WAR DAMAGE

Otago Daily Times, Issue 24912, 11 May 1942, Page 4

WAR DAMAGE

AMENDMENT BILL PASSED "SCORCHED EARTH" POLICY (F.0.P.R.) WELLINGTON, May 10. The War Damage Amendment Bill was read for the second time and passed by the House of Representatives this afternoon, with a minimum of discussion. The Prime Minister, Mr P. Eraser, who was in charge of the measure, elucidated several points raised by members. Explaining the Bill, the Prime Minister said that it covered damage that might be done to deny the enemy the use of property. It was only fair that people who lost their property or had it damaged by our own side in defence of the country should be covered, and the Bill extended this cover without increasing the premium. The Leader of the Opposition, Mr S. G. Holland, said that the Opposition fully concurred. He asked if the Prime Minister would say whether the loss of stock through enemy action was covered by the original Act. For example, if hydro-electric generators were put out of action, was stock in, say, freezing works covered? The Minister of Agriculture, Mr J. G. Barclay, interjected that the Government was at present going into the question. Mr Holland: The position should be clarified now. The Prime Minister: The War Damage Commission is inquiring into what a cover of this kind involves. Loss like that will have to be guarded against. It will be made retrospective. Mr F. G. Doidge (Opposition, Tauranga) said that the experience in the bombed zones was that pilfering often followed enemy action. He asked if it was intended that property in houses and other buildings subject to the evacaution order would be covered against pilfering. The Prime Minister: We will put questions like these categorically before the commission.

To Mr W. J. Broadfoot (Opposition, Waitomo). Mr Fraser said that live stock damaged through enemy action was covered.

Apswering Mr F. L. Frost (Govt., New Plymouth), the Prime Minister said that the total of voluntary premiums under the War Damage Act was now £750,000. It was not possible, however, to give an indication of the money paid in under the compulsory clause. Insurance companies were cooperating with the highest possible motive—that of oatriotism —and were doing their part of the work without cost to the country. Mr Fraser also said that in the event of the funds Daid in premiums not being required for war damage they would De held in trust for earthquake or other national disaster.

The Bill was put through the committee stage, read a third time, and passed.