SAVINGS FALL

New Zealand Herald, Volume LXXV, Issue 23160, 5 October 1938, Page 17

SAVINGS FALL

POST OFFICE BANK _ ) INCREASED WITHDRAWALS TWO POSSIBLE EXPLANATIONS FIGURES FOR FOUR MONTHS Figures indicating an increase. in withdrawals and a decrease in deposits in the Post Office Savings Bank were quoted bj r Mr. 'O. C. Mazengarb, National candidate for Wellington Suburbs, in an election address on Monday night. "Until a few months ago," said Mr. Mazengarb, "the Prime Minister, the Minister of Finance and nearly all the speakers for the 'Government Party were enthusiastic about the returns from the Post Office Savings Bank, which, they declared, were the best evidence of the increased prosperity of the country." The Labour Party had also featured a statement by the Prime Minister that prosperity would last only so long as a Labour Government was there to maintain it, continued Mr. Mazengarb. However, it occurred to him that nothing had been heard about the Post Office deposits for a long time. '

He therefore looked into the matter to see why Labour was playing " 'possum," and found that for the first four months of this financial year, as compared with the same period of last year, the deposits had gone down by £337,180. The withdrawals had gone up by £914,365, and the excess of deposits over withdrawals had been reduced from £1,889,311 to £637,746. The full figures were quoted by Mr. Mazengarb as follows:

Excess of deposits Period, With- over with--4 months Deposits drawals dranals ' £ ■ : £ 1 £ 1938-39 . 11,261,955 10,624,219 637,746 1937-38 . 11,590,165 9,709,854 1,889,311

"Now, then," said Mr. Mazengarb, "let Mr. Savage and Mr. Nash explain those figures. There are two possible inferences. Either the Post Office depositors are sending their money out of the country for safety or else the cost of living has risen to such an alarming extent this year above what it was in the first four months of last year as to prevent the working people from banking as much as they did. The Postmaster-General is the only person who can tell us which of those explanations is correct." 400,000 BOOKLETS SOCIAL SECURITY SCHEME USE OF PUBLIC MONEY BUSINESS MEN. PROTEST [BY TELEGRAPH —PRESS ASSOCIATION] $ WELLINGTON, Tuesday

The sooial • security booklets, printed by • the Government and distributed through New Zealand were described as political propaganda by members of the council of the Wellington Chamber of Commerce to-night. The chamber decided to protest, against public money being used for such a purpose. All 'members had probably received a copy of the booklet through tHe post, said the president, Mr. P. E. Pattrick. No doubt they had read it with interest, not that it contained much news, but it was an explicit summary. "But it is an ex parte summary," he continued. "It deals with benefits and does not touch on costs. Having been published at the present juncture, it can only be regarded as propaganda." A printer's note stated that 400,000 copies had been prepared. The cost was not mentioned, but at 3d a copy it would be £SOOO. On top of that there was the cost of postage. "I move that we express regret that public money has been spent on what amounts to political propaganda," Mr. 1 Pattrick concluded. "I regard it as political propaganda largely Because of the time at which it was issued," said Mr. M. G. O. McCaul, seconding the motion, which was carried unanimously.

LABOUR AND INDUSTRY . ATTITUDE TOWARD BANKS VIEWS OF MR. W, J. LYON An assertion that the Labour Government had no intention of taking over tho commercial banks or the industries of the country was made by Mr. W. J. Lyon, M.P., Labour candidate for Waitemata, in an address ,at Belmont last night. Mrs. V. M. von Sturmer presided over an audience of about 150 people. . , If the Government had intended taking over private banks and industries, what a chance it had had in the last three years, when it had complete charge, Mr. Lyon said. As the Labour Government had begun, so it would continue, and industries wouffl be encouraged in the future as in the past, private enterprise not being interfered with unless it obstructed the Government's actions. It was likely that some disciplinary measures would be taken if the banks deliberately obstructed the policy acts of the Government. A ' vote of thanks to the candidate for his address and confidence in him and his party was carried without dissent. It was a particularly quiet meeting, and Mr. Lyon was frequently applauded. PRIVATE ENTERPRISE MR. R. COULTER'S CLAIM [BT TELEGRAPH —OWN CORRESPONDENT] TE AItOHA, Tuesday For the first time a Government had carried out every plank in its political platform, said Mr.'R. Coulter, M.P. for Waikato, to a large audience in the Waitoa Hall. The real test would be a depression overseas, but in tho meantime the Government had seen to it that the money from the rise in prices, had been equally distributed among the people. # • \ : . enterprise uncontrolled is ruthless," said Mr. Coulter. "It has no soul and has been the cause of unspeakable suffering to thousands. In the interests of all the people, when it clashes with the progress of the community it must bo controlled. Money must be made the servant of the human race and not its master as it has been in days gone by." ' Mr. Coulter was accorded a T.ot© of thankß and confidence.