HC Deb 10 December 1942 vol 385 cc1705-6
64. Mr. G. Strauss

asked the Chancellor of the Exchequer whether he can assure the House that the Bank for Inter national Settlements granted no new credits to enemy countries?

Sir K. Wood

Yes, Sir. The Bank for International Settlements, in accordance with its policy of strict neutrality, has refrained from granting any such new credits since the war began.

Mr. Strauss

Can the right hon. Gentleman also give an assurance that no accounts belonging to neutral countries have been transferred to Axis countries?

Sir K. Wood

Perhaps the hon. Gentleman will put that Question on the Paper.

65. Mr. Strauss

asked the Chancellor of the Exchequer whether he is in a position to assure the House that no enemy assets are held, or have been held, at any time since 3rd September, 1939, in this country under the disguise of the assets belonging to the Bank for Inter national Settlements; that no enemy assets have evaded the Custodian of Enemy Property through being held in the name of that Bank; and that no assets held in this country in the name of that Bank have been used by enemy Powers for financing subversive activities and espionage?

Sir K. Wood

Yes, Sir. The Bank for International Settlements gave specific assurance that during the war they will not carry out any transactions or make any payments on behalf of one belligerent in the country, of another with which the former is at war, and that they will not hold any assets of such a belligerent in their own name in the country of another, and I have no reason to think that these assurances are not being carried out.

66. Mr. Strauss

asked the Chancellor of the Exchequer whether any consultation took place between the directors of the Bank for International Settlements prior to the appointment of the new chairman?

Sir K. Wood

I can only answer so far as the British directors are concerned. With my concurrence they communicated with the President approving the proposal for this appointment. I do not know what consultations may have taken place among the other directors.

Mr. Strauss

As the post of chairman has been vacant for over two years and the directors do not meet, what is the purpose of now electing a chairman?

Sir K. Wood

There is a number of reasons. One of the reasons which caused me to give my consent is that I think it strengthens the neutrality of the bank.