LENDING BODIES

Evening Post, Volume CXX, Issue 6, 6 July 1935, Page 13

LENDING BODIES

TO BE CO-ORDIXATED

AUSTRALIAN MOVE

Arrangements have been completed for the co-ordination of live separate Government bodies —the Rural Industries Branch, the Advances to Settlers Co-ordination Board, the Building Relief Committee, the Government Guarantee Board, and; the- Advances to settlers activities of the Water Conservation and Irrigation Commission, says the "Sydney Morning Herald." The staffs of these, bodies will be transferred to the Rural Bank, in the Commonwealth Savings Bank Building. They will come under the control of the commissioners of the Rural Bank, but their activities will be kept completely separate from the Rural Bank's ordinary business, a special agency department having been created to coordinate their activities. They will have the advantages of the field staff, and the large legal staff of the Rural Bank, and of the bank's up-to-date ■ office machinery for the accountancy work. Increased efficiency and convenience to borrowers is expected from the merging of the five lending agencies. In the past they have all operated independently, and each has conducted its own correspondence. In future all advances to settlers will be under one control, thus eliminating duplication, and it is contended that under the new system a more thorough appreciation of borrowers' financial requirements will be possible. About 16,000 borrowers are affected, involving a total indebtedness to the State of approximately £4,000,000. The combined ■ staffs who have control of the loans number more than IEtO. Hitherto, except in the irrigation area,- borrowers have transacted their'business with the Departments in Sydney, but in future all borrowers, including those in the irrigation area, will deal with the nearest branch of the Rural Bank and be' able 'to make repayments to the

bank. Where there is no branch of the bank, arrangements . have been made for repayments to be made to the Commonwealth Bank. The Rural Bank has thirty fully-equipped branches throughout the State, and additional branches are to be opened in the near future. The bank's policy is one of decentralisation, so that borrowers may deal direct with the bank's managers, who, living in the district, should have first-hand knowledge of their conditions.

The legal department of the bank will comprise two barristers, six solicitors, four conveyancers, and thirty legal officers (many of whom are sitting for their law examinations).

The Rural Industries Board was established in 1914 for. the purpose ■of assisting wheat growers during the drought of that year, and has continued to provide State aid to various classes of primary industries in time of stress and trouble, making advances to settlers who could not' get accommodation under ordinary banking conditions. The Water Conservation and IrrigationlCommission has had in hand the development of various irrigation schemes In the State, such as.Murrumbidgee, Curlwaa, and Coomealla, but also the sinking of bores and wells for stock purposes, throughout the State, particularly in the sub-artesian belt. The Advances to Settlers, Dairy Promotion Board; and Building Relief Committee were set up for the purpose of dealing with the unemployment problem during the depression by making advances for the further improvements of holdings by the use of unemployed labour.