PACIFIC CABLE.

Press, Volume LXII, Issue 18676, 27 April 1926, Page 9

PACIFIC CABLE.

CANADA'S CHANGE OP GROUND. TWO ALTERNATIVES OFFERED. (by cable— press association—copyright.) (AUSTRALIAN AND JSt.Z CABLE ASSOCIATION.) LONDON April 25. Sir James Allen, whp drew up the statement to which Mr Murphy replied concerning the Pacific cable dispute, states that apparently Mr Murphy has changed his ground of attack, which was originally strenuous objection to the use of permalloy instead of numetal in the new cable. "Our independent investigation convinced the Board of the superiority of permalloy, in addition to which it is British, while numetal is American The first serious diversion of opinion arose on the Canadian proposal to avoid excessive expenditure by duplications via Honolulu. Thf Board emphatically disagreed on the ground that it would cease to be an All Red route. Australia and New Zealand supported the Board. Then the present contract was let. If Canada continues her dissent, she has only two choices, either she must refuse a landing for the cable at Bamfield r withdraw from partnership. The former is unthinkable because even foreigners were not denied landing The latter would necessitate Imperial Conference, at which Austrr!in. New Zealand, and Canada would arrange terms for the winding up of the partnership." Mr Pacaud (Canadian representative in London) is not prepared to indicate Canada's future action, which he says is in the hands of the PostmasterGeneral, who administers the Department under authority of Order-in-Council. At present there is no reason to expect a withdrawal, which presumably would be a Cabinet matter, but even if that occurred it would not affect the service. The only change would be that Canada, instead of being a partner, would collect land line tolls.