall
OF be continued then the very object for which this
rant was made viii be defeated Therefore, al
lough before the reception of your letter. every
lember of the Cabinet was intending to rely upon
le idea that the service would be continued during
ie existence Of Mr.. Webb's contracts with the
olouial Governments, yet it would seem to be
latter of prudence with US now, in view OF your
to insist, in any contract we may
AXE that such condition should be included in it.
You are aware that in osr FIRST draft of letter 10
r. Webb, such = clause was included, but We
elde6 to Mr. Webb's views in suPpressing the
ause.
In conclusion, I have to say that whatever may be
our own views on the subject of the business ar
ngements if you shall see 1T to modify your letter
such a manner to take from it the imPutaiions
hicE no member of His Msjestyis Government
els that he is justly subject to, we will place your
Use, with all your views, before the Privy Council
hich has simply deferred the consideration of the
after until they shall be in possession of further