The Clinton News Record, 1941-01-30, Page 2PAGE 6
THE CLINTON NEWS -RECORD
THURS., JAN 30, 1941
A
r
ce on the Sir
17' IS PARTICULARLY IMPORTEANT at this critical phase of our national life that the people of the Province
of Ontario should be given the facts and allowed to base their considerations and judgment on them.
There is very little doubt that in many instances opinions have been based on speculation, propaganda
and rumor.
The statements given herewith are taken from the Oficial Reports of the Conference as published by the
Dominkm Government.
HON. MITCHELL F. HEPBURN, PRIME MINISTER
AND PROVINCIAL TREASURER OF ONTARIO,
(Vol. 1, Pages 14. to 20) :
"Mr. Primo Minister and gentlemen, during this time
of stress and strain aud.ruthloss wnrftwe I have never
politely criticized the Sirois report or its xecommond-
Attune. I did make u statement about.the timing of the
publication of the report beaaoso I believed thou, and
still believe, and am joined in this belief by many per-
sons, that I did a public service in calling attonton to
the act of throwing into the arena of discussion a highly
contentious document at a time when people who lova
the Empire and all it stands for aro concerned with
one thing, and one thing alone -rho aucceseful prose-
cution of a victorious war in which our national seaur-
ity is at stake. For if our short fails, Hitler, and not
the dalogntos present at this dominion -provincial con-
ference, will settle our domestic problems.
• In this regard the policy of the government of
Ontario has not changed in any particular. Those of us
who represent the central province have been con -
stand in our attitude.
Some while ago a fanner associate of mine in the
House of Commons, my' good frioud the Minister of
Pittance,journeyed to Toronto, at which time be din -
cussed with Mr, Nixon,r. McQuoston, Mr. Watters
and thyself the advisability of implementing the room -
standalone of the Sirots report. Along with toy col -
teapot; present, I urged -yes, almost bogged him to use
his hu0uente to prevent this booming a nntionnl tattoo
during war time. I am satisfied Ito convoyed my oleo
singe to the Primo Minister. I was, thorotore, nomewbat
perplexed when a few dayo later, I received a letter
from. the Primo Minister of Canada advising that ti con-
ference ;would be celled and that the fedora] govern.
meat ins, in effect, recommending favourable conoider-
otion et tie commission findings. Again, in ardor to
maintain. our consistency, I 00011001 as follows:
'1 have your letter of November 2nd, regarding the
Sirots commission report.
'I was hopeful tont a discussion of this problom
could be delayed until after rho war so that Otero could
be no passibility of any controversial 100111, 0rleing
width might impair national unity and the effective
prosecution of the war.
llou•rvorl In view of the fact bunt n conference is to
be rolled it so the intention of this government de matte
nvniiablu its representtives any time tint may he re-
quired aftor the middle of January, 00 suggested by
you.
Litter still, on Decombor 28, 1040, the Prima Min-
ister in n letter stated in port:
'In view ot requeelo from aevorol 01 this provinces, a,
proposed agenda which we will recommend to the
cotfaronco has boon worked out nod is outlined below.'
Olot; having been :Isnot' for, nor hotting.. mode ally.
ra.mnnitudatfous, I therefore 1101 free to suggoat that
further conoid,rallon bo given to the folios -lug sentence
in the letter in question;
'X should like to emplinslza the ;tow of Cita govern,
meat Glint the opening session should be coned to
genual atatensnlo and not to debnto on points of detail
oe spacial eircurnatotlees.'
Public Should Be Informed
The following paragraph of the letter informs us that
tho conforenre will then resolve itself into ;;coking
aommitte00, whiel' Will ell in camera.
Tho Ontario delegates desire that we s10te our can
publicly and briefly nn(1 at no limo be a pony to u
swbena which withholds from the Press :old the public
;list intnrmutiot to whielt they are lastly entitled.
We warn not informed nor ronoulted with regard to
the toms of rofl'ronee cnntn{0111 in tho ardor in council
pagood by the dominion cuhinot which gave Itfe to tin
commission itself, '
Whoa Ontario's M'escntntton wag mode we tusked for
nothing. When lit: tindiuga wore, agreed upon by tate
oulmi.,touers, Ontario hod no represent:o 1('e, :dr.
