STRAIGHT TALK.

Auckland Star, Volume LIX, Issue 120, 23 May 1928, Page 7

STRAIGHT TALK.

MARCONI ARRAIGNED.

" Name Now Stands For Scandal And Corruption." LABOUR ACCUSATION. (AustraJUn Press Assn.—United Service.) LONDON, May 22. In the House of Commons Mr. Baker (Lab., Bristol) raised a discussion on Imperial beam wireless. He detailed all the history of wireless since 1923 and said that he understood the merger between the Marconi Company and the Eastern Extension Telegraph Company was calculated to attempt to force the hands of the Government.

They hoped to take over the Post Office wireless and the cable system and to control independent wireless and cable companies in the Dominions.

The fact was that the Marconi Com* pany knew how great were the potential profits of the Government beam service.

It was understood that the Post Office service, although in its infancy, waa already showing a handsome profit. Tli« cable companies were frankly afraid of the success of the beam and entered tha merger as the only way of escaping competition.

Mr. Baker objected to Imperial wireless communications being handled by two groups, of which he alleged one had a record of scandalous mismanagement. If it was a fact that a decision had been reached in this matter by the Imperial Wireless Conference then the Government had adopted a course which was fatal to the national interests and the chief result of the conference had been to enrich share manipulators.

"I want to submit to the House calmly and quietly," proceeded Mr. Baker, "that Marconi, the name of the illustrious inventor of wireless, now stands definitely for scandal and corruption. It is lamentable that a scientific inventor should have his name abused, but the fact remains that the Government's difficulties are due almost entirely to the financial operations of the Marconi Company in the Dominions. The gravest possible charges are made in regard to that company's operations in the Dominions.

"Distinguished members of the Hoase of Commons have said things I dare not repeat unless there is proof, and I must lea\ e the matter there. The merger is a definite, calculated attempt to "force the hands of the Government and that attempt is accompanied by a treacherous threat on the part of the companic* to pay out their shareholders, cease operations and let the cables go derelict. They have threatened this because, after having received generous Government assistance, they cannot compete with the Government's beam service."

Mr. C. G. Ammon (Lab., North Camber well) said there seemed to be an atmosphere of corruption and wirepulling about the wireless communication and cable companies which was almost without parallel in the history of commerce.

Captain lan Fraser (Con., North St. Pancras) said the merger was a marriaqe of two entities, one of which owned the best method of transmitting messages. The other owned the best method of collecting and handling messages. He said he believed those in favour of the nationalisation of this industry were serving a political doctrine rather than the needs of the country.

Sir John Gilmour, speaking as chairman of the Wireless-Cables Conference, gave details of the progress of its inquiries. He said the problem was not easy to unravel. It involved considerable research. The conference had to consider the repercussion in Australia the other Dominions and colonies. The Government had accepted no responsibility for the merger, which was subject to satisfactory arrangements with the Governments of Britain and the Dominions and of India.

When the conference made its recommendations the British and the Dominion Governments would decide on theii action and before any definite conclu» sions were taken the matter would ba brought before the House. He hoped this would reassure the doubters.