§ 1 Mr. PRINGLEasked the President of the Board of Trade (1) whether the Government has guaranteed the interest on the outstanding £2,000,000 Six per Cent. Bonds of the British-America Nickel Corporation; and, if so, for how many years and up to what amount; (2) whether the sum of £600,000 which the -Government has invested in the British-America Nickel Corporation ranks pari passu with the first mortgage debentures of the corporation held by the National Trust Company of New York; (3) whether the whole of the assets of the British-America Nickel Corporation have been mortgaged to the National Trust Company -of New York; whether the Government has entered into any guarantee for the payment of interest on the debentures; and, if so, for what period of years; (4) whether the money which has been advanced by the Government to the British-America Nickel Corporation will be required to pay off the loans of the corporation, redeem debentures, or pay arrears of interest on their debenture bonds; and whether he is aware that none of the money advanced by the Government will be available for the purpose of developing the production of nickel by the company?
§ The PRESIDENT of the BOARD of TRADE (Sir Albert Stanley)His Majesty's Government have not guaranteed the interest on any part of the share or loan capital of the British-America Nickel Corporation. The advance made to the corporation by His Majesty's Government is secured by an issue of 3,000,000 dols. first mortgage gold bonds, 6 forming part of an issue of 6,000,000 dole. first mortgage gold bonds, the whole issue ranking together. The trustee for the bondholders is the National Trust Company, Limited, a company incorporated in Canada, and not in New York, as stated by my hon. Friend. The advance is specifically allocated to purposes of development and the provision of working capital.
§ Mr. PRINGLEHas the Government any security that this advance of £600,000 will be applied to purposes of development?
§ Sir A. STANLEYYes; I believe that is so.