THE WEEK IN PARLIAMENT.

Otago Witness, Issue 3885, 28 August 1928, Page 24

THE WEEK IN PARLIAMENT.

LEGISLATIVE COUNCIL. WELLINGTON, August 21. The Council met at 2.30 p.m. CHURCH OF ENGLAND BILL. In moving the second reading of the Church of England Empowering Bill, Sir James Allen said he wished to remove the misapprehension that the Bill was • introduced because of recent legislation affecting the Church of England at Home, and that the diocesan synods had not had a full opportunity to consider the proposals. The Bill was read a second time and referred to a committee of selection. FIRST READINGS The Surveyors’ Institute Amendment Bill and the Thames Borough Land Rating Adjustment Bill were received from the' House and read a first time. The Statutory Land Charges Registration Bill and the Noxious Weeds Bill were received from the House and read first time and second time pro forma and referred to committees. The Christ’s College (Canterbury) Bill Was received and read a first time. The Council adjourned at 2.55 p.m. WELLINGTON, August 22. The Council met at 2.30 p.m. Tlie Law Practitioners’ Amendment Bill ((Mr J. MacGregor) was introduced and Eead a first time. The Council adjourned at 2.05 p.m. until Wednesday next.

HOUSE OF REPRESENTATIVES.

WEDNESDAY, August 21. The House met at 2.30 p.m. FORESTRY DEPARTMENT. The Minister of Agriculture (Mr O. J. Hawken) laid on the table the annual report of the Forestry Department. The Minister, in reply to comment by members, said the embargo on the export of New Zealand timber had been practically withdrawn because its object —the reduction in the price of timber—had been attained. The Government would not refuse a permit to export under reasonable conditions. He did not think the trade in mine props alone would justify tree planting on a large scale. The Government did not propose to interfere unduly with the tree planting associations, but legislation would probably be brought down this year which would deal with the prospectuses and the associations generally. He did not think it wise to subsidise tree planting in small areas on private land, because for success tree planting depended to a great extent on being done in large areas and done quickly. He was looking for a large block of suitable land in Southland, but so far he had not succeeded. In Canterbury they had found such blocks, and he was laying it down that tree planting should take place on large compact areas and not on small isolated blocks. He did not favour utilising good land for forestry, or planting trees where they could not be protected from fire, as fire protection was one of the Department’s chief duties. He agreed with the employment of out of work men on tree planting, and this year they had so absorbed about 800 unemployed. It was not, however, always possible to have trees ready for planting when there was unemployment. He doubted very much whether forests planted by the State would be as profitable as many of the tree planting companies represented they would be. He had every hope that wood pulp making would be practicable in New Zealand, but it was not a business that could be carried on in a small way. It involved considerable capital because the'work must be done on a big scale, and the paper market was somewhat unstable. He, however, thought it -would be found there would be sufficient consumption in New Zealand to warrant wood pulp making in a business way. After stressing the prevention of fire in State forests he .went on to say . that the department was endeavouring to bring expenses within reason this year. For £300,000 they wuuld plant 60,000 acres at £5 per acre, which was far less than had ever been done in times past. He thought that forestry was one of the best ways in which the State could invest its money, especially if it was used to absorb unemployed labour. DEBATE ON THE BUDGET. The debate on the Budget was resumed by Mr W. D. Lysnar, who congratulated the Minister of Finance upon the even ness with which he had balanced the revenue and expenditure. This was not a time when we should indulge in large surpluses. The existing depression was something for which the Government was not responsible. It was something of world wide origin, and local legislation could not affect it very much. He defended the construction of the East Coast railway on the ground that the railways were not built for profit makirbut were built to assist in the development of the country. Mr T. E. Y. Seddon (Westland) put in a plea for a remission of the taxation on racing clubs, maintaining that the taxation put on during the - war period had not yet been remitted. If it were not the increased taxation that was putting racing clubs in difficulties what was it? The Minister; They are spending more than their income. Mr Seddon said that might apply to the metropolitan clubs, but he did not

think that country clubs could be accused of either extravagance or mismanagement. He suggested they should be given such relief that they would be made independent of bad weather or any other similar misfortunes. After referring to many local questions, Mr Seddon congratulated the Minister of Finance upon his Budget. He had expected to see a good deal of window dressing, but instead he found the Budget a plain straightforward statement of our financial affairs.

