PROCEEDINGS of the HOUSE OF ASSEMBLY During the First Session of the Twenty· Fifth General Assembly of Newfoundland 1923 UNION PUBLISHING COMPANY, LTD. '\/ I

PROCEEDINGS 0/ the House of Assembly of Newfoundland SESSION 1923 WEDKESDAY, June 6 1923. Begun and holden at St. John's In the said Island 011 Wednesday, the sixth day of June, AlillO Domini, :>.:lneteen Hundred and Tw'cuty three, being In the Thirteenth year of the reign of Ills Majesty our SovereIgn L.on!, George V. by the Graceo! God, of the l,;nited KingdoJn of Great Britain and Irelanu and ol the I3rltlsh Domin­ Ions beyond the S(la.s, King, Defender of the Faith, Emperor or India, Ills ~;xcellency, William Lamond Allardyce, Esquire, Knight Com maIl­ tier or the Most Distinguished Order of St.

Michael and St.

George, Gover­ nor and Commandler-In-Chlef in and Over the Island of Newfoundland and its Dependencles. by His Proclamation bearing date the 16tll day of February last, having djssoJved the late Gener,,1 Assemhly, and by His Proclamation bearing date the 26th day of May last railed a new Olle, and by IUs Pro­ climation datM the 26th day of May last, having appointed Wednesday. the Cth day of Juno Instant, for the meet­ ing of the said General Assembly for the despatch of business, the follow­ Ing are the names of lho Members re­ turned by the Returning Officers of the several Electoral DIstricts to represent the said Districts in th ..

General Assembly:- C'HARl...J<JS E. HUNT. ESQ., SIR MICHAEL p. CASHIK, K.ItE. HON. SIR RICHARD A. SQUiHF,S K. C. M. G., K. C., L.L. D .. St, JOhn's (Western Division) WJI.,I~IA1\I J. HIGGINS, ESQ., CYRlI~ J. FOX, ESQ., NICHOLAS' J. VINICOMBE, ESQ., S1. John's (Eastern Division.) MAJOR PETER J. CASHIN, PHILIP F. MOOR~, ESQ" I,'erryland. LT.-COL. MICL. S. SULLIVAN, W I L]~IAM J. WALSH. ESQ., E:DWARD J. SINNOTT, ESQ., Pl\l.cetttia and SIl. I\!lary's. GBORGE HARRIS. ESQ., lIOK. SAMUEL J. ~'OOTE, Burin, HON, WILLIAM R. WARIlE;>J. J<'ortune Bay. HARVEY H. S:'tIALI.., ESQ .. Burgeo ond IA Polle. JOSEPH F.

DOWNEY, ESQ., St. George. 1,i']K:'\ETH RROWN, ESQ., HaN. ARTHUR BARNES, GEOHGJ<) JONES, ESQ" Tw\1lingal'e.

HOUSE OF ASSEMBLY PROCEEDINGS GEORGE F. GHIMES, ESQ .. ~~ogo. To all to whom these presents shall come. Gree!1ng:_ Know ye, that We have appointed 110.'1. SIR WILLIAM F. COAKER, th,e Honourable Jamf's D. Ryan. Presl- K. 8. g., dent of the Legislative Council of ROBERT G. WI.'ISOR, ESQ., our Island of .'If'wfoundland. tho JOHl\"" ABBOTT, ~:SQ.. Honourablo H. K. Blahop and the lIon- ounable Sir M. G. 'Vlnter. Members of our Leglslatlvf' Council, to bf' Com· HO:><. WILLIAM W. HALFYARD. mi~sioners, they or f'lther of them, to RICHARD H roBS, ESQ.. lH'mln[stf'r thf' Oath of Allf'glance 10 ISAAC R. RAl\D~~LI~.

ESQ., the under mf'llllOllf'(\ Ilersonll. electf'd TrInity. to lIerve In the Houlle of ASllombly for WILLIAM H. CAVE, ESQ .. RICHARD CRAMM, ESQ .. Bay de Verde. JAMES MOO]{~~, ESQ .• Carbonear. ARCIIIUALI} W. PICCOTT, ESQ., ER:-.'EST S IMMONS. ESQ., AUGUs-rUS M. CALPIl\. ESQ., Harbor Grace. HEl\RY A. WI:\T~;ll. ESQ., I"Qrt de Grave. MATTHEW E. HAWeO, ~~SQ .. WILLIAM WOODFORD, ESQ .. Harbor Main. By virtue of a Cummlsslon under the Grf'at Seal to tho Honourable James D. Ryan. PNlsldent of the l--eglslall>"e Council. the Honourable R. K. BIshop. and the Honourable SIr M. G.

Winter, Memhers of the said Council, which is as follows:: - George the Fifth by the Grace of God, W. I~. AHardyce, of the Unlled Klng_ L.S. or Britain and [relanu, and of the British Dominlollll beyond the Seas, King, Defender of the Faith. Emperor of India. the several Districts and Divisions of Districts lIet opposite their names. re­ Rpecth·ely. and appointed by Procla­ mation of Our Governor of our letand of l\ewfoundland. to bo holdesn in St. Jnhn's on the Sixth day of this instant ('HARLES E. HUXT. ESQ., SIR MICIIAEL p. CASHIN. K.O.K HO:"<. SIR RICHARD A. SQUIRES K. C. M. G .. K. C., L.I ... B .. St.

John's (Westorn Division) WILL IAM J. I!1GGIl\""S, ~!SQ., CYRIL J. FOX. ESQ., N"ICHOLAS" J. VIN"ICOMBE, ESQ., St. John's (I%lItern Division) MAJOR PETER J. CASHl:"<. PIfILIP F. MOORE. ESQ., Ferryland. l~1'.-COL. MICL. S. SULLIVAN, WILLIAM J. WALSH. ESQ .. EDWARD J. S INN"OTT, ESQ .. PlilcenUa and St. Mlj.ry·s. GEORGE HARRIS. ESQ .. HOX. SAMUEL .T. FOOTE, Rurln. HO.'1. WIl~!.[AM R. WARREl\, Fortuno Bay. HARVEY Jr. SMALl ... ESQ .. Burgeo and l..a Polie. JOSEPII }.-'. OOWl\EY. ESQ .• St. George.

HOUSE OF ASSEMBLY PROCEED INGS KB;>iNETH BROWN, ESQ., liON. ARTHUR BARNBS, GEORGE JONES, ESQ" T'wIlUngat-e. GIWRGE f'. GRUIJ<:S, }O]SQ., Fogo, HON. SIR WILLIAM F. COAKER, K. B, E., ROBERT' G. WIl\'SOR, ESQ .. JOHX ABBOTT, ESQ., Bonavlsta, HON, WILLIAM W, HALf'YARU, RICHARD HIBBS, ESQ .. ISAAC R. R.ANDELL, ESQ., TrinIty, WILLIAM H. CAVE, ESQ., RICHARD CRAMM, ESQ., Bay de Verde. JAMES MOORE. ESO .. Carbonear. AHCHlBALD W. PICCO'l'T, ESQ .. ER:\7EST SIMMONS. ESQ .. AUGUEn'US M. CAT~PIN, ESQ., Harbor Grace. HENRY A. WJXTER. ESQ .. Port de Grave. :-.rATTHEW E. HAWCO, ESQ., WILLIAM WOODFORD, ESQ .. lIarborl\[aln.

Giving to them. or either or them, ful! pO ..... er and authority to perform the matters hereinbefore mentIoned. ratfl'ying and confirming all Whatsoever they, or either of them. shall do and perform in this behalf, anQ therefo~ they or either of them, Rro to make due return under their Hands and Seals unto Our Governor of Our said Island, With those Pres­ entsannexed. Given under the Great S'eal of Our aforesaid island of Newroundland. Witness our Trusty and Well-be- · lov-ed Wlllialn Lamond Allardyce, Esq. Knight Commander of the Most Dis­ tinguished Order of St.

Michael and SL GeorJ,'1!, Governor and Commander­ in-Chief In and over our said Islantl of Newfoundland and Its Dependencle~, at St. John's. in our sail Island this F'lfth day or June, A.D., 1923. and In the thirteenth year ot Our Reign. By lIis .J<:xC'C\lency's CommlLnu, R. A. SQUIRES, Colonial Secretary. HOUSe of Asscmbly of Kewfoundland The said Commissioners came Into the CounCil ChlLmber between the hours or two and three of the clock on the said sixth day of June, Henry Y.

Mott, ESQ .• Clerk of the House of Assembly, as in duty bound attending, and the names ot the Members re­ turntd for the several Dlstricis and Dlvlllions of Districts having been called over by lhe Clerk they al)­ I)eared with the exception or Mr. John H. Scammell, and Mr. Harvey Small, and took and subscribed the Oath of All€glance In tbe presence of the said CO!!llnisslollerS, as follows:- CHARLES E. HUNT, ESQ., SIR MICHAEL P. CASHIN, K.B.E. IiOX. SIR RICHARD A, SQUIRES K. C. M. G., K. C .• L.I~, B., St. John's( Western Division) WILLIAM J. HIGGIl\S, ESQ., CYRIL J, FOX, ESQ., NICHOLAS J. VINICOMBE, ESQ., S1.

John's (Eastern Division.) MAJOH PJ<:TER J. CASHIN, PHILIP F. MOORE. ESQ., Ferryland. LT.-COL. MICL. S. SULLIVAX, WILLIAM J. WALSH. ESQ .. EDWARD J. SINKOTT, ESQ .• Placcntia lfond SL. r.fury'&, GEORGE HARRIS, ESQ.,

HOUSE OF ASSEMBLY PROCHDINGS • cpoke of a Speal;er.. You'. the said :><0 other per~on being ' proposed HonOTahle Jllmell D. Ryan. Honor- 1\8 Speaker. lIlr. Winter was uniin­ a'lle Robert K. Bishop and Honor- imously called by the House to the able Sir lIta.rmaduke G. Winter. are Chair. and was conducted to the hereby authorized and directed to Chair by the Members who prOI)Osed ~lgn1fy to the Members ot the said and seconded him. House ot Assembly on the Sixth day Whereupon Mr.

Speaker stand­ of tills Instant month. that It 18 my Ing on the steps. addressed the pleasure that they should proceed House. e:<pressing his gratitude to to the choice ot 1I0mc propcr person thc Honorable Mcmbers for the high to be their speaker. and present honOr unanimouJlly conferred upon such perllon on the tololwlng day tor him. my al)probation. The Housc then jldjourned until Givcn under my hand and Seal to-morrow. Thursday. at a quarter to at the Govprnmcnt House. St three Of the clock In the atternoon. John·s. this "th day ot June. A. n.1923. THUltSDAY, JU:><E 71h. 1923 Dy His E:<ceilcn<:y's Command.

The House met at a Quarter to It. A. SQUIRES, three ot thtl dock In th.. afternoon. Colonlu.l Spcretary. pur~uant to adjournment. At three ddo<:k a message from The Honourable James D. Ryan. Hts E,"cel\ency the Governor was de- President of the I,eglslative Council llvered by the Gentleman Usher ot thcn said: the Black Rod, commanding the 1m· "It Is not <:onHnlent for Ills Ex- mPI\late a!tendl'lnce o( Mr. Speaker House ot Assembly-Galley 4 and the Ilollse in the Council ('ham- ('ellenc), the GOyernOr to declare the reallons of his calltng thts General Whereupon Mr.

Speaker and the Assemhly on this day. and it beIng House attended His Excellency In ne('e@sary that a Speaker ot the the Counf'll (,hamher: and iJe\ng re 110U8~ of Assembly sboulrl he flr~t turned to the Assembly Room :'I-Ir. ('hosen. You.

Gentlemen of the Speaker informed the House th30l HOllse ot Assembly will repair to wheu In. attendance u1>0n His Exeel­ the place where you are to sit. and lenr;y In the Counell Chamber, His there proceed to the a.ppointment ot ~f:cellenr;y had been pleased to ap­ som~ proper person to be your prove of hill eledton as Speaker of Sileaker. 1',nd present such person Ihlll House. and that In the name and whom YOU shall choose here to- on hehalf ot the House of Assembly morrow. at three ot the clock. tor he had. by humhle petition to His HIs E:<cellrncy's al)probation.

Excellency. laid claIm to all theIr And the Members having returned ancient rights and privileges. which to the Assembly room. the Honour- HIS F1:<cellency had confirmed to them able the Prime Minister adre"sling in full and ample manner as they h1lllseU to the Clerk. who standing havc been heretofore granted or ai­ Ull. )wlnted to hhn and then sat lowed hy His Excellency or any 01 down. 1l1O\'ed "thai Henry A. Wln- his predecessors. Mr. Speaker aiso ter. ESQuire.

Mernher. elected for r:<pr~8sc<t hl~ l'(>S]lc('t~ul a(')mow­ the District ot Port de Gran!. do Jedgements fOr the high honor which Seaker," whl('h mollon was sec- the House had unanimously con­ onded ' by Wililam J. Higgins, Es- ferred upon him. quire. Member elected for the Dls- Mr. Speaker further announced trlcl of St. John's ~~ast. that whilst In the Council Chamber

HOUSE OF ASSEMBLY PROCEEDINGS cl>oice of a Speaker.. You, the said No other person being proposed Honorahi(' James n. Ryan, Honor- as Speaker, Mr. Winter was unan­ i>'lie Robert K. Bishop and Honor- Imously called by the HOllse to the able Sir Ma.rmaduke G. Winter. are Chajr, and was conducted to the hereby authorized and directed to Chair by the Members who proposed signify to the Members of the saili and se<;onded nim. House of Assembly on the Sixth day Whereupon Mr.

Slleaker stand­ of this instant month, that it is my ing on the steps, addressed the pleasure tbat they should proceed House. expressing his gratitude to to the choice of some propel' person the Honorable Members for the high to be their speaker, and present honOr unanimously conferred upon ~uch person on tho fololwing day for him. Ill}' approbation. The House then jfl.djourIled until Gh'en under my haud and Seal lO-lllorrow, Thursday, at a quarter to at the Government House. S1. lhree of the clock in the afternoon. Jobn's. this ;)th day or June, A. D. 1923.

TliURSDA Y, JU:-.IE 7th, 1923 By H[s J<-;xcellem:y's Command, TIle House met at a quarter to R. A. SQUiRES, three of the clock In th.. afternoon. Colonia.1 S"cretary. pursuant to adjournment.. At three o'clock a message trom Th(' lIonourable Jam€!; D. H}~.J.ll, His Excellency the Go\'ernor was de­ President of the Legislative Council livered hy the Gentleman Usher of then said: the Black Rod. eommandlng the Im- "It is not convenient for Hi s Ex- mNl1ute attendance of Mr.

