LONDON CRITICISM

Hokitika Guardian, 21 January 1930, Page 4

LONDON CRITICISM

u OVER HATRY SMASH. V 1 United Press Association—By Electric w , Telegraph—Copyright). LONDON, Jan. 19. The Stock Exchange announcement of the formation of a million sterling pool from which the holders of the ' worthless, Hatry. securities may largely be recouped, has been received, with acclamation "‘'by the public, who see in this proposal only, the L brokers’ riiagnaiiiinous. action in shouldering responsibilities that are nob technically theirs. ..... The brokers themselves are, however, not so enthusiastic, arid many are vigorously protesting that the banks should be asked to contribute to the fund, since it has largely , been the bankers’ folly which enabled the crash to reach such proportions. '• Whether or not such a judgment is justified, it is certain that the .banks* prestige is affected by-the fact that several most ill-advised advances were made to the Hatry group . without adequate investigation, , ' ' The present temper of the City markedly against the banks, . which, are regarded asi exhibiting a tendency to adopt more, short-sighted view* than it is believed' the present circumstances necessitate. •' 1 The question of the bank’s attitude towards industry is likely to loom large in the near future. .Even the “Economist,” which usually is a most c utious publication, roundly declares: that the British banks have something to answer' for. It says they do not have highly organised industrial departments comparable with, tlmse of the European banks, and one of the tasks that must be. faced in; the City is to take an active interest in industry, and to find the neces- ■, sary personnel for the developing of->J-the necessary technique. V