HALF-CROWNS SCARCE.

New Zealand Herald, Volume LXVIII, Issue 20922, 11 July 1931, Page 10

HALF-CROWNS SCARCE.

ONE BANK IMPOSES LIMIT,

EFFECT OF WAGES CUT.

SILVER TAKEN BY TRAVELLERS;

Half-crowns are scarce in Auckland The cause is believed to bo that many people leaving New Zealand are taking as much silver as possible, and that as half-crowns are exclusively of British mintage, they comprise the bulk of tli 6 silver leaving the country.

At least one Auckland bank found'fy necessary yesterday to impose a on the number of half-crowns it issued to firms for paying the weekly wages bill. Since the 10 per cent, cut in wages became general, there is a greater demand for silver, because many whose salary used to be computed in even pounds now find silver coins in their pay envelopes.

" We aro trying to meet the wishes of our clients as far as possible, but we would also like them to meet us, even at some little inconvenience to themselves," said the accountant of the bank which has imposed restrictions on the issue of half-crowns. " The position is that jva are trying to build up adequate supplies*' of half-crowns to assist our clients when the Christmas rush sets in. If we did not take such a precaution during the slack part of the year we would not ba able to cope with the situation later/ Our branches also make a heavy demand on our supplies of haif-crowns toward the end of the year." The regulations provide that if silver coin is imported into or exported from , New Zealand, without the consent of the Minister of Finance, the money may be confiscated. A case was reported yesterday as a result of which £430 was seized from a passenger leaving Wellington by the Ulimaroa for Sydney. " That is only one instance of what it happening," said the bank official. "There is a strong suspicion that others attempting something of the kind have not been detected. But, even if those leaving the country kept within the limits, ' the amount of silver they take makes a considerable inroad on the supply of half-crowns. Passengers for England, in particular, do not want coins, owing to the exchange position, and, to make doubly sure, they are ap. parently taking only half-crowns, a coin which is not minted in Australia."

No concerted action is being taken bjr the banks to conserve the supply of halfcrowns, but it is anticipated that most banks will have to practise a sort of hoarding policy in order to meet the brisker demand from clients later in tie year.