Newfoundland History

Canada and Newfoundland : Conditions and Relations

[Canadian Annual Review , 1923; for the full citation, see the end of the text]

 

For Newfoundland , 1923 was a year of disturbed politics culminating in sensational scandals. Appealing to the country for a Mandate to confirm important negotiations with the W. G. Armstrong-Whitworth Company of England for a $25,000,000 pulp and paper mill on the West Coast, the Government of Sir Richard A. Squires was returned, in May, with 23 seats, a majority of 13 over the Opposition led by J. R. Bennett, who went down to defeat in the Election. The decision of the electorate, confirming the Pulp and Paper Mill negotiations, was of first importance to the ancient Colony, involving, not only the construction of a plant of 400 tons' capacity, daily, double that of the Northcliffe mills, but also extensive Hydro-electric development on the Humber River. These industrial undertakings were more than welcome, particularly as cancellation of German iron ore contracts at the first of the year, after France occupied the Ruhr , had thrown 25,000 workers out of employment, and the sealing fleet which had left the harbours had been the smallest in 50 years.

 

The new Cabinet, as sworn in on June 5, was as follows:

 

 

The Government was short-lived. Following sensational rumours affecting both members of the Cabinet and Government Departments, Sir Richard Squires resigned suddenly, on July 23, and Hon. William R. Warren, K.C., M.H.A., was called upon to form a Government. After vainly endeavouring to induce the Opposition to come in, he announced the following Cabinet:

 

 

 

The new Prime Minister at once undertook a complete investigation of charges which had been preferred against the previous Government, involving the affairs of the Agricultural and Mines Department, as well as that of the Liquor Comptroller and alleged financial relations between ex-Premier Squires and the British Empire Steel Corporation. In proroguing the Legislature, on Aug. 18, the Premier announced that, in thirty days, the holdings of speculators in Forest and Mineral lands, some of whom had evaded the regulations of the Agriculture and Mines Department for years, would be cancelled in all cases where outstanding fees had not been fully paid. In the second place, the outlays of the Audit Department - whose inefficiency had been demonstrated in its exercise of the Liquor Control - and of the Agricultural Department would be reorganized. Thirdly, any future compact for the remission of the annual taxes payable by certain Canadian corporations operating in Newfoundland would be submitted to the Legislature, instead of being sanctioned by Order-in-Council as hitherto. The Premier also announced the appointment of a Commission to operate the railway system pending the conclusion of some permanent measures, the members being the Colonial Secretary, the Hon. W. W. Halfyard; the Hon. George Shea, Government Leader in the Upper House; and Major Cook, of St. John's. At the same time the Executive Council asked the Colonial Office to appoint a Commissioner to enquire into all matters connected with the downfall of Sir Richard Squires' Ministry.

 

The appointment of T. Hollis Walker, K.C., Recorder of Derby, as Commissioner was made, in due course, by the Colonial Office, but the terms of his Commission were not made public. Commenting upon this, the St. Johns' Newfoundland Daily News said:

 

While it is regrettable that the terms of reference have not been made public, there appears to be no doubt that they are elastic, comprehending amongst other matters the following: the Pit Prop account, public charities account, the Department of Public Works, the Comptroller's Department, the relations between the British Empire Steel Company, and its predecessors, the Dominion Iron & Steel Company, and Nova Scotia Steel Company, on the one hand, and the late Government, or members thereof, on the other.

 

There are other matters in connection with the recent scandals that will call for enquiry, and we have reason to believe that the terms of reference are so framed as to include them. It is currently reported that not only the relief account, particulars of which so saddened and astonished the public, call for searching exploration, but also the accounts for so­-called poor relief, as distinct from able-bodied relief.

 

While political events occupied public attention most of the year, important proposals were advanced by private companies for the establishment of pulp and timber industries and for encouragement of the fisheries. Certain mining areas in the Labrador Gold Fields also formed a subject of dispute between the Newfoundland and Canadian Governments. The eighth Decennial (1921) Census of the population of Newfoundland and Labrador, completed in 1923, showed favourable increases over 1911, the respective figures being 262,979, as compared with 242,619, an increase of 20,360, or 8.39 per cent. Of this total, 259,358 represented the population of Newfoundland , and 3,621 Labrador, as against 238,670 and 3,949, respectively, in 1911.

 

During the year Sir Edgar Bowring who was appointed in 1918, resigned as High Commissioner, his Secretary assum­ing the Duties pending the appointment of a successor.

 

Source : The Canadian Annual Review of Public Affairs, 1923, Toronto, The Canadian Review Company, 1924, pp. 145-147.