CABINET CRISIS

Waikato Times, Volume 124, Issue 20743, 1 March 1939, Page 7

CABINET CRISIS

NATIONAL INSURANCE MINISTER MAY RESIGN TO FORM NEW BLOC United Press Assn.—Elpc. Tel. Copyright) SYDNEY, Feb. 28 The endorsement by a joint party meeting at Canberra to-morrow of the Federal Cabinet’s decision to abandon the national insurance scheme will be followed immediately by the resignation of the Attorney-General, Mr R. G. Menzies, deputy-leader of the United Australia Party in the Commonwealth Parliament, says the Sun. The paper adds that Mr Menzies will have the support of a strong section of his party to form a corner bloc, which will hold the balance of power on all questions on which the Government does not have the support of the Oppositon. This development is regarded as the first definite stage of disintegration of

the Lyons Government, and will probably result in the Prime Minister seizing a favourable opportunity for an appeal to the country. Mr Stevens’ Record The Premier of New South Wales, Mr B. S. Stevens, to-day equalled the record of the late Mr W. A. Holman by being Premier for six years, nine months and 15 days, and to-morrow he will have broken the record. Political observers consider Mr Stevens will have entered Federal politics by the end of the year, if not sooner. A cablegram yesterday stated that the Federal Cabinet’s decision to abandon the scheme was made against the strong advice of Mr Menzies. It was | I ;]:•• decision w,ts nut i unanimous, but that Ministers who opposed the repeal of the National Insurance Act agreed to abide by the will of the majority.