HC Deb 27 February 1934 vol 286 cc926-7
36. Captain CUNNINGHAM-REID

asked the Chancellor of the Exchequer, in regard to the decision announced by him in the House of Commons on 31st July, 1933, on the subject of United Kingdom 5½ per cent. Gold Bonds issued in New York with a gold clause, whether, in view of the subsequent legal decision in another place, which determined, in the case of Feist v. Société Intercommunale Belge d'Electricité, that the holders of bonds containing the gold clause are entitled to be paid the interest and principal thereof in legal tender of the country where the bonds are payable to the full equivalent current value of the gold expressed therein, he will reconsider his decision in regard to such bonds still outstanding the holders of which have not availed themselves of the terms he offered for conversion into British Government sterling securities?

Mr. CHAMBERLAIN

The answer is in the negative. The matter is governed by United States law, and is not, therefore, affected by the legal decision referred to in the question.