Untitled

Poverty Bay Standard, Volume I, Issue 283, 12 November 1884, Page 2

Amongst the last measures passed by Parliament was the Consolidated Stock Bill, which is incorporated with the Act of 1877, and provides for the conversion into stock of all the loans for which the Colony was liable on the 31st March last, together with of the general purposes loan which fell due on the 15th October last, and the selling price of the accrued sinking fund upon the conversion of the said loans. The increases of sinking fund are to be computed annually, commencing on the 31st March next, and stock created for the amount of such increases, to be disposed of as follows :—(1) In the case of loans, of which the sinking funds are invested in drawn and cancelled debentures, by exchange for any debentures drawn after the passing of this Act, or (2), by sale by the Commissioners or Trustees of the sinking funds of any other loans ; or (3) otherwise as the Colonial Treasurer directs ; and the proceeds, of any such exchange or sales shall be paid into the public account, and shall form part of the consolidated fund. When any loan is completely converted or paid off, the sinking fund accruing on that loan shall be held to be set free. When any loan is partially converted, the sinking fund Commissioners or Trustees shall retain in their hands such amount in money or securities as will be sufficient, in their opinion, for the redemption. The balance of the sinking fund over and above such amounts shall be held to be set free, but it is hereby expressly provided that if from any cause it is found that the amount so retained is insufficient, then the difference shall be a charge upon and shall be paid out of the consolidated fund without further appropriation by Parliament. Any sinking fund set free shall be appropriated as follows: — First, a sufficient amount shall be applied to extinguish such an amount of the stock or the debentures hereinafter mentioned as by the provisions herein may have been created on account of increases of the sinking fund in respect of the loan to which the sinking fund set free belongs. The balance shall be paid into the public

account, and shall form part of the public works fund. Pending the operations for converting loans! and creating the stock authorised to be created under the provisions of this Act and the said Act, the Colonial Treasurer may create debentures to an amount not exceeding in the whole the amount of such stock, and may borrow and raise moneys from time to time by the sale, hypothecation, or mortgage of such debentures, or may exchange the same for securities convertible under this Act, as the Colonial Treasurer thinks fit. Every such debenture shall bear interest at such a rate, not exceeding per centum per annum, and shall be in such form, and shall be signed on the part of the colony in such manner, and shall have a currency not exceeding seven years, as the Colonial Treasurer directs. Nothing in this Act is to be held to prejudice or affect any security heretofore charged on the revenues of New Zealand.