TRADING COUPONS

Dominion, Volume 24, Issue 110, 3 February 1931, Page 8

TRADING COUPONS

Method of Prohibition

MAKING CERTAIN

Further Regulations Reference to the statement of Mr. H, G. R. Mason, M.P., published yesterday, that the regulation made late last year by the Government to prevent the use of trading stamps was unnecessary, was made by the Minister of Industries and Commerce, the Hon. P. A. de la Perrelle, who pointed out that the Government had ground to fear that there was a possibility of technical loopholes being found in the old law, and the regulation had been brought in to make all evasion impossible. He said that regulations going much further than the Act were to be gazetted. The Minister stated that the Trading Stamps Prohibition and Discount Stamps Issue Act was passed in 1908 to prevent the operation of trading stam’p companies in New Zealand, and to prevent the issue of trading stamps or coupons. When it appeared that Universal Distributors, Limited, and other trading stamp companies, were infringing the provisions of the Act, legal advice was at once obtained by the Government with a view, to taking action, but, unfortunately, it was found from the judicial interpretation of the Act given in the case of Brady versus Maddern that successful, action was not assured under that Act. By virtue of the Supreme Court decision in this case, it was possible that stamp companies by observing certain precautions might be able to circumvent the provisions of the Act. With a view to remedying any possible flaw in the Act. and prohibiting all forms of coupon trading other than discounts, going much further than the original Act,, regulations have been prepared and will be gazetted shortly.