MR RUSSELL ATTACKED.

Otago Witness, Issue 3102, 27 August 1913, Page 74

MR RUSSELL ATTACKED.

PRIME MINISTER IN FIGHTING FORM.

LOST LESSON IN GENEROSITY,

(From Our Own Correspondent.) WELLINGTON, August 22

Mr G. W. Russell was severely dealt with to-night by the Prime Minister for recent attacks and insinuations made by him. The points specially prominent were the statements made by Mr Russell that the Massey Government had increased the public debt by £5,706,000 since being in office and the veiled attack made upon the Hon. W. Fraser in connection with the £50,000 loan from the Loan and Mercantile Company. Referring to the attack upon Mr Fraser, Mr Alaesey declared that there was no man in the House who was more respected than the Minister of Public Works or one who had given more years to financial life. He -was a man who had never been guilty of a crooked action, and yet this man, he said —pointing to Air Russell —tries to make the public believe that he has been guilty of something improper. The hon. gentleman should stand up and withdraw the implication. Air Russell did not move.

“Does he remember,” continued Air Massey, the treatment that I accorded to him last year wrhen it was stated that he had sold a big piece of land (Runanga) to the Crown at a high price? I was in charge of the committee that was appointed to investigate the charge, and I purposely kept away from it and told the others to do what they thought to be proper. Air Russell: Yes, and what did your Whips do on that committee? Air Guthrie (cliallenginglyj: Yes, what did they do ? Air Alassey ; They gave you justice.

Reverting to the loan transaction, Mr Massey said this was not the first instance where a financial institution had lent money in this way. This had been done repeatedly, although probably this was the first time it had been announced. It had been done often, and there had been nothing wrong. When the question had been put to him he said, “ Take the money up, because it would allow them to advance £SOO to 100 settlers, and that was a very desirable thing.” the” borrowing bounce. Mr M assoy next turned to the recent “bounce” of Mr Russell and other Opposition critics to endeavour to make the public believe that the Massey Government was responsible for the increase of the national debt by £5,706,000. He quoted this sentence from the New Zealand Times of August 7, where Mr Russel, in an interview, -said: “ Their promises of non-borrowing, or reduction of borrowing, are completely negatived by the admission that during their first year of office they have increased the public debt by £5,706.000, an amount that is absolutely appalling when one bears in mind their professions of what they proposed to do when they secured office.” “ Does the hon. member say when I am face to face with him,” asked Mr Massey, “that we increased the public debt by that amount —£5,706,000 odd?” Mr Russell: My statement is in Plansard. Mr Massey: Here is your statement made to one of the representatives of the Times. You can withdraw it if you like. Mr Russell repeated something about Hansard, but Mr Massey declared: “ I cannot waste time, but the Government of which you wore a member borrowed £5,706,000, by which you said we increased the debt. Now 1 ask, is that fair critiffsm? Is that a right thing to do? Is it true? Mr Massey paused with this run of queries, but the Opposition made no stir. He resumed, addressing the Speaker, and said : “ Sir, when the honourable member makes a statement such as this it follows that no credence can be given to any statement made by him, either, in this House or out of it.” Mr Isitt asked if this statement w'as in order, but the Speaker ruled that it was quite within the latitude allowed by the debate. THE COUNTRY’S CREDIT. Mr Massey next refen-ed to the position of the country’s credit. The hon. member, he said, had tried to make the public believe that the country’s credit had been seriously injured by the present Government, and he had quoted from an. English paper. He (the Prime Minister) held in hie hand the very latest available issue of the London Economist, probably the best financial paper in England, and he found in it this list of colonial 4 per cents :—New Zealand 100, Queensland 99, South Australia 99, Victoria 100, West Australia 99, and New South Wales 101. This showed plainly that the credit of this country stood higher than the average of the Australian States. This showed also that though the position was unsatisfactory 12 months ago there had been a decided improvement. They had overtaken their liabilities to a very great extent. Mr Massey closed this passage by showing that New South Wales had to pay £4 15s 4-d per cent, for its loan, whereas the New Zealand loan had been received at only £4 5s 6d. This J 4 per cent, difference was all in favour of New Zealand. Mr Russell endeavoured to show by reading his Hansard proof that he had not made the statement credited to him, but Mr Massey held him to the New Zealand Times interview, and asked him if he would withdraw the statement there. Mr Russell : I withdraw the remark in so far as it places the amount at £5,706,000 and substitute £5,771,000.