THOSE LOAN TRANSACTIONS

Manawatu Standard, Volume XLIX, Issue 236, 4 September 1929, Page 6

THOSE LOAN TRANSACTIONS

There is something peculiarly ungracious in Sir Josepii Ward’s continued refusal to permit the tabling in the House, or the presentation to the Public Accounts Committee, of the papers relating to the London loan transactions, which the Prime Minister avers debars him from going- on the London market for further loan moneys for a period of eighteen months, because (as he alleges) he is bound by the action of his' predecessor, Hon. W. Downie Stewart. The ex-Minister of Finance has repeatedly denied responsibility in the matter, and has demanded, as it seems to us he has every right to do, that the correspondence should be made available, so that the country can judge between Sir Joseph Ward and himself. The former right hon. gentleman persists in his charge, and has practically excused himself for his failure to obtain all the money lie needs in London, because Mr Downie Stewart’s alleged action bound him not to go on the London market again—it was two years in the first place—for another eighteen months. But one thing is clear: The £7,000,000 loan floated in London in January was negotiated, not by Mr Downie Stewart, but by Sir Joseph Ward, together with the conversion of another £12,000,000 of the loan moneys falling due in 1929-30. Any condition, or conditions attached to the flotation of these loan moneys must, therefore, have been accepted by Sir Joseph Ward, who was in no way bound by any supposed agreement made by his predecessor. The latter has made it clear that, in view of the uncertain position of the Coates Administration, he held over for the consideration of his possible successor a suggestion received from London during- the elections that, if New Zealand intended going on the market for further loan moneys in 1929, such moneys should be raised in January, a loan of £5,000,000 being suggested, together with the conversion of another £10,000,000 of the loan stock falling due in 1929-30. As he did not deal with the suggestion, it is difficult to understand how Mr Stewart could possibly have tied Sir Joseph Wax-d’s hands in the matter. It is a great pity the latter continues his refusal" to produce the papers dealing with his loan transactions, the implication being that their production would show that Sir Joseph has made a mistake. °