HL Deb 25 June 1903 vol 124 cc493-4

[SECOND READING.]

Order of the day for the Second Reading read.

THE UNDER SECRETARY OF STATE FOR WAR (The EARL OF HARD-WICKE)

My Lords, by Section 5 of the Government of India Act, 1859— All contracts in writing entered into by the Secretary of State in Council with the concurrence of a majority of votes at a meeting may be expressed to be made by the Secretary of State in Council under that designation and if such as made between private persons would be by law required to be under seal may be made varied or discharged under the hands and seals of two members of the Council or if such as if made between private persons would be by law required to be signed by the parties to be charged therewith may be made varied or discharged under the hands of two members of the Council and the benefit and liability of such contract shall pass to the Secretary of State in Council for the time being. Speaking generally the mode of contracting provided by this Section is strictly followed with regard to contracts made on behalf of the Secretary of State in Council. There are some contracts, especially those for the purchase of goods and for freight, in which the observance of the formalities laid down by the section would in a business sense be impossible. Tenders have to be invited and accepted and acted upon with a promptitude to which that procedure would be fatal. Contracts of this nature have accordingly been entered into under regulations prescribed by the Secretary of State instead of in the manner mentioned in the section. Doubts have, however, arisen with regard to the legal validity of such contracts. The object of the present Bill is to remove those doubts.

Moved, that the Bill be now read 2a. (The Earl of Hardwicke.)

On Question, Bill read 2a and committed to a Committee of the Whole House to-morrow.