NAVAL DEFENCE BILL.

New Zealand Herald, Volume XLVI, Issue 14226, 24 November 1909, Page 8

NAVAL DEFENCE BILL.

COST OF THE DREADNOUGHT. [by TELEGRAPH. —SPECIAL CORRESPONDENT.} Wellington, Tuesday. The Naval Defence Bill, which was introduced to-night, empowers the Minister for Finance "to contract on such terms as he thinks fit either with the Commissioners for executing the office of Lord High Admiral of the United Kingdom or with any other person or persons for the building and complete arming and equipment in the United Kingdom of a ship of war." The total cost of ship, including the cost of the equipment and arming, thereof,' shall not exceed £2,000,000. The ship shall be the property of the British Government and shall form part of the Royal navy free from any control or authority exercisable by the Parliament or Government of New Zealand. For the purpose of providing all money required for the purpose, of building, arming, and equipping the ship the Minister for Finance is empowered to raise from time to time sums of money (not exceeding in the whole the sum of £2,000,000), the sums 60 raised to bear interest at such rate (not exceeding 3£ per cent.) as the Minister lor Finance prescribes. All sums so raised shall be paid into the Consolidated Fund to the credit of a separate account, to be called "the Naval Defence Act Account." < For the purpose .of a sinking, fund for the repayment of ; the loan the Minister shall in each financial year-pay out of the Consolidated Fund to the Public Trustee a sum equal to 4 per centum of the capital sum which at the commencement of that financial year is owing in respect of any such loan. All sums so paid to the Public Trustee shall be credited by him to an account to be called "the Naval Defence Account Sinking Fund," and shall,' together with all interest and other profits derived therefrom, be invested by him in such securities as are from time to time authorised by the Governor-in-Council.