§ MR. BAXTERsaid, he rose to ask the Secretary to the Treasury, Whether there 1456 is any truth in the following statement, extracted from the Galway Gazette:—
The Directors of the Atlantic Company have applied to the Post Office authorities for permission to discontinue the Mail Service between Galway and America until June next. They have also intimated their intention of entering upon negotiations with another Company for the use of steamers to commence the service at that time, as he ships of the Company will not be in readiness to sail even then. The Directors are reported to be of opinion that they can never carry out their contract with the ships at present in their possession, and will, in all probability, endeavour to effect a sale of their interest in the project, with a transfer of the Mail Subsidy, to some existing Company more capable of carrying out the project than they are;also, in how many instances the vessels of the Company kept contract time; and if Her Majesty's Government is still of opinion that this service is a great public benefit to Ireland?
MR. PEELSir, the part of the statement I know to be true is this, that the Atlantic Company have asked the Government to allow the contract to be suspended until the beginning of the month of June, stating that they are carrying on negotiations with certain parties, which they hope will result in enabling them to make arrangements to carry on the service effectually after that time. They have not stated, however, that they are in communication with any particular Company, and they have no power under the Contract to transfer the Mail Subsidy. With regard to the manner in which the Contract has been performed up to this time, I have to state that it has now been in operation for six months, and that during that time the Company have omitted four voyages from each side. As regards the eleven voyages each way which they have performed, I find that as between Galway and St. John's, which they are bound to reach in six days, the Contract time has been exceeded in every instance; but that between this country and America, the Contract time has been kept in six instances, and that in five instances the time allowed has been exceeded; but in two out of the five of these instances the Company were, by the terms of the Contract, exempt, under the circumstances, from responsibility for the delay. With regard to the return voyages, the Contract time has been kept in two instances; in nine instances the time allowed was exceeded, but in two of these instances owing to causes over which the Company had no control. With respect to the last portion of the question, I must 1457 state that, regarding it in a postal point of view, and speaking of it in that sense only, I do not think that the Contract can be considered to have been of much benefit.