BILL FAILS

Taranaki Daily News, 1 June 1935, Page 7

BILL FAILS

FALL OF CABINET ACUTE FRENCH CRISIS POWER SOUGHT REFUSED OPPOSITION OF DEPUTIES M. FLANDIN’S COLLAPSE By Telegraph—Press Assn.—Copyright. Rec. 7 p.m. Paris, May 31. The Prime Minister, M. Pierre Flandin, daujitlessly faced the Chamber of De* puties to-day to support the plenary power Finance Bill, though one of his first duties was to announce the resignation of the Finance Minister, M. Germain Martin. He was defeated by 353 votes to 202, and the Government resigned. M. Barety, the rapporteur of the Finance Commission, announced that France’s economic activity was stationary or was weakenin, There was a budgetary deficit of £280,000,000, and the Treasury had only £204,000,000 available for 1935. M. Reynaud, a former Minister of Fin- / ance, evoked cheers when he urged the formation of a Ministry of all parties as the sole hope of smashing speculation. / Cheers ’ echoed through the Chamber as M. Flandin ascended the tribune. He castigated speculators and declared that speculation would never beat the franc as long as-Frenchmen did not run away from their own currency. '‘He added that if the Chamber declared its approval of devaluation, he would give way, but if, , on the contrary, he was to defend the franc he must have -the power to create a psychological shock to enable the recovery oi confidence? M. Flandin spoke for 70 fninutes, and the Chamber then adjourned to allow the groups to consider the situation. The dramatic quality of -the situation was intensified when M. Flandin, who appeared in the Chamber with his arm in splints and a doctor in attendance (following his recent. motor-car accident), collapsed and was taken home. Meanwhile the Radical-Socialists met and sealed the fate of the Government by deciding to vote against it, though they were aware that if, the Chamber did not grant M. Flandin’S Cabinet plenary powers it would have to grant them to its successor. ' HERRIOTS VIGOROUS SPEECH. Following a vigorous speech by M. Edouard Herriot, who urged that unless they gave M. Flandin full powers they would be Supporting devaluation, theparties decided to defer decision whether to vote for Or against the Government until they had heard M. Flandin’s speech. The'Chamber, guarded by reinforcements of police and the Usual squad of soldiers, reassembled at 9.35 p.m., when it was announced that M. Flandin, who had been unconscious for 20 minutes, would not return. He deputed M. Herriot to reply to critics on his behalf. Rising at 10.30 p.m. in a desperate effort /to ■ save the Government M. Herriot announced that M. Flandin had agreed that the plenary powers sought should terminate bn October 31 instead of on December 31 and that the ratifica-tion-of hll decrees be completed by March 15, 1936. Not only had two judicial inquiries been opened into speculators’ activities, but the bank had been searched that afternoon. It remained to be seen whether the State would knock out speculation or speculation knock out the State. The Chamber swayed for and against the Bill several times during the ten hours’ debate before midnight, when scores of deputies rallied to the side of the Government, but M. Buillon in a bitter attack accused the Cabinet of fail-, ing to see speculation in the franc until roughly £93,000,000 in gold had been lost. The Chamber received the result of the voting in silence. There was no applause and no protest as the-Ministers filed from the Chamber. The Ascension Day holiday, causing crowds to flock to sporting events, gave the country respite from the franc crisis. The politicians, however, were in conference all the morning. The Left parties were unable to agree upon a Coalition Government including. Socialists and Radicals. ■ ’ A mob of several hundreds gathered in the Place de la Concorde but the police dispersed them.