MORTGAGE CORPORATION

Greymouth Evening Star, 8 February 1935, Page 14

MORTGAGE CORPORATION

— MR COATES'S EPLANATION. t ■■ l — ■ [PEB PBESS ASSOCIATION.] WELLINGTON, February 7. Addressing the Farmers’ Union Executive to-day on the Natoinal Mortgage Corporation proposals, Mr J. G. Coates said the Corporation would not be a monopoly, as there was no reason why other corporations should not compete—i£ they survive. He said the proposals would give farmers an opportunity to convert to a lower rate of interest. They envisaged taking the best from private and State control, and throwing them together. Mr Coates said it might be

necessary to continue the moratorium Practical men who have been dealing with the adjustment of mortgage finance throughout the Dominion .durin" the ptist year or so, agree almost unanimously that farmers are losing

heart under the double burden of low pi ices and high mortgage charges. This is one of the outstanding features of considered replies to a problem which was submitted recently to the Chairmen of fourteen mortgagors liability adjustment commissions. These officials have been in Wellington this week, discussing the subject with Ministers of the Crown and departmental experts. The dis-

cussions, it is understood, have been based to a large extent on a comprehensive questionnaire as issued . by Mr Coates, who, for the past month and more, has traversed the whole field of investigation, and has “threshed, winnowed and sifted” a heavy crop of opinions and suggestions. M.P.’s ADVICE. f HAWERA, February 7. ‘ Mr C. A.‘ Wilkinson, M.P. for Eg- , mont, addressed the South TaranakiJ Provincial Farmers’ Union at Hawera 1

to-day. He said that his advice tc farmers was to wait for the Mortgage Finance Bill, and that, if it is not satisfactory, and if it will not end the present intolerable situation, the farmers should refuse to accept the Government proposals and especially any “stop gap” legislation. He advised them, also, to remember that the general election was only nine months away; and that if the situation is not satisfactory met, then to wait patiently for that day, and cast this Government out of office, and put in a new Government which will do the job. CONFERENCE REQUESTED. WELLINGTON, February 7. The following is from a letter sent to the Minister of Finance by Mr. A. O. I-leany, secretary of the Associated Chambers of Commerce, on behalf of the Commercial and Financial Committee responsible for the recent statement on mortgage finance: — “Since our last meeting with you. the views of my committee on the Government’s proposals regarding mortgage finance have been published, along with an outline of its alternative pro-I posals. My committee takes this op-1

'portunity of assuring that the strongi , criticism it has made of the Govern-1 { nient’s proposals is not to be con-1 strued as arising from any spirit of / antagonism to the farming interests It is an earnest desire of the Committee to assist in discovering fori the general welfare, a solution to the {difficulties of the industry. Further

my < ommittee reminds you it is not opposed, for instance, to’ a mortgage L bond system, and it desires there shou d be every facility for borrowers to effect long term table mortgages in cases where they desire to do so This was indicated by the Committee 1 in its published statement when it sug- ! gested encouragement in the formation 1 of private mortgage corporations, ' which could deal in such mortgages. J On the subject of assistance to the ! farming community, the Committee is <

o anxious that this should be fully ex e plored along lines consonant with just; rice and equity to all sections of the e community. The Committee emphase ises it is not opposed to the aim of e the Government tq improve the finauy.cial position of primary industries. It -Jis the methods proposed by the Gov3, ernment with which the Committee 3 differs, and which, in the general int;terest, it has honestly and conscientiously criticised. An indication of 5 ■ alternative courses of action to deal i ;with the whole situation nas been giv*'en by the Committee in its published statement. These alternative proposals were necessarily outlined very briefly. For all that, they are earnestly put forward, after careful thought and consideration, in an endeavour to deal equitably with the whole problem of mortgage finance. An opportunity to discuss them with you would be greatly appreciated, since the Committee are still strongly desirous of being helpful and constructive.” The letter goes on to suggest that the Minister arrange a round table I conference between the Committee. ! Ministers, staff, and a representative committee of the New Zealand Farmers’ Union at present in conference jin Wellington to discuss alternative i methods, the subject, to be then furIther discussed with the Minister perIsonally. Confidence is expressed that [such a contact would remove many i misunderstandings.