OVERSEAS INTEREST

Evening Star, Issue 21080, 18 April 1932, Page 7

OVERSEAS INTEREST

MR LANG'S SUGGESTION DEPRECATED BY PRIME MINISTER Press Association—By Telegraph—Copyright. MELBOURNE, April 17. The Prime Minister (Mr J. A. Lyons) has sent a statement to the London Press deprecating Mr Lang’s suggestion to withhold overseas interest in order to meet economic and financial difficulties. He points out that the prospect of the general reduction in- the interest on external debts depended on action taken upon an international basis for the relief of debtor countries. He sincerely hoped that the war debts question would be settled at the International Conference, which would be held at London in June. “ The measure of relief obtained, however, will depend upon how far we are able to strengthen our credit, and Mr Lang’s attitude will certainly not enhance our prospects of relief.” . MR LANG RETURNS TO SYDNEY SYDNEY, April 17. Mr Lang has returned to Sydney from.the Premiers’ Conference at Melbourne, and it is stated that he does not intend to go back again. FINANCES IN TERRIBLE MUDDLE CLIMAX EXPECTED THIS WEEK. SYDNEY, April 18. (Received April 18, at 10 a.m.) Owing to the terrible muddle into which New South Wales .finances have drifted consequent on the Commonwealth’s blockade and lack of banking facilities, Mr Lang, as Treasurer,, will have his hands pretty full during the coming week in finding a new way out of the impasse. The Government’s cheques are being rejected in all parts of the State, and bitter complaints are being made by those who have any business with the Government. Further Federal action is now temporarily held up by to-day’s High Court application'by Mr Lang for an injunction restraining the banks fulfilling the Commonwealth attachment of State deposits. There are also critical developments which may force drastic action outside the ambit of Federal activity. It is authoritatively stated that the Premier will default in internal as well as external interest. The climax is expected this. week when the Privy Council’s decision regarding the abolition ot the Legislative Council is anticipated. Jt is expected that this will completely trapsform the present outlook. Mr Lang’s place at the Melbourne conference on unemployment is to be filled by Mr Davidson, Minister of Public Works.