The Prime Minister said he would have to be modest in his congratulations to his colleague on the success of his Budget because there had been so many bouquets handed to him that he must be a very proud man. The Budget was a nlain straightforward statement, and the last speaker correctly interpreted the policy of the Government. There was no window dressing. He did not propose to speak on many topics, for there wa s very little to answer, but he did want to say something about railway construction. He referred to previous Railway Statements in which the railway and the public works policy of the Government had been clearly set out, and by the policy therein declared the Government would stand or fall. In the first place, he said, he did not favour large borrowing for public works. It was more a question of how the money was to be invested. He then proceeded to show that many of the present enterprises, such as telephones and hydro-electric works, were non-interest earning assets, and he stated that he anticipated before long that the hydro-electric enterprises would be returning to the Treasury from £8,000,000 to £9,000,000 net profit. That might not mean a reduction on the charges to consumers—that had to be decided, and it might be better to use the money for other purposes. Telephones were now showing profit, and would continue to do so. If they were careful as to how they invested their borrowed money there was no need to call a halt in their public works policy. If that was the policy of the Opposition it was not the Government’s policy. It was progressive, and was continuing to carry out the programme laid down in the various Public Works and Railways Statements issued by him. Mr Coates then proceeded to defend the recently adopted system of railway accountancy. The Railways Department was now strictly a commercial department. Certain of its lines did not pay, and those lines had to be assisted. In disclosing the assistance given the department’s accounts were clear and straightforward because they showed where the subsidy came from, where it went to, and why it was given. That subsidy was allocated with perfect fairness under rules drawn up by the Treasury and approved by the auditor and Controller-general. There was nothing obscured, nothing concealed. Reference had been made to the lines in the North and the South Island, but he refused to look at the railways from that angle. They were a national system, and he would regard them only in that light. The old system of accountancy took no count of renewals, but now rentals had to be paid out of revenue, for by this they had built up a fund exceeding £1,000,600. The subsidy to non-paying lines was justified because it was a question of running the railways for development purposes, and if these non-paying lines were not assisted they would have to be ripped up or freights all over the Dominion would have to be raised. To avoid this the country said to the Railways Department : “ Rather than have the lines ripped up or the freights raised we shall help you to find the cost of operating the lines in sparsely populated districts but which are necessary to those districts.’-’ The Prime Minister maintained that there was no other system of transport outside the railways which could cope with the traffic of the Dominion as a whole on anything like an economic basis. The Leader uf the Nationalist Party had complained that he could get no information regarding the railways. He (Mr Coates) could only refer the hon. gentleman to the annual railway reports since 1924, where he would find sufficient information regarding the policy of the Government, which, if he read carefully and grasped clearly, would make him a convert to the Reform Party. He did not advocate a stoppage of railway construction, although the cost had increased greatly, mainly because the easy portions had been done many years ago. Still the settlers in many districts had easy communications, and they must have cheap fertilisers if they were to compete with their neighbours, and there was no other system of transport that could meet their requirements. The Prime Minister justified the present expenditure on the railways. The electrification of Lyttelton tunnel, he said, was justified. Ould anyone excuse the chaotic state of affairs at Auckland? The Tawa Flat tunnel would greatly increase haulage over that line, and it was to reduce overhead expenses on the work ing railways that this expenditure was being made. As to the relaying of rails so frequently mentioned by the member for Wanganui, he said it was not obligatory to relay 100 miles per year. That rested wholly with their engineers who were trained on the best British standards, and in their judgment he had implicit faith. As to the safety of the lines, they were importing three engines for the Main ll'unk, but that was all. As a general principle, he was determined that they must make as much of their railway stock-in the Dominion as possible. To those who declared wc were borrowing money and wasting it, he asked them to say: “Where is the money being wasted?” He defended the

purchase of busts, otherwise they would just have to sit down and see a great deal of their legitimate business going into other channels. A general manager of the bus services had been appointed at £450 per year. A new general manager of railways had been appointed at a salary of £3500. His appointment might have been made without the authority of law, but the House would have an opportunity of saying whether it approved of that appointment or not. The railways had cost the Dominion over £50,000,000, and would soon have cost £70,000,000. They could not, therefore, sit down and see that system robbed by private buses. It now remained to be seen whether the department could profitably run a scheme of buses in conjunction with the railways. The Government’s policy had been clearly laid down, and of that policy he invited constructiv: criticism. They sometimes got criticism from their own side, but when it came to the point they were one solid phalanx all moving one way towards one common end.

Mr J. Horn (Wakatipu) said the matter in the Budget had been thrashed threadbare, and he did not propose to thrash it any more. He therefore proceeded to ventilate grievances in refer esfee to Central Otago. The House rose at 11.30 p.m.

