Reported Sale

Of Fiji Airways

Although it was definitely an unced in Suva on February 8 that Irs. A. F. Gatty has agreed to 1 to Qantas Empire Airways her ;e husband’s shares in Katafaga tates Ltd”, the Qantas manage ;nt in Sydney on February 10 knew thing of any such agreement.

PIM was informed that Qantas bmitted an offer to Mrs. Gatty ne time ago, but had received no )ly. Qantas would make no further nment. katafaga is the Lau Island pur ised in 1951 by Mr. and Mrs. itty. Its ownership was taken over a company, formed by Mr. and ■s. Gatty; and funds from that mpany established Fiji Airways 1951. Ownership of Katafaga ians ownership of Fiji Airways. :t seems clear that if Mrs. Gatty prepared to sell, the transaction mot be completed legally until )bate is granted in Mr. Gatty’s ate.

Jantas owns and operates a large tion of New Guinea’s internal vices, as part of its main busi es (which is inter-continental). ere is no indication of how it 1 handle Fiji Airways, in the mt of a purchase.

This purchase would mean that 1 another Australian corporation entering Fiji. Those already ablished there include CSR Co.; rns Philp; W. R. Carpenter & ; Bank of NSW; ANZ Bank; peror Gold Mines; and some filer concerns. The only large i-Australian-owned corporations rating in Fiji are Union SS Co., i Bank of NZ.