INTEREST REDUCTION IN N.S.W.

Press, Volume LXIX, Issue 20961, 15 September 1933, Page 9

INTEREST REDUCTION IN N.S.W.

NEW ZEALAND POWER BOARD'S SUIT SYDNEY, September 14. The hearing has .begun in the Equity Court, before the ActingChief Justice, the Hon. Sir John Harvey, of a suit on behalf of the Wanganui-Rangitikei Power Board, for a ruling whether (1) the New South Wales Interest Reduction Act, 1931, applies to financial obligations by that board with the Australian Mutual Provident Society on and after October 1, 1931; and (2) whether the plaintiff is entitled to redeem debentures due since that date upon payment to the Australian Mutual .Provident Society of the total capital included in such debentures, together with interest reduced in accordance with the act. Plaintiffs contracted loans amounting to £149,999, £IOO,OOO and £60,000 at various periods be tween 1924 and 1926. Interest was at 5J per cent., and all {He debentures were payable at Sydney. Plaintiff claims to be entitled to the reduced rate of interest, 3 per cent., as prescribed in the New South Wales Interest Reduction Act, on all interest obligations after the date of th.e passing of the act, which contention the defendant society disputes. The case was adjourned.