Hansard, 1958-01-08

The following Members have, under the provisions of subsection (3) (i) of section 47 of the Singapore Colony Order in Council, 1955, obtained from the Speaker permission to be or to remain absent from meetings of the Assembly: Mr Lee Choon Eng (Queenstown) - one month from 10th January, 1958; Mr Lee Kuan Yew (Tanjong Pagar) - on 8th January, 1958; Mr Tan Theng Chiang (Rochore) - two weeks from 29th December, 1957.

Mr Alfred Victor Winslow, Attorney-General (Acting), took and subscribed the Oath of Allegiance.

I have received a message from His Excellency the Governor dated the 27th December, 1957, informing me that His Excellency, in accordance with the provisions of section 62 (2) of the Singapore Colony Orders in Council, 1955 and 1956, had that day assented to the Appropriation Bill.

Honourable Members will have learnt of the death of the Honourable Mr Ong Piah Teng, a nominated Member of this Assembly. In accordance with the Law, I have duly acquainted His Excellency the Governor of the resultant vacancy in the Assembly. I desire, on behalf of the House, to record with regret an expression of our sense of the loss we have sustained and our deep sympathies for the relatives of the Honourable Member.

asked the Chief Secretary whether he will state the reasons why the Notices of Contested Elections in respect of the recent City Council elections, as published in the Government Gazette Extraordinary No. 123 of November 26, 1957, were not published in the vernacular newspapers; and whether he will take steps by the introduction of amending legislation, or otherwise, to ensure that Notices of Contested Elections in respect of elections to the Legislative Assembly, City or District Council will in the future be published in the vernacular newspapers.

Mr Speaker, Sir, section 34 (4) of the Local Government Elections Ordinance requires the Returning Officer to publish these notices in the Gazette and also in such newspapers as he thinks fit. There is therefore no requirement that they should be published in any particular newspaper. However, owing to the high cost of advertisement charges, consideration is now being given to the question of amending legislation restricting publication in the Gazette only in future. This amending legislation may not be enacted before the District Council elections this year. As these elections will take place in areas which are mainly rural, consideration will be given to publishing these notices in the vernacular newspapers only in addition to the Gazette. If and when the amending legislation is enacted, Government intends inserting advertisements in the newspapers to the effect that the details of these Notices of Contested Elections are available in the Gazette.

Mr Speaker. Sir, can the Hon. the Chief Secretary tell us how much did it cost Government to publish or to advertise such Notices of Contested Elections in the newspapers?

Sir, the advertisement charges in respect of these Notices of Contested Elections came up to about $15,750.

Sir, will the Hon. the Chief Secretary inform us whether consideration will be given for posters to be put up at all community centres and public places giving information on these coming elections?

Sir, we will give that due consideration.

Mr Speaker, Sir, will the Chief Secretary tell us why is it that a decision has been made by Government that such notices will not be advertised in future but only published in the Gazette?

Mr Speaker, Sir, I have already said that the reason is owing to the high cost of the advertisement charges.

Sir, is the Government aware that certain sections of the public buy certain newspapers, and they will not read the notices unless they are advertised in the vernacular Press?

That is a matter of opinion.

asked the Minister for Local Government, Lands and Housing if he will state -

Mr Speaker, Sir, the reply to (a) is 1,274 dwelling units and 70 shops; and the reply to (b) is 4,551 dwelling units and 197 shops.

Mr Speaker, Sir, will the Hon. the Minister give a directive to the S.I.T. that it should have made allocations immediately on the completion of these 1,274 dwelling units last year?

Sir, no directive is required because it has been the practice of the S.I.T. to allocate houses as soon as they are finished.

I hope!

asked the Minister for Commerce and Industry whether he will state what progress has been made in the negotiations with the War Department to enable farmers to continue pig-keeping on War Department land, and whether the War Department has given an assurance that no ban on pig-keeping will come into operation from 1st February, 1958.