Speaker HOliSO of As!:!cmbly-Ga\ley -4 and the 1I00lSe In the Counell Gham- cellency the Governor to declare the ber. reaaons ef his calling this General Assemhly on this da,y, and it being ne('essary that a Speaker ot the House or Assembly silouM he first chOsen.

YOll, Gentlemen of the House of Assembly will repair to the place where you are to sit, and there proceed to the appointment of 110m" proper person to be YOllr Speaker. 1~nd present such persoll whom YOU !:!hall choose here to­ morrow, at three of the clock, for His E)Xcell€ncy's approbation And the Members having returned to the Assembly room. the Honour­ able the Prime Minister adressli.ng hhn~elf to the Clerk, who standing uP. painted to him and then sa.t down, Illoved "that Henry A. Win­ ter, EsqUire, Member. eleeted for the District or Port de Grave, do Seaker.'" whicl} motion was sec­ onded by William J.

Higgins, Es­ qUire, Member elected for the Dis­ trict of St. John's East. WherCllllOn Mr. Speaker and the House attended His Excellency In the Counell Chamber: and being re turlled to the Assembly Room MI". Speaker informed the House thHot when in attendance u\Jon His Excel­ lency in tbe Council Chamber.

His xEcolJency had been pleased to ap­ prove of his election as Speaker of this House. and tha.t in the name and on hehal! ot the House of Assembly he had, by humhle petition to His Excellency. laid ela.lm to aU their ancient rights and privileges. which His Excollency had confirmed to them In full and a.mple manner as they hrwe i.>een heretofore granted or al­ lowed by His Excellency or any or his predecessors. Mr. Speaker also expressed his r('spcct!lll a.("\mow­ ledgements for tbe high honor whIch the House had unanimously con­ ferred upon him. Mr. SpeaKer further announced that whilst In the CouncH Chamber

HOUSE OF ASSEMBLY PROCEED ING S His EXl,-e\lency had beeu pleased to employment. Although the rehabll- make a speech to both branches of the Legislature, of which Speech he had for greater UjCcuracy, obtained a copy, which he then read to the House as lollowlI: Jlr. I're si de llt lind HonollrJlllle Gen­ tlemen of th e Legislath e roullcli: JLr. SI.eakel' .and Gentlelllen of th e IIonourable Iion w oi Assembly: On this the first oCC¥ion of my meeUng you in your Legislative cap­ acity, I desire to extend to you my cordial greellngs.

Since my assump­ tion of the Governorship of this an­ cicnt Colony of the Empire, it has given me pleasure to associate my­ self with all your interests, and the welfare of :-,'ewfoundland will re­ ceive my earnellt thought and solic­ itude. On the twenty-fifth day of Aprn last on the occasion of the marriage of His Itoyal Hnghnells Prince Al­ bert, Duke of York, It was my prlv­ lege on behalf of the Government and people of Newfoundland, to for­ warc) to Their Majesties the King ani!

Queen, a mesllage of loyal and duti­ ful congratula.tloll. and to His Roy­ al Highness and Rride, an expreH­ sion of the fervent good ""ishes from t.hls loyal dependency or the Crown. Gracious replies were received from Their Majesties and from tIis Royal Highness. Looking at the world to-day, we find that the process of reconstruc­ UClllf is making hut slow progrcss. Action Is followed by reaction. and the economic pendulum swings from one Side to the other. It wtll he itation of the world In Its political and economic spheres, it is not pro­ cl'e!iing as rapidly as had been hop­ ed.

It Is evident that progress Is heing' made, and we can therefore go fan' ani to our tasks with cheer and courage. The dllference between the Imports and exports a.t 30th of June, 1922, show('d, fOr the first time since 1919, a halance in our fa'·or. A lar"er quantity of codfish was eXport('li dur· ing (he ia&t tlsea,l year than dllriO):; the previous year, though the price was leslI because of low pl'ices In the foreign markets. During til(, season of 1922 1ll0l'e vesshls were en­ gaged in the Hank fishery, and the catl'h was forty per Cf!nt. l[lrger than in the pre\·ious year.

Thc result or the prose<;uti'Jn of the Seal Fishen this year was slightly below that of 192~. The question of unemployment and the consequent distress among the people, espe<;ialiy during the wintH months. have caused my Ministers constant anxiety. These conditions are not peC'uliar to NewfDlIIHlland but arc existent In well nigh every country. My Ministers have mad(' an ea.rnest endeaVOUr to sol,'e the difficult problem of unemploymcn : h, providing labor In connection with 11Ilbik works and other neC'('saary measures.

It is hoper] that the CrisiS has heen pa.ssed, and that new open­ ing~ will shortly be pro\·lded to gh'e a.ll OUr men adequate ('mploy- some years before C'omparative eqnll- Mr. Sp"a\ICr and Gentlemen of IbrlUIlI Is reached. the Honora!)le Honse of Assembly: These world conditions alfoct us Th(' statements of expenditure 1\nd seriously In Newfoundland.

They reV€lIue fo r the last flllcal year will i!lflueJl(~e the cost of lhe commod- be laid before you In due course, Itles we Import. they depreciate the and ll,iso the estimates for the lIeVer­ vaJue of the products we export. al o:lepartments Of the Public Serv­ they tend to Increase the cost of Ice, which latler have been prepareil living. to hamper development of with due regard to economy and ef­ trllde lIn(1 to limit the avenues of ficlency.

HOUSE OF ASSEMBLY PROCEED INGS President iomd lIonourable people, that it should be l)laced be- Gentlemen of the l.eglslatlve Co uncil: ~!r. Speaker ana. Gentlemen of the Honourable House of Assembly: Since my ~lInisters asumed oUlp" in 1919 they have been giving con­ tinuous atteution to the Question or the development of the resources "r • lhls Island.

While the fisheries of Xewfoundland are and wlll loug re­ main the staple indl:su·y ot the Col· ony. yet my Ministers an' convinCf'd that the time has come ..... hen a very RpeC'!al effort should bl' made to sec­ ure the Industrial de"l'lopment of the Interior. with a view to relieving the burdens which are now carried b,' our main Ind.ustry.

The In flex of ne ..... capital. the investment of money In the country by firms of high stand­ Ing. and the profits wblch will bt' drrlved f!"Om tUrning our inland r e­ sources lut'o money will materia lly Increase our rEVl'nue and provid e the means to meet the lIah!l!ties of th(' Colony without entirely uepenuing Upon rhe F'lsheries. Proposals ha\€ been submHtedi by a powerful English finn for t"03 development of the water .l,ower of Grand l..ake and the Humber Valley. and the establishment nf large Paper Mills and other Industries In that vlclnlt}'.

With the financial IIlPllort of the Imperial Government. my Ministers. arter extende:!. negotl­ r-r.iona, were able to give effect to their development policy. the details Of whiCh w!ll be submitted to you for ratification. All the matter was or ex­ t~emo Importance, and time was an '~Sential factor. a temporary arrange­ ment wos made under whiCh the work was commenced at Grand l..akc.

DOCulllents In connection with this temP orary arrangement will also be laid before YOU, My Ministers considered that the propOSal in connection with the <JevelOpment of the Humber Valle)­ was rrau:;ht with suc h far-reachlnj{ conSeQuen~. both to the tuture of this islan(t and the welfare ot Its fore the electontc. The House of Assembly was therefo r e t::.lssoh'ed In February last and an election calle(l for t"e thl,·d of :<Olay.

My MInisters ha\'e been sustained In their polle}' aud can now proeced with cOllfldene" to the formal ratification of the oro- posed measure_ It Is ilopej to lay before you cer­ tain prollOsals tor the Olleration or the Rallway and its allied services to replaCe tho agreement for tempor·ar·.,' oj:eration whkh expires on th e :lOth day of June instant. With respeet to the anticipated Gold RLsh to l..abrador ou the opening of navigation my Ministers have llIa,le t"e necessary preparat(ons to main­ tain law and orde r , and represen1- atives of the Departments Interested, will proceed lhere In due course.

In lea\·lng you to the discharge of your dulies I am sensible of the grav­ Ity of the questlolls wblch wl1l come befo re you, and pray that, under lhe­ DJvlne gul!bance, wisdom nut! fore­ sight may b-e granted you for the advancement and progress of country. It was moved by l\lr. Cramm, aurl s(<:on(]ed by Mr. Randell, that AU:iresll of Thanks be pnsented to His Excelleney tho Governor In reply to t"e GI·acious Speech wjth which '.Ie had beell pleased to Ol'en the present Session of the Legislature, and that a Select Committee be appointed to draft such Address In Reply, MR. CRAMM-Mr.

Speaker, I rise to propose that a Select Com­ mittee be apjwlntefi to draft an address in reply to the Speech from the Throne, with which His excel­ lency the Governor has been grac­ iOl1<;ly pleased to open the Legislat­ ure. "Before doing so, Sir, I wish to crm;1ratulate you on the great hon­ or that has been conferred upon vou in your election by a unanim­ ous vote of the me.mbers of this

10 HOUSE Of ASSEMBLY PROCEEDINGS house, 10 the position of Speakt:r of Ihis Assembly. It is an honor which your high standing as R cit­ izt:n and your equally high standing as a member of the legal profession merit beyond dispute, and I have not the shadow ot l\ doubt, Sir, that you will adjudicate on matters that ('orne up for your decision, impar­ tially and fearlessly _ I would like, also, Sir, to express a hearty welcome to His Excellency Sir William Allardyce and Lady Allardyce and their family.

This is the tirst session of the legislature since His Excellency and Lady AI­ lardyce have been with us, but al­ ready we have witnessed the very keer, interest that they h:tve raken in the affairs of this country, the conspicuous and highly praisewonhy interest manifested by Lady Allar· dyce in the Child Welfare movement And the equally keen interest taken by His EAcdlency in the industdel entcrprises of our country. New· foundland has been continually hon· oree by His Majesty's guvernment by the high and noble class of men \"ho ha\'e acted as rCl'resentatives of His Majestv at Government House.

The office has been filled by men who have won by their own ~apacities and achievements, posi. tion~ to which they have been ap· !'loin ted. Of such a type was Sir Alex. Harris. and of such a type, from Ifll we have been able to learn, i<; SiT Wm. Allardvce whom we have the honor to have as His Maiestv's n"r5rmal representative of the Throne of Great Britain in Britain's olde!'.1 colonv. Everv honorab le m"'TT1ber of this House.

I am sure. '-'ill loin with me in wishing HT:' F:xrellencv Sir William Allardvce. 'lIdv Allardvce and the ir fami lv .. riu..-;n"" thpir stav with us. a full mPlJsur" of health. happiness and f'"ood will. "rominll to the main issue, His Excellency, in his speech from the throne, I efers to the unsettled con· dition of busi ness, not onlv in New· foundland, but throughout the en· tire world. It is true lo-day more than ever before, thal 'no man Ii\"· eth unto himself,' and it is ·equa l. Iy true that no country liveth unto herself.

The more edvancecl our civilization becomes the more in­ terdependent the nations of the wllrld beccl!ne. However much we would like to forget the financial conditions of Ita ly. Spain and Gre~'.ce, we are unable to do so be· cat.:sc upon their financial condi· tion depends their ability to buv ocr mR;n product. When they iuffer from nnancial -depression that fact is trought home to us directly and there is scarcely a nook or corner of Ne .... fOlmdland but mu!'.t suffe;­ accordingly.

Such conditions make us realize how small this old world has become, how interdependent the countries of the world are, how indHstrial trouble and flnancial strin)!ency in one country causes distress and poverty in another. It brin2s home 10 us the fact that 'vhere statesmen of the past have had to consider prob lems as purely nationa l. to-dav the prob lems are chiefly international.

The problem of unemployment. which we have to face in Newfoundland fo·da'y and which the Prime Mini<;ter and his I?overnment have been stru~· I'ling with durin~ the past three ypars. is a local problem. but it has come 10 u~ as a product of inter­ national distress. financial and ;n­ dm;lrial. which has swept over the "ntire WMld. If the neonl'!

",'ho "ave been eatinp our fish have be­ t'''lTlf": so impoverished as to h" un· ahle 10 pay a decent orice for it. everY m<lo ... ·ho orosecutes the fish· f'"rv. and his entire fami lv. must suf­ fpr flt'cordin"lv: the merchants must share the loss with him. and pven industrv in Newfound land must share the common burden.

HOUSE OF ASSEMBLY PROCEEDINGS 11 "That is a situation entirely be­ yond the control of this legisla ture. rhe unemployment problem has to be solved by some other means, and, thanks to the industry, fore­ sight and ability of the Prime Min­ ister, and his executive government, much has already been done to solve this all.important problem that is confronting this country to­ day. The great trouble with us, Sir, has been that heretofore we have carried all our eggs in one basket.

We have depended almost entirely on the one industry for the happiness and support of the whole country, and as long as th.: markets for that one industry remained in good financial condition, everything went well. To our sorrow we have found out the tremendous dangers which attend such a national pol­ icy. That industry was hit a severe blow which it will take many years to recover from. We have had no­ thin{!" to fall back on, and while ex­ periencin{!" the general and severe distress that has followed, we have had to develop other sou~ces of revenue and employment.

"There is no honorable member of this Assembly, Sir. who believes that the Humber industrial program however ,l!"reat and beneficial, will be a panacea for all our troubles. It is only a step, a big: step, it is true, in solving our ,l!"reatest na­ tional problem. It is to be hoped, Mr. Sneaker. fhat everv honorable member will view this lITeat indus­ Iri .. 1 developmnt policy from an un­ <;E'lfish !';tandpoint. from the stand­ noint of Ne,,'foundland RS a whole, "nd not only Newfoundland of to­ rlllv. but Ne'''foundland of to­ morrow and vears to come. "I hRve much oleasure.

Mr, SpeAk er. ;n mnvinl!' that a committee be "tlnointed In draft an Addre~ in » .. nIY tn the Speech from the ThronE'." CAPT. RANDELL: - Mr. Speaker.

"Tho I fecI that one comj)ct­ ent 10 do justice to the oc..:asion should have the honor, I beg leav, to second the motion of the hon. member for Bay de, Verde, that a ~ommittee should be appointed to draft an address In reply to the speech H is Excellency has been S0 pleased to deliver to us to-day, "The Humber development pro­ j('c,t referred to by His Excellency, and. which, I understand, is to bl" dealt with by this Assembly during the coming session, is perhaps the greatest project barring the Rail­ way Deal of some years ago, that has ever been brought before any asembly in this country, and it is encouraging, sir, to know, that this undertaking has the fi!1!H1cial support of the Imperial Govern­ ment. and whatever may be the risk of success attendant on the ~ntel"­ prize, there appears to be no doubt whHtever of sufficient water power, not only to supply the needs of Ihis big industry, but also to supply power to other subsidiary indus tries that may be developed lalcr.

