JAPANESE ASSETS IN N.Z.

Press, Volume XC, Issue 27400, 13 July 1954, Page 10

JAPANESE ASSETS IN N.Z.

COMPENSATION OF PRISONERS MINISTER REPLIES TO CRITICISM (New Zealand Press Association; WELLINGTON, July 12. Charges that the Government had withheld money “legally” given under the Japanese peace treaty for compensation of former prisoners of war captured by the Japanese were unfounded, said the Minister of Defence (Mr T. L. Macdonald) tonight. Mr Macdonald said that the proceeds of the liquidation of Japanese property held in New Zealand—about £64,000 —was being used for the following purposes:—TV pay £25 grants to individual former prisoners; to provide funds for the welfare of civilian internees captured by the Japanese; and for the welfare of all former prisoners of war, regardless of the theatre in which they served, and their dependants. Some was likely to be required to satisfy claims for property loss or damage in Japanese-occupied territories. The Minister said that in fact the Government was under no obligation to use this money to benefit former prisoners or for any other specific purpose.

The criticism of the Government from former prisoners might have been caused by a confusion of two articles of the Japanese peace treaty, he said. Japan was also required to transfer her former assets in neutral and former enemy countries to the International Committee of the Red Cross for distribution for the benefit of former prisoners and families. Negotiations on the amount of assets to be made available were proceeding.

The grant of £25 was only a token gesture, because it was impossible to make adequate compensation for the suffering of prisoners during the years of captivity, Mr Macdonald said. It was a gesture to indicate the Government’s appreciation of their special hardships.