Paid Half Per Cent More Than Necessary

Manawatu Times, Volume 64, Issue 110, 12 May 1939, Page 6

Paid Half Per Cent More Than Necessary

GOVERNMENT INTERFERENCE IN RAISING LOAN Per Press Association. NEW PLYMOUTH, Last Night. ”1 am satisfied we are paying a half per cent, more for the new loan than we would have had to had we had a free hand to make our own arrangements,” said the chairman of the New Plymouth Harbour Board (Mr. C. E. Bellringer) when reporting on the completion of the renewal loan of £325,000 in connection with the redemption of two loