A Steel Hold-Up Story Denied

Northern Advocate, 29 July 1939, Page 9

A Steel Hold-Up Story Denied

t Special to "Northern Advocate ”] WELLINGTON, This Day.

The ■ Acting Leader of the House, the Hon. P. Fraser, stated in the House of representatives yesterday that there was no truth in a suggestion that the New Zealand Government was owing an Australian company for steel already supplied and that the company had refused to supply further steel to New Zealand until payment for material supplied w'as assured.

“Regarding the statement made that the New Zealand Government was indebted to the Broken Hill Proprietary Co., Ltd., in the sum of £IOO,OOO, and that the company has refused to supply further steel to New Zealand until payment for material supplied was assured,” Mr Fraser said that the position in so far as the Public Works Department is concerned is that absolutely nothing is owing to the company for steel supplied. “It is true the department nas large commitments to the company for future supplies, but payment is not required until delivery is made, and delivery is not called for until certain specified dates. “In so far as the company itself is concerned, it has fulfilled and agreed to fulfil all outstanding orders placed in the first six-monthly period covered by the import restrictions, but it asks that before orders lodged during the second six-monthly period are fulfilled credit shall first be arranged. “Subject to this condition, the Broken Hill Pty. Company, Ltd., will supply all New Zealand orders lodged with it.”

Mr Fraser said that the recent press statement made in regard to the refusal of steel companies to supply steel in fulfilment of New Zealand orders did not emanate from the Broken Hill .Pty., but from some other sources, and did not represent the company’s attitude.