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Thanks Canning for his kind letter of 24 Jun. It will take time for Ward's appointment to show results, he has all his job to learn, and public opinion has been most unfavourably affected by the events of the last few months. There is an immense sympathy with Sir Charles Trevelyan, not as the opponent of the Income Tax, but as the champion of the rights and independence of Madras. Does not think however that there is any real cause for uneasiness, or the least ground for supposing that the financial measures, when passed, will meet with opposition. Mr Morehead and Mr Maltby are only too happy to find themselves safe after the storm, and will join Ward cordially in inculcating submission to the law. Intends to send round a circular about the financial scheme and how it has been misrepresented. Thinks the scheme will come into effect in Madras without asking for aid from Sir Patrick Grant, who is a fine old soldier, and a well-meaning man, though misled by Trevelyan upon a matter he does not understand. Grant cannot explain how the proposed reduction of 12 Regiments was to be carried out. Ward asked to see the papers on this proposal, and it appears that there were none. The idea was started by Trevelyan, accepted by Grant, and given to the public without the other Members of Council having been consulted at all. But the public believe all that they want to believe. Ward is very glad that he has no representative body to deal with in Madras. He does not see how legislative powers can usefully be given to the Presidencies until the financial changes are successful. A Council without the right of voting money, and controlling expenditure, would soon fall into the hands of sharp lawyers and adventurers, repaid by notoriety for the sacrifice of their time. Even in Ceylon, where the system had been at work for many years, it was sometimes difficult to persuade merchants or planters to undertake the duties. Ward has only been in the Presidency for five days but it is at first that anomalies are most noticeable. He cannot understand why correspondence is addressed sometimes to the Governor General, sometimes to the Secretary of State, and sometimes both authority are dispensed with. Private.