The Central Bank Bill

Manawatu Times, Volume LIV, Issue 7271, 26 September 1933, Page 3

The Central Bank Bill

(To tho Editor.) Sir, —President Roosevelt in his inaugural speech said: “The moiicychaugers through their stubbornness and incompetence have almost brought the nation to its knees.” And, please don’t forget, they have a Central Bank in U.S.A.I Henry Ford has said that by a very simple experiment with half a dozen pieces of rope ho could cure the economic ills of the world to-morrow. And yet, knowing these facts, our Government proposes to hand over the financial destinies of this country to the very men that Mr. Roosevelt and Mr. Ford were referring to.

Lot me put the whole stupid proposal in a nutshell: What would you think if Mayor Mansford suggested to tho citizens of. Palmerston North that tho citv spend a million pounds on a water supply, and after it was installed, the whole works bo handed over to a couple of wandering Jews to run in their own interests, with full power to rcgulnto the .supply of water just to suit themselves? Yet, that is just, what our Government proposes to do in regard to the supply of money which, of course, is the very life-blood of the nation. You would think Mr. Mansford was mad; well, that is just what I think about the Government. 1

America lias gone in for a. National Recovery Act; in this country wo suggest going in a for a National Enslavement Act. I would suggest they call the Central Bank Bill by its proper name—an Act of Treachery.

Nothing that Sir Otto Nicmeycr or the bogus Englishman, Professor Guggenheim Gregory, can suggest to New Zealand is worth considering. They are simply debt merchants. Their “system” of finance is rotten because debt is an inherent part of it. They cannot, run it without creating debt. Verily, verily I say unto you, in (he midst of life wc are in debt. Sir Otto is a totally discredited man, Hus “cure” Cor our ills was to produce more and consume loss, and hot on the heels of that stupid nonsense we have Great Britain demanding quotas! Our chief trouble has been that we have been taking llie advice of false prophets who are now totally discredited in the eyes of all right-thinking people.

To my mind, the whole issue is quite simple. ” It is just this: If we don’t strangle the money-changers, tlie moneychangers will strangle us. There is one point Mr. Coates lias not made clear to my mind: Under his precious bill wc have to hand over a million of money without tlic right, of recovery. Now, this amount capitalised at. five per cent, is equal to £50,000; then the Central Bunk is to have the sole right of note issue free of charge. At, present we receive from tho associated banks for this right, £450,000; those two amounts mean a dead loss to us of half a million a year. How, I would like to know how Mr. Coates proposes to make this up? I. wonder if it has ever occurred to Mr, Coates that this amount (£500,000) would pay the interest on ten millions of money at five

per cent. Is the Central Bank worth half a million a. year to this country? Personally, I don’t think so. Will the Central Bank avoid credit cycles, which at present masquerade as trade (!) cycles? No; it will. not. With this weapon, the money-changers will be able to play ducks and drakes with us at any time they like. Once this bill becomes law, it will be a case of “Good-bye, Major Douglas, farewell, Mr. Field! ” Despito anything Mr. Coates may say, there are two bills they have had no mandate to put through the extension of Parliament, and the Central Bank. If a vote were taken on the latter proposal it would be defeated by ten to one.

All the inspired. Press propaganda from London is simply part of the plot; it. is as insidious and as dangerous as Communistic propaganda, and ought to be totally ignored.

I have previously referred to Sir Otto as New Zealand’s Patron Saint. I lovo him with an undying hatred. To showyou how much I “love” him, I have composed the following lines:—

An Ode To A Dictator. Hail, Sir Ottol Magnificent, Brave; Friend of Producers in every age, Courageous, courteous, kindly and true, ■Knigkterrant of Financiers of deepest

hue. Interested in Interest on Overseas’ Loans, Thy Standard is Gold, bringing misery

untold To millions of workers, both young and

old. Our statesmen adore thee; speak! and

they act Like clowns in a circus—l know it's

a fact. That .for thee they’d deliver the women

aucl children To starve by the wayside, the Budget

to balance. Then down through the ages thy

praises we’ll sing, King George is our monarch, but thou art. our King. I am, etc., “SHELDON.” Palmerston North, Sept. 25.