LICENSING OF AIR SERVICES

Press, Volume LXXII, Issue 21867, 21 August 1936, Page 12

LICENSING OF AIR SERVICES

PETITION BEFORE COMMITTEE OF HOUSE (P8153S ASaOCIiTZOK TKLEGB.UI.) WELLINGTON, August 20. The' unsuitability of the aircraft chosen by the company, and the company’s lack of financial ability were the main points submitted in evidence in rebuttal before the M to Z Petitions Committee of the House of Representatives at the continuation of the hearing of the petition by New Zealand Airways, Ltd., and H. M, Mackay, managing-director, for compensation alleged to be due through the Transport Co-ordination Board refusing to grant the company a license to operate air services on the major routes in the Dominion.

In evidence, Wing Commander T. M. Wilkes, Director of Civil Aviation, said that when applications were made to the Transport Board for licenses, the board submitted the applications to him for a report on certain matters. Xn his report (which was read to the committee), Wing Commander Wilkes said that Airspeed Envoys could maintain the time-table suggested with ease. Boeing machines, however, would have difficulty in doing so over some sections of the route. The Boeing was a single-engined machine powered with a Wasp engine. This type was used in American air-mail routes but was being replaced. EL* did not think that a single-engined machine should be used on a regular service across Cook Strait, and they could not be regarded as of any great value for defence.

Evidence was also given by Mr A, J. Conway, Controller of Civil Aviation, about the financial position of the applicants for commercial licenses and the suitability of tne machines Which they proposed to operate. Mr Conway said Mr Trevor Withers, E remoter of Great Pacific Airways, ad given evidence before the board as to its financial arrangements, which had since been found incorrect. He would say that on the evidence of the financial sources stated to be available to Great Pacific Airways and New Zealand Airways, the board was justified in coming to the conclusion that Great Pacific Airways had a better chance than New Zealand Airways of getting money to start the service.

After further submissions, Mr A. H. Nordmeyer, M.P., deputising for the chairman, said the decision of the committee would be announced in the House of Representatives in due course.