PUBLIC TRUST OFFICE

Hokitika Guardian, 17 May 1928, Page 4

PUBLIC TRUST OFFICE

A YEAR'S WORK. WELLINGTON, May 9. New business recorded on the hooks of the lTjblic Trust Office for the year which ended oil March 31 established a fresh record, according to a; statement nuulu by the Prime Minister (Right lion. J. G. Coates) yesterday. “New estates, representing the huge sum of £(>,511,928, were accepted, for administration during the year, and the acceptances for the first month Of the new financial year strongly indicate that the business is being well maintained,” said Mr Coates. “At the beginning of the year, on April l. 1927. the value of. the estates in the Public Trustee’s charge was £41.013.521. :snd at Hie end. on March 31 Inst, it bad increased by another £3, 11 '5.0- 55 nieikiiig the total value 244.155.548. The difference heiwo"ii lhc new business accepted during the

year, and tile net increase in the total value at the end of the year represents, of course, tiie estates wound uj) and distributed.

VALUE OF LOCAL BUSINESS. “There was a marked increase in Hie value of the local business in the case of every brand] in New Zealand. The business has been 'doubled in the past seven years, the br.ge total of £22,000,090 having been added to the value of the estates and funds under administration in that period. With Special facilities for handling large numbers of estates with every conceivable form of asset, and assisted by a highly-trained and well-or-ganised staff, including officers export in all branches of trustee administration, the Public I rustce is in a position to wind up estates expeditiously, and to distribute the assets among the beneficiaries with 'dispatch. iKCOXOMI CAL MANAGEMENT. “The utmost attention has hern given the economical management, and notwithstanding the large volume of new business and the distribution of so many estates, there lias been only a slight increase in the working expense's of the previous year, and this 'is accounted for by the statutory increments to the salaries ol the staff, which have, however. been largely offset by economies effected in other directions.

“It is noteworthy that the expanses of management represent ail increase of onlv £3852 over those of 1921. although the value of the estates under administration has doubled; and it is intended to make every effort to effect still further economies. The staff in 1921 was 078, and in 1928 it was 085. EXTENSION OK BENEFITS. “The result of this economical management has been fo make it possible to extend further benefits to clients,

and during the year large concessions were made to certain classes of estates which will be of groat value to the beneficiaries intdrostod.

“Tins aspect of the management is kept under constant review and whenever it is found practicable further benefits will be extended to the estates and their beneficiaries. Investigations are being made at the present time to ascertain whether it may he found possible to do something in this direction as part, of the programme for the current year. it. being the fixed policy of the office to annually review the administration so as to make the fullest concessions to the public. INFLOW OF WILLS. “Further evidence of the remarkable confidence shown by the public in tho office is afforded by the constant inflow of wills completed by living persons appointing the Public Trustee executor, and on March 31 last the total number of wills held by the Public Trustee was 58.005. This: number is being steadly added to. and it is anticipated that the. now wills to bo deposited during tho ctirren year will reach nearly seven tlumsan .in number. It has been loiind that the adoption of the policy of allowing advisory trustees to he assnei a ted with the Public Trutseo, whereby testators are enabled to appoint personal friends in whose experience and knowledge they have confidence, to assist in the administration of their estates, has proved very popular and large numbers oi

testators liavo taken advantage of the

privilege. The Public Trustee welcomes such appointments and advises that the system lias worked well and that the relations between the nlfico and the advisory trustees have been uniformly good.

SUCCESSFUL FUTURE ASSURED. ‘‘On a conservative basis it is estimated that- the present value of the assets to he dealt with under the wills deposited in the Public Trustee's care represents 11230,000,000. so that a successful future of the office may be regarded as assured. In addition, there are many wills deposited with hanks and solicitors of which the Public

Trustee will have no advice until such time as the estates fall due for administration. The management of such a. large number of estates ns the Public Trustee controls, representing so many millions of pounds, entails great activity in the investment of money, and during the year advances by way of loans were made to the amount of £3,005,52-1, the greater part of which was invested on picked securities of rural lands. The sum of .£540,508 of this amount was invested in local body debentures for the purpose of development of country districts.

“The system of lending on long terms under which the loans are automatically repaid in a definite period has been in operation for some years, and there is no doubt that it has been of real benefit to those who have taken, advantage of this form of finance and saves them from the periodical cost of renewal of short term loans.

CONVENIENT TO BENEFICIARIES

“The office has a very wide organs isation, being represented in nineteen c.itics and towns by district Public Trustees who complete the administration of local estates under the control of the Public Trustee and the supervision of expert inspectors. In addition there are district managers . and agents in the smaller centres giv- . ing personal representation in 110 towns. The decentralisation of administration, combined with wide representation, has proved to bo of the utmost convenience to beneficiaries, and the facilities they enjoy for conferring locally with the officers responsible under tbe Public Trustee for the management of the estates in which they are interested have given great satisfaction. “Since the office has been in a position to acquire its own premises in the more important centres, the business has proceeded much more smoothly and expeditiously than was previously possible in the too often inconvenient and cramped conditions afforded by rented premises inadequate for the purposes of the office. NET PROFITS EXCEED £30,000. “The Public Trust Office," concluded tbe Prime Aliriister. “is self-con-tained, accepts responsibility for its own finances and has always been able to pay its own way and meet its obligations. AA'hile it enjoys the gunramteo of the State it has made no call on the Consolidated Fund for 1 any help, and with its strong reserves j hifilt tip out of its own profits it is | unlikely that it ever will. I

“The net profits for the. year were £31,105, aiid in view of the many increased concessions to the beneficiaries of the office, which came into operation during tile financial year just closed, this result must be regarded as satisfactory."