MORTGAGE LAW.

Hokitika Guardian, 11 September 1924, Page 1

MORTGAGE LAW.

EXTENSION TO JULY. SELECT COAIAILTTEE’S PROPOSALS (“Lyttelton Times" Correspondent). AY ELI.IXOTON, Sept. !>. It is proposed to extend the moratorium until .Inly .'list., 1923, a report on tlie Final At counts Committee, presented to the House of Representatives to-day. showing amendments to the measure in this direction. Air Nash, ehairiiian of the oemmittee. in submit tiny flic report, endeavoured lo explain the alterations proposed, hut was followed hy Air F. -I. Rolleston. Tiniaru, who yave an interpretation of the alterations entirely different from that of Air Nash. Air AYilford criticised the committee's report on the basis id the explanations of Air Nash, and said that me.i tyayecs were enmehing and ready to spriny when the moratorium was lifted.

Mi' I! dlestnn pointed out that hy Alarch :ilst. all applications for protection of the Court must he in. and by that time tlie cnitiitry would know how many were atleeted. Aleanwhile between that date and duly D 1 st. when the moratorium expired. Parliament would meet and could deal with any hardships that had arisen. At present' ther ' was no pro.if of how much money was afi'i'cled. Air Al.’Conihs said that if a borrower cave notice of appeal to the Court lieiore Alarch Hist, the mortyayee could ,hi uothiuy until the matter had Iren disnesed of. even altliouyh that might 1,,, after duly Hist. In tlie Court proceedings each party would have to pay his own expenses. Where extension of a mortgage was allowed interest was by the amendment not to exceed six per cent. Air Young reyretted that tlie linal date at wdiieh extended mortgages would end was December ,‘i|st. 192 G. lie thought it would have been belter if the extension dated I nun the time the ease was heard so as to prevent all mortgages falling due at one date. Air Alassey considered tin' alteration of date an improvement on the Rill as original! v drafted. Alai'tli being more suitable’ than Deeemh.'r. Jle did not ayive to post eluent of the ending of the moratorium until duly, lint in that he was in a minority. Continuance ef the moratorium was doing injure to settlers who required borrowed capital, lie would like to have dispelled that idea, especially wlit'ti arrangements had been made to las i viilc L'-I “0.1 ): It? a limoth extra far advance- 1., settlers.

Mr Foi h, s ; When did that begin ? Mr Mm-ey: It began oil llto l-t. ol this ith. The Prime .Minister said that it had been impossible to find more than a comparatively few who wipe affected l.v the moratorium and he leaved il 1 1; o mallei' ran into another session il might dray on indefinitely. Air Foi lies; No linin' legislation is reipiired. All Alassey: No, hut there might he. II wet yet 'JO:) or 390 people demanding another extension, I. have a shrewd

giie.-s what Parliament will do. Mr Parry. Auckland Central, said he was pleased that the proposals submitted hy the labour Ifcoarl nient had taken UP by the Prime Alinister. Mr Massey: What ! (I.aughler). Ml Parry': In respeet of the £IOO.Il is a I'oii'oliug la, tor that as a result of the I,a hour Party’s suggestion small farmers will henelil. (Retorm laughter).

Air Ala.'s"v: Not a single word came from the La,hour Party. Air Parry: The amendments, have relieved the Ciivernmeiit fmm an awkward position, for it was unable to pul fuiwiid an ini.Hi",ml • ic" t too

M , Ua -,’\ W" w i hi '! i ■■me t" ' oil I I .iie'b, ci i

Mr Willy thought lie could thank the Prime .Minister for taking up his suggestion that the moratorium he extend"'! ta Alari'li Hl't. A l.ahmir member: Come over lieie. Air Witty ; I am quite content where I am.

Air Eraser: Rut where are you? I I nimbler).

Thu lion .1. A. Hamm prudiuiud the ilia inta iniii!.: ol iii-t itiniis land valm-s liv loiibinumy thu moratorium, and said 1,,. hnp-.-d the eoiiiitry had now seen tin- finality in that kind "I luyislation.

■pile Hun C. .1. Parr uonsidereil the aniundtnunls very drastic and in favour of 11, - mold yayor. lie was not satislied that they were in the ililercsts of the (ouiitry.

Mr Massey: Or ol the ■it her.

Mr I’arr said In- lull they would perpetuate uniurtaiuiy in teyard In thu moratorium h-yisln t ion. It there was u:iu thiny preventin'.; peiiplu h-mliay mom-\- on real seeurd.v it was such le-

eishit ion. There was plenty of motley tu In- found at fi and til tier cent, for miuil M-eiirilics in the Xotdh Island and li per l ent, in the S mill Island. led inve-iurs were -by I:.-i-ause values were yre--l\ iullated. lie mentioned that when the \ mklaml ' IPmrd sinkiny luml eomiiiissiom-rs had Dld.Ili:;l tu invest they were ollered seven seenri li,-s. six of which were turned i|uw I) bee.l Use they represented iullated values. Seme ul them had tear ,n ii\e imit-teayes repri-ent iny mostly unpaid balance of purchase money. It was lor such eases that people demanded the niorut,iriuni. the result ut mad speculation. X'l mural,irinm euiild save them and mine shuitld save them. 111, Auckland Savinys Ihuik had two mtl[iiiiis invested in farms, and of tlintonly some live nmrtynyes were enitsiny any anxiety at all. 1 liese were nfleel,M| 111- the imiralorimn and were lieiny ea t elnlly nursed, lie tlmnylit. the nninh.-r of yeiinim- eases affected hv the moratorium would lm found sutprisiiiely small. The amendments were supported in the House I v Mr l.ysner. who -aid the main advantay - ol the extension ,*t the imiiatiit'iuin to duly next would be that inortyayes would expire at tlie end instead of the b-yiniiiiiu of the seasun. This leyislat ion would only protect the man who had yoad security fi-utn which he euiild pay his interest, this briny a condition of any renewal. Mr l.vsnar uryed that until taxation was readjusted thcAiioralorium must continue. Investments in land must lie etteournyed. Tun years ayu income tax oil mnrtyaye ineoim- was 7s in the p when the debenture tax was L’s fid. Tliis dilfei-nee had heen •reduced, and it was because he In-lieved that the government would allow land investments to reeeive as milch consideration as debentures that lie would support the amended Mill.

'i’ll,- enmniitiee’s report was adopted.