The Gisborne Times. SATURDAY, APRIL 27, 1935. MR. W. D. LYSNAR. AND THE RAILWAY,

Gisborne Times, Volume LXXXII, Issue 12538, 27 April 1935, Page 4

The Gisborne Times. SATURDAY, APRIL 27, 1935. MR. W. D. LYSNAR. AND THE RAILWAY,

'J'ho announcement by Air W. I>. Lysnar that he Jins brought back to the Dominion the terms upon which certain financial groups at Home would be prepared to finance the cost of completing the Gisborne-Nnpicr railway has occasioned quite- a lot of interest throughout the district. It -seems, however, that these terms differ from those laid down by tho Government but in what respect has not been disclosed. With .characteristic optimism, Mr. Lysnar, it is clear, does not see why the Government should not make -some further concessions which are desired. What is important to note, in this regard, is that lie attempted, by means of cabled communications, to induce the Government, whilst he was still in London, to alter its terms to suit the financial -groups which he had interested in the project. The fact that he had to leave tho matter over until he returned is somewhat disquieting. What would appear to be indicated is that there is a wide divergence between what is sought by the London financiers and what is offered in the Government’s terms. It now remains to be seen how long it will take to complete the negotiations. Air Lysnar has returned to find that the Prime Minister (Mr Forbes), the Minister for Finance (Mr Coates) and the Chairman of the Railways Board (Mr Sterling) arc now all en route for London. In the absence of Messrs. Forbes and Coates especially, it may be just as difficult to clinch, matters by means of cabling to them in London as it was in respect of cabling them from London. There will ho agreement with Dir Lysnar that the negotiations should bo persevered with whilst the money market is in its present very favorable state. It might have been supposed that (lie prospect of having the line completed by private enterprise would have been warmly welcomed even outside the East Coast districts. But the Government organ in Wellington has lost no time in what will, of course, he a futile attempt to discourage Mr Lysnar. It suggests that any proposal to the effect that a company should undertake a project usually entered upon by the State is not a question for hasty consideration and decision. “It is,” it says, “too radical a change in policy”! This will he held to be most amusing in view of the fact that the Government has already set- out terms upon which it would be willing to allow private enterprise tc. take over, complete and operate the line. Other equally lame excuses follow. It is suggested, that if the line should prove a- success under private enterprise there would be a clamour f l tbe State to take it over and, on the other hand, if it were to prove a failure, the company might seek to he relieved of its obligations by manieuvring the sale of the line to the State! As matters at present stand, Mr Lysnar will not find it a simple matter to bring his plan to a successful issue with- Air Forbes and Mr Coates (together with Mr„ Sterling) abroad. It would probably have been better if he had waited at Home, but when he left London, it would not be known that Air Coates and Air Sterling were going to . accompany AIY Forbes to the Homeland.