The Manawatu Standard (PUBLISHED DAILY.) The Oldest Daily Newspaper on the West Coast. FRIDAY, MAY 8, 1885. THE BOROUGH LOAN.

Manawatu Standard, Volume X, Issue 1, 8 May 1885, Page 2

Manawatu Standard (PUBLISHED DAILY.) The Oldest Daily Newspaper on the West Coast. FRIDAY, MAY 8, 1885. THE BOROUGH LOAN.

An April 16 we had occasion to write expressing our regret that at the meeting of the Borough Council held on the previous evening,greater progress had not been made with reference to the preliminary negotiations for floating the Borough Loan with the least possible delay. It will be remembered that all that was done at that meeting was fixing the interest at 5 per cent., and that the term was for 80 years. The Town ! Clerk was then instructed to write j to the Banks and ask for informa-. tion as to the terms on which they would endeavour to float the Loan. We then expressed our dissent with the course which had been adopted, ; as neither being practical nor expeditious,and not likely to achieve the desired end, viz., the early and successful floating of the loan. We pointed out that it is most essential, and a matter of the most vital importance that after vexatious delays and aggravating dissensions the Loan question should be dealt with m a manner which would prove that the representatives of the ratepayers were m earnest m their desire to see the desired consummation attained as early as possible. We did not approve, and still do not approve of the course adopted of writing to the Banks inviting offers to float the Loan. We contend that m fairness to t;he Council's present bankers, they should first have been commuincated with, as a simple matter of business and courtesy; and we are under the impression that they would have undertaken the floating of the Loan on snch terms as would be found advantageous to the Borough. We believe the same institution floated the Loan for, the Napier Harbour Board, viz., .£300,000, on terms quite satisfactory to the Board and advanced such sums as were required to proceed with the preliminary portion of the work. This is the position m which we would have liked to have seen the Borough with regard to its Loan. But, unfortunately, it is m a very different position,we are sorry to say. The Town Clerk communicated with the three local banks, as he was instructed to do, and got a reply from one only. We presume this means that neither the Bank of Australasia nor Bank of New Zealand intend to reply. As a rule, banking institutions are proverbial prompt m their dealing with communications of this kind, and do not require three weeks m which to frame their replies. We could quite understand the Council's bankers feeling chagrined at the seeming discourtesy, f unintentional no doubt,) which has characterised the action of the Council m this manner. We feel certaiu that had a committee been appointed to interview the Council's bankers m the first place, that satisfactory arrangements could have been made both for floating the Loan and also operating on it immediately. At its last meeting the Council instructed the Town Clerk to again write to the Banks and ask them to forward replies to the circulars sent on April 1 6, not later than the 20th instant. Well, supposing that ho further replies will be received, (as we believe will be the case) m what position will the Council be then? They will simply have to seek further afield for the money, and the difficulties m the way of their getting it will have been obviously increased tenfold. Financial agents are chary of loans when " explanations'" have to be made, as would be necessary m this case. In our article on the 16th, we said ; — " We doubt if the replies to the Town Clerk's written inquiries will afford any practical information of the kind sought to be obtained." Well, the result has verified our anticipation, we are sorry to say, and the present prospects of the loan beingfloated within a reasonable time are not by any means reassuring. Another fortnight must now elapse, at the end of which period we greatly fear matters will still remain m st.atu quo. With every successive delay and disappointment the matter will assume a less hopeful and more uncertain aspect, which is the reverse of eongratulatory,so far as the speedy realization of any hopes for better times for the Borough, through Loan expenditure, is concerned.