LOANS TO SETTLERS.

Auckland Star, Volume LIII, Issue 77, 31 March 1922, Page 7

LOANS TO SETTLERS.

A MINISTERIAL STATEMENT. INTERESTING COMPARISONS.

NOT CLOSED DOWN ALTOGETHER

(Ey Tcle_jraph.—Own Correspondent.) WHANGAREI, this day. ! An important announcement was niade at Whangarei to-day by the Hon. jj, H. Guthrie in regard to the Returned Soldiers' Settlement Act. A deputation consisting of Dr. Ward, Messrs. H. C. Hemphill and A. D. Jack, with A. T. Brainsby (secretary ot* the Whangarei Peturned Soldiers' Association) waited on the Minister to ask if he could give any information as to when the advances ma"de under the D.S.S.A. would be resumed lor the erection of dwellings and purchasing of farms. It was pointed out that soldiers in tlie country districts had suffered a handicap by the sudden suspension of grants, also that many men were paying high rents—as much as £2 a week out of working wages- pending the reopening of tlie opportunity to build their own houses. Ju'reply the Hon. Guthrie said that unfortunately the suspension of advances had been demanded by stern necessity. There was no intention on the part of the Government to neglect its soldiers, hut owing to the conditions prevailing it had no option. The financial 6tress , ranic like a thunderclap, and even big •financial institutions had to shut down. Ihe department still recognised the .-peeial claims of T.B. men, badly disabled men, and also certain special cases where men had entered into contracts fcr building or had committed themselves. The small amount of money still jemaimng in hand was being conserved to meet their requirements and to assist the men already settled with advances in enable them to carry on. He could giyc no definite intimation as to when advances would be resumed. It had to lie remembered that when the advances were suspended the department had on hand hundreds of applications that had already been recommended for ministerial approval by the land boards. The department was doing its best regarding meeting these case-. ~ The position was affected, ol course. "hy the fact that owing to the financial stringency many soldier tenants had to lisve payments postponed. Considering the circumstances, however, the men were meeting the payments wonderfully well. He could assure the deputation that the Government had no intention when it suspended the operation of the Act to shut down altogether. Of course, if matters financially went from bad to worse such an event might happen, but it was not the present intention of the Ijovernment. The matter, to a large extent, Tested in the hands of tho Finance Minister. There were some eases where men had purchased sections ...th a view to securing an advance under the Act for the erection of a dwelling. Representations bad "been made to "him to give preference to such cases, but he could not agree to it. However, where the men had drawn up their plains he had gone so far as to accept offers from builders or enSered into otlier such commitments. The Government was prepared to consider such pressing instances. The Minister, in conclusion, stated that there was no lack of* sympathy with returned soldiers' requirements. The suspension was brought about solely by the financial depression, and as far as he knew it was not intended to close down altogether. Mr. Brainsby asked the Minister in eases where returned soldiers were making arrangements with private srms to build in the meantime, would the department consider taking over those liabilities when advances were resumed 111 repjy, the Minister said this opened up a very large question, and involved discharge of existing mortgages. Ia September, 1920, <___binet~ definitely decided not to make any further advances under the A*t with the object of discharging private mortgages. He could not therefore hold out any hope that this request would be favourably considered.