N.S.W. SAVINGS KANK

Hokitika Guardian, 17 October 1931, Page 3

N.S.W. SAVINGS KANK

MUST BE McrtGED, SCULLIN’S CEMENT. (Australian Press Associativa.) CANBERRA, October 16. The Prime Mini iter,., lit. Hon. J. li Sc-ullin to-day made a long state,,,»u on financial matters in the H use u Representatives. .-He announced tlia. the Commonwealth Government was convinced that the only sound way in which to deal with the prob’em created by the closing of the New South Vales Government Savings Bank was to amalgamate it with cue Savings Bank. The Prime .Minister pointed out that, the Commonwealth was unable to guarantee the New South Wales State institution, w Inch was entirely outside the Federal Government’s control, and the Commonwealth had no power to guarantee the deposits in U,e N.S.W. State Bank, however desiriout; the Federal Government might he to help any necessitous eases.

Mr Scull hi (expressed ,his deepest sympathy with the thousands qf depositors who had showed their.; faith in the N.S.W. Savings Rmifcsfswhich. had subsequently been compelled to impound their life savings; and. because of that position the Federal Government believed that the negotiations for the amalgamation of the N.S.W. Bank with the Commonwealth Savings Bank should be re-opened. The Federal Government, lie added, were, prepared to co-operate to-that end. He denied that the Common-' wealth Bank had been competing with the New State Bank, and lie emphasised that the original proposal for the amalgamation of the N.S.W. Government Savings Bank with the Commonwealth Bank had come from the Premier of New South Wales, Mr .J. T. Lang.