Rangier a firm replies to council

Press, 14 August 1976, Page 2

Rangier a firm replies to council

On Friday, July 9, the Rangiora County Council resolved to claim $24,300 from North Canterbury Development, Ltd, as payment of a reserves contribution to a company subdivision. Its resolution to take legal action if the sum was not paid within 30 days from the date of request was reported in “The Press” of July 14. The managing director of the company (Mr G. R. Walker) says in a supplied statement that this publication was the first indication to the company that the council wanted the sum paid at once. He also says that the council has security for the sum claimed and that, in turn, the council owes the company $4677 as a refund of a bond held for another subdivision. The company is also claiming $9368 from the council as its contribution to a storm-water system installed in the same subdivision over which the

reserve contribution sum is sought. In March these conflicting claims and liabilities between the company and the council were discussed by representatives of each party. From this meeting, according to Mr Walker there was an arrangement made to postpone setting up the reserve contribution fund pending a reckoning of the council’s obligations. As an interim measure the company agreed to the council’s taking security over some company land, which the council did. Mr Walker has criticised the council for the way in which it “broke the arrangement” and for seeking payment, “in such a public manner,” without any prior discussion with the company. He says that the council had ample opportunity to discuss, the question further with the company and had no need to pass the resolutions.