AUSTRALIAN LOANS

Greymouth Evening Star, 13 February 1932, Page 3

AUSTRALIAN LOANS

N.S.W. DEFAULT. [BY CABLE —PBESS ASSN. —COPYBIGHT.] CANBERRA, February 11. The Prime Minister telegraphed to Mr. Lang, asking the New South Wales Government to make available £707,763 in partial discharge of the interest due to overseas bondholders. Tho Lang Cabinet is giving consideration to the request. Mil LANG’S CAUTION. SYDNEY, February 12. Regarding the Prime Minister s telegram to Mr Lang, the latter replied tonight: “Counsel advises that in view of existing and threatened litigation by the Commonwealth against New South Wales, it is necessary that the Commonwealth should undertake not to use, without the consent of .this State, or suffer to be used, any reply to your telegram in evidence against this State in any pending future litigation.” APPLICATION TO BANK. (Received February 13, 11 a.m.) MELBOURNE, February 13. In the absence of an assurance by Mr Lang that his Government will make any contribution to discharge the State’s obligations to oversea and Australian bond holders, Mr Bruce, to-day, requested the Commonwealth Bank to advance immediately the full amount of the loan money allocated to New South Wales for the unexpired portion of the financial year. If the Bank accedes to the request, the money will be withheld by thte Federal Government to off-set the proposed early payment of interest indebtedness of New South Wales. SITTING BACK, MEANWHILE. ' LONDON, February 11. Mr. Willis has advised Mr. Lang of the concensus of opinion of the Loudon Press, financiers, and bondholders, that the Commonwealth is responsible for the payment of interest, consequently ho is taking no further steps for a moratorium, unless the Commonwealth fails to meet the obligations. MR. BRUCE’S APPOINTMENT LONDON, February 11. “The Times” says: Mr. Bruce is to .remain a member of the Australian Cabinet. His appointment in London will be temporary. It is being made because the Australian Government realise the overwhelming importance of the financial problems, and feel that they would best be handled at the London end by a Cabinet Minister of Mr. Bruce’s standing and experience. QUEENSLAND’S CREDIT. SYDNEY, February 12. The monthly return of the Queensland Government givinf the position of tho consolidated revenue, trust and loan funds, shows that a credit balance of the Government of Queensland in Australia and abroad, at the end of July, was £1,716,926 (not a debit as reported yesterday).