THE WAIKOUAITI WRECK

Evening Star, Issue 23438, 1 December 1939, Page 10

THE WAIKOUAITI WRECK

REPLACEMENT OF LOST CARGO APPLICATIONS TO RESERVE BANK FOR FRESH FUNDS IMPORTERS WAITING A RULING [Special to the ‘ Star.’] WELLINGTON, December 1. The wreck of the Waikouaiti raises an important point about which commercial and banking circles are found to bo greatly interested. When inquiries were made whether the Reservo Bank is likley to place fresh funds at the disposal of importers to replace their lost goods the Reserve Bank officials were unable to state more than that applications for funds for replacement would cause the position to be carefully considered. From other sources it was found that the importers concerned in a loss through this wreck would find their import licenses in respect of these goods still operative as the goods had not passed the Now Zealand Customs. Control over sterling exchange introduces another factor, as the possession of an import permit does not necessarily guarantee the right to import, it being necessary to arrange for the allocation of sterling funds. If insurance claims in respect of any part of this cargo are payable outside New Zealand it would be a great advantage to an importer, who could then use his unexpired import permit and arrange finance through his insurance payment. With all these factors to consider it is obviously impossible to secure from the Reserve Bank any general ruling covering the replacement of lost cargo.

SALVAGE ATTEMPT

OYSTER TRAWLER ENGAGED [Per. United Press Association.] INVERCARGILL, December 1. An attempt to salvage the cargo from the after-holds of the Waikouaiti is being made this afternoon. The oyster trawler Marina has been engaged for the preliminary work. It is proposed to run a steel wire from the ship to the trawler’s powerful winch. If a heavy swell makes this impracticable, flexible steam piping will be connected from the trawler’s boiler to the ship’s winch. The weather remains fine and the sea calm, but if a storm rises operations will have to he abandoned. A large number of watersiders waited for a call for salvage operas tions this morning, hut after consultation between Mr Shilling, the company’s representatives, union officials, and the chief olpcer, it was decided to postpone the call to 1 p.m. The groceries will be easily salvaged, but difficulty is ,expected with the steel cargo. There is danger of the hardwood timber breaking loose and being a menace to shipping, so that endeavours will be made to form it into rafts to be towed to Bluff.

Contrary to expectations the weather- so far has remained calm, and should facilitate the efforts at salvaging.

Union Company authorities in Dunedin made inquiries for a salvage boat here and at Port Chalmers this morning, hut were unahle to find a suitable craft for the purpose. What was required was one with its own steam to unload the cargo.