THE BANK BILL IN THE COUNCIL.

Otago Daily Times, Issue 11197, 20 August 1898, Page 6

THE BANK BILL IN THE COUNCIL.

' . (Fkom Oue Own Coekespondent.) J; ' -"' WELLINGTON, August 19. The debate on the Banking Bill was continued in the Council this afternoon by

The.Hon. GEORGE JONES, who stated that the. bank was in such a position as to demand earnest consideration. The crux of the bill was the clause dispensing with Mr Watson, who,- to say the least of it, had relations with the directors making it difficult to exercise the powei of veto. He criticised Mi Watson's action in recently purchasing bank shares, and referred in adverse terms to the circular sent by that gontleman to members of both Houses, which circular practically said: "Parliament of New Zealand, your money or your life!" It was open to question whether that threat had not influenced legislation. Everything in connection with the bank under Mr Watson had been worked on a scale of Oriental magnificence. The president had on several occasions acted in an indiscreet manner, and used the knowledge he had acquired as president to, pur-, chase shares. Had the Colonial Bank disclosures been made prior to the appointment of the president, he doubted whether the present holder of the office would have been appointed.- In his opinion, Mr -Watson should get nothing at all by way. of" compensation^ The Hon. Mr SHRIMSKI, who followed, said he had never been at all enamoured of Mr"Watsorii but so far they had' no" valid reason t^ven to them for his dismissal. It had been proposed that Mi Watson should get two years' salary by way of compensa tion, and apparently he was prepared to ;take the second year's salary and say- nothing. Well he, Mr Shrimski,' never did think much of him, but-if that were his character, he pitied him. If he was a man, and would not, in the interests of the colony, disclose what he knew to bo wrong for the sake of £2500, the sooner he was out of his present position the better. Until .he (Mr Shrimski) knew that he-would disclose the. position, all ho could disclose, he would not assist him to get the money the bill- provided. He _ criticised the statements made by the Hon. John M'Kenzie regarding one of the bank's accounts in Wellington." When Ministers were in the habit of circulating rumours 'about various accounts, it behoved anyone who dealt with the bank to be careful, for if the Minister knew about one account hek would know about others.

The Hon. Mr TWOMEY expressed regret that personal charges had been made by the preceding speaker. He contended that Mr Watson could not be dismissed unless the malfeasance were proved. But who, he asked, was to prove the malfeasance. Certainly not the directors, with whom he was harid-in-glove, and who almost.shed tears at the thought of parting with him. He condemned the dangerous precedent attempted by Mr Watson in endeavouring-to influence-Parliament by a circular to members. This man who now ventured information to save his own skin kept tho cloak of secrecy over all the transactions that brought this bank to its ruin. There was no doubt that the poor shareholders had been, badly treated, but not by legislation, for that had saved a large number of them from bankruptcy and ruin. Mr Twomey wound up his speech with the extraordinary statement that the-present prosperity; .of the colony was due to this banking legislation. There was a distrust and a want of confidence ; before, -but now confidence and prosperity j had been restored, and future generations I would bless the present generation of legislators for what they had done. The debate stands adjourned till Tuesday. The Hon. George Jones has given notice of several amendments in the Banking Bill' in the direction of striking out subsection'-A I in clause 8, providing for compensation to the' ' president for loss of office. This proposal leaves it open' to the president to' proceed in j a court of law. Mr Jones wishes to j add the words to another clause " pro- j viding that every defence open to the Crown, if it had b«en sued, shall be open to the bank, and in addition the bank shall not be stopped from setting up any charges of misconduct that might have been answers to a dismissal on the ground i that the dismissal was in consequence of such \ misconduct." - I