HC Deb 12 November 1912 vol 43 cc1787-8
15. Mr. RUPERT GWYNNE

asked the Under-Secretary of State for India if he is aware that a definite offer of silver to the value of approximately £2,000,000 was made to the Government in Calcutta at 25½d. per ounce in January last; and if he will explain why this offer was refused, seeing that silver was purchased shortly afterwards in this country, through Messrs. Samuel Montagu and Company, at an average price of 28¼d.?

Mr. BAKER

The Secretary of State has inquired of the Government of India, who report that they are unable to trace the offer in question. I may add that in January the rupees in the reserves of the Government of India had not fallen so low as to show that purchases would be required.

Mr. R. GWYNNE

Will the hon. Gentleman ascertain whether a definite offer was not made on 5th January by the Specie Bank?

Mr. BAKER

If the hon. Gentleman will give me further information I will inquire. A search has been made, but nothing has been found.

16. Mr. R. GWYNNE

asked the Under-Secretary of State for India if it has been the practice hitherto for the Bank of Eng- land to instruct the brokers to purchase silver for the Government of India; and if he will explain why, if it was considered to be in the public interest to employ a firm of brokers not previously employed, instructions were not given to the Bank of England and the business transacted through them as heretofore?

Mr. BAKER

The usual practice has been as stated. Instructions were not given to the Bank of England on this occasion because it had been ascertained from them in 1910 that they had made special arrangements with the two firms of brokers habitually employed by them, and that, until the expiration of those arrangements in 1913, they would prefer not to employ other firms.

17. Mr. R. GWYNNE

asked if, while Messrs. Samuel Montagu and Company were purchasing silver for the Government, they were acting as brokers or dealers?

Mr. BAKER

As brokers.

Mr. R. GWYNNE

Was it definitcly stated when the order was given that they were to act as brokers, and was it put in writing?

Mr. BAKER

I cannot tell the lion. Member that. I have answered his question.

Mr. BUTCHER

Will the hon. Gentleman inquire whether they were definitely employed in writing is brokers or as dealers?

Mr. BAKER

If the hon. Gentleman will give notice of the question, I will make inquiry.