HOUSE OF REPRESENTATIVES.

Colonist, Volume LIV, Issue 13456, 29 June 1912, Page 6

HOUSE OF REPRESENTATIVES.

IMFRESI fcJUPPLY BILL

SHAIiP Ol^OoiilON CRITICISM

STRONG GOV JUIKxnAIBNT DEFENCE

Tho House of ivepreseutatives met at 2.30 p.m. ■■..• ■ , v Seven days' loavo .oil absence was granted to ivir. vv. H. Herriea. . Jl number of .rnila wero introduced by private members, and road tho first An Imprest Supply Bill tfor £714,900. Avaa introduced by Governor's Message. Mr. Massoy siud he had no desire to hold up the procedinps, but he strongly objected to the ciola.v .n bringing down tho imprest xii Li. I'luiiament should havo been caik-d togotiier long before the -end oi' - J Uii-o. Mo "hoped the Houbo would be es'iis: together earlier m tho future • ■ Tho Premier implied that Parliameiiu Lad bcwi called iv ti»v ordinary nay. There had bi-en no departure from tne course pursued lor .years. • M.r. o. Alien tuid. the House should have bean called together oar.it lr. The .Premier had uo.er yet mot tho House. Jin did not know tho Parliament's opinion oi: him, or-h>j colleagues. ■ __ ._ Mr Massey asicod wheuier the Minister of finance would giu> uny information in connection wiuti tiu* £4,000,000 loan. ~. .. The Hon. A. M. Myers, replying, said ho was not surprised at Air Mass^y's request. He had i>eeu perambulating througli tho country endeavouring .to *?ducato the people into the idea that tho Government was practising secrecy about linancial matters, iho Government had nothing to hide. He askad the 'Reform I'arty to remove all party i"wi.4i)i[i u-o':;i nii.-wicii.-a inJittor.s, and troat them in' the same way as dei-aneo matters had been treated. Ho informal Mr Massey that a prospectus was liSv-er issued at tins end. One hundred aad twenty cables had'passed between here and JLondou since. iNovembef last. No members of ti:e Cabinet would allow a charge of secrecy-to bo made against thorn, ihey intouttod to take the House into their confidence. It was impossible, to give detiii.s of loans before they were raised. Ihe loan was necessary to meet loans maturing, and expenditure •authorised by i'arliamont. From November last till April Ist £2,285,500 of loans had matured. £1,500,000 was due in April and the balance was for ad-.vaaoc<s-to settlers, advances to workers, naval defence, public works, and land settlement. Tho loan was raised *•&. 99 and the underwriting cost 1 per cent. * Tht) market ab the time the loan was raised was not favourable for issuiug stocK pn loan lor a-long period. Any finance iVunister wou.d have done jusc what Jie had done. Tho loan cost £3 I'Js for interest, nuk-pi'iidem* of discount. Mr. M.-^sey slid the Minister lor Fra.&ncr>. hat! ';dv'*n no jrifornxauo:i. He i;e-f-xillcv..i i.i'':.' ii/j^i^'hcl: i!iH.t Jio >va--j actuated by a. 'pai-ty biJi.no rcnen asking for uiikHTTi.Ttion.' tic would always ciuk'-a--.vour to geo all the- iiaornuition he and tha people oi the country were entitled to. In his oinn.on a 4 p-er cent long dated lean was more economical than s* short one. Air. iviyers must bo in poB&e-ssion of tho prospective. It had •"been published in all i"o liinglish papers and information euppliedr-tq tlie jjeopl-& o£ England should bo available Wlli^ l^eopve or 'tuo country who had to find tae money, tie .-asked if any concessions iiad been given to investors for conversion.

Mr iviyers: "No." Mr Massey: '"Well,.that makes it v;>r*o." In due. opinion tho loan would coat 5 per cone, if tho A uiujjter had gono on tfte market three montha ago •with a long dated ioan it oould • ha^e ie©n raised. .

