PROFITS FROM GOLD

Hokitika Guardian, 31 October 1933, Page 7

PROFITS FROM GOLD

QUESTION OF OWNERSHIP. DUNEDIN, October 28. “Air Grose is an interested party,” said All- James Begg, of Dunedin, in an interview regarding statements made publicly by Air J. T. Grose, chairman of the Associated Banks, and the opinion of Sir Francis Bell that the monetary gold held by the banks is their absolute properly. “The banks quite naturally ■ wish to get the present high price for the go] d in their vaults and their claims should be carefully scrutinised,” said Mr Begg. “It is of no moment how the gold was obtained. It belonged to the bank s in 1914 just cs it doe s now until asked for by the depositors. The depositors’ rights have been temporarily suspended by an Order-in-Council and can at any moment be restored by the cancellation of the order. If this were done the whole of the gold would be I withdrawn from the banks. In thesej circumstances ‘absolute property’ has little meaning. “Sir Francis Bell’s published opinion that the gold is the absolute property of the banks is no doubt, correct at the present moment, but ownership depends upon the Order-in-Oouncil, which may be cancelled by the Government at any time. In 1914 the gold wa s the property of the banks, but the banks’ depositors could at any time have demanded and received the whole of the gold from the banks and it would then have become the property of the backs’ customers,”