WELLINGTON, August 22. The House met at 2.30 p.m. FOOT-AND-MOUTH DISEASE. Replying to Mr A. M. Samuel (Ohinemuri), the Minister of Agriculture (Mr O. J. Hawken) said there was no truth in the published statement emanating from Palmerston North that there were animals on Somes Island affected with foot-and-mouth disease. There were some cattle on the island, but they came from the United States of America, and were perfectly healthy. The Government was taking the most rigid precautions against the introduction of foot-and-mouth disease, and to that end the regulations had recently been tightened up. NEW CATTLE DISEASE. Replying to Mr W. Jone s (Marsden) Mr 0. J. Hawken said he had not yet received particulars of the new disease amongst cattle reported from the north. He was, however, making further inquiries as to the exact nature of the disease. THE BUDGET DEBATE. The debate on the Budget was resumed by the Minister of Finance (Mr W. Downie Stewart) who combated the theory that high wages necessarily produced a high output. There must be high production, otherwise the reservoir of the supply of money would dry up, and any other view was extremely one-eyed. A significant feature of the debate had been the discussion that revolved around the problems affecting the farmer—cheap money, etc. That was only right, because so much in New Zealand depended upon the prosperity of those on the land. The Minister of Lands had been accused of lack of energy and sympathy, but he was confident that that was not the view of Mr M’Leod held by the people of the Dominion who recognised that he had handled an extremely difficult situation with consummate ability. So far as rural advances vrere concerned, the Government had done all that was required of it, and if there was any lack in the rural credits system that was not in any way the fault of the Government. They were told that these bonds would be so popular there would be. no difficulty in disposing of them, that farmers’ unions would trade them off, and that farmers would take them up, and the Government had carried the scheme to that stage. If rural credit bonds were not now popular because they were not a charge on the public debt, then he could sell them in either Australia or in England, where the question of security would not be raised. Personally he favoured raising money by means of rural credit bonds, because it provided money without having recourse to annual borrowing for the State Advances Department. The bonds had been prepared in terms of the Act which expressly stated that they were not guaranteed by the Government, and notwithstanding this he was in a position to say that the security was undoubted. It was thought advisable to underwrite the first issue, and the Bank of New Zealand took the bonds up at the same rate as the public could have taken them up. In the next issue it might be advisable to vary the terms somewhat to popularise the scheme. Up to the present bonds to the extent of £600,000 had been sold apart from the amount taken up by the bank, but his point was that the Government had done all that was asked of it at the time the Rural Credits Act was passed. So far as the money market was concerned he maintained that there was plenty of money available for loans to farmers if the security was there. Some people seemed to think the Government should lend up to 95 per cent, on farm lands, but that margin was quite unsafe, and the' position could not be improved by amending legislation. His summing up of the position, then, was that there was plenty of money available on good security, that all the machinery provided by the Government was in full operation, and if there was any holdup in lending to farmers it must be due to some circumstances beyond the power of the Government to control. The Minister traversed the old reasons for raising the rate of interest under the State Advances Act, and for limiting the Post Office Savings Bank deposits. He maintained that it was always ‘better to redeem deadweight debt than interestearning debt. It was not possible to raise large sums by way of income tax on incomes of £10,600, since there were only 20 persons in that category. If the margin were lowered to incomes of

£5OOO and over there Would be 172 people affected, but they were paying £1,150,146, and he did not think there was much room for increase there unless they wished to take the lot. Returning to farincrs’ffinance, the Minister said that farmers’ .associations in Europe were all independent of the Government and actually lent money to the Governments. Here it was altogether the other way. Everyone wanted the Government to do everything for them. What he would like to sec was more self-reliance and greater independence of the Government. Discussing the future of State enterprises, he said there were two lines of policy to be considered. One was that the profits were to be used to reduce taxation and increase social services, and the other was that the profits should be absorbed by concessions to the users of these enterprises. Personally he favoured a middle course. If the profits were going to be as great as anticipated he could not see why all the profits should go to the consumers, because the public at large launched schemes and guaranteed the cost. If the whole of the profits were to go to the consumers then the dreams of reduced taxation would vanish. THE ESTIMATES.

The motion that the House go into Committee of Supply was then put and carried, and the members proceeded to consider the first item on the Estimates of £85,594 for the legislative departments.

The Leader of the Opposition (Mr H. E. Holland) protested against the “unbusinesslike ” manner in which the House did its business. He complained of the late hours, and said if the House was going to continue to meet at 2.36 p.m. it should automatically rise at 10.36 p.m. To emphasise his point, he moved —“ That the vote be reduced by £10.”

The Prime Minister said if they looked back for the past 35 years they would find a similar speech to that they had just heard had been delivered almost every year. The procedure and routine were matters entirely in the hands of the House itself. They’ had a Standing Orders Committee, but time and time again that committee came back without any recommendation to make. There must be long hours if the Oppoistion persisted in opposing the measures of the Government. The only remedy for that was the introduction of the closure, and that was a matter requiring serious consideration. The present method might be somewhat tedious, but it made for caution and safety. Mr G. W. Forbes (Hurunui) agreed that if they were going to have regular hours they must have the closure. He suggested the calling of the Standing Orders Committee together to see if any improvement could be devised. , Mr E. P. Lee (Oamaru) said it was impossible for the Standing Orders Committee to meet during the session and give the subject due consideration. It must meet during the recess. He favoured the introduction of the closure and four or five-year Parliaments. On resuming at 7.36 p.m., the committee continued to discuss the amendment moved by the Leader of the Opposition without saying very much about it. At the supper adjournment the members were still discussing the question, each side of the House lightheartedly accusing the other side of wasting the time of Parliament and of the country. Members continued with a number of personal interludes to discuss the question ■whether the Standing Orders should or should not be amended, and at 1 a.m. were no nearer unanimity than they were at 7.36 p.m. Up to 6.36 a.m. the Labour Party had freely participated in the debate. Then Mr F. Waite (Clutha), in the course of a speech, indicated that as the House had been kept up by the Labour members the Reform members were now going to keep the discussion going on for some hours longer. After several Reform members had roundly upbraided the Opposition for wasting the whole night by bringing forward a useless amendment a division was taken, ■when the amendment was defeated by 43 votes to 16. Messrs Veitch, Forbes, Ransom, and Atmore voted with the Labour Party. Mr Holland then took up the point that the new General Manager of Railways had been appointed without 'the authority of law. The Act provided for a Railway Board, and there was no power to change the law without the consent of Parliament. Yet the Government had abolished the board, and appointed a General Manager at a salary of £3560 per year, with a retiring allowance of £2606 after seven years’ service. This was a clear breaking of the law, and he moved to reduce the first item on the Estimates by £9 as a protest. Mr M. J. Savage (Auckland West) declared that what the Government had done was hurling Parliament into ridicule.

Mr W. A. Veitch (Wanganui) said he approved of the change from the board to the general manager, but he strongly disapproved of the method of making the change. After a long and tedious discussion a division was called for on the amendment, which was defeated by 43 votes to 15. Mr G. W. Forbes (Hurunui), Mr W. A. Veitch (Wanganui), and Mr H. Atmore J Nelson) were the only other Opposition members who supported the amendment.

WELLINGTON, August 23. Ihe House met at 2.30 p.m.. INTERFERING WITH POWER LINES.

Mr J. A. Nash (Palmerston North) asked the Minister of Public Works if he would offer a substantial reward which would lead to the conviction of persons interfering with electric power lines. H e mentioned several cases of interference, specially one case in which a wire had been attached to a power line and then to a wire fence, rendering it •“ live ” for the whole of its length and thus fatal to anyone who tom hod it.

The Minister said that that was the first he had heard of that class of interference, and he would look more fully mto the matter. INTERNAL AFFAIRS.

Sir Maui Pomare laid on the table the annual report of the Department of Internal Affairs. On this Mr M. J. Savage (Auckland Vest) invited discussion on a pamphlet entitled “ New Zealand, Brighter Britain of the South,” issued bv the Publicity Department, and circulated largely in England in 1926. Memberg of the Labour Party, in criticising the pamphlet, claimed that it contained statements “ hopelessly and shamefully misleading,” ending to induce immigrants to come to the 'Dominion only to find that the conditions were not as represented, with the resultant disappointment.

Sir Maui Pomare, in reply, said it was time New ~>aland was the “ brighter Britain of the south.” It was God’s Own Country, and we could not say too much about it The pamphlet was full of good information about New Zealand. The critics had picked out particular passages and detached them from the Context, which was unfair. He said' they should read the whole of it. He then proceeded to read: ‘‘ln New Zealand income tax scarcely concerns tho working man at all.” “Is that not. a fact?” he asked. “Then why did not the hon. gentleman quote that? ” Mr J. A. Lee (Auckland East) : Because. Sir Maui Pomare: Because. That is a woman’s reason. He proceeded to quote other extracts from the pamphlet, punctuating his reading with his question. “ Is that not a fact? ” and concluded triumphantly : “ The book tells the truth.” The report was laid on the table. SECOND READINGS. When the House resumed at 7.36 p.m. the following local Bills were read a second time:—Lyttelton Harbour Board Loan Enabling Bill (Mr J. Combs) ; Whakatane Harbour Amendment Bill (Mr F. F. Hockly) ; Onerahi Water Reserve Enabling Bill (Mr W. Jones) ; Invercargill Borough Council Special Rate Empowering Bill (Mr A. Hamilton on behalf of Sir Joseph Ward). PROPERTY LAW. The House then went into committee on the Property Law Amendment Bill, which was reported with amendments made by the Statute Revision Committee. MAGISTRATES’ COURTS. The Magistrates’ Courts Bill was considered in committee and reported with minor amendments. THE RABBIT NUISANCE. The Rabbit Nuisance Bill, as amended by the Stock Committee, was then taken into consideration, and discussed at considerable length .The discussion centred round sub-clause 2 of sub-section 2 of clause 89—“ The board shall not undertake the work of destroying rabbits on Crown land or Native freehold land within its district, pursuant to section 4 hereof, without first obtaining the consent of the Minister, who may grant same on such terms as he thinks fit.” Mr W. D. Lysnar (Gisborne) argued that this meant that rabbits could breed on Crown lands and menace tl. neighbours, and there would be no remedy. It meant exempting the Crown from the operation of the Act. He moved—- “ That the sub-clause be struck out.” Most of the speakers supported this view. Mr G. W. Forbes (Hurunui) suggested that the clause should be withdrawn and a conference held to see whether some compromise could be arranged. The Minister would not agree to this, and, on a division, the clause was retained by 36 votes to 16. Sir George Hunter (Waipawa) deprecated the practice of destroying hawks as they were one of the greatest natural enemies of the rabbits, and should be declared a,s such. Exception was taken to the proposal to permit ‘the importation of Angora rabbits on the ground that they might escape and become another pest. The Minister said there was no danger of Angora rabbits becoming a pest as they would not increase rapidly enough, while they were very valuable for their fur. Mr T. D. Burnett (Temuka) said the people of New Zealand had decided whether they were going to grow wool or fur, and after their experience with rabbits there could be no question which it should be. The Leader of the Opposition moved to delete the clause. Mr E. A. Ransom (Pahiatua) urged that there was a potential industry in raising Angora rabbits for their fur. There was absolutely no danger of them becoming a pest. After further discussion the amendment was lost on the voices, and the clause was passed. The Bill was then reported with amendments. The House rose at midnight. ■

WELLINGTON, Auugst 24. The House met at 2.30 p.m. COMPULSORY TRAINING. A number of petitions praying for the abolition of < ompulsory military training was reported from Public Petitions Committee without recommendation. THE ESTIMATES. At the tonclusion of formal business the House went into Committee of Supply further to consider tho Estimates, the first department taken being that of Internal Affairs, for which £318,548 was asked. Mr Al. J. Savage (Auckland West) complained that the vote of £lOOO for the publication of “ News and Views ” was money wasted. Advertising was all very well, but he did not approve of that form. He also thought that statistical information was being unduly cut down, and members were not getting the figures they "required. Mr P. Fraser (Wellington Central) said the. information now supplied by the Statistical Department was not so full as it used to be, and he asked that the fullest information be given to members, particularly regarding the Post Office. Sir Maui Pomare said that “ News and Views ” was a most admirable publication, admirably printed and full of useful information regarding New Zealand, and it was published and expressly issued for circulation in Great Britain. He was not aware there had been any curtailment of statistical information. Figures regarding the Post Office would be supplied by that department. Air D. G. Sullivan (Avon) asked what results were being attained from the Government’s publicity work, how many tourists were coming to the country, and what was the general effect? They knew that in some of the Government publications there was information which was contrary to fact. “ Brighter Britain ” was a case in point. The acting-Minister of Internal Affairs (Sir Alaui Pomare) said it was not possible. to asscs s accurate the results of anv particular advertisement It was a case of “ casting your bread on the waters.” However, tourists were increasing, and that showed that the advertising was doing good. New Zealand was the most poorly advertised country in the world. Publicity in New Zealand was controlled by a board which consisted of the heads of the several departments interested. The Minister of Finance (Mr W Downie Stewart) said that the Statistical Department's monthly abstract gave a great deal of information about the Post Office Savings Bank deposits and withdrawals. He did not know who was responsible for saying how much detail should, be given, but ther b was no objection to details being given. Mr ,W H Field (Otaki) protested against the ruthless shooting of pukekos. They were one of the most delightful native birds, and should be protected, except where it could be shown that, they were a pest, as they were said to be in grain grow ing districts. Mr J. A. Lee (Auckland East) questioned, the item of £4BOO for the entertainment of prominent visitors, including the Bishop of London. He wanted to know on what principle these visitors were selected for public entertainment.

When the House resumed at 7.30 p.m. the Labour members continued the discussion on the Estimates by attacking the administration of the National War Funds Council, contending that they were not spending sufficient of the w'ar funds to provide for all necessitous cases. There were hundreds of returned soldiers out of employment. In some cases families were starving, and this was the time when there might be more generous expenditure of the available funds to provide imperative relief. Sir John Luke (Wellington North), Mr J. A. Nash (Palmerston North), and Mr H. Holland (Christchurch North) defended the council, contending that when application was made no deserving case was ever refused. The Minister of Finance (Mr W. Downie Stewart) said that it was not easy for the war funds to be used to relieve unemployment because that was not the purpose fo r which the funds were originally raised, and the trust under which they were held was somewhat narrow. Had the funds been used to relieve unemployment they would have speedily been exhausted an.d cases of distress arising directly out of war disabilities could not be met. Replying to the discussion, Sir Maui Pomare said that when distinguished visitors came to this country it was only right that the courtesv of a free railway pass should be extended to them. If the Labour Party ever managed to get on to the Government benches would it discontinue the courtesies? Mr H. E. Holland: Certainly not.

Sir Maui Pomare: I am glad to hear the Leader of the Opposition say that because it has been the custom of the New Zealand Government to give free passes to distinguished visitors, and I think it right we should do so. Continuing, he said the lion, member for Auckland East decried the extension ’ of the courtesy to the Bishop of London, but he had nothing to say against a similar courtesy being given to the Rev. James Barr, the Scottish Labour member, who also visited this country When the New Zealand members of Par liament visited Australia the courtesy ■was extended to them, and we would look very small in the eyes of the world if we. did not reciprocate. In connection with the' cairn to Sir John M'Kenzie at the Minister said it was not proposed to re-erect the cairn, but to put up a statue of the late statesman. At 10.45 p.m. the vote was agreed to. The Pensions Department, £168.158, Was next taken. Mr W. E. Parry (Auckland Central) moved a reduction., of. the vote by £5

as an indication . that pensions should be increased. This amendment was not discussed, but a division was taken immediately, resulting ( by 38 votes to 16, in the vote not being reduced. Mr F. J. Rolleston, replying to the question, said he hoped at an early date that the Government would be able to come to some reciprocity in regard to pensions with Australia. When the Minister of Lands was in the Commonwealth he had discussions on the subject, and brought back proposals which were thought might be the basis of a practicable agreement. The Government was fully alive to the importance of the subject, and it seemed to him all that was necessary was for representatives of both countries to get together and finalise an agreement. The vote wa s agreed to. The vote for the Defence Department, £461,810, was next taken, and was passed without discussion. Naval defence, £449,011, was also passed without discussion. On the vote for the Prime Minister’s Department, £13,049, Mr Coate s explained that they were trying an experiment of a liaison’officer to keep the British and New Zealand Governments in touch on Imperial affairs. It was hoped that this system would prevent misunderstandings, and enable the Empire to come to more rapid decisions on important public issues. Later on it was intended to have a permanent staff with Foreign Office training and experience. Mr D. G. Sullivan (Avon) raised the question of New Zealand being represented at the Geneva Labour Conference, and this was supported by Mr W. E. Parry (Auckland Central) and Mr F. N. Bartrum (Grey Lynn). The Prime Minister said that under the present arrangement New Zealand would have to send four representatives, which would cost about £6OOO per annum. He did not think that New Zealand should be represented at Geneva by a less number of representatives than other countries, but at present the cost was prohibitive. The Government had sympathetically considered the question and he thought it was justified in marking time, which did not mean that it was not in accord with the spirit and the work of the League of Nations. The Leader of the Opposition (Mr H. E. Holland) said he did not think the matter of a few pounds should prevent New Zealand being represented at Geneva. If they had to cut down there were plenty of directions in which they could do that. New Zealand was definitely’ pledged to have Labour representatives at Geneva, and until that was done we were not carrying out the Treaty of Versailles. Air Coates: It is not mandatory. Air Holland said it was, because it was agreed that • the men who had .fought and died in the war were to have representation in the social reconstruction of the world. The vote was passed without further discussion, and the House rose at 0.15 a.m. till 2.30 p.m. on Tuesday.

