LOCAL BODIES LOANS.

Gisborne Times, Volume XXVI, Issue 2288, 5 September 1908, Page 2

LOCAL BODIES LOANS.

“A SATURNALIA OF BORROWING.” MR. LAURENSOX BREAKS A LANCE. [SrEoiAL to “Times.”] WELLINGTON, Sept. -1. Speaking on the New Plymouth Harbor Board Empowering Bill last night, Mr. G. Laurenson raised a vigorous protest against what lie termed the saturnalia of local borrowing. Ho said the colony was going in for a financial “drunk.” It was going mad on borrowing, and every corporate body that could get a name hung on to it was proposing to borrow money, He gave some of the harbor borrowing proposals as follows: Opunake harbor~£3o,ooo, New Plymouth £165,000 (£135,000 of which was to repay old loans), Hokotika £25,000, Auckland £1,000,000, Otago £25,000, Tauranga £20,000, Oamaru £50,00, Westport £200,000, and Wellington £l,000,000. Where, he asked, was the Leader of the Opposition now that- lie did not oppose this financial “blind drunk” upon which the colony had entered? He regretted also that- the Prime Minister had not considered it his duty to warn local bodies that they 'were going too fast in this matter. The Harbor Boards were borrowing this session 2] millions. The thing, he said, was monstrous. The Premier did not let Air. Laurensoii’s remarks pass unnoticed. He could, ho said, see what was passing through the lion, gentleman's mind. He was anticipating the borrowing of £2,000,000 for the Christchurch canal, to which he was opposed. With the possible growth of trade, it was difficult to say that the proposed expenditure by these Harbor Boards may not he necessary, and it became a question whether the country should own all the harbors and raise the money required for the extension of the ports. It was a big responsibility for the Auckland and Wellington Harbor Boards to go in for such large, sums of money. He" thought, however, that the men who had control of the ports were the best judges of w hat was needed, and though he himself would like to see local bodies going in for lesser sums of money, the Imards mentioned, lie felt sure, were offering a good investment for their debenture stock.

Air. Massey said lie was not surprised at the extraordinary speech delivered by Mr..Laurenson,'who was one of the most, inconsistent members ln thc' Hou.so. He had been present "'hue the Bill was being discussed in the House that afternoon, and had not uttered one word of protest. He now made this sensational protest when it was too late to alter the Bill, but lie was tlio prime mover in a proposal to shift the capital of New Zealand across Cook Straits to some unknown place, a strange proposal ri a « involve an expenditure of L10.000.000_ or £15,000,000. He agreed that New Zealand had been borrowing too much, but it was the extensive borrowing by the general Government rather than the borrowing by local bodies that was to be deprecated.

Mr C. IT. Poole combated Air Lauren son’s statements, and said the New Plymouth proposal was a good one. Air. J. C. Thomson, on the other hand, agreed with Air Laurenson that the country was going in for a saturnalia of local borrowing. Various other members took excepon Laurenson’s remarks, and the Bill passed its third reading.