BOROUGH DEBTS.

Press, Volume LXVIII, Issue 20497, 16 March 1932, Page 13

BOROUGH DEBTS.

DISCUSSION AT THAMES. RESOLUTIONS OF RATEPAYERS. (PRXSS ASSOCIATION TELEGRAM.) THAMES, March 15. - A meeting callecf privately by the Chamber of Commerce laßt evening was so largely attended by ratepayers that a larger hall had to be engaged to accommodate them.

Burning questions, such as the town's indebtedness, the payment of rates due on March 28th, and what debenture holders required, as no interest had been paid them since August Ist last, led to much discussion. The present indebtedness is £215,000, the Harbour Board loan is £66,000, and the bank overdraft £20,000. Cr. Muir said that the borough had borrowed a huge amount against its assets, the highest in New Zealand. The present interest liability was £17,000. The 3s rate imposed last year was expected to'bring in £25,000, but it was more than likely that, only 50 per cent, of the collection would be made. Consequently, they could not carry on. Cr. Garland said it was unfortunate that the proposals from the bondholders' committee were confidential; but he could say that they offered no relief whatever, only temporary postponement, and the position in eighteen months would be worse than to-day, but what could they offer the bondholders f He advocated a reduction of interest to 2 per cent., which meant a 2s rate, which they could pay. The following resolutions were carried:—

"That in the opinion of the Thames business people the crushing rate at present levied is beyond the capacity of the town to carry. A continuance of such rating must inevitably ruin business and destroy the bondholders' security." "That a commissioner be appointed on behalf of the bondholders and ratepayers to inquire into the present gosi-