EARTHQUAKE FUND NOT TO BE USED FOR TORNADO LOSSES

Greymouth Evening Star, 30 August 1948, Page 2

EARTHQUAKE FUND NOT TO BE USED FOR TORNADO LOSSES

(P.A.) AUCKLAND, August 29. The suggestion that money should be transferred from the Earthquake Fund to meet expenses involved in the restoration of damaged buildings at Hamilton was neither ethical nor wise, said the Minister of Finance (Mr W. Nash) today. Mr Nash, who was accompanied by the Minister of Rehabiliitation (Mr C. F. Skinner), arrived at Hamilton by air yesterday afternoon and has held meetings with departmental officers, members of the city council, and other organisations. 1 He has also inspected the damage. His j views on the use of the Earthquake j Fund were expressed at a meeting in ' Frankton, where he met residents and | business men to discuss the steps | which should be taken to alleviate the | difficulties of the people concerned. Everyone in the Dominion who paid insurance had contributed to the Earthquake Fund at a rate of Is for every £lOO value of property insured, Mr Nash said. The Earthquake Fund stood at about £6,000,000,and if an earthquake occurred in a city like Wellington, the damage might easily exceed £10,000,000. The Government wished to help to the limit the people who had suffered in the tornado, but it could not afford to have public revenues exploited. Information was wanted about mortgages, insurance, the size of property, rents paid, the condition of leases and stock, and the extent, of damage, Mr Nash said. When all. that information was collated, each case would be dealt with on its merits. It might be necessary to issue import licences for those who had been left in short supply of stocks. At another meeting, Mr Nash said he wanted to see all the problems settled within, two or three months, and not carried on for five years as had happened with some claims at Masterton. The money involved in expenditure was taxation money, and the Government had to see that it was spent wisely. The Government wished to be generous in the matter.