CONTROL OVER PRICES.

Wairarapa Age, 25 July 1936, Page 5

CONTROL OVER PRICES.

TERMS OF THE PROFITEERING BILL WIDE * DRASTIC POWERS. HEAVY FINES & IMPRISONMENT AS PENALTIES. (By Telegraph—“ The Age” Special.) WELLINGTON, July 33. The Prevention of Profiteering is the title of a Government measure introduced in the House of Representatives this afternoon. It will be in charge of the Minister of Industries and Commerce (the Hon. D. G. Sullivan) and its scope covers goods and services. Its definition of sale includes barter or any other dispositions of goods for a valuable consideration. What is termed the “basic price,” to exceed which may become an offence under the law, is the current price at which on June 1, 1936, goods of same nature and quality were saleable in the same locality, if sold in the same quantity and on the same terms as to payment and delivery. As an alternative, the Bill provides that the basic price may be determined according to the same conditions if the goods concerned were not on offer on June 1 last. These provisions, with necessary modifications, will apply also to rates charged for services other than those in respect to which there was a contract between master and servant. The BUI declares that every person who commits the offence of profiteering shall be liable on summary conviction to a fine not exceeding £2OO, or three months’ Imprisonment, or in the caae of a company to a fine not exceeding CLOOO. The Government is empowered to set Bp special tribunals to hear charges •f profiteering and it was explained by Mr. Sullivan when the Bill was introduced tha( the intention was to appoint a stipendiary magistrate for thia purpose The Bill provides that the magistrate will be entitled, while carrying out this duty, to extra salary or allowances as approved by the Gov-•rnor-in-CouneiL No proceedings may be taken except on an information laid by an officer of the Department of Industries and Commerce by direction of the Minister. The magistrate will have power to require the production of books and documents, or to inBtruet any person to examine them on bis behalf. Any information thus obtained will be regarded as confidential •xeept for the purpose of proceedings. If the magistrate is satisfied that publication would be unduly detrimental to the defendant, he may issue an order prohibiting publication. , Any neglect of this order will be treated as contempt of court. The Minister explained-to the House there is no provision for appeal against the magistrate’s decisions. In determining whether any increased price is unreasonable, the magistrate is directed to take into account the following special matters:— "(1) The extent, if any, by which the expenses of the defendant have since June 1, 1936, been directly or indirectly increased by the operation of any amendment of the law relating to the rates of remuneration of any workers or to the working hours of any workers or ‘*(2) The extent, if any, to which the business of the defendant has been or 'is likely to be increased by reason of an increased demand for goods of the kind sold or for services of the bind performed by him due to the inpurchasing power of the per- « to requiring such goods or services.” ’ Subject to these provisions, the Bill (declares that the magistrate shall in bis absolute discretion determine whether making any increase above the basic wage of goods or services has been reasonable or unreasonable. Power is given for making regulations whieh may be necessary to give full effect to the Act. The Prime Minister informed the House that it is intended to proceed with the measure after the passing of the Finance Bill.