TRUST FUNDS TAXED

Grey River Argus, 7 December 1932, Page 5

TRUST FUNDS TAXED

EISHOP PROTESTS. NELSON, December 5. In the course of his address to the Anglican Synod last week, Bishop Sadlier said: “Up to the year 1932 we were under the impression that a contractual obligation once formed was binding on both parties thereto and could not be broken by either without the consent of the other, or without a penalty in the case of violation of the contract but. the facts presented to us during this year in the compulsory reduction in interest on investments show that our depression as to the moral and legal obligations of contracting parties was unfounded. “When the Nelson Diocesan Trust Board invested the capital of the diocesan and parochial funds it did so in good faith, that trustee securities as provided in the Trustees Act were the safest of all investments, but it appears that this is not so. In common with many, I deplore the abandonment of those moral standards which have been the pride of the British race. “Owing to the fact that religious, charitable and educational trusts, for the first time in our history, and quite unexpectedly, have been subjected to heavy taxation our plans for meeting the difficulties in the parishes and districts have been overthrown.”