INTEREST PAYMENTS

Evening Star, Issue 21035, 24 February 1932, Page 9

INTEREST PAYMENTS

MR LANG'S DEFAULT BITTER ATTACK ON MR BRUCE Press Association—By Telegraph—Copyright. SYDNEY, February 23. When the State Parliament reassembled to-day the Premier (Mr J. T. Lang) made a long explanation of his attitude in failing to meet the State’s interest obligations. He attacked Mr Bruce (Assistant Federal Treasurer), declaring that he was responsible for a war on' New South Wales, resulting in the Federal Government introducing legislation for the confiscation of another Government’s moneys and property. Mr Lang exclaimed : “ If it is war they want they will get it, and my Government will win because its cause is right. We are not going to allow this State to become the chopping block for biased people like Mr Bruce and the Melbourne coterie which is running the Commonwealth Government. My Government has adopted the broad principle of debt postponement, for if everybody during the period of deflation is called upon to pay their debts then bankruptcy is inevitable. Thus we are going in for a policy of debt suspension to enable the people with assets to retrieve the position when better times arrive.” “If the Commonwealth Government is intent on extracting £3,000,000 of interest from New South Wales by legal processes, then there is only one section of the community from whom it can be taken,” said Mr Lang, “ and that is the commercial and mortgagee classes. It is their problem solely. If they say the money must be paid, then I am prepared to provide them with the machinery requisite to pay it. At any rate, the Commonwealth can bank on this State taking any and every step to defeat this mad policy of destruction of wages, conditions, and social services designed to alleviate the poor and needy in this State.” Mr Lang predicted that every Premier in Australia would have to default with interest payments within four months unless tho banks paid it for them, and the Commonwealth Government itself must within a few months ask for suspension of interest payments.