‘2

4

The Author

RENEGADE IN POWER:

The Diefenbaker Years I

By PETER C. NEWMAN INSTALMENT 7: DONALD FLEMING (-gypts taken from the much longer version con.

lained in RENEGADE IN POWER: THE DIEF- ENBAKER YEARS. copyr-ght Canada. 1953,

I Parliament Hill I the Ottawa

nters Denies Rumor Of Return To Federal Field

.» TORONTO (CPI — Robert H. Winters, former federal public 'works minister. as de- nied a report he will return to federal politics in a Montreal Ibyelectlon Feb. 10. ‘ A Halifax report said Tues- .day it was learned that Mr. Iwlnters would re - enter politics

The Subject.

observer for I

Citizen, once re- marked. “He beats it to death.

peter C. Newman: published by McClelland &

Stewart.

On the basis of dedication to his portfolio and his capacity for sheer hard work, Donald Methuen Flem- jng should have turned out to be the best Minister of Finance Canada ever had. Instead, he became both the chief victim_ and the agent provocateur of John Dief- enbaker’s picaresque fiscal adventures.

During_tl_ie five contentious years he spent as Canada’g Minister of Finance, Fleming appeared to be the most formidable member of the Tory cabinet, beating off the impious assaults of political opponents like a Salvation Army major decrying the taunts of St;-eel-COl‘nel‘ drunks. But all the time. this show of be- sjeged righteousness was really the mask for a be- trayal of the financial orthodoxy that was the most cherished of his political beliefs. Even in a cabinet where conflict between ideals and expediency was re- garded as a sign of_ weakness. Fleming stood out as a man who compromised his principles.

The minister of finance is normally closer to the prime minister than any other member of the cab- inet. enjoying a kind of veto power over the spending plans of all_government ‘departments. Under Diefen- baker, Fleming never achieved this status. He was con- stantly overruled and frequently not even informed ahead of time about new major spending proposals. Rather than insist on his prerogative, he failed to exercise it, and so lost it altogether.

The dimensions of Fleming's surrender were im- pressive. He served as Minister of Finance for 1,874

collected during his tenure amounted to just over $32 billions, while expenditures totalled just over $35 bil- lions. This fact meant at Fleming was responsible for spending an average of $1.56 millions more per day than he was taking in—-a record in peacetime deficit financing not surpassed even during the Depression of the ’thirties. (Between 193] and 1939 the federal government’s daily deficit averaged $329,000.) will an astonishing performance for a man of Flemiiig’s background and character. who viewed the slim evidence of extravagance in the national estate with the disapproving eye of a pairsimonioiis club steward. and was known to argue with members oi’ his office staff over ten»-dollar expense accounts, The dichotomy between his nature and his performance gave rise to a verbal rumpus over Flerm'ng‘s qualities. both as a mom and as a minister. THE BEST ARMED MAN IN CANADA He was admired in his department for his knowledge and addiction to work and won the respect of delegates at the many international conferences where he represented Canada. senior Bank of England official. who had dealt with many Die-fenbaker's ministers. once remark private conversa- tion. “I am impressed by Mr_ Fleming, as a one-eyed‘ man im- presses one in the world of the blind"

chunky-shouldered. compact man with a Napoleonic gait that expressed his determination to deal with all obstacles in fearless collision, Fleming consecrated ritualistic energy to lids work. denying himself the release of total relaxation. He oschewed alcohol and tobacco and rarely entered into irrelevant pleasures of any kind. “May I say very humbly," he told the Commons at the close of his first budget speech, “that seven- teen to eighteen hours work per day and a hundred hours work per week are an insignificant price to pay for the high privilege of sewing Canada." The remarks prompted Jaime-s Sinclair, then Liberal financial critic, to whisper. “hf conceit is the small Tman‘s sword. Don's the be-st-armed‘ man in Canada." Whether or not Fleming actually had a sense of humour. it usu-ally remiained buried in his preoccupation with detail. Dur- ing the 1955 convention of the Canadian Bar Association, to which he was a delegate, Fleming stood up before a subcom- mittee of two hundred lawyers and argued against a proposal for changing the Canada Evidence Act. on the grounds that a semi-colon had been oiriiitted.

NEVER ADMIT WRONG Fleming also possessed a lim- itless faculty for self-delusion. He was able to believe only what he wanted to believe, and would never admit to having b ea n wrong about anything. When pol- ilical circumstances changed. Fleming would simply execute a complete turnabout in posi- lions, then defend his newly ac- tiuired stand with exactly the same pious vigour he had pre- viously expended on the vindica- tion of diametrically opposed ideas. Such vehemence seemed in be based on Fleming‘s con- viction that he could. by defini- I-ion. never find himself on the “T011: side of any argument.

