ROYAL COMMISSION

Evening Post, Volume CXVIII, Issue 34, 9 August 1934, Page 9

ROYAL COMMISSION

IN NEW SOUTH WALES

PREMIER'S STATEMENT

SYDNEY, August 8. A niild sensation was caused in the New South Wales Assembly tonight when tho Premier (Mr. B. S. Stevens) sought leave to introduce a Bill to amend and extend the powers of the Eoyal . Commissions Act to enable a Boyal Commission, which has already been appointed, to • investigate the activities of a number of companios and trusts domiciled in this Stato and in New Zealand. ";

He described the Bill as urgent in view of contained in tho interim report by the New Zealand Commissioner (Mr. J. S. Barton), of Juno 9, and upon which the New Zealand Government is now acting. That Commission's report disclosed a strong prima facio case for investigation into what appeared to be far-reaching and substantial frauds relating to tho method uiylcr which a number of companies and trusts were operating, not only in New Zealand, but in New South Wales and other Australian States.

Mr. Stevens requested that the Bill bo allowed to pass all stages that night. He intimated that the South Australian Government had taken the matter up today, and he understood that the Victorian Government, would act next week. The Commonwealth Government was doing its part without delay. Mr. Stevens added that on July 27 he received a letter from J. W. S. McArthur, nianaging director of tho Southern British National Trust, Ltd.y with headquarters in Sydney, complaining of "a conspiracy to damage their reputation in New Zealand, also insidious propaganda by competitors," and inviting tho Government here, through its Auditor-General, to inspect and check all their investments, books, and documents.

"Under our Bill," said Mr. Stevens, "a Boyal Commissioner will be empowered to investigate the affairs of seventeen investment companies. A special officer would be detailed to examine the books and records, and a penalty of five years' imprisonment will be provided against anyone obstructing the Commission or attempting to take books and records outside tho State. The Attorney-General will have the power to wind up any company." The Boyal Commission will bo Mr. Justice Halso Bogers. In the Assembly the Bill passed all stages and was sent to the Legislative Council.