STATE LOANS

Poverty Bay Herald, Volume LII, Issue 16211, 8 December 1926, Page 8

STATE LOANS

LONDON COMPLAINTS

COMMONWEALTH SANCTION SUGGESTED

(Elec. Tel. Copyright—United Press Afssn. (Australian and jN.Z. Cable Association.

(Received December 8, 1 p.m.) LONDON, Dec. 7.

It is understood that following recent difficulties connected with Queensland and New South Wales loans city men aro suggesting that in future State loans should be excluded from the trustee list unless they are guaranteed by the Commonwealth.

j They point out that State loans were originally included in the list prior to I the federation, but the situation has [since been completely x altered. They ' express the opinion that if State loan's 'Were not included in the trustee list they would obtain very scanty city support and tho States, therefore, would be compelled to apply for Commonwealth sanction, thus obviating the necessity for repeated investigations into the finances of individual States, which is very difficult at this end. "The impossibility of striking off the present issues is fully realised," said one authority. "The suggestion bristles with technical difficulties, but the effect would be salutary. There aro too many State loans floated here,"