WAR LOAN.

Waipawa Mail, Volume XXXVII, Issue 7914, 4 August 1917, Page 2

WAR LOAN.

INTRODUCED IN THE HOUj, (Per Press Association) WELLINGTON, Last n ’i*| The War Purposes Loan Bill troduced by Governor’s Message. Sir Joseph Ward said he did desire to claim urgency for but he asked the House to as quickly as possible as it wag n sary to do so before the prospe for the loan was prepared, in con tion with which there was a great of work. He explained that the gave power to raise £24,000,000 loan mentioned in the Budget, assured the House that the provi to raise money was extremely and he could not imagine membei fusing to pass it. Sir Joseph Ward, moving the ond reading, said the bill gave po to raise £24,000,000, £12,000,000 which would be raised in the minion. About six or seven later he proposed to raise a see portion of about £10,000,000. would depend on how the gu stretched out. Interest would be per cent, free of income tax. He« not agree to raise the interest) per cent, because that would be n to the investors in the first lou this increase took place then heg, have to raise the interest of thti loan to 5 per cent. He was quiy fied that he would get the the lower rate. The Governing determined not to go out of the) try for the money and it was tht of everyone who had money to do share. Much of the money wait ed during the next two month they would be able to get it j| way proposed under the bill. Treasurer at the present jum could afford to go off the beaten | to get money and try experij That was why the profits tax vi ing abandoned. Provision waj| to enable certificates to be soldi Post Office as in the case of tht vious loan. Clause 5 provided tb eurities to the value of a million! be used in payment of death! This money in the first instance! be paid into the War Expenw count but later the Stamp Depart could sell this stock. Then the received would he paid into theD Duties Account. Clause fi prod for the validation of certain de tures in exchange for Treasury and authorising the issue of fa debentures in exchange of such I Clause 7 provided for the payun large financial institutions of subt; tions to the loan as required and adjustment of interest and con sion. The term of the debenl would probably be the same as tb loan. DUTY OF THE RICE Sir Joseph Ward, in reply toi bers, said a great deal of criti had been based on positions whkk not exist in the bill. The idea d rich being favored at the expen the poor was a misconception. Pi who raised this bogey forgot ic the rich people did not subscribe the loan could not be raised. It last loan he gave the poor peopk opportunity to subscribe hut only people from the North Cape t< Bluff purchased £5 bonds. Si result led to a fiasco and no loam he raised on that basis. In the argument that the loan shod raised at 5$ per cent, subject tot tion he said that the investment turn of the rich man was £3 Bs9l cent, and if the loan were raised per cent, it would return him £3k Regarding the term of the loantb perience of the last loan showed the majority of investors f»i twenty-five years, but all classes being catered for. A comparison tween the rates of interest pii New Zealand and Britain was fl the question because conditions nut normal. He believed that if necessity arose the people of thci try would be ready to give up nil possessed to save the Empire but motion of the conscription of * suggested in the debate was nd short of robbery, while the d proposed in the Budget was legitil He was not going to turn off aeh lodged paths to raise the reveal cessary to maintain the soldiers! field. At this juncture the dntj the Government and of the peoplf to get money to enable us to n war and we must do it in such a as not to contravene the prinripk political honesty. Disaster to loan meant disaster to the Domil

Some discussion took place on bill in Committee, but it was! the third time by 40 to 4, M Payne, McCombs, Webb and Wl voting against it.