DEBENTURES BURNT

Hokitika Guardian, 29 August 1931, Page 5

DEBENTURES BURNT

IN NAPIER FIRE. N

(By Telegraph —Per Press Association)

BLENHEIM, August 28

At the time of the Hawkes Bay earthquake, 108 Blenheim borough debentures, worth some £10,750, which were deposited in the strong room of the Bank of New Zealand at Napier, on behalf of various of the Bank, were destroyed by fire, but the Blenheim Borough will not benefit by the loss of the debentures, for a complete' record of the debentures is contained in one of the salvaged books in the hands of the Bank, and theCouncil was advised by the Audit Department that it , had authority to replace the debentures upon the receipt of an indemnity, and upon proper proof of loss. The Council lias also received a declaration bv the officers of the Bank as to the destruction of the debentures, with their attached interest coupons.

The Council carried a resolution that fresh debentures be issued when, sufficient indemnity is secured, by the Council, and subject to the applicant’s paying the cost of printing and all other out goings in connection with the replacement of the securities. The councillors expressed the view that the replacement should be expedited, as it may be that the interest on the securities in some cases represents the owners’ principal source of income; and the Finance Committee was authorised to act if there are any developments prior to the next meeting of the Council. The town clerk, reported that as the result of the loss of the debentures, the Borough bank was already holding sprue |£3oo, representing interest payments' for which no coupon had been forthcoming.