"In connection with this subject, 1 <;hould like to quote all extract from the FI"lt1nteenth Annual Re· oort of the Newfoundland Board of Trade. under the heading ',"'iner­ als.' where reference is made 10 copper deposits. I quote, sir, as fol­ lows: " 'Were sufficient capital applied to our well·known ore deposits. it is E'stimated it might be possible to produce in this country a daily aver­ aee eoual to that now produced bv the whole American continent.

Suf­ ficient water power is available in the centre of the island now in course of development. to mine, mill. concentrate. smelt. refine and manufac.ture sufficient copper to suoplv hfllr the world's rcauire­ ments at a production cost below that of any ooerating copper mine in the world to-day.'

12 HOUSE OF ASSEMBLY PROCEEDINGS It is, and has been in the past, a matter of' grave concern that the people of the colony from the small merchant down to the poorest hook and line fisherman, have almost an­ nually to gamble or stake his all on the catch of one season, and even the financially strong of all classes who are dealers in the fish business can seldom wealher two or three bad seasons.

The honorable gentle men of this Assembly, sir, I am sure, will agree with me when I say that any industrial jroject that is pul forward to remedy conditions or relieve a situation arising from a a bad fishery, should be given sup­ port, m.ore especially in a time. of depreSSIOn caused by world-wide conJitions over which we have no controL " I think we all deeply deplore the fact that this land of ours, Britain's oidesl colony, owing to those ab­ nomlal conditions, is not recover­ ing from the financial depre~ion following the great war, as quickly as we all would wish her to do.

As you know, sir, those countries that we depend on to buy our fishery products are showing very little sign of financial improvement, and this country is l:irgely dependent on southern European countries to buy from us the products of our prin­ cipal industry.

If I might humbly suggest it, sir, 10 this Assembly, we should not lose sight of the fact that any industrial program that we may have to consider or any indus­ trial projects that :nay mature in this country will be but auxiliaries to the fishery, and general trade of the country for years to come. 'The proper marketing of codfish, sir, is a subjec t of course that has beer before the House of Assembly many times, and yet it is a subject that still demands consideratiOIl.

It is generall y accepted by almost all conected with ~hc fish business, that some means should be adopted whereby arrivals of large cargot!S of fish in our principal markets should not coincide, or that previous cargoes should be disposed of be­ fore the big shipments arrive. I thmk in this respect, sir. that no sl1rpnse legislation should be given to shippers, but every man in this country that has given any thought to this important subject, I am sur,;:, realizes th~ necessity of our ship­ pers agreemg on some meAsure whereby big stocks of old fish in for eign markets being overlapped by new.

COuld be prevented. " I also think, sir, that it is to be regrclted that S(1 much money goes out of this colony to foreign ship­ owners who charted their ships in our foreign trade. If local owners were encouraged to the extent that "hip-owners in Great Britain and other countries 3nd colonies are, I have no doubt that very few for­ eign ships would come to this coun­ try to load fish.

At present there is no encouragement for local owners to replace sailers of steamers, and if the sealing ships, for instance, arf' not replaced, the sealing indus­ try will very soon become an indus­ try of the past, and probably for­ eigners will take that from us as they have the carrying of fishery products to forei.en markets . . "In seconding this motion I trust it may be passed unanimously and that the closing words of His Ex­ celle-ncy's speech may be fulfilled." MH. HIGGINS:-Mr.

Speaker. through the absence from the House of the gentleman who led the Op­ positlon Party In the recellt elecUon and because of the retirement of th!' senior member of the Party from the leadership III the House. I find myse\r thrust into a position which, under ordinary circumstances, I should have R great deal or hesitation In accepting. But.. Sir, my task, because of the con­ duct of the Government since we iaql met liere, Is not a difficult one.

HOUSE OF ASSEMBLY PROCEED INGS 13 However, before /tnythlng Is saId with regard to those matte r s whleh It is my duty and my purpose to de;)1 with, I must JOin with the prevloua speakers In tendering from this side of the 1I0us e, sincere congratulations to you, Sir, Ullon the sig n al honor that has been conferred upon you by this Leglslati,:re. by your unani mous elec­ lion 10 the [mllortant position of Speaker. With your scholarly mind. your well-known ablllty in the leg31 professioll and your uniform fairne.;s of all occasions.

I feel certain that you will fill the chair with honor to yourself, dignity to this chamber and In a manner aatisfactory 10 all con­ cerne d. It should be a matter of sentimental satisfaction to you thal YOU !lOl\' attain to a position In thi~ House so ably led by your lllus t rious fMher many y£/tnJ ago. We of 10- (!ay should pay tribute to your father's memory In that respect, a memo,y which I\'e feel assured wll[ not be dis­ honored by you. Following on that, permit me 10 cOlll;'ratulate the mover of the Address in Reply. the honorable member for Bay t!'e Verde.

Mr, Cramm and the sceonder. t'le honor/tble memiJ.cr for Trinity, Calli. Randell. on t he very able manner in which they perfornwrl the respcetive duties assigned to them. [ want. above a ll, to conl\"ratulat~ them On the manner In Which they kept away from the Speceh from the Throne, re~ll~ing, as they no doubt • Ud. that It wall absolutely void nf either point or Inspiration, and I may ~ay now we wlil look forward for Mml10r contrIbutions from t'lem In future to th~ deba.tes In this Chamber, It [II not to be wondered at that M;-.

Cramm should have achieved. stich :l. ~UCCe8!1 In his maiden effort in the House, wh!\-e those of us who know Capt. Randell, shall not b(' at all sur­ prill(,(\ to Sfl' him forge to tht' fore­ front all a legislator. as he has al­ rt'ady done as a. navigator. I Would also like, Mr. Speaker, to congratulate our new Knight, Sir Wm. Coaker. def!pite all the cross-firing Ihat our goo :!! frle ud engaged In in Ihe pas t and however much we may have rcoasons to accuse him of over-enth u ~­ iasm In matters of po lley and in do­ InJ' ao, [ Illleak t he Ihoughts of the t,entlem€n associated with hhr.

It~" peculfarly significant, however, that otr goot! friend. after such It s hort time In public life. was given a d ls­ tl n guls~ed k nighth()():I. by the Prime Minister, and, af."er all, [t ia on ly rig'lt and proper that the Prime M[nlater ,llonoured him thUll, because wlthOl'l SIr William Cooker the Prime Ministe r never WIts. never can be. a nd never wlll he again.

By Virtue of his com­ merdal industry and ente r priae. no man Is morc worthy of t his mark o! rcspecn than Sir William and we trust that lhln~s won't go t!Qwn to the stage of a Mutual Admiration Society now because of the c reation of th e new knight: but rather that In t he future we shall be able to see that thi n gs "'ill gO on in the same way as that J;ollcy. that over-e~th u slas.m, such as thl't marked him In the days gone by. Then we have the lion. Or.

Barnes, Minister of Education. ca[mly sitti ng down dl'eamillg of his pet hob by. wondering If anything Is gone wrong with the :-'-ormal Sc hool and hoping that some t hing will turn up for the s~cce8S or the Department to cause him joy. Also we have our good frIend . lmown as thl' cute man. who Is DOW Minister of Finance and the latest ad­ dition to the E)(eclltlve ('o unci!.

He always has II way of hls own for doing oml saying things lind no one here has any reason to fall OIlt with him. 11" realizes that the fatell ha\'e played h[m kindly and· so the hour hilS ar­ Ttved for the special convenience to pay him the sp('('lal honour and the rpecial compliment. I do not know of any other man on the other side of the House who Is more del!en-Ing of

14 HOUSE OF ASSEMBLY PROCEEDINGS it thun Mr. Cave. So much in th'e wl'y of general rCllla['ks. It is not my ])ufjlose to unuuly de­ lay the House In my comments 011 th~ ::;peech from the Tilt'one because there Is not bing ill It that contains any surpris-e for me or for any mCIlI­ ber of the Opposition.

I had thought that the Prime Minister, in the light of the additional Knight, who by the way, Is ttc "blg noise" in the Government , and because of the advent of lIew melll bers in his party as well as tor other I'Ul sons, would say to himself; "I am going to establish a. lIew record this Session.j" But, on the coutrary. the Speech from the Throne Is not a bit different from what I expected. It contains Ilothing, foreshad 'ows nothing and I expected nothing different.

Personally, I am absolutely more t,hun satisfied with the Speech and I am jLslified in the faith that I had in the man whO wrote it aJld I am glad to be in the position to state th.at I was able to anticipate what actually hap­ p" ned. The SI)eech is, to use a time 'Worn phrase. nothing else but a ple ­ thora of words. mea.ning noUllng. It is just another example-the latest example. :'tlany a time the Prime l'Ilinister h1.s fooled the people hy Writing ~[ani­ testoes containing :l multitude of words that explained or meam noth­ ing: this time It is under the guise of a Spee.:::h from the Thron-c.

And I do not grudge his doing it. nor am I going to criticise him to...(]ay for the way in Which he did it. DU1'lng his term of office, the Prime Minister has made contracts and (lone a hUlld­ reu and one othEr things in a way t hat ought not be don0----and done ap­ parently with credit to himself. Before proceeding to deal with the Speech from the Throne.

I would like for you . .'.lr, Speaker. on behalf of the Opposition - known in parllamentary pal'lam'c as His .'.laJesty's Loyal Op­ position - to bid the warnmst l)O~slble welcome to Sir Wl\Ilam ami La,dy Al- laruyce, who have come amongSt ilS since last this House was in session. His H:xcellency, we k.now, is a lIlan of ripe experience and brings to his of­ fice lots of tra.inl n g and all the at­ tributes and qualifications ncceSllary fOI' the onerous d;uties he Is called U;I­ on to perform.

I think it will be round meet and right to refer to the activities of His Excellency's good wife, since her adYcnt amongst us. particularly in relation to Social Wel­ fare. She has been prominently IdeuUfied with Child Welfare work and the Girl Guide Movement, which have not alwaYB found a good friend in the occupant of GOyerlilllent House and I f eel sure that he r interest in that direction Is not likely to abate. III the beginning of the Speech from the Throne Is the following ex­ traordinary ~nd llJumina .illg state.

"Looking at the world to-day, we find that the process of reconstruc­ tion is making but slow progress. Action is followed by reaction. and the economic pendulum swings from one side to the other. It wtll be some years before compara.Llve equil­ ibrium is reached. These world con­ ditions affect us seriously In New· fO\lndland. The~' InfluenCe the cos!. of the couunodltle s we import. They tend to depreciate the value of tlH' I)ruducts we export. They teud to In­ creas(' the cost of living. to hamper the deYelopment of trade and h. limit the avenues of employment. .......

Although the r('hbititation of the world In its political anu econ­ omic sphe res Is not proceeding as ral)ldly as had been hOI)ed, It is ey· ident that progress is being maue. and we can therefore fi{0 forward to oUr tasks with cheer and COlI rage." ('an you give "cheer anu courage" fOr the future to a man who told me a day or two ago that hIs wife had !IOI(] everything she possessed and lla!] ther. just started In oplltting up tile furniture to make a fire for his dinner! It Is a wonderful and con

HOUSI:. OF ASSEMBLY PROCEEDINGS 15 soliug thought to give "cheer and courage" to the man who goes out of his home In the morning lookinb tor work ami has to remaJn out aU day owing to the tact that he has noth­ ing at home to eat.. Thue aro) a <:ouple of other aspects In th .. Speech from the Throne that 1 pro­ pose to deaJ with, but lIot at the present juncture. But in the lLlean­ timf' I do say In all sincerity that the task that we have before us this cI'enlng Is to HUd rcady and available elllilloyment for those people who are out or a job.

I realize and appreci­ ate thoroughly that these men do not wll/It relic! work, that Is, as re­ lief Is generally understood, but they want to do work and give re­ turns tor eyery dollar they receiYe. Thf' question ot unemployment III St. John's has !'eached a critical ~tage. Men In all stations of lite in the district that the Prime Min­ ister rep!'csents as well as mine and my associates' are walking the stre-ets In hundreds, almost thousand6, looking tor work, and who arc In actual want.

Let us sink our Ilollt­ ical dillerencf's and torget whatever may have occurred In the recent \10- liticaJ campaig n_and In saying this I Speak the thoughts ot those around me-and let us try and do something that will put these unemployed men to work and enable them to provide the wherewithal for their dbtressed familles. A conSiderable proportion ot thOse lUen COuld be employed 1m. lUedla,tely on puhlic works that ure of heneHt to the dly. Remember the res J)onBlblllty rests ul)on us.

And while on this pOint I would like to say and to convinCe the GoYernment that the attitude of the Opposition this session Is to assist them and to Support them and not to le\'el an)" undue crltlclsru at them that Is UB- ::~::rfl:;V:~I:~e ~r: ~hoa~:r:8m:~t~~::s~~ IUou. We are \!nable to do allythlnr on hf'hnu or the unemployed except to or,er ~uggestions to the Govern­ ment, and rea.lizlng the destitute cir­ cumstances cOlltTon.tlng the peOII]e of St. John's that we see around us ever'y other day, let UB hope that somdhlng will be e\'ol\'ed wherehy these conditiolls will be relieved, at least, Lo some el:teut.

Shortly be­ tore polling day It was found neces­ S<.4ry to give relle! to hundreds of men and their families who wer'! bad Iy In wallt. Well, if these people wera In want theil, In God's name how much are they in wallt to-nigh,? Therefore, I would strongly urge III all honesty that the earliest I)OS­ sible attention be given to this mat­ ter ou the jlart of the Government and I can assure thelll, Mr. Speak­ er, that the OppOsition will not be round wqnting in doing their level best to assist them.

But I am re­ minded. however, that that paragrallh concerning unemployment In the SIN(ch fr'om the Throne was not In­ tended to be aCcel)ted by us at fa.cc valu~', but possibly to give a foolish impression to the people olllside. Do(s It look as If the c.rlsls lIaR been lJasssed to see thousands ot yoang men flocking to other coun­ tries, compelled to get out, becaus. of lack ot employment In their own (.'our.try! Is the crisIs Over with r .. - gl'.r(\ to the Hsherles I wonder?

Still we have this paragraph In the Speech from the Throne and written by tllf' Primp 'Minister: "The question ct ullelllllloymelll and the consequent distress among tha people, especially during the winter months, ha\'e caused my Min­ Isters consta.nt anxiety. These con­ ditions arc not peculiar to Kcwtound land but are existent In well nigh e"ery country. My l\Iini~ters Imve made an earnest endeavour to solve th(' difficult problem ot unernploy_ mem hr prodding lahor In connec­ tion with public work~ and other ncc(ssary mea~ur"s. It is hoped thllt the (;risls has been passed, and that

16 HO USE OF ASSEMBLY PROCEEDINGS new opening will shortly be provltl- en dlld dlscoI'cr that, as we expect­ ed to give all our men adequate em- ed, the Jeopard Des not change It~ ployment." SPQts. The pledge that was IUlcd for Hu\\ever, much a"l this paragrf!ph the election waa the celebr~ed Hum­ In the Speech from the Throne may btr proj~t about which the Prime lie disregarded and despite the tacit Minister's document contains a par­ of honesty of purpose contained [n agrapb of a mIxture of words and no it, I do trust that somethIng will one knows anything a.bout It.

