AyglL 1g .1212 I... OPPQSIEION

(ggntifilled from Page l)"

missed an ex- iilfpvenlmfmgtzdwhen it made w“ :30 gesture in the Rhodes w “l?” “There was a chance, if 5... was one, to make a Bes- wward Imperial preference,

‘ reciptbCfll concession - f0!‘ whlch- had been ex- mdjffffiiffi‘, by Great iii-item." w an Opportunity "to cement "lotions for the Imperial @9- wmie conference" but the 80V-

xmgnt hlld 180 l‘ puss

Moves Amendment

w, Ralston ciinlaxed his speech wmoyjng an amendment. It would the House on record as say-

the government's fiscal policy M “on “arbitrary, ill-considered “d inordinate" and had the effect Iof stifling tgriculture and other mdustries, restricting trade and wmmerce and increasing unem-

wet" mm, “Business Like Statement"

rt was singular, said Col. Ral- mn, that the budget should be mum down by irnative. Nova gcotian (E. N. Rhodes) from the gone town as the financial Oppo- diion critic (Col. Ralstori) The gym-cl member said he must pay lrlbute to the "business-like state- mmt" presented by the Minister of pumice, lie had known Mr. Rhodes m; many years and was responsible for the minister coming into public

life inasmuch as he and Mr. Rhodes.

had an election against one another twenty-fours years ago and the present Minister oi Finance had been elected. '

The Minister, said Col. Ralston, iud presented in his budget speech efWednesday last the financial conditions of the country. “I have heard about colorless budgets but lain sure after going through this budget there is deep indigo in this one," he stated.

The budget had boasted pf Can- liie meeting her domestic and ex- ioaal debts. "Since when did Can- ada ever have to boast about meet- ing her debts," asked Col. Raistoii. "ll is a statement that might lead iotlie apprehension we were uri- lbie i0 meet our debts." '

The fact that the _Conservativc members had lauded Mr. Rhodes’ announcement that the Conversion 11.00 would save the payment of about $6.LJ0,000 in 1935 in interest cliargca did not seem sensible to Mr. llulston. ‘The Government was merely shifting the onus onto the oumlng generation by deferred in- tenet charges. When the Liberal party was in power it saved the country around $12,500,000 a year not by deferring interest charges but by paying off the prlmdple and thereby reducing the amount on which interest was due ifr. Rhodes‘ "hands were tied" When he spoke of the Conversion 1cm, suggested Mr. Ralston. bed commended the action of the Prime Minister in instituting the loan at sucha time and had in hot claimed the success of the loan Ill due io the Prime Minister. Mr; Relation thought the people of Can-

lila who had subscribed to the loan

ll! Iuch hearty fashion were re- Mnslble for its success.

Mr. Balaton claimed that a fa.- Vorsble trade balance was not “mmifily a satisfactory’ position. ll recalled that in February, 1931, mit of a total trade of $l,500,000,000 Wilda had had an unfavorable “mm of $10,000,000; but this year, With the trade of Canada standing ‘i 51.067,003,000, or declining by t‘ N Der cent, there was a small ‘zombie balance of some $25,000,- ! But, he asked, which was pre- mbie-to have an unfavorable

°° 0h a total of two billion h in trado, as in 1030. ornfo ." I favorable balance on one "mun. Is in 1002': 0

mllflllcl Government Figures A

‘Ur- Bennett had estimated rev- “ i" the year ending March M61932, as amounting m $403,000,. mchldifl! the four millions re- M from German reparations. "Peflditures were estimated at 04390-000. Of these revenues the Minimi- had considered to... firm‘ "lint in 0840000000: "llly the figure was $273,. Juzhzlllrim Mr. Bennett had amount of 070000000 h, . . ‘MS: estimate. Mr. Bennett's ea- "lhxll revenues of $403,000, mlmlom- .000.000 short of actual View“! mt ea ‘In u“ "f" °‘ u" Pm‘ “lithe Prime Minutes.‘ ah h u“ 1° revenue and expenditure M "i “d!” md more like "m" M?!" "lib a reliable mumeni. Col mum‘ “unfit

