COMMANDEER OF TRANSPORT

Hawke's Bay Herald-Tribune, Issue 83, 24 April 1937, Page 5

COMMANDEER OF TRANSPORT

Telegraph— Press Association.)

Private Enterprise To Be Crushed MR BODKIN'S CRITICISM

(By

FEATHERSTON, Last Nigjht. The decision of the Government to corumardeer goods services that were competing with the railways provided a stiiking illustration of the inability of State enterprise to compete "suceessfully with private enterprise, said Mr W. A. Lodkin, National member for Central tago, in i address at Feathiston to night. The Min^&ter, said Mr Bodkin, claimed to be taking this action in the public interest, but in actual fact it was in the interests of the Railways Department aione. Throughout New Zealand private individu'als and transport companies had rendered magnificent service to the public and there had been no demand by the public to have those coneerns put out of business. While the companies had undoubtedly affeeted the earning power of the railways they had each year contributed large sume of money to the revenue of the State by taxation. Mr Bodkin said the Government'e action was an admission on its part that before State enterprise could prosper it must have a monopoly. The proposal to pay no compensation for the gjoodwill of a transport business that the Government was taking away from private individuals was contrary to all principles of British justice, and amounted to confiscation of private property. The monopoly value as the Minister termed it was nothing more than the goodwill of a business, and in many cases that goodwill had been built up over a Iong period of years, and it represented the life savings of many individuals. There had been no suggestion that the public had been exploited or that transport companies were making undue profits, continued Mr Bodkin. He argued that private enterprise was beinjg ruthlessly crushed out to make way for Socialism, and that it was apparently the policy of the Government to eommandeer private. businesses at approximately 50 per cent. of tbeir value as going coneerns.