HC Deb 21 June 1938 vol 337 cc884-5
47. Mr. Gallacher

asked the Chancellor of the Exchequer whether he is aware that, at the instance of the German Government, the Bank of England has transferred to the Reichsbank the sum of £5,000,000 sterling which constituted the reserves in London of the Bank of Austria; and whether, in view of German repudiation of liabilities incurred by the late Austrian Government in this country, he will cause German funds to a similar amount to be sequestrated as security for this indebtedness?

The Chancellor of the Exchequer (Sir John Simon)

I would refer the hon. Member to the reply given to the hon. Member for Bassetlaw (Mr. Bellenger) on 16th June.

Mr. Gallacher

I am not aware of what that answer happens to be, but I ask the Chancellor of the Exchequer whether it is not the case that Germany is claiming all the assets that belong to Austria but is refusing to meet any of the liabilities of that country?

Sir J. Simon

I will send the hon. Gentleman, if I may, a copy of the answer to which I referred and he will see for himself.

Mr. Petherick

Can my right hon. Friend arrange a similar sequestration as a set-off to the Russian debt to this country?

Mr. Gallacher

I would like the Chancellor of the Exchequer to give an answer to a very simple, plain and direct question. Is it not the case that Germany is claiming all the assets that belong to Austria but is refusing to meet any of the liabilities? Can he answer that question "Yes" or "No"?

Sir J. Simon

I think that the suggestion I made was a reasonable one and that the hon. Gentleman will like to look at the answer to which I referred, but in this matter, as I have already stated in the House, discussions are proceeding, and I do not propose to say anything more.

Commander Locker-Lampson

Can my right hon. Friend say whether anything will be done to prevent this country again becoming the victim of an Aryan sense of honour?

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