On Section 3 I raised a point on the Second Stage, and the Minister replied, but I am still in some difficulty as to why this particular procedure is adopted. The Dublin Corporation, for example, has power to guarantee loans given by a building society. I am passing no reflection upon building societies, but it is, at the same time, possible to imagine a building society which would give loans which might eventually fall to be paid under the guarantee of the ratepayers. I do not know what machinery the Dublin Corporation, to take one example, has for determining the soundness of a building society and the appropriateness of giving the loans to the particular persons. The answer the Minister made on the last occasions was that the Local Government Department would be able to determine these matters. If that is so, one wonders why the guarantee is not given by the Government direct, seeing that the Minister for Industry and Commerce is the authority over the building societies, and that the Minister for Local Government and Public Health is the person to conduct the investigation under this Bill. Why is the procedure adopted of asking the Dublin Corporation or the Borough of Dun Laoghaire to give the guarantee, instead of having the guarantee given by the Government, seeing that the investigation into the soundness of the recipient would be made by the Government, not by the corporation? I do not really follow it.
Housing (Amendment) Bill, 1941—Committee.
One may say there will be three investigations in this matter. This arose through a demand that existed to try to facilitate the building of houses by enabling some sort of a house purchase finance to be arranged. This was arranged between the Banks Standing Committee and the Department of Finance. As a result of those discussions, we have been able to frame this Bill. In the first instance, suppose the corporation is giving a guarantee to a bank with regard to a particular loan, the bank will make inquiries in that matter, but the corporation will also make all necessary inquiries.
That is the manager.
Yes, the manager will make the inquiries. Even after that has been done, the Department itself will have to be satisfied as to the solvency of the building society, and that the corporation are justified in giving a guarantee.
That is precisely what I do not understand. Why, if all this investigation takes place, should not the guarantee be given by the Department of Finance, instead of by the corporation? What advantage is there in introducing the local body at all? In its broad sense, they in fact would appear to have no powere. For example, are the building societies themselves satisfied in this particular matter? The Minister said he had a conference with the banks. Was there any conference with the corporation or the building societies? Are these particular bodies satisfied or dissatisfied with this proposal?
These proposals were sent to the corporation a considerable time ago and no objection has been received from them. The reason the Government do not come into it is that all these housing schemes are being carried out by the organisation of the corporation or of the local bodies throughout the country.
When will the next stage be taken?
I suggest to-day.
We can finish the remaining stages next Wednesday. We will have the Local Government Bill on Committee on that day as well.
Whatever the House says.