MR LLOYD GEORGE

Press, Volume LXIII, Issue 19110, 20 September 1927, Page 9

MR LLOYD GEORGE

SALE OF THE "DAILY CHRONICLE." CASH PAYMENT OP it,750,000. (no* on ow* coausronam.) LONDON, July 26. Mr Lloyd George has negotiated a financial .transaction which has, it would appear, proved highly remunerative and ensured an undiminished flow of publicity' for his political whims. He has sold the "Daily Chronicle" and its allied newspapers for a "consideration" of nearly £8,000,000, and has bound, the purchasers to continue its support of him and his successors in the Liberal leadership. Details of this remarkable deal have been revealed by the publication of the prospectus of the Duly Chronicle Investment Corporation, Ltd., formed to acquire the ordinary share capital of United Newspapers (1918), Ltd. In addition to the "Daily Chronicle," United_NewspaperS, Ltd., owns or controls the "Sunday News," the "Edinburgh Evening News," the "Yorkshire Evening News," and the "Doncaster Gazette." The capital required is £3,050,000. The purpose of the prospectus is to offer for sale 700,000 7 per cent, first cumulative preference shares of £1 , each, the remainder of the tfapital having been privately subscribed. A coneluding note invites the inspection at the solicitors' offices of contracts made between the Corporation, Sir David Yule, Sir Thomas Catto, and Jfr Lloyd George. One contract, an agreement between Mr Lloyd George and the Corporation, provides that the consideration to be paid to Mr Lloyd George for the purchase by the Corporation of the 616,504 ordinary shares issued by United Newspapers at £l, fully paid up, should be £2,900,000. Of this sum £1,750,000 was to be paid in cash, and the remainder by the allotment of folly-paid-up ordinary shares of £1 each in the capital of the Corporation to the value of £1,150,000. Progressive Liberalism. Another clause reads: "The company hereby agrees with the vendor that it will procure that the 'Daily Chronicle' and other newspapers owned or controlled by the United Newspapers (1918), Ltd., shall, so long as the company has the power to control.same, be conducted in accordance'with the policy of progressive Liberalism, in opposition, on the one hand, to reactionary doctrines, and, on the other, to Communistic and revolutionary doctrines; and that consistent support shall be given to the promotion of unity in the Liberal Party, and to the furtherance of social and industrial reform through the land policy, industrial policy, free trade, etc., and other programmes of Liberal and Badical measures adopted by the Liberal Party." Mr Lloyd George met the directors of the "Daily Chronicle" Investment Corporation at the offices of his solicitors a day or two ago to receive his money.