account. In the other States they make full inquires and they only give a man 50 per cent. on land of good sound value. Take the New South Wales Commissioner: he came over here and expressed the wish to Mr Holman to spend as long a time as he thought fit. when he was going away he said he would not have my job for all the tea in China. I asked him what they did and he said they advanced 50 per cent. on land that is worth something; of the work he is going to do nothing more.

8679. By Mr PAYNTER: Your system is to give the land free and when a man has established himself and made certain improvements and has some security you would then give him something? - My idea is that a long term is best. Men do not feel it until they get a drought but now they are obliged to pay their rent before they grow a grain of wheat. You cannot except a man to go straight into the country and grow wheat and make improvements, and if he does not do this he is fined. The department finds the land; we find the man the money to make the improvements with, but the Land Department finds the man; we have not the first call. Did you ever hear anything like it. The man who had the mortgage you would think would have the first call.

8680. By the CHAIRMAN: Do I understand that there is a land board here? - Yes, a land selection board.

8681. That examines applicants for land? - Yes

8682. As to their suitability for settlement? - Yes, but you know what it is; we are trying to people the country and men come along and take up the land.

8683. Do you suggest that the present examination is a farce? - I do not think it goes as far as I should go. Unless a man knows something about farming, he should not be allowed to go on the land and it the man who knows nothing who makes the greatest howl. These men should prove themselves. If you were in control of a banking institution and a man came to you for money to start a drapers shop you would find out first if he was a draper.

8684. By Mr VEEN: In the country we came across a man who was a wig maker and he wondered why he could not make the land pay? - There are so many things to look at ; it is not quite as it should be. That is my way of thinking, but I can not alter it. I have tried with every minister. When Mr Wilson came in, he was asked that the bank should be removed from political influence and the answer was, "Why did you not do it when you were in power before. You ask us to do it because you cannot trust us." 8685. By the CHAIRMAN: Who asked Mr Wilson why he did not do it? - Mr Bath. 8686. Then Parliament has expressed its opinion? - Every Labour man I have spoken to has expressed his willingness, but when one party goes out of power they say to the other "Why did you not do it when you were there?" The trustees should be removed from any political influence. No member of Parliament in South Australia except on his own business is allowed to go to the Commissioner, and so it should be so here. And if Parliament is not satisfied with the trustees, then both Houses of Parliament should vote them out.

8687. The trustees should be appointed for life? - Yes, and if Parliament is not satisfied it should vote them out. There should be no influence by politicians at all. There is no doubt that the quarter of a million of money lost by the Agricultural Bank is the best money that has been expended in Western Australia. To-day, without that money, Western Australia would have been bankrupt. The fruit has gone; we could send all the gold we have in half a ship load and we eat the food we produce.

8688. As I said before, the Agricultural Bank in the early days of settlement was invaluable stimulant to settlement? - As I have said before, if you choose your men you are right. Let me give you an instance. The late Mr Throssell bought a block of land at Northam and he cut it up into sections, not big properties, and he selected the sons of farmers, men that would work for him, men he knew well. He said nothing to them about it, he had the blocks surveyed and then he called the men into his office; he had to talk with them and he said, "Here, Bill Jones, here is a block of 400 acres; you take that; but here is an agreement to sign, and you can go to the Agricultural Bank and borrow from them and when you have made money you can pay them off. That proves that if you choose your men you are right; he did not make a single mistake.

8689. By Mr PAYNTER: Do you say that the time has now arrived to make a discrimination? - I think it has always arrived.

8690. By Mr VEEN: The man is your main asset? - The best. The whole crux of the position is that you must appoint your trustees for life. I do not want it; fix the age at 70 if you like and I am out, but I want the bank put on the right lines before I leave. Mr Mitchell has expressed opinion that he will do it and I do not think there is anyone who will object to it. If the trustees are appointed for life, they can do as they like. Everything will be done on its merits. You cannot have a man then saying "I will bring this before Parliament; I will see the member for the district." You have to battle all this down as well as manage all the business of the bank.

(The witness retired.)

_______________

EDWIN AUBREY McLARTY, Assistant General Manager of the Agricultural Bank and Industries Assistance Board, sworn and examined:

8691. By the CHAIRMAN: What is the total amount of advances made by the Industries Assistance Board? - The amount outstanding to the 31st March was £1,283,063.

8692. Does that represent the total advances made by the Board? - That is the total amount owing to the board on that date. It includes the advances made for farming operations, machinery, horses, land rents, bank interest, land tax and Roads Board tax. It includes an amount of £32,815 in connec-