TAKING UP DEBENTURES.

Lyttelton Times, Volume CXX, Issue 15041, 8 July 1909, Page 9

TAKING UP DEBENTURES.

ROAD BOARD APPLIES TO t HARBOUR BOARD. ~ < ■aA _ ;.": ' i THE UNEMPLOYED. 1 The question of assisting unemployed ( men by providing work came before the Lyttelton Harbour Board yesterday ( iri sin indirect manner, and a lengthy discussion ensued on the subject of tak- - ir,g up debentures issued by the Heathcote Road Board. The chairman, Mr H. Friodlander, I reported that a letter had been re- 1 coived from the Heathcoto Road Board, asking tlio Harbour Board to invest in debentures. The Road Board had said ) in its letter that if the money were invested it would be able to nut works in ' hand that would afford lelief for the , unemployed. Uo had sent a reply in the negative, and asked the Board to confirm his action. The Board had no money available to invest at the, time, i but ii' the Board wished to vote more nionoy it could do so. I Mr Lauronson moved that .C2OOO should be invested in the debentures. I)r Thaeker seconded the motion. j Mr Russell supported the motion. He ' '

said that there was a good deal of distress in tho Heatheo to district, but. tho Road Board could not do anything, owing 10 lack of funds. .Mr Kayo moved as an amendment .bat the 'matter should go before tho .finance Committee. The Board had a lot of money tied up, and it was not advisable to vote current revenue without duo consideration.

Mr Diuijop seconded the amendment. Mr Moor? said that ho did not think tho Board should vote such amounts out of hand.

Mr Taylor said that tho Board should, if possiblo, invest tho money. Mr Laurenson said that ho would ask leave to amend his resolution to mako it that tin:- matter should bo referred to the Finance Committee, with tho recommendation that the request of the Road Board should be favourably considered. Mr Kayo said that he would not withdraw his amendment. Ho did not agroo to the recommendation for favourably consideration. It v.as not fair. Mr Kayo's amendment was carried. Mr Russell moved that tho words " for favourable consideration " should be added. Dr Thacker seconded the amendment, which was defeated. Mr Kaye's amendment as the, substantive motion, was then carried. Mr Laurenson then moved that the Finance Committee should have power to act.

Mr Scott seconded tho motion. Tho chairman said that it was peculiar that the Board should turn a

somersault. A little while ago objection had been taken to matters considered by the Board and placed before the Board for approval. Now it was suggested that the Financo Committee should .have full power to act. Mr Taylor said that he agreed with the chairman. No committee should have tho power to spend money without tho members of the Board knowing what was being done. He would voto against the motion. Mr Lauronwon's motion was lost.

Mr Russell then moved that the Finance Committee should report to the Board in a week's time. He. said that he wa.s a stickler for proper procedure in matters pertaining to public business, but in matters of urgent necessity, such as tho one. now before tho Board—some of the men were literally starving—he brushed aside technicalities and acted as quickly as possible. It was' their duty as men to take tho debentures and to assist the Road Board to provide tho work. Mr Kayo said that he sympathised wit.i tno men who were out of work, but the Board should remember that thefo were correct ways of helping them. It was monstrous to think tnat the Board was a Charitablo Aid Board. It was infra dig. If a special meeting of the jJoard were called to receive tho report the expense of calling it should bo charged against the amount lent to the Road Board. Mr.Laurenson said that ib was absurd that business men should say that tho Board wa.s a Charitablo Aid Board. Tho Harbour Board had money earning nothing, and tho Heathcoto Road Board offered 4J per cent, ft was a business proposition. Mr Russell's motion wa.-i carried. The chairman stated later that during the luncheon adjournment he had obtained tho opinion of the Board's solicitors regarding tho power of tho Board to tako up the debentures. Tho opinion was that trustees bad no power to invest ill Road Board debentures, and ho thought that the Harbour Board should not do sn. Mr Russell said that there was a special Act slating in what directions liarbour Boards could invest money. Mr Laurenson asked if the Harbour Board was bound by tho Trustees Act. Mr Taylor said that he did not, think that the Board's business should bo put entirely into the bands of a lawyer. He had his own private opinion, and be thought that the legal opinion did not state that tho Board could not tako up the debentures. Mr Storry moved that tho full opinion, should be obtained from Mr G. Harper, and if he expressed the opinion that the Board could not invest, the special meeting called in regard to tho matter should bo allowec to lapse. Mr Wolfe seconded the motion.

Mr Taylor suggested that the chairman should also ask the opinion of the Board's solicitor regarding the loca. bodies in whoso debentures the Roaru wiould invest its money. The motion was carried.