THE MORATORIUM

Press, Volume LVII, Issue 17111, 5 April 1921, Page 6

THE MORATORIUM

POINTS SUBMITTED TO ATTORNEY-GENERAL (rWSSS ASSOCIATION TELEGEAM.) WELLINGTON, April 4. Regarding the moratorium, a case was mentioned to the Attorney-General (Sir Francis Bell) where money was deposited with an investment company at 4} per cent, and the owner, owing to the company refusing to allow him to withdraw it to meet engagements, had to borrow from a bank at 7 per cent. Hie question asked was whether such people had a right under tho Act-to charge the difference in rates against the company holding their money. Sir Francis Bell said the position was that the .man spoken of had to suffer for the rtod of the, country as a whole up to May 31st—that was the date to which an absolute moratorium existed. After that date the moratorium would bo continued only in cases where the company concerned gave the necessary notice. * Then the lender would be entitled to at least 1 per cent, extra. A lender in tho position stated might feel that he had a claim to the extra percentage charged him by the bank, but that was a matter to be placed before a Judge of the Supreme Court in chambers, who would have to decide the question of hardship.