He.

think it was time to protest against

because the government had failed to keep its election promises. The reason that the budget was not balanced today was becausg m; Finance Minister as a member of the Government "had not the cour- I80 to impose taxation sufficient in Day tho cost of unemployment m. lief." The government had promised" to end n-employment. What it was actually doing was to -pa‘ss on‘ the cost of unemployment relief-tn fu- tilre generations, just as m; wgg of the war had been left for others to bear. He protested most strongly Bsainst this, Col. Ralstori declared.

‘ °Pl>0ees Loans To Loans

the rollins up of tiio national debt .

INSIDESTORY

(pontinued v from‘ Page ll

to the original ransom demand left in the ‘nursery 41 days I80-

It was a characteristic of than notes. believed to be the ctrllse signature, which convinced him he was dealing with the Illiie persons who left the first note behind as they fled. . . -

A ‘TRAGIC 131G!”

Branding the fiilure of e kid- nappers to return the victors namesake a. "tragic trick," the Washinsiou Evening Star published what it called an amusing story of events leading up to the payment of the $50,000. The paper said, Dr.

1h was generally understood that the Dominion had become respon- sible in one way or another, for about $50,000,000 unemploymbng and"! farm relief, with the murucipoiitionl provinces and railroads shouldering ,1 the responsibility for $00,000,000 i more. Col. Ralston deprecated this policy whereby the federal govern.‘ ment was making the provinces "subservient" through a system of loans.

“There should be a reconstruc- tion of the financial relationship between the Dominion and the Provinces," declared Col. Ralsicn, "so that the provinces and the m- minion will each be supreme in their spheres." The policy-"or incl; of policy"—in which unemploy- ment situation was met by "forcing the Provinces to pledge their credit is basically wrong." Continuation of this policy would lead to "financial catastrophe," the speaker declared.

The interprovlncial conference on unemployment, held in Ottawa, Sautrday, was referred to and ‘Col. Ralston declared it should have been held long ago. “A proper pol- icy to develop unemployment is long overdue This lack of policy, which has plunged the country into a debt of $150,000,000 will be laid at the doors of the present adminis- tration."

The budget had stated there was an increase in the unmatured debt of the Dominion, amounting to $110,500,000, col. Ralston observed. He then compared the total debt as of March 3i, 1931, $2,319,196,000, with that on March 31, 1932, which was $2,50l,'l82,000. The increase in the dead weight debt had‘ been some $182,586,000, instead of $119,500,000 as stated in thebudget of last week, which was the. net‘ debt-lie dcclerl ed. ‘ -= " ' ' “

The net debt of the country was comparatively unimportant; and what counted was the deadweight debt. In other words, he continued, the total amount of the solemn bonds and obligations upon which the-country must pay interest and meet at maturity.

"Facing that situation," he de- c1ared,,"this country instead of having increased its debt by $119,- 000,000 during the past fiscal yo... has actually increased its debt by $182,000,000." ;

The Liberal critic then compared the funded debt oi theccuntry on March 3i, 1930, with that for March 31, 1931, and March 3i of this year. “The funded debt of this country under the present administration had increased during the last two years by $307,000,000." Col. Balaton asserted.

John F. condos, a retired New York eduoationist, made the ransom ne- gotiations possible through a series of '13 newspaper advertisements signed "Jafsie." At Dr. '0ondon'o New York home ‘late in the day the person who answered the telephone refused to say whether he was there onto discuss any phase of the story printed in Washington. Details of the various contacts were described by the paper as follows:

wanna MEETING roox PLACE

. .

