FEDERAL BANK BILL

Otago Daily Times, Issue 26640, 10 December 1947, Page 5

FEDERAL BANK BILL

“ IMPLEMENTING PARTISAN IDEOLOGY ” BRITISH CHAIRMAN’S VIEW LONDON, Dec. 8. The chairman of the English, Scottish, and Australian Bank, Sir Frederick Young, criticised the Australian Government in his annual report for taking action to nationalise the banks. He said it was done not on grounds of economic necessity, but to implement partisan ideology. “We deplore the Government’s intention to substitute a monopoly for a well-tried, open, independent, competitive system, whose efficiency was proved over a long period,” he added. “During a flying visit to Australia I saw an unprecedented upsurge of public opinion opposed to nationalisation. It was obvious the Government did not dare submit the Bill to a referendum. Indeed, it is racing against time to defeat the Australian people by hastening the acquisition of banking business, and establishing a banking monopoly to such a point that the process cannot easily be reversed, no matter how decisively electors may vote against the Government at the next elections.

“This indicates the growth of a ruthless totalitarian mentality, which the great majority of the people have been quick to realise. I am by no means unhopeful that the Government’s proposals can be successfully resisted. Our bank’s surplus assets are such that I think I am justified in warning shareholders against sacrificing their holdings. The Federal Government, under its Constitution, can only acquire our business and assets on just terms.