Sir, in view of the representations made by the Government, the Services have now agreed to go further into the question of pig-breeding on War Department land, and have in the meantime agreed to postpone any action until 28th February. In case some action is inevitable, they will consider the possibility of resettlement of farmers who may wish to be moved, should it be necessary to place restrictions in certain areas totally prohibiting the keeping of pigs.

Mr Speaker, Sir, will the Hon. the Minister give an assurance that he will do everything possible to safeguard the livelihood of these farmers?

Sir, the Government is dedicated to safeguarding the lives and livelihood of farmers and other citizens.

10.08 a.m.

Mr Speaker, Sir, I beg to introduce a Bill intituled "An Ordinance to amend the Singapore Citizenship Ordinance, 1957 (No. 35 of 1957)." Bill read the First time.

Second Reading, what day?

Now, Sir. Mr Speaker, Sir, I have to lay upon the Table a Certificate of Urgency signed by His Excellency the Governor in respect of the Bill. Certificate of Urgency handed in.

The Certificate is in order. Please proceed.

Sir, I have with me the relevant number of typed copies of the Bill for distribution. Typed copies of the Bill handed in to the Clerk and distributed to hon. Members.

Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time." Sir, the objects of the Bill are clearly set out in the explanatory note. Clause 2 seeks to make an amendment to section 11 of the Singapore Citizenship Ordinance. Under this section of the Ordinance, persons who are recruited in Malaya into the British armed forces have been deprived of the right of becoming citizens of Singapore. I have received representations from this group of people and it has been considered that it is but fair that such persons and their families who have been recruited into the British armed forces in Malaya should be entitled to become citizens of Singapore. Clause 3 seeks to make a minor amendment. It makes a correction of a mistake that crept into the Bill when it was considered last time. Clause 4 seeks to add a proviso to section 26 of the Ordinance. Under section 26, people who are entitled to become citizens of Singapore are being registered for an initial period of three months ending 31st January, 1958. So far, more than 230,000 citizens have been registered but there have been cases in which the Registrars are not in a position to grant certificates immediately on application and have had to defer the cases for further investigation. This clause seeks to enable those deferred cases, when they have been finalised within one month after the registration period, to be allowed to be included in the electoral register. There have been about 5,000 deferred cases of various categories, such as people who applied with identity cards defaced and have to get new ones to satisfy the Registrar on the claims on the application form, people who were born in Singapore and claimed birth elsewhere, cases of absences from the Colony, and cases where the applicants are seamen and were unable to satisfy the Registrar that their absences fall within the approved categories. The Government is doing all it can to finalise consideration of these deferred cases within one month from 31st January, 1958, and it is felt that it is but fair that those who registered during the registration period but whose applications are deferred pending further investigation, should their applications be approved and citizenship granted them, should qualify for inclusion on the electoral register for the purpose of the next general election. It is because the initial registration period will come to an end on 31st January, 1958, that a Certificate of Urgency has been found necessary. Sir, I beg to move.

Sir, I second it. Question proposed. 10.16 a.m.

Mr Speaker, Sir, I am not making a speech but just a point of clarification. The Hon. the Chief Minister said that the Government would try to finalise all deferred cases within one month. If it so happens that the Government cannot finalise matters within that month, and registration is made after the expiry of that month, will the Government then consider that the applicant is deemed to be a citizen of Singapore if registration is granted? 10.17 a.m.

Mr Speaker, Sir, we support this Bill. In the case of those who are recruited into the British armed forces, I think we considered it in Select Committee, and we agree that such persons should be given that consideration. However, I think the object of the Citizenship Ordinance is to allow people, who owe their loyalty to Singapore, to have a say in the matter of government. This means the exercise of the franchise and if those who have registered as citizens are going to stay away from voting during elections again, then the object of the Ordinance will be defeated. We should ensure that a good percentage of those who are on the electoral roll should come forward during elections to have their say. We do not like to see the fate of Singapore being decided by just a few people who go to the polls while the majority stay at home. If there is anything to grouse about later, they can only blame themselves for failing to elect a government of their own choice. I take this opportunity, Sir, to warn the people of Singapore that it is of paramount importance that they should all go to the polls and exercise their vote so that the percentage of voters should not be just 30 but near 100. Only in that case can democracy work. Sir, we support this Bill. 10.19 a.m.