110w,11 having long before retired bemuse of ill health.
But huh:. on wt, wore presented wills n costly five loon
fired thousand dollar report --tie product of 11,' mind%
of three protysam's and n Whnnipog noW0poper now,
nanw of whom had nn; governmental o0mittistrittivu
eap0riotoe, and 001105 . opinions; all of us coning share.
In vi'm of tho foot that, in the report hlonif, it is
Motes). that Mo. Rowell had nothing to do with it, his
name, whicll has loon fogad' on for pni'p0008 of 311011,1-
00111118, can vary well be omitted in future.
Thorn of as who bottom In armor/toy abhor the very
word propaganda hrrnns0 Olio eirculntlon of ready -
Made 01inlon0•by nay centrally -controlled power in the
most dnagoroua enemy of eiviliontlon, front this tler-
sperthve we 0011 the evil working of salon a vicious
system in Europe, leaving in its woke misery and
starring which shakes one's faint in humitnity' it0810•
Cott Provinces and Dominion Both 'Win?
Lot asguard carefully for fear a simnel. frauken'
stole does not api,eaf in our midst. In the first nosh
of plibltO rotation rho propaganda machine mode it
nppoar that 10 it/Moment this doountout would ineko
tho provin000 rider nod, at the sone time, finite the
d001101on richer by rho oimplo process of transferring
debts and revenues to tete Cenitral government.
•
Innsni ten ns there ogre only two portico to the deal,
surety 0110 tend only to lulu au elemenlnry knowledge
of economics to appreeinte the fact 10711 both moral.
win. Unless there ore transferred with the debts oulll-
dent existing provincial revenues, the dominion loin
have to inerenso taxes or dell or probably bull. This
does however, offer an 011110Y01111117 10 explore ovary
poss{ldlity of reducing nil gov0rn.ontnt costs in Collude
null to this end, Ontario is pro prod to coopornto' to
the 1111111 at lite right time. That is a domestic problem
to which we can (koala tomo and effort us a post-war
problem and much benne bo it so tan, Ix'ennse the
ftlaneloi problems of to -day 1nny 111000 vary little rela-
tionship with those of n yon;' hmieo.
I am convinced that the commissioners wer0 genu-
inely sincere, and adore also, When monthn 050 they
Mated tint by assuming this cost of omploynbles nn relief
the dominion would render a (Mandel favour to tato
provinces end the municipalities, Bat anyone who
say's so booboo if conversant with tl,q true facto, is
guilty of unudultoratod 'humbug'.
Unemployables Iliajor Problem
Ilon, Mr• Ilowe coni soma while ago ;hot, since the
report was written, mors than halt the onpleyobles
nave ancurotl robs rind that the other hall would bo
absortod do iudnstry duriug tido year. I boliovo Mr,
Mown, In fact, 'f we are going toil out in this war
effort, it (0 n rellectlou on the government not to put
to work inlnl00infely 11,0 physically fib adult males of nil
Canada. But aha end of employable relief p,'obloms
doeo not by any moons solve the issu0. Thorn is still
loft the army of nnemployublos, who te-dny make up the
vast harden of relief and, generally speaking, will tons
Bone to do so.
Under present arrangements, the dominion eontri-
bntOg forty per eat. towards the out of food, clothing
and shelter, If 11,is report is adopted in its oltirety, the
dominion will contribute nothing and its former Attu
will levo to be borne 11y the provinces and muulcipttl.
Rios after nutmeg, out of which lasso coats tvero for -
timely mat, have been onrrondered to the dominion. S
am 0ar0 the actual working out of rho ayatent i0 (lune
diftorout from that urtietpatod. When tllo report was
;vritton on page 86, Book II, it is said Oust the taxes
left to the provi110os are more stablo. In Ontario, We
shall have left the profits tram. the Liquov Control
Board operations, vehicle haemes and 500otin0 tax.
Where is the stability? •
Wartime prohibition, as 8 dominion- measure, Ina
already ,hewn requested and 1f anyy mo100ry servos mo
correctly, the Minister of War SorvIces stated, and
quite properly so, that the federal government has the
power to onset such a mousare.
