An Awkward Letter.

Manawatu Herald, 20 September 1892, Page 3

An Awkward Letter.

♦• - — The following letter was read from the Auditor-General, under date \ ugust 29th, at the last meeting of the Horowhenua County Council :— My attention has been called to an item in the accounts of the Horowhenua County* of A sum transferred from the general account to the interest accounts of the loans raised under the Local Bodies Loans Act, and it has been pointed out to me that as the loan in question Was raised on the security of special lands guch interest was payable only out o? special rates levied on such lands. It is true that section 8 provides that the interest maj be paid out of the general revenue, and the special rate be remitted, but only when the special rate runs over, the whole disti'teii-^br where the special fated district is entitled te a fixed part of the county revenue. It is perfectly clear that if the interest is paid out of the general account the ratepayers of the whole County are made to pay ft share of the interest which l i ; chargeable solely on a certain limited area of the County. As I was not informed cf the state of the case when youl % last balance sheet was passed I do not propose to re-open that account, and I understand there is no such intention on the part of the others ; but as my attention haa been called to the subject, and as the language and meaning of the Act seem to be perfectly clear I have thought it fair and courteous to yourself to point out that should such a charge appear in any future account it would be met with objection, supposing always that! have not been misinformed as to the conditions on which the loan or loans referred to were raised.