OnMarchicinauobsourespot on the shore of Long Island Sound negotiators for thekidnaippers held their first meetkig with represent- atives of the Lindbefflhs. Dr. Con- don and Henry Breckinridge, the flyer's attorney, were presented at the meeting. Lindbergh had obtain- ed a. complet set of his son's finger- prints foom toys and furniture in the nursery. He demanded a. set from the kidnappers. They refused. Instead they asked the $50,000 they demanded be left in a certain place, and promised, aifter they had 115d several days t0 escape, that the baby would be returned.

This colonel Lindbergh refused to agree to. As stated in a Jafsie ad- vertisement, he wairited 1i to be a "C.O.D." transaction.

CHILD 0N‘ BOAT?

Another meeting took place on March 24 near a ghostly cemetery and the next day e. Jafsie advertise- ment mentioned receipt of a. peck- age “accepted as the real article," apparently some article designed W prove the negotiators actually were acting for the real kidnflwm- Li" 01170110 night ofuApril 1 Lindbergh. Col. Bretkinrldge and d third man believed to have" been John libgarty, private detective called in byBffii-‘k- inrldge, left in Lindbersh’! w‘

' carrying two black suitcases and

heavy wraps. The money presum- ably was in the bfl-il-‘l- Whefeflwy went is not known, but the money was to have been tumed over to a representative of the abductor! on the following mornins- _

That day e. Jafsie advertisement said:

“Yes, everything OK." It was in- bgrpreted as a. notification to the kidnappers the money had been pflld. me promised answer con- taining directions for finding the baby followed. It said the child W88 an a boat off cane cod. On April 3 and 4 Lindbergh. Brecklriridge and at least one other man Wflc "611 in a plane in the vicinity of Mar-

What was the policy of the gov- emment in the matter of 'the Beauliarnois, Col. Ralston asked.

On the question of the Canadian National Railway, he said the bud- ' get did not include interest on Canadian National Railway" ad- vances even in the non-active es- sets. _

Turning to that part of the bud- get involving the increases in the rote of income tax and the reduced exemptio standard, Mr. Balaton termed it "the most sombre part of the address" The repealing of the deduction of 20 per cont from taxes payable, the 5 per cent surcharge on salaries above 05,000 and the lowering of the exemption for per- sons with dependants irorn $8,000 to $2,400 were discussed. The lowering of the, exemption standard was most vigorously attacked.

Another objection was that the Government wim’ taxing taxes, dc- clared Col. Ralston. The sales tax was figured after the duty and, in certain cases, the dumping duty had been added to the colt of the article. The Prime Minister, when in Opposition, had been strong in condemning this practice. Now he headed a Government which was indulging in it’ to the tune‘ of six per cent. .

'.l‘he budget showed e. reduction in trade of 100 per cent in two years, Colonel Balaton went on,

adding that he wished to protest against the barriers that were be- ing erected against the transaction of business. I Colonel Balaton denounced what he termed the Government's ex-| hibition of juggling with currency last fall. Ho recited the various or- derfiesocd by the Government. first that which declared the valu-

gtion of imports to be on the basis of current exchange rates, and the subsequent orders cancelling this. The advantage offered to the Cen- adian buyer in the exchange mar- kets was wiped out, he said, and the Government arbitrarily set the value of the pound sterling for the purpose of collecting special duty-

Despite the purported aid that would be given the country by the protection to home industries there was less employment in 1030 than in 1992, continued Col. Dalston.

Evan those particular industries

that had been given high protection had not benefited if their employ- ment figures oould be taken as criterion.

The Liberal party would welcome in everyway any arrangements which the government might be able to make at the imperial con- ference, said Colonel Balaton.

He reviewed the government's re- cord in mattcrl. of would trade. to show the oonetrictionof trade over a periodic! years It had been proved that the home market was not adequate; yet the government had "plugged up, every loop-hole that would permit reciprocal tild- ing."

High tariff was strangling trade, declared Col/Balaton. One heard this truism everywhere. He failed to understand why the Government would not accept it. 3

"The policy of the Liberal party was one of expansion, be asserted.‘ Itwestheilvllfiycfagoodtndel- m; It was a policy which recog- nised the importance of the basic industries.- 0mm needed tbs “fresh air offends on the seven sees." Oenede mint have an oppor- tunity to Widths and loll. .

