STATE GUARANTEED LOANS

Gisborne Times, Volume XXVII, Issue 2644, 28 October 1909, Page 3

STATE GUARANTEED LOANS

BILL INTRODUCED BY GOVERNMENT. (Special to “Times.”) WELLINGTON, October 27 Tho New Zealand State Guarantee Advances Bill provides for the establishment of a State guarantee advances office to be called the'“Advances Office” administered and managed by a jsuperintendant to be appointed by the Governor and to hold office during his pleasure. A board is to be appointed consisting of the Minister, the Superintendant, and two officers of the Civil Service, all ex-officio members and two other persons not officers of the Civil Service, anointed by the Governor, avlio are to hold office for two years. The business of the Advances Office is to advance money as loans on mortgage to sqttlers and workers, as loans on debentures to local authorities, . and to mining companies and persons as guaranteed mining advances. The Minister is empowered to raise up to a million and a-half sterling during any financial year for advance to workers; and for advance to local authorities such sums asi the Governor-in-Council may authorise from time to time, provided they do not exceed half-a-million in the present financial year, and thereafter such sums as is fixed bv Parliament. Provision is made for- a sinking fund in the ease of advances to settlers and workers consisting of onetenth of the gross amount of interest received during each financial year. Applications for advances- to " local bodies are to be submitted to the Board, whose business it will be to see that the loan has been authorised by the local body and that the purpose for which the loan is required is lawful and reasonable. The' Bill contains eighty-eight clauses, mostly machinery.