STATE ADVANCES OFFICE.

King Country Chronicle, Volume VII, Issue 592, 9 August 1913, Page 2

STATE ADVANCES OFFICE.

The amounts lent during the year were as follows: Ssttlers, including loans from Public Debt Sinking Fund, £937,-135; Workers. £449,260; Local authorities, £547.295. The report and balance-sheet cf the Advances to Settlers bronch shows a profit for the year of £73,864 and that of the Advances to Workers branch a profit of £11,2fi3. These profits are mora than absorbed by tha sinking fund contributions. Tha Local Authorities branch shows ioss of £ti3u. which is very small compred with the losses of the previous years. During the two previous years the loss amounted to £22,557, and this will be provided for out of the surplus in the Consolidated Fund at March 31st. 1913. Since the introduction of last year's legislation the business has undoubtedly been put on a better footing. Amended legislation is being introduced which will consolidate and simplify the present law regarding State advances. Th:> existing system, under which the Superintendent is required to raise the money for certain other Departments with the administration of which he lias no connection, has proved cumbersome and inconvenient, and it is intended to provide that in future the Treasury shall raise ali moneys required for Buch purposes as land for settlement, native land settlement, opening up of Grown lands, .'tc.. instead of the Superintendent.

The amenaing Bill will also make provision for bringing- the sinking funo3 ei nil new loans of the Advances Office, under the operation of the Public IJeU Extinction Act, Wi4.h regard to existing loans the Sunerintoncien; has hitherto been required to pay each year 1 per cent, to the Public Trusiee for investment as a sinking fund. To do this, capital moneys had to be encroached upon to some* extent. It is proposed that, wirh regard to these loans ih'o Superintendent; shall h ; m?eii invst the sinking fund in loans to soUbr.-. worker?, or local authentic - inst. nd oi' paving it to the Public Trustee for investment.

Previous io il;.: i\uo .1 tu<? present GovernnuM:t tooK oliict* the Advances Bornd iuur.-i j< tnmossible owing to financial ■>'. to entertain applications lev leans to repay existing mortgages. '.Vise. Board also then found it necessary fcr the same reason, to limit tho loan- under the Advances to Settle ra brau.-h <•< sums not extvedint; A'aim. UtH'ootiy. 1 am filad to ssy. the Board lint' Ik*on able to relax this stringency somowhal.

and loans are now being granted for he purpose of repaying existing mortgages in the case of Crown leaseholders, and the limit of loans to settlers has been exter.ded from £SOO to £750. In November, 1912, it wag also found necessary to liimt the loans granted under the Advances to Workers branch to sums not exceeding £3OO. In May last this limit was raised to £4OO, and loans up to that amount are now being granted to workers by the Board.