LEGISLATIVE COUNCIL

Evening Post, Volume CVI, Issue 53, 11 September 1928, Page 13

LEGISLATIVE COUNCIL

Tlie Legislative Council met at 2.30 p.m. to-day. A number of local Bills were received from the House of Bepresontativos and read the first time and referred to the Local Bills Committee. The Statutes Bevision Committee reported the Property Law Amendment Bill with technical amendments. Moving the second reading of the London and New Zealand Bank Limited Bill, the Hon. V. Eeed pointed out that it would be necessary for it to go to a special committee, and asked that discussion bo deferred until it came back from the committee. Xho Leader of the Council (the Eight Hon. Sir Francis Boll) said the course was 110 doubt usual in regard to private Bills, but this was not an ordinary private Bill. He said ho was not speaking for the Government, which had not opposed the measure, but members of the Government might hold divergent views in regard to it. The Council was called upon as a branch of Parliament to reach a deliberate conclusion on such' a Bill proposing the establishment of a new bank. Ho referred members to the Companies Act, which, while permitting the charter of companies, did not apply to banks, which must be'established pursuant to an Act of Parliament. He did not wish to say anything that might prevent the Bill going before a special committee, but surely there was a question for the Council as to what should s be the subject matter of the inquiry by thi committee. It was the duty of the Council 'to inquire whether the setting up of a new bank was in the public interest, not merely in the private interest. He questioned whether such a new bank was in the public interest. Sir Francis Bell said the question was whether there was necessity or real advantage in the establishment of- a new bank. Personally, he held no interest in any bank, nor had he been asked to adopt a certain attitude on behalf of any bank. . He was quite impartial, but he wanted to be sure that the relevant issues wore considered. There was no failing in the present banking facilities, and if the new bank was to give facilities to people who were refused business by the other banks it would have a very ephemeral existence. Caution, should be exorcised in granting authority for adding to the circulation of promissory notes. It was not apparent that further banking facilities were required in the Dominion. Further, there was nothing so dangerous to a community as a weak bank.