If el'­ be done to aJust thJs unemployment tr there was any doubt that the Jl!'oblem whiCh at present prevails i'l Humber prOIJosltion was a huge Jok .. this city. to-day's Speech from the Throne re- The next paragraph In tbe S ]leech moves tbat dOllot and gh'es absolute from the Throne says: Ilroof thr;t the thing Is a joke.

Here "The statements of expenditures Is IIhat the paragraph says: and renmUe for the last fiscal year "I\\'y Ministers considered that the will be laid before you In due course, proposal In connection with the oe­ and also the estimates for the several velopment of the Humocr Valley was departments of the civil service fraught with such far-reaching can· whi<;h latter have been prepar(od with s equences, both to the (uture of th.!" due regard to economy and effic- Islnnd and the welfare of Its peo­ iency." pie. that It 9hould be placed before The sa,me old words In the same the electorate.

The House of Assem­ old way, but with no sincerity of bly wal!! therefore dissolved In Feb· purpuse In them. If rumors be true ruary last and an election called for that there are quite a number of the third Of May. My Ministers havt> new and unnecessary appolntmenU been sustalnfld In their polley and to be made., then there could not be eRn now proceed with confidence to much economy exercised.

As to ef- the formal ratification of the propos­ flclcncy, In the public sen'lce, well. ed measure." 1 do nOl want 10 be personal, but Because f" was necessary to sub­ there u.re Cabinet Ministers In the mit the proposal for 1.1tlflcRti(;n, anrl Government and heads of depart- election hod to be held. But we Hn' menta who have as much knowledge waltlnlt ret to IIlOTll what tbe r>rOl)()~ of their work as a man who fUllS a III Is all abOUt. I think Mr.

Sr,,:.J.,'i r (:od trap would hfllve of these min- that YOll will remelllber that the gen­ Isttrial positions, e,'en Including the tleman oppos11e came to hf' I,now!] a~ :'ollnlstH or Marine and F'Isheries. it Humher candidates. The pal>er~ said has not been a queston or getting a they WE're Humber candidates and man suitable for a depa.rtmental job. nnder that title they were ('Ieete", hut It has been a question of getting When I Hnd other people saw this a department for the man.

Tilere are title t~ked on. we wondered If they many men In the Prime Minister's were being 11~lled as qutrerlng from Jlf\rty who to-day who could have fll- som"! particular complaInt as one led departmental pOSitions with mh':ht say they were sober or other­ eredit, hut who have not filled them wise. and on my own part f thought for reasons best known to the Prime that the Hon, Prime Minister with Minister.

We realize the trouble the thl1 asslstr.nce of some of his good Prime Minister has gone to and be- temperance friends had got together fOre the session Is through he will a nllrty with ~nother title for prohlb­ no doubt have a few more dp-part- IUon. T cannot e\'en HOW understand menlB erel(ted. The House of Assem- w"at some of Ihe election carda bly Is called together to-day to \lst - meant by ssylug that Tom Jones or

HOUSE OF ASSl:MBLY PROCEEDINGS 17 John somebody else was a Humber candidate, Suddenly however, we di .. covered that he was going to the country on this pro]losltlon and know Ing that he could not SUPllort some­ thing that he knew no more whatever about I.han we of the OVl'osltioll did, and being prepared to support any measure that tended to the develop­ ment of the country and welfare at the people. we decided to support the Humber proposal too. But the peo­ ple were misled by the name, prob­ ;\bly thought they were the sober par ty and we were not. and In their de­ IIU'Ilon, elected them to power. I think. Mr.

Speaker, that the lion. Prime Minister and the honorable members of the government will at least bear with us when we say that thl~ much talked of and celebrated contract ought to be brougbt down to us as quickly as possible. The llumber hae been preached to us In s{'a~on and out of season and we are wondering what It Is-It Is almost a ('lise of wondering whether \t Is a boy Or girl. The former leader of the Opposition saYS It may be twins. Per haps It Is Rl'I we both had a Humber progra,m snd we know as much 11.­ hout it [lo6 the members of the Gov­ {'rnm!.'nt. W'Iw Is to know who Is the real father ot the deal.

By the time of birth who can tell what wtli hap­ lIen.

Xow as I was reminded a tew da~'s 3t;0. this Is the first session In It long time at which we did not hWe 10 paSIl a resolution of eondolenc .. on Ih(' dfsth of some membere of thl~ Hus@ but as I cam!' out the road to­ d,~\, i Baw the flag on the building at half-mast_and It Is at half-mast now i do not know what that fore­ shallows llond plncerely trust [t Is not Ihe "~rly death of the Humber prop­ o~lt!on as when the legislation In ('onnectJOn with that comes down \ve ~~:,~ (~;r~~II~I~.h:; :~r:o::itlj~,:~cs~~ ~;~ 1:8 ~hr: ~~:e~:;:;:~e~~t.ih~u~O~:~ fore ali we are bound by the condi­ tion of sef)ing that our dllty I" done and that anything ot an objection­ able nature [n the legislation o r tend­ Ing to prejudIce the welfare of the count r y Is strenuously opposed.

We are l)rtJpared to admit that we have to pass some things that might be objected to and our only criticism A'ill be of a help[ul kind and directed 10 striking out whate\'er is not for 'he good of thl) country. ;\f1ght 1 say to the gentlemen wh o compose the Government, that welco m e as we shaH the II mnb"r anrl ~upport a,ny­ th.lng that makes tor the bette r ment of the people by the giving at em­ Ilioyment, they do not yet ev(:n begin to touch a dlfflculty which we feel sure must be interesting them.

That dlfflcully Is the continuance of the fishery, and at whatever price you have to pay, you must get the people fishing a nd change your Ideas that we can live here wthout the tlshery and by passing the Humber deal. YOIl WOuld not chl~nge the condltlons or Inclinations of our people by the passage of twenty Ihimbers as their lives and homes have been wrapped up In the fisheries and rou cannot al­ ler them. Go visit the people to­ dIllY where they stand along the coast lookIng blankly across the waters which contain the abunda nce Of flsil that they are not In position to catch.

Our people are distributed 110- round the coast, not because of the Humber. but because like their fath­ ers they desire to draw trom the wat rrs its teeming natural wealth. There fore. gentlemen ot the Government we alncerely hope yOU will at once embark On the matter of encouraging nnd carrying 01\ the fisheries, Many amon.e:st you must of neceselty real­ l?'e the need for urgent action and beClluse ot the position whleh the ,e:o\'ernment occupies as to the af­ falr~ of the fisher'men we hope ann trust that the most Jlberal treatment towards them wl\1 he passed by you

HOUSE OF ASSEMBLY PROCEEDINGS alld in this direction we on thl" side the gra\'est Inillortunee, a.nd In vlo­ Of the House will hell) In every way. latlon of the rights of this House I thluk I call say with every coo- will cease. E\'erything they have tldellte tha.t It the Government pro- done, In connection with the ralJwa)" poses to assist the people by gra.nting In particular, has been a joke and a a bounty on fish, the reduction or taX sham.

The hon. member who second aUoo and the giving ot encourage- ed the molion fOr the Address In He­ ment by outlining some general and ply. stated that the Humber contract short scheme resulting In the lower- was as vast at that for the raHway Ing of expenditure I can safely antic- some years ago. On paller It Is true Ipate that this side wI\] give It ready It looks twenty times greater and (1-> a.nd hearty endorsatlon. And In re- ~l actual tact If we conelder the a­ sped to this Ilroposal we should get mount ot money involved, he Is nOl busy at once.

Wh!le the res pons- far out, tor as far as railway opera­ Ibility rests primarily on the Govern- tlon is concerqed It has been a CDrI· ment, we on this side are not exempt tinllal payout, It cannot go on as it Irom assisting In measure to secure has the last few years---costlng l'Il.­ labor fO r those in the city and out- lions alloually - and we cannot run ports on the one hand for the gener- it. What I wish to draw attenticu to, al conduct of the fisheries 00 the Mr. Speaker, Is that ihe country now other. I think Mr.

Speaker, that we learus fOr the flrllt time thll.t Il r~,v are all agreed on tbe common ground gentlEmen COIl\llrt;lng the executlv'l of the great difficulties In connection took upon themselves an arra',~,; with the fishery this season. As to mellt which only this House hnll " the anticlpa.ted rush to the gold right to do. It was bad enO\u;h flelds I think that as the close of when adjournment was taken On tht; of the Speech from the Throne sug- teulJlOrary arrangement as thllt was gest8, we need the aid o( Divine prov done by the House agreeing. TIn' ldence now. I would like .Mr.

Speak- Idea then waa that durillg the !lUIH­ er, to refer to one of the l~t Ilar- mer an arrangement would he mad" agraphs in tbe Speech f rom the that later would be agreed to lIy th~ Throne, which reads, "It Is hoped to House. But suddenly we found by lay betore YOIl certain proposals for nn announcement in the pal)er~ thllt the operation of the railway and IU\ the agreement to operate had beel' PX aJlled services to replaCe the agree- tended frOm QctolJ.er to - !- end ment for temporar)' operation which now we dlscovel' that the road Is to (Xllires on the 30th of June instant." be run till the 30th of June.

J do What agreement Is to expire on the not know who was made the goat but 30th of June? I would like to avail we will have to know becanse if thp of this OPllortunity and the presence rumor Is correct there has to 00 un­ of many new members In the House other contract.

Preflxed with the ('el to express the sincere hOlle that the e!)rat"d name of Humber, the Govern former trea,lment of this railway mat ment Is no longe r a people's or flsh­ ter wlJl not he repellted. 1 trust ermen's administration. but with :I that the government eomlng back to representation which gave the Idea (\( I)Ower aa It has with II mandate fntm del/artlng from old lines of ('ondlll't a people who were deluded h~' and before you gentlemen who are dreams of wonderful emp loyment. now tn the House for the flrs~ time alld those aSSOCiated with the govern have the chance to get 11Imgry 11k" ment, particularly the memhers of til" lalJOrers here, It should let u~ the cabinet will see that the celebrat- have the disclosure In thllt HOUSe In­ ed l)rllCtice of handling matters of steu!] of pickIng UI/ a paper and !,:Pt-

HOUSE OF ASSEMBLY PROCEEDINGS 19 tlng the announcement there, No Squir'e-.! Issued a famous Manifesto, one knows who i~ running the rail- I ,'Hk him how many of the t\\enty­ road, For a public railway that Is h\o (Jromises made in that do':lint,!t.\ trul), a delightful position, The gov- ,",-']'(1 carried out. I did not int~n'l to €rnmenl said they would make It PRY mal.., a speech this evening. but n» th., and under a commission of which Sir in, i'l\:ation ,has been made bl' (1.0.; W. F. Cooker was chairman, took It I'rem!or tha.t tho Opposition. unrl :llY­ over.

We have been paying out mou- 8eli in particular, are respolIsjbl~ Tor er ever since and to-day at the end of (il'l,g the election petition ['gaiJl~t It a,ll a temporary arrsng&ment Is jI,',·;·srs. Cave and Cramm. ! ·lc('llJ tt made to rnn it till the end of June, !l'V I.utr to repudiate that charge, r trust we will have an early state- ,\'hlch is on a line with whal h olJ b. ~l! lUent as to everything connected witll ;\I'i,('arln!,; in 1he ]1ersonai or!.;:\!' of the railroad and the rumor ¥ to the Si,' Rldwrd Squires tor 'Sever[l\ days Armstrong Whitworth Company tak- ~'~~l.

Let lUI' inf01'D! him that n~ithrr ing It over. Now, Mr. Speaker, I lIl.aU nor my cf)lleagues ha,··~ hull ha\',} spoken longer than I expected to, and I U$sure the Government that as tar lI.'J I can speak without consultation with my colleagues, we only want to get down to work. But we want an early and full detail of the Humber proposition so that we may be able to give a sensible opin­ Ion On it and on the railway and on the matter of the fisheries.

I do not think of suggesting anything but wha,t may be the means of assisting YOU and do not think that ally on this Bide will attempt to unnecessarily block you In your efforts. All sides have now a common duty to those who are outside this cha.znher look­ Ing to us and who thrOugh no fajlllt of their Own are unable to help them selves and get back to what after all Is alld mllst continue to be the main factOr In our indUstrial life-the fish­ eries. I thank you, Mr. S]1eaker, for Your courte~y in ht'arlng me and lat­ t'r I will deal with certain questions which I wllJ nol tOllch now, as ther present themselves.

S'ln. M. p. CASIiI:-<:_~tr, Speaker, ~:rrPtrhei:~:r mi:;.I~:t::ld ~;Il;~ ar;~~l~: ~Il: .. rged upon in the Speech ~roI;L the 1brone. Which is only a formality aud I~ kt~nded to merely outll!'.,) In a g"lUral way the policy of the Go'rer'l' I!l r nl. It wll1 be remembel'('d : hal "'!'H and a half Years ago Sir :tlclwnl BW'thing to do with the Bav d" \'er,;e Did he read Sir JotJ.n l:llI, letter on the subject·! Ii I!u he should know that the "ppotitioll were not concerne<! with tbl'HP ]1etl­ ticnn.

His remarks, therefor." lf~ !IJ­ c.)rrect for as well as the low·,low!! in~I!'Ualion In his organ, Uw [),d:y j)..Iaii. which for hase :::.;mleHL.)tiLle rr,dives, easily understood, kept hW']1- lug on the case as that of Calhl.ilc CaslJln \'s. Protesta.llt Cave. Til", 001'­ erllment IIwy thank M. P, Car.hin [0" their election aB long as th~y suc­ ceed in gulling the public with my name.

My name ha· s done serylce enough in thls way in the dark out­ side, but ag long as I have II soot III this House I give them warnlils ~hut the}' wnl not continue the saLL(' old gallic while I have II tongue to expuse their dirty tactics. r have on IIlr desk a COllY of a. newspaper owned and controlled by Premier Squires con­ taining this lOW-down dirty attack on me. which aims at putllng the re­ !\ponslbility of the Election petition on me. (Sir Michael then quote<! the

artiCle entJUed "Kicking against the Pricks.") In this

article the sting, like all venemous reptiles, was in the tail. a!! follows. ('lIsh.11I ,-~. {'IIH'. "Tile country will await with interest th~ result of the proceedings, and wll! note with still greater Interest what steps the PrIme Minister wlll take to

20 HOUSE Of ASSEMBLY PROCEEDINGS make a defence or aud show bis kc('u tommyrot as evidenced in this speech. Interest In the Ilolllical fortunes Of a H the people are satisfied to go 011 . gentleman who Is his Intlma.te friend being fooled by YOII, well all I can and one of his most esteemed col- say Is 'let them be fooled.' You gave loogucs," This," he conUnued, "Is a them orders tor $10 to $12 worth of low-doWI~. cowaNlly statement.

