The Sun.
London, England, 1860-07-13 00:00:00

The clauses up to 128 were agreed to, with the excep
tion of clauses 102, 105, and 115.
The house suspended sitting at four o'clock.
The house resumed at six o'clock.
THE GALWAY CONTRACT.
Mr. CORRY asked the Secretary to the Treasury whe-
ther the assignment of the Galway contract had been pur-
chased by the Montreal and Ocean Steam Packet Company
if so, on what terms the purchase had been effected, and
what modifications of the conditions of the contract had
been sanctioned by the Government.
The CHANCELLOR of the EXCHEQUER—In reply
to the right hon. gentleman's question he would, in the
irst instance, take notice of a question which the hon.
member for Liverpool (Mr. Horsfall) had put upon the
paper, and in doing so it would not be necessary, as the hon.
ientleman would see, to enter into many details on the sub-
ject. It was true that an arrangement was made between
the Montreal and Ocean Steam Packet Company on the
one side, and the Galway Packet Company on the other, for
the assignment of the Government contract to the former
company ; but that arrangement was of necessity subject to
the consent of the Government. An application was
accordingly made two or three days ago to the Go-
vernment for that consent, the copy of the assignment
being at the same time placed in their hands. At the same
time an intimation was made to the Government that the
answer must be immediate, as the matter would not bear
time for consideration. Under these circumstances the Go-
vernment really were precluded from fully considering the
question on its merits, and had no hesitation therefore in
replying, without at all intimating what would have been
the result if full time had been given for consideration, that
they would not sanction the assignment. (Hear.) Certain
gentlemen who held office in Canada, and had given the Go-
vernment to understand that the question was then press-
ing, were to have quitted England on the previous evening,
and the answer given by the Government was considered by
them a definite reply. That day, however, indeed within the
last few minutes he had learned that one of those gentlemen
rmal xxot quitted Eni,ialta, , the
General of uanada ; and he had just sent in a letter, rev
questing that a more full consideration might be given t.
the subject. He (the Chancellor of the Exchequer) had
had no opportunity of communicating with his colleagues
since, and all he could do therefore was to mention the fact
that such a letter had been received. With regard to the
other portion of the question, he need hardly say that the
advertisement quoted, which intimated that the Govern-
ment contract had been transferred to the Montreal and
Ocean Steam Packet Company, was incorrect, such transfer
not having been sanctioned or authorised by her Majesty's
Government, and the advertisement must therefore be un-
derstood as only intended to convey that an arrangement
had been made between the parties so far as they were in a
position to do so. As to the pledge given to Mr. Inman,
that no transfer should take place without allowing him to
show cause against such transference, it was true that such
a pledge had been 'given, which the Government would
take care should be adhered to. (Hear.)
In reply to Mr. BAXTER,

The CHANCELLOR of the EXCHEQUER added
that with regard to the four new steamers which were to
have been provided, and on the faith of which provision the
subsidy was promised, they could niit have been placed
upon the station if the transfer took place, but other steam-
ers would have been provided by the Canada Company,
which of course would have been subject to inspection and
approval. The Government had no official knowledge of
the conditions under which the Canada Company under-
took the service, but the sum for which the contract had
been sold was stated in the assignment, viz., £35,000 a year
for the seven years. (Hear, hear.)

STEAM COAL.
Mr. RIDLEY asked the 'Secretary to the Admiralty
whether any reports had been received of the experiments
ordered to be made by the Admiralty, at Woolwich or other
dockyards, on the mixture of Welsh and north country
steam coal for the use of the Royal Navy, and if so whether
he would lay such reports upon the table of the house,
Lord C. PAGET replied in the affirmative, and added
that the reports would be laid upon the table.
MALT DUTY CREDIT.
Mr. HODGKINSON asked the Chancellor of the Ex-
chequer when he proposed to bring in the bill to shorten the
term of credit for malt duty ; whether he intended to pro-
vide by such bill that a discount on the duty should be
allowed, as on the last occasion of reducing the term of
credit ; and whether he proposed by such bill, or by any
other bill, to modify any of the existing excise restrictions
under which the malt trade were now obliged to conduct
their business.
The CHANCELLOR of the EXCHEQUER replied
that it was intended to proceed with the proposal long since
announced to the house respecting the shortening the time
of credit for the payment of malt duty ; but as the question
did not greatly press, it had given way to other more press-
ing business. The Government, however, would endea-
vour to proceed with it on as early a day as was compatible
with the claims of other measures. His hon. friend was
aware that there was another proposal which would have
been brought forward earlier in the session, but had been
postponed once or twice in deference to the wishes of gen-
tlemen who took an interest in the question, viz., for the
remission of the duty that still existed on the import of
foreign malt, and supposing that proposition to be adopted,
it would be the duty of the Government to submit a legisla-
tive measure to give effect to it. With regard to the main
point of his hon. friend's question, he had to state that it
was not intended to propose that there should be any dis-
count on the duty. A discount was allowed last year en the
ground that no notice had been given to the parties of the in-
tention to shorten the annual credit, but as full notice had
been given in the present instance no such proposal would
be made. With reference to the restrictions under which
the malt trade had to conduct its business, what he believed
his hon. friend referred to was, the allowance of drawback
on duty-paid malt. (Hear, hear.) Upon that point he had
to say that in the event of its being determined to authorise
the importdof
a clausei wouldmalt,gnb
such an allowance would be
made, an
be introduced troduced into the bill for
fore
that purpose.
NATIONAL DEFENCE REPORT.

Mr. S. HERBERT, in reply to Mr. Haniey, stated that
2,500 copies of the report of the committee had been printed,
and 500 had been distributed.
THE PAPER DUTY.
Mr. CRAUFURD asked the Chancellor of the Exche-
quer whether the definition of "paper" given in the judg-
ment delivered by the Court of Exchequer on the 20th of
April, 1859, in the case of the Attorney-General v. Barry,
mentioned in the third report of the Commissioners of In-
land Revenue, was to be taken as the present definition of
the taxable article " paper ;" and whether it was the inten-
tion of the Government to extend the excise duty and sur-
vey to all articles falling under that definition.
The CHANCELLOR of the EXCHEQUER was not
aware that anything had occurred to alter the present state
of the law so far as it depended upon the construction given
by the courts with respect to the difficult question of what
constituted the taxable article of paper. With regard to
the question whether Government intended to extend the
survey and excise duty to all articles falling within the de-