H.—44.

The presentation of this report to the House of Representatives was accompanied by the Companies (Special Investigations) Act authorizing the appointment by the Governor-General of inspectors to investigate the affairs of the companies appearing in the Schedule of the Act This Act was introduced and passed at one sitting by both Houses. Similar legislative power was also provided at the same time by the Commonwealth Government and by the State Governments of Victoria, New South Wales, and South Australia, except where the existing legislation adequately provided for the particular contingency. . Owing to the financial interlocking between the various investment companies referred to m the interim report and associated companies in several of the States of the Commonwealth of Australia it became evident that no effective audit of the companies appearing m the Schedule of the Companies (Special Investigations) Act would be possible unless the recommendations of the Commission tor special legislation authorizing the appointment of audit inspectors were carried out contemporaneously in the States of Australia where the associated companies were also operating. The final report of the Commission was presented on 10th October, 1934. The report is marked by the painstaking and exhaustive nature of the investigations, which brought to light many of the questionable methods of the company-promoter, more particularly those associated with land-utilization schemes, and revealed the very uncertain value of the investments in many of these companies. Ihe report has been published and is now available to any person who desires to examine the findings and recommendations in detail. . , n i Attention is drawn to one of the statements in the Commission's final report m which it is contended that losses of approximately £8,000,000 have already been incurred by land-utilization companies. As the result of the recommendations of the Commission, the following Acts were placed on the New Zealand statute-book : — Companies (Special Investigations), 1934. Companies (Temporary Receivership), 1934. Companies (Bondholders' Incorporation), 1934-35. Companies (Special Liquidations), 1934-35. , , AOK -t , The Government has, by passing the Companies (Bondholders' Incorporation) Act, 1935, provided legislative means by which bondholders may assume the rights and privileges of shareholders in their particular companies. This should not, however, be construed to convey the impression that the nature of the investment has in any manner altered. CANADIAN NATIONAL EXHIBITION. The New Zealand Government participated in the Canadian National Exhibition, held from the 24th August to the Bth September, 1934. A comprehensive range of New Zealand products, combined with a quantity of publicity and advertising matter descriptive of New Zealand tourist resorts, was featured at the Exhibition. The exhibit created great public interest; and m both trade and tourist fields the publicity effort proved of undoubted value. The Government was awarded a gold medal "for the excellence of the display of New Zealand products. i-. ■, -i -u The next exhibition is to commence during August, and again a wide range of exhibits have been forwarded from New Zealand for display at the New Zealand Government Court. INDUSTRIAL AND COMMERCIAL BULLETINS. During the past year the Department has continued the issue of bulletins containing information on industrial and commercial subjects. As is customary, these bulletins have been widely distributed to the press, Chambers of Commerce, Manufacturers' Associations, prominent business executives, overseas trade representatives, and other persons and firms to whom they are likely to be of interest and value. The issues made during the period under review were as follows Bulletins Nos 29, 30, 31, and 32 : Summary of the Finance, Trade, and Industries of New Zealand for the Quarters and Years ended 30th June, 1934, 30th September, 1934, 31st December, 1934, and 31st March, 1935, respectively. MISCELLANEOUS ACTIVITIES. As mentioned in previous reports, the activities of the Department are so diversified in their nature that it is impossible to make reference to them all, and, moreover, many of the commercial and industrial investigations carried out are essentially of a confidential nature, and for this reason cannot be referred to in published reports. . As in previous years, the Department has been called upon to furnish general and detailed information relating to the Dominion's industries, trade, and commerce, and to the various phases of economic development. , . „ ~ The following list of some of the inquiries made by the Department during the year may provide an indication of the extensive variety of subjects with which the departmental officers are constantly required to deal: — . i j. j. j. Inquiries concerning markets for potatoes, onions, a.pples, dried peas, seeds, shrubs, walnuts, tomatojuice, Soya beans, Samoan cocoa-beans, fish, fish-meal, crayfish-tails, oysters, oyster-shells, muttonbird oil, dairy products, ghee, eggs, wines, beeswax, frozen and canned meats, frozen rabbits, canned preserves, sausage-casings, blood and bone manures, neatsfoot oil, tallow, opossum-skins, hides and sheep-skins, leather, live-stock, kauri-gum, Oamaru stone, china clay, pumice, wool for carpet-makmg, hosiery yarn, timber, tennis-racquets, boot and floor polishes, lysol, Angora-rabbit wool, &c.

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