NOTES FROM PRESS GAM FRY. WELLINGTON, August 21. THE PUBLIC TRUST. At the close of his speech to-night on the Budget Mr W. D. Lysnar (Gisborne) said something should be done-to define the position of the Public Trust Office. The country was behind it and guaranteed it, but go*- nothing out of it. There was a liability on the country, and it was time the Government got something out of it. They should define to whom the land and the buildings belonged. .At present the whole thing was swinging in the air. The country should get the profits or charge the trust a commission for backing it. If something was not done it would encourage extravagance in the department. There was a complaint from one end of New Zealand to the other about it. Huge buildings were being put up all over the country. Where was the profit going to? He said it should go into the exchequer of the country. * # «• PUBLIC SERVANTS AND ELECTIONS. Cabinet has not yet come to a decision concerning the position of civil servants who may be defeated candidates at the parliamentary election. In answer to a question by the Leader of the Opposition (Mr H. E. Holland), the Prime Minister to-day said that the matter had had very careful consideration by himself, but was still under consideration ty the Cabinet. Air Holland had made an- appeal that every civil servant should have the right to offer himself as a candidate without suffering any disability on his return to the service after defeat. The Prime Minister said he did not wish to argue the case now. The Government, however, by no means encouraged civil servants to be candidates. A civil servant could not serve two masters. The heads of departments had raised definite objections; and had always opposed the idea that the candidate should not suffer disability. The arrangement had been that if a civil servant offered himself as a candidate he must retire from the service to contest the election. That was the law. If lie was unsuccessful he was reinstated; but then the question arose whether he should occupy the same position as he did before he retired. .. Air Holland: He loses his status? The Prime - Minister: Yes. But he goes b’hck on the same pay. Mt Holland: After the last election one man lost 2s 6d a day. The Prime Minister: But his promotion goes on. The loss may be serious to the individual in many cases. The

Prime Minister added that the-perman-ent casuals suffered little disability, and the Government had always allowed them to come back. Ho would admit that the man who was on tho superannuation fund and was a permanent member of the service suffered disability. Out of consideration to Mr Holland; he would expedite the decision of Cabinet, because he realised that it meant some thing so far as Air Holland and his party were concerned. WELLINGTON, August 22. TAXATION ON MOTOR LORRIES. . Following hard upon the numerous petitions presented to Parliament for relief from the taxation on heavy motor vehicles, Air J. A. Nash (Palmerston North) has given notice to ask the Minister of Public Works (Mr K. 8. Williams) whether the Government proposes to give the House an opportunity this session for discussion of the subject. * ♦ • FISHING LICENSE FEES. Pointing out that there was no justification for the disparity of 10s in the fees charged for the respective districts, Air F. F. Hockly (Rotorua) gave notice in the House of Representatives to-day to ask the Minister in Charge of Tourist Resorts whether he would favourably consider the question of reducing the fishing license fees charged to women by the Rotorua Acclimatisation Society to a level with those cliarged by the Internal Affairs Department for the Taupo waters. Mr Hockly, whose question was received with some laughter, explained that tiie fee charged at Rotorua was 15s, whereas that for Taupo was only' ss.

SAVINGS BANK INVESTMENTS Facts and figures were quoted bv the Minister of Finance (Mr W. Downie Stewart) in the House of Representatives to-day to disprove of the Labour allegation that he had driven invesment 3 away from the Post Offices Saving Bank as a result of the reduction in the maximum deposits on which interest will be paid. ‘‘ 1 stated quite recently,” said the Minister, “ that it was quite improper to accuse me of having driven these moneys out of the Post Office Savings Bank, because the moneys were, for the most part, withdrawn before any action to alter the legislation was taken. The dates of th e withdrawals wil] show how far it was true that the money had gone before I started to lock the door.” The Minister recalled that the banks raised the rate of interest on May 9, 1927, and the legislation reducing the maximum amount on which interest would be paid by the Post Office Savings Bank was not introduced until October, 1927 From May to October, the pericd before the introduction of the legislation. the excess of withdrawals over deposits from' the Pest Office Savings Bank amounted to £2,321,571.

Mr Al. J. Savage (Auckland West): Then why was the legislation necessary ? The Minister: Because I wanted to have power to prevent getting into the same position again. I did not want to have them coming in and out at their convenience. I never anticipated that we would get out of it as quickly as we did. I thought it would be a gradual process.

