HC Deb 09 July 1918 vol 108 cc164-6
55. General CROFT

asked the Chancellor of the Exchequer whether any sum was advanced by the Bank of England to the German banks in London since the declaration of war with Germany; if so, of what value; and was this advance guaranteed to the Bank of England by the Government?

Mr. BONAR LAW

Under the Government scheme of September, 1914, for financing all approved pre-moratorium bills at maturity, funds were provided by the Bank of England under Government guarantee to pay the holders of such bills accepted by the German banks in London, aggregating £7,239,000. This arrangement, of course, was made, not in the interests of the enemy banks, but in those of the holders of the bills which would otherwise not have been met at maturity. Full particulars of the position of the enemy banks in London in connection with the scheme referred to will be found in the Comptroller's First and Second Reports.

56. General CROFT

asked the Chancellor of the Exchequer whether any British money has been utilised since the commencement of the War for the payment of debts of the German banks in London to neutral countries?

Mr. BONAR LAW

The advances by the Bank of England referred to in the previous question were earmarked to the payment of particular acceptances, which were held in the main by London banks and discount houses. As regards the rest of the assets and liabilities it is not possible to earmark particular payments against particular receipts, but debts have been both collected from and paid to neutral countries.

62. Mr. PENNEFATHER

asked the President of the Board of Trade if the 24 per cent. of the share capital of Holzapfels, Limited, held on the 18th October, 1916, by two naturalised subjects of enemy birth, is still held by them; if not, what is the proportion, if any, now held by these persons; if they are still absentees from this country; and, if so, where they habitually reside?

Mr. WARDLE

The 24 per cent. of the share capital in Holzapfels, Limited, which on the 18th October, 1916, was held by two naturalised British subjects of enemy birth, to whom my hon. Friend refers, has been transferred to British-born subjects, and those two persons are no longer shareholders in the company.

68 and 69. Mr. PENNEFATHER

asked the Secretary to the Admiralty (1) whether any orders have been given by any Department, with the knowledge and consent of the Admiralty, to Holzapfels, Limited, since 24th October, 1916; if so, will he state what has been the value of such orders and the last date on which any such order was given; and (2) whether Holzapfels, Limited, are now on the Admiralty list of contractors; if they have been removed from that list at any time since the outbreak of War; if so, on what date were they removed and for what reason; and, if they have since been restored to the list, when were they restored, and what was the reason for their restoration?

The PARLIAMENTARY SECRETARY to the BOARD of ADMIRALTY (Dr. Macnamara)

In April, 1915, orders were given for the gradual discontinuance of this firm's compositions. In April, 1916, in view of the demands for their composition, and the fact that, according to the Board of Trade, the firm appeared to have taken considerable steps in the direction of purging itself of enemy taint, business was resumed. It was, however, suspended in July, 1917. The matter, as I said last week, has again recently come before us, and it was decided to resume business transactions with this firm, after inquiry of the Board of Trade. In consequence of a supplementary question which my hon. Friend put to me last week, I have, however, referred the whole matter again to the Board of Trade. Orders to the value of about £6,000 have been placed with the firm since 24th October, 1916.