AGRICULTURAL BANK

Evening Post, Volume CVI, Issue 14, 17 July 1923, Page 6

AGRICULTURAL BANK

' TO THE EDITOR

Af^"f~ yo"r iksu* °('the 13tlr inst:, Mr. Lawrence Johnstone has a letter, occupying a column and a quarter, ' in }j'''lc?,,'le,seeks, to quote examples from the Old World in favour of. the proposed Agricultural Bank. His references, however, are to institutions who do land banking only, whilst Mr. Polson s Bill provides for an institution to do both ,land banking and. commercial banking. I could supply definite data in.support of the statement that.under their charters commercial' banks in the United States and Canada* are, and always have been, prohibited from making loans on land. Can Mr.. Johnstone quote one instance where an American or Canadian Land Bank does commercial banking business also.?: .- '.-.. .......

: Further; he refers;to the.report of Mr. J. R. Cahill, appointed by the. British Government to report, on Farmers' Banks in Europe, and:states that Agricultural Bank advocates in New Zealand have the authority of the. British^ Government in their favour. Similarly, following up his address to Parliaaieiitarians oh tlie 3rd inst., Mr. Poison stated that; the British Select Committee had brought down recommendation^ for an Agricultural Banking measure at Home. Can. Mr. Johnstone, or' Mr. Poison, say that in either Mr. Cahill's report; or the report of the British Select, Committee, there was any suggestion that any proposed Agricultural Batik should rssjude commercial banking i/i its operations?—' I am, etc., . INQUIRER, 16th July. • ' .. ■-■•■'.■..■