THE COLONY'S FINANCES.

New Zealand Herald, Volume XXXVII, Issue 11434, 26 July 1900, Page 6

THE COLONY'S FINANCES.

.WHERE THE LAST LOAN CAME % FROM. THE GOVERNMENT AND THE BANK OP NEW ZEALAND. [BY TELEGRAPH.— CORRESPONDENT,] Wellington, Wednesday. For some time past hon. members who go into questions of finance have had their eye on a new item in this year's balance-sheet of the Bank of New Zealand. The item in question is'"Money at call and short notice, bills receivable, Government securities, and other securities in • London, £2,667,636." . The presumption of hon. members is. that the Government had to raise their last loan through the Bank of New Zealand in London. The matter was referred to in the House this afternoon. After all the questions had been disposed of, the House proceeded to deal with the notices of motion, and the first on the list happened to be in the name of Mr. James Allen, who moved for a return showing all tho moneys raised by loan or debentures since March 31, 1899, setting forth tho purposes for which the moneys wero borrowed, and tho terms on which they were raised. Tho motion apparently was an embarrassing one for the Premier, who moved the adjournment of the debate, remarking that it might injure the finances of the colony if the Government were to disclose what they were doing. , Captain Russell protested against this refusal on the part of the Premier to grant this return. He could not understand how it would prejudice the financial position of the colony, seeing that tho information asked for was : in reference to loans raised over a year ago. He went on to refer to the above quoted item in the balance-sheet of the Bank of New Zealand, and said he imagined that it was from the Bank of NewZealand that a great portion of this money had been got. There was this year a huge sum mentioned in excess of anything that had appeared under such a heading in previous balance-sheets, and this would seem to point to the conclusion that debentures and loans had been raised from the Bank if New Zealand. Mr. Seddon interjected. "If it is alrealy done, the House cannot help it." Captain Russell : No, but it is the first duty of the Treasurer to inform the House of such a transaction as that." Mr. Thomson (Clutha) said such remarks as had been made by the Premier only incited tho curiosity of members. It appeared to him that "things were not altogether right- , , .. Mr. Morrison did not think tho lime was opportune for giving the information. Assuming that the transaction was as stated, it was no doubt done by the Bank with the idea of trying to make money, and no doubt the financial advisers of the Government would recommend them that the arrangement was advantageous. If there had Deen any financial juggling between the Government and the Bank of New Zealand, there was reason for inquiring, and that was a good reason for the adjournment of the debate. „ . , ' Eventually the motion was talked out by Mi' Wilford, not, however, before the latter was somewhat severely rebuked by tho Premier. _