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Hokitika Guardian, 27 April 1928, Page 2

Tun question of the money owing to British shareholders by several ol the American Stales has been raised in the House of Commons again, and the Ciider-Scaretnry of Foreign Affairs lias requested members “not to press the matter at present.” About the facts, says an exchange, there is no roam fur discussion or debate. Fight of the Southern States raised loans abroad, and chiefly in Britain. from about. IS,'! 1 ) onward, and these debts. remaining unpaid to the present day total 875.H09.09!) including principal ami interest. Not only have the

States in question refrained from paying their debts, but they have -peeially renudiateil them, sheltering themselves behind an amendment to the American Constitution which prevents their creditors I’ruin suing them. All this means that the eight. States in question are guilty of a shameless broach of honour and a deliberate evasion of their legal ami moral responsibilities. The Council of Foreign R iiidholdei's recently remarked that “there dues lint seem to be any other ease on record where the obligation to repay money borrowed lias been deliberately repudiated, and recognition of the debt forgiven by law.” Two years ago the Britsh Chamber of Coininert e. appealing to the Foreign OHiee for redre-s, pointed nut that the money borrowed had been used for “industrial purposes and national development." and that the States concerned art* now prosperous and wealthy. At the same time the bond-holders expressed their willingness to wipe out nil obligations incurred by the Stales during the Civil War. Fast year the London "Financial Times" quoted an eloquent passage from a speech by Daniel Webster omiihaticall v condemning such repudiation as a disgrace to- the whole American nation. Yet still tin* Americans, while pressing for the repayment of money lent to France and Belgium for war pur-po-es, eersistcntlv refuse to consider the claims of the British bond holders agaiu.-t them.