Col. mime than moved the emeadmnt.

I I

THE ETOWN GUARDIAN

the’: Vmeyard, Meal. They. were looking for o. yacht named Billy or Nellie. They did not 1 ii- Tdesday passed without an explan- ation of why the agreement bid not been carried out. Oirwednudly I Jafsie advertisement read.

“What is wrong? Have W" @1059‘ ed me. Please better directions."

In addition to that story. the star said the original ransom note threat- ened death to the baby if 1101100 were called in, and the new 11w stated the abductor; at one time

—f— ’ dissatisfaction with tho publicity regarding the case and de- manded $70,000 but that the amount was cut down to the original $50.- 000 by efforts of Dr. Condom

Edward P. Mulmoney, New York Police Coaumieeioner, assigned de- tectives to interview the professor. after stating he knew nothins about Dr. Condos’; reported part in the negotiations. In connection with the Washington story. it was re- called that last Wednesday was the date on which the treasury dope"- ment issued the list of the bills Lindbergh turned over as the ran- som.

It also was recalled that Col. Lindbergh, in revealing he had paid the ransom, said several days were permitted to elapse after he had turned over the money before he asked the aid of the treasury de- partment. “to give the kidnappers Qvery opportunity to keep their agreement." .

A man located for qucstionlns last Friday by New York Police was disclosed today to have been named Sylvan Ortlidb. Col. H. Norman Schwarzkopf, stats police said, said the man came voluntarily t0 Hope- well, was questioned and returned home Friday night.

“The ststcme -t taken from him is being investigated," he added. It

was assumed Qrtiieb was the same mm sohwurzkopg last night de- scribed es a "noted character" whose story was being checked. The police superintendent inferentially denied Col. Lindbergh had paid more than $50,000 ransom. He was asked if B published ream the fiver had paid $100,000 were true andreplied the question had been fully. answered in Saturday's bulletin, which ari- ounced the payment of only 850.000 Governor A. Ilhrry Moore said: he was continuing his nerwmil in-i estigation of the kidriwbins andf had spent all yesterday ifliiefvlewlllfl persons who tbousht they has valu-' able clues. He made it clear he did not intend, howvvfl‘. $0 "k6 0V" complete charge of the police in- vestfgatfon.

MINISTER

(Continued from Page 1)

q-uming m the Liberal amend- ment, Mr. Stevens referred to the first part which states that increase in customs were arbitrary and ill- coneldered. '

"I would say this," Mr. Stevens stated, "that if action taken under difficult circumstances where a government is called uporfln X11990 the most unexpected incidents and difficulties is taken promptly and my hon. friend (Col. Ralston) wants to apply the term arbitrary to such action then he will say some of the actions of this govern- ment have been arbitrary. Necessity made them so."

In regard to the suggestion of stifling agriculture, he would show the real causes for that ‘stifling. On the suggestion in the amendment of trade and commerce having been restricted, Mr. Stevens said "we restricted imports when these im- ports were centering Canada under conditions prejudicial to the inim- eats of Canadian industry and our Canadian people"

To any suggestion that the ad- ministration bad increased unem- ployment, w. Stevens said he ans- wered "In emphatic ‘no!’ On the question of fixing values for duty purposes on certain goods entering Canada, m. Stevens stated that such action by order-in-council was always proper to the Liberal party providing it was in office.

He turned to the Conversion 10m. Liberals had been stating for sometimethatthetimewsscom- ing when with the maturing of eomeofthelargewarloenssericus financing must be done. That ser- ious financing was done, Mr. Stov- ena stated, and it was successfully doneltrglly because of the “fore- sight and the skill of the Prime Minister."

Col. Railbon had suggested there wen; some siniltcr motive in-the

this? Again, the sum of $41,000,000

_ vanes.