I feed betw€cn l'\omlnaUon and Polling think Sir J ohn gOt value enough out Day and you shut down after they had of me by the vile usage of my name In vo:ed Rnd gave them nothing slnl'e. the election by showing me np aa t he l'ow I warn you that I Intend to be rca I leader of the party and a Roman plain in dealing with you and w!ll cali Catholic. As to the f{)rmer it was a a spade lL spade. I ask yuur pardon, uase falsehood and you know It, anft Mr. Speaker. for speaking 60 warmly as to the latter I say yes, Sir, I alll a aud using strong language, but thIS Homan Catholic and I am proud of it.

Is a case where strong words are jU8- When I look across the House and aell tltied. I ask now, sir, that the E"xecu­ that you havt! not placed one man of tive Council be remodeled and that the your party of thlLt de nomination in Seats in the Council be given to the the Executive Council although you 11'.'0 Roman Catholic members who have two thue to draw on, J feel sorry llave s~ats in this 1I0use. In the whole that such a condition or {ll1alrs should history of Responsible Government we come to 86.000 people for the fi r st Ile\""€r had such a spectacle as now lime since we had H€I!ponslble Gov- exists.

Neither d.ld we have the whole ernment. You have two there, <>lr. sale bribery that was cllrrled on !n Why did you n ot appoint tbelll to your tile recent election. My colleagues E xecutiV"Q? You are not sincere, sir. went close on the heels of the Prelll- 1 am sick and Ured uf your hy poeritl- ier and his men In our canvass .,( cal professions. Yuu are sir. the tile houses in the West End, and we worst sectarian firebug that we eyer know ali l!.bout their bribery In glv ­ had In tlUs cou~ltry. You can do noth- Ings out of coal. food and money. ing straight.

You are crooked now In There was nolhlng like It in ,Vhlte­ all your political conduct. You were way and Ronds time. In those days It crooked frOIll the start. Your Speech was confined to road grants. The from the Throlle Is crooked. You politicians then were archangels com­ have broughL this on yourself. I did pan<! to the Government candidates not intend to speak. but whell you re- last election. You, Mr.

Prime :'.Ilnls­ peat the dirty InsinlHl.tion about the ter, are a great actor, there Is noth­ Bay doe Verde election petition on th," lug like you and you are in a class to same 1111€ti as appear In your dlrtv yom·self No American theatrica l paper. patience ceases to be a vi r tue. company ever brought your equals I had nothing to do with the Cav" hHe. So you want to now couple me lletition. S!r John Crosbie's letter with Sir .John ('rosble in t'h!s petlUon . would convince you of that, but YOll WeH, sir, !f J did set ot to fie a peU ­ did not want to be convinced.

You 110[1 against you you would walk the prefer to go On toollng the people. YOll plank in quick lime. There waa never fooled them at the last election, and snch scandalous waste of money in tbey are now experiencing the fruits i"errylalld. myoid district, wher:? of theh· folly in voUng for your Oov- $25.000 was thrown around by :\Ir . erument. To-day hundreds of people AmhroSe Hearn to buy up the c1ec­ are walking the streets starving. J toTS. Tn ti'e f'lC"6 of Ihls you have th!' myself had fifty such allplicanls this il1'pudcnce to pretend to be Indignant afternoon.

In the face of this yoo about the Cave petition. Now, I hope. come to t h.!s House to continue your sir, that these few remarks wll1 .10

HOUSE OF ASSEMBLY PROCEEDINGS 21 you good for the rest of th-e session fO!· over a quarter of a century, In I hope that you will do something at the recent election Ire left his own once to help the fishermen to get to native district to contest S1. John'~ the fishery and not have them tramp- West, where he outdistanced myself ing the streets with no prospects of and to do that I may say that he had to work. The chier of the to put up a fierce fight as he conill there, who professes so EOt have succeeded without it. The llluch love for t.hem, Sir \'1. F.

Coak- mOVer and seconder of the motion el', has now a chance to make his for the of a select com- pl'ofessions good. Let me tell him the fishermen are now crowding the have alreadiy been congratulated but streets and the sChoOll'ers are idle I think we may go further than the and tied up to the wharves. Now wllat mere formal congratulation. The are you going to do about it in the speeches of these honourable mem­ way of helping them to carryon the bel'S, Mr. Cramm and Capt. Randell F'ishery? are well worthy even of men of far HON. THE PRIME: 1I11NISTER:- grcate . r experience in this House, Mr.

Speaker, permit Ille in opening my l'emal'ks to extend to you my most sincere and hearty congratulations on itor, put up a noteworthy fight and the !listinguishe!l honour which YOIl achieved a notable victory against have attailte!l. I realize to the full stupendous odids, I feel that in this the importance of the Wgh position House and as a representative of the unanimously acco!'ded you.

Th.e trad- District of Bay de Verde, Ire will main­ ilions of the Chafr are associated ' with taiu the high reputation he has al- the highest ideals and aspirations of won as a man of character and the Empire and around the Chair and forwardness of purpose and the sanity and wIsdom of the decisions tlt.1.t will become a foremost figure of those who have beeu hOlloured til in the legal professioll. In Capt. occupy it, the Empire itself has ex- nandlell, we have one who has brought istEil, We feel that in the Chair there unusual strength to the party.

He is one to whom we can all refet' in bears a na:llle that is well know and dealing with constitutional meas- honoured in Trinity Bay, particularly ures. with trust and confidence to on the North Side as 1 well kilOW from bl'ing ol'd'el' ont of chaos. I trust associations with that that in YOU MI'.

Speaker, we will find one who will uphold the highest tra- pl'oud to have associated with me and (jitions of the Empire and of the my party one whose name is so well House of Assembly and maintain the known alld who no doubt will prove prestige and high reputation of your as able a representative 'of the people faLher who for years was such an as he has a Master Mal'iner. In the outstanding in this Cham\)er person of His Exce.llency the Governor and in t:he life of the coun- we have one Who comes to us from try. lands afar.

His career has been all I wish to congratulate 1'111', Higgins eminently successful one and one of on the honour con.ferred on him by which he may well feel proud. His his selection as Leader of the Op- work has not been associated with POSition. In the retirement of Sir \\1, diplomacy alone for as a young man P, CaShin \\"B see the with.drawal of he saw much of the strenuous labors one whose 30 years experience and of the pioneer Empire builder and by strengLh of character have meant a his and graciousness achieVed Power in the debat.es in this House a,ttribntea in due time

2Z HOUSE OF ASSEMBLY PROCEEDINGS iJringing him to ilie honored position address which we have heard this af­ of Representative ot His Majesty the ternoon is just a mere Indication or KLIlg, which he holds to-day, the llrogram of business that 18 t o We welcome him right royally to come before the House at this ses­ Ollr Island and heartily congratulate sian. It outlines the Government's him on his ullpointment; and from Jlolicy regarding the H U III b e r his aSSOCiations, both official and olh Deveiopu:ent and the Hallway.

Our­ erwise, we feel sure that he will en- ing the afternoon It will be my privil ­ dea r himself to all of liS. L¥Y AI- ego to table for the information ot lardyce h~ also come to us from a- the LOUJC the Treasury Agr""lwJut be­ far, and In like manner do we extend tween the Treasury Board, the Si r to her our hearty welcome. The Gov- \\.0'. G. Armstrong Whitworth Companl ernor's lady brings with her a name Ltd., and Ihe .\"rld. Government. I and a reputation for exceptional cap- shall table one of the original prints ability, and although but four months as filllshe:l by Messrs.

Nichlater an d in our midst she has already render- Puln"C, ot London. Printers. The ed high service in connection with copies are printed lucally. but I have the formation of the Girl Guides, and not compared them with the origina l, the organization of Community and as the printers were to do thaL How _ ollt-port nursing.

We welcome her, ever, I am tabling the original so thr:t and congratulate her on her past a- If necessary it can be referred to at chievements; and rocommend to her any time. energy and interest the wide field The Honourable Leader of the Op­ throughout our Island that can be position In the course of his addre.;;s beneftted at her handS. mad'e two statements. which I slncer .. - The Speeeh from the ThrOlle for Iy hope are true. One of these wa~ many years back in ollr parliament- to tl)<; l'lfoc.t that the eh'ction-.; fire ary "istory has been a very formal (lver.

However true this may be, It ill document, a Speech which crlUcally s till a fact that but. a few days ago a cuntains nothing, a document outlln- recount or the ballots cast in th~ ing in a very short and brier man- /lurgeo election was conc l urloo In the ner policy and legiSlatl"e program Supreme Court. This event seriously of the Government. Last year the in'Lel"fered with the work of the Col­ Speech which was banded down by onial Secretary's Department, and our la.te Governor.

Sir Alexander consequently I lost three days at a Harris was greeted by a vcry able abnorma.lly busy time. which should and memorable speech by Sir Mlch- have been devoted to Public business . Itel Cashin. the then leader of the Oll- Further J have at pres(nt on my desk poslt!ou. In the course ot hIs re- a copy or an elec'tion J)('titlon issu-ed ma,rks he termed the address as the br Mr. A. B. Morine, K.C., again~t most empty document he had ever .\Iessrs. Cave and Cramm, at the in ­ heard.

Of coursr It Is to be admlt- stigation of a Illan oalled Garland, led that It is the duty of the members This will certainly necessitate great Of His Majesty's loyal OppositiOn to time and Inconvenience to all COIl­ always criticize and make out that cern€'(l. and is certainly not an In-­ there Is nothing In each succeeding d:ct;~liun of the correctness 0: IlLY Speech from the Throne that Is pre- Hon. friend on the other side.

I, how­ senif)(l: and T tbink that If I were In ever. take this opportunity to imi­ OppositiOn myself I would also he mate lu them that It is our Intentlon terming this very same docwnent the to hit twice for e.very once we ar~ most empty tbat was ever handed to hit. Th.ered:or;:!, although my hOI1- this august chamber.' However the ourable }lnd learne-<i friend. lllaJno-~

HOUSE OF ASSEfllllLY PROCEEDINGS this IItalement In his courteous, friend ly legal manner tt Is not a fact, as It will work out. ;';ow, Mr. Spl'aker. I will not take up further time in dlsct:8slng at th~ prl'~ellt moment the othe r remarks o~ my friend. This is more of a formal r.:lhu' than a busln<!ss OCfl1:lI'~ll 1 thcre fore will not deta .ln you longer sir, or my friends on the dlher side or our \ Isitors, and shall only lay on the tahle of the Honse the document I have referred to. It was orderlA accordingly and that the following gentleme n be the COIll­ mittee to draCt the Add r ess in Reply: :'Ilr, Cramm.

Mr. Handell. Hon. M,', roote, Mr. Sullivan. Mr. Hunt. Hon. the Prime Minister gave notice tha' he would on Wednesda}' next mon" Ihe House Into Committee {It the Whole to consider certain re8O­ lulions with respect to the ludustrlnl de\'elopn:cnt of Xewfoundland. lion. the Prime Minister gave notice that on WednCl!day he would move the House Into Commf"tee of the Whole to consider the matter of Rall way operations.

Hon. the Prime )lln[ste r tahlej cer­ tain dOCulllpnts Including Agreemem be ween thp Newfoundland Power anI Paper Company, Limited, a nd the Armstrong, Whitworth Company. am! the Commissioners of Ilis MajestY'lI Treasury: and Tnst Deed between Xewfoundland Power and Paper Com­ Pany, Limited and Whithall Tru"l COmpany, Limited. :\Ir, Fox gaye notice of question, Sir M. P. Cashin gave notice ot questfon .\Ir :'Itoore gave noUce of Question It was moved and secon;:ed that \\'h('n the House rises it adjOUrn until \\'~dn(,sday next 13th inst., at three of the clock.

The House then adJourned accorJ­ Ingly. 'I'll IS .\(l ltn: .u~;l'i"r made the 'rhir't"Y-first day of October 1922 BE­ TWF.EX :\"EWFOUXDLAND PRO - DUCTS CORPORATIOK L IMITED a Company registered In the Island of Xewfoundlaud (hereafter referrerl to all "the Company") of the first pan SIR W. G.

ARMSTROXG Will I II­ WORTH A:-"'D COMPAX¥ L1MITri:D whose registered office is situated at Elswick WorkS Newcastle-upon-TYI'e in the CoUll,y of ;';orthumhf'r'an(\ (hereinatttlr referred to as !ltrings") of the second J,a1t and T'~S ,'O:tIMISSJONKRS OF HIS .\1.\ .1 '~STY'S TltEASUR~' (Iwrelnafttr r,­ ~.'rred to ,~ "the Tr·'.,,;u ... whle'} .x I.n'ssion shill! JIIL10U' :', ~.~mmlQli'Hl ers from ';m!' to t!m'.J il' office) of thl' third part.

WHEnEA5 I y the 1 rade i"aclllties Act 1921 the Treasury after consultation with an Advisory Comtnlt lee the r ein referred to and on being satisfied th,ll Ule proceeds of any \Oall proposed to be ra'sed whether within or without the United Kingdoll' hy any Government or Public Authorit] or any Corporation or Other hod.y of persons are to be apJ[ed tOIl-ards oJr in connection with the carrying out of any capital undertaking or In co n ­ nection wIth the purchase ot articles other than muniUons of war manu­ factured or produced in the United Kingdom required for the purposes of ~ny such undertaking ,and that the a ppli cation of the loan in the manner proposed Is calculated to promot.e em­ ploym£nt In the United Kingdom sub­ Ject to the provisions of the said Act Is authorised to gua.rantee in such manner and form a.nd on such terms and conMLions as the Treasury llIay think proper and payment of the in­ terest and principal of tile loan or ol either interest or principal.

