ROAD SERVICES.

Manawatu Standard, Volume LVIII, Issue 121, 22 April 1938, Page 7

ROAD SERVICES.

PURCHASE BY STATE. CANTERBURY UNDERTAKINGS. Per Press Association. CHRISTCHURCH, April 21. The Government lias completed negotiations for the purchase of three of the biggest road passenger transport organisations in Canterbury, Lister’s Motors, Ltd., Mockett’s Motors, Ltd., and Dalzell’s Motors Ltd. These three firms cover the major portion of South Canterbury and North Canterbury, and their purchase by the Government will bring under Government control the major transport services operating in the province. It is not yet possible to secure an official announcement about the transactions, but the principals of the three firms involved stated this evening that complete finality bad been reached in the negotiations. Although the services run by Lister’s, Ltd., Timaru-Christchurcli, Timaru-Fairlie, and Timaru-Wairnate. run to some extent in competition with the railways, in the case of the other two firms this does not apply fully, and the principals involved believe that the only reason for the purchase is that the Government had decided toextend its policy of the purchase of all national transport services. It was emphasised by those affected in these transactions that the Government had not made the purchases compulsory, and that no pressure had been brought to bear on the firms selling out. Officials said that the prices agreed on between the three firms and the Government had been reached after arbitration and were satisfactory to everyone concerned. However, officials of all three companies are unable to advance any reason for the decision of the Government to make the purchase other than that there has been a Cabinet decision to absorb all road services operating.