LICENSING OF BOOKMAKERS

Evening Star, Issue 21219, 28 September 1932, Page 3

LICENSING OF BOOKMAKERS

LABOUR MEMBER'S BILL FEES WOULD PROVIDE £265,000 [From Our Parliamentary Reporter.! WELLINGTON, September 27. A strong appeal to tbo Goveruinent to take up his Gaming Amendment Bill to make provision for the licensing of bookmakers was made in the House of Representatives this afternoon by Mr Armstrong. Mr Armstrong followed the unusual course of making a speech on the first reading of the Hill, and he was followed by another Labour speaker (Mr Fraser), who announced that he and a number of other members of the Labour Party were opposed to the measure. The main object of the Bill, said Mr Armstrong, was to control a pretty bad business which was going on at the present carrying on their business and contributing nothing to the revenue of the country. His measure was , only asking Now Zealand to fall into line with every otlvor country of the world. In every country where the totalisator had a monopoly, it had begn a great failure, and nowhere was this failure greater than in New Zealand. Pie did not suggest that New Zealand should go back to the old days when bookmakers were licensed by the racing clubs. The Bill proposed to set up a licensing committee, composed of a Wellington Stipendiary Magistrate, and representatives of the racing and trotting conferences, the bookmakers, and the Government. That committee would be the sole judge of the qualifications of an Applicant for a license. If the totalisator had a monopoly of betting in New Zealand, or if the measure proposed to introduce bookmakers, he could understand any opposition, but New Zealand already had more bookmakers in proportion to population than any country in the world. The percentage of betting business done with the totalisator was becoming less every month, and the percentage done with bookmakers was becoming larger. The time was not far distant when the' bookmakers, and not the totalisator, would have a monopoly of betting in New Zealand. Quoting from the Year Book, Mr Armstrong said that in 1927 the totalisator bandied £7,552.000, but in 1931 it only handled £5,200.000. He predicted that the returns from this year would show a decline of at least another £2,000.000.

Mr Forbes: You say the bookmaker’s business has gone np accordingly? Mr Armstrong explained that ho could not get accurate figures of what business was. done by bookmakers, but he would say that, even in the present period of depression, the bookmakers were looking just as prosperous as before. A tax on bookmakers would double the revenue obtained by dubs, and double the revenue obtained by the Government from racing. Why should the bookmakers be exempt from all taxation P

A member: They pay income tax. “I was just waiting for that,” said Mr Armstrong. “ They pay income tax when they are caught. They are almost exempt from taxation of any description.” He emphasised that the Government had increased taxation all round, and had allowed the bookmakers to go free. If tire committee licensed 300 bookmakers,' which was just half live number in Auckland province, at £2OO each, it would bring in £60,000. If they did'business amounting to £4.000,000, a tax of 5 per cent, would bring in £200.000, and a tax on tickets bring in £5,000, making a total of £265,000. Mr Armstrong claimed that most of the leading racing men of the dominion were in favour of taxing bookmakers, citing Mr A. B. Williams, a leading owner, Mr George Gould, of Christchurch, and the member for the Bay of Plenty, Mr Williams. Mr Armstrong appealed to the Prime Minister to take up the Bill, or to introduce legislation along similar lines. In the event of Mr Armstrong getting a Bill brought down for consideration. it will give me the greatest amount of pleasure to vote against it,” said Mr Fraser, who explained that a number of his colleagues in tlie Labour Party would take up a similar attitude. The Bill could be very well postponed for twenty years. The first reading was taken on the voices, and the second reading fixed for October 19.

A. question has been placed on the Order Paper by Mr M’Dougall, asking if the Government proposes to introduce legislation providing for double machines on the course, telegraphic investments, and ,the publication of dividends.