8.—14

6

standard forms applicable to securities taken by the Board and associations in connection with loans, and to debentures and other securities issued by the Board. Amending regulations made on the 17th September, 1928, and published in the New Zealand Gazelle No. 70, of the 20th September, 1928, provided mainly for the simplification of the proceedings of co-operative rural intermediate credit associations. ADMINISTRATION OF SYSTEM. 11. Personnel of Board. —In terms of section 3 of the Rural Intermediate Credit Act, 1927, the system is administered by a board comprised of seven members. The Public Trustee, ex officio, is the principal executive member of the Board, acting under the designation of " Commissioner of Rural Intermediate Credit," and the remaining six members, of whom one at least must have practical experience in farming, are appointed by Governor-General's Warrant. The Board consists of the following members : — Colonel J. J. Esson, C.M.G., V.D., J.P., Wellington, Financial Adviser to the New Zealand Government, Chairman of the Rural Intermediate Credit Board. Mr. J. W. Macdonald, C.M.G., Wellington, Public Trustee of the Dominion of New Zealand, Commissioner of Rural Intermediate Credit. Mr. John Brown, Loweliffe, Canterbury, farmer. Mr. T. E. Corkill, Wellington, formerly assistant general manager of the Bank of New Zealand. Mr. Norton Francis, C.M.G., Christehurch, company-director. Mr. J. N. Massey, M.P., Puni, Auckland, farmer. Mr. W. Waddel, Wellington, Superintendent of the State Advances Office. Adequate provision for the representation of farming interests of both Islands was made by the appointment of Messrs. Massey and Brown. Throughout the year Mr. Corkill was absent on a trip to England. It is understood that he will be returning to the Dominion in November next. Leave of absence was granted to Mr. Norton Francis for the months of June, July, and August, 1929, during which he was absent from the Dominion. Under the provisions of the Act, Mr. J. Snell, of Wellington, was appointed Deputy Commissioner of Rural Intermediate Credit as from the 23rd March, 1928, and discharges the duties of that position in conjunction with those of Controller of the Mortgage Division of the Public Trust Office. 12. Meetings of Board and Local Committee. —Regular monthly meetings of the Board have been held during the past year, and in the intervals between the meetings the Local Committee of the Board, set up in accordance with the regulations issued under the Act and comprising the Chairman (Colonel J. J. Esson), the Commissioner (Mr. J. W. Macdonald), and Mr. W. Waddel, has met weekly for the purpose of considering loan applications, consenting to the registration of co-operative associations, and approving guarantees under Part 111 of the Act and endorsements of notes for discounting with the Board. In the initial stages applications received at Head Office in the days immediately preceding the full meetings of the Board were dealt with at those meetings, this course being at that time of great value, in that it enabled matters of general policy to be fully discussed by all members in relation to concrete cases. It was, however, not always possible to circulate papers relative to applications received in these circumstances among the members prior to the meeting, as can readily be done with members of the Local Committee resident locally, and, moreover, with the crystallization of the lending policy there was not the same need for the references to the full Board. Consequently it was decided to leave the handling of loan applications and the other matters referred to above wholly in the hands of the Local Committee, and so leave the Board more time at its meetings to devote to general matters. Applications or other matters involving special features are, however, referred to the full Board from time to time, and, in addition, members receive copies of all decisions reached at meetings of the Local Committee, in order that