Black Market In N.Z. Banknotes

Press, Volume CVI, Issue 31093, 23 June 1966, Page 9

Black Market In N.Z. Banknotes

"The Preu" Special Service WELLINGTON, June 22. illegal trading in New Zealand currency was more extensive than was generally realised, said a Reserve Bank official yesterday. “Cases have been notified,” he said, “of people entering New Zealand with large quantities of notes purchased on the blade market in such places as Hong Kong and Singapore.

“On one occasion a person with a large stun in banknotes intended to use the money to buy a yacht” The amount paid for the New Zealand money would have been much less than Us value in New Zealand and as a result quite large profits were made.

The official said he had heard unofficial reports of New Zealanders rushing to exchange New Zealand notes at banks in Suva. The bank itself had received no official communication from Fiji. ■ The official was commenting on the Budget announcement last week limiting the amount of New Zealand banknotes brought into the country to £5. New Zealanders already abroad who return within the next three months would be able to bring in “a reasonable sum” in New Zealand banknotes.

Under measures announced in the Budget the amount of New Zealand notes a traveller can take overseas is limited to £5, Previously, travellers were permitted, if their destination was Britain, to take up to £l5 in New Zealand notes. If their destination was any other country the limit was £7. New Zealanders now' overseas and carrying amounts up

to the previous limits could expect to be able to bring back the notes with them. But those who might have larger sums, bought overseas or illegally taken out of the country, would probably not be able to return with them unless they arrived within the three-month period.