Tho l Jrime Minister said the best that could be done iiau been done. Oney/ould suppose they had done something carelessly, •'•stupidly, bureiy their ativioe from Jutjiidoii was reliable. They Lad nothing to hide, and would give ail ijJtonnation when they had it. There .was no secrecy. Mr. Allen said there was too much secrecy arter .oans had been floated. ■Kia asked under what authority had any ' money been rai&nd for . uaval defence ? This money was provided for in the fifi,UOO,ooo loan. Sir Joseph Ward said tho Government could' not raise & & Per. con* l°an ■ in. London without underwriting. Ho ■did not believe: tne ~:J?ina«oo;Ministoi:, ootild* have got a long dated 4 per cent loan if ho Had tried. It would nave co*t more in the long run if he had been *tlGo6B3ful. Mr. W. Fraser said short dated de-li-wntures were ruinous to a.country, and if care was not taken, investors would ■demand them in all crises.. Mr. A. L. Herd man «uu tho financial j methods of tli.-» Government were desparate. The list loan was probably uiiperati ye, and it cbould not" have been. Mr. T. M. Vviiiurdheld with the preyiouß speakers that the question of .oan raising should not be dealt with from a party stand point, if iho Government had been advkv?d that a * short: dated. loan was the best under the circumstystnocs, the Government was. quite right in following that course. The XCuiister should haves the-loyal support of the House. v

Tli© House adjoin-SMi nt, fi.-30 p,:n v - \ and resumed c:t V .i"? p'.ra. : .. • , i ..- Sir Joseph Ward eoutinuod tho "do-! "bate, on ••th<j.-'h-nWcKt-fc?uppi.y;Bill,-..:aii(l.;| referred tho mercburs.-to the Pariia-j iaentary paper m coanoetion with renewals .which, Jio said, "save the absolute facts. Ho -averred that the memIwm were -either misleading tiiem&elyes or had not a thorough grasp of the situr»t«;ii, • when thoy ga'vo utoeiunce-to saind of '■ the statements. fe<K>ntly •ex-}>re-stvod. Ho paid, that if his 'party '.had j had a decent majority behind it \ ho j probably would have' authorised the .loan', of £4,000,.000. Ho arranged t;einportary advances for his ' successor "in office,' ,£i,000,000 in England, and ;fiL,(X)O,OOO from'the Bank of New Zea--raa'd: 'This, with the surplus of £270,000:wjis.ieft to carry on 'tap work ■:V'6f-the country. ;■• ~ ■■';■ ;;;;;-'?-... ;■• ■.;,>;:: ■■ •': ■. Mr Masney, 1 ifi'-i lii^-party ;hiul; i^vosen.to stickHipHho# Jitipjrest■ Supply; .^(srll they oouftT'Ua^; 3iodVin Jlis opih- ' a" majority of; the;Hous^, to support: j but they; djdriotlido *o.' ; He had jifi»voronC'9 discussed fipancial matters" : ; VforAiie; purposo-of;pruning any advant^r'^gol Tlic 'Opposition had saved, the : Country; thoiisaii^s v*nd:; pi ■ 'ii&uMk -By ■ ''th^';«i-i^is'in v^n'dv-kec^ijig* t ;^h^;:'G^erß?n^i:;'up.::^^h^7nark. .^jKu.i>:^^hiill:|^^;^at::;Ho^:^Ciro:; reaping;: a' of: wi staked imide hew.: ,■;- I::,^a^^^wiffcl^■i^*-^i■ ;;l^inr6wiifi^Xs'- "*": .;■; ••' ■, ■■^ffi:^s!Fsp&T~ ,ilr». ''%(>(^Qoop^^ ' ctatail tiS^^mif'Wyorsi'an;:'rQplyinfe^aidi^

gard to tlie £4,500,000 loan, ho stated that it had been fioabed at 4 per cent for «--0 years at par. It would work out at £4 ife Oid. } The Bill was read the third time, and passed. The House rose at 9.45 p.m.