Government coming to the assistance of the provinces. '11» two old provinces, declared Mr. Simona and the Maritime Prov- inces with their well-established methods of financing had been Iblc to finance themselves up to the pmlenLItweltruethattheDo- minion Government had to render eminence, though, in the movement d laid. but morally sneaking‘ these provinces were pretty well In! after themselves: but,

ebb the all!

to other provinces ‘confronted as‘ were in regard to three of.

them with a loss of revenue through wheat crop failure, and with the collapse of the exchange, found it difficult to meet conditions excelfi at exhorbitant costs. The Domin- ion had rendered assistance and if the Government was in be subject to criticism for this course, “let the‘ oppositiou put it on record and‘ say so." ‘

"Where is the tariff board," asked Col. Ralston in launching in- to his attack on the practice of “manipulating? the tariff byorder- iii-council. Canada's tariff sched- ules had become a “mere formality" because they were changed over- night by fixing arbitrary values for duty purposes This led to uncer- tfllllliy 11110118 importers, general confusion in industry and a steady drying up of Canada trade.

Citing a long list of commodities affected by orders-in-council, Col. Ralston said duties on woollen and cotton blankets had been increased from 350 to 400 percent; gloves and mitts, 100 to 150 per cent.. child- man's socks, 300 to 350 per cent, and earthenware dishes, 100 to 133 per cent on a list of goods ranging from thumb tacks to toothbrushes, the duty values had been increased, none of which were reflected in the tariff schedules.

In s. reference to unemployment relief policies, Col. Raiston said: “This system of affording relief by forcing the provinces to pledge their credit, is basically wrong and is going to lead to financial dis- aster in this country." In the last two years, the federal and provin- cial governments and the munici- psllties had piled up a debt in this connection, totalling $140,000,000.

Mr. Stevens remarked that ex- penditures had increased by $6,500,- 000 as compared with last year.

There had been inescapable and unavoidable expenditures account-f ing for $31,000,000 through increases

| in provincial subsidies, old age pen- i

slons, war pensions, ex-soldiers’ care, census and the Canada Grain Act and. several other items. So that in reality the government had effected a retrenchment of $25,000,000 in the past year.

The test of items which made up the debt increase was whether or not the Govemirienhwas wise to expend 'the money, said Mr. Stev- ens. For instance, the amount util- iced for provincial government re- lief was $22,000,000. Was the gov- ernment to be blamed for doing

had been advanced to the Canadian National Railways to meet deficits. This was a cash advance. Was the government Justified in advancing this money, or was it not? The Op- position financial critic would not blame the government for that ad- He knew that the Canadian National must have the money if it were to continue.

Deficits were not confined to Can- ada, asserted Mr. Stevens. In the United States the deficit amounted to approximately $2,122,000,000. Ger- many had e. deficit of over $100,000,- 000, other countries in Europe were in the same condition.

‘Th8 same thing applied in the field of trade. Canada showed a decrease in exports of 31.8 per cent. In the United Kingdom, the de- crease was 31.9, per cent. The fall in the United Statcs was 30.9 per cent, and similar in respect to im- ports and to the total of world trade. He mentioned these facts, said Mr. Stevens, to show that con- dltions in other parts of the world were similar to those in Canada, and that the Dominion was no ex- ception.

Low commodity prices were the most serious thing in the world to- day. The value of money-the pur- chasing power of money seriously affected the situation. And money values were low. What, asked Mr. Stevens, would happen if the sys- tem of weights and measures fluc- tuated as the value of money did. He thought that Canada should en- deavor to secure an increase in com- modity prices, but such a thing could only be brought about by in- ucs ational negotiation.

Debt was the second factor. The world, said Mr. Stevens, was “sunk in a morass of debt.” Germany was not budge" ,, to meet her repara- tions payments. The weight of debt had been doubled due to falling commodity prices, and the present debt burden, as far as the nations of the world were concerned, was! almost unbearable. How could this . be modified. It could be modified by raising price levels.