MERCHANDISE

0 :1 Q

Fleming’: dogged opposition to the British application for Com- mon Market membership, the unhappy results of the 1958 con- version loan he sponsored, the unexpected size of his deficits despite his painful dedication to balanced budgeting, the way he handled the Coyne affair in 1961. the sudden mid- campaign dol- lar devaluation of 1962- these and many other issues that left his judgement at least open to question were defended by the Finance Minister with a savage fury that obliterated any admis- sion of even the possibility of the slightest error. “Don Fleming doesn't just fight an issue," the late Austin Cross. ii veteran

'-4FRCHANDISE

days and tabled seven budgets. The federal revenuesi

Then cuts its throat, slashes iu wrists. throws acid in its face. and sets fire to ‘ ." RIGHT-WING TORY

Donald Fleming was the epi- tome of the right-wing Tory. He regarded the NDP-CCF as an ut- terly irresponsible movement. and liked to boast that “there is no creeping republicanism in the Conservative Party."

Fleming’: political ideology was easy to classify, but his fis- cal philosophy was less clearly definable. It seemed to begi and end with his Holy Grail at- titude toward the desirability of having federal budgets that are exactly balanced-— no surpluses, no deficits. In effect, this meant that Fleming spent the Diefen- baker Years vainly attempt- ing to set limits on the political- ly motivated spending plans of his cabinet colleagues. Probably the main reason he failed was that in trying to block higher spending requests. he and his officials seldom offered alterna- tive methods for stimulating the economy. Fae by the tw main factions in cabinet—- the ministers advocating higher wel- fare benefits and those urging the adoption of industrial a development incentives to stim- ulate private capital investment Fleming came down against both sides. since their ideas ran counter to his hallowed objec-

've of balancing the budget. UNFLAGGING LOYALTY

As a result. budget- making under Fleming returned to tli concept at e government only taxed to raise funds. The combination of the ever- mount- ing financial commitments made by the Diefenbaker cabinet and his own continued avowal of balanced budgeting never allow- ed Fleming to use taxation in its more imaginative application, as an instrument for modifying the nation’s economic climate.

When he was trying to repair his cabinet following the mas- sacre ot the 1962 election. Dief- enbaker realized that the one absolutely essential move was to replace Fleming at Finance. He transferred him to Justice, dis- placing David Fulton. and mov- ed the amiable George Nowlan into the senior fiscal post. Donald Fleming's loyalty to e Chief was unflagging through the Party crisis that cli- maxed in the dissolution of Par- liament on February 5, 1963. But at about this time. his taste for politics was blunted by a family tragedy. and on February 18. 1963, he dictated a five- para- graph letter to the Prime Minis- ter, tendering his resignation. “The s come," he wrote, "when the exactions and sacri- fices imposed by public service are too heavy to be continued."

NEXT: Allister Grosart

«- 3'

‘president of Rio Tinto Mining

I‘ poration, developers of the by-

as heir-apparent to Prime Min- ister Pearson as national leader of the Liberal party.

The report said Mr. Winters.

Company of Canada. had been deemed acceptable as a candi- date in Quebec because of his connection with th proposed Hamilton Falls power project in radar.

Mr. Winters is a director of

the British Newfoundland Cor-

t‘ as U‘

dro project.

The project would sell most of the 6.000.000 horsepower it would produce to Quebec.

Mr. Winters said in an inter- view here he was keeping close to politics, but had no “specific" invitation to submit his name to any leadership convention.

Mr. Winters was in the cabi- net of former Liberal prime minister Louis St. Laurent.

., INew York Stock Turnover lls Greatest In 20 Months

NEW YORK (AP) —— Stocki market trading last weekl soared to the greatest total in 20 month but prices were mixed and cross current pre- v

ailed. Some, but not all stock mar- ket averages touched all-time

g peaks as a selection of blue

chips moved higher. American Telephone, for instance, ended the week at 144. i highest price in history.

The news was not so good for holders of many outstanding steels, motors. oils, airlines and cigarette stocks. The latter re- acted to the harsh U.S. govern- ment report on smoking and health. At the same time, there was a bull market in the stocks

cigar manufacturers because cigar and pipe smoking were treated mildly in the report.

Rising world prices for copper and domestic price boosts for aluminum: gave these issues rallies, although the coppers re- lapsed later in the week.

One of the significent aspects of the week's trading was heavy trading in a number of vol ' issues, most them in the electronic and drug industries.

This activity was partly re- sponsible for the rise in volume

last week to 30,598,439 shares

atile ember 29th. 1963

._g..nuvhIa~.-~3-4-

'I‘his snowy owl is one of the two new additions to the wildlife park at North Rustico. Not a native of the Maritimes the snowy owl usually makes an appearance in numbers

The Dow Jones industrial average rose 1.36 to 775.69.

