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[19
Government and the Colonial Government.
The defence fund consists of the value at
the time of surrender of past sacrifices of its resources im- -posed on the Colonial Government by Military requirements.The sacrifice of its resources which the Colonial Government made when it remitted Crown Rent, Rates and Taxes upon land purchased for military purposes is precisely the same as that which it made when it allotted land for Military purposes. When land waS alletted at the date of the purchase of Spring Gardens, the sacrifice of the Colonial Government was the loss of Crown
Rent, Rates and Taxes, when land was purchased, the Colonial Government lost rent rates and taxes by remitting these dues: the only difference being that in the one case the Imperial
Government had to pay a premium to a private owner to obtain the land and these privileges and in the other it paid no pre- -mium. Therefore land purchased for Military purposes is as much a part of the Defence fund as land allotted. According to the Circulars land purchased and land allotted are to be treated in a different manner and the account system is by the Circulars ø only applied to lands allotted. If however by analogy the account system is to be applied to the revival of Crown Rent,
similar analogy requires that the same system be applied to the price received by the Imperial Government. It is not expresaly laid down in the Circulars that the Imperial Government should not bring into account the price received, just as it is not laid down that the Colonial Goverment shall bring in incidental benefits received by reason of the sale by the Military Authori- -ties.
An analogy is not perfect unless it is complete. The Army Council's analogy is not complete because it does not extend to the capital value of the lease relinquish- -ed by the Military Athorities.
In the case of lands allotted the loss
of revenue to the Colonial Government which the lands are held
for
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