MORTGAGE ADJUSTMENT

Otago Daily Times, Issue 22987, 16 September 1936, Page 8

MORTGAGE ADJUSTMENT

BASIS OF GUARANTEED PRICE

OPINIONS FOR AND AGAINST

BILL READ A SECOND TIME

(From Our Parliamentary Reporter)

WELLINGTON, Sept. 15

Opinions for and against the Government's plans for the basing of mortgages on the guaranteed price for dairy produce were heard during the second reading debate on the Mortgagors and Lessees Rehabilitation Bill, which was resumed in the House of Representatives to-night. Urgency was taken for the measure, which was read a second time before the House adjourned. The opinion that the Bill was the most important mortgage legislation that had been brought forward in New Zealand for many years was expressed by Mr E. L. Cullen (Govt., Hawke's Bay). Mr Culien said that if the Bill was carried into effect in the spirit intended by the Government it would be of great benefit to the farmers of New Zealand. The necessity for a revaluation in certain districts was emphasised by the speaker, who stated that this was particularly necessary in respect of some lands neld under the Discharged Soldiers Settlement Act.

Mr J. G. Cobbe (Opposition. Oroua) said the Bill could be likened to a badly-cooked dinner. It satisfied neither the cook nor the diner. The unfortunate mortgagee who had been on tenterhooks for months did not know where ne was to-day. The only thing he could be sure about was that the money he had lent was now only partly his. Moreover, the Bill would not give the expected relief to the mortgagor. It was an anaesthetic that gave only temporary relief and was an example of the truth that great expectations were seldom realised. The contention that the Bill would give the farmer the full benefit of his efficiency was advanced by Mr J. G. Barclay (Govt., Marsden). The farmer, he said, would receive the equity he was creating, and if he could increase the carrying capacity of his farm he would get the benefit of that increase. Mr Barclay said the price for dairy produce on the London market to-day was almost exactly the price the New Zealand farmer was receiving and the market price was going down. He was satisfied that the farmers were looking to the Bill to bring some stability to their industry—a thing they had never had under the regime of the past Government. After the Minister of Finance, Mr Nash, had replied to the debate, the second reading was carried on the voices.

The House rose at 1.30 a.m