Already a Peel Controller has been npifohntad and
ho has the power to regulate the distribution of gasp.
lino. Aa a war measure, he oould deprive us entirely
of reveuu00 from the licensed vehicles and gasoline,
We ohohld then have to go to the dominion authorities
with a tin cup in our hands saytug-'etthor contribute
to the extent of our loos of revenue or pay for the
social survic00 of Ontario' -and, boliovo me, they are
many and varied in this age of growing patornalism.
When the Prime Minister addressed to me on Novem-
ber 2nd, 1940, a latter with reforenco to this proposed
conference, he said in part;
'While the cost of unemployment relief has been
reduced, the war has cast nddttionat burdens on govern-
ments and taxpayers alike. It Los inevitably increased
the competition betw0e1 governments to secure rev-
enues, and has aggravated the overlapping, cumber.
some and discriminatory character of much of our tax
structure,'
Ontario Co-operates on Income Tax
I taco this opportunity of referring to the notions of
tho government of the provinao of Ontario with respect
to the Income Tax Act of Ontario. ?orisons I 01(00101
explain that the Income Tax Act of Ontario differs
from the ants of most of the other provinces in this
respect -that we allow as n deduction from the income
of the Ontario taxpayer the amount of tax paid to the
dominion govdrnment under the Income War Tax Act
before wo imposo our own tax.
Is that interfering or compolttg with th0 dominion,
especially as it has been admitted by former mhii0tgrs
ot &nonce of Canada that for the dominion to lery an
income tax at all de to invade provincial fields of
taxationl
To moko such an aliowanco no I hnvo set out is tot
competing whit the dominion; it Is taking a secondary
position to the dominion, 1''urthormoro, let me stat'
that rho province of Ontario ons the Bost provbee Lt
Canada to 1TTnllgo with rho dominion to have the emit
of collection of the income tax and the eeouomte w•astl
Of time of taxpayers' Ontario orr01tged with the
dominion governnlost that the Ontario tam ohnubl bo
collected by thu some dominion officers and at the (tuna
time os lila dominion tax is call, 1e01,
What la not rompntitton. That is cooperation , ad-
mitted by nil, nod duo credit being gloat by all lax -
Payers olfeoled.
Further, lite dominion goveruuunt an September
18th, 1930, added a surtax of 20 per eat. appltenkla to
inromc of 1929 uud Ouhsequont periods. Thio moot a
108800 amount of income loft in the halt& of the tax-
payers to br inb,lect to lie Ontario tux. 'Pio province of
Ontario agreed to absorb this logy int revonuo.
Ontario Suffers IBrvenue Logs
Oa Augaot 711(, 3910, the 20 poo cent, arta:* and,
all 11,0 old rotors 'under lbs Anomia, Logone Tax Art
were repealed and in their ptacns never and bights'
rttoa were ottaelo0, and at tin scone tim0, 11%elnptl0lia
wore cut, Tie'•e changes wore mpptictILl1 to the bantams
of 19'30. Bookies these duutgna in antes, the new
National Damao Tax was ennead applicable lu 1110010,1
earned from July 1st, 1040. The ett�'et of thou added
imposts was to seriously reduce the revonues of the
provheo of Ontario, 0nd it is 0011,5101 holt for this
Vocal year which begins on April 1, 1241, rho protocol
l
of Ontario will suffer 0 loss of rmmefeae of upwards of
two million dellen:+,
Wo Karo turned over this Elgin Hospital --a seven
million dolhtr matin doll -end many other provincial
properties, without pny'matl or reward and wilt eoo
tbtuo to do am,
11'0 have curtailed our eopllnl expenditures rind
have d lived neut.sum. world --world that would Love
been proliptble that would have gelded additional
revenue.
Tian, too. in en effort to encourage tate inei ntim; of
Ana/him t ,1: Ia wit 0111 1111,; n ittt that illOgh
01eeded ,1w u dollar o togoormoo to ;mob', a
dominion to 0,lte 0087,00.1 and prov,e,tle t1(m wl.0. the
11V0riuc0 of Ontario line undertation to e:pond an polo
ti, itv uud advertising for tourists tilto y r the sura
of throe buudr,d thnit ,tt.d donors. That. cocarina-; to
uuirhllo of tiro dutuitdou government, is cooperation,
not. rompetili,n. '
And in respect to the Corpo:nttons Tax, it will be
within the 1110111017 ut the Tot/14,0' (MAWS of the vorhnls
matinees here that tie lu,horith s of 13,.,t u ;pion
government hove nppoluted n baud 10 lo pr00id.11 ower
by 111,8 IIon. Chariot P. M,'Civrue, Juatieo of tins tilt.
promo Court of Ontario, which beard has been formed
to determine tbo amount of c bsolei .ace nod 01,'),1',,2.
