A ST. AUBYN ECHO.

Taranaki Daily News, Volume LV, Issue 207, 21 January 1913, Page 8

A ST. AUBYN ECHO.

ABOUT A BANK ACCOUNT. Fresh trouble has cropped up in connection with the recent merging of the St. Aubyn Town District in the borough. This time it has to do with operations rn the late board's bank account. The matter is explained in the following letter from the borough solicitors, which was read at last night's meeting of the Council: "We are instructed to advise you as to the position of the Council with respect to operations on the loan account of the St. Aubyn Town Board between November 7 and December 12. 1012. By section 30 of the Reserves and Other Lands Disposal and Public Bodies Empowering Act, 1012 (which came into operation on November 7. 1012) the town district of St. Aubyn was .abolished and the corporation of the St. Aubyn Town Board was dissolved. The section also provides that on the issue o ; an Order-in-Couneil the properties, liabilities, contracts and engagements of the St. Aubyn Town Board became those ol the Council. The Order-in-Couneil referred to was issued on December l - ' 1012.

"Between the two bod ins mentioned, tlic gentlemen who had formerly comprised the town board and purporting to net on behalf of the board operated on 1 lie board's loan aceount at the Bankto a large extent, and the bank paid cheques purporting to have been drawn r>n behalf of Hie board, notwithstanding that it had full cognisance of the facts. Tn our opinion the action of the gentlemen was illegal, and the bank was not justified In paying the cheques. The matter is one for the Audit Department, which no doubt will take action. We do not see how the Council has any redress, for, in our opinion, thev acquired no rights until the date of the issue of Hie Order-in-Council, by which time operations on the bank account had ceased. We think the balance-sheet of the Council should show only the actual amount to the credit of the St. Auhyn Town Board loan account at the bank on December 12." On the motion of Cr. Ambnrv. it was decided that the Auditor-General be requested to make a special audit of the operations on the St. Aubvn Board's bank account between November 7 and December 12. and the opening of the accounts in the borough books as at the same date.