TASMANIAN AFFAIR

Hokitika Guardian, 7 October 1929, Page 8

TASMANIAN AFFAIR

COMPANY SUES GOVERNMENT. STRONG COMMENT. LONDON, August 20. Extraordinary charges against the Tasmanian Government were made at the meeting in London yesterday of the Australian Commonwealth Carbide Company, Ltd. It was reported that the company had given instructions for a writ to he issued in Tasmania against the Government. “ One often hears of a Government being taken advantage of by private individuals,” said the chairman of the company, Mr F. A. Macquisten, K.C., M,.l\, “ but here the Tasmanian Government has reversed the procedure. “The Tasmanian Government sold to us a works and a business on the misrepresentation that they were selling to us a going concern which had prospered in their hands and was equipped with new and costly machinery ; and they produced figures to substantiate these things. “Their assurances were all untrue. The business had not prospered and it was not a going concern. “In the year before they sold to us, in which they stated they made a profit, they made a loss. The works have had, from time to time, to be closed. “ All their statements were untrue, and what they sold the company was a liability instead of ail asset, qualified by the value of Die machinery at break-up prices.” Mr Macquisten said that the deal “seriously reflected upon the good name of Tasmania,” and that no one could ever put money into anything emanating from Tasmania while this remained unpurged. Speaking on behalf of Mr George Levy, the largest shareholder in the company, Mr Levy’s accountant said that the chairman “ had cut down very considerably the strength of the langauge lie could use against the Tasmanian Government. There is no word in the English language which represents the dishonesty of the Tasmanian Government’s claims.” A shareholder: You might find a word in the Bible—fallen among thieves.” Commenting on the presence of a representative of the Tasmanian Government. Mr Macquisten said, “He is a very courageous gentleman. He can hear the crack of the whip, and I hope he likes it.” The report and accounts were adopted.