;loin that may he allowed taxi -veru ns itwrimmn fiend not
profits w'h]ch will be subject to war tomt,ol. The
government of tho province of ()lariat has nano mood
that it will taunt wilbua1 question tiro findings of thio
dominion -created board.
Ontario Not Competing
Time does not permit a lengthy t'rcital n^ other nous
of eooperntian on tie part of the govatmmont of the
peovinen of Ontario, but I ehollenge anyone to success-
fully charge tin government of Ontario or, for that
molter, any other 000010,.0, With competition for
memos in boldo Ihot do not exclusively belong to rho
provinces, or with any lack of cooperation wletsuevo'.
0h the other side of the pleuro, even although the
organdzaton of Bosporus Cumntittee, patterned after
the one that functioned so effectively in the last war,
11,11 oet up. by our Onto'to Legiointuee--uud by un-
1111intOlta vote -the ntttrlett9, with towOr to odd, cattsist.
lag of Ilio Honour L1ontenunt-Uoveruot' Matthews,
Colonel Drew mud myself -and event although wt'il over
n year ago Ivo ieurneyed to Ottawa and peosotnlly
pledged, en Wolf ot tho organization, the fullest mea-
sure of commis: loo in every possible war effort, tho
secretary of tho ol'ganiootion 310W 11(1Viaea 100 that not
n single request or communication has been reeivod
Iron the federal government.
Any just criticism that may ho levetltd against tho
government ot 0alacio for its co1101derad judgment on
this issue my collcomics and I accord without COM,
plaint. But it the propagandists believe for a moment
that, becauoo ot our attitude, we will 010mnin silent
white inslnuationl aro braatlen0t donborntely for the
11urp050 of brundhtg us as unpatriotic, uunoigLhouriy
with tat' ohstar provinces, or guilty of doing anything
to block Conrado in ach cuing our maximum war effort,.
then I say to them, 'Wo shell defend our0olvrs from that
kind of nttitdt lore, on the floor of rho legislature, and
. on rho public plotfalsn!
' Iloro I avail myself of 11O opportunity of warning
the purply financial press and ethers list they, !lave
overplayed their hands by attempting to cloak this
report with the garuents of patriotism and aider the
exigencies of war would do irreparable damngo to both
national unity and conllden0e.:
I desire to quota one authority 00 n ensu in point.
The Toronto Slay, a snpPorter of the present federal
governmont in its editorial of Novembo' 20th, 1940,
90310;
'Tho Star believes that the general idea ot the roport
is a good one, tho idea that Oho dominion should bo
the chief taxcollector and as an offset, annum Certain
provincial raspouaibilitioa:
That 1000 Otte 011011 iriondly policy of that linnet.
What did thio Star any in its oditorial of Saturday,
Tannery 11, 1941 1 I quote:
'The report has, naturally anonggh, strong backing.
(feat financial commons and wealthy individuala who
are holders of proviueh,l bonds 9nppoo''t a project widen
would plata the credit of the domin'ton bohindllrovin-
cinl 000urities whoso market valla has greatly de-
teriorated. A Toronto broker hila estimated that orlon.
Slots of the report might add as much as .$20,000,000,
:/0,000,000 and $(30,000,000 to the value of the bonds
of Manitoba, Saskatchewan and Alborta, 50speclivoly.
This gift to the bondbelders would bo more -costly to
Ontario than tiny other pro; 000. Outa1fo's own bandit
Would not bo inlreaeod in value to any marked degree,
4
as its credit closely approaches that of the dominion. A.
feature of the arrangement not generally realized is
that in the case of Alberta the dominion would assume
not only the provincial debt, but the defaulted interest
on the same. This had rea0hed $8,400,000 by 1987 and
stands now at n -much higher figure. Ontario's federal
taxpayers provide .nearly half the dominion revenue
out of which this gift to the bondholders would be
provided.'
