PARLIAMENT

Wairarapa Daily Times, 22 March 1935, Page 5

PARLIAMENT

FARM FINANCE PROBLEM After further argument for and bgainst the Rural Mortgagors Final Adjustment Bill in the .House of Representatives yesterday afternoon, the [Minister of Finance, Rt. Hon.. J. G. jCoates, replied to the second reading &ebate. ' “X have listened to those "who say the greatest care should be taken in considering problems dealing with private {bonds and contracts, ’ said Mr Coates. f‘l have listened to the Hon. W. DowJnie Stewart, Mr Endean, and several others who said that, in their opinion, tthe fact that there were contracts in }the balance constituted an obligation p.ot to interfere. I wonder if that is strictly correct in case of ■ emergency? ps it possible to avoid thitf I would [agree with the principles expressed, but p[ think there is another factor of even jgreaterittnportance. There is a human |sido wlpi must count in ease of Crisis. There were two opinions about the {effect of the Mortgagors and Tenants’ [Relief Act, continued Mr Coates. Some feaid it had worked excellently, others {hold it was dealing with conditions [only from year to year, and at most for (two years. The position had now been Reached where the House had to decide (whether or not there should not be a (generalSdjustment between 'creditors (and debtors. In the main much of the [indebtedness on rural land to-day could piot be recovered, and it would be very pinfair to allow the’ provisions of the [Bankruptcy Act to apply. No man in jtlie House was.prepared to say that the pnoratorium should be lifted. Were pnembers prepared to sit by and let present conditions continue? He would pay quite clearly that a number of (people did not realise the tremendous (difficulties which faced the primary industry on which New Zealand depended (jt’or existence. Discussing the value of mortgages, [Mr Coates said an estimate showed Ifcliere was about £250,000,000 lent on pnortgage, and about one-fourth of the (total on a long-term basis. Those jfiguresplclated to both rural and urban (mortgages. Statistics showed that jmost mortgages were overdue, and that (mortgagors who were not able to rejfinanee were taking advantage of relief [legislation. His point was that there (was a huge amount of money owing by (mortgagors, and that the Mortgagors pmd Tenants’ Relief Act was just presenting foreclosure. Somo members ■had asked whether the Bill before the [House was in the interests of the country. It was clear to him that it would, [result in the retention on the land of all {competent and energetic men unless their positions were hopeless. It had (been said by Opposition members that !he was living so close up to the problem that he could not see the wood for the trees. “That may be so” added Mr 'Coates. “I am not infallible, and Ido not say this Bill is the last word, but if anyone will kindly take my place for ia short or a long time he will find out (within half an hour—— ” Mr Walter Nash (Lab., Hutt): Let ns ask the people if they will put us there. Mr Coates: Members of the Opposition are very cocksure, but apart from, (this bdnter, let someone show us another, way out of this problem. Everylone litjrees that Something ought to be idone.vjphe Government decided to face ,np to the position, and this Bill is the Result! of careful consideration of the whole problem over the past two years. (The moratorium has been of assistance, Jjut it has not dealt with one’ bit of the {overburden of debt., < The . Bill really pneans compulsory conciliation. Continuing, Mr Coate? referred to {statements made in the (Hbnse that a five-year budgetary period was too Jong, and that calculations could be (made on the basis of the past five years. JThat, he said, would not be fair to (either party.. It would be strictly fair, ;to make adjustments from the date fix(Bd and to go forward. There might be marketing’ fluctuations which would [have an important bearing on the matter. There might, for instance, be tremendous alterations in markets and (prices for meat. This was a fear held by men perfectly competent to judge the situation. He defended the proposed budgeting system, and said that no pnan who was , anxious to meet his commitments should be asked to do so 'under impossible conditions.' Budgeting for five years did not seem to him to be harslAfcs-nd certainly there was no question W serfdom. , A few minutes after 8 p.m. d division ,was taken on the Bill, and the second (reading was carried by 44 votes to 26. Pfhe Hon. W. Downie Stewart (Dunedin (West) was the only Government member who voted against the Bill. Mr J. W. Poison (Government, Stratford) voted for it. There was no'unanimity in [the voting by Independents. Messrs D. (MeDougall (Mataura), A. M. Samuel ((Thames) and C. A. Wilkinson (Egjnont) voted with the Government. The Independents who voted with the Labour Party against tlie Bill were Messrs H. Atmore (Nelson), H. M. Rushwortli (Bay.,of Islands), A. J. Stallworthy ■(Eden), E. T. Tirikatene (Southern [Maori) and W. A. Veiteh (Wanganui). TO-DAY’S SITTING. [RELIEF WORKERS’ ALLOWANCES. ' . WELLINGTON, This Day. In the House of Representatives Mr (M. JVSavage (Auckland West) gave nointention to move, at the aext sSng day, that the House expresses grave concern at the inadequate provision made for relief workers and their and is of opinion that until yrch time as standard Tates of pay chn be made available to them, yelief workers'’ pay should be increased by not less than ten shillings d week and should be made forthwith in the wages of such with a further sympathetic allowance for each dependent.— (P. A.) The House was engaged for a considerable time this miming discussing the petition of Mrs Coleridge Farr, of Christchurch, who. sought to regain from the Public Trustee control of her own estate. ;T*e Public Petitions Committee recommended that her petition be referred to the Government for consideration. /

The -facts -of the case were Outlined by" Mr E. JY Howard (Christchurch), who explained “that Mrs Farr' had at one time /been an inmate .of a mental institution, and despite the testimony of several eminent specialists in New Zealand and in England, she had hot been able to secure control of her estateAjchich. in 1908 was valued at £16,000. submitted that Mrs Farr had

not been treated fairly in the matter. The report was tabled. ORCHARD TAXATION. Consideration was given in the House of Representatives last night tp the Orchard Tax Amendment Bill, which proposes to double the existing tax of one shilling per acre for the promotion of scientific research. After a short discussion the Bill was put through all stages and passed.