Allegations Of Pressure Exerted On Servicemen Under Discussion by R.S.A.

Bay of Plenty Beacon, Volume 12, Issue 23, 20 February 1948, Page 5

Allegations Of Pressure Exerted On Servicemen Under Discussion by R.S.A.

Allegations that the Rehabilitation Department exerted pressure on returned servicemen seeking finance for the purchase of farms to invest all their own capital before a loan was granted was referred to in a report to the executive of the New Plymouth Returned Services Association recently by Mr W. T. Vaughan. The matter was first raised by Mr T. J. O’Riordan, who approached the executive at the previous meeting.

The department had applied pressure in this 'way, asserted Mr Vaughan, who suggested that the matter should be referred to the Dominion executive council.

“With my experience,” said Mr R. J. Brokenshire, “the applicant is required to disclose his assets but not to put all hia money into the project.” It might have been done in some cases but he did not think it was general.

“I understood that the man was required to invest his own money only when the price exceeded the loan limit,” said Mr H. S. T. Weston.

Mr Brokenshire said that a returned serviceman could;, not obtain a loan above the limit unless he had an equity. At his suggestion it was decided to obtain the names of the me* who had complained of the matter before taking action.