Public Trust Office.

Hokitika Guardian, 22 July 1921, Page 4

Public Trust Office.

TKAIPORARY CESSATION OF LOANS.

WELLINGTON, July is. The Public Trustee states that very large sums have, been lent by his Department in tbo last few years to local bodies throughout New Zealand, and during the present sltingem y prefer-, enee has been given to them over other borrowers in allocating lhe available funds. During the year ended AI arch last, 1*942,000 was advanced on loan by the Public Trustee to local bodies, and 61,928,000 to private borrowers, i Since April Ist further advances, totaling 6486,lol), were paid to various local bodies, and loans amounting t 6668,000 were granted for payment up to .March 31st, 1922. As the Public Trustee lias other very huge commitments, it is not possible to grant any new loans at piesent; indeed the Trustee states it will almost certainly be the end oi Dcf rember next before any fresh applieai lions can he entertained. The effect of the present, stringenv is being severely felt in the Public Trust Office. The almost total cessation of realisations on property throughout the Dominion | has been one of the features of the i stringency, and a notable one in affect - j ing the amount of money available for • investment. The stringency is also felt ; in other directions, consequently a j course of prudence is necessary. At | present funds are being applied lo meet ; the payment ol loans already granted, j These were granted on condition that i payment be made'to meet the convenii nice of the Public Trust Office, sub- ! joct to the rale of interest current

| when tlie money was paid over. This ! course lias enabled many local bodies I to borrow temporarily I nun the bank's : Ell tlie Public Trustee can pay over.