The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1885-11-25
Official Statement Regarding tn
Australian Mail Service.

| The following is the authoritative state
ment of the New Zealand Post Office De-
! partment relating to the San Francisco
service, and the complications which have
arisen in Sydney. A portion of it appeared
| in yesterdays ADVERTISER:
" Before Parliament met, the Postmaster
General was in communication with the
Pacific Company, and that corporation
gave no reason to suppose that it was
inclined to continue the service at any
thing like the rate the Government were
prepared to recommend. Subsequently
when Mr.. Center came down on behalf of
Messrs. Spreckels Brothers and the Oceanic
Company, he confirmed the impression as
to the views of the Pacific Company, since
the company were aware of the purpose
of his visit to New Zealand, and had
allowed the Oceanic Company to inspect
the books relating to the New Zealand and
Australian service.
q The history of the action up to the
House rising was made public in Hansard
and need not be repeated further than to
say that the process of calling for tenders
having proved abOrtive, the Postmaster
General was left to deal with the three
the service. These were the Union Com
pany, the Oceanic Company, and Mr..
Pearce through his attorney. Mr.. Pearce
was the owner of two of the boats running
under the Pacific Company's contract The
nature of the arrangement entered into
was to constitute the Union Company the
principal contractors. In making a sub
contract with the Oceanic Company on the
one side, and with Mr.. Pearce on the
other, the Union Company has anxiously
striven TO give him every opportunity OF
participating in the service, either by
chartering his boats or by running them
on his own account. Naturally, however
as Mr.. Pearce could not be definitely
bound, the Union Company and Mr. Cen
ter, on behalf of the Oceanic Company,
made arrangements for supplying boats IN
case Mr. Pearce declined to join.
" Negotiations ensued between Mr..
Pearce and the Union Company, and at
one time it seemed that conclusion had
been arrived at. 1t seems, however, that
the negotiations fell through, and now the
Union Company and the Oceanic Company
are left to perform the contract while Mr.
Pearce is announced to contemplate an OPP
position service from Sydney, provided he
can be assured of a subsidy from the Gov
eminent of New South Wales.
I'VE do not know on what basis he
grounds his hopes of getting the subsidy.
The Government of New South Wales have
concurred in the arrangements the New
Zealand Government have made, and have
Professionally executed the contract, which
binds them to it's terms until Parliament
has had the opportunity of ratifying or re-
iecting it. The Postmaster General of the
United States, too, has become party to
the contract by promising to this service
subsidy.
- The liability of the Government of New
Zealand is well within the amount author
lied by the House, with the deduction
to which it will be entitled, and the
liability of New South Wales is very small.
In short, New South Wales and New
Zealand will get very efficient service at a
cost quite trifing compared with what
they have hitherto paid. 1t appears, there
fore, that there is no reason to fear that
the decision of the Government of
New South Wales will be upset by Par
lament, and it is quite certain Mr..
Pearce cannot offer a better service. He
will it is supposed, be running on his own
account, and not on that of the Pacific
Company, so that it will be without those
means of affording facilities for the use OF
the railways for mail purposes that
powerful United States Company are able
to give In fact, our service will be the
recognized United States Service, as well
As that of the colonies of New Zealand and
Australia