TRUST SYSTEM DEBATED

Chronicle (Levin), 13 August 1947, Page 6

TRUST SYSTEM DEBATED

-press Association

House Considers Restoration In Masterton

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WELLINGTON, August 12. Mr. G. H. Mackley (Wairarapa), con tinuing the seeond reading debate on tlie Masterton Lieensing Eestoration Bill in ihe House of JRepresentatives. said that with the introduction of the Bill to create a trust in the Masterton area, the proposais and recommendations of the Lieensing Commission sliould be applied. Mr. W. A. Bodkin (Central Otago; criticising the inetliod «of conducting the reeent referendum, .said that in 191(5 l'Astoration was cari'ied by.a substantiai majority and the vote was for restoration under the existing law and system of pri'vate enterprise. Mr. MeCombs: No. Mr. Bodkin said the referendum result was a somersault and the fo'rm' oi conducting the ballot. was responsible for the change. He suggested that the issues, trust -control or pri'vate ownership, were not presented clearly before the pubiic which became confused at the time of the ballot. Mr. Mason, replying to the debate, said everything was done to make the situation clear by propaganda and discussion. The Bill was referred to a specia) select eonumttee of the House comprising nine members. Mr. Mason, moving tlie seeond read ing of the" Masterton Lieensing Trust Bill, said the Government had 110 de sire to thrust on tlie people wliat they did not wish in regai-d to trust control. The Bill was an effort to meet the desires of the people. There was ne special desire 0:1 the part of the Government to adhere to what-had been done in Invercargill. Mr. Mackley urew attention to the fact that there was no reference 111 the Bill to a "modei hotel" as there was in-the invercargill Lieensing Trust Act and asked were the standardueing abated in Masterton. He saiu iocal interests would ask through tlie select comiiiittee of the House that lueinbership oi' the trust be increased from four to six niembers. Mr. Mackley suggested that the life of the trust siiouid be reslricted by the Biii to a delinite period such as nine years, aftor which the pubiic would have the opportunity of saying wliether it wislied tlie trust system to continue. Mr. Mackley lioped better temporarj. premises wouid be provided tliau had ueen found in Invercargill and express ed opposition to the sale of liquor in rel'resliment rooms which did not also provide accommodation. He said tlm system obtainiiig in the Brown OwJ restaurant in Invercargill was no more like the ' so-called Continental system than beer was Jike whisky. Mr. lianan (Invercargill) said the discussion of the Bill drew attention to the fact that it was most unfortunafe that Invercar gill, unlike Masertffii, did not have the opportunity of -sayihg wliether' or no; it wanted trust control but tlu Atlorney-Geileral must be complimented 011 the stand he had taken in en deavouring to implement the expressed wishes of Masterton residents. It was possible that some expressions ot I opinion unfavourable to trust controi in Invercargill were coloured by the fact that the system was not democraticall v established tliere. M'hen the

svstem was fully developed after somo years, the people of Invercargill should iiave Ihe opportunity of taking a referendum ou the trust system which was Jeiiied to them at the outset. Having regard to the difficult wartime and postwar conditions in which the Invercar gill trust had been established and was opo ra t ing, those in control had done a difficult job well. A large liody oi ojiinion in Invercargill held that the experiment was proving successful although others said restoration had not benelited the residents. Mr. Hanan suggested that if further opportunity for experiment arose, a trust should be established in competition with private enterprise. A11 important diH'erence between the Invercargill trust and that to be established in Masterton, was that in Invercargill members of the trust were nominated whereas in Masterton they would be elected. The latter was preferable as it gave the pubiic an opportunity to record its opinion of the administrative work ot members of the trust. The argumeui of prohibitionists and others that ao elective system would produce "wet" and ' ' dry " tickets, had been over emphasised. Alr. Hanan said criticism which could be levelled with apparenc justilication at the operations of the trust in Invercargill, was due almost eiitirely to shortages and to lack of opportunity to put the trust idea fully into operation. Mr. P. G. Connolly (Central Dunedin) said if the Government had made a misLake in not holding a referendum 111 Invercargill it had cei'tainly rectiiled tlie position so far as Masterton was concerned. The people pf Invercargill were satislied with the way the trust system was operating. The fundamental issue was that the prolits of the trust system went back to the people

jvhile profits derived from private ownership went into the pockets of a few. Mr. Connolly said it was for the people to decide wliether to have a trust system or private enterprise. He believed that when trust hotels were established in Masterton they would be of a high standard with appi^priate accommodation and he would say that with trust hotels the problem of after hours trading -would be eliminated. The people of Masterton, he predicted-, would not regret their decision to have the trust system. Mr. J. a". Koy (Clutha) said minori ties had certain rightS and there was a substantiai bodv of pubiic opinion, botn in Invercargill and Masterton, wlircii was opposed to the sale of liquor in restaurants. He lioped the appropriate clause in the Bill would be modiiied. Mr. Mason, replying, said so far as liquor in restaurants was concerned it was just as well' to realise that the Bil! did not ask that that be done but merely gave power for that step if ii. was desired. There could n,ot be a great deal of fear attached to that clause. The Invercargill trust system was a successful experiment and where the people of Masterton desii'ed certain variations the Government would not stand in their way. The Bill was read a seeond time and referred to the same special select eommittee as the Masterton Lieensing Restoration Bill. Mr. Mason, in reply to Mr. Mackley, said the special eommittee would be called together as carly as possible sc that local representations could be presented and considered. He did not want any delay.