Of 1,491 issues traded during the week, however. 670 declined and 652 advanced.

The Associated Press average of 60 stocks made a moderate gain of .6 at 290.0. after touch- ing a record high of 290.2.

Standard and Poor's 500-stock index touched a record of 76.64 before closing the week at 76.56

G. D. Searle. the first stocl admitted to the New Yorl Stock E x c h a n g c this year erased its initial big gain an: sank 9 to 66%.

OBITUARY

Inserted by friends and rela tives as a tribute to the deceas-

CLAIR JOHNSTON

The community of Peter's Road and surrounding districts were saddened by the sudder passing of Clair Johnston at hir late residence In the early morning hours of Friday. Nov- . Mr. Johnstor had been in failing health for the past year. but was never heard to complain. He bore his illness with unfailing courage.

Son of the late John MacDon-

from 27,043,987 the previous week. It was the greatest total since the week ended June 2. Iissz lclianged hands.

Shastri Foreseen Nehru Successor

Dairy Production Figures Released

OTTAWA (CPI - Production of cheddar cheese. ice cream mix and evaporated whole milk was up in 1963 as compared with 1962, the bureau of statis- tics reports.

0 of creamery

butter

and

OWII.

Cheddar cheese production rose to 135,906,000 pounds from 116,558,000 in 1962, ice cream mix to 23,228,000 gallons from 21,789,000 and evaporated whole milk to 304.1-13,000 pounds from 287,395,000.

Creamery butter output de- clined to 349,686,000 pounds from

1. , while skim mi ipowder dropped to 176,846,000 pounds from 192,389,000.

Margarine production in Can-

WANTED

ada in 1963 declined 7.9 per cent to 171,913,000 pounds from 186,-

F01‘ Bgtod grades of scrap material. delivered to our yard on 5°6v0°° l“ 1962-

TRIPLETS BORN WINNIPEG (CF) -— Triplet: have been born here to a youth-

lful grandmother whose family

is living on welfare. Two girls and a boy were born Saturday to Mrs. lroux. W, neighboring Transcona. already ii mother of nine. Her husband,

hur. 58. s ring from a heart condition. has been out of work five years.

2

put skim milk powder was 7"

Ke rect, we are paying the following prices: IRON 8: STEEL SCRAP . . . . . . . . . . . . . . . . . . . . .. $12.00 per TON HEAVY COPPER . . . . . . . . . . . . . . . . . . . . . . .19 Cts. per Lb. LIGHT COPPER 17 Cts. per Lb RED BRASS 16 Cts. per Lb YELLOW BRASS 13 Cts. per Lb I RADIATORS ...... .. 00 Batte es $1.00 ea 11 ALE BOTTLES . . . . . . . . . . . 20c Der doz 158 Kent Street Charlottetown

MAURICE BLOCK CO. LTD. ‘ 150 Kent st, Charlottetown <

EMPLOYMENT

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ATTRACTIVE POS

A large Charlottetown firm requires

countant.

with pension, group welfare insurance benefits.

.For a Personal Interview

Charlottetown

ITION

AVAIIABIE

a young male ac-

Tliis man must have experience in all phases of accounting, office routine and capable of .9UP°"""""9 ‘Tall-

, This position offers to the right man a 9°°‘l ‘l'°'"ll"9 ‘°l°'V

a n d other fringe

OPPORTUNITY FOR ADVANCEMENT

Write:

GUARDIAN PATRIOT BOX 19594

NEW DELHI, India lAP)—A little statesman who lost the home ministry in a cabinet shakeup last fall seems to be regaining standing as the most likely successor to ailing Prime Minister Nehru.

He is Lal Bahadur Shastri, 59, a slim five - footer who was highly regarded as prime min- isterlal timber before Nehru dropped him from the govern-

ent.

A mild-mannered disciple of Mohandas K. Gandhi. Shastri had made a reputation within the ruling Congress party and the cabinet as a self-effacing mediator of differences between right and left wings.

whe n 40,563,230 shares a

aid Johnston and his wife, Cairo- line Graham, Clair was born ai

ed greater part of his life. He was a graduate of the Charlottetown Business College.

Clair, as he was known, spent most of his years as a fisher- man at Graham's Creek, where he had a host of friends among the fishermen and factory work- ers. Being of a kind and gentle nature, he was a great favorite of the children. and especially his grandchildren.

