“DELIBERATE ATTACK”

Taranaki Daily News, 26 November 1934, Page 7

“DELIBERATE ATTACK”

CABLE SENT COMMISSION EXECUTIVE TRUST’S BUSINESS. INVESTORS’ COMMITTEE PLANS. NEW ZEALAND CABINET 'ACTION. By Telegraph—Press Association. Wellington, Nov. 24. Mr. Norman Levy, whose name was mentioned in the report of the Sydney Commission cabled from Sydney last night, stated to-day that he was again concerned with the irksome necessity of combating Government interference in the domestic affairs of debenture-holders of New Zealand Investment Executive Trust Ltd. He agreed with Mr. Pitt, K.C., Who represents a section of debenture holders, that the Prime Minister’s cable to the commission was inaccurate, and personally he regarded it as a deliberate attack on the work of the debenture-holders committee. The committee’s reconstruction scheme had rightly not been submitted to the debenture-holders without the commission's approval. Regarding his visit to Australia, he wished..merely to state that where his vital interests were at stake he had not relied solely on dots and asterisks, nor was he prevented by the Tasman crossing from pursuing inquiries where his interests and the interests of those whom he represented might lead. Without his visit to Sydney and the facts and data there obtained he would have perceived no case to warrant independent deben-ture-holders’ action. t Hig visit was notified in a circular which formed the basis of his election to the committee. If his co-debenture-holders saw no reason to discredit him why was the Government so anxious to do so. The Government had shown a reckless disregard of the holders’ interests in failing to include a transfer invalidation clause in the special legislation of August last,, and also regarding difficulties the committee Were at present experiencing iri endeavouring to have an interst paymnt iriade to them. CABLE TO McARTHUR. The statement attributed to Mr. Swan that Mr. Levy had made it clear that the first step to be taken was to send a cable to McArthur. Was “garbled nonsense.” The only cable he had sent to McArthur was on August 10, long before there were.or BOtild hive been any untoward disclosures. It read as .follows. “Wish your honourable vindication and victory.” •To this McArthur replied: “Many thanks for your good wishes Should be glad if you could arrange to vi&it Sydney at our expense to dtacuss debenture-holders’ interests, regards, McArthur?* . ... Mr. Lew declared that this cablegram to McArthur was purely a personal riiessage which represented his fervent hope in the early stage of proceedings, as a considerable investor in McArthur companies, that things would be all right. He took advantage of the opportunity to visit Sydney because of his anxiety in the early days of the crista. The company had Offered to reimburse him, but he had riot so fair Called on them to do so?’ , . . Mr. Monahan, K.C., who. is assisting the commission, on Friday handed in a document which he said was a translation of a cablegram from the New Zealand Prime Minister. Thp doepmerit, which.. in. ms opinion omitted Pta? or two essentia, words, set put that the New Zealand Government did not recognise Mr. Swans scheme as representing the wishes of the debenturC-hblders. ' ' Th cable proceeded: "“Understand the scheme originated by the, comriuttee created as result postal canvass by Levy and Madden after former’s visit Sydney for consultation at request of McArthur. My Government is strongly of opinion no steps should be taken based on alleged views of debenture-holders until authoritative disinterested statement of facts has been communicated to them, also proper steps taken to insure well-in-formed, uninfluenced opinion by them.

“APPARENTLY INACCURATE.”

CABLED REPORT CRITICISED.

Auckland, Nov. 24. "With reforms to the evidence of Mm L. W. Swan, of Auckland, at the Sydney trust inquiry yesterday, Mr. H. P.Richmond, barrister, of Auckland, said tointroduced by Mr. Richmond, barrister, was untrue, and as none would suspect Mr. Swan of an untruth the report was apparently inaccurate. Mr. Richmond also questioned a statement attributed to Mr. Swan that Mr. Levy made it clear that the first Step to be taken was to send a cablegram to McArthur,” and said he felt convinced that this was an erroneous report. Mr. Richmond added , that he had been retained for an organisation of debentureholders and in Mr. Swan’s absence it seemed to him his duty at once to correct what appeared to be undoubted inaccuracies in the report.