Since my Return from the Indian Congress at Augusta the first of Last Month of which I Sent to Mr. Pownal a Short Acct. to mention to your Lordships I have had no Letters from you to Acknowledge Untill yesterday, when I had the Honour of the duplicates of yours of the 7th. 10th and 11th of October a long with a proclamation in relation to the boundaries of the three New Acquired governments and the western boundaries of the other Colonies these were Sent to me by Charles Town the Originals having not yet Come to hand. The proclamation I Shall order to be printed and dispersed According to your directions. I am at a loss to Know, by this Proclamation, whether the Lands to be granted to the disbanded Officers and Soldiers, is to be limited to the Regulars only; or whether the provincial Troops which Served and are now disbanded are included with the Regulars; that I may know how to Act in Case they should apply for any.

I Shall Oblige as far as is in my Power the Several Officers to make proper Returns to your Lordships of the papers you require which have been hitherto done, unless when intercepted or Lost in their Passage.

In relation to your Lordships Letter of the 11th of October with directions from the Lords of the Treasury about the Illicite trade and Short Receipt of the Revenue: I Shall Use my Utmost endeavours to prevent it, and to Assist the Revenue officers in their Collection, and detection of any Frauds by their Neglect; however I must inform your Lordships that I believe there are fewer frauds, and less Illicite Trade with Foreigners Carry'd on in this Province, then in any other upon this Continent; having no Trade with any foreign Islands or European Countries, but with Britain, there are many goods Brought in here in Small Sloops and Schooners from the Northern Colonies, but they are Cleared out regularly from the several ports, and Consequently if run in; these are not Seizable here; at present there are no duties paid here, laid on in Britain, but upon foreign Sugars Rum and Mollasses of which none is imported and no other duties laid on by this province but upon wine and Spirits being a Tax for the Support of this province, in which I beleive many Frauds are Committed by running and Short Entries, as we have no Tide officers or Searchers, but the Collectors and Naval officers; and when the great Extent of the Collections is Considered and the many Inlets and Creeks, besides the main Rivers upon which the Collectors reside it is Impossible to prevent a Clandestine entry of goods which Ought to pay Duties.

As for Instance there are three Collectors, upon three Considerable Rivers; Viz. Roanoak, Bath or pamplico, and New Bern or nuse river, all which enter at Ocacoak Inlet, and many Considerable Navigable Creeks upon Each of those, between that Inlet and the residences of the Several Collectors, and Naval officers from 60 to a 100 Miles from that Bar, and no one officer at that Inlet to Search or Inspect them, how then Can any frauds be detected, as they may run the greatest part of their Cargoes; as for this river at Cape Fear the frauds may be more easily detected, as the Collector and Naval officer reside at Brunswick near the entrance, and there are now two Sloops of war Stationed here to Cruize from hence to Cape Henry; one of which may be generally here, while the other is upon the Cruize; and yet as I suppose duties may be laid on in Britain upon the Entry of goods here, towards maintaining the Troops upon the Continent, I think it would be of great use that tide officers should be Appointed to put on board all Vessells which are Liable to pay duties, or make Short entries—this is what Occurs to me at present upon your Lordships Letter.

Governour Boone and I have agreed to Send Commissioners and Surveyors to run the Temporary Line as far as the Eastern Line of the Catawbas, on the first of March Next; as we have now fixed the Catawbas Claim, and a Surveyor is Employ'd to Survey and mark their Boundary Line.

Be pleased to let me Know whether we Shall Continue the Temporary Line at 35°, beyond the western Boundary of the Catawbas Nation, or Shall Delay it, untill his Majesty Determines the permanent Line; which Shall fix the limits of the Several provinces; which I hope your lordships will think it reasonable that the Pedee to the winyaw Should be the boundary between these provinces, as Georgia has been increased by the Lands between the Allatamaha and St. Johns river, South Carolina may then be Extended by a westerly Line, beyond the Savanah River; which will give that Colony more than an Equivalent to what may be taken from their Northern Boundary.

When I left this province to goe to the Augusta Congress, I prorouged this Assembly to the 8th of December, and upon my Return attended at Wilmington the place appointed, in order to hold the Assembly, but the Northern five member Counties, being instructed to give no Supply, and had prevailed with several of the Other Counties not to Act upon the Quorum appointed by his Majesty, unless the full half of the Members attended, would not attend, Except one from Chowan, upon which after proroguing them three or four Times for Eight Days and finding though twenty Six Members were in Town, yet they would not meet to make a House nor would adjourn.

I Let them dissolve them Selves for non attendance, and Immediately I issued out writs to Choose New Members who are to meet the thirty first Instant, Untill they a gain meet and See how they will Act, I shall only Observe that these five Member Counties think that they Shall rule the province and in order to preserve their power and Obstruct Business, they have refused to devide the Counties in his Majestys district, though petitioned for by the Inhabitants, Lest they Should loose their power, and Seem to be a dead weight over the province: in Case they should not attend I beleive the other Members will Concur in an Act that every County Shall pay their own Members and not have their Surplus Members Charged upon the Other Counties; we Shall never be properly Settled Unless his Majesty Shall purchase out Lord Granvilles proportion, if he Should not, I hope no order will be Sent to me to Continue the Line Betwixt the two districts, Since his Lordships district has encroached upon his Majesty's, above Nine Miles; as his Majestys line is laid out in thirty five degrees and twenty Six minutes instead of thirty-five and thirty four, According to the Deed of partition and Act of Parliament—