That shows Ole changing opinion of that great pub-
lichtion. WIry1 Bocauso that and other newommer0,
gaping public opinion, aro reflecting the growing sus-
picion of the awakening public mind. As a political
observer I say that titero to n fast developing body of
opinion, not without cause, now promoting the idea
that behind this untimely move, ostensibly ns a war
Inman, is a woll-cooked, nefarious deal to makegood
tato losses iu doprooiattou of certain bonds held largely
by financial houses, to collect unpaid interest on Alberta
bonds -and to cause a sharp nppreoiatlon ill bonds of
certain provinces, which bonds worn, because of oir-
eittustnnces boyond the control of the respective pro•
vin0ial tr0a0arers, actually sold at much less than par,
although tho coupon onto Was abnormally high. This
Possible Ituge capital appreciation is not even subject
to federal income tax.
I solemnly worn those lvho are obviously pressing
for such action that they may aggravate that suspicion
and dostray completely public confidence in govern-
ments.
Canada Must. Be United
Noir 1 come to a subject of con0 granter impoctnnao
-stational unity. We hove it today. All Camila is
behtud aha prosecution of the war. Ws aro a united
people. \S'e need be. Wu hove n common fon in the
dictators. I homiest to know something about religious
and racial issues. I can speak feelingly an this 0ub1001.
We tried, as n government, to remedy a simple ob-
vious injustice find inequality with regard to 06001
tax routines, W0 lolled, and the very nes we tried to
help were na anxious as nily0nte else to hove us 3Otr0ee
our stop,. Is not a oimtlnr aitunthmt, on n larger settle
developing tadayl
Already there aro rumblings that Quobrc in getting
preferred treatment. I know that, to some extent, there
urn extenuating rk-raimanrrn'en, But the fact remttins
Incl t1lnolnc io being rrlh ushl of some of low aatniripal
debts, ;;Milo other provinces ore not. Qnl'bre is 10
reeadra all eight million dollar yearly frredueiblc sub.
only, while others including Ontario, are heel to 011"dvo
a rent. Again 10000 are extenuating e:rntmlSlaneeO.
But explautations do not always explain. all& 00000
u'lttt certain scetlons of 00cf0ty.
The Tovorro !'.legroom is u powerful no0np0por and
rennets the Witham of many Mittens of Ontario who
have 11 great recpeet for its considered opinions. The
Tnoonuo 1`."rar11n1. hos denit with this aspect of the
mport with :;tart effect. I shall not quote foam its
0uldluriola--tl1:,t is not nue00nr'. All 1 un say is net
to Itnderu;almate the power af, the press in this ragocd.
This taw bone loins dovelaped 1100001105 n dutllenge
in aut..* t of us who bol101•e in national unity, To blind
nurselos to the obvious io not fair to Onnada, not fair
to our ne:1IJ,uoring pr1153000 of ()notion es1crhtlly
what 'by this deal, ooeordiug to the Nessa conotitttiouul
advice I. can get, Quebec nod the rest of Its will hare
10 agree 10 a surreoler to n cent nil authority of rights
nod privi.t'gca granted hp the British /moth America
dot I A5y' that 110 long ns 1117 eoih'ngves 0)1(03 1 h0vo
',sty any in dit'ecting pu11ie p01dry f u Outt•la ,uld 00
long us ller„ da n drill ll !+,,h Anterlets 2.,t in its
orosmu form, which c011uot 1' nmondod ..1 will by a
nutsla'oom gavernm oat thus may in. Azure ;also 01111','
in Otlawa, u'e sh,di, nn It ricer pr..vinee, s1,'1 i solidly'
beside (halve if at nay time boo nllnnrin• 1.101110 are
threatened. On ;Lia sound 3o;lalot'en of 11,ithera natty
we stand 05 firm lard resalnta o,; the Mork of Warranter
h'olf. To lay bands en the lif•+ work of Sir \V,lfrid
1,uurhtr and Sir .joint A. M s:eamold is nothing oboe
of mttimal tnululi.un,
Do We Fiddle While' London niton,?
