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Greymouth Evening Star, 28 October 1932, Page 2

Mi-. H. E. Holland, M.P., has receiv--1 ed the following letter from Minister of Internal Affairs:—“With reference to your recent interview with me, and to the papers which you left, with me, relative to the application of the Cobden Town Board for legislative authority to exceed the limit of its borrowing powers during the current, financial year. I desire to advise that this matter has receivefl careful consideration. I regret, however, that the request of the Board cannot be agreed to. The whole principle of the Local Bodies Finance Act, 1921-22. is that a local authority's liabilities at. the end of a financial year shall not exceed the amount, ol ils outstanding revenue. It is not proposed to relax the safeguards imposed by that Act. I observe from the letter addressed to you by the Town Clerk, that the expenditure is mainly on account of unemployment, works within the Board’s area. I suggest that the Board give consideration to I he question of raising a. loan under the Local Authorities Empowering (Relief of Unemployment) Act, 1926,'t0 cover the cost of carrying out unemployment relict work’s. That Act is still in lorcc by virtue of Section 52 of (he finance Act, 1932, which extends its operation till Julj r 31, 1.933.” I