LEGISLATION AGAINST CAPITAL.

New Zealand Herald, Volume XXVIII, Issue 8726, 17 November 1891, Page 3

LEGISLATION AGAINST CAPITAL.

TO THE EDITOR. Sir, The insane legislation by our Liberal (?) Government _ against capitalists is not without parallel in another country, and the outcry there against the measure is greater even than it is here. The country 1 refer to is America. The Texan Legislature has recently passed an Act called The Alien Land Act. The frainer of the Bill was actuated by a desire to prevent landlordism by aliens in Texas, so that the conditions which obtain in Ireland should not exist in that State, and according to this Bill no alien can hold or acquire any title to any land in the State after the passing of the Act. Those who hold laud, are allowed six years in which to sell out, while any title issued to any alien after the Bill became law is to be void. The Bill was rushed through in one day, and few of those who voted for it understood its provisions or how farreaching its effects would be. The result will be to drive no less a sum than 35,000,000 I dollars of capital out of that State. Agents [ who represent foreign capitalists have received peremptory orders to remit all capital lying in banks and to foreclose on all mortgages as speedily as possible. Messrs. Brown Bros., of Austin, are agents for English lenders, and since the passage of the Act have refused to advance any more money; one farmer who had 7000 dollars from them, and whose time was just about to expire, came for a renewal but could not get it, and, to make matters worse, thereis no capital available in the Eastern States at present for investment in Texas. The immediate effect will be to lower the value of land by from 25 to 50 per cent., and to stop the expenditure of 15,000,000 dollars on a railway which was to open up some iron country. Business men are aghast at the prospect, and the farmers are complaining bitterly of the hardships it will intlict on them. The press in various States has denounced the Act as a piece of " Legislative folly." So groat, indeed, is the outcry against it by men of all shades of political opinion, that there is every prospect of the Act being repealed. Mr. Ballance's measures here are equally injurious, and have had the same effect in the matter of the withdrawal of capital. Public opinion in America has been so thoroughly aroused by this attack on capital that a reaction will immediately take place, and it is extremely probable that the Governor of Texas will be petitioned to call a special meeting of the legislature to repeal the obnoxious measure. The Bill beiu" rushed through in one day, nine-tenths of the members did not know its provisions for the framer's word was taken, and it was not read. If uublic opinion could be roused here in a similar way disaster to this country would be averted, for I feel sure that if pressure from their constituents were brought to bear upon our members many of them would withdraw their support from a party which seems determined to ruin the colony.—l am, &c., R. W. Roche. Devonport, 16th November, 1891.