CANTEEN FUNDS

Dominion, Volume 15, Issue 1, 26 September 1921, Page 6

CANTEEN FUNDS

QUESTION OF INVESTMENT DISCUSSED BY RETURNED SOLDIERS FURTHER INFORMATION DESIRED Tho position of tho canteen funds was discussed by members of the executive of the New Zealand Returned Soldiers' Association yesterday. Mr. C. W. Batten, the association’s representative c.n the Canteens Fund Board, said that the only expenditure out of canteen funds had been for tho writing of regimental 1 histories. The board was committed to.that previous to his joining it, and steps had been taken to bring the matter to finality.' Personally, he was of opinion that it would cost some thousands of pounds to complete these undertakings, and they would not bring in anything like the amount expended on them. Tho actual expenditure so far was £2006, and the commitments might be anything up to £lO,OOO. Tho chairman (Sir Andrew Russell): In my opinion it will bo £15,0(H), and I should say we will be .£lO,OOO out of pocket. Mr. Batten said he would suggest to the various associations that they should endeavour to cut down that expenditure as much as possible, because there would not have been much harm done if some of the histories had never been written. There had not been any expenditure in other directions. It was suggested that the money might be made the nucleus of a fund for the benefit of soldiers afld their dependants. The main portion of the fund had been invested in Government debentures at 4 per cent., but since then tire Government had paid 6 per cent, for money. Some would say that the Government should pay 6 per cent, for these canteen funds, but if they did this there were other people who had made investments at the same time, and they would demand a similar rate of interest. Further, if the matter was pressed, the Government might demand interest on the money they loaned for the starting of these canteens, and forward a contra account.

Mr. T. W. M'Donald: You cannot say how long this money is invested for? Mr. Batten: No, I cannot. The, debenture was taken out before I joined the board, but I think the money is at call. 1 Mr. M'Donald: Where is the debenture? |

Mr. Batten: Search me! Mr. M'Donald: As our representative on the hoard, .can you not tell us something about it? 1 Mr. Batten: I don't know where it is. I relied on the Government. Ido not think they will beat us. Mr. M'Donald: You report that the money is invested in a debenture, and you say you don’t know the debenture is. Now, can you tell us the amount ?

Mr. Batten: It is .£70.000, and is. invested under the Discharged Soldiers Settlement Act. The balance of the fund is held by the Treasury. I will ask the board to try and find the debenture, and endeavour to have the money invested st a better rate of interest. 'Mr. M'Donald:'Have we got security for the money ? Have we got a receipt? • Has ’ the Canteens Board got either the money or a debenture?

Mr. Batten: I presume tho seerptery would have a receipt. Mr. M'Donald; I say he has not. Mr. Batten: Yon are tangling me up. Mr. M'Donald said that they had a representative on the Canteens Board, and he was unable to answer three most important questions relating to, the fund. He would ask the chairman, who happened to be also chairman of the Canteens Fund Board, whether the board was in possession of the debenture.

The chairman: I absolutely' ref use to answer any such question. The question should be addressed to the board, which meets next Tuesday, and you will get a proper reply. Mr. M'Donald: I say tho board has neither security nor money. Mr. Leadley: Sir Francis Bell says the Treasury is empty, so where has the money gone? Mr. Harper said that a certain amount of money had been received by the Government from the canteen funds, and the board had the whole country as security. The secretary read a letter from the Acting-Minister of Finance, stating that the money was lodged with the. Treasury;' and was at call. Mr. M'Donald said that he was against t'ho secrecy attaching to these funds. The whole of the business should be placed before the beneficiaries, and so create a feeling of confidence. He hoped that everything concerning the fund would in future be done in open meeting. Ho though that tho Canteens Board should be reconstructed, so as to give the soldiers better representation, seeing that they owned from two-thirds to three-quarters of the whole money. It was to ask the Canteens Fund Board te supply particulars regarding the investment of the money, tooluding the period for which (the money was invested, the rate of interest, the authority for investing, and who held the debenture.