AXD

WHEREAS the word "dollars" when­ ever used In this Agreement (except where otherwise ~ated) means U.S,A. or Xewfoundland or Canadian dollar~, A:-iD

WHEREAS the Share Capital of the C<Jmpany [s $21.000,000 (Xewfoulld laud) dlvir\od into 210.000 Ordinary Shares of 100 doBars each all of which have been IsslilCd and are tu!ly pain

24 HOUSE OF ASSEMBLY PROCEEDINGS up or credited as fully paid up. An'l Treasury shal! be entltled to nominate

WHEREAS the Company has repre- representat!\'es both [n Jo-;ngland and samed to the Treasury that It hlia not In Xewfoundland consIsting of Bucb Issu£tl any debentures debenture stock engineers architects quantlty survey_ or other securities nor created ally Ort! surveyors accountants auditors O f mortgages or charges which will be other professional persona or eXllcrtB subsisting at the dale of the 'Treasury as uhe Treasury may think fit (herein. guaralltoo hereinafter mentioned. after respectively called "the Treas­ AND

WHEREAS the Company propos- ury englnoors" "the Treasury arehl­ es 1(l carry OUu the works shortly t-eets" and so on throughout) and to specified In the COIlJ>truction Contract them such powers and duties as the hereinalter mentioned and hereinafter Treasury may from time to lime de­ called "the said works" ANi) termine and their fees and expenS~8

WHEREAS ror the purpose of carry- shall be paid by the Company and Iq Ing out the sa:d works the Company cas", of <ljlspute concerning the amount propOlle.s Ito raise twO loans of which of any such. fees or exxpenses thl) one (lterelnafter called "the Engllsh decision of the Treasury shall be fInal. loan") will he of nominal amount The said works shall be commenced £2,000,000 and tlte other .(hereinafter on or before tlte grant!ng of the said called "the Newfoundland loan") will two guarantees and shall be pN>Jlecut­ be of the nominal amount of £12,000,- ed with all due diligence and in all 000 or $9,(}OO,000.

AND WHI!:REAS respects to t.he reasonable satisfaction the Company has applled to the Treas- of the Treasur)' engineers and the ury to guarantee ·the payment of the ('omj)any wUl afford to them or thJlr I)rlnclpal an(l Interest of the English aJ:tltol'lsed l""Cpresentatlves sufflclent loan pl.\I"suant to tlte provisions of the safe and proper facilities for examlu­ said Trade ~"'acn:tles Act 1921. AND ing the s3l:d works and the machInery

WHEREAS the said application has ma~erials and plant therefor and Arm­ been considered and approved by the strongs will give such facilities .!s Advisory Commftltee Dominated bv lhe Treaaury delegates may reasouab the Treasury pursuant to the provls- Iy require for the examination of nil Ions of the said Act. AND

WHEREAS maehlnery plant materials and things the Company has applied to the Go\"- manufactured or In course of manu­ ernment or Xew!oundlnnd to gunran. facture by Armstrongs or its sub­ tee the payment of 1:he principal and contrac;.ors eitlter at their own work­ interest of the Kewfoundland loan shops ir elsewhere. The 'rreasurr and the said appllca.t:on Is DOW under €nglneers TreeJ:Jury accountants and consideration by the Government " f Trellsury a!J.d,;tors shall have acces~ NeWrOlUldland.

AND WHEHEAS on at all times to all books document~ the granting of the said "two guaran- records VOUChers and pal)erS or every tees the Company Intends to enter Into description reJa.l!ng to the said works a contl"Rct with Armstrongs (herein- and Armstrongs wlli give aCCess to after called "tlte Construction Cou- all theIr books document.s records tract") In the form set forth In the vouchers and papers rela.tlng to the ~~irllt Scltedule hereto for the con- said works lind the Treaaury engin· strucHon of the said works. eers shall have the right to call ror -'IIW It Is A!C"r..-ed liS .'o llow .. :- such drawings and specifIcations as 1.

F'or die ptlrPOile of supervising they may COllsider necessary, the performance or the Construction 2. So long as the Treasury r"mains Contract alld the performance by the lind", .. any \la~llty In respect or the Company of all or any of Its obUg- guarantee hereinafter referred to 'r ations under this Agreement tile allY money l"emalns owing to tile

HOUSE OF ASSEMBLY PROCEEDINGS 25 Company tho Compa.ny will at all outstanding apply in redeeming tlme.i k('cp such of Its property 0[' purchasing any of the "R" Deben­ ll~sets as are of an Insu['able nature tures hereinafter mentioned any of \!rop('rly Insured against loss or the assets or fnnds of the Company l,Smage b}' rire with rlrst cla.ss Insur- etller than the Sinking Fund to be anecs Offices or with !.loyd's in provided for redemption of the "B'" buch ",Ulns or amoun:s as may from Debentures as herelnart(lr mentlone1 time to tinw ito approved by th(l Trea~- 01' the Special Debenture Reserve UI'Y.

Fund h(lrelnaUer mentioned. 3. As sccul'ty Qf the English loan 4.

As ijecurity for the Newfound_ the Copany will create and Issu,e a land Loan the COmpany will create series of Fir~t Mortgage Debentures and Issue a series of Mortgage De. or Dcl;.oenture Stock (her~lnalter called bentures or Debenture StOck (herein • .. 'A' Debent,ures") to the face value after called" 'B' Debentures") to the of £2,000.000 seeurel\ by a Trust Deed fuce value of £2,000,000 or $9,000,000 rontalnlng a specific First Mortgage ij('cured by a Trust Deed containing upon the lands rights concessions and a specific mortgage aud a floating flxeJ assets of t'Je Company and a ('harge on the same properties as are ~'Jrst l"loatlng Charge on all the compriSed in or affected by and rank­ othe)' assets of the Company wilh a ing immediately behind the 1<~lrst conv('nant by the Com pan) ' not ("x_ 8pecltlc Mortgage and First !<'loatlng­ rept for the p~rpo~e of completing Charge respecUvely referred to Clause allY lIew purchase of freehold or leaSf>- 3 of this Agreement.

All negotiation!! hold property In which case it may for the Issue sale or placing of th", loove or rise any portion of the I)U~- said "B" Debentures shall be con· chase money on or by a mortgage of ducted and the price s and terms of the property IJUrciIased in I)rlorlty to issue thereot shall be settled In con· t"" sa.ld mortgage a.nd charge) to sultatlon with and subjed to the creste any mortgage or charge rank- written approval or the Government Jng consent of the Trea.sury.

All of Xewfoundland and the Treasur)" negotiations for the Issue sale or plac and no steps Shall be taken with a Ing of the "A" Debentures shall be view to such issue &ale or placing conducted and the prices and rerms with such previous approval. The cf isSue thereof shall be settler! In said "8" Debentures and Trust Deea ('onsultation with and subject to 111' and any local mortgages supple­ Written approval of the Treasury anti.

Hl(lntal ther(lto ahall be in such no steps sh:all be taken W:::th a yif'W form and shall contain such provls_ 10 Buch sale or placing whlthout suCl1 Ions as may be required by the Gov­ previous Treasury approval.

Tho sa1,1 ('rnmen! of Newfoundland and sOOll J)('Dentures and TrUBt Deed and any bl' subject In all things to the 3p­ lOcal mortgages SUpplemental thereto ])royal of the Government ot New­ shall be In such form and shall con- found land, and the Government or taln such proviSions as may be reo Kewiountlland IIhal\ be filntltlo:d to QUJred by the Treasury and sllall be nominate the Trustees of the sah.! ~ubJect in all !hlnga to the approval Tru~t Deed. (.f the Treasury, and the Treasury 5.

TlIe "A" Debentures securing the shall be entitled to nominate the English loan shall be redeemable Ilt trustees of the said Trust Deed shall par 25 years from the date of the COntain a covenant by the Company public Issue thereot and proviSion that It will not without the written shall be made for such redemption by apprOval Of the Treasurv SO long all means ot a Sinking Jo'und. The Com_ auy of the "A" Debentures remnln IHllly may 011 the lst day of January

26 HOUSE OF ASSEMBLY PROCEEDINGS 1&34 or any interest date therearter mentJ shall be correspondingly iD_ o n giving not less than three ca lenoor creased or reduced. months' notice to the holders redeell,t 6. The "B" Debentu res secur inl: thE' whole or any part or parts of the the Newfoundland loan shall be r e "A" Debentures at par.

T he Com- detlmable lit par 20 years from the pally shall on or before the explr- date of the public issue of the " A" atlon of ten years after the date ot Debentures and provision shall be jl<sue pay to the Trustees of the Trust made for such redemption by mea ns Dped securing the "A" Debenture!!! of a Sinking Fund.

The Compa ny thf' sum of £ 60.486 and on or hefor" may upon the 1st day of Jan uary th{' similar date In every year of the 1928 or upon any Interest date the re ­ sul)gequent nine years the sum or after on giving not less than th ree .t:60,486 and on or berore the slmliat' calendar months' notice to the hold­ date In every subsequent yea r u ntil ers redeem the whole or any part or the English loan has been r edeemed parts thereof at par.

The Compa ny the sum of £ 1 86,228 together in re- shall on or before the expiration 01 spect of every suc h payment except five years after '.he date of Issue 01 the first with a further sum equal to the "A" Debentures pay to the Trus the Interest (without deduction of in_ tees of the Trust Deed securing the come tax In Great Britain or New.

"13" Debentures the sum of £89,2 51 foundland) for the last preceding or $401,630 as the oose may be. ani yoar on the amount of "A" Deben. on or before the Similar date In eve r, tures for the time being redeemed s ubsequent year unti l the Newfou nd­ under this provision and which Inter. land loan has been redeemed the s um est would have been payable hut for of £ 89.251 or $401,630 as the cas e their redemption.

Such Sinking )<'und may be together with a further s um shall be ap plled by the T rustees III equal to the interest (without deduc ­ "ach year Ill, purc hasing "AU Dehell. tion of any Income lax payable In re­ tures provided that the pr ice paid In. spect thereof) tor the last preccdi ns cludlng stamps brOker's commission year on the amount of "B" Debe n­ and other expenses of pu rchase shall tures for the time being redeem ed not exceed £100 for £100 nominal of under this provision and which would stock.

If and so (.ar liS any money have been payable but for their re ­ "tanding to the credit of the Sinking de-mption.

Such SInking Fund sha ll FUlld shall not before the exp!ratlon be applied by the Trustees In eac h of three weeks after the above date year In purchasing "B" Debenture " ill any year have been app\ld In pur . as aforesaid the same shall as far as chasing "A" Debentures as dare· possible be applied to the redem p­ sold th(: same shat 8.8 far as possible tion of "B" Debentures within 14 be app lied within 14 days thereafter days thereafter at par by drawings. to the redemption of "A" Debentures All "B" Debentures pu rchased or re­ at p~r by drawings, All "A" Deben· deemed out or the Sinking Fund sha H tures purchased or redeemed out of be cancelled, The "B" Debentures the Sinking Fund shall be cance ll ed. shall bear Intesl'st at a rate not ex­ The "A" Debentures shall bear Inter- ceedlng 5% per cent. basis.

It the l'st at a rate not exceeding 5'A per "13" Debentures shall be Issued at II cent. per annum. The Sinking Fund r.ate of Interest other than 5% per payments In this clause are calculated cent. per annum the said Sinki ng on a 5 per cent. baals. If the "A" Fuad payments shall be correspon d­ Debentu!'es shall be Issued at a rate ingly increased or reduced. of Interest other than 5 per cent. per 7. The Company will after the com­ unnum the said Sinking Fund pay- pletlon of the said works and so lon g

HOUSI'!

OF ASSEMBLY PROCEI::D1NGS al; the Trea sury remains under any liability In connection with Its said guarantee or any moneYII due to the Treasury remain unpaid keep up Ib, liquid allsets Including stock In trade (taken at cost) and Its good bOOk debts after deducting current trade liabllllles and Itll cash in hand and Ilt Bankers to a value of not less than $500,000 and the Ccmpany shall in every month of January and July a f­ ter the completion of the said work~ furnish to the Treasury Director a report certified by the Company's au­ ditors showing the amount and va lue of the Company's liquid assets in_ .-jll<1lng stock in trade (taken at cost) good book debts after deducting cur­ Tent trade Iiabillts and callh In hand and at bunkeu as In the last day ot the preceding month and once in e~­ 'ry twelve calendar monl hs after th!) ('ompletion of the said Works such report sh.111 be founded upon

an act­ ual stocktaking. 8. THE TreaJHtl'y wllI subject as be- 10"· provided guarantee the due pa),­ ment b)' the Company of the prIncipal and intereSt of the "A" Debentures. Sneh gWrantee will be given by a TreasuT)' ~lInute substantially In the form set out in the Second

Schedule hereto or In suoh other form if an)' as rna)' De agreed to hy the Tr easu.ry. TI'e Agreement by the Treasury 1.0 give the sa,j(l gUarantee Is subject to the completion of all acts and tillngs rcqulr('{i by the Treasury to be done by the Company being or procured to be done to t he satisfaction of the Treasury on or before such date as is 111 the opinion of the Treasury ne­ CeSsary to enable the said guaralltee to be given before the 9th day uf :\"ovember 1922.

The Agreement by the Tre8.l!ury tQ give the said guaran­ lee Qnd the said guarantee when given may be withdrawn If the aforesaid security for the Uewfoundland I{)an Is not duly constituted by the Com. pany and the said "B·' Debentures vulldl)' gUaranteed 8.l! to hoth prln- clpal and Interest thereof by the Gov­ ernment on or before the 31st day of March 1923 and the Construction Con­ t!·a.ct exeeutei by all the panles there to on or before the 14th da)' of April 1923. 9. In cons.lderation of the pI(>!lllseB the Com l>any hereby covenants w:th the Treasury as follows;- (

A) That as soon as the said tWO guarantees have been val­ idly given the Company wHI enter into and carry into effect the Construc­ tion Contract and will not permit a.ny de parture from the terms of the said Contraet without the con­ sent In wr;Ung of the Treasury Director.

(13) That the Company will duly obsen'e and ferform all the terms of the "A" De­ bentures and of the "8" DOOentures and of the re­ spectl\'e Trust Deeds to secure the same and that it wlil not commit or suffer to be committed any hreach thereof or wllhout the ~'ritten approval of the Treasury assent to any modification thereof in par­ ticular that the Company will duly and punctuall)' l)ay all principal moneys interest Sinking F\iUd pa j"­ able In respect of the Enl;­ Iil!h loan to be guar~l.Ilteed by the Treasury as afore­ said and in respect of the Xewfoundland loan and ef­ fectually keep the Treasury !ndcmnlfled against all liability under or arising oll/t of Its said guarantee.

Ie) That the CompaJlY will carry out Lhe said works with the utmos t expedWon and in respect of thooe· part A thereof wlilch will be pro­ "Ided out of the English

HOUSE OF ASSEMBLY PROCEEDINGS loon In such manner as may he bl'.st calculated to pro­ mole employment in the UI~lted Kingdom, (1I) That all plant machinery and materials required In con­ nection with the said workS and provided out ot the proceeds ot the "A" De­ bentures shall unless other­ wise sandtloned by the Treasury ODgineers he pur­ chased in Great Britain uuder contract8 requiring the contractors to cettlty on tlrelr own behalf ot theil' sub-contractors that the plant machinery or mater­ ials to be suppl:ed und~r Sl:tCh contract wll! be wholly or British manurac­ lure and the Company shall enforce such stipulaLions and repurts to th.e Treasury any modUlcation of .. r failure to give any such certificatc.

