PARLIAMENT

Hokitika Guardian, 10 April 1931, Page 2

PARLIAMENT

THE COUNCIL. WELLINGTON, April 10. In the Legislative Council yesterday the Finance Bill on division was read a second time by 20 to 3. The Council rose at 4.40 p.m. THE HOUSE. In the House of Representatives, Mr Barnard's amendment to the second reading of the Hawke’s Bay Earthquake Bili was lost on the voices. Replying to the debate, Mr Forbes referred to the suggestion that a loan should have been raised immediately following the disaster. He said the first feeling following such an occurrence as the recent quake was a desire to subscribe to assistance, but there was an entirely different atmosphere when it was a question of a loan. He pointed out that there had been a fall in prices in New Zealand securities immediately news of the disaster became known, and he was satisfied it would hot have been an opportune time to go on the loan market. A Reserve Fund had been opened by Sir Joseph Ward years ago, and one ot its objects had been to place the country in a position to meet any national emergency. It had later been supplemented by Mr Massey. The money had been invested in gilt edged security on which it had been possible to realise immediately and very satisfactorily. It was of great importance to re-establish the Reserve Fund at the earliest possible moment. It is a very fine testimony to New Zealand’s credit that in spite of the earthquake and the fact of tlm country being called upon to face deficits. its securities were occupying such a satisfactory standing as they did at l the present. Tt was also important that tin l standard ho maintained. It might be considered an easier method to deal with rehabilitation by •means of a loan, which would he repayable, say in thirty years’ time. That would mean leaving it to others. He wag of the opinion that the correct method, was to face the position ourselves. It would take five or six years under the Government’s proposals to recoup the Reserve Fund. The Prime Minister concluded with an' important announcement that he proposed to move for the appointment of, a Select Committee to which the Bill should he referred with a view of commencing itaking evidence immodintelv and overcoming any weaknesses in the measure. The Bill having been read n. second time, the. House, on the motion of the Prime Minister, npnninted the following committee to which the Bill will he referred:—Messrs Forh°s, Pnnson, AnfHl, Barnard, Campbell. Fndean, Juß. Lnnestone, Lysrmr and Poison. The Bill was then formally referred to the committee. The Prime Minister moved tlm ond reading of the Mortgagors Relief Bill, The debate was interrun fad by the rising of the House at midnight.