SALES OF FARMS TO SERVICEMEN

Press, Volume LXXXII, Issue 24798, 12 February 1946, Page 3

SALES OF FARMS TO SERVICEMEN

SECTION 51 OF LAND SALES ACT EXPLAINED

To protect themselves from the operation of section 51 of the Servicemens and Land Sales Act, owners of farms should have due regard to the urgent need for land for rehabilitation purposes and always offer their properties to former servicemen,” said the Minister of Rehabilitation, in reply to a remit from the South Canterbury exof the Farmers’ Union urging that the Minister place on the Statute Book immediately an assurance that farmers may withdraw their farms from sale if the prices fixed by Land ibaies Committees were unsatisfactory, pie Minister’s reply, which was received by the secretary of the South Canterbury executive (Mr A. B. Struthers) yesterday, added that if the owner of any single unit farm property placed it under offer to a former serviceman, section 51 of the act would not be operated to force the sale to the Government should the basic value fixed by the Land Sales Committee be unacceptable to that owner. The purpose of the policy, which was on trial for six months, was to induce owners contemplating sales to place their properties under offer to former servicemen.

If the owner of any property suitable or adaptable for settlement of a former serviceman, or of two or more servicemen, applied to the Land Sales Committee for consent to transfer to a civilian, the Minister said he would certainly operate section 51. whether or not the basic value was less than the consideration stipulated in the contract If the farm property the subject of application to transfer to a civilian was not considered to be suitable or adaptable for settlement of former servicemen, the section would not be operated. In such circumstances it depended entirely on the terms of the contract between the vendor and purchaser as to whether or not the vendor had the right to withdraw his property from sale should the terms of the Land Sales Committee’s approval require a reduction in this consideration of money. The Minister said he was not prepared at this stage to ask the Government to write his policy into the act, for the reason that the policy was on trial. If it did not result in an increased number of offers to former servicemen he would be compelled to operate the legislation as originally intended. Due notice would be given of any contemplated change in policy to enable prospective vendors to reconsider their position in ample time to withdraw their properties from sale should they wish. In any case, section 51 could not be operated in resnect of property which was merely on the market for sale. This particular section of the act gave him no authority to take any action in respect of compulsory acquisition of farm property until such time as the Land Sales Committee had made an order fixing the basic value consequent on a definite application to transfer from one person to another, said the Minister.