RESTRICTING CREDIT

New Zealand Herald, Volume 78, Issue 24134, 28 November 1941, Page 7

RESTRICTING CREDIT

AUSTRALIAN PLAN NEW BANKING POLICY CONTROL OVER INVESTMENTS (Reed. 12.10 p.m.) SYDNEY, Nov. 27 A new banking policy, covering the restriction of credit to business and for control over new investments was outlined by the chairman of the Commonwealth Bank, Sir Claude Reading, in an official statement issued to-night under the National Securty Regulations. The statement advises the trading banks that bank accommodation to retailers and manufacturers of goods for civil consumption should in future be definitely limited, and as a general rule assistance should not be granted to permit new investments being undertaken , for any purpose not as esse:r> i tial to the war effort. Taxation as far as possible should be met and dividends I?aid from income, and by no means by new or increased bank accommodation. It is appreciated, says the statement, that this will mean many heavy sacrifices. It is inadvisable for anyone to enter into commitments which will require bank accommodation to complete without consulting his bankers. Sir Claude Reading explained that this policy was designed to assist the diversion of men, labour and materials from private enterprise to the prosecution of the war to overcome the shortage of manpower, and to obviate the competition of private enterprise for needed in the war effort. GERMAN CAMP RIOT : SEVERAL•EXECUTIONS (Reed. 6.80 p.m.) LONDON, Nov. 26 Several German soldiers werg recently shot after a riot in a German camp at Bergen, says the Norwegian Telegraph Agency. Unrest followed the shooting of a man who talked too openly to his comrades about conditions in Germany after his return from a visit to home. A riot then broke out in the camp, resulting in further executions. The Stockholm correspondent of the British United Press, in a message confirming the riot, states that the Germans made 40 arrests. NAVAL APPOINTMENTS CHANGES ANNOUNCED (Reed. 5.5 p.m.) LONDON. Not. 27 A'ice-Admiral H. R. Moore, AssistantChief of Naval Staff, has been appointed Vice-Chief of Naval Staff in succession to acting-Vice-Admiral ' Sir Tom Phillips, says the British official wireless. He is succeeded by ViceAdmiral E. L. S. King. / Bear-Admiral H. T. C. Walker is to | be Director of Personal Services in succession to Vice-Admiral W. E. Tait. Vice-Admiral Tait, Vice-Admiral Phillips and It ear-Admiral P. L. Vian, former commander of the famous destroyer Cossack, have been selected for seagoing commands. ■ " ' r ri "' SOVIET PRODUCTION LONDON, Nov. 20 The Soviet spokesman, M. Lozovsky, said the German claim to have captured 75 per cent of Soviet production was a lie. "Production was greatly increased during the three five-year plans," he said, "and new production centres were established deep in the interior. Furthermore, no important industrial towns have fallen intact into German hands. We evacuated them, and are now re-erecting the plants. Production is beginning again." ENEMY BARGES BOMBED (Reed. 5.5 p.m.'* LONDON, Nov. 2(3 Boyal Air Force fighters on patrol to-day attacked and damaged enemy patrol vessels and barges in the Straits of Dover, says the British official wireless. a: