April 25, 1950

LIB

Louis-René Beaudoin (Deputy Chair of Committees of the Whole)

Liberal

The Acting Speaker (Mr. Beaudoin):

I am

sorry to interrupt the hon. gentleman, but if I am not mistaken I heard him accuse the hon. member for Athabaska (Mr. Dechene) of misrepresentation.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

Frederick Davis Shaw

Social Credit

Mr. Shaw:

I said that it reminded me of misrepresentation and distortion.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

John Horne Blackmore

Social Credit

Mr. Blackmore:

Pretty mild language at that, considering.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

Frederick Davis Shaw

Social Credit

Mr. Shaw:

May I finish the quotation, which is as follows:

-when these people tried to get their money they found that they could not even collect from the provincial government of Alberta.

Of course his statement is not correct. The inference is that it was the Social Credit government of Alberta that reneged on the redemption of the provincial savings certificates. We know that the Liberals in Alberta have been using that argument, have been endeavouring to capitalize upon a situation in connection with which the people did not know exactly what had occurred. Let me refer to the Bank of Canada report of 1937 where reference is made to these savings certificates in Alberta, and I quote from page 9 as follows:

A particularly vulnerable feature of the Alberta debt should be mentioned. In 1917-

That was under a Liberal administration.

-Alberta initiated the policy of selling savings certificates which were payable on demand. Originally sold to yield five per cent compound interest, and altered in 1921 to five per cent simple interest, and with administration costs of less than one-fifth of one per cent, they provided funds at a somewhat lower rate than was then available in the bond market, a comparison of rates which took no account of the fact that the certificates constituted demand liabilities.

This is significant.

No reserve was set up to meet any sudden demand for redemption. As the sales were vigorously pushed, and the total outstanding steadily grew (to $41 million in 1922),-

It reached almost $9 million by 1935.

-a constant threat to the cash position and solvency of the province existed.

It was the United Farmers government of Alberta which in July, 1935, suspended payment on those provincial savings certificates because there was no money in the treasury with which to redeem them.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

John Horne Blackmore

Social Credit

Mr. Blackmore:

They were unable to borrow money.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

Frederick Davis Shaw

Social Credit

Mr. Shaw:

Owing to the policies of previous administrations and those which I have enunciated, my province was placed in the position where it could not borrow. The Social Credit government took over the reins of office on September 3, 1935, and at that time there was not even enough money in the treasury to pay the civil servants their salaries.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

William Duncan McKay Wylie

Social Credit

Mr. Wylie:

I was one of them.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

Frederick Davis Shaw

Social Credit

Mr. Shaw:

The hon member for Medicine Hat says he was one of them. When the hon. member for Athabaska says that in his own town of Bonnyville they were unable to secure these funds to build a school, he is not stating what is a fact. Under the very capable management of my leader, who was provincial treasurer, the moneys that were available were apportioned. I am assured by my leader that the situation referred to by the hon. member was met.

It is like waving a red flag in front of a mad bull to remind the hon. member for Athabaska of what has transpired in my province since 1935 under a Social Credit administration. As I have said already, instead of pursuing asinine policies, they slashed approximately $50 million off the provincial debt and they established the lowest average interest rates on their bonded indebtedness of any province in Canada. Many non-Social Crediters in all parts of Canada who know the facts about Alberta have asserted that that province now has the brightest future of any province in Canada.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

John Horne Blackmore

Social Credit

Mr. Blackmore:

If it does not elect Liberals again.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

Frederick Davis Shaw

Social Credit

Mr. Shaw:

I do not know just why it is that the hon. member for Athabaska, who is an Albertan, who is a pioneer of that country, should not be able to face up realistically to the facts.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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?

An hon. Member:

He is getting too old.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

Frederick Davis Shaw

Social Credit

Mr. Shaw:

I do not understand why he does not decide to face up to the facts as they are and not endeavour deliberately or otherwise to distort that which is the fact, or mislead or confuse. Mr. Speaker, I see you are anxious about some of my expressions and I shall watch them very carefully.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

Charles Edward Johnston

Social Credit

Mr. Johnston:

Quite mild.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

Frederick Davis Shaw

Social Credit

Mr. Shaw:

I shall try to keep within the rules.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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LIB

Louis-René Beaudoin (Deputy Chair of Committees of the Whole)

Liberal

The Acting Speaker (Mr. Beaudoin):

Per-naps it would help the hon. member if I read citation 297 of Beauchesne's second edition, which reads:

The imputation of bad motives, or motives different from those acknowledged, misrepresenting the language of another, or accusing him, in his turn, of misrepresentation, charging him with falsehood or deceit: or contemptuous or insulting language of any kind; all these are unparliamentary and call for prompt interference.

Perhaps I should also remind the hon. member that the hon. member for Athabaska is not present.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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?

An hon. Member:

He should be here.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

John Horne Blackmore

Social Credit

Mr. Blackmore:

It is his own fault.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

Charles Edward Johnston

Social Credit

Mr. Johnston:

He should not make these statements and then run out.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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?

An hon. Member:

He is afraid to be here.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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SC

Frederick Davis Shaw

Social Credit

Mr. Shaw:

Yesterday the hon. member for Athabaska referred to an incident which is presumed to have occurred in my province in 1938. He said he was there at the time. He referred to the occasion when a certain member, I believe for Edson, returned to the legislature of the province. He referred to what was presumed to have taken place within the assembly upon Mr. Unwin's entrance into that institution, and he said this at page 1819 of Hansard for April 24, 1950:

I was right there and I know what I am talking about. X challenge anyone to deny it when I say that when Mr. Unwin came out of jail to resume his seat in the legislature there was a snake dance on the floor of the chamber led by Aberhart.

Topic:   THE BUDGET
Subtopic:   ANNUAL FINANCIAL STATEMENT OF THE MINISTER OF FINANCE
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April 25, 1950