FINANCE BILL

Hawke's Bay Tribune, Volume XXIV, Issue 9, 21 December 1933, Page 6

FINANCE BILL

PASSAGE COMPLETED Important New Amendments TOBACCO-PRICE FIXATION By Telegraph—Press Association. WELLINGTON, Dee. 20. Effect to the report oi Industries and Commerce Committee of the House i of Representatives oil the subject of | tobacco trading is given by a new i ,-iausc inserted in the Finance Bill No. 2 this morning. The clause removes tobacco, including cigars and cigarettes, from the schedule of the Commercial Trusts Act. This will enable price fixation Another important amendment inserted in the same bill is in | the terms of the announcement made by the Rt. Hon. J. G. Coates last night on the subject of earthquake risks in connection with workers’ compensation. It is set out that the maximum liability of all insurance companies shall not exceed £50,000 in respect of personal injuries to workers resulting from a single earthquake, or a series of earthquakes, occurring i within a period of seven days. Where I the total liability exceeds £50,000 each I company’s share of liability is to bo j apportioned by the Governor-General-i in-Couucil in proportion to their preI mium income for the preceding calendar year in respect of their employers’ liability insurance business. If any company was not carrying on. such business in the preceding year its proportion of liability is to bo determined by the Governor-General-in-Council in such manner as he thinks proper. Amounts to be paid to those entitled to compensation are to bear the same proportion to the full amount of their claim as the sum of £50,(100 bears to the aggregate amount of all valid claims. A new clause has been added to facilitate a settlement between the Government and the Southland Power Board regarding interest payments in London. This clause will empower the board to borrow money in London to meet the difference between the amounts payable in sterling and in New Zealand currency on its overseas loans and repay that sum out of the sinking hind. A clause in the Finance Act, 1928, empowered the Governor-General b.y Order-in-Council to authorise, the Power Board to borrow money to meet charges on land that was guaranteed by the Government. A clause introduced today provides that money so borrowed may be repaid out of sums standing to the credit of the sinking fund of the loan on which tho money was borrowed. The bill with these amendments, was finally passed this afternoon. PENSION REDUCTIONS. Labour members called for a division on tho clause validating pension reductions as from April 1, 1932, but it was retained by 34 to 27. Mr Savage asked, regarding the clause removing tobacco from the schedule of the Commercial Trusts Act, whether the Minister would give an assurance that the public would be protected from exploitation in tho direction of price fixation at too high a level. Mr. Coates said that, if prices rose to an unreasonable level the Government would not hesitate to invoke the Board of Trade Act with a view to protecting the public. The bill -as put through the committee stage with the amendments introduced by Governor-General’s message. At a later stage it was put through the third reading and passed. BILE PASSES UPPER HOUSE. Speaking in the Legislative Council on tho second reading of the Finance Bill (No. 2), the Hon. J. A. Hanan said it was difficult, to see how tho Government *could set aside moneys for repayment of the national debt when tho Budget showed a deficit. There was too great a tendency among people to lean on the Government for help, and there was a continual clamour by sections of tho community for favours and privileges. In his opinion there had been a growth of centralised government to the detriment of tho liberty of the subject. The Hon. 1). Buddo said there were signs of a definite improvement, and ho considered next year would be much better than its predecessor. The Hon. C. J. Carrington contended that tho cost of government was too high, and he advocated tho closest scrutiny of all State expenditure. In reply, the Hon. B. Masters said that under the Public Debt Extinction Act money was set aside yearly for repayment of the public debt! He agreed that it was not a time for the Government to increase expenditure. The Bill was read the second time. On the third reading Sir James Allen asked whether anything had been done to place the superannuation funds on a sound basis. Tho Hon. R. Masters said that a conference representative of every section of the public service had been considering proposals for rectifying tho position of the funds, and it had adjourned until February. Ho hoped that tho funds would soon be placed on a sound basis. The Bill was passed.