OUR LANDS AND OUR DEBTS.

Lyttelton Times, Volume VIII, Issue 512, 30 September 1857, Page 3

OUR LANDS AND OUR DEBTS.

(From the ' Otago Witness,' Aug. 8.)

The Spec, from Akaroa, arrived in port on the 31st ult., and has brought some late numbers of the Canterbury papers. We have also been favoured by a gentleman who lately arrived overland with a late number of the 'Lyttelton Times.' By this opportunity we have no ■ later intelligence from the home country. We however observe that the ' Times ' has, from a private source, been informed that there is no prospect of the loan of £'500,000, upon which the financial scheme of the Stafford, ministry was founded, being guaranteed by the British Parliament. This is a matter of deep regret. The inconvenience which will arise from theunsettlement of that financial policy is to be regretted, not so much from any merit that the ministerial policy possessed in itself, but from the fact of its unsettling all the previttu arrangements, and leaving us open to another " equitable adjustment" of the burdens of the colony. It would seem to be the fate of New Zealand to be for ever involved in some question of doubt and uncertainty—a state of things the most mischievous imaginable, as it effectually checks the onward progress of the colony; hampering the proceedings of every one of the Provincial Governments to such an extent that we scarcely know how it is possible for any Government to cany out a satisfactory financial : policy, the sources of its revenues beingperpetually liable to alterations aud revisions, which in a moment may deprive it of the means to meet its engagements. Unfortunately, too, these " equitable adjustments " are made upon the ■ principle of favouring the strong, as may at once be seen by the fact of Aucklandbeingexcused from the payment of any part of the New Zea-: land Company's debt. We do not now complain ; of that arrangement; it has been settled, and : we have no wish to re-open the discussion : be-: sides, we prefer submitting to an injustice for; the sake of peace and quiet, rather than be liable to a constant struggle. But we should very much like to know to what extent we are to be mulcted by the larger Provinces, for it is quite evident that the acieage extent of Otago; is attracting the attention, and the probable > amount of land funds is exciting the cupidity, j especially of the Northern Provinces. So much' so, that our members at the next meeting of the; Assembly will have enough to do to hold their own. We have often stated it as our opinion that the land funds cannot with justice be looked upon as revenue,, that they are rather trust funds to be expended in immigration and road making, and that the! abstraction of any portion of these funds; is , erroneous in policy, inasmuch as by; viewing them in the light of taxes and applying1 them to the ordinary expenditure of Government, we should be, in fact, taxing the 'raw! material of our manufacture—a course of pro-

ceeding the folly of which has been constantly exposed. Further,, if we look at the principles upon which all the New Zealand Company's Settlements were founded, we find that the expnditure of the land funds in the settlemei.t in which-they were raised was clear and distinct, and we may ask upon what other plan could new settlements have be^n founded? What would the Colonists of Wellington or Nelson have said had $be New Zealand Company applied the funds derived from land sales in either of those provinces to public works and immigration at Otago or Canterbury ? Why there would have been an immediate outcry. And because we have had legislative powers conferred upon us, upon what ground of reason or justice can it now be proposed to violate the sound and only principle upon which the progressive advancement and rapid peopling of the country can be carried out ? The fact that the Constitution Act makes the land funds chargeable with certain expenditure, such as the payment of the New Zealand Company's Debt, and the purchase of land from the natives, cannot be said to settle this matter, inasmuch as it is evident that those provisions were made merely to give greater stability to the public credit of the colony, and to afford better security to the public creditoi'S. It could never with justice be considered in the light of an appropriation. It is bad enough to be saddled with the payment of one-third of the New Zealand Company's Debt—a proceeding which can only be looked upon as a piece of expediency; for although Auckland may truly be said to have derived, no benefit from the Company's expenditure, Wellington, which is equally excused from that burden, was the province which, of all others, received the greatest shai-e of the Company's attention, and which, in its founding, cost most. The debt was incurred before Otago or Canterbury were thought of. Let us ask upon what principle can the land recently acquired at the South of Otago be charged with the payment of a debt, whilst land acquired at the same time North of Wellington should be exempt from the burden ? We say again we do not desire to re-open this question ; we look upon the settlement as a matter of expediency—as a sort of black mail paid for the peaceable possession of our estate. But any further attempt to tax the people of the South for the benefit of those of the North will be, in our opinion, a breach of that honour which is proverbially said to exist amongst a class usually supposed to be destitute' of principle. We however fully anticipate that at the next meeting of the Assembly there will be an attempt to take a portion of our land funds. That we should be subject to another " equitable adjustmeiit" is a great misfortune, but it would be some satisfaction to know what the opinions of our representatives are upon the subject, and our contemporary, which, if it does not represent those gentlemen, is certainly more in their confidence than we are, would be rendering a public service by giving us some idea of what course is proposed to be followed.