FEDERAL CABINET

New Zealand Herald, Volume LXXIV, Issue 22675, 12 March 1937, Page 11

FEDERAL CABINET

DRAMATIC SURPRISE MINISTER'S RESIGNATION CANADIAN TREATY INVOLVED By Telegraph—Press Association—Copyright CANBERRA, March 11 The resignation of Sir Henry Gullett, Minister in Charge of Trade Treaties, came with dramatic suddenness last evening after sharp differences with members of the Cabinet on an undisclosed point of trade policy concerning Canada.

Sir Henry left the room and wrote his resignation. He did not return to the Cabinet and did not attend a farewell dinner given later to the Prime Minister, Mr. J. A. Lyons, and the Minister of Defence, Sir Arclulale Parkhill, on the eve of their embarkation for Britain to attend the Coronation. Ministers refused to comment on Sir Henry's resignation, saying that they wore sworn to secrecy. It is learned authoritatively, however, that the

trouble arose over Sir Henry making a recommendation to the Cabinet that further efforts to negotiate with Canada for a revised trade treaty be abandoned, and that the Cabinet refused to accept the recommendation. Mr. Lyons announced that no additional appointment to the Cabinet would be made, but trade treaty negotiations would be carried on by a subcommittee, Of which the Attorney - General, Mr. R. G. Menzies, would be chairman, and the Minister of Commerce, Dr. Earle Page, and the Minister of Customs, Mr. T. W. White, would be members.