INVESTMENT OF SICK FUNDS.

Evening Post, Volume LXXIX, Issue 76, 1 April 1910, Page 4

INVESTMENT OF SICK FUNDS.

CONSIDERED BY Tflfc HIBERNIAN CONFERENCE. Yesterday the Hibernian t^ustralasian Catholic Benefit Society Conference further discussed the following motion: — "That this meeting affirms the principle of centralising the sick fund, for the purpose of making moneys lying idle intereut-bearing, and instructs the D.E. to formulate rules iv regard to same, and bubmit them for approval to a subsequent meeting of tho district." Bio. Ryan (New Hedford) gave the delegates who had supported the scheme every credit for being actuated by the best intentions, but he ventured to say that it was not the small branches which were at fault. In his own ca^e, ho could bay that" New Hedford had its funds invested at 6 per cent , and tho rateable value of the proporly was. threo times tho value of the sum advanced. 13ro. Duggan (Oamaru) emphasised the point that branches wished to havo direct control of their own funds. They wished to eeo their investmentc, and control them. I3ro. M'Greevy (Waipawa) Opposed the centralisation of the funds. Bro. Hodgins (Lower Hutt) fh'ougnt that if branches invested small sums in the Post Office better results would bo obtained than by centralisation. Bro. Corrigan (Waimate) also recorded his opinion against the proposal. Bro. J. Hally (Dunediii), another opponent, considered the scheme unworkable. It was a fact that branches took a certain amount of pride in gradually but surely increasing tneir funds. Dunedin, ho said, was opposed to tho motion in its present form. Bro. Mahoiiy (Timaru) next raised his voice against the suggested course of ac tion. He was anxious to see all money made interest-bearing, but he did not think any good would be secured by a radical change such as was suggested iv the motion. Bro Collins (Waihi) supported the motion. In his case, he said, it would not be practicable to invest the money. Bro. Doolan (Christchurch) did not approve- of centralisation of branch funds, and branch officers should have the management of their own funds Investment in the Post Oftico Savings Bank would bring excellent result* Money could be readily withdrawn, in the caso of necessity, from the Post Office Savings Bank. The procedure wa3 not cumbrous, and he maintained that tilings would improve. If a branch had not sufficient money to let it out on mortgage, it could get 3i per cent, from the Post Office Savings Bank. In reply to these and other statements made in the coin-be of the debate, Bro. Kane, D.S., <=aid he thought it \ras a great pity that tho question of centralisation of the fick fund had not. been dealt with years ago. The first thing thai centralisation of the sick fund would bring about would be this : that the 6ociety as a whole would become bccurity to the individual momI her. If pooling and investment of tha ! sick fund took place the revenue would exceed the levies. It could not be denied that a large amount of money, made up of smalf Bums, was lying idlo. 'Ihe actuaries claimed that bad systems existed in regard to funeral funds. Similarly it could bo said that bad system* j existed in regard to sick funds — chiefly | a system of levy. He repeated that the i greatest argument in favour of tha scheme outlined in the motion was that the socioty would become security to the individual member. The mere adoption of the motion did not commit the ■conference to anything. Rules would have to be submitted in turn for adoption, and these could bo accepted or rejected. The scheme put forwaid waß not a new thing. It was not revolution- 1 ary. As a matter of fact, it was in existence amongst friendly societies in New Zealand, and in connection with congregations of 'branches of the H.A.L-.8.5. iii Australia. Further, the scheme had been eminently successful. The president remarked that the executive desired to have light on the subject. He was pleased at the manner in which tho subject had been discussed. The executive desired to have the question kept alive. Over ten yean, ago the matter had been di*cussed and almost adopted. Ia the interval other societies had decided on centralisation, of «ick funds, and they had gone ahead by leaps and bounds. (Hear, hear.) In reply to a question, the president stated that if centralisation were approved and adopted it would iiot bo optional for branches to invest their own funds. However, if tho motion were car- I ried the scheme could not be in full operation for five, or six years. In tho meantime the executive officers of the society would devote their time to formulating a workable and mutually bens ficial scheme, co far as the branches wevs concerned. The motion was eventually declared carried by 29 to 15 vote*. A delegate objected to the vote on the ground that several delegates had not recorded their opinions. A recount iesulted in 31 votes for the motion and 20 against.