The Minister explained that for the period between November, 1927, and March, 1928, after the law had been amended, the excess of withdrawals over deposits was only £508,574. The Leader of the Opposition (Mr H. E. Holland) -. Was it not in June, 1927 that you made your statement foreshadowing the legislation to reduce the maximum deposits? The Minister: I mentioned it before the legislation, but I don’t remember the date. After the reduction became operative in April last the exces s of withdrawals over deposits was £527,000, as compared with £745,000 in the corresponding quarter of last year, before anyone thought of reducing the maximum. The Minister denied the truth of the assertion that the Government now had to pay per cent, for money which it had had in the Post Office at 04 per cent. WELLINGTON, August 23. A REFORM SLOGAN. “ I consider that our promise of less Government in business has been faithfully kept,” said the Prime Minister (Air J. G. Coates) in his address to the Dominion conference of the New Zealand Political Reform League. “I now come to‘a question which is discussed a good deal, and one at which I marvel sometimes when I listen to deputations which wait on me,” Air Coates .said. “ This is the slogan about less Government in business a»d more business in Government. People talk to me as if the phrase was their own, whereas three years ago, during the election campaign of 1925, the slogan was given to them by r the party' now in power—that there should be less Government in business and more business in Government. It is our own term that these people use, and perhaps rightly so. There may be too much Government in some businesses; but that difficulty is nothing compared with the difficulty' we have experienced in getting the country back to something like normal conditions, and that was the big problem which faced us three years ago. “ I consider that our promise that there should be less Government in business has been faithfully kept. I could give many' instances of where the Government has been gradually' easing up here, and there have not been any dramatic moves •—just quiet, orderly, methodical, and unobstrusive working." * » . * WELLINGTON, August 24. RADIO REGULATIONS. Air E. J. Howard (Christchurch South) to-day' gave notice of his intention to ask the Postmaster-general if he will make provision in the radio regulations to permit of amateurs obtaining licenses to operate short-wave” telephonic

stations without the need of passing an examination in the Morse code. SUPPLY OF PHOSPHATES. Air J. G. Eliott (Oroua) has given notice to ask the Minister of Agriculture (Mr O. J..Hawken) whether, in view of the necessity of obtaining for the Dominion a regular and adequate supply of phosphates, he will cause a general survey to be made of phosphate-bearing islands in the Pacific Ocean for the purpose of obtaining supplies for the Dominion’s use. * * ■» PACIFIST PETITIONS. The two pacifist petitions praying foy the abolition of compulsory military training and the taking of a referendum for the immediate total disarmament of New Zealand were reported on by the Defence Committee of the House of Representatives to-day. The committee’s report was that it had no recommendation to make. * * * CARD TOURNAMENTS. ’ Stating that a question of policy was involved, the A to L Petitions Committee to-day advised the House of Representatives that it had no recommendation to make with regard to the petition of J. H. Kissell and 983 others, of Soutldand, asking that the Gaming Act should be amended in relation to card tournaments. WELLINGTON, August 24. ELECTRICAL WIREMEN. The Electrical Wiremen’s Registration Amendment Bill was introduced in the House of Representatives late to-night. The Bill seeks to remove anomalies that have been found in the existing law, and to give greater control with regard to the installation of electrical fittings. As the law now stands there is no power to remove an endorsement on a wireman's license; and provision is made in the Bill for the controlling authority' to remove the endorsement after certain periods and on proper safeguards. Apprentices and improvers are also to be allowed to put in fittings under supervision, and the powers of inspectors to inspect work done are to be extended. » * » EAIPIRE RELATIONS.

The development of a complete Empire liaison scheme was foreshadowed by the Prime Alinister (Air J. G. Coates) in the House of Representatives late to-night.

The Prime Minister emphasised that a comprehensive liaison scheme made for a much simpler expression of Empire opinion. _ It would give those in London a clear idea of the way in which New Zealand looked upon the various international questions which came up for decision. Now every part of the Empire had a right to express a separate opinion in regard to any matter that came forward affecting its nationals. Mr W, E. Parry (Auckland Central): What questions? Tire Prime Alinister: The Kellogg Pact is the latest. Other questions I recall are the Egyptian and Chinese questions. There were further proposals in connection with the appointment of permanent officers, continued the Prime Alinister. It was hoped to draw from the Universities of New Zealand young men who would be approved of by a board to be appointed at an early date and be drafted into the Dominions’ Office to keep in touch with domestic quesrtidns in relation to the Dominion’s affairs and the affairs of the Dominions’ Office. The general idea was that in the course of years there would be a series of trained civil servants in the dominions possessed of knowledge that would make for closer relationships. The scheme would be of great benefit to the Empire. UNDERGROUND PETROL TANKS. A suggestion that the honeycombing of the cities with underground petrol tanks should be made the subject of investigation by the Explosives Department was made by Air D. G. Sullivan (Avon) in the House of Representatives to-night. Air Sullivan said that the popularity of the underground tank was causing the local authorities some concern. The cities were becoming honeycombed with them. Every week the committee of the Christchurch City Council, which granted the permits, had to devote considerable time to considering applications for new tanks or for extensions of existing ones. The local authorities would appreciate a lead, and if an investigation could be made and the results made known it might be the means of avoiding danger and expense. The Acting Alinister of Internal Affairs (Sir Alaui Pomare) said that all the tanks had to be passed by inspectors of the Explosives Department before they could be used. Air Sullivan: The Christchurch CityCouncil favours concrete tanks, but I understand that the department does not approve. The Alinister said he would have inquiries made, as he was not altogether satisfied with the position himself.