Provided that this clause shall not apply to materials which are ne­ cessarily of toreign origin. (E)) That the · ... hole cash pro­ coeds of the said Issu1:! ot the "A" Dehentures shall be pa.ld into a separate banking account at the Company's lxInkers in En.;­ IRnd from which except WI~N the written approval or the Treasury withdraw­ als are only to be made (

a) for the purposes ot paying the expenses of the Com­ pany to an amount apvrm'­ cd by the 'freasllry of and in connection with this Agreement and the crealion and Issue and sale or plac­ ing of the "A" Debentures or (

b) againllt certificates of the Treasury engineers that tne moneys certi(ied for withdrawal are required fOl' making payments I respect oC the Constructlo Contract for the contrac vallt'El (Including frel manufactured or produce or ItO lie or 111 course Issue of the "A" Dehentur and that the proper expen dlture ot all sums with drawn from the said HC count s.haH tram time t time be verified at th Company's expense by li! Treasury Auditors whO shall furnish the Treasury with such certUicates and Information all the Treas \!I'y may dIrect.

Before lh said loan Is made the Com pallY will procure to bill glve-n to the 'I'reasury • ietter from the Bank with WhIch the saId separate lIC~ count Is to be kepl agreein to wa.lve all S"Ct off lien 0 )ther claim of .whatevc .. ature WhIch the Dank rna1 hal'e either now or herc~ arter agaInst 'the moneys from time to nlme standing to the credit of the said separate account In respect of any present or future liabIlities ot the CompaD~·

HOUSE OF ASSEMBLY PROCEEDINGS to the Bank, Provided that the C'ompany may place sueh cash proceeds or any part thereof and or any ot.her moneys paid t.o st.'Ch separate acounts on deposit or Umporar!!y invest the Whole or any part thereot In Treasury Bills or BritiSh Government secnrlUes ma­ turing not later than the 3111t day of December 19~9 until required for making any such payments as afore said and all Imerest earned shall be ererllted to the said separate account and any capital profit or lOllS aris­ Ing Ollt of'any lIuch Invest­ ment shal' be credited or debited thereto liS the case may be. (

F) That so long as the Treasury remains under any obliga_ tion in respect of the said guarantee. and so long ae any money remains due to the Treasury by the Com_ pany the Company will per­ mIt the Treasury to nomln­ Rte from time to time one of the Directors of the Com­ pany (hereinafter called "the Treasury D[rector").

The Treasury Directol' shal[ not be suhject to re­ tirement by rotation durlns the currency of the TreR.l!­ ury guarantee or while any money remains owing by the CCmpauy to the Trea~­ ury. nor Shall he require a share qualification, and he ah,.ll be paid by the Com­ pany such reasonable fees as the Treasury may from time to time require. If the Treaaury Director dies or becOlnea ror any reason Incapahle or acting tbe Treasury shall be entlUea to norr.lnate another D1- rector to replace him Treasury DIrector.

The Directors or the Company ehall not exceed a maXI­ mum of 14 persons, one of whom shall be the Treasury Director and another may be a DIrector nomlnaten from time to time by tb~ Government of N"ewt'OutHl­ land. (Gl That tbe Company will not make or permit to be made any public Issue of any securities guaranteed by tbe Treflsury without the written consent of the Trea­ sury. (

H) That the Company will not at ally time so 10llg P.S the Treasury remains under any liability [n connection with Itll said guarantee or any moneys due to th ...

Tre asury remain unpaia (except for the purpose or completing any new pur­ chase of freehold or lease­ hold property 111 Ctlile It may leave or raise any portion of the purchase money on or by II mortgage of the property purchased In pri­ ority to the securIties herc­ hKlfter mcn1ioned) creal .. or isaue or be party to 0" allow to be created or ill­ sued any mortgages deben­ ture stock or other chargea or securities of any kind ranking in priority to (or pari passu with the English loan or the "A" Debentures or other secur[tles to be given by the Company In respect thereof. (11 That the Company wlll gIve and so far as lies in It II power procure to be gIven to the Troasury and the Treasu r y director, and the Treasury engineers, Treae-

HOUSE OF ASSEMBLY PROCEEDINGS auditors, or other Treasury representatives mentioned In Cal use 1 ot this Agreement all such In· formation with regard te. and all such facilities for Inspecting the books, ac· counts, documents, reports, estimates and records or the Company or Its proper· ties, assets and business as they Or any of them may from time to time reason­ ably require. (

J) That the Company will forth­ with take steps to reorgan­ Ize so that the share capi­ tal of the Company shall consist of 100,000 6~ per cent. non-cumulative Pre­ ference Shares of $100 each 50.000 Ordinary Shares or $100 each and 60,000 De­ ferred Ordinary Shares of $100 each conferring the follo 'wlng respective rights vh;.:-

(1) Subject to the provisiolls of sub-clauses (

R) and (

L) or this Clause: - The profits avallable for distri­ bution as dividend In each yoor sball be applied as follows that is to say: ­ (

a) First to pay to the holders of the Non-cumula­ tlvo Preference Shares a preferential dividend at the rate of 6% per centum per annum upon the amount for the time being paid up or credited as paid up on shares respectively. (

h) Arter such payment of (j~! per cent. to the Non-cumu­ lative Preference Shares under (

a) the balanc~ (if any) of such profits so avaHable shall be applted and paid to the holdus of the Ordinary Shares until such holders receive a dlvl- dend at the rate of S per centum per aunum upon the amount for the time being paid up or credite d as paid up on such shares respectively. (

c) Arter the b"fore-men~ioned payments under (a) .and (

b) the hal_ ance (if any) of such prot­ its so available shall be applied and paid to the holders ot the Deterred Or­ dinary Shares until sucb holders shall receive up to a dividend at the rate at 8 per cpntum per annum up­ on the amount for the time being paid up or credited aa paid up on such shares re­ spectively. (

d) After all the above mentioned pay. ments under (a), (

b) and (

c) the surplus (It any) or such profits so available Shall be divided amana the holders of the Ordinary Shares .alld the Deterred Ordinary Shares In the same llIanner as if suc b shares were all of one class and according to the number thereat held by such holders respective ly and according to the amounts p.ald up or cred­ Ited as paid up thereon re­ spectively.

(2) III the e\·ent of a wind ina up of the Company any surplus assets shall be ap' plied first tn repayment of the capital paid up 0' credited as paid up on Non-cumulative Prefe r~ ence Shares, and the bal ­ ance shall belonlS to anti be divided among the holders ot the Ordinary Shares (excluding the De­ ferred Ordinary Share~ ) according to the am­ ounts paid up or credit-

HOUSI:. OF ASSEMBLY PROCEEDINGS 31 I'd as paid up on Bucll shares respectively. (3) (

a) On a show of lw.n(is every Member holding Ordinary Shares or share present In person shall have one vote and on n poll every such Membe\ present In person or by IJroxy shall have one vote for every such share held by him. (

b) The 6'-h per cent. Non. cumulative Prererf'nce Shares shall only confer on the holders the right to vote at a General :\leeUng or to have notice of such meeting upon some -:or one of the qUClI­ tions following (that Is to sayi: as to reduction or capital. as to wln(11ng up the Company. sanctionlr::g a sale of the undertaking, or as to alter­ ing the regulations of the Company so as to affect directly the rights of the Preference Shareholders.

At every meeting at whiCh he Is entitled to vote on a show of hands every :\lember holdIng Preference Shares or Share present In person shall have one vote and on a poll every auch Member present In per­ Son or by proxy shall have one vote for every share held by him in r6- respect of which he IS entitled to vote at that meeting. (

c) The Deterred Ordinary Shares Shall not confer on the ilolder or holders the right to attend or to Vote at any General Meet Ing or to receive any notice thereof or to Join in mal,ing a requisition for Extraordinary General Meetlng.

(4) The Company shaH torth­ wit'h procure the present holders tlll~reor to trans­ fer to the Treasury 01· rector either alone or in connection with a presen.tative of the New­ foundla nd Governmeut (herdnafter called "the Trustees" 135,000 shares of 100 dollars each In the capital of the Company of which on the reorganiz­ ation of the capital us aforesaid 75,000 shares shaH be Preference Shares alid the balalice shall be Deferred Ordin­ ary Shares.

The said shares sllal! be so tral1- sferred but the same shall In the hands of the Tru 'l­ tees be freed fro:)} It II Claims 01' rights of the present holders of such shares or any IJerSOIlS claiming through holders or such. shares or allY perSOIlS claiming throug'h or uutLer them. So long as the said shares art' held by the Tro,lstees the Trustees will at Ihe reo quest of the Company but as to (

C) and (

D) if and So far only they can legally do 110) according to the laws of Xewfoundland do all or any of the following things wIth respect to the said shares as the Com­ pany may <require name­ ly:- (

a) Waive all dlvld'Cnds an·l other moneys payable 'n respect of the said 9har~s or any of them and re­ frain from exercising the

HOUSE OF ASSEMBLY PROCEED INGS voUng rights attaching: thereto. (

b) Surrender the said 8har~8 lO the Company for call­ ceilation in such m,'I!!lI'r as wI\[ permanently re­ duce the capital of the Company. (

c) Surrender the said shares to the Company In such manner as to render the gald shares available :u the hands of the Company for future use for such cash or other consider­ ation as may be valid ac­ cording to the laws rtf Xewfoundland bet so that none of the said shares nor any other shares in the Company sha:l be Issued except for cash at paz' or at a premium without the written consent of the Treasury Director which consent shal! not be unreasonablv w:thh91<1. (

d) Concur In any ot1ler ar­ rangement with regard 10 or dealing with the salcl shares wUch may have been approved by the Treasury and the Govern­ ment of Ne.wfoundland SuLject as aforesalu Sf> long as the sal()' shares are held by tile Trustc(!s and during the currency of the said Treasury guarantee or so l(lng a" any mOlley remains due from the Company to the Treasury tt:e Trul· ees shall hol(1 the said shares Ullon the trust tor sueh parties as a.re helel upon trust for the Treasury as aforesaid the Treasury undertakes that the Trus­ te~s will not exercise any voting rights conferred btt ihe said shares and will not claim any divid­ end or other money pay­ able In respect thereof alld acknowledges lha,l the Company may dlstri!!­ ute all profits available for d~vldend In any )'I'a'­ amongst the remaining Shareholders of the Con~· pany in the same mann{'~ as If the said sharer; were unissulld. (

K) That until the Company hilS accumu.laled out of pr 'fits and Invested as bl'low mentioned a Special De· benture Reserve I ..... lInd lin addinon to any Slnkln,; Funds tor redeml)tiOn or the "A" or "B" Debenture:-J amounting to $1,500,000 nn divlelend shall be paid on allY part or the share ca)J­ ~t.lll of the Company (ex­ cept upon Preference Shares hereafter Issued re­ allotted or realised for cash In accordance .... ·ith sub­ paragraph (

c) of paragraph (4) or sub-clause (

J) of this ('Iause) and tha.t therearter no dlv'dend shall be paid on any shares other than the whole of the issued Pr(l­ ference Share capital of the Company unless and unlll the Special Debenture Re- serve Fund has been made up to the sum of $2,- 000.000. Such fund shall he Investl'd In securitll's approved by the Treasury (>f placed on d~I)Osit with a Rank apl)roved of by the 1'reasury such investment or deposit being made III the joint names or Ihe Trustees for the holders of tIle "A" Debentures and the Trustees for the holders or the "0" Debentures and

HOUSE OF ASSI:MBLY PROCEEDINGS 33 Company and shall from lime to time be appll­ eG by the Company so far as may be necessary In paying any part of the in­ lereSt or sinking fund pay­ ments In respect of the En,\:" Hsh loan or the .\"ewfound­ land loan accuring oflel' the expiration of two years after the public Issue of the "A" Debentures which the Company may be t(mpor­ arlly unable LO payout 'If other profits.

Provided that If the amount of the Special Reserve Fund for the time being Is Insuffk­ ient to make suoh pay­ ments In respect of both the E:ngllsh loan and tlie .\"ewfoundland loan such paymonts In respect of the English loan shall be made In full before any payment Is made In resl)eCt of the .\"ewfoundland loan. I L)) It at any time the Speda\ Debentures Reserve Fund falls below $1.500,000 no dividend shall be paid (ex­ cept as mentioned in sub­ clause (

K) of lhls Clause as to Preference SOOres h('reaJter Issued reallott{'(\ or realilJed for cash) until the said Fund has been restored to $1.500,()OO and If It falls below $2.000.000 110 d1vldend except upon the whole of ~he Preference Share Capital of the Com­ PlulY shall be l)ald until the said Fund has been re­ stored to $2,000,000, For the purpOlle of ascertaining the amount of the said Fund inVestments shall he valu{'(\ at the middle markf.'t PI'Ce for the time being 01) That no dividend ehal1' he declared upon auy of the share capital of thIJ Com­ pany other than !he said Preferenco Shares ourlng the currency of the said Treasury guarantee while any money remaillij due from the Company to the Treasury un less the 'l'reusury Director Shall ha~ given his vote In fav­ our of a resolutloll of lhft Hoard recommending th') declaraUon of the dividend XII That during the currency of the said Treasury guarun­ tee and so IOllg as any money remains due from the Company to the Tn'as·· ury the Company wl11 not without the consent In writing of the Treasury DI­ rector Issue any fresh sharcs In the capital of the Company otherwise than for cash at or above p:l.r but this provision as to prIce of issue slwl.ll not ap­ ply to the reallotment 01 realisation for cash of the said 135,000 shares. (

O) That the Company will forth· wHh do all acts and tak" a ll ne.-:essary steps by al­ tering Its Articles of Asso· clatlon or procuring tile passing of any necessary legislation by the Legl~.lat­ ure of Newfoundland 01" otherwise to enab le all the obligations of the Com_ pany under thlll Agr~ement to be validly and effectlvcly performed in accordance with the laws of Xew. found land. 10, In consideration of the prem­ ises Armstrongs hereby covenant with the Troosury and the Company all fol lows:- (

A) That If the proceeds of the "A" Debentures and "n" Debentures shan not after

HOUSE OF ASSEMBLY PROCEEDINGS meeting all payments re, qulrlng to be made thereout under or in connection with the provisions hereof and In connection with the completion by Armstrong~ of tbe said works leave sur· !Iclent liquId assets tor working capital and the general purposes ot the Company oat the time when works nre ready [or com­ mercial operation or If at any time or ,times betor& tbe first dny ot Januar:r, 19:!{i, whichever Is the later date the Company require!!! further moneys for worklnfl; capital and Its geneml pu1'­ poses Armstrongs will ail­ vance to or procure for th o} Company from time to time as and when requIred up to such last-mentioned date a sutl'iclent sum or • sums tor working capItal and the general purpoae!J of the Company but such sums to be advanced 01' procured and the liability ot Armstrongs In respect thereof shall not exceed tn the whole $500,000 (New- toundland), (HI 'l'hat If from any cause other tn- by reason or direct and specific Intel­ ference by the British Gov­ ernment or the Newfound­ land Government the work ! allall not have come Into commercial operalion on Ol­ before the expiration of two years after the date at public Issue or the "A' De­ bentures Armstrongs will to the extent that the funds ot the Company are Insuffl' clent to meet the interest and sinking fund payment!!

