M.P. TO SUFFER.

Auckland Star, Volume LXVI, Issue 55, 6 March 1935, Page 14

M.P. TO SUFFER.

TRUST INQUIRY ECHO.

CASE OF MAJOR JARVIE. PREMIER AND MR. McARTHUR (From Our Own Correspondent.) SYDNEY, February 28. It may he remembered that the name of Major Jarvie, M.L.A., came up during the investigation of the recent Royal Commission into the workings of certain trust companies organised in the first place in New Zealand. Major Jarvie had allowed himself to be appointed a, director of the so-called British Medical Trust, and the report of the Royal Commission commented adversely on his luck of discretion and foresight in not making certain that the name of the trust was acceptable to the 8.M.A., and in not acquainting himself more carefully and fully with the antecedents and the activities of his associates.

The matter was mentioned in the debates that took place in the State Parliament on the Trust (Amendment) Act, and it was generally understood that the Premier and his colleagues took a eerious view of Major Jarvie'e conduet. As Major Jarvie is Nationalist member for Ashfield, he is, of course, amenable to party discipline; and eo no one was much surprised when it was learned that a special conference, attended by the U.A.P. executive and the Premier, "had met to consider the case. Last Monday week (February 18), at the annual meeting of the Summerhill branch of the U.A.P., the report of this conference was disclosed. After carefully considering the report of the Royal Commission, Mr. Sydney Snow, who is president of the U.A.P. executive council, stated that his council "had come regretfully to the conclusion that Mr. Jarvie is no longer a fit and proper person to represent the U.A.P. in Parliament as member for Ashiield." Major Jarvie Not at Meeting. While the chairman of the Summer Hill meeting was putting this statement before the gathering, Major Jarvie, who was present, tried on three separate occasions to protest against the "libellous charges brought against him." But the chairman ruled him out of order, and he eventually left the meeting, followed by about one-third of the audience. Several protests were raised against '"Trades Hall tactics," and a good deal of surprise was expressed both in the meeting and outside, when it became known that Major Jarvie had not been permitted to be present at the meeting of the executive which condemned him. It is certainly fairly safe to say that if the Larigites had treated any member of Parliament in this fashion, the Nationalist Press would have never let them hear the last of it.

However, the fate of Major Jarvie was not settled yet. On the following Monday,. February 2.">, the Ashfield U.A.P. electoral conference held a meeting at which Major Jarvie was invited to be present to reply to his critics. Tho meeting was held behind closed doors, but a full report of the proceedings found its way into the newspapers. Mr. Sydney Snow, Mr. Horsfield (secretary of the U.A.P.), Dr. Grieve, and other Nationalist leaders, were present, and it was fairly obvious from the outset that the major was fighting a losing battle. However, he made a gallant struggle against overwhelming odds. He maintained that, if there was anything in the Royal Commissioner's report that disqualified him from representing his party, it must equally disqualify him from sitting in Parliament. "Why then," lie asked dramatically, "docs not the Premier, on the floor of the House, move for my expulsion?" Premier on Mr. McArthur's Yacht. - As to the charge that he had misrepresented the Premier's personal association with these trust companies. Major Jarvie seized upon this, rather cleverly, as an excuse for talking.at some length about Mv. Stevene. The Premier had entertained Mr. J. W.-S. McArtliur •at Parliament House, and twelve months ago at Lord Howe Island he had been entertained on Mr. McArthur's yacht, had signed the log book and had had his photograph taken along with Mr. anrl Mrs. McArthur. The inference that the Premier ought to be wary in commenting on others who associate recklessly with company promotere was too obvious to be inis.sed. As to the statement that the Premier had "warned" him against McArthur and his friends ne«rly twelve months ago, the major, in rebutting this charge, made an ingenious uee of a quotation from Mr. Stevene, who—so says the major—admitted to him that he was doubtful about the wisdom of connecting himself in any public way with McArthur's newly-purchased trust building. "Tho Stock Exchange is against it," ho said, "and as they are underwriting two and a half millions of my uneniploynient relief money, I don't consider that it would be wise to offend them."

This admission on the part of the Premier that his policy towiyd these trust companies was influenced largely by consideration for the financiers and investore of .the Stock Exchange will prob.nbly be welcomed by the "Labour Daily" with some enthusiasm.

"Nothing Underhand."

As to the British Medical Trust, Major Jarvie-contended that he was in no way reeponsible for the title, which was conferred before he took shares jii the company, that as a director he had, to get it altered, anil that he did not withdraw from the trust till the commission began its sittings simply because tho name of the trust had not been included in the original list of the companies set down foi investigation.

On the whole, it appeared a very effective defence, and no doubt many of hie hearers fully agreed with the major's contention that (here was nothing underhand or discreditable in his connection with this company or its promoters. "Sly. actions," he concluded, "were perfectly straight and above board, and I defy anyone to point to any act of mine that is dishonourable, dishonest or unworthy of a man or a member of Parliament." • But plead as he might, the verdict had already been recorded, and after the conference closed it was announced that it had "by an overwhelming majority endorsed the attitude of the executive of the party." In other words, it agreed that Major Jarvie cannot be nominated as the U.A.P. candidate for Ashfield at the coming , election.

It is an unfortunate business, and no doubt the major .-.nay justly-be censured for some degre#, : of. recklessness and irresponsibility, 'but those who have not complete and absolute confidence in Mr. Stevens will incline to the belief that Major Jarvie has sacrificed, at least in part, to the resentment of the B.M.A. on the one hand, and the disapproval of Mr. Stevens' Stock Exchange friends on the other., i