THE COALITION.

Press, Volume LXIX, Issue 20772, 4 February 1933, Page 14

THE COALITION.

MR STALL WORTHY RESIGNS LETTER TO PRIME MINISTER. [From Ouk Pabliamentary Reporter.] WELLINGTON, February 3. What is virtually hie resignation from the Coalition was announced today by Mr A. J. Stallworthy (Eden) in a letter which he delivered to the Prime Minister (the Rt. Hon. G. W. Forbes) shortly before recording his vote against the second reading of the Banks Indemnity (Exchange) #'"• Practically throughout ,the present session, Mr Stallworthy has opposed the Government on almost every issue of importance, and he has for some time past absented himself from the Coalition caucus. His defection leaves the state of Parties in the House as follows;

Coalition ... ••• f J Labour ... ••• ?4 Independent ... ••• *» Country ... ••• * After announcing that he will not attend any further caucus of the Coalition Party, as at present constituted, Mr Stallworthy declares inh is letter that the methods of the Cabinet have become a travesty of representative Government. Members of the House, he says, are no longer consulted, and legislation for the most part reflects outside influences. Much of this legislation he considers contrary to the public good, and to the fundamental principles of social stability.

"Prime Miaister in Name Only." Setting out in particular the reasons for his opposition to the high exchange policy, Mr Stall worthy says: "When you were given a free nana by your then ministers to form a National Government you accomplished only a Coalition Government. However, it was then most definitely stipulated by the Party that you as the United Leader, must retain the Prime Ministership. This was insisted upon, I think rightly so, as Mr Coates had been heavily defeated at the i«« J election. Since the last election however, it has become painfully obvious that you are now Prime Minister m name only, that you have surrendered the leadership to Mr Coates. lour volte face over a period of a few weeks on the high exchange issue, in my opinion, leaves no reasonable doubt about the matter. Generally, the position has given rise to so much real discontent and unrest in the Dominion that, much as it might be desirable to avoid a general election, it is my conviction that responsible men must have regard to tho constitutional position. The Government has no mora] right to remain in office if it has lost the confidence of the people. ■ "Might I respectfully suggest that you call your Party together and frankly discuss the question of leadership? The present situation appears to me to demand the fullest opportunity for reconstruction. If that is impossible. I, for one, cannot deny the right of the neonle to a dissolution or the present Parliament."

Prime Minister's Reply. To Mr Sfiallworthy's letter, intimating his intention to attend no more caucuses of the Coalition Party, the following replv has been made by tho Prime Minister in a letter bearing today's date:— "I desire to acknowledge receipt of vour letter intimating that it is not your intention to attend anv further caucus of the Government Party. I may say that your letter has not come as a surprise, because it has not eseancd my notice that since you had safely assured your return as a supporter of tho Coalition Government at the last General Election, you have never showa nny desire to be helpful to the Government in the very difficult duty it had to carry out, tho performajico of which was bound to give rise to some unponularity. On the contrary, you have shown a disregard of the pledges given at that election and you have consistently adopted a bostilo attitude toward the GoTernment. "J must, however, take the strongest; exception to the paragraph in which you state that 'a small minority br receiving advance information of the pending rise in the exchange have secured inordinate sains at the cost of the distress and ruin of fellow citizens.' Tf the insinuation is intended that certain neople received premature information of th* Government's decision impronerlv throuth Ministerial then T desire t«i say that sush a.n insinuation is absolutely without foundation, and in my opinion i« unwr-rtbv of one wh* has so re"«htly held Ministerial office himself. "T observe that von hive handed 1 vour letter to the press. I nropogft to take a similar course with this replr."