Mr Speaker, Sir, I rise to support the amending Bill wholeheartedly but there is one point I would like to ask the Government to consider. Some people have been put in prison for banishment; they intend to apply for citizenship during the registration period. I wonder whether the Government will consider the cases of such banishees who sincerely want to swear allegiance to Singapore. Will Government consider their applications or not?

Sir, can I have an answer to my question?

I think the hon. Member has already spoken.

Mr Speaker, Sir, I was not making my speech, I was asking a question.

I think the hon. Member is too late.

Mr Speaker, Sir, there are two points which require some reply. In the case of the question posed by the hon. Member for Queenstown, I can assure him that all deferred cases can be completed within one month. The figure of 5.000 was quoted by me but it does not mean that the Government is holding up these deferred cases until 1st February before it considers them. Out of these 5,000 cases, for all we know, 4,785 might have been disposed of. It is those cases coming in towards the end of the registration period which require this special amendment. In regard to the point raised by the hon. Member for Changi, surely he understands that one of the qualifications for citizenship is that of good character?

Question put, and agreed to. Bill accordingly read a Second time and committed to a Committee of the whole Assembly. Assembly immediately resolved itself into a Committee on the Bill. [The Chief Minister]. Bill considered in Committee. 10.21 a.m. Clauses 1 to 3 inclusive ordered to stand part of the Bill. Clause 4 -

If the hon. Member for Queenstown wishes to say anything further on the Bill, this is the opportunity.

I have received my answer already, Sir. Clause 4 ordered to stand part of the Bill. Bill reported without amendment; read the Third time and passed.

10.24 a.m. Resolved, "That at its rising at the termination of business this day, the Assembly do stand adjourned sine die."- [The Chief Minister].

Order for Second Reading read. 10.25 a.m.

Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time." This is a simple and straightforward Bill necessitated by the attainment of independence by the Federation of Malaya. A number of our Singapore Ordinances provide for the Governor of Singapore and the High Commissioner of the Federation of Malaya jointly to make appointments to certain statutory Boards. If this Bill becomes law, the powers hitherto exercised by the High Commissioner will be exercisable in future by the Yang di-Pertuan Agong of the Federation of Malaya. The opportunity has also been taken to make a few other minor changes. Thus, the Bill provides that references to the Federation of Malaya and to Federal citizens shall in future be construed as references to the Federation of Malaya established on the 31st day of August, 1957, and to citizens of the Federation respectively. Consequential amendments have also been made by the Bill to the Interpretation and General Clauses Ordinance.

Question put, and agreed to. Bill accordingly read a Second time and committed to a Committee of the whole Assembly. Assembly immediately resolved itself into a Committee on the Bill. [Mr Winslow]. Bill considered in Committee:

10.27 a.m. Clause 1 - Amendment made: In page 1, line 6, to leave out "1957" and insert "1958". - [Mr Winslow]. Clause 1, as amended, ordered to stand part of the Bill. Clause 2 -

Sir, I beg to apply for permission to move an amendment to clause 2, line 16. I apologise for not giving earlier notice because it was only discovered yesterday. The proposed amendment is in page 1, line 16, to leave out "Federation" and insert "Federal". I apply under Standing Order 51 and crave the indulgence of the House. Standing Order 51(2) says that "if the Chairman is of the opinion that an amendment is of a minor or purely drafting character, he may, with the general assent of Members present, permit it to be moved without notice." I submit, Sir, that this is a minor clerical error which went unnoticed when the Bill was introduced at the last sitting.

It seems to be a typographical error. The amendment can be considered to be of a minor character. Has the Hon. the Attorney-General the assent of honourable Members? Hon. Members indicated assent. Amendment made: In page 1, line 16, to leave out "Federation" and insert "Federal." - [Mr Winslow]. Clause 2, as amended, ordered to stand part of the Bill. Clause 3 ordered to stand part of the Bill. Bill reported with Amendments; read the Third time and passed.

