MINISTER CHANGES FRONT

Hokitika Guardian, 1 December 1928, Page 5

MINISTER CHANGES FRONT

MEAT EXPORT.

KILLING LICENSE GRANTED,

WELLINGTON, Nov. 29. Several years ago when the Wellington Meat Export Company was in financial difficulties the shareholders were willing to accept an offer from Bortliwieks to purchase the concern at a price which it was estimated would'return 8s in the £ on the capital. The transaction could not be concluded owing to the refusal of the Hon 0. J. Hawkon, Minister of Agriculture, on the advice of the Meat Control Board, to grant Borthwicks al meat export killing license for the Wellington Company’s Ngahauranga works, which they proposed to aoquire and operate. At to-day’s annual meeting of Wellington Meat Export Company tlie chairman, Mr O. S. Watkins, commented on the fact that Mr Hawken, prior to his resignation as Minister, had granted authority for transfer of the meat export slaughterhouse license held by the Waingawa Meat Company to T. Borthwick and Sons. “The announcement that the Government has granted a license to an overseas firm to operate the Waingawa works,” said Mr Watkins, “ comes as a surprise after the same Government had refused this company the right to sell to the same firm two or three years ago. It is difficult to follow such vacillations in policy, .if there is any policy, and the Government and tho Moat Board have much to explain. This company and its shareholders were muck affected financially by tho first decision of the Government. They were denied the right to sell their assets and convert their interests into cash. Then, on the assumption that the policy of the Government and tho Meat Board was a settled one, tho company adjusted, its capital at tho expense of the ordinary shareholders, and made preparations to freeze for a larger output. Now the Government reverses its policy. In sooth, business is difficult under such vacillations.” “ I wish to make it clear,” added Mr Watkins, “that I think tho power of the Government to refuse a license to an overseas firm should only he exercised under extreme circumstances, such as have not yet arisen in New Zealand. The Government was wrong in tho first instance, but I admit that public opinion seemed to be with the Government. Nothing, however, can justify this volte-face ori the part of a moribund Government. They ought not to be able to make chalk of one and cheese of another, and this company lias a claim to equity lor compensation against the Government lor its action in the first instance.”