DECISIVE VOTE

Southland Times, Issue 21728, 14 June 1932, Page 5

DECISIVE VOTE

PEOPLE OF N.S.W. MR LANG’S COMMENT /'ACCEPTING VERDICT” RESULT BRINGS RELIEF 'United Press Assn.—Telegraph Copyright.) Sydney, June 13. The total votes cast for the parties when the counting closed yesterday were as follows: — UNITED PARTIES 642,973 LABOUR (Lang Party) 496,762 FEDERAL LABOUR . 53,230 COMMUNISTS 10,907 INDEPENDENTS 21,000 The votes counted at the same stage of the 1930 election were as follows:— Nationalists and Country Party 487,593, Labour 676,202, Australian Party 24,620, Communist 9511, Independent 12,126. Mr B. S. B. Stevens stated, as Premier of the United Government: “I am delighted with the complete expression of confidence in our Government, indicated by Saturday’s overwhelming victory. I consider it a victory for democracy, and I am confident that the result of this election will be immediately felt both overseas and in Australia.” "People Misled.” Mr Lang commented: ‘‘The people have given their judgment upon the case as they saw it, and because we believe that the people alone shall govern we accept their verdict. I sincerely hope the amount of suffering to be borne along the road that the people have chosen to go will not be so great as I fear it will be. The Labour Party will continue to fight as tenaciously as ever, awaiting the hour (which will come sooner than is expected) when the Labour Party will again be called upon to lead our fellow Australians out of the wilderness. The policy of suppression and distortion adopted by the metropolitan Press has succeeded in misleading the people, and the electors have voted for the policy without realizing its frightful consequences.” "Considering that Mr Lang some 18 months ago secured over four to one of the votes polled and a majority not far short of 10,000, I feel I can claim a great moral triumph,” said Mr Coleman, who opposed Mr Lang for the Auburn seat. “I was handicapped by threats of intimidation and terrorism which included the employment of a gang to assault my workers during the campaign, and I was more than once threatened personally. Langism is the most pernicious and destructive influence in politics.” Mr H. Gordon Bennett, president of the Chamber of Manufacturers of New South Wales, stated that manufacturers felt much relieved at the result, for they foresaw, if the Lang Party were returned, the gradual destruction of their industries for the purpose of socialization. “The result,” he declared, "gives us a new lease of life and new hopes for a rapid recovery of our lost trade.” Press Comment. The Sydney Morning Herald editorially comments; “The shattering defeat, of the Langites will arouse elation throughout the Commonwealth. The people of New South Wales have notably upheld the Governor’s action in dismissing an outlaw and a rebel. The Government’s and Mr Lang’s own misrepresentations, which were deliberately false, of the issues upon which the Governor acted, of the issues at the Saturday elections, of the Premiers’ Conference resolutions, and of the declared intentions of his election opponents have been treated by the people with derision. The fate of Mr Gosling, whose administration will be the subject of more than one searching inquiry, and of Mr Lamaro, who disgraced his office by expressing contempt of the High Court, will be especially appreciated throughout the State. Mr Steverfs and Mr Bruxner have received the most flattering vote of confidence ever accorded to a political appeal in New South Wales. Tlje Sydney Daily Telegraph editorial states: "Though it has been a sweeping victory for Messrs Stevens and Bruxner, the Government has no easy time ahead of it. Eighteen months and a little more of Langism have brought the State to the verge of bankruptcy as well as of civil war. The new crew of the ship of State will have to work off the year’s deficit of £11,700,000 and the rest of the legacy of Langism.” The Labour Daily editorially comments: “The people have decided that the people should decide. Some day, perhaps, the people will really rule. To say that this present judgment of the electorate is a considered verdict on the miseries of the times is to jest with words when one remembers that the case of Labour was vilified, falsified and distorted out of recognition. It was deliberately excluded, not only from the news columns, but even from the advertising columns of the 'free and untrammelled Press.’ In the vernacular, the people have been ‘sold a pup.’ ” NO CHANGE STATE OF THE PARTIES. (Rec. 9.50 p.m.) Sydney, June 13. The election was widely discussed in Sydney to-day. Already 32 new faces will be seen in the new Parliament which is likely to be summoned next week. The fate of three doubtful seats is not likely to be decided until the checking of preferences. Further counting of postal and absentee votes to-day made little change in Saturday’s figures; if anything the positions of anti-Labour candidates were strengthened. The latest estimates confirm the week-end prediction that the state of the parties will be: Government 65 Opposition 25 An unexpected feature of the country polling was the fact that the United Australia Party polled heavier than the Country Party in a number of constituencies contested by both parties. Only entirely industrial seats in the metropolitan and Newcastle districts were retained by the Lang forces. LANG ADMINISTRATION A SHORT HISTORY. AMAZING LEGISLATION. (By H. E. Russell.) Sydney, June 3. To many, politics is the driest of subjects, but here in New South Wales events have moved so rapidly, in such an alarming fashion that it affords the almost exclusive subject of conversation. Most people in New Zealand have a hazy idea of what the Lang administration has meant to this state, but probably few realize the extent of the damage done by this extreme leg-

