PARLIAMENT

Manawatu Standard, Volume LIII, Issue 313, 1 December 1933, Page 7

PARLIAMENT

TO-DAY’S SITTING. URGENCY EOR ESTIMATES. Per Press Association. WELLINGTON, Dec. 1. When the House of Representatives Diet at 10.30 this morning urgency was obtained for the passage of fourteen clauses of the Estimates, including the Agriculture, Railway, Customs, Post and Telegraph, Health and Mental Hospital Departments. The Prime Minister (Rt. Hon. G. W. Forbes) explained that the Government’s reason for desiring that the Estimates be dealt with yesterday had been to secure advantage of the full day’s consideration so that the southern members desiring to get home for the week-end could catch the steamer to-night. Mr D. G. Sullivan: Do you propose to do two days’ work in one ? Mr Forbes: It is the work we should have done yesterday. It was proposed, the Premier added, to take Government Bills to-day because the sitting was ordinarily a short one. “I have no objection to the policy followed by the Opposition yesterday,” he added. “The questions raised had to be discussed some time.” HYPOTHECATION OF RESERVES. Discussing the vote for the discharged soldiers’ settlement account, Mr F. Langstone asked what was the amount being paid to the banks as a result of the hypothecation of reserves. He also asked whether the money in the fund was returning sufficient interest to meet the obligations to the banks.

Mr A. J. Stallworthy asked whether ther e was a possibility of the actual management of the settlements passing to the banks. Rt. Hon. J. G. Coates said the money had been advanced to the Government on the security of the reserve fund, and when it was convenient for the country it would be repaid. Mr Langstone: How much has been advanced to the Government? Mr Coates said that two and a-half millions had been advanced last year and two millions this year, making four and a-half millions altogether. It was a convenient way of raising money without calling on the taxpayer, _ and the money would be paid back either by jan internal loan or by some other method when the finances of the country were buoyant again. The interest being paid was 5 per cent. Mr Langstone: How much is in the reserve account?

Mr Coates said the original value of the securities had been about thirteen millions, but some of them had been written down. The Minister added that there was no danger of the banks gaining control of the settlements, which were perfectly safe as far as the occupiers of the properties were concerned. Hon. E. A. Ransom said the interest on discharged soldiers’ settlement Loans amounted to £1,103,750 last financial year. There was no danger of the security of the fund being jeopardised by the hypothecation of the reserves. VALUATION OF CROWN LANDS. Replying to other points raised, the Minister said that if members could show him individual cases in which Crown tenants under the Discharged Soldiers Settlement Act had not received a fair run he would give an undertaking to reinstate them either on the same farm or on some other. He would also suggest that if Crown tenants still on farms felt they were not getting a fair deal they should make application to the Mortgagors’ Relief Committee. The Government would be prepared to stand by the recommendation of that committee.

“This is not a time at which we can reasonably fix the valuation for the next 21 years,” said the Minister in replying to a request by Mr A. M. Samuel for a revaluation of settlement lands. “The markets are so unstable that it would not he possible to arrive at a sound basis on which to fix a valuation. However, I can give an assurance that the Government intends, as soon as prices are reasonably stabilised, to deal with the question of revaluation.” The vote was passed. AFFORESTATION POLICY.

Replying to the discussion on the Forestry vote, Mr Coates said that, as the result of a survey of the world resources in softwoods following the Imperial Conference in 1926, it was considered that there would be a definite shortage within sixteen years. There had been a check to consumption owing to economic causes since then, but even taking this and the use of substitutes into account world authorities were of the opinion that New Zealand’s softwood resources would be required. He predicted that a time would come in the not very far distant future when New Zealand would be very glad it had adopted an afforestation policy. The House adjourned at 1 pan.