In addition to the SUIllS (It any) to be provided under this Clause (

a) for workln capital and general pur_ poses advance to or pro_ cure for the Company .. sum or sums sufficient make up the amount re Qulred to Illeet suen pay ments during the perio d between the contract date of completion of the work~ and the actual date whe ll the works shall be put i n ~ to commercial operation, The principal and In_ terest of all such sums sO' advanced to or procured fo .. the Company under (

A) Gnd (

B) hereof shall be secured by Debentures Of Debenture Stock (hereI n called "C" Debentures) to be Issued by the CompanY' on such reasonsble term . as may be approved in wri t­ ing by the Treasury Dlrrct_ or and charged upon the whole of the property un­ dertaking, and assets of the Compauy subject onl,. to the "A" and "S" Deben­ tures, but tile capital sum. of the "C" Debentnre!! shall only be repayable to the holders of the "c" De. bonturl$ a[tcl' the Sp"('ia i Debenture Reserve Fun d before-mentioned has reac h ed the figure of $1,500,000 and with the written ap­ proyal of the Tr('asury DI­ rector which consent sha ll not be unreasonably wit h­ held, and no power or for e­ closure Isooll be given to thf' I!ohlcrs thereof.

The terlllS and conditions other ­ wise of such issue of "0" Debentures shall be sub­ ject to the reasonable ap provai of tht" Treasury DI­ rector provIded always tha t Armstrongs sllall have thO!

HOUSE OF ASS EMBLY PROC EE DINGS option ot requiring th'l.t the sums so advanced or procured may be 'secured or satisfied by the Com­ pany in any ditte r ent man­ ner which may be agreed upon and approved In wrIt­ ing by the Treas ury Direct­ or other than by the Issue or "C" Debentures, but in such a manner as not to prejudice the sec urlty ot the "A" and "B" Deben­ tures or the position of the Treasury and the Govern­ ment of !'\ew!oundland \18 GUaJ'antors thereof, }'Iro­ vlded further that the Com­ pany shall be at liberty at any times to issue, sell 01' realise Preference Shan"" of the Company forf the purpose of the redemption of "C" Debentures at sucl'\ price and on such terms and conditions as shall be agreed [rom time to Ume wllh the Treasury Directol'. (

C) That as soon as the said guarantees by the Treas­ ury and the Kew!oundland Government have been val­ lilly given and become er­ fective Armstrongs will en­ ter Into I[\nd proceed to car­ ry Into effect the Constr uc­ tion Contract. U.

Any sums paid by the Treasury In pursuance of its said guarantee shaH carry interest at the same rate as that payable by the Company if! 'respect of tbe Bald loan, and su ch in_ terest shall be payable Quarterly and so far as such Interest Is not paid on the due date the same shall bl! deemed to have been added to the principal (but without prejudice to the right of the Treatsury to demand ]laYment) and shall accordingly car_ ry Interest at the said rate and so 00. 12.

In view of the provisions con- tained In the House of Commons Dls­ QUoallficalion Acts 1782 and 1801 no Memher of the House of Commons shall be admitted to any share 01' part of this Agreement or any benefit to arlsQ therefrom.

In Witness whereof tnc ,,!: pt'eeent;s have been entered into the day antI yar first above written. Til .. : FIRS T SCH EDUJ~E 'I'HIS AGltta: ~rE~T made the day of 192 between Xewfoundlund Produ cts Corpor lltJolI, 1'1 Company registered under the Com­ panies Act of Newfo undland, whose registered orflce is situated at St. Johns, Kewfoundland, (herinafter called "the Company") of the one part , and Sir W. G.

Arm slron g Whit ­ worth and COIllI)an y, J~ imit e d , whose registered orriee Is at El swick Works, Newcastle-on-Tyne, in the County or Northumherland\ !England, (herln­ after oalled "the Contractor") of the other part. '\' hf'ren!~ the Company is deSirous o[ having supplied erected ':Ind constructed In the vicinity of Grand Lake, Deer Lake and Humber­ mouth .

Newfoundland, the works spe­ cified In Specification "A" and Speci­ fication "B" .1ttached hereto (hereI n­ after collectively referred to as and comprised in the expression "th 8 Works"). ,\nd Wllerens the Com_ pany has agreed that the Speclflca ~ lions are in accordance with Its re­ quirements and to its satisfaction. And Whercn s the Controctor ts de­ sirous of undertaking the execution of the said works. And Wllerea .. the Company Intends to Issue "A" and "B" mortgage debentures or debenturl! stocks for the nominal sums o[ £ 2,000,000 and $9,000,000 (Newfound­ land or U. S.

A.), or £2,000,000 re­ spectively on the security Of Its al!­ sets and undertaking (including Itl~ uncalled oapital for tbe time being) for the pu rpose of providing a.mongst other moneys the moneys to becom!'! payable to the Contractor under this Agreement (which said debentures 01'

HOUSE OF ASSEMBLY PROCEEDINGS debenture stocks are herelnarter called "the 'A' debentures" and "the '8' debentures" respectively). Xow tlH'refore It Is hereby ul!'reed b:J and between the parties hereto Iti!l (ol1ow's:- ('Inu~e I.-l\d,'(<lors to tht' UrlUsh ,t "NewrOnndiallt! c.overltn.elll ... Inasmuch I3S the British Govern.

Ill€nt under the Trade "~aclllties Act 1921 has agreed with the Company to guarantee under certain conditions the principal and Interest of the "A" debentures and the Newfoundlana Government has agreed with the Com· pany to gual"l8ntee under certain con· ditlons the principal and interest or Ihe "B" debentures, and inasmuch 1111 ihe British Government and the New. foundland Government have agreed to appoint M(!Issrs. Men & McLellan of 32 Victoria Street Westminster, Lon· (!on.

S.W.!. and Sir Alexander Gibb and Partners of Queen Anne's Lodge, Westminster, London, to act jointly as "Treasury Advisors" on behalf of the HritiSh and Newfoundland Govern· ments in connection with the works specified In SpeCification "A" and have agreed to appoint Mr.

Arthur Daker of Davenport Lodge, Gravesend, to act as the Treasury AdYlsor In connection with the worka specmea In Specification "B" it l's mutually agreed between the parties to this Contract that the Treasury Advisor" and or their respective appolntee~, shall act in the capacity O( advlsoNJ of the Governments in connection with such works respectively in the manner defined In their Instructions from the respective Governments.

Tile British and Newfoundland Govern· ments may from time to time ap~ point any other persons or firms to bt:' Treasury Advisors In place of the parties above named. ('Iause 2.--Con'ltrllctiDn nnd Comple­ tJonoftheWork.

The Contractor shall on or before the expiration of two years after the drate ot the public Issue of the "A" debentun::s make execute and co struct the said works of the best ttrial s and workmanship and of su slantial charactt:'r In accordance wi tbese presents and the speclflcaUo hereinbefore mentioned (which III to he deemed and taken as part this contract) and to the reasona b cia tis faction or tbe respective Tre IIry Advisors. but In such order I)rogress and by such methods as t Contractor shaH deem best for t sntlsfactory completlon of the wor The period specified above for t comp letion of the works is calcula upon the Contractor receiving instru tlons from the Company to proc with the work at a date which, In opinion of the Contractor, will lea a period of time sul'l'lclent to comrIe the crib dam at Uie outlet of Gran Lake before the 1st day of Mar 1923.

Should the Company not be able give Instructions to the Contractor a 11 sul'l'lclenpy early date as herel D hefore provided thl' date of comp l lion 'Shall be extended to such date may be agreed between the Treasu . Advisors iIlnd the Contractor, and np proved by the Company after takln Into conslqeratlon the seaSOn of t year when such Instructions are give and the el'l'ect on the programme fo the construction ot the Dam and otb­ rr works dependent on seasonal exi­ gencies or should dlll'lculties arlsln .

In the execution of the Civil Engin ­ eering work which could not be fore seen neces'sllate delay In completio n of the work the date of completlo ll phall be extenlled to such a date ;\.I may be agreed between the Treae­ ury Advisors and the Contractor. flllu~e I.-Conlrurt '>rice. In consideration of the premises the Company tor itself and its a8- signs civenants with the Contractor that the Company and Its a'.f!slgns will pay to the Contractor the lump sUllie ot ,£1,755.538 Sterling payable in ca8h in the money of Newfoundlan d

HOUSE OF ASSEMBLY PROCEEDINGS or Canada at such thnes and In such tests as the Treasury Advisors may manner as is provided by this con- reasonably re.quire. (ract. The Bl!.ld lump sums are pro- t1ause 1>.- Sllb-l'O IlM'IICtS_ visional upon .all materials and plaut, The Contractor undertakes to be which the Contractors shall Import llable for the satisfactory execution into Newfouudland, and which shall ot all sub-contracts ".-hleh It may be actua!ly made use of for the pur- place with other contractors. poses ot this contract being admitted ('!tl llse 6.- lIrrors. tree ot customs and Import duties.

The Contractor shall within the (,hIlN' 4.-Colltrnl'lor to Prov ltle All limits of this contract ~ responsible Labour IlIId Materia ls. for all errors ma.de or detective work The Contractor shall provide such done by Its work.meu or staft of sub­ Engineers, staff, labour, materlalll, contractors In setting out or carrying plant and equipment, and such otbet out the deflJoCtive work in whole or things as shall be necessary for the In

part lUI the case may be at Its llurpose of executing and malnt.llnln~ own expense. the works. AJI equipment, machlne- ('hulI;e i .-Satisfactory Comp letion ry and materials reQuired in connec- .'\ ud l·erfO fIlUince. lion with the wor](-8 and to be paid TIle Contractor shall carry out and for out of the proceeds ot the "A" complete the works so that the same debentures shall, unlesl! otherwise as a.

Wlhole when completed ana dUr­ sanctioned by tbe Treasury Advlson, lug the maintenance period hereln­ be purchased in Great Britain and n.Iter referred to shall be capable vf the Contra.ctor shall certify on its producing continuously the po .. cr own behalf nnd on behalf of its sub- specification In SpedtlcaUon "A" and Contractors that such equipment the product speeified In Specification taken over and put Into commercial "B". operation when they or the due pro- The Conll'l'actor shall on completion IlOrtionate part thereof will be paid to of the worlts dlellver up the whole in the Contractor without Interest there- a complete and JfllnJured state and on under deduction of the sum ot shall be responsIble that the whole £100,000 to be retained a'.g securlt, and each and every pOrtlon or tile for the maintenance of the works works shall be capable of performing during the contract period of maln- In a satisfactory mallner the function tenance; alld under deduction, unles!Ol for which it Is intended. previously deducted or otherwise 8et- ('[nu)je B.- P nymellt!'. tied, of any sum for which tbe Con- Ad'vances shaH be made, subject to tractor may have become liable by the terms and conditions herein COIi­ reason of delay in completing the tained, to the Contractor on account works; and on the expiration of the of the contraQt as the work proceeds. period of maintenance when the terme Payments shall be made every of the Agreement have been complied calendar month 1.0 account ot the With, the balance of any retained pet- contradL price and tor this purpose cenLages due to the Contractor shall the Contractor shall furnish tbe be paid without Interest.

Treasury Advisors with montlily stnte The Call tractor shall carry out su~h ments showing In detail the measure­ tests as are necessary to satisfy hlm- ments and value ot all work executed self as to lhe suitability and quaHt.y lip to date and machinery and or ma­ ot materials and workma.nshlp IlUcn terials ma.nufactured and or In process 1('&l8 to be to the reasonable approval or manufacture and or purchased and ot the Tr('asury AdvIsors and the Con payments (taking Into 18.cconnt the tractor will also Carry out such dther due proportionate part of the pay-

38 HOUS E OF ASSEMBLY PROCEEDINGS mont in respect ot preliminary works estimate of the proportion of the var­ ilcrelnatter mentioned) shall be made lOllS secllons completed. to the Contractor by the Company on 'rhe COllljlany agrees to pay to the • the T'reasury Advisors' ccrtWcate of Contractor upOn 'the execution of the value or work executed and "r this Agreement an amount equal to machinery and or purchased during 5 pCI' cent. of the total contract Pl'j".! such month under the deduction of on account of COll8trudtlon equipment 20 per cent. upon 'the amount or and preliminary work.

Xo certIficate such certlflcate which moneys so dc- of the Treasury AdvlBors on account dlictOiI shall be retained and held by or any sum paid on account by the the Company as security for the ful- Com pany shall affect or prejudice the tilrnent of the cor~tract ubllgations right.l! or the Company against the until ,Ilhe whole works Ilave boon com- Corltraclor or relative the Contractor pleted or complete sections have been of its obllgaUons for the due perror­ taken over and put into commercial mance of the contract. operation when they or the due pro- elll u~() 9,- ln s nrnn ce. portionate part thereof will Ire paId The Contrac«>r agrees at its own 10 the Contractor without Intl)rest expense to Insure and keel> Insured thereon under deductIon of the sum against fire up to and Including till) uf £ 100.000 to be retaIned as security day of taking over as SIJecifled In for the maintenance ot tile works duro Clause 10 hereof such parts of the InK the contract pl)ri od of malnwtl- works (Including machinery and ma­ aoce; and under dedudlJon. unless terlals on Site h, transit or In progress previously deducted or otherwIse set- of manufaC'turc) as are of an insur­ tiEd. of any sum for which the Con- able nature IJO te fhull va-lUI) therwf In tractor may h.ave be<:ome !lable by \he Joint names of the Contractor and reason of dlelay in completing the the Whitehall Trust Llmlted by a works; and on the expiration of the policy of policies taken out at Lloyd's pel'l:od of maintenance when 'lhe tl)rms and or with first-class insurance com­ of the Agreement have been com- panies, Any rnoneys received In re­ lied 'with. the balance of any retained Rpcot of such policy or policies shall percentage due to the Contractor shall be a pplied for the purpo6C of relnstat­ bit paid without Interest. ing any portion of the works destroy- The monthly payments to account cd or damaged by fire. shall be based on the contract prlce (' la nse ID...--Oute of Tuk lng Orer. l1ttelr taking Into coaslooration the All soon as any part or unit or character and exten'tl of the work ex-

section of the power plant pulp l1ml ecuted and the character and probable pa per -making mill or other portton cost of the unf inished works at the of tht. works is completed to the rea­ time to such extent as the Treasury sOll