VICTORIAN CABINET

Nelson Evening Mail, Volume LXIII, 18 July 1929, Page 5

VICTORIAN CABINET

THREE MEMBERS RESIGN GUARANTEE TO A COMPANY At a meeting of the Victorian State Cabinet on Ist July three members of the Ministry handed their resignations to the Premier, Sir William McPherson. They were Mr R. G. Menzies, M.L.C., honorary Minister; Mr Saltau, M.L.C., honorary Minister; and Mr Kent Hughes, secretary to the Cabinet. Tile resignations were the outcome of the decision of the Ministry to renew a hank guarantee of £OO,OOO to the Amalgamated Freezing Company, which carries on operations in several country centres. This guarantee lias been extended to the company by previous Governments. Later in the evening Sir William McPherson announced that the places of the honorarv Ministers had been tilled by (he appointment of Messrs Brawn and Alan Currie, both of whom are members of the Legislative Council, and that Mr Knox, M.L.C. had been appointed secretary to the Cabinet in place of Mr Hughes. 'l'he freezing company sought a continuance of its guarantee up to £60,000 against losses to enable it to operate during the coming session and the Government laid agreed to grant a leliewal. On the ground that this decision was uneconomic and was prompted bv a desire to wield to political consideration the three members intimated that tliev could no longer remain in the .Ministry. The company, they contended. had already drawn heavily from the Treasury. , , The Premier intimated alter Uio meeting that the Government had considerable financial interests in the freezing company. 'I he Government felt that to refuse to renew the grant Vhieli was given hv the last Government. would result in closing down the works and the absolute loss of money which had already been advanced. Although the matter should rightly lane come before Parliament the Mmistn felt that it was one of great urgency and that to enable the company to continue operations an immediate decision was necessary. He very much regretted to have to announce the resigmu ions.