HC Deb 16 October 1940 vol 365 cc720-1W
Sir J. Mellor

asked the Chancellor of the Exchequer, whether he is aware that it was the normal peace-time practice of many investment trust companies to carry substantial dollar loans as a hedge against exchange risks on their dollar investments; whether his attention has been drawn to the refusal of the foreign exchange control to permit certain of such companies to receive in dollars part of the purchase price of their dollar investments requisi- tioned by the Treasury, so as to enable them to repay their dollar loans; whether it is his policy to encourage the repay-merit by such companies of their dollar debt; and whether he will request the exchange control to reconsider its attitude.

Sir K. Wood

I consider it desirable dui outstanding dollar liabilities against which securities are pledged should be liquidated, and permission for the sale of such securities, if not yet vested, for the purpose is normally forthcoming. I am not, however, prepared to pay dollars for securities acquired by the Treasury under a vesting order.