MR LANG’S NEW MEASURE

Otago Daily Times, Issue 21643, 13 May 1932, Page 7

MR LANG’S NEW MEASURE

“AN ACT OF PILLAGE”

LIKELY TO PRECIPITATE CRISIS

APPEAL FOR FEDERAL INTERVENTION

(United Press Association.) (By Electric Telegraph—Copyright.)

SYDNEY, May 12,

The Herald, in a leading article, says: —“Mr Lang’s Bill to impose taxation upon mortgages is really nothing less than a Bill to confiscate all real property upon failure to pay this Statewide capital levy. It is a piece of tyranny, savagely conceived, but we believe it is bound to be defeated. The public look to the Legislative Council to again save them. This is an act of war and pillage by the Lang Government against, not alone property owners, but all private enterprise and industry. It is meant to precipitate a crisis, and that it will certainly do. Over and beyond the last defences of justice and fair play in the State Parliament the public looks to the Federal authority —whose active intervention involved it in this struggle—to use every power it possesses, not only to defeat this LangiSt attempt to overthrow all order and security, but also to drive the wreckers from office.” BILL PASSED IN ASSEMBLY SCOPE INCLUDES DEBENTURES. SYDNEY, May 12. , (Received May 12, at 7.50 p.m.) The Mortgage Taxation Bill was passed in the Assembly during acrimonious discussion. It was stated that debentures would come within the purview of mortgages. Thus the Lang Government would levy on at least £200,000,000. It was further estimated that an institution like' the Australian Mutual Provident Society, which had mortgages secured on property in New South Wales exceeding £10,000,000, would be called'upon to pay the Government £1,000,000 within 14 days of the passing of this Act. The Bill is now before the Legislative Council. . Its fate is expected to be decided in the early hours of to-morrow. There is intense lobbying by Lang supporters to secure a majority.' BILL LIKELY TO BE CARRIED / SUPPORT FROM FEDERAL LABOUR GROUP. . ‘ SYDNEY, May 12. (Received May 13, at 0.30 a.m.) There were tense scenes in the Legislative Council to-night during the debate on the Mortgage Taxation Bill, which, it is now believed, will be carried by one to three votes with the aid of the Federal Labour group, which earlier was solidly against it. Feeling in the city and Canberra is extremely apprehensive. The Federal Government,, is preparing for emergencies, and is expected to take extreme action to override the measure if it is passed. POWERS OF THE COMMON- ' WEALTH

MR LYONS PREPARED TO ACT,

CANBERRA, May 12

Mr Lyons, in a statement, declared that he had received information concerning the measures to be introduced in the New South Wales Assembly for the imposition of a tax of 10 per cent, on mortgages, with a provision for vesting in the State the whole of the rights of the mortgagee in the event of nonpayment within 14 days. “It is perfectly obvious,” said Mr Lyons, “that such a melsure, if - passed into law, would destroy the financial security not only of New South Wales, but of the whole of Australia. It would bring speedy and immediate ruin in its train. The Commonwealth.’Government has received advice that the powers of the Commonwealth are wide enough to enable it to defeat this latest attempt by Mr Lang to destroy the credit of New South Wales and Australia. The Commonwealth Government is watching the situation closely, and will not hesitate immediately-to use its powers to the full to defeat the proposal, which would be fraught with dire consequences to the people; therefore there is no occasion for alarm. A full meeting of Cabinet, will be summoned to consider the position.”

SAFETY OF PROPERTY

MEASURES BY FEDERAL GOVERNMENT.

CANBERRA, May 12.

It is understood that arrangements are being made by the Commonwealth Government to ensure the safety of the Commonwealth Bank and other Commonwealth properties in Sydney. It is understood that the members of the - Commonwealth Bank staff and other citizens will be sworn in as Commonwealth police officers. Answering questions in • the House of ■ Representatives Mr Lyons said there might be no necessity for the appointments, but it would be too late to make arrangements to meet an emergency after it had arisen. Mr Lyons cancelled his visit to Victoria for the election campaign as soon as the news of Mr Lang’s new measure reached him. The Governor-General was alsp to have left for Adelaide, but it was announced that owing “to sudden and urgent public questions ” he would have • to postpone his trip indefinitely. PEACE OFFICERS’- ACT NUMBER SWORN IN. CANBERRA, May 12. More than 100 men, mostly employed In the Commonwealth public service, have been sworn in under the Peace Officers' Act. Letters have been received by Mr Lyons, Mr Bruce, and Major Jones (chief of the Federal capital police) making threats on their lives. A previous message stated: The Herald’s Canberra correspondent says that to ensure' that any assistance required may be readily available action is being taken by the Ministry to appoint a number of Commonwealth peace officers. Prominent business men, bankers, public servants, and other members of the community will be sworn in immediately so that they may be called upon to assist in any capacity required in the same way as special constables tworn in under the State law may be called upon.