Bankers and politicians concerned Deep anxiety over I.O.S. future

THE DIRECT entry of Bank of England governor Sir Leslie O'Brien into the Investors Overseas Services crisis reveals the acute anxiety which the affairs of this company are now provoking in top capitalist political circles.

O'Brien, who must be acting with the Labour government's approval, is. now desperately engaged in sounding • out US Treasury officials, in the hope that a consortium can be formed to prevent IOS's total disintegration.

Approaches are also being made to the Deutsche Bank, Banca Commerciale of Italy, one of the big four British clearing banks, and at least two American interests.

With rumours increasing that a number of key American financial institubrokerage houses, are near to including Wall St collapse, O'Brien correctly fears that should IOs go completely triggered off in a financial panic which all stock markets would be caught and which would almost certainly provoke a run against the pound.

GUARANTEES

There is little doubt that at his pep talk to finance leaders last week, President Nixon gave guarantees of government help to these financial institutions.

This was the key feature in temporarily halting Wall St's catastrophic slide.

With net redemptions— demands from customers for cash—now running at $3 million a day, and some of IOS_branches—notably Fund of Funds-facing a rapidly deteriorating cash position, only concerted efforts by i number of governments holc out any possibility of a successful salvage operation.

OBSTACLE

The original IOS underriman Ripley in New and including the Paris branch time to raise sales of ot people, young and old, will be introduced to politics, many for the first time. tronary Marxist point of view. It is vital that they become acquainted with the revoluWe have made extensive plans in order to do this. They include:

Display advertising Poster advertising.

Handbill distribution outside factories and universitles. • A special 15s election offer for 18 issues (June 1 to 20) post-paid (see page 4). ¡• Public meetings In all the main centres.

A special Workers Press news film of the election.

We need your help. Please fill this form In without delay. I want to help the Workers Press raise its circulation: Name Address Post to: Circulation Department, Workers Press, of Rothschilds and Hill Samuel and Guinness Mahon of London-still seem reluctant to get involved.

One obstacle is the IOS accounts.

These have yet to appear, and there are reports from Washington that they are in such chaotic condition that Otter Mill solid WORKERS at the Otter Mill Switchgear subsidiary of the Drake electrical combine, at Ottery St Mary, Devon, were hopeful that the Electrical Trades Union will make their strike official at its executive meeting which began yesterday afternoon.

Their four-week strike remains solid despite management efforts to intimidate workers to return under the threat of sackings.

Only 23 of the 300 trade unionists at the plant have given in to the management's threats.

The strikers are determine. o win their demanc for a 4s 6d-an-hour increase across the board and 100 per cent trade unionism.

Already the General and Municipal Workers' Union and the Metal Mechanics have 'officially recognized' the strike.

Otter Mills management are reported to be willing to open négotiations on the demands and arrangements are being made for them to meet strikers' representatives and Department of Employment and Productivity officials in Bristol on Friday.

This is the 186A Clapham High Street, London, SW4. Or telephone: 01-7:20-2000.

'We've had messages of solidarity from auto workers, Teamsters and postal workers—we helped the postal workers on their picket lines when they were on strike,' he added.

"The Teamsters on strike because of inflation. They just can't make it on their wages anymore. And what causes inflation but this goddam war?

I can see work stoppages in the future against the war. That's the only way it'll be stopped. You can't fight a war unless there's someane to pay for it.?

Kirsch scotched one press distortion about the US workers' attitude to the war: the massive publicity given to the 'hard-hat' construction warkers who demonstrated their loyalty to Nixon in New York SET-UP 'We regard this as a setup,' he said. "That crowd didn't represent the majority of working people. Wholesale Union president David Livingston called them hooligans. l On his return to the United States, Kirsch faces drafting to Vietnam.

I could be drafted any day now, he told Workers Press. 'I don't want to fight an illegal genocidal war.

'Nixon can't win the war unless he has the support of the people. He's got troops over there who don't want to be there. You can't win a war unless you have dedication and his troops don't have it.' their publication will only further undermine confidence.

Rothschilds of London refused any help at the onset of the crisis when Cornfeld would not allow them to look at the books.

Another factor deterring the merchant banks is the dominant position which Cornfeld, former IOS boss, still holds within the empire.

With a 12 per cent shareholding he still remains a key figure in any negotiations after the demisè of Mr John M. King.

Whether the entry of the European and American governments can now succeed or not, IOS is unlikely to survive in its present form, with a central Geneva-based board controlling all operations.

Any government help will only be given in return for a break of the present structure with much more strict supervision of IOS activities in each country.

Socialist policies! keep the Tories out! Assemble 2.30 p.m. Waterloo Street, near Victoria March to YMCA, Constitution Hill. Public Meeting 4.30 followed