§ MR. CATHCART WASON (Orkney and Shetland)
To ask the Secretary of State for the Colonies, is the Imperial. Government responsible for interest and principal on the Lagos Government3½per cent. Inscribed Stock; and whether, seeing that the security for the loan, principal and interest, is the surplus revenue of the Lagos Government, and in view of the proportion of that revenue derived from the import of gin and rum, will he say what steps have been taken to secure the loan in the event of the duties on gin and rum being largely increased or restriction imposed upon the sale of the same to natives.
(Answered by Mr. Secretary Lyttelton.) With regard to the first part of the Question, I would refer the lion. Member to the prospectus of the loan, from which he will also perceive that the†See (4) Dabets, cxli., 620.1183 loan is secured on the general revenues and assets of the Colony. No steps such as are indicated by the hon. Member have been taken or are necessary or usual. Both the expenditure of the Colony and the taxation from which the revenue is derived are subject to the sanction of the Secretary of State. If the revenue received from the import duties on gin and rum should be reduced from any cause, there is no reason whatever to suppose that the Colony will not be able to meet its obligations by obtaining the requisite amount from other sources or by reducing its expenditure if necessary.