BANKING SYSTEM

Poverty Bay Herald, Volume LXIII, Issue 19024, 26 May 1936, Page 2

BANKING SYSTEM

POLITICAL TINKERING “TOO DANGEROUS” SYDNEY, May 16. Mr. Francis Joseph Grogan, sheep and wool expert, of -Sydney, in evidence before the Banking Commission yesterday, stated that, the banking system was too complicated and dangerous for politicians to tinker with. Mr. Grogan said that banking was an industry, and was better adapted to fulfil the requirements of Australia than any other system. Any attempt to alter'the system of banking, without altering tlio whole of the correlated economic factors in the social system must lead to economic discord, and, possibly, economic chaos. He maintained that the -banks were not responsible for the depression, which was only one of nine others in the last 20(1 years. He advocated the establishment of an international bank, with international currency, in the international trade.

Mr. Chifiey: You say voir would not allow amateurs or politicians to tinker with hanking? Witness; No. Mr. Cliilley: Whom would you place in control? —If 1 wanted a tooth drawn I would go io a dentist. I would place the scientifically trained bank manager in charge. Do you think there is too great a proportion of hankers on the directorates of the trading and Commonwealth banks to-day?—No. but if I had my way 1 would prevent primary producers or businessmen from being elected to the hoard of a hank, since they are not competent to conduct hanking business.

Do von think they should he put off and trained bankers put on?—Yes.