Note: Where available, the PDF/Word icon below is provided to view the complete and fully formatted document
Wednesday, 4 June 1902

Mr O'MALLEY (Tasmania) - - I rise to address the committee a second time, because of the declaration of the acting leader of the Opposition that any honorable member who opposes the principle of borrowing should declare himself now, or for ever afterwards hold his peace. I do not desire to hold my peace for ever, especially upon this question. I simply wish to reiterate that I intend to oppose the flotation of loans. As the honorable member for Bland, who is the leader of the democratic party, has stated, we are entitled, under the Braddon blot, to retain one-quarter of the receipts from Customs. Now, as the Commonwealth will have a surplus of over £700,000, why should we not utilize £500,000 of it instead of borrowing and being compelled to pay brokerage 1 If the Commonwealth is to continue the bogus system of finance which has been carried on by the States, let it borrow £5,000,000 or £6,000,000 and do something with it. To commence borrowing small amounts is very bad business for the Government to embark upon. If we borrow money, and have to pay big interest upon it, a protest will go up against the Commonwealth, which will be heard all over Australia. People will declare that we are simply perpetuating the old rotten system of finance that was carried on in America until the resumption laws were adopted there, and a proper method of finance was initiated. For a few years the Bank of England held that its system was perfect, but after a few Americans had forged some millions of pounds' worth of notes, people began to see that it was by no means perfect.

Suggest corrections