THREE MINISTERS RESIGN

Taranaki Daily News, 17 July 1929, Page 13

THREE MINISTERS RESIGN

OBJECTION TO CABINET POLICY. At a meeting of the Victorian State Cabinet on July 1 three members of the Ministry handed their resignations to the Prejnier, Sir William McPherson. They were Mr. H. G. Menzies, M.L.C., honorary Minister; Mr. Saltan", M.L.C., honorary Minister, and Mr. Kent Hughes, secretary to the Cabinet. The resignations were the outcome of the decision of the Ministry to renew a bank guar-, antee of £60,000 to the Amalgamated Freezing Company, which carries on operations in several country centres. This guarantee has been extended to the company by previous Governments. Later in the evening Sir William McPherson announced that the places of the honorary Ministers had been filled by the apointment of Messrs. Brawn and Alan Currie, both of whom are members of the Legislative Council, and that Mr. Knox, M.L.C., had been appointed secretary to the Cabinet in place of Mr. Hughes. The freezing company sought a continuance of its guarantee up to £60,000 against losses, to enable it to operate during the coming and the Government had agreed to grant a renewal. On the ground that this decision was uneconomic and was prompted by a desire to yield to political consideration the three members intimated that they could no longer remain in the Ministry. The company, they contended, had already drawn heavily from the Treasury. The Premier intimated after the meeting that the Government had considerable financial interests in the freezing company. The Government felt that to refuse to renew the grant which was given by the last Government would result in closing down the works and the absolute loss of money which had already been advanced. Although the matter should rightly have come before Parliament the Ministry felt that it was one of great urgency and that to enable the company to continue operations an immediate decision was necessary. He very much regretted to have to announce the resignations.