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March 18 Fiscal Position Sound ' iscal Position Sound, C ittee Is Informed Liberals and Conservatives * * but it gave him a chance of zettin vantage. Sometimes this could be Clash in Public Accounts ,headlines in the partisan press," hg done by public tender, at other Commifiee and Will Re- | observed. times by a private arrangement. He l : | _ Angrily, Mr. Ellis and Hon.| |had obtained advice as to market sume Battle Frlday George S. Henry replied that such| | conditions from Graham 'Towers, ramninaenmmmammey was not the case. The Chairman| |Governor of the Bank of Canada; should not impute a motive to any' from the Canadian Bank of Com-- TWO DIVISIONS HELD member, they declared. Wilfrid| | merce, and other financial me, he y Heighington (Con., St. David) joined| | said. e in the fray and reminded the com-- Another division came when Mr.| For two and a half hours yvester-- mittee that on the previous year Ellis asked Mr. Walters to detail' day Liberal and Conservative mem-- accounts as far back as 1923 had the outstanding bills of the Prov~' bers of the' Legislature fought bit-- been delved into. ince to date which had n1ot been| . Mr. Walters took the stand and paid. The Chair ruled the ques-- terly and angrily over the finan-- testified that bonds to the total of tion out of order, and was upheld cial condition of the Province since $122,500,000 had been sold since the 19 to 12, with Farquhar Oliver the Hepburn Government took of-- 'Government of Premier Hepburn (U.F.O., Grey South) and Dr. fice in 194. | had taken office. Up until Nov. 1, Roberts vothing with the Conserva-- The tinancial battle occurred in | 1935, the longest term debenture tives. the Public Accounts Committee. was for five years, he said. The committee started its sessions 'Another Quarrel. with a sharp clash over its investi-- \ _ The committee was plunged into gatory powers, and 'f"d("'f', ""f'h'.," | another bitter fight when Mr. Ellis quarrel over the next day of --si'-- | asked Mr. Walters if, in his opinion, ting. It will meet again Friday | short--term financing was good pub-- | morning when the Opposition will | lic policy. The chair finall | j j & ertai * y ruled | question the building of certain | the question out of order on the | sections of lh." .\_('lu'mh?f_-\\hllé | grounds that the committee was | kess River -- Highwa; Engineers -- and | not empowered to attempt to d Government officials will be called. | t j P bli i § pt to de--} toebuck, Ellis Clash. | termine public policy.. l"rl':\v'(l)l 'di\'i' ions featured -- yester-- +. Mr. Ellis then switched to an dav's session when Conservative ;:_"}e of_$20,000,000 made in Janu-- $ aitimas wio y, 1937, and alleged at the time members challenged rulings given that the Government had an by Chairman J. H. Clark (Lib, | nounced the issue had been s ld' t Windsor--Saundwich). _ Chief oppon-- | the lowest Fate 1 en sold a . Inchas t Ets rate in the history of ents in the clashes were Attorney--| the Province. Mr. Walters 'said ' t'é:::"loit;':':::' :')"'jltll"l)Ar"h"r Lllls. that a 30--day option on the issue . | L Chester S Walters, Controllor of had been granted to a syndicate. Russell Nesbitt Compares Finance, occupied the witness stand ' ..g as the option taken up? 5 Spent by Two Ad-- throughout the session. Highlight | o. ums p [ Y. of his evidence was a statement Roebuck Objects. % ministrations that a $20,000,000 bond issue had Attorney--General Roebuck inter-- l been given to a syndicate on a{»?- | rupted procee'dix;gs again to object & t day option, but that some $,« to the questioning. (m)),l.x)l')pnf the issue remained un-- i "Are you worried, Mr. Attorney-- REFERS TO C R|T'C'SM sold. About $5,000,000 had been |\ General?" asked Mr. Ellis. smenmemmmesmaen mm am s | taken up by option u;\d ub;)utd.sw.; | "I:')o, kbut you are," retorted Mr. Continuing his charges that the| 000,000 disposed of through direc | Roebuck. ts k | sales, he .