CAB38-23 — Page 141

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view New Zealand training its own men at its own expense. The word "disposal" was used by me after consideration, because it might mean "sale to New Zealand."

Supposing the New Zealand Cabinet were to consider it sound policy to spend money on the training of New Zealanders for service in an Imperial Navy, and to have control of that expenditure, would the Admiralty be prepared to well or lease one or more suitable ships, and, if so, at what price?

Would the Admiralty supply the officers and men necessary for training purposes if New Zealand paid them? What would be the cost of upkeep and the amount of pay? I should be much obliged if you would supply me with the details which would enable me to give the New Zealand Government information on these points.

Is the difficulty you raise, that “New Zealand has at present no organization or naval personnel for manning and maintaining such a squadron,” so real after all? There are some officers and men in the Royal Navy who hail from New Zealand. Our men have had some training in His Majesty's ship "Pioneer," though I admit the weakness of the scheme. I am informed that there are

approximately 500 ex-Imperial Navy men in the Dominion capable of effectual service." But even if we had no personnel I feel sure the Admiralty would help us. In your letter you propose to find the personnel, and it seems to me the question is not one of personnel but of administration.

The organization for maintaining the ship or ships may not exist in New Zealand at the present moment, or may be very imperfect; still we have in Auckland a good dock and expensive equipment for repairs and maintaining and mechanics quite competent to carry out repairs. The necessary naval personnel could surely be acquired.

In suggesting some organization to advise Australia and New Zealand before any further ships are acquired, it never occurred to me that the organization could possess greater knowledge of the subject than the Admiralty. My object was to bring the Mother Country, Australia, and New Zealand into closer touch on naval questions ; to use the organization as a means for advice on the acquiring of ships by each, so as to avoid waste; and to insure that whatever action each country took had in view the use of the units as a

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