COMMONWEALTH TO SUE FOR RECOVERY OF MONEY

Star (Christchurch), Volume XLIV, Issue 77, 31 March 1931, Page 1

COMMONWEALTH TO SUE FOR RECOVERY OF MONEY

(United Press Assn.—By Electric Telegraph—Copyright.) (Received March 31, 9.50 a.m.) SYDNEY, March 31. It is probable that the Federal Government will initiate legal proceedings in the High Court for the recovery of the amount due by New South Wales. Interest amounting to £125.377, due to American bondholders on April 1, is to be paid by the State Government. New South Wales’s annual interest bill overseas is £7,479,000. State Must Act. Mr Lyons, in a final message to the people of New South Wales, says:— “ Tell them that, just as I have broken the association of a lifetime and abandoned the party for the country, so they, too, must act if they truly and sincerely desire to serve Australia effectively in its hour of greatest need.” Mr Lyons added that unity had been accomplished in Victoria. South Australia and Tasmania, but it still awaited accomplishment here. He expressed confidence that New South Wales would co-operate in the move made by the other States to sink party differences. Mr Lang’s Policy. Although the recent Federal Labour Conference carried a resolution condemning the Lang plan, and reached a decision which means that unless Mr Lang pledges allegiance to the Federal platform he will be automatically placed outside the Labour movement, a deputation of three delegates from the conference requested the Premier to visit Melbourne and Adelaide to address mass meetings of workers in support of his plans. This Mr Lang agreed to do. The action of the delegates has caused a sensation in Labour circles.