FRIENDLY SOCIETIES' FINANCE

Auckland Star, Volume XLII, Issue 134, 7 June 1911, Page 8

FRIENDLY SOCIETIES' FINANCE

. i QUESTION OF STABILITY. LEGISLATION ASKED FOR. (By Telegraph.—Press Association.) WELLINGTON, Tuesday. Representatives of the New Zealand Friendly Societies waited on the Hon. J. A. Millar this afternoon, and urged that the Government pass into law the clauses ensuring the stability of friendly societies which were from the Friendly Societies Act of 1909. The deputation also asked the inclusion in the Act of a clause recommended by the Friendly Societies Gonferonco of IDOfi, providing that no society be allowed to carry on business without having an adequate scale of contribution* commensurate with the benefits proposed and approved of 'by a competent actuary, which

scale of-contributions shall not disturb the contributions of existing members, but shall apply to aJI those joining after the passing of the Act. Mr. Leigh Hunt said the deputation was from the New Zealand Friendly Societies Parliamentary Executive, and represented three-fourths of the members of the friendly societies in New Zealand. Reports by the actuary in recent years showed considerable defects in some societies, and they considered that the position was very serious, and that the day of reckoning was approaching. The deputation also represented that steps should be taken to put a stop to the equal levy death benefit scheme. The Minister, in replying, said there was no doubt that this was a most serioub matter. If a young man made provision for his old age it was a serious matter if ho found that fee had entered into a contract which there was no possibility of. being carried out. If they allowed the societies here to commence on lines which had been proved to he an absolute failure in older lands, it

must inevitably result in disaster to our societies. Aβ a. Friendly Society man, he fully realised the absolute necessity for ensuring the stability of the various "societies in the interests of present and future members. He was glad to learn that the disadvantage of the equal levy system had 'been seen by the society that took it up, and that that society was endeavouring to place it on a sound financial basis. Still, there was a danger that other societies might commence operations on similar lines. He would place their representations 'before ■his colleagues,~and sec if it was possible to get a bill through next session. He would have a bill drafted and place it before Cabinet as one of the Mils to be passed during the session. He looked upon it as an urgent matter, Steps ought to be taken at once to deal with c matter that -was sapping the very foundations of the finances of our friendly societies. For Ghtldrett'e Halting £&agb at night, ; Woods' Great Peppermint Cure, 1/6, «/«