Order for Second Reading read. 10.34 a.m.

Mr Speaker, Sir, I have His Excellency's consent to proceed with this Bill. I move, "That the Bill be now read a Second time." The purpose of the amendments proposed in the Bill is to provide additional options not at present allowed by the principal Ordinance to contributors to the Straits Settlements Widows' and Orphans' Pension Scheme who retire under the provisions of the Retirement from the Public Service (Compensation) Ordinance. The present law provides for a compulsory contribution to the scheme of 4 per cent of officers' salaries, and retiring officers are given a choice between paying 4 per cent of their last drawn personal emoluments or 4 per cent of their unreduced pension. Officers who are compulsorily retired under the Compensation Ordinance as a result of the implementation of the policy of Malayanisation are denied the full benefits of the scheme to the extent that their compulsory retirement prevents them from contributing sums which increase progressively as the officers' salaries increase by incremental advancement or by promotion. It is therefore desired, Sir, to make the following three further options available to officers retiring under the Compensation Ordinance: (a) to cease contributing to the scheme and to have the prospective benefits frozen from the date of cessation; or (b) to pay into the scheme an actuarially computed amount which would freeze their prospective benefits at the amounts produced as if they had continued to contribute after retirement at 4 per cent of last drawn salary or 4 per cent of unreduced pension; or (c) to allow contributors to withdraw an actuarially calculated proportion of their contributions in return for a complete relinquishment of their rights under the scheme. Clauses 2, 3 and 4 of the Bill now before the House, and new rules IX and X are designed to give effect to this intention. Sir, the legislation is, in the nature of things, complicated, but the examples given in clause 8 (b) of the Bill show the effect of the alternatives. Members are assured that the options have been based on actuarial advice and that no loss of Government funds is incurred. The Government of the Federation of Malaya has already amended its Widows' and Orphans' Pension legislation to provide for these similar additional options, and the Bill will now bring us into line with the Federation in this matter. The Bill also makes provision to enable members of the Straits Settlements Widows' and Orphans' Pension Scheme who are compulsorily retired in the Federation of Malaya to avail themselves of the same options. Sir, the other clauses in the Bill are consequential amendments to the principal Ordinance. I would like to point out that there is a very minor typographical error in the last line of the explanatory note, where the figure "8" should be "9". I shall, in the Committee stage, move a small amendment of which I have already given notice. Sir, I beg to move.

Question put, and agreed to. Bill accordingly read a Second time and committed to a Committee of the whole Assembly. Assembly immediately resolved itself into a Committee on the Bill. [Mr Stewart]. Bill considered in Committee.

10.39 a.m. Clause I- Amendment made: In page 1, line 5, to leave out "1957" and insert "1958".- [Mr Stewart]. Clause 1, as amended, ordered to stand part of the Bill. Clauses 2 to 9 inclusive ordered to stand part of the Bill. Bill reported with an amendment; read the Third time and passed.

10.42 a.m.

Mr Speaker, Sir, I rise to move, That this Assembly, pursuant to subsection (2) of section 490 of the Merchant Shipping Ordinance (Chapter 207), resolves that the Singapore Port (Amendment) Rules, 1957, published as Notification No. S 325 in the Gazette Supplement No. 86 dated 29th November, 1957, as contained in Sessional Paper No. S.L. 26 of 1957, be approved. Sir, these rules are designed to provide for the following contingencies which I shall outline now, which were still under consideration when the main rules were approved in the middle of 1957. Rule 2 of the amendment, hon. Members will see, provides for the Minister to have the power to exempt any vessel or any class or description of vessel from any of the provisions of the Port Rules. Rule 3 amends certain signals as specified in Schedule VII of the principal Rules, and it also provides for a new signal to assist the Director of Posts to clear all mails from ships in the port. This was omitted in the last Rules. Rule 4 of the amended Rules is intended to provide a landing place for passengers, mostly from sampans, who are not subject to immigration regulations, near Cavenagh Bridge at the South end of Fullerton Building. Sir, I beg to move.

