HOSTILE CRITICISMS REBUTTED

Press, Volume XLIX, Issue 14659, 7 May 1913, Page 10

HOSTILE CRITICISMS REBUTTED

STATEMENT BY THE MINISTER

(SrKCIAL TO "THB PRESS.")

WELLINGTON, May t>.

Speaking to a "Dominion" reporter, this evening, the Hon. A. L. Herdman dealt with some jccent criticisms of the report of the Public Trust Commission. "Though grossly misleading statements have been made about the Publio Trust Oliice Commission/ &aid the Minister, -and as insulting suggestions have been mado about the Commissioners, I had better make some statement on the subject. First, let mo say this: that the criticisms published have been passed without the slightest knowledge of the evident-*? from which the conclusions of the Commissioners were based. A perusal of this evidence will show that Messrs Macintosh and Hosking were more than fully justified in arriving at the fair and reasonable judgment which they pronounced upon the institution. "Nert, 1 wish to make this observation : the pernsal of Hansard of last session wili show that, what really prompted the appointment of the Coramission was the tinding of the Public Service Commission (Messrs Hunt, Mclntoih. and Barr). appointed by tho Mackenzie Ministry, and the desire lor a thorough enquiry into its working, expressed during last session by Messrs Forbes, "Witty. Ell, and, 1 think, other Opposition supporters. Then, a* to the criticism of the report itself, it ;s made to appear that it is contradictory in reference to administration oF estates. On pages S and 9 of the Commissioners' report it is said: 'As regards investment of Trust funds, the administration with respect to methods adopted in making investments an;! collecting of the income and revenue therefrom is eminently satisfactory- , Lnt<* r ,)Ti > Jt 5s P 0 '"* ? nt that the administration (as-to realisation and management of estates) is not as efficient as* it might be made. It should be obvious to anyone with the most elementary intelligence that the remarks of the Commissioners relate to two separate and clearly distinct matters.

"Again," said Mr Hcrdman. "an enterprising critic declares that tho recommendations to place native settlement reserves under special control is a deliberate attempt to withdraw from the Public Trustee business which he lias zealously attended to in the interests of the native and the country. It will probably interest this critic to near that the evidence is voluminous and widely-selected, and is unanimous in favour of separating this business from the Public'Tmst Office. No one declared more strongly in favour of such a course than the Public Trustee himself. \

"As to the criticism of the Commissioners upon tho legal branch of tho office, I am in agreement with what they say. • Tho evidence of some of the members of the legal staff, and the evidence of some of the executive officers, amply support the findings of the Commissioners. Tho Public Trust Office is not a'public legal bureau, and tho Act does not permit of the existence of such an institution- The hranch of the Public Trust Offices there to do the legal work of the Public Trust Office and nothing more. The legal gentlemen employed on the staff arc there to advise the office to draw documents relating to Public Trust Office business, to apply for probate and letters of administration, to cue for interest and rents, and to do tho general legal work of tho institution. Deputy Public Trustees have been appointed at Dunedin. Christchurch and Auckland. The legal work at these cities will bo done locally so as to avoid delay. As to the..employment of outside counsel, the practice which was in vogue before I took office will be. followed in the future. Barristers of experienco will bo employed when, on behalf of the office, or on behalf of estates in the charge of the office, responsible court work has to be undertaken.

"Speaking generally of the report," continued the Minister, "I repeat the opinion which I have previously expressed, the report shows that the underlying principle of the Public Trust Office Act is sound, and that the purpose for which it was established has been well carried out. It shows that it is managed by an efficient and zealous staff. It shows how delays can be got over, how congestion can-be relieved, how greater efficiency can be got, how the working of the whole institution can be made smoother, and how well, considering its rapid growth, the institution has been run. It is an excellent business document by two experienced and disinterested business men. It is a guide for the Public Trustee of the future, which, if he folTows closely, he will not go far astray." I "I heard this evening, remarkectthe Minister, "that in a southern paper some attack has been made upon Mr 1 Hosking. The other day a disaereej able aspersion was cast upon both j Commissioners" by the Otago Trade and Labour Council. These statements would not be worth noticing were they only intended as political attacks upon the Government, but as they directly reflect upon the integrity of two wellknown and highly respected citizens of the country, I would like to say that I lwlieve that no investigation into a public concern in New Zealand has ever been carried out more fairly, more considerately, or with a higher sense of duty than the enquiry of Messrs Macintosh and Hosking into tho Public Trust Office. Both gentlemen concerned accepted their tasks reluctantly, and under great pressure of private I business, in the hope of doing some tserI vice to the. "State. Their instructions were contained in the Governor's Commission which has already been made public. They never departed from those instructions, and ihoy formed their own opinions uninfluenced by anyone." i