THE GOVERNMENT BANKING ACCOUNT.

Globe, Volume XXI, Issue 1753, 2 October 1879, Page 3

THE GOVERNMENT BANKING ACCOUNT.

WELLINGTON, Oetober 1. The following letter was laid on the table to-day:— Bank of New Zealand, Auckland, September 22nd, 1879. The Hon. ike Colonial Treasurer, Wellington. Sir, —Acting under instructions from the Board of Directors, I have the honor to inform you that the Bank of New Zealand desires to terminate, at the end of six months, from the Ist October next, the agreement under which the Bank has undertaken the management of the Government account. The directors are led to give this notice, in accordance with the ’stipulations of the agreement, as they ■find that the present terms are not sufficiently remunerative to justify the expenses which the management entails. But, lam directed to say .that, if it is acceptable to the Government, the directors are prepared to enter on negotiations for a continuance of the agreement on revised terms.

I have to add that the Bank has given this notice at the present time as the Government may possibly desire to submit to the House of Representatives the subject of future arrangement. But, if the Government consider the time at which the notice will expire an inconvenient one, this Bank will be glad to consider a .proposal for snch an alteration as will beat suit .the convenience of the Government. I have the honour to bo, Sir, Tour most obedient servant, (feigned) D. L. Murdoch, General Manager.