STATE CONTROL OF BANK

Southland Times, Issue 25746, 9 August 1945, Page 7

STATE CONTROL OF BANK

WIDESPREAD BUSINESS PROTEST (Special) WELLINGTON, August 8. “If any proof were necessary of the great weight of opinion against the Government’s proposal to acquire the privately-owned shares in the Bank of New Zealand, it is to be found in the file of protests which was presented to members of Parliament by the deputation from this organization last week and which has since been substantially added to,” says a statement issued by the Dominion Council of Co-ordinated Business Associations. “Surely a reasonable Government would take heed of such solid opposition to its proposal, for these protests come from practically every branch of industry and represent nation-wide opinion. “The following list of signatories to the protests is by no means complete, but it speaks for itself and every thinking person, whatever his political leanings, must read into it that note of real concern about the inevitable consequences of the banking legislation which has already been given expression, though to seemingly _ deaf ears, by this and other organizations. Here are some of those who have put on record their disapproval of the Government’s latest socialistic move: Chambers of Commerce, timber merchants, oil and colour merchants, soap manufacturers, farmers’ union branches, employers’ associations, retailers, tanners, furniture manufacturers, master bakers, master builders, radio traders, public, accountants, engineers, fish merchants, the Women’s Service Guild, master grocers, master butchers, master printers, electrical traders, master plumbers, restaurant proprietors, iron masters, dairy producers, fruit and produce merchants, paper merchants, retail boot and shoes trade, retail clothiers and soft goods, the wholesale softgoods trade and many individuals.

SERIES OF PROTESTS “Could there be a more convincing expression of opinion by those who are not bound to a blind subservience to party political leaders, but who have sufficient confidence in the future of this Dominion, properly led, to put their convictions on paper, regardless of consequence? From the mass of telegrams and letters on the subject we quote the following extracts, every one of which may be verified by reference to the file handed over by our deputation:— “Waikato Master Builders’ Industrial Union of Employers resolved: ‘That this meeting is gravely concerned regarding the repercussions which will develop against the interests of this nation if the Government controls the Bank and Financial system in New Zealand. We therefore emphatically object to the proposal to purchase the Bank of New Zealand. We undertake to co-operate in any action deemed necessary to prevent any furthbr inroads upon, and control of, private enterprise.’ “Taranaki Drapers’, Clothiers and Boot Retailers’ Association: ‘Resolved that this association ... is 100 per cent behind the deputation protesting most strongly against the proposal to socialize the bank. The country has not been told in plain language the real purpose of the proposed action, which is regarded as entirely unnecessary and unwarranted —a view also expressed on more than one occasion by Mr Nash* himself.’ “Dunedin Wholesale Soft Goods Association: ‘Resolved that the executive view with the gravest concern and consternation the proposal of the Government . . . and support wholeheartedly every reasonable effort contemplated to prevent this and further State restrictions of legitimate private enterprise.’ STATE OWNERSHIP OPPOSED “Palmerston North Chamber of Commerce: ‘That in view of the present measure of Government control over both the Reserve Bank and the Bank of New Zealand, of the services given to industry, trade and the community by the latter bank, and of the adaptation to national need developed during the 83 years of its existence, this meeting is strongly of the opinion that any extension of State ownership to the bank is unnecessary, would seriously impair its position' and usefulness and prove detrimental to the welfare of the Dominion.’

“Otago Employers’ Association: ‘ . . . this association is determined to fight, by all constitutional means, for the principle of freedom for the industrial trader and free enterprise in New Zealand.’

“Tauranga Dairy Association: ‘Directors of the association ... with milk turnover of over £3,000,000, emphatically protest.’ “Gisborne Master Builders’ Association: ‘Emphatically protest against suggested nationalization of the bank as a seriously retrograde step.’ “An individual manufacturing con-, cern: ‘ ... It is certain that such an institution (the bank) could not be run more efficiently or satisfactorily for the public as a whole, and we most energetically protest against any further interference in such matters of private enterprise.’ “A South Island company writes: ‘There is no evidence of a firm demand for the State to take over the bank, from any section of the community except the relatively small, but vociferous, left wing section of the Labour Party. Even that section has not advanced any cogent reasons in favour of the proposal .... We regard the proposal to take over the bank as being merely another step towards the ultimate objective of full socialization, and we. have the strongest possible objections to the interference with the liberty of the individual which this course involves. “Another manufacturing concern: ‘lt is our conviction that, as the Government has failed to disclose a reason, it must have one of its own which it dare not disclose. ...