Besides his sorrowing wife. the former Lottie Collings of Sturgeon, he is survived by two sons and two daughters: William D., Halifax. N.S.: Russell R. at home; Muriel B. I Betty). (Mrs. Guy Reid), Peter's Road: and Anne E.C.. Toron-to. Also, three grandchildren: Suzanne Reid, Wayne Johnston and Ron- ald Johnston and three broth- ers, Harry, George and Donnie,

McNaughton

u. Suggests Delay

On River Treaty

OTTAWA (CP)—Gen. A. G. L. McNaughton suggests signing of the River treaty protocol. exipected Jan. 22 in Washington, should be delayed until Parliament has had a chance to study the whole question.

He also said in an interview that the federal government ap- parently has ignored his offers of advice on the huge project. Gen. McNaughton said he ex-

ed the offer in long discus- sions with External Affairs Min- ister Martin. chief Canadian ne- gotiator in talks with the United

ta s, and in an exchange of letters with the minister.

“But it doesn't look like they've taken It," although he would reserve judgment on that score until he knew what the draft protocol contained.

1- fl

VITAL STATISTICS

ENC-EAGEMENTS

— SENTNER —- Mr. and Mn. Erie Laird. North Milton, announce‘ the engage. ment of their daughter Marilyn Anna, to Clifford

Ivan sentner. New Wlltshlrel Marriage to take place in

all of Peter's Road.

The funeral was held on Mon- day, Dec. 2nd. 1963. from Peter's Road Presbyterian Church and

therefore have sorrow; but I will see you again. and your heart shall rejoice. and your joy no man taketh from you." Congregational

Fehniary.

"The Haven “A-bide With Me". -MacLean, a life-long and neighbor, sang "The Mile of the Way". Pallbearers were Stanley Col-

lings. Carl Graham. Grant Gra- ,

ham, Gerald ‘Johnston. Marvyii Johnston. and Blair Macswain. Flower bearers were- vi-an Butler, Merrill Butler, Windsor Carney, Gerald Graham. Carl Johnston. Earl Johnston, Glen- don Johnston. Howard Steele, and Harry Vanlderstine.

si esteem in which the deceased was held. Interment took place in Peter’s Road com is

cARo°'6I'= THANKS

The family of the late Clair Johnston wishes to express ain- cere appreciation to all who sent flowers. cards. and letters of sympathy. Also. a sincere ‘thank you‘ to all kind friends and neighbours who helped In any way during their recent and bereavement.

EMPLOYMENT

EMPLOYMENT

SALESMAN

REQUIRED

by Retail Building Supply Company References Required.

Apply in writing to-— Guardian - Patriot Box I9595

Charlottetown Stating age, experience and salary expected.

1 I

only when tlicre is a shortage of food in its normal tundra habitat. Studies have proved that in most cases owls are beneficial to the farmer as they prey on rodents. In most

provinces and states they are protected from limiters the year around with P.E.I. being an exception. The other ad- dition to the park is a great horned owl.

Reynolds Tobacco lost 1%. Helene Curtis gained 5%.

gshares: Tektronix, up “I: at I263/4; Parke. Davis, up 3% at

The most active issues on the 36%; Chrysler (newl. off 1% at ‘New York axc h ange were 40%, and American Motors. off Xerox. up 5% at 893/4 on 321,300 ,1 at 151/.,

Quality insulated New

HI CUTS Laced to toe. Olive ipper. beige sole, 20

savings

below zero protection. sent our

Be early from the crop!

‘i I A_quart of rye purchased at

overshoes, slippers, shoes, rubbers? Here's your chance to get them at substantial brand names. the qual- ity. and the style of the merchandise as we pro-

JANUARY CLEARANCE

,The Guardian. Charlottetown. Mon. Jan. 20, 1064. 11

IOnt. Plans Boost In Liquor Prices

TORONTO fCP> — Liquor to increased Ithroughout Ontario Feb 1, it was learned here.

uor Commissioner G.’ her ot- ‘. s department met I 3“,

Friday after receiving propos- als for an‘ increase from On-

‘ Itarlo's distillers. I One report said the increase , °

.might range between 50 and 75 cents for a 26-ounce bottle.

» la Liquor Control Board of On-_

hoose your own subjects.

$4.50 and up, depending

Ion. the brand. Gin prices are‘ labour the same. but scotch higher.

CLASH IN ANGOLA I

LISBON, Portugal «Reuters; Portuguese forces in northern lAngoIa inflicted "very high cas- Iualiies" on insurgents in the. area between Jan. 8-15. accord-i ing to a communique issued in - ‘Luanda. The communique saidi iflovernmenl casalties weroi two killed and 11 injured. ‘

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SALE BEGINS MON DAY 9 A. M.

Light Weight Zipper Overshaes Black. 1st qality. Bel- lows tongue. Made in

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reg. 4.99

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This group consists of sev- eral styles of 4.50 to 6.00 quality shoes. black. with laces or gores, soIes—neoIit~e or moulded.