FEDERAL LABOUR PARTY

Hokitika Guardian, 7 November 1930, Page 6

FEDERAL LABOUR PARTY

A SPLIT LIKELY. (Australian Press Association.) (Received this uay at 10.30 a.m.) SYDNEY, Nov. 7. The Sydney Herald says:—A split is likely in the Federal Labour Party. Treasurer Lyons after being overruled in a caucus on financial matters, said he would have to consider his position and probably resign. The caucus desired to compel the Commonwealth Bank to finance maturing loans and refused sanction to the raising of a loan in an open market. Mesisre Fenton and Theodore supported Mr Lyons after the caucus -had outvoted Messrs Fenton and Lyons. The latter said he would communicate with Mr Sdullln. Mr Lyons absented’ himself from the night sitting of Parliament. Mr Fenton telephoned Mr Scullin in London late last 'night. Unless Mr Lyons alters hih intention his resignation is certain. REPORTS IN LONDON. MR SCULLIN’,S STATEMENT. (Received this day at 11.30 a.m.) LONDON, Nov. 6. When reports that Mr Lyons resigned and Mr Fenton might follow reached London, Mr Moloney telephoned Mr Fenton, who denied the resignation reports. He admitted the position was very serious, hut hoped it might yet be saved. Mr Scullin said he had not received >anv 'comniun/ivtion ■ ;¥t’om Messrs Lyons or Fenton and was unable to comment. Mr Scullin was perturbed at the action of the caucus and would regard the loss of Mr Lyons’ services as a disaster. He considers Mr Lyons has done wonderfully good work, and lias shown a clear appreciation of Australia’!-; position.