I second it.

Question put, and agreed to. Resolved, That this Assembly, pursuant to subsection (2) of section 490 of the Merchant Shipping Ordinance (Chapter 207), resolves that the Singapore Port (Amendment) Rules, 1957, published as Notification No. S 325 in the Gazette Supplement No. 86 dated 29th November, 1957, as contained in Sessional Paper No. S.L. 26 of 1957, be approved.

10.45 a.m.

Sir, I have His Excellency the Governor's authority to move, That this Assembly resolves that the sum of $360,772 shall be supplied to the Government under the heads of expenditure and for the services specified in the Schedule contained in Sessional Paper No. Cmd. 59 of 1957. This schedule of applications for supplementary vote refers to expenditure in 1957. The need for supplements became apparent during the latter part of last year. We then had the choice of presenting a message either at the end of the Budget sitting or at the first sitting in the New Year. As the expenditure in each case was justified and inescapable, and as there was to be a sitting early in January, it was decided to hold over the application until this sitting, rather than to inflict it on hon. Members when they were weary with financial business. The message therefore asks for votes for expenditure which has already been incurred. Hon. Members will recall that, in special circumstances, the Government has the power to incur expenditure in advance of legislative approval, provided that it reports the measure at the earliest opportunity. Full explanations are given in each case of the reasons for each application, but I shall be happy to endeavour to add to these explanations if required. Sir, I beg to move.

I second it. Motion accordingly committed to Committee of Supply. Motion and Schedule considered in Committee of Supply.

10.47 a.m.

The summary is at page 7. Head 1 - The sum of $1,200 for Head 1 ordered to stand part of the Schedule. Head 7 - The sum of $68,020 for Head 7 ordered to stand part of the Schedule. Head 8 - The sum of $544,370 for Head 8 ordered to stand part of the Schedule. Head 12 - The sum of $3,000 for Head 12 ordered to stand part of the Schedule. Head 13 - The sum of $44,477 for Head 13 ordered to stand part of the Schedule. Head 14 - The sum of $1,300 for Head 14 ordered to stand part of the Schedule. Head 16 - The sum of $65,320 for Head 16 ordered to stand part of the Schedule. Head 17 - The sum of $5,200 for Head 17 ordered to stand part of the Schedule. Head 21 - The sum of $10,000 for Head 21 ordered to stand part of the Schedule. Head 26 - The sum of $45,000 for Head 26 ordered to stand part of the Schedule. Head 43 - The sum of $7,905 for Head 43 ordered to stand part of the Schedule. Head 51 - The sum of $12,100 for Head 51 ordered to stand part of the Schedule. Head 53 - The sum of $195,000 for Head 53 ordered to stand part of the Schedule. Head D 60 - The sum of $3,200 for Head D 60 ordered to stand part of the Schedule. The sum of $360,772 for the Heads of Expenditure and for the services specified in the Schedule ordered to stand part of the motion. Motion and Schedule reported, without amendment. Question on the Motion put, and agreed to. Resolved, That this Assembly resolves that the sum of $360,772 shall be supplied to the Government under the heads of expenditure and for the services specified in the Schedule contained in Sessional Paper No. Cmd. 59 of 1957.

10.51 a.m.

Sir, I have His Excellency the Governor's authority to move, That this Assembly resolves that the sum of $410,300 shall be supplied to the Government under the heads of expenditure and for the services specified in the Schedule contained in Sessional Paper No. Cmd. 61 of 1957. This, Sir, is a very short schedule of applications for supplementary vote. There are only four items on it. Full explanations are given in each case. Sir, I beg to move. The Assistant Minister for Labour and Welfare (Mr Mak Pak Shee): I second it. Motion accordingly committed to Committee of Supply. Motion and Schedule considered in Committee of Supply.

10.52 a.m.

