§ Order for Second Reading read.
§ Motion made, and Question proposed, "That the Bill be now read a second time."—(Mr. Henry H. Fowler.)
§ MR. BIGGAR (Cavan, W.)Sir, I think it is rather strange that the hon. Gentleman the Secretary to the Treasury should be moving the second reading of this Bill. I have read the Bill, and I understand that it is for the purpose of enabling the Government in Ireland to prefer their claims against public Companies—to take payment from the ordinary shares of the Companies. Now, I think that if the Government have a first charge against any public undertaking, railway, or other public Company, they should not certainly take 1568 security for it of the worst class. I think I am not wrong in stating that no railway shares in Ireland are at par. The Government railway shares are nominally at par, but in reality they are very much below it; and in the case of one Company the shares are taken up at very much less than the original price, and no dividend has been paid for many years. What the Government are doing is to transfer their mortgage claims, and take ordinary shares, and that I think is a mistake. Perhaps the hon. Gentleman the Secretary to the Treasury may be able to furnish an explanation which will satisfy me that I ought not to object to the Bill; but certainly it seems to me that the measure is one to which no Chancellor of the Exchequer or Secretary to the Treasury could for one moment agree, or to which any careful House of Commons would accede. The probability is that the Treasury would find themselves in possession of securities which have no intrinsic value in exchange for their first charge, and that, Sir, is a transaction with which I would recommend the Government to have nothing to do.
§ Amendment proposed, to leave out the word "now," and at the end of the Question to add the words "upon this day three months."—(Mr. Biggar).
§ Question proposed, "That the word 'now' stand part of the Question."
§ THE SECRETARY TO THE TREASURY (Mr. HENRY H. FOWLER) (Wolverhampton, E.)I fully agree with the hon. Member for West Cavan that there is no worse way of lending money than on the security which he describes. But that is not the intention of the Bill, which is to set at rest some doubts which have arisen as to the position of these claims on the Tramway Companies in Ireland with regard to dividends. I hope my explanation will satisfy the hon. Gentleman that he can with safety withdraw his Amendment opposing the second reading of the Bill.
§ MR. BIGGARAfter what has fallen from the hon. Gentleman, I ask leave to withdraw my Motion.
§ Amendment, by leave, withdrawn.
§ Main Question put, and agreed to.
§ Bill read a second time, and committed, for Wednesday next.