TERRIBLE MUDDLE

Hokitika Guardian, 18 April 1932, Page 5

TERRIBLE MUDDLE

N.S.W. FINANCES

MR LANG FACES AN IMPASSE. (Australian Press Association.) SYDNEY, April 18. Owing to the terrible muddle into which the New South Wales finances have drifted in consequence o the Commonwealth’s blockade and huk o. banking facilities, Mr Lang, as Treasurer, will have his hands un-tty I'll! during the coming week finding a new way out of the ini passe, Tl.o Government’s cheques are. being rejected in all parts of the State and bitter complaints are being made by those who have any business with the Gove nme»t. Further Federal action is now temporarily held up by to-day's High Court application by Mr Lang, for an injunction restraining the hanks from fulfil’ing the. Cc-mmonulcalth attack* meat of State deposits. There are also critical developments which may fence drastic action outside the ambit of Federal activity. It is authoritatively stated that the Premier will default in internal, as well as external interest. The climax is expected this week when the. Privy Council’s decision, regarding the abolition of the Legislative Council is anticipated. It is expected that this will completely transform the present, outlook,

Mr Lang’s place at the Melbourne Conference on the unemployment problem is to be filled by Hon. Davidson, Minister of Public Works.

AUSTRALIA’S EXTERNAL DEBT. STATEMENT TO LONDON PRESS. SYDNEY, April 17. The Prime Minister, Hon. J. A. Lyons, has sent a statement to the London press, deprecating Mr Lang, the N.S.W. Premier’s suggestion, to withhold Australia’s overseas interest in order to meet the Commonwealth’s economic and financial difficulties.

Mr Lj •oils pointed out that the prospect of a general reduction in the interest payments on Australian external debts depended on action being taken upon an international basis for the relief of the debtor countries. He sincerely hoped that the war debts question wofild be settled at the international Conference that is being held at London in June. He added- “ Whatever measure of relief should he obtained, however, would depend upon how far we were able to strengthen our credit. Mr Lang’s attitude certainly will not enhance our prospects of relief. MR LANG NOT GOING BACK. SYDNEY, April 17. Mr Lang has returned t () Sydney from the Premiers’ Conference at Melbourne, It is stated that lie does not intend to return to Melbourne. IN N.S.W. GOVERNOR PERTURBED SYDNEY, April 10. “In the event of the High Court deciding against the New South Wales Government, on the motion to compel the hanks to pay all State moneys to’ the Commonwealth, the Governor will; dif?,solve, 'the State Parliament. This view is expressed by well informed people. It is believed that the Governor is extremely perturbed at tne possibility of a revolution, trade unions having announced their intention to take their place “in the fight which is impending.” and is accordingly enlisting aid from returned iMohliens, and placing a united organisation at the disposal of the Premier.