NO PROFITEERING

Greymouth Evening Star, 21 February 1939, Page 7

NO PROFITEERING

MR. SULLIVAN’S WARNING

POSITION IN NEW ZEALAND

[PER press association.]

AUCKLAND. February 21

The Government’s attitude in respect to profiteering was made clear by Mr. Sullivan, in a statement he made, this morning. ‘‘The question of keeping prices stable in the present situation is one that is receiving attention,” he said. “I have been making myself acquainted with the steps taken in other parts of the world, to prevent profiteering and other unreasonable price increases. Out of this information, the Government has prepared its own plan in respect to the steps that will be taken, should the necessity arise. Up to the present, we have had occasional reports in respect of unreasonable increases, hut so far, there have not been many. We do not desire to go further than the necessities of the situation may make imperative. Should, however, there be manifested a disposition to exploit the public, the machinery to deal with the position, which has already been prepared, will be put into immediate operation. No new legislation is required. Ample power exists, and the Government can do anything it thinks necessary, by Order-in-Coun-cil. A number of countries, some of them within the Empire, have had to take more drastic steps to prevent the exploitation of the public, than New Zealand has taken, and those countries are not administered by Labour Governments. “Some people, who have voiced criticism through the newspapers, seem to be under the impression that it is not permissible to increase prices at all. Consequently, the fact that there have been some increases indicates to them a breakdown of the Government’s plans. They do not realise the real situation. The legislation that we have been working under up to the present time, the Profiteering Act of 1936, is directed against ‘unreasonable’ increases, the term ‘unreasonable’ being defined by statute. If an attempt is made to exploit the community, it may be necessary for the Government to take the same steps as those taken by some other countries, and, before any person can increase a price, compel him to justify such increase before a tribunal. I do not desire to take that step, but it will be taken if the position warrants it. I feel sure that the majority of business people will play the game. The only danger is that a few by an unreasonable and selfish attitude, may create difficulties for the great mass of fair-minded business people,” Mr. Sullivan concluded.