THE SOUTH SEA SCHEME.

Nelson Evening Mail, Volume IX, Issue 193, 15 August 1874, Page 2

THE SOUTH SEA SCHEME.

(Evening Post.) Mr Vogei's South Sea scheme has at length taken the shape of a bill termed the Pacific Islands Trade Encouragement Bill. It is no t a very; long bill, thera being only nine clauses. The preamble sets forth that ifc is expedient; in order *o the encouragement of tradp* and commerce between New Zealand and the Islands of the Pacific, thai the Government should be empowered to guarantee a certain rate of interest on capital employed thereon by aome association of persona subject fco such condition* as may be agreed on. The word company is defined to mean any person, persons, or association of persons, whether incorporated or not, and> tbe Governor is authorised, subject/W the provisions of the bill, to contract with any company founded for the purpose of oarrying on trade and commerce with the islands of the Pacific or any of them, to guarantee a minimum rate of annual interest on the paid-up capital* for such period not exceeding 50 years as may be agreed on. The rate of interest is not to exceed 5 per cent, and unless the two Houses of Assembly agree to extend the amount to a million, interest is not at any time to be paid on more than £soo,ooo. Daring the first two years the amount on which interest is to be paid is not to exceed £250,000, during the next two years it may reach £500,000. After this any extension must be made by resolution^ of both houses of Parliament. TI& following provisions and stipulations are' to be included in any contract made under the act: — The business, trades and manufactures to be carried on by the company. The places h, to, and with which, business, trades and manufactures shall be carried on, including, such places and New Zealand and islands of the Pacific as may be agreed ou. For making New Zealand the chief depot and principal place of business of the company. The employment by $Ke company of steam vessels, in the carriage of passengers and goods/ between islands in the Pacific and ports of New Zealand. The appointment; and removal by the Governor of person's as auditors of the accounts of the company. The ascertaining tbe receipts, expenditure and profits and losses M the company, and the inspection and examination of the. accounts of /the company. For making all sums /pjrid by the Government for iatereij; ' or otherwise, a first charge on the profits of the company, and providing tjha't no profit shall be divided till all paid sums shall have been repaid to tiiai Government. If at any time the Governor in Council thinks that the company is not carrying on business with, sufficient vigor or prudence, and in accordance with the intentions of the act, or if at any time after the expiration oc three years from date of agreement, tijer4 is due to the Government by tha company in respect of guarantee a ejum exceeding £100,000, the Governor niay suspend tbe powers and function^ jof the company and its directors, Iftnd appoint a Commissioner or Comtniseioners. with lull power to manage its affairs until the Assembly makes , other provision. Power is reserved to toe Assembly to legislate from time to time as it may see fit regarding tha Company and its property and business provided that nothing is done to prejudice the due and regular payment of the guaranteed interest, and. that all bills altering this act or the |terms t of the original agreement with the company, are reserved for the Queen's assent. The interest is to be paid out of the consolidated revenue, and it is proposed to limit the time within which an agreement can be entered into under the act. Power is given to the Governor to grant the company a charter by Letters Patent, provided that sll privileges and powers ao granted are limited to fifty years duration, and certain Imperial acts concerning the powers and immunities to be permitted to trading companies are declared to apply, so far as they "may be applicable, to the company in question.