HANGATIKI-CAVES LOAN.

King Country Chronicle, Volume VI, Issue 447, 13 March 1912, Page 5

HANGATIKI-CAVES LOAN.

*- A SATISFACTORY ARRANGEMENT. "The Advances Board agree to transfer from Mairoa to Hangatiki." The foregoing telegram which was received by Mr P. Mora, county clerk, from Mr A. Scholes, county chairman, on Monday, indicates a highly satisfactory arrangement whereby provision is made for granting the loan for metalling the Hangatiki-C-avea road. The position, which has already been stated in the Chronicle, was that a subsidy of £-3000 was granted for metalling the Hangatiki-Caves road, but the loan, to which the subsidy was attached, was refused. Renewed efforts were made by the County Council to have the loan granted in view of the fact that with the failure of the loan proposal the subsidy would be lost. However, the authorities could not see their way-to grant the loan, and Mr Scholes and Mr W. Johnston last week proceeded to Wellington for the purpose of endeavouring to adjust the matter, A reasonable adjustment was rendered possible from the fact that an amount of £SOOO in excess of requirements had been raised for the Mairoa loan, and debentures had been signed for the amount. Wnen the Mairoa loan was projected the amount to be raised was fixed at £16,800. The Government, however, would only agree to subsidise up tu £II,BOO, and the loan was accordingly limited to this amount. Debentures covering the original amount were inadvertently issued, and signed by the council, thus leaving a surplus of £SOOO. It is portion of this surplus amount that the Advances Board has agreed with Mr Schole3 to transfer to Hangatiki. The arrangement is all the more satisfactory from the fact that the subsidy of £3OOO which was granted for the Hangatiki-Caves road will be acquired together with the amount transferred.