\'uid. Mr. Ellis charged | _ "Has the option been taken up Hepburn Government had "re«.ordedl the Government had led the public | yet?" Mr. Ellis asked Mr. Walters. its $7,000,000 surplus by "starving} to believe the issue had been sold | __"No, in part only--to the extent essential Provincial services" over at the lowest rates in the history of some $5,000,000," replied the rears, A. Russell Nes-- oi the Province. Finance Controller, thie Jast three e lc deciared At the outset Mr. Ellis attempted "Have they indicated they intend bitt (Cons., Brax.onda c') es ath' to introduce the 1936--37 Budget to take up the balance?" to the Legislature yester a)(; nt:" for examination, and immediately "NMo." -- He explained that some reason grand juries were L?tnl?masi van into a snag. Attorney--General $10,000,000 had been sold through ing the Ontario Mental tlofpl &mb :t's' Roebuck protested. "My friend has direct purchases and some $5,000,-- to be found in t.hc; :i"c;tx(ta{:nsean;l a very strange sense of humor," 000 by option. ». 3| treatment of .thnsr; n.n:.'.rl) in MiAtCE, -- he said. "He knows we are here "Have you sold the balance? | th(:n' nxgm?lly d(jfeujné 1& '\'aii.ve to examine the accounts of 1935--1936, "No, but we will and at a better A('i']r;nlig?\[:;itigfl Séggfiti-vo?%?lssooo : & h we have no power to go rice." y | minis $ ve ,165, 00 i',:'tcl :hztn(-(-oullls of 193'3)6-1937. The P Mr. Ellis demanded if the Hep-- 1°n repairs and new ('Ullbll'uc;l(i):n:il; public accounts for that period are burn Government had sold any ithese hospitals. In 1939 outr $;qooo not even printed. There was a bonds by public tender, and Ml'-' ,ot the Liberal Rqrt}: spen 'tof Budget presented, that was all, and Walters replied in the negative. He| 'Here, I submit, is where a par there was an estimated surplus." ; agreed that Hydro bonds had been| |the Government's vaunted surpl;.lls "Then it wasn't a true one?" | sold by public tender. Hydro bonds, |comes from--at the expense ;)f t; queried Mr. Ellis. he declared, did not affect the gross insane. Go back to the fiscal yea- "I, for one, am willing to accept |' debt of the Province, although they of 1932. In that year the Conso%rzvm the Prime Minister's statement," were a contingent liability. tive Government spent $368, The replied Mr. Roebuck. Another fight ensued as Mr. El+] _ for repairs and renovating. u o t lis asked the witness if he thought| puplic Works Department spent & _ Reasons Are Asked. h it good policy to call tenders. ThQ! further $778,000 on new construction "What are the powers of this | chair ruled the question out of Or-- ;n the same hospitals, making & committee?" demanded the Con-- der and drew Hon. Leopold MacaUu-- ;o;al expenditure in that year of servative. "What are they? What lay into the quarrel. s $1,146,267. Conservative (._;ovem. are the limitations on this com--| '"The witness is of age and he's . ments spent well over a million & mittee? Does the Prime Minister a bright fellow," he declared hotlY. . year on these places." ueny the public the figures upon "Let's stop these blockade tactics. 7 which he based his Budget?" In | Let's have a division on this ques-- my view, Mr. Attorney--General, we | tion." : are not the masses of the people Before the election the public had here, but we are their servants. been told that any man, woman or Are not the people entitled to child could walk into the Treasury information on the financial con-- offices and receive any informa-- dition of this Province? What is tion they liked. Now, declared the vyour reason for refusing to tell Conservative, _ information--seekers them ?" were barred by corporation lawyers "We've told you the story," replied and a Liberal majority on the Pub-- Mr. Roebuck. lic Accounts Committee. "That's all it is--a story," re-- A standing vote was rejected, and | torted Mr. Ellis. after a poll the Chairman was Up--| "Yes, a true story," said Mr. held 18 votes to 10, with Dr. A. D. Roebuck. Roberts, recently expelled meml;:;" | Ruled Out of Order. of the um:: Party, voting with| . | _ The Chairman, J. H. Clark (Lib. _ | h# SVA Tin explained that ,Wlndsor-SIndwlch). ruled that the 'h;n a public authority sought to + | 1936--1937 :eh:ounztls"could not be ex-- sell bouso it did so by methods satted nad no chance of nascime* _( lwhich would gain it the most ad--