CREDIT COMMANDEER

Evening Star, Issue 20996, 9 January 1932, Page 11

CREDIT COMMANDEER

+ CHAMBER OF COMMERCE PROTEST [Per United Press Association.] CHRISTCHURCH, January 8. An emphatic protest against the action of the Government _in using its powers under the Export Licenses prder to cover up the financial difficulties of local bodies by giving them preference of London exchange is contained in a letter addressed to the Prime Minister by the Canterbury Chamber of Commerce. Alarm is expressed that the Government intends to impound £14,000,000 of the exporters’ credit. The chamber agrees that Government interest due on loans must bo met, and does not object to an arrangement to this end provided it is only temporary, but it objects to a commandeer of credit to nav local body interest. It also protests against the sum of £4,000,000 being taken to repay Treasury Bills. The letter says: “We consider it grossly unfair and unjust that the Government should so restrict the business and enterprise of the country, because it has failed lamentably m reducing its expenditure in accordance with the country’s ability to find means, and so has had recourse to this too easy method of Government finance.” The chamber asks whether the Government proposes further loans by Treasury Bills, and asks also for some definite assurance that, after the Government has taken its £14,000,000, there will be sufficient funds available in London for the reasonable requirements of legitimate trade.