FINANCE BILL AMENDMENTS

Taranaki Daily News, 21 December 1933, Page 7

FINANCE BILL AMENDMENTS

TOBACCO PRICE FIXATION.

EARTHQUAKE COMPENSATION RISK.

Wellington, Last Night.

Effect to toe report of toe Industries and Commerce Committee of the House of Representatives on the subject of tobacco trading is given by a new clause in the Finance Bill No. 2 passed by the House this afternoon. The clause removes tobacco (including cigars and cigarettes) from the schedule of the Commercial Trusts Act, This will enable price fixation. Another important amendment is in the terms of the announcement by toe Rt. Hon. J. G, Coates last night on the subject of earthquake risks in connection with workers’ compensation. It is set out that the maximum liability of all insurance companies shall not exceed £50,000 in respect of personal injuries to workers resulting from a single earthquake or a series of earthquakes occurring within a periof of seven days. Where the total liability exceeds £50,000 each company’s share of toe liability is to be apportioned by toe Gpvernor-General-jn-Council in proportion to their premium incomes for the preceding calendar year in respect of their employers’ liability insurance business. If any company was not carrying on such business in toe preceding year its proportion of liability is to be determined by the Governor-General-in-Council in such manner as he. thinks proper. Amounts to be paid to those entitled to compensation are to bear the same proportion to toe full amount of their claim as the sum of £50,000 bears to toe aggregate amount of all valid claims. A new clause, has been added to facilitate settlement between the Government and the Southland Power Board regarding interest payments in London. This clause will empower the board to borrow money in London to meet the difference between the amounts payable in sterling and in New Zealand currency on its overseas loans and repay that sum out of sinking fund. A clause in the Finance Act, 1929, empowered the Governor-General by Order-in-Council to authorise the power board to borrow money to meet charges on land that were guaranteed by the Government.' The clause introduced today provides that money so borrowed may be repaid out of sums standing to credit on the sinking fund of the loan on which the money was borrowed.