THE GAS WORKS.

Manawatu Herald, Volume XXXII, Issue 891, 13 September 1910, Page 2

THE GAS WORKS.

At last night’s Council meeting a letter was read from the Superintendent of the New Zealand Government State-Guaranteed Advances office, advising that the Council’s application for a loan of ,£II,OOO for the purchase of the Foxton gas works and additions, was submitted lor consideration, but the Board resolved to to entertain same. The Town Clerk said that on receipt of the above letter he had communicated with Mr Fdward Newman, M.P., iu reference to approaching others in respect to a loan for the purpose. Several letters on the subject had since been recived from Mr Newman, which were read. Mr Newman stated that he understood that the request for a loan had been refused by the Advances Office because the works are at present in existence and the funds of the Department should be primarily used for new works. He had interviewed the Commissioner of the Government Life Insurance Department who had informed him that the Department was lending money to local bodies at 4& per cent, and to this had to be added probably i £ percent, sinking fund. A further letter from Mr Newman stated that he had seen the principal lenders in Wellington but was unable to hear of any Company that was making advances under per cent. The manager of the A. M. P. Society had, however, promised to submit a proposal at per cent., tojjjfis board, and will do so on receipt of application from the Council.—■ It was decided to make application for the loan as suggested, with the provision that it was subject to the ratepayers sanctioning a loan. A letter was also read from Mr Leighton, of Wellington, advising that he had a client who was prepared to advance the money at per cent., and in the event of the offer being accepted his procuration fee would be one-half per cent. Cr Ross asked if the Bank of New Zealand had been approached on the subject. He said he understood that some of the Australian Insurance Companies had approached the Bank in reference to placing money for them, and under those circumstances it might be possible to obtain the money from the bank at a lower rate than per cent. The Town Clerk said the Bank had not yet been approached but he would lay the matter before the manager of the local branch the following morning. The statutory meeting of ratepayers to discuss the proposal to purchase the works will be held in the Masonic Hall on Tuesday evening next at 8 o’clock.