Continuing, the witness said that he could net say if there had been writings off in regard to private accounts in connection with the Estates Company. Mr Montgomery proceeded to examine the wit ness as to certain or the properties of the Estates Company. Mr Booth said that he had no know ledge of the proposal of 1894 for the amalgama tion of the Bank with the Colonial excepting what was common property. He had no recollec tion of further negotiations for amalgamation prior to the session of 1895. The president of the Bank of New Zealand had no specific instructions from the directors. Mr Watson brought the matter up from time to time before the directors, who were very willing to consider the question of the purchase of the Colonial Bank. From the beginning the directors took part in the negotiations, which were never left solely to the president. The Colonial Bank’s directors were anxious to sell and the Bank of New Zealand wanted to buy. He was not aware of any formal writings on the subject taking place between the two banks. So far as he know none of the docu ments or papers in connection with the negotia tions ending in purchase were destroyed. He did not think there were any draft schemes of amalga tion or of agreements to purchase. It was a gradual growth from day to day of the discussion that was going on, and, of course, it took some time to draft an agree ment which was ultimately accepted. Every account taken over from the Colonial Bank was thoroughly examined before it was accepted. The Bank of New Zealand directors prepared the “A.” “B,” “*O,” and “D" lists. At one time there were only three lists, but there were some accounts that came under the different category to the others, and they were placed in the ’“C” list, and four lists were thus created. The Colonial’s directors were not satisfied with the estimate placed upon their accounts by the Bank of New Zealand. There were certain accounts which the Bank of New Zealand declined to have anything to do with, but with these exceptions the Colonial Bank gave them the fullest informa tion regarding the accounts. 