islator—one who sneered openly at the sanctity of contracts and set about, to achieve -the Sovietization of everything under his control. It must always be borne in mind that Lang was the Government; what he said was final, and his Ministers were but so many puppets paid to dance to any tune their leader played. The following summary of the “achievements” of this Socialist Party will show why politics furnished such an all absorbing source of conversation wherever people met — in trams, in drawing rooms, at meals, between rubbers of Bridge, at street corners, inevitably the question cropped up: “What will Lang be doing next?” In any country the Government will inevitably be subject to. caustic criticism at least by one section of lhe community. In New South Wales it has been, and still is, the one topic everywhere. As a result of the measures which form the subject of this article industry was practically at a standstill, capital was moving from New South Wales to other States in the Commonwealth and unemployment naturally became more and more acute. The writer was given the concrete example of the experiences of one large firm which manufactures a very popular American proprietary product. Taxation was so heavy that they moved their entire plant to Melbourne involving, of course, very heavy expenditure coupled with a loss of production during the period of transition. The move proved to be fully justified, for, after having paid all expenses incurred, they were at the end of one year’s trading showing an increase of £5OO net profit and their second year was £l2OO, better than any similar period while manufacturing in Sydney.

The Lang Government came into power in October, 1930, with a clear majority over all other parties. The people were feeling the first pinch of the depression and a change of Government seemed to offer some hope of a way out of their troubles. Most of the promises made by this party were, of course, impossible of fulfilment, but the majority of the electors were gulled by the glittering future promised for them under the rule of Labour, and those that did realize the futility of the nebulous policy outlined before the elections were dubbed pessimists. Thus on a wave of falsely-aroused enthusiasm did the Lang Administration sweep into office with a clear mandate from the people of the major State of the Australian Commonwealth. No Fresh Capital. Repudiation was not then, of course, part of the Labour policy, as this would have clashed badly with Lang’s undertaking to borrow freely. Obviously no fresh capital could be obtained for a Treasury that openly declined to meet obligations already incurred. As an example of the late Premier’s perfidy we find him in his policy speech denouncing the then newly levied wages tax of 3d in the £1 as one of the harshest laws ever imposed, and shortly afterwards himself raising it to 1/in the £l, to be followed by a declared intention of doubling this heavy levy. Fortunately this was never carried into effect. The usual Labour planks were, of course, stressed, the 44-hour week, no reduction of wages, relief lor all unemployed, etc., etc. The session that followed was unparalleled in Australian constitutional history. Armed with complete control of the House and the blind subservience of his Ministers, the Premier could do as he pleased. Only the Upper House stood in the way of the complete Sovietization of the State. Lang being vested with complete control, debating was left to the hopelessly outnumbered Opposition, who, were, of course, powerless and could do nought but voice their disapproval in no uncertain terms. Naturally one of the Premier’s first moves was to try to de away with the Uppe? House and he brought forward the now famous Abolition Bill which has now been declared invalid by the Privy Council. An application was made to the Governor for the appointment of about fifty additional members but this was refused. Labour members of the Legislative Council were showing their disapproval of the Lang Plan and several Government measures were checked, including bills to legalize “tin hare” racing, to raise £500,000 from insurance companies by requiring deposits to be made in cash to the Treasury, and a measure directed against certain anti-Labour newspaper interests. Finally the Governor sanctioned the appointment of 25 new members, and though he has been severely criticized for this, it must be remembered that Lang had a clear mandate from the people and it can reasonably be argued that he should be given a chance to carry out his policy. This accretion meant that the control of the Council was in the hands of the Coates group, representing Federal Labour —a small party with the balance of power in their hands. The Premier had already split with the Official Commonwealth Labour Party and it could never be fore-, seen with certainty with whom this group would vote. A Moratorium Act was supposed to be in accordance with the Premiers’ Plan (an agreement between the Government of the various States), but Lang introduced much of an extraneous nature, such as the personal covenant clause. It is to be noted that his own loan of over £13,000 to- the Labour Daily was expressly excluded from the provisions of this Act. The Lottery Act was passed and the 44hour week restored. In February, of this year the famous or rather infamous Lang Plan was announced—no further payment of interest to British bondholders —in a word repudiation. Theodore and Lang were now at loggerheads and this split had far-reach-ing effects, both factions, suffering heavily at the Federal elections. Perhaps the greatest sensation was caused by the introduction of a bill to reduce all public service salaries, those of judges included, to a £5OO maximum. This was rejected by the Upper House. An iniquitous Transport was passed, another example of Soviet legislation. Collapse of Savings Bank. The most calamitous event in this

period of startling and alarming occurrences was the collapse of the State Savings Bank. Heavy withdrawals had been made and Mr Lang requested the Commonwealth to take it over. He then refused to accept the terms offered and on April 22, 1931, the bank closed its doors. It was not until December 14, and after the appointment of a board of commissioners had proved useless, that the bank reopened, having amalgamated with the Commonwealth Savings Bank. Unemployment was meanwhile increasing at an alarming rate. It became quite apparent that the Premier really had no sympathy for the workless and used their plight merely to further his own ends. At no time did he show a really sincere desire to help these unfortunates as individuals and his application to the Loan Council for a loan of £750,000 was naturally very promptly refused. The policy of repudiation was having repercussions. Lang informed the Commonwealth Government that interest payments due in London in April would not be met. The Federal powers under Scullin thereupon undertook the payment of this interest. Surprise and indignation was aroused when it became known that Lang was paying some £125,000 to American bondholders. Legal proceedings were begun to recover the interest paid by the Commonwealth, but were not concluded. Further default occurred and the celebrated Garnishee Act was passed by the Federal Parliament which was by this time in the hands of the Lyons group. Under this Act the Commonwealth was empowered to seize State revenues, and Lang immediately tested (he legality of the Act before the highest tribunal in the land. The decision went against him and leave to appeal was refused. Some idea of the mentality of the late Premier can be gained from the fact that he has since openly referred to the judicature as corrupt and willing to burst the law to further the interests of the capitalists. Having obtained a decision the Federal authorities proceeded to exercise their powers, and soon Lang was faced with an impossible position. His next moves were wild and ill-considered. Debarred from banking facilities, he accumulated as mueb liquid cash as possible in the Treasury. He then shut and barred the doors of the Income Tax Office, thus denying the Commonwealth the means of assessing and collecting State tax over which he had, of course, a tested Garnishee order. Payments to civil servants, pensions and child endowments, etc., were suspended, though it is noteworthy that members of the House were paid in cash. Last and most extreme was the Premier’s Bill to levy a 10 per cent, capital tax on all mortgages, payment to be made in cash within fourteen days, relief to be at the sole discretion of the Treasurer, namely, Mr Lang. His own loan of £13,500 was, of course, exempted. Any laymen can see the utter impossibility of ever carrying such a Bill into effect and the crippling effect it would have on industry. At this stage the Governor stepped in and dismissed the Ministry. It was nothing more than a body of law-breakers, and when a circular was issued to departments ordering the illegal handling of State moneys Sir Philip Game exercised his constitutional authority. Such was the inglorious end of the dishonourable and corrupt Lang Administration.