The summary is at page 3. Head 8 - The sum of $300,000 for Head 8 ordered to stand part of the Schedule. Head 10 - The sum of $10,300 for Head 10 ordered to stand part of the Schedule. Head 43 - The sum of $10,000 for Head 43 ordered to stand part of the Schedule. Head D 45 - The sum of $90,000 for Head D 45 ordered to stand part of the Schedule. The sum of $410,300 for the Heads of Expenditure and for the services specified in the Schedule ordered to stand part of the motion. Motion and Schedule reported, without amendment. Question on the Motion put, and agreed to. Resolved, That this Assembly resolves that the sum of $410,300 shall be supplied to the Government under the heads of expenditure and for the services specified in the Schedule contained in Sessional Paper No. Cmd. 61 of 1957.

10.54 a.m.

Sir, I have His Excellency the Governor's authority to move, That this Assembly approves of the loan by the Government to the Singapore Government Officers' Co-operative Housing Society Limited of the sum of $2,000,000 at an interest rate of 4½ per cent per annum repayable by eleven equal annual instalments to start from the 11th year after the grant of the loan and be completed in the 21st year, to be secured by a legal mortgage of all the immovable properties belonging to the Society. Sir, hon. Members are probably aware that following a decision of Government not to provide quarters for locally- domiciled officers except for those who are required to live in institutional quarters, it was decided in 1953 to provide facilities to enable locally-domiciled officers to acquire their own houses. In order to implement this decision, a scheme was formulated in September 1953 whereby Government servants could borrow from Government through the Malaya-Borneo Building Society, Ltd., acting as agents, to enable them to purchase their own houses. In addition, it was decided to give further assistance to the Singapore Government Officers' Co-operative Housing Society Limited which had been established in December 1948 and which had already been granted a loan of $200,000 in June 1951 for the purpose of building houses for sale on hire-purchase to its members. The housing loan scheme for Government servants operated by the Malaya-Borneo Building Society, Ltd. was approved in September 1953. A sum of $2,000,000 was made available in the first instance. This sum was fully committed by the end of the year and a further sum of $1,000,000 was advanced in January 1954. The demand for loans continued and further sums of $1,000,000 were made available in September 1954 and in March 1955 respectively, making the total of $5,000,000 outlaid in housing loans to Government servants through the agency of the Malaya-Borneo Building Society, Ltd. The rate of interest charged on these loans has been 5 per cent per annum, out of which the Society has retained one per cent for administrative expenses. The Singapore Government Officers' Co-operative Housing Society Ltd. had been given a loan of $200,000 in June 1951 to be repaid by annual instalments of $20,000 commencing in the twelfth year following the grant of the loan. The rate of interest charged was 3½ per cent per annum. Following the decision to assist locally-domiciled Government officers to buy their own houses, another loan of $500,000 was approved to the Society in October 1953, to be repaid either by annual instalments of $25,000 or with interest and capital repayable at three years' notice after a minimum period of 12 years. In April 1954 a third loan of $1,000,000 was approved, to be repaid by annual instalments of not less than $50,000, repayment to be completed in 21 years. The rate of interest charged on these loans was also 3½ per cent per annum. In 1956, the Staff Side of the Singapore Civil Service Joint Council requested that Government should give further assistance to enable more locally-domiciled Government officers to acquire their own houses. This request received very careful consideration in the light of Government's overall financial resources and of the fact that a total of $6,700,000 had already been tied up in housing loans. In view, however, of the importance of implementing the 1953 decision to the limit of Government's financial capacity, it was decided that a further sum of $2,000,000 should be made available to the Singapore Government Officers' Co-operative Housing Society. It was considered, however, that this further sum should be directed more particularly to giving assistance to officers in the subordinate grades of the service, and the Society was asked to frame a satisfactory low-cost housing scheme for Divisions III and IV officers. A satisfactory scheme has now been prepared providing for the construction of both single- and double-storeyed houses, and this has been approved by Government. This additional loan of $2,000,000 to the Society would be repayable by 11 equal instalments to begin from the 11th year after the grant of the loan and to be completed in the 21st year. The loan will be adequately secured against the immovable property of the Society. The rate of interest which should be charged on this new loan has been the subject of careful consideration and discussion with the Society. Naturally, the officers of the Society are anxious to obtain the loan on the cheapest possible terms and have advanced the argument that since previous loans, which have been utilised to provide houses for fairly senior officers, have borne interest of 3½ per cent, it is inappropriate that the new loan, which is to be devoted to the needs of subordinate officers, should bear interest at a higher rate. The force of this argument is of course appreciated. At the same time, the fact remains that interest rates have increased considerably since previous loans were granted and that in these circumstances, it would not be proper to tie money up for a period of twenty years at a rate of interest which bears no resemblance to current market rates. At the same time, note was taken of the decision of the previous Government to grant loans on favourable terms. In all the circumstances, it was thought that all interests would be served by the charge of interest of 4½ per cent. This decision to charge interest on the further loan to the Society at 4½ per cent raised the question of the adjustment of the rate of interest charged on loans made through the Malaya-Borneo Building Society. This at present stands at five per cent of which, as I said before, the Society retains one per cent as an agency fee and for administrative expenses. In this connection, it was noted that the Malaya-Borneo Building Society had itself adjusted interest rates on its own loans in sympathy with the increase in interest rates generally. After consideration of all the factors concerned, it was decided that the rate of interest on existing and future loans through the Society should be raised to six per cent of which one per cent would be retained by the Society. The loan agreements issued by the Society require three months' notice to be given of any increase in interest rate. Consequently, the new rate of interest on the existing loans will be effective from the 1st of May, 1958. Sir, I beg to move,

Sir, I second the motion.

Question put, and agreed to. Resolved. That this Assembly approves of the loan by the Government to the Singapore Government Officers' Co-operative Housing Society Limited of the sum of $2,000,000 at an interest rate of 4½ per cent per annum repayable by eleven equal annual instalments to start from the 11th year after the grant of the loan and be completed in the 21st year, to be secured by a legal mortgage of all the immovable properties belonging to the Society.

11.03 a.m.

Mr Speaker, Sir, I have His Excellency the Governor's authority to move, That this Assembly approves the loan by the Government to the City Council of $4,000,000 free of interest and to be repaid by equal annual instalments over a period of ten years. Sir, while the proposal to build the Merdeka Bridge and connected road-works was under consideration, discussions were held with the City Council about the apportionment of liability for the cost of the undertaking. After lengthy discussions, it was agreed that Government should meet the cost of the bridge, while the City Council, which was responsible for the construction and maintenance of roads and bridges within the city area, should meet the cost of the new roads leading to the bridge, the Guillemard Road and other necessary roundabouts and the bridge over the Stamford Canal. The cost of this work was estimated at $4 million. As the City Council had no surplus funds available and would find difficulty in raising a loan for this particular work in addition to the loan funds required for its other essential development projects, Government agreed to lend the sum of $4 million to the Council free of interest and repayable over a period of ten years. This decision was taken by the Governor in Council in July 1954 but owing to an oversight was not put to the Legislative Council for formal approval at that time. The Director of Audit has now drawn attention to this oversight and has suggested that the Legislative Assembly as successor to the Legislative Council should be asked to give formal approval to the loan. This is the reason for this motion. Hon. Members are aware that the work to be met from this loan has already been completed and I think it would be generally agreed that the money devoted to the bridge and connected works has been well spent. Hon. Members will also recall that sometime ago, I moved that all long-terms loans to the S.I.T., the City Council and other authority should be charged to expenditure. This loan was included in the total sum involved in that motion. Sir, I beg to move.

I second the motion.

Question put, and agreed to. Resolved, That this Assembly approves the loan by the Government to the City Council of $4,000,000, free of interest and to be repaid by equal annual instalments over a period of ten years.

Resolved, "That the Assembly do now adjourn."-[The Chief Minister]. Adjourned accordingly at six minutes past Eleven o'clock a.m.