The Timaru Herald. WEDNESDAY, JUNE 18, 1890.

Timaru Herald, Volume L, Issue 4872, 18 June 1890, Page 2

The Timaru Herald. WEDNESDAY, JUNE 18, 1890.

Mu Fergus' communication to thu Otayo Daily Time.*, explanatory of certain parts of bis Qncenstown speech, has been mado the subject of comment in other columns thnn our own, nnd we have no doubt that there will be criticism nil over tbe colony before tbo matter is allowed to drop. Already the Opposition nre rannifostiuf; signs of joy tbat o. member of tho Ministry bus furnished such excellent und numerous grounds of attack, and of course the most will bo mado both of tbe speech and tbe explanation. The Christchurch Press, which is amongst the | most persistent of the Government supporters, is quito unable to swallow tho whole of tho speech, and does not find that the so-called explanation belps on digestion to nny great extent. On tho subjeot of consolidation of loauu, tho Press quotes tho two following aeuteuoeß from tho letter: — " All I proposed to do was to onable, by a process of amalgamation, theße locul bodies to obtain money at a Ichs rate of interest when their loans fell due than they uro now paying." Then, after obuwiug what in

being done under the Loans to Local Bodies Act,Mr FergUß continues, "What I contended for, and what I still bold ia thut each one should be put on the same footing, and tbat when these local loans fall due and the debentures mature, they shall be allowed to take advan- [ tage of any privilege which is extended to other local bodies of a similar character existing in the country."- On. those sentences our Christcburch contemporary remarks : — There is, it appears to us, a contradiction here. On tbe one hand we are told that by a process of amalgamation, tbe local bodies referred to should be enabled to obtain money at a less rate of interest as their loans fall due ; and on the other that they should be permitted to come under the provisions of the Loans to Local Bodies Act. Tbe first proposal means tbat tbe strong bodies should be forced to support the. weak. The second is tbat the Colony should take upon its shoulders the whole burden of local indebtedness — amounting to several millions — as tho debentures fall due. Neither proposal appears to us wise or statesmanlike. It would be manifestly unjust to those Harbour Boards and similar bodies which have acted with prndeuce and foresight to be saddled with the debts of the reckless and improvident. On the other hand we fail to see why the colony should relieve tboae localities of burdens deliberately incurred and with a distinct knowledge at the time tbat the general taxpayers were in no sense liable for the debts. It would open tho door, as we have said before, to any amount of logrolling and jobbery, find ultimately land the colony in u large aud increasing liability. As regards the question of acquiring largo estates, Mr Fergus throws no fresh light on bis former remarks, and we have no desire to press him further on tbe subject. We felt it our duty to speak in somewhat strong terms of the manner in which he, while a Minister of ths Crown, spoke of this question, and there is nothing in tbe letter under notice, we regret to say, which leuds us to modify our former criticism." It will be observed tbat the Press lets Mr Fergus down very easily as to bis utterance on the question of the State acquiring large estates now ia the hands of companies. Not a word is said as to biß virtual withdrawal from the position taken up at Queenstown. But tbe fact should not be forgotten tbat in tbe course of bis speech he certainly did advocate such acquisition, though in his subsequent explanation be asserted boldly that he had only spoken of the companies being compelled to sell ; that is, to soil in tbe open market, and without any reference to the Government at all.