In tie featr r period we 103,0 1,0:0 01..110111'
0.t'N to t'unl ..1:.1s, tort nal ,,v. , ,
:net 01' 1(1115_. 1i 15i.e ti10 ln,, n 10ortlt
.01)0,0111 tot may s,,.v,• n o 1r1 ,olopoo, a..0 ,110 pun.
c00, 0f ca:: im,108Aen) in unto! Il ii,
le this the Una to send i 1 ca"11011 to 00mt,•lo'n
London with a doormat x,: h.is Lunt; tool Miro i,fm
o'1otp tutl t':,• 17,,11 i•0 Wegoathstor owl nolo tl•, lith 1.1,
1.uh,uneul 10 11001,0 in it: voutt1aoltAtill11 or grestinns
dolorininiog tho very tiro of t,o British. Inopr" tt older
to debate lie question of 11 11e11" cotntitntiau for
Canada
To me it IS unthinkable that we should be fiddling
while London is burning. Ll tiro beurt of the inn/sire
the citizenry ---moo. wanton, buys ntd gbri -will their
baro bonito are beating out the fimne, apeunl by runt-
Iaas yntltlnla uphn 1110 illlnal401A nitl tate 00010 of their
hones. Britons, on the shores of the sea nod in the
streets of their cities, will owlet the itivndor foot by
foot with their very Boum, as their great lender' said
they would. lttotautly 0011001/00/1With their struggle
to aal'Viro nod t0 All VO 110 till'migha,11 this lanpira 8011
with nothing eleo, they aro waging 11 whv,iug tight
today, 9ho remembrance of which will never die while
freedom lives, Tl,ey hnvo no other cmlcern.
To -day, wl,ilo oleos brave pe0p10 n't shtolding their
homes with their Mottos .and braving the bursting
bombs and tho hood of naeltiue gun bullst0, do we renal
that alto Lord Mayor of Landon hos 3110,+ed At his
efforts to snvo the 11011011 and has sailed a meeting of
the Odor/non to eonolder u rendj,Alulent or a rovlo,on
of the borough, system. of the great tnolropolls which
is otnw 1 beleaguered fortress/
I tloten to Mr. Chitrehlll, to ilia Roosevelt, this two
Mat detnocrntle learlor0 who mond out as 'eaten?' lights
in this bewildered world today. I bciheva In flair sin -
may. Only anal1-ont effort will save aivilizoth0n and
ait'lotinttly. Our untold gOveranl0nt now, -older the
War Monsoon Aet, Imo extreme, even dicntnu'hd, 1,00.00.
If there is nnyilldtlg Opnoi10 that the dominion. govern-
ment wants to help in its Ivor afford say so, and I um
aro every ptovinco will might by 'mooing 1nnnmd1ately
the neeesstlry enabling legislation. This eon bo 0arom.
Pli0ked without 0nntrovor:;v nod without 11p5Ottl1107 our
raasonably lvell•organizcd system of government.
Ontario Shall Continue to Help
At our war effort wo of Ontario believe wo 'MVO been
helpfuland altohl continuo to bo so, even to the extent
of not joining in tho alonour to unload 0001 two
billion donors of debts of aim public bodies alt Otho
dominion treasury id woo time. Tho Process of transfer
itself would be involved and upsetting in oar 1vltolo
tnaupfal 81181000, A boulder of all tis collection acliv.
Ries of the einsses indientod in tiro report to the central
artho'ity could only bo rondo after complicated mud
for remelting logistntion could be onncted. The Unto
and effort of tho federal parliament would bo devoted
in this direction w9lot craw 011000 et effort is required
in Cho successful llt'osetut(ot of the w'u'. And While
yah thus obligated yourselves to fight this war with
the lost drop -03 printer's ink and to the last page of
Hansard, confusion, utt0r confusion, would prevail 1n
all govornmotts ns existing tax machinery bogged
down.
We, in Ontario, I emphasize, have anxiously 00-
ororutod with the dominion government; in Its war
effort and shrill centime to do so, But lids is a
pencolimo document, and wo believe honestly and
sincerely that the time to discuss it is not now, but
only when tbo menace to aur domoorncy, Chrtstionity
and freedom lit removed by the complete defeat and
oven annihilation of the rootless Axis powers "
HON. A. S. MorMILLAN, PRIME MINISTER OF
NOVA SCOTIA, (Vol. 1, page 22):
"If wo worn fished to give n cotegorioal nnswor
favouring or opposing the report a0 n whole, that
answer, re300s0ntiug Nova Scotia as we do, would
%Ivo to be
HON. J. B. M0NAZR, K.C., PRIME MINISTER OP
NEW BRUNSWICK, (Vol. 1, page 23):
"At the outset, I must say that we do not concur
in the findings of the commission as set out in chapters
V and VI of section S of Volume II, where certain
special claims advanced by the government of New
Brunswick are discussed."
