RURAL MORTGAGES

Timaru Herald, Volume CXXXIX, Issue 20064, 22 March 1935, Page 6

RURAL MORTGAGES

THE ADJUSTMENT BILL SECOND READING CARRIED By Telegraph—Press Association WELLINGTON, March 21. In the House of Representatives today, the second reading debate on the ~ Rural Mortgagors Bill was resumed. Mr R. Semple (Lab., Wellington East) said he did not think it was possible to bring the country back to prosperity until they helped all the people, not one section only. All the measures of recent years had centred round farmers, but there were others in distress besides farmers. He did not think the present Bill would assist anyone. He deprecated the action of the Government in taking the pension of returned soldiers in payment of interest on mortgages. Mr F. Jones (Lab., Dunedin South) said that a bold constructive policy had brought 50 per cent, of the dairy farmers to the verge of bankruptcy and had antagonised the buyers of New Zealand produce. He quoted a number of articles the prices of which he declared had been increased by the increase of the exchange rate and the imposition of the sales tax. The present Bill, he added, was a continuation of the Government’s deflationary policy and was class legislation. While workers in cities received no relief, a bondholder’s security was made secure. The present Bill would increase costs and those costs would have to be borne by the farmer as well as other sections of the community. He expressed regret that no Minister had indicated to the House the result of the recent caucus - and whether the Bill was to be pro- * ceeded with. Mr J. A. Nash (C., Palmerston) said ; the main object of the Bill was to enable the farmer to remain on the land. Referring to the Adjustment Commissions, he said that to February 28 last the applications referred to the Commissions numbered 12.147 and the ■ estimated number of applications filed * was 14,000. The ratio of rural to urban applications was €0 to 7. Therefore rural applications numbered 14,400. The ratio of applications refused to those filed was Itoß, or 1550. The number of applications in which relief had been granted was 10.850, and the ratio of applications filed to those settled ' privately, that was without recourse to t the court, was 1 to 2, therefore the I estimated number of cases settled was I 21,700 and the total number of cases : in which relief had been granted, either privately or by recourse to the court, was 32,550. He thought that the Mortgagors Relief Commissions had accomplished a great deal in the short: , time that they had been operating. Mr Coates in Reply. Mr Coates, in reply, said it was the very last thing a man brought up in New Zealand or Britain wanted to do was to interfere with contracts. He had listened to a number of members who had said that contracts should noi be interfered with, but he wondered if that was so in a time of emergency.. The House had to decide whetner there,' should be a general adjustment be-' tween creditor and debtor. It was recognised that much of the indebtedness on rural land to-day muld not, be recovered, and it was not fair thatii it should be recovered. He believeefe that a number of people did not the tremendous difficulty that faced the primary industry on which theY de-» pended so much. He thought it wai indicated in tl.e Bill that the Govern -J ment’s intention was to keep all getic, capable farmers on the land, an(J he considered that the best adjustment could be achieved if it were left to a body of capable men skilled in all fie-8 partments. He had not heard anyone in the House say that it was not a; problem, and it had been said that something might be done. The Government had decided that it was es-. sential and necessary that the position should be faced up to, and as a result of careful consideration over the last two years it had achieved certain results, but it had not dealt with the overburden. The provisions of the Bill were really compulsory conciliation. He indicated that his party was free to vote as it wished.

Mr W. E. Barnard (Lab., Napier)* Does the Minister infer that the BiH will go to a free vote of the House? * Mr Coates: “If It is suggested thal the screw has been put on any members of the party, I have never heard ti such a ridiculous suggestion. Every member of the party, if he has definite opinions, can exercise them.” He contended that it had been the making of thousands of farmers in the counitry to-day. They had agreed to worfc under a budget. It was a foolish na£tion that did not live under a budget, and every individual in the nation should live acording to the budget. I The Bill was read a second time by & votes to 26, the division list being afc follows: Ayes. Ansell Linklater Bitchener Lye Bodkin McDougall j Broadfoot McLeod Campbell McSkmiming. j Clinkard Macmillan J Coates Macpherson . Cobbe J. N. Massey ! Dickie W. W. Massey { Endean Murdoch Field J. A. Nash ; Forbes Ngata Hamilton Poison Hargest Ransom Harris Reid Hawke Samuel Healy Smith Henare Stuart Lolland Sykes Holyoake Te Tomo Jull Wilkinson I Kyle Young Noes. Armstrong W. Nash Atmore O'Brien Barnard Parry Carr Richards Coleman Rushworth ‘ Fraser Savage Howard Schramm Jones Semple Jordan Stallworthy j Langstone Downie Stewart j Lee Tirikateue j McKeen Veitch Munro Webb