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Hawera & Normanby Star, Volume XX, Issue 2385, 24 March 1893, Page 2

The Star.

FEIDAT, MARCH 24, 1893. — --- - -jf=*THE WEEK.

The most startling cables continue to be those referring to the AntiHome Rule agitation. It is abundantly evident that Mr. Gladstone's proposals are not going to bring peace, even if they be carried, which, in the present Parliament, seems unlikely. The reports of the arming oi: Ulster appear to be well authenticated, and so do the statements as to money and men being promised from various parts of the Empire, but, nevertheless, we do not for a moment believe that there is to be any civil war. Thtse demonstrations are, no doubt, intended for a political purpose, to show that though the bill might settle one difficulty it would raise another of enormous magnitude, and the object, we take it, is to detach from Mr. Gladstone the section of his supporters who support him from the conviction that something must be done to get the Irish difficulty oufc of the way of much needed legislation on a variety of subjects. This view of the case seema to receive some confirmation from the statement of John Kedmond, that local option will overshadow the Home Rule Bill.

In G-ermany the Army Bill has met with an adverse vote. We do not sufficiently understand the G-erman legislative procedure to be able to estimate the esact effect of the rejection of the Bill by a committee. Under British Parliamentary procedure the action of a committee in respect of a Bill may be of very trifling importance. A defeat on the motion for second reading, of course, goes to the life of a Bill. But the meaning of the cable, which says that " the committee rejected the Bill on the motion for the second reading " is obscure. Still it is clear that the Government has received a check, and the question is what will happen? Germany cannot afford to remain far inferior in military strength to France, and the best of judges would seem to agree tbat if there be an appeal to the people they will give the Government what they require even if the Reichstag will not The position has been put thus : " The Fceuch have, at the present moment seventy battalions and 276 guns more than the Germans, whereas at the last war the Germans had 104 battalions of infantry, 400 guns, and 130 squadrons of cavalry more than the French." Such an inequality if permitted to continue would before long lead to a repetition of 1870 with the last scene at Berlin instead of at Paris.

The week has seen further progress in the work of " washing up " after the recent commercial and financial scandals. In France there have been more sentences passed upon men like De Lesseps and others who have been great figures on the world's stage for many a year ; in Eome one of the greatest financial institutions has come down, wrecking, in its fall, Parliamentary reputations ; in London the perpetrators of the Liberator Buildiag Society frauds have received their deserts ; and in Melbourne heavy but discriminating sentences have been passed on the manager and certain directors of the AngloAustralasian Bank, which failed for an enormous sum o£ money. In the case of the Liberator Society frauds the sum squandered was astounding, over two millions. The imprisonment of offenders is no doubt necessary as a

deterrent measure, but it does not repair the ruin which has been wrought, gome day, perhaps before long, there will probably be a development of State interference with private enterprise in the direction of securing an official audit of the doings of banks and great financial institutions. No doubt tliore are difficulties and expense, but the experience of the ruin wrought by commercial dishonesty and foolishness during the past fow years seems to suggest the necessity of getting over the difficulties.

By the death of Ferry, Prance loses one of the foremost of her public men. He has had a chequered career, but has always been prominent. He was one of the most dreaded opponents of Napoleon 111., and was put into prison ; he opposed the war with Germany ; the revolution found him pretty well at the hear' of affairs ; later on he was a leader in the expulsion of the Jesuits, and was one of the founders of the colonial policy of France, which, however, has not turned out a splendid success. Still, whether succeeding or failing, he has always been a leader.

It would appear that some of the weak points, or, it should be said, ihe bad points, of the Government finance are being discovered in London. The taxation of debentures is undoubtedly one of these. The debentures referred to are promises to pay, on which people carrying on business enterprises in the colony have raised money in LondoD, reparable in London. Now, the Government, not content with taxing the colonial users of this money on the profits they make in their business, have imposed a ta? on the debentures, or, in other words, on the money borrowed, and have empowered the borrowers to deduct the taxation from the payments they make to thu lenders. Clearly this is not easily justified. A, in New Zealand, has agreed to pay B, in London, £100. The Government of New Zealand, unable to get at B directly, says to A — " We will take from you Jgl, and authorise you to deduct that from what you have agreed to pay to B." In short, it authorises him to break his contract. Some companies have declined to f ake advantage of the law, and have kept their contract ; but the Wellington and Manawatu Railway Company, who have borrowed nearly all their capital from England, could not pay, and have deducted ifc Hence the complaints from London. Of course, if a man bring his money to New Zealand, and

invest ifc, fciT does so subject to -fine laws which may be made ; but when a man ia England lends to a company or individual certain sums of money on certain terms, he does not expect that a Parliament in which h6 has no voice or influence will make a law varying the terms of that bargain. It ia a cjever way to get at the outside capitalist, but is not hones b, and will hardly pay, because the outsider, when his opportunity comes, will simply raise his price by the amount of the tax, and a little more to cover future risks.

The congratulatory reference of Mr. Mundella to the wtfnderful manner in which New Zealand has paid her debts, refers presumably to the discharge of private obligations. The colony has not paid off any debt except by the expedient of borrowing to do so. We do not say that the borrowing has been improper or injudicious, but only refer to the fact that there has actually been no repayment of debts. That ought to be fully aopreciated, otherwise the telegraphed remark of Mr. Mundella is apt to mislead. Time was when New Zealand was the shocking example of spendthrift colonies Now it has become the bright pattern of all that is proper. The former censure was not all deserved, nor is the present flattery.

Those who take an interest in Queensland politics and the preservation of political morality, will have noted with some satisfaction the failure of Mr Nelson to form a Ministry. Leader of the Opposition, he waa taken into the Cabinet with the reversion of the leadership on Sir Samuel Griffiths, the Premier, taking the position of Chief Justice, and the party which he had been leading waa left headless. But when the Premiership was apparently within grasp he found that the old Government party declined to dance to his piping, and he was unable to get colleagues. It n a case of a party without a leader and a leader without a party— and a politician minus a reputation for loyalty.

The fact that Mr Ballance is again able to attend Cabinet meetings is better proof of his recovery than a dozen reports, and political friends aiid foes alike will be glad to hear of fcpe improvement. A correspondent; (rf the Otago Daily Times says that m English medical man of position h;aa seen the Premier, and reports tiiat nothing but rest is necessary to secure his recovery. That, so far, is satisfactory, but the question is can a man of Mr. Ballance's temperament take rest, or can any man in hm position get rest ? The probabilities are for a change in the Premiership before long, and it is not far fetched to expect that Sir Robert Stout will be at the head of affairs. " One step enough for me" he said che other day, but his intended re-entry of the House, which he does not deny, is a great step forward from his old determination to relinquish political life.

The county meeting at Manaia the other day was decidedly businesslike, and took the best course open to it. There will evidently bo money enough in hand to repair damages, and before the end of next financial year the position will have been so clearly ascertained that it will be easy to see what ought to bo done in the way of strengthening the finance of the riding. The incidents at the meeting were a striking commentary on Councillor McCarthy's idea of a '• united Waimate." If one thing more than another was made clear it was that the unity which Mr. McCarthy yearns for is not attainable. Geographical position, the special circumstances of localities, and financial commitments make it difficult if not impossible. Interest is far more powerful than sentiment. A Waimate loan is evidently impracticable, so is a Waimate special works rate ; but were the district divided into ridings, each having a distinct common interest, there would be little or none of the difficulty which at once presented itself on Tuesday when special burdens were spoken of. A united county so as to secure the lowest official expenditure, and work able ridings formed on the basis of community of interest, is the true end to be aimed at, and time and experience continue to work hard against the opponents of this.