HON. JOHN BRACKEN, PRIME MINISTER OF
MANITOBA, (Vol. 1, page 30):
"Manitoba does not .think it unreasonable, if it
wanted to borrow money on rho credit of the demduion
that it should be expected first to obtain the approval
of such National Finnnco Commission. We fool satiated
that aro shall have no difficulty in obtaining the approval
of such a body in all oases where our application merits
such approval. If n case comes up i0 which 01101 op-
proval Is withhold, that will 1100 prevent us if wo
think the object is n worthy one from borrowing upon
our Own credit, It has been suggested that such
borrowing upon provincial oredit alone will be im-
possible If the commisoion'e recommendations are
made effective. We do not agree. Any province lvtieh
can borrow now could still borrow if the commission's
recommendations were in force, The success of such
borrowing ho either case dopendo upon the credit of
the province which le attempting to borrow, bbr ex.
ample, with their resourc00 Ivo do nob think that onion
Ontario or Quebec will hove any difficulty in borrowing
1f this report is implemented; 0001e other provinces
might have; but is there not a question as to whether
these totter could borrow sntsfactorily even if Ile
report is not implemented? If they cold not, then
they are certubtty n0 warm off after implemeatntiott
baeatee then they 0011 borrow in proper 001003 110011
the credit of Canada.
The fort io, and rho report makes it clear, that in
the mutter of futons borrowing, the pr,Vtteen aro to
he left in exactly tho same porition in width they now
aro, Indeed, they eon continuo to borrow upon flair
men credit. Itt addition, they 1110 gl•0n a 0111,0 end
vnlunblo right, exere!sabte wholly tit their own option,
of borrowing upon the o1'odit of Canada."
HON. T. D. l'ATULL°, PRIME MINISTER OF
BRITISH COLUMBIA, (Vol. I, pages 44 and 45):
",Rano;, of coarse, hs It the 1001 of this whole coast-
ann.' Whltu monetary m01a0ttrt'x should be bawd 11000
the Productive captivity of our people, tin productive
capnetty of 000 peopls eau be omidlted by wino nyona-
tory measures and othur.eonsilorntiotts.
We aro 110W told that it is necessary immediately to
implement fila retommeadntions of the e'ntontntioa cue•
cesafully in order toprooeoufe tho nor. 'lino govern-
ment of British Columbia dioarreos with tido view, I
,,no sorry that the winning of the war bus bun used as
All nrgament to fasten permanently upon the provinces
lull the Dominion of ('onada n change in dominion•
provincial relations which I limits bottom will worst
to the injury and not to the benefit of rho dontinion
and the provinces of which it is eonpos011.
If there bad been no rommisston, war tensores
would still proered; and right now without any chaago
ht our constitution the dominion can tike 011y nation
droned neces011ryto the winniiog of the war; lute tho
people 0110 101141y 1/0111/011111(1,the goverunw•nt that every.
re00,tre0 wldrh wn11)00e00 shall be brought into notion
fit the 001fiiest possible moment too rho 1000000 of Our-
thering our war effort.
Lot ha ince tilts grtoattnn inirly and seams' rust
fie (f there 50000 no oat', 110 W00 the e•o•,dhtie' al the
Boa of the uptoinlml'ut of this rummieSion; and not
Idose l hose wta belie;,' that 1110 lottol 00 111 ;:re of a
)un•n,tut ehnrnrt'r under He iudirhnw„ float they aro
hhtder:to; the war effort of lista dominion.
