IMPORTERS APPEAL

Otago Daily Times, Issue 23704, 11 January 1939, Page 6

IMPORTERS APPEAL

LICENSING SYSTEM VALIDITY CHALLENGED GOVERNOR-GENERAL ASKED TO INTERVENE TEST CASE FOR FULL COURT (Per United Press Association) AUCKLAND, Jan. 10. A meeting attended by over 400 representatives of importing houses and a sprinkling of manufacturers passed a resolution requesting the Governor-General (Viscount Galway) to issue a proclamation that would nullify the' operation of the import regulations until such time as the Full Court could hear the evidence and decide upon the validity of the measures. . It was announced that advice had been received from distinguished counsel, who had expressed the opinion that the regulations were invalid and could be upset on appeal. Accordingly legal machinery had been set in motion to have the case tested by the Full Court. The meeting was a public one, convened by the Bureau of Importers, and was held in the Chamber of Commerce Hall. Bights of the Individual “ In my opinion, never before in a British country have the rights of the individual been so ruthlessly attacked,” said Mr W. A. Boucher, president of the bureau, who presided. -.“The import control regulations savour of the dark ages, and it behoves those of us who have spent a lifetime in developing businesses to see that they are not destroyed in a swoop by the Government, which seems to have a complete disregard for everything and everybody.” Mr Boucher added that the reaction of these regulations would be felt not only by importers and manufacturers’ representatives and indent agents, but by the shipping companies, banks, insurance companies, transport organisations, and harbour boards. Destruction of Businesses Clerks, storemen, carriers, and salesmen would, no doubt, be discharged in considerable numbers, Mr Boucher said, and the Government’s action would result not only in the destruction of businesses, but would throw out of employment young people who had been trained in specialised businesses. There were also other phases which the Government had overlooked, such as the leases of premises, time payments, and financial arrangements with countries such as Canada and the United States, and violation of trade agreements such as the Ottawa agreement. “I am absolutely confident,” Mr Boucher added, “ that if instructions had been given to the trading banks funds would have been made available for legitimate business only, and the position would have corrected itself during the course of the next few months.” Mr Boucher warned the general public that consumers in the cities and primary producers in the country would be seriously affected. There would be no competition, and business would be thrown into the hands of trusts and mononolies, which could demand any price for, in many cases, inferior products. There was a frank exchange of views among those present. Estimate of Dismissals

Asked to state the number of employed on their staffs and the number of discharges, those present gave the following figures:— Employed .. ~ 4454 To be discharged .. 1702

The analysis showed that only half of those present supplied figures, many not having received their licences and being unable to state to what extent they were affected. Further resolutions were carried affirming the urgency of holding a joint Dominion conference of all importing interests, and requesting the Auckland Harbour Board to assist _ the importing community by allowing 48 hours’ free storage instead of 24 owing to the additional time and work involved in passing Customs entries under the new conditions. MR SAVAGE’S REPLY “ WILL SOON HAVE AUTHORITY ” HINT OF PARLIAMENTARY ACTION (Per United Press Association) WELLINGTON, Jan. 10. An indication that, if the validity of the import regulations is successfully challenged before the Full Court the Government will not be slow to take steps to re-establish their validity. Was given by the Prime Minister (Mr M. J. Savage) when he was invited to comment in an interview this evening on the report from Auckland that legal machinery has been set in motion to have the case tested by the Full Court. “What the Government has not authority to do it will soon have authority to do,” Mr Savage said. “That is all I will say about that at this stage.” The Prime Minister’s statement is understood to mean that, if legislation is found to be necessary to withstand the challenge to the regulations, the Government will not hesitate to summon a special session of Parliament to place the issue bevond all doubt. POLICY OF DEPARTMENT MINISTER REFUSES TO MAKE STATEMENT REFERENCE TO EXCESSIVE IMPORTATION The Minister of Customs (Mr W. Nash) does not intend at present to issue a public statement supplying the information which traders are seeking relative to the basis on which the department is working in granting permits under the import licensing regulations. That was the reply of the Minister when he was asked this evening whether he had any statement to make. Mr Nash, who spent the Christmas and New Year holidays in the country, returned to Wellington last

night. He was engaged practically all day to-day at the first Cabinet meeting of the new year. When asked whether overimportation had led to restrictions being placed on some goods, he said if a census of goods in the country could be taken it would probably be found that there were sufficient stocks to meet all demands for the next 12 months. He knew of some cases where over-importation had taken place. THE STOCK EXCHANGES DOMINION SCRIP EXPECTED TO BENEFIT The effect that the Government’s import control scheme will have on Stock Exchanges is one which is causing some speculation in investment circles. Until the scheme is well under way. however, it is considered that there will be no untoward reaction in regard to any Australian scrip. It is confidently expected that later on there will be a more pronounced demand for a number of the higherpriced Dominion industrials, and consequently values are likely to appreciate. Since the election last year investors have been apathetic towards New Zealand shares, but with the advent of the import control scheme it is felt that industrial scrip, which was as good as neglected in recent months, will regain its lost popularity.