BOARD OF TRADE ACT

Hokitika Guardian, 27 March 1930, Page 2

BOARD OF TRADE ACT

MISNA.CE> TO TRADE AND COMMERCE'. ; • 7 WHAT MAY HAPPEN. (Associated Chambers of Commerce.) Notwithstanding the promises of two successive Governments, extending over a period of four or five years, the Board of Trade Act, a survival, by a circuitous route, from the war legislation, of the great world upheaval, remains on the Statute Book to-day as a grave menace to the trade and commerce of the Dominion. In 1928 thq Hon. A. D. McLeod, Minister of Industries and Commerce in the last Reform Calbinet, had a, Bill prepared in accordance with representations the commercial community had made to him. Unfortunately, a rush of (business at the close of the session of Parliament, on the. eve ot a general election, left no time for the measure to be placed on the Statute Book. When Parliament next assembled the Re-form party had been defeated at the polls and the United party, supported by, the Labour party, in due course mounted the, Treasury Benches. Early representations were made to Sir Joseph Ward, the nqw Prime Minister, on the subject, and to the Hon. J. G. Cobbe, the new Minister of Industries and Commerce, and they both expressed a desire to- see the undesirable features of the Board of Trade Act .removed as early as possible. Here again, however, delay intervened, largely, 1 it' may be assumed, owing to the indisposition of "the Prinie Minister,. and; the obnoxious measure still survives ih its entirety. In previous, protests against the menace of the Board of Trade Act; it has been the custom to present only the more glaring features of the measure; but in. view of the unsettled political position just now it may be of general interest to quote in 'extenso some of the powers it confers upon the Minister, of Industries and Commerce, who by. tile jmuudfijg Act. of -1923 is clothed with; all - tljb responsibilities and . all the ; previously borne by the mejijibers^jf tho Board:— . • / y.'.'Ax (1) For the purpose • of - Spell < invbs-;. tigation the Board (now thp iXiinjaibr alone) may by order require person, firm or body; corporate! gaged or concerned or supposed; to> lie’. cu o dgeu or conoqi ned in any -industry, to answer in writing, !, withiU time and in such form as the' Boqj'd thinks fit, any questions which rejaje to that industry or to the -connection of that person, firm or body, corporate therewith, or to any other plotter which might have formed the subject of judicial inquiry under tljiis Act. (2) For the purpose of such investigation the Board may by order require any person, firm or body corporate engaged tor. concerned, or supposed to be engaged or concerned, in any industry to produce for the inspection of. any officer or other person nominated in • that Ibehaif by tho Board, any books or documents in the possession or control of that person, ffirm or /body corporate of which inspection might have been requned 'm a judicial inquiry under this Act relative to any matter affecting that industry, and to allow copies or extract from such books or documents to be made by the person so inspecting them. (3) If default is made by any person, firm or body corporate in obedience to any order of the Board under this section, such person or body corporate and each member of such firm, and ©very person who counsels, procures, or is otherwise knowingly concerned in such default shall be liable on summary convicition to a fine not exceeding one hundred

pounds. \(4) Every person who deceives or obstructs or attempts to deceive or obstruct, the Board or any associate or officer thereof or any person nominated by the Board as aforesaid, in the conduct of any such investigation shall be liable on summary convicition to a fine not exceeding one hundred pounds or to imprisonment for a term not exceeding three months.

And so. on, and so on, by every inquisitorial method that cm be deivised, the honest trader and the careless one, the competent and the incompetent, may be haled before a magistrate or a judge on the evidence of any officer or agent of the Board, or, apparently, on the evidence of any ill-disposed person, who rvvill ibe assured that his “investigation”: will be “treated as confidential.”' Needless to say, no Minister of the Crown has yet exercised the authority imposed upon him hv this astounding legislation. Sir Francis Bell (Attorney-General and leader of the Upper House, in moving the second rending of the Bill m that branch of the Legislature, expressed verv fervently a hope that “care would- ho taken! not to unnecessarily intervene in the management of private concerns.” The same hope has been cxi'-es«ed as emphatically by the present Minister of Industries and Commerce as !it was by his predecessor in office, Ibut while the measur e remains on the Statute Book in its present form it is not meie y an a front to the business community, tout also a menace to the well-being of the whole Dominion. In add,t !° U the authorities already quoted, the Minister alone by regulation maj make such provision as he deems desirable for the following purposes. /.,) For the prevention or suppression of mAhods of trading, competition or business; (b) for the prevention or suppression of monopolies and c mlinations in or in relation to anj

industry; (c) for the establishment of fixed maximum or minimum prices, or rates for any classes of goods or servic.j; (d) for the prohibition, regulation or control of differential prices ot rates for goods or services for the differential treatment of different persons or classes of persons in respect of goods or services; (e) for. the regulation and control of industries in any other manner whatever which is deemed necessary for the maintenance and prosperity of those industries and for the economic welfare of New Zealand. No doubt these regulations were framed with the very best intentions, and they may have served some useful purpose when they were enacted during the aftermath of the War; hut if so, that useful purpose has now ceased to exist and it is obvious that in the best interests of ’the oommlunity the) regulations should be removed from the Statute Book.