Wmllcl 1let101;1 War Effort
The v.unlit:ob its firth. r mots:
'Elio inua dI:lto e0e,-1 of l'lt» 1 on dominion fnc.ltrrs
woo lo, foloorsoio in. 100110 ,i'or-. PYONiio-i- i fin•
1111,0t. totoliti 1.111,8 ;utPzuwed 1.1 nos :vin. -se of tare of
the dominion,'
1110:11,11111,im, t Ina fit- m of Od: m r o l -reran'
inti t rh - eu d , 11/11E1,41:110;- 1 1, dm -
1, 03 d /Olt tin, 31'080',11 ilott,t not 001 101100 111 , Og-
g,/ l,,,t 1101 ti11111111,0 11,110,.,, 0: 11,1, 01110)101:,' ,d:tlan
oC the ennnnhxsiun is 10 OUT 11 Orr 11011. 110th.m
doe, it 11120,t001 that otnr,ng the noriud of the woo rte
intub'nu•ntn,tul0 of the pini will ban Mutton on the
dominion's war vtfort not alone tltrolgh the nsxaatp,
tion of additional tinnnoinl obligations hurt through
the time and effort whielt moat 11e1000'trhly be nxpende't
in the seltiug IT oI the now organisation as proposed
by the eonnuix%ion, I1 wrottld therefore seem the part
of tvisdmn to get or with Om war and postpone se
fnraeaahtug mud contentious a problem oath alter
the war."
t1ON, WILLIAM ABERHART, PRIME MINISTER
OF ALBERTA, (Vol. 1, page 63):
"Our outdo will nal, 'Wily are they se noxious to
raise on issno lila -this whoa we n11 hove our hands
full with the job of rho w'nr?' And the whisper has
gone around, 'It is the motley 1015011x.'
1
ant going to spook frankly. I believe tt,at the
peellono situation olden is feeing ort nnt10n and tho
em iro demon l0 sinecdty of speeelt and boldness of
action. I muhtafu that it would be moot unfortunate
if tho idea gains popular credence that there ie u 000-.
rerted and dolihorato attempt being made by tits money
powers to increase centralized control of our nodonnt
Ma while our attention is fully oemtplcd with tlto
11tr00atiti0n of our noir effort, and that, thereby there
t0 ilevoloping 011 enducvoar to obtain an Unfair nd-
vnutage over the 3)011,0,1 by Weans of imposing upon
them n crushing debt structure midge w'hiolt they will
Ira further enslaved. I nit guru tbnt awry 111011 It 11010
gathering must he 05000,8 that eonoidm'abie suspicion
lits been 11 1.011/0/1 in tin minds ot many because of rho
intensity of the proinmmndn compe.ign and the great
expendituro of money and tho frolic and unworrtmted
haste that has been urged to connection with tho
adoption of ala Rowoll•Sirois recommendations,
Make no nl0ta100 about it, Not only the efforts to
gain the ard01tie,0 of these reeonlmendotious, int the
barrage of obviously inspired pro[rngnnda to Will sap-:
port fol tate "union now" proposals nom boon causing
growing nnaasiness 1n rho minds of many. Whether 1t
is marmot knowledge or not, we in Alberta nt'0 fully
infornatl on the action which was taken in Auslrailo
regarding this sinister propaganda. In that British
country they seem tohnvo mucic more direct methods
tion we have to deal with such natters. We uot0 that
inoteod 0,1 nllowiog the use of radio feeilitios for its
dloseminoliou, as ons dorm hero, they tented this
'union now" propaganda an beteg subversive to the
British empire 011d raised s001t a storm of protest that
public oddressos an the subject hod to be ubando,od.
Surely 10 mast bo evident to any loyal British sub -
host tint to sit easily and inclfter0nbiy by w1,110 wo
aro being hoodwinked and inveigled into a financial
dictatorship or n fnsciot state, fit a tints when WO aro
giving the best of our manhood to rho attire and aro
sicritiaing our all to 05ereoom tintfoul thing which boo
raised its head ]n alto world in many guises -it totnli-
00011111 ardor of oonlrnlizad control And tegtmontnfi1on-
is toot only ridiculous but dangerously criminal. I hnvo
no apology to make dor spanking thus,"
HON. J. L. ILSLEY, DOMINION MINIS7'ER OF
FINANCE, (Vol. 2, page 80:
"I appreciate the cooperation that the have 00 far
received from the provinces and I want to mutton in
partiollao tiro coopornthon from the provluoo of
Ontario."
PUBLISHED BY THE AUTHORITY OF THE GOVERNMENT OF THE PROVINCE OF ONTARIO
CONTINUER ON PAGE 7