COPY.
Enclosure
6.
435
Hon. Colonial Secretary,
The Crown Solicitor placed this file before
me yesterday and we have had a consultation upon His Excellency's
minute.
a
As regards the first paragraph I was under
the same impression as is Excellency that the extinction period of fourteen years occupied the attention of Farliament, but I
have been unable from a reference to the Licensing Acts to find
that it became law.
The Licensing Act, 1904, provides for a
compensation fund by which graduated rates are charged on the annual value of premises and the moneys standing to the credit
of that fund constitute the compensation fund, and we are clear- -ly of opinion that power should be given to the Licensing Board
here to award compensation.
This may be done by ariending section 5
(13) of Ordinance 46 of 1909 by giving the Licensing Board
power to award compensation to "persons interested in the licensed premises" (including the holder of the licence) in such
shares as the Board at may determine, such an award to be sub-
-Ject to the approval of the Governor-in-Council.
I may point out that the general principles
which govern the tribunal in England in assessing the amount of
compensation is to ascertain the price of the licensed promises
in the open market and to add to that the depreciation, if any, of the trade fixtures, caused by the renewal being refused, then to deduct from that sum the price which the premises would
fetch in the open market if unlicensed.
It further appears to us that having regard
to the decision of the Board which has been approved by the
Executive Council it is desirable that the Association to be formed on the lines of "The People's Refreshment House Associa- -tion" should be brought into existence and registered hero a3
practicable
early as is possible. The licences are issued annually and if
it is proposed to give the Association the right to acquire by
purchase,