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revenue which has already paid military contribution.
5. If, therefore, the loan were itself exempted
from military contribution Army Funds would lose the
portion of the contribution corresponding to the amount
just mentioned as paid from general revenue to cover the
railway deficit, so long as a deficit continued. If this
is a correct representation of the facts, the Council see
no reason why this loss should fall on Army Funds. If
and when the railway is paying its way, the provision
that only the net profits are taxable automatically
protects the service of the loan from paying
contributions, and no other protection is necessary.
6.. A further point as to which the Council are
not clear is the following :- From such information as is
available to the Council, it appears, that the sum now
allocated from the proposed new loan for the redemption
of this inscribed stock does not suffice to make up the
difference between the amount of that stock and the
amount at which the sinking fund in connection therewith
at present stands.
7./