O ELKTON UNLIKELY

Taranaki Daily News, 1 August 1931, Page 7

O ELKTON UNLIKELY

POSITION IN AUSTRALIA

SENATE MAY GRANT SUPPLY

PLAN FOR REHABILITATION

ACTION BY BANKS ASKED

Rec. 7.45 p.m. Canberra, July 31. Inquiries among Senators elicitated the information that the Opposition majority in the Senate is not expected to insist on the three months’ limit to Supply when the Appropriation Bill is under discussion, says the Sun. There is good reason for stating that a compromise will be reached and an election avoided. The Prime Minister, Mr. J. H. Scullin, is particularly anxious that the Senate should pass the Appropriation Bill. ■He also desires that the associated trading banks should state definitely whether they are prepared to convert their holdings in Government stocks into national conversion loan, also whether they will announce their intention to reduce the rates of interest on advances by at least one per cent, as contemplated at the Melbourne conference of Premiers.

Mr. Scullin explains that the obdurate attitude of the banks is reacting unfavourably on the rehabilitation plan, and that it is essential that there should be closer unity between the banks and the Government to ensure the full benefit of the plan. He added that with the exception of the Bank of New South Wales there was a growing feeling that the banks are unwilling to accept their share of the national sacrifices.