H.--The account between the Moorish elephant purchasers and the Company through the Brahmin Timmerza as its agent, about which so much has been written, was settled on August 31 last, and so also was the account of the said Timmerza himself and the Company. A difficulty arises now as to how the business with these people is to be transacted; because three of the principal merchants from Galconda arrived here the other day with three cheques to the amount of 7,145 Pagodas in the name of the said Timmerza. According to the orders by His Excellency Thomas van Rhee the latter is no longer to be employed as the Company's agent, so there is some irregularity in the issue of these cheques and this order, in which it is stated that the cheques must bear the names of the purchasers themselves, while on the other hand the purchasers made a special request that the amount due to them might be paid to their attorneys in cash or elephants through the said Timmerza. However this may be, I do not wish to enter into details, as these matters, like many others, had been arranged by His Excellency the Governor and the Council without my knowledge or advice. Your Honours must await an answer from His Excellency the Governor Gerrit de Heere and the Council of Colombo, and follow the instructions they will send with regard to the said cheques; and the same course may be followed as regards the cheques of two other merchants who may arrive here just about the time of my departure. I cannot specify the amount here, as I did not see these people for want of time. The merchants of Golconda have also requested that, as they have no broker to deal with, they may be allowed an advance by the Company in case they run short of cash, which request has been communicated in our letter to Colombo of the 4th instant. I.--As we had only provision of rice for this Commandement for about nine months, application has been made to Negapatam for 20,000 paras of rice, but a vessel has since arrived at Kayts from Bengal, belonging to the Nabob of Kateck, by name Kaimgaarehen, and loaded as I am informed with very good rice. If this be so, the grain might be purchased on behalf of the Company, and in that case the order for nely from Negapatam could be countermanded. It must be remembered, however, that the rice from Bengal cannot be stored away, but must be consumed as soon as possible, which is not the case with that of Negapatam. The people from Bengal must be well treated and assisted wherever possible without prejudice to the Company; so that they may be encouraged to come here more often and thus help us to make provision for the need of grain, which is always a matter of great concern here. I have already treated of the Moorish trade and also of the trade in grain between Trincomalee and Batticaloa, and will only add here that since the arrival of the said vessel the price has been reduced from 6 to 5 and 4 fannums the para.