In 1974, Whitlam selected John Kerr, a former member of the Labor Party and presiding Chief Justice of New South Wales to serve as Governor-General. The Whitlam Government was re-elected with a decreased majority in the lower house in the 1974 Election. In 1974–75 the government thought about borrowing US$4 billion in foreign loans. Minister Rex Connor conducted secret discussions with a loan broker from Pakistan, and the Treasurer, Jim Cairns, misled parliament over the issue. Arguing the government was incompetent following the Loans affair, the opposition Liberal-Country Party Coalition delayed passage of the government's money bills in the Senate, until the government would promise a new election. Whitlam refused, Malcolm Fraser, leader of the Opposition insisted. The deadlock came to an end when the Whitlam government was dismissed by the Governor-General, John Kerr on 11 November 1975 and Fraser was installed as caretaker Prime Minister, pending an election. The "reserve powers" granted to the Governor General by the Australian Constitution, had allowed an elected government to be dismissed without warning by a representative of the Monarch.