NELSON GAS WORKS LOAN

Gisborne Times, Volume LXXII, Issue 11451, 27 February 1931, Page 2

NELSON GAS WORKS LOAN

DIE KICULT Y IN PLACING 'DEBENTURES' IN LONDON

UNQUOTABLE OWING TO TLB EARTHQUAKE -EFFECT.

A letter lias been received by the Nelson City Council Ifom tho Bank of New Zealand, stating that the bank could not at- _ present -place £16,000 worth ui Nelson Gasworks Loan debentures in London. Ibe letter stated that the debentures were unquotable owing lo the Hawke’s Ray earthquake.' The Mayor, Mr. W. J. Moilatt, said lie could imagine people an far away as England being shy of Nelson debentures, especially as the town was in prominence on account of the 1929 shake. “It is regrettable,” lie said, “that while we* have, been doing all we can to buy British goods aiid in that way help to consolidate the Empire, "o cannot get British money to pay for the goods.” ■ Councillor S. A. Gibbs said the council was hr an unfortunate, position, as the first payments fell due soou,. Some time ago lie explained the British Government established a fund from -which to finance the- Domillions in ilio purchase of British 'mods. If the fund was still in existence it was for the very purpose for which the Nelson 'Council wanted .money, and lie thought tlm land would invest in Nelson dobentiues. Immediate; action was necessary, he Tlio Mayor reported that through tho Hon. ‘ li. Atpiore negotiations Wore being made with the .High Commissioner' in London to .see what lib eo-uld do in tho nuttier of placing tho debentures.. Ihe Mayor considered New Zualaud s financial standing was good at Homo. •Councillor H. E’. A. Washbquvn: We are suffering from the attitude of Australia and their talk of repudiation. - ! / v--". . ■ b ; Among the . suggestions- made for tho raising of the money were that tile Government, A.M.P. Society and British Insurance Companies .bp approached. ’ ' - " - . . A finapcc committee comprising the Mayor,’ Councillors - S. A. Gibbs, and G. Pago, was formed to explore tho possibilities of. placing tho debentures. , .