OTIRA TUNNEL CONTRACT.

Oamaru Mail, Volume XXXVII, Issue 11807, 17 December 1912, Page 2

OTIRA TUNNEL CONTRACT.

(By Telegraph.)

(Special to the Oamiaru Mail.) Wellington, December) 16. Before Parliament rose it was. obvious that the M'Lean firm; was'to be released from the Otira ' tunnel contract ■without penalties. The House of Representatives, authorised the Ministry to bo generous, and it was understood that the Cabinet. would act at a convenient opportunity. In accordance with the wish of a majority of members the present contractors aro to carry on the work till; Christmas. It is anticipated that the Government will then call for tenders for the completion of tho work, and if the response is not satisfactory the Public Works Department may finish the big task. Most of the Government's supporters, whoso strongholds are in the North Island, favor a cessation of the work, and no doubt the Government itself which is rather short of funds, would''like to cry a halt, but the Ministry has a profound respect for the volume of protest and indignation that such a .procedure would create m the South Island.

(Per Press Association.) - Wellington, December 10. . The question, of the Arthur's Pass tunnel contract will be "settled by the Cabinet next week, meantime work is being carri'ed on by Messrs M'Lean audi Sons under arrangement with the Government, which lasts i.till Christmas. Probably the Government will call for tenders for the completion of the tunnel, and if these are not satisfactory, it is likely the Public Works Department will complete the work.