GOOD WEEK'S WORK

New Zealand Herald, Volume LXX, Issue 21641, 6 November 1933, Page 11

GOOD WEEK'S WORK

BANK BILL PASSED INTEREST IN THE BUDGET NO SURPRISES EXPECTED ASSISTANCE FROM SALES TAX [BY TELEGRAPH —SPECIAL REPORTER] W ELLINGTON, Sunday The Government, and in particular the Minister of Finance, Mr. Coates, can look back on the past week with considerable satisfaction, for the most important and most difficult piece of legislation of the session, the Reserve Bank Bill has been safely piloted through all stages. It is true that the Minister in charge had to offer an important modification to a vital clause* and that he liir.v be carried even further yet by forcos within his own party that have been bringing pressure to bear.

The essential point at issue is whether the bank is to be free from nil political influence, or whether it is to be an instrument of policy in the hands of the State. The amendment which Mr. Coates brought down moves definitely in the latter direction. Final Decision with State

The clause in the bill provided that at tho end of the first seven years' term, the governor and deputy-gover-nor of the bank were to be elected at a general meeting of shareholders, and their election approved by the Gover-nor-General-in-Council. The amendment ' that was carried places the appointment of these two officers in the hands of the Governor-General-in-Coun-cil, who will receive recommendations from the board of directors. Mr. Coates stated that if any alteration in the wording were necessary to make it clear that in the event of a deadlock, the final say would be in the hands of the State, such alteration would be made before the bill came back from the Legislative Council. Following the course it had laid down beforehand, the Government took urgency for the second jading, the Committee stage and the third reading and carried these through in three long days, extending in each case into the early hours of the morning. On the divisions the Government kept a fairly steady majority of about 20. It never fell below 14 and on the question of the ownership of the profits on the gold reserves in bank vaults, it was as high as 51. An Effective Reply The early hours of Wednesday morning were brightened by a strong fighting speech'from Mr. Coates. After having listened silently to a great deal of hostile criticism, he suddenly turned the tables on his attackers and singled out for a sharp castigation Messrs. K. A. Wright, H. M. Bufchworth, A. M. Samuel and A. J. Stallworthy. He made his points incisively, and left the House feeling that he had definitely scored. /

The House was glad to welcome back from abroad this week the Hon. W. Downie Stewart and Mr. Walter Nash. Toward the close of the Committee stage debate, they both took part and Mr. Stewart's contributions on this subject—his profound knowledge of which is everywhere recognised—were heard by tho House with interest. He was found voting with the very small minority that favoured Mr. Wright's amendment against the apportioning of the banks' gold profits to the State. Private members had a busy and interesting day on Friday when Mr. H. G. 11. / Mason - (Labour—Auckland Suburbs) asked leave to introduce his bill to empower the Waikato Water Supply Company to take and distribute water from the Waikato. The House was afforded the unusual spectacle of a bill introduced by a Labour member being hotly opposed by the Leader and a number of members of the Labour Party. There is every prospect of even a more lively debate when this measure comes before the House for its second reading. The Summer Time Bill A considerable section of the House was disappointed that Mr. R. McKeen's Summer Time Bill as amended was not proceeded/with. A practical agreement had been reached on .the second reading that the half-hour alteration at present in rogue was to be extended for a further month, but the Hon. J. A. Young, speaking for the Prime Minister, Mr. Forbes, who was absent, indicated that the Government would oppose the bill, as it intended to bring in a similar measure itself later on. This action left an open mark for hostile criticism and Labour and Independent members seized the opportunity with eagerness. The understanding now is that the Government, before the end of; tho session, will bring down a measure effecting the same result as Mr. McKeen's bill.

A series of minor Government bills was introduced by Governor-General's Message and given their first readirfjZ. Three of these, the Stock Remedies Bill. the Poultry Runs Registration Bill and the more significant Municipal Corporations Bill, were before the House in much the same form last session. The new hills were the Harbour Amendment Bill, the Tomato Gardens Registration Bill and the Coinage Bill. An indication that the session has advanced another stage was given when Mr. Coates announced that he would move that from now onward Government business shall take precedence on .Wednesdays. The /Budget and Estimates

The appearance of the Budget and the Estimates is to be the chief event of the wefek. They are now definitely expected bv Thursday. The Budget is not expected to contain any sensational features. The Prime Minister has already plainly indicated that there will be no increase of taxation and no one is optimistic enough to expect any serious decrease at this juncture. It is expected that the deficit will be below the estimated revenue shortage of £4,500,000, and that the position will be materially assisted by the yield from the stnW tax being greater than was provided for. < 'iie minor measure which will probably have to have attention during the coining week is the Coinage Bill, whi.nh must bo put through "shortly in view of the fact that a shipment of new half-crowns is already on the water for New Zealand.