£62,385 AWARDED.

Auckland Star, Volume LXXI, Issue 221, 17 September 1940, Page 3

£62,385 AWARDED.

COMPENSATION CASE. LAND TAKEN FOR FLAX. PALMERSTON NORTH, this clay. The Compensation Court to-day delivered a majority award in a claim by F. S. Easton, of Foxton, for nearly £120,000 for 4565 acres of land near Foxton taken by the Crown for flax development research. The amount awarded was £62,355. — (Press Assn.) Mr. Justice Smitn was chairman of the Court and he had with him as assessors Mr. W. R. Birni* 'Palmerston North) and Mr. M. F. Bourke (W':. on). Pci*i.:ulars of the claim were;—4lß2 acres at Moutoa, estimated value £ 104.548; 438*2 acres at Paiaka. estimated value £15.000; loss oi benefit of contract for ploughing now in progre&a, £205; total. £119.753. The claimant based his figures on a number of submissions, such as the potential value of the properties as farming land. He also pointed out that it was the only large natural flax area left in the Dominion and the only such holding of sufficient size to supply the flax weaving and woolpack industry with its requirements. Simultaneously with the taking over of the land the Government had decided to put £200,000 capital into the weaving industry. There were I more than 2313 acres in flax, with an available milling crop of not less than 60.000 tons, selling at 10/ royalty a ton for the past 20 years, it was stated. The Moutoa estate alone produced an annual income exceeding £5000. and under a vegetation survey carried out by the Government half the property would pay more than the amount claimed as compensation in fewer than 20 years. The Crown's case was that the land had been taken for rehabilitation of the flax industry which was in a hopeless state, and if it had not been for the benevolence of the Government there would not have been a woolpack factory. The value of the land was not more than the present Government valuation, and it would not be considered farming land until a vast sum had been expended In getting rid of the swamp weeds that infested the place. Only 580 acres the moment could be regarded as pastoral