A NORTHCOTE CASE.

Auckland Star, Volume LVIII, Issue 89, 16 April 1927, Page 16

A NORTHCOTE CASE.

CLAIM FOR WATER RATE. DECISION AGAINST COUNCIL. An interesting decision was given at the Magistrate's Court on Thursday afternoon, by Mr. W. R. McKean, S.M., in what was really a test case. The N'oithcote Borouph Council (Mr. C. T. Keegan). sued Ernest John Fraser (Mr. A. M. Gould), to recover the sum of £4 8/9 claimed to be due as balance of a water rate for the year ended March 31. 1027. Mr. McKean said in Northeote, ratinp on unimproved values was in forco. Some ratepayers paid for water by meter and others by rate. Meter holders were notified that their supply in future would be charged by rate. A loan raised many years ago for water works is approaching maturity. As no sinking fund was provided, a rate was struck for that purpose. Ratepayers who had water by meter were not contributing to the sinking fund and it was admitted therefore, that this year there had been a partial treatment of some consumers. It was contended for plaintiff, that as the total amount levied is less than the maximum allowed by the Municipal Corporation Act, the rate was properly levied. The defence argued that so fatas the defendant was concerned, the rate, assuming that it was made in pursuance of some statutory power, was in excess of the amount which plaintiff was empowered to levy.

Mr. McKean said he considered the contention for the defence was sound.' It would require very clear lanpnape to show that the Legislature intended ] to authorise a departure from the | system of basing the rate on the value of the property in respect of which the rato was levied. His Worship considered that the provisions of section S4, of the Act, showed that the value of each property must be taken into consideration, because it had to Ih> ascertained: (a) Whether the rate would produce less than 10/ on any property; (b) Whether a property to which water is not supplied is within 100 yards of any part of the water works, and (c) Whether the building on any land is, or is not a dwelling." Air. McKean said, finally: "As the rate demanded is in excess of the maximum which the defendant can be asked to pay, and is not properly made and cannot be recovered. Judgment was entered for the defendant, with costs. Mr. Keegan asked his Worship to make a case for appeal on a point of law.