CHEAP ADVANCES UPON LAND.

Ashburton Guardian, Volume V, Issue 1247, 26 May 1886, Page 2

CHEAP ADVANCES UPON LAND.

[from our own correspondent ] Wellington, May 25.

A meeting of members favorable to the above was hold this morning Present— Mr Itoss (in the chair), Messrs Macandrew, Turnbull, Bathgate, Sutter, Hatch, Holmes, O’Callaghau and Steward. Apologies were received from Messrs Walker and J. McKenzie. The Draft Bill, under the auspices of the Colonial Land Association, on the line of Nr Newlyn’s schema was read, as also a much shorter Bill prepared by Mr Macandrew. The masting was unanimous in considering tno first-named Bill too complicated and that the Bill prepared by Mr Macandrew would better servo the object in view. After discussing the whola matter, it was moved by Major Steward, a-.conded by Mr Hatch, and carried—“ That this meeting is of opinion that the object of the Land Association Bill, viz., the cheapness of m mey advances on land, would be better achieved by the draft Bill prepared by Mr Macuidrew, which is at once of wide scope and much more simple in its derails, and that the Colonial Laud Aasooiatlon be strongly recommended to adopt the latter in preference to the Bill forwarded to Mr Ivess.”

SSjThe folowing is the text of Mr Macandrew’a Bid :—Whereas the development of the agricultural and pastoral resources of New Zealand is greatly crippled by the high rate of interest on loans, and whereas it is expedient to make provision whereby advances on the security of land may be obtained on moderate terms, be it therefore enacted, etc. (1) The Bho't title of this Act shall be the Public Advances on Land Act, 1880. (2) Any individual or co partnership owning land registered under the provision of the Land Transfer Act shall, on application at the Land Transfer Orifice of the district within which the land is situated, be entitled to receive by way of first mortgage, for any period not exceeding years, an advance on the security of the said land ; each advance shall not exceed in amount (one half) the value of such land as fixed under the provisions of “The Property Assessment Act.” 1885 or any other Act that may bejiassed in that behalf, and shall in no case exceed the sum of L2OOJ to aoy one individual or c'-partnership ; the interest on such advance shall be at the sum of 4£ per cent, per annum, (3) The land m respect of such advance shall bo conveyed to and vested in the Crown until principal and interest are duly paid, and thereby such conveyance shall be effected free of cost to the m rtgagor, or by endorsation thereof on the certificate of title and registration of the same in the Land Transfer Office books. (4) The interest on every such mortgage us aforesaid shall be payable half-yearly to the Land Registrar in the district in which the land la situated, or to such other person as the Ueceivor may appoint. (5) In the event

of the pay meat of such interest being at any time in arrear for six months, the District Land Registrar, or other person to whom the same shall be payable, shall forthwith dispose of the land in 1 respect of which such interest has not been paid, such disposal to be by public auction to the highest bidder, and the proceeds, after deducting principal and arrears of interest, together with costs of sale, shall be pa d to the mortgagor. (6) Every adv moe on land as hereinbefore mentioned shall be paid in Now Zealand Government deben urea of not less than LSO each, having a currency of years, bearing interest at the rate of per cent, per annum, with coupons attached Principal and interest shall be payable at the Colonial Treasury or in London. (7) Every debenture issued sa aforesaid shall, together

with the interest thereon, on presentation | at the Colonial JTreasury, at any time, be convertible into -State promUoory notes oi one to five pounds each, which uot '8 shall not bear interest, but shall he legal lender throughout Now Zealand. The holders of such notes shall be entitled at any time to have them re-converted to intoree! bearing debenture! as aforesaid cn application at the Colonial Treasury (8) It shall bo lawful for the Governor in Council from time to tine to make such rales ant regulations as m>y be deemed necessary to give effect to this Act, an' for the riue administra'ion thereof. -Such rules and regulations shall bo published in the New Zealand Governnlaui “ Gozatto," ami shall have the sain- 1 force and < ffe.it before any Court of Law in th • colony, as if embodied in this Ac y . Members gen rally are now of opvMor that in Committee the proportion of a ■ vanca to value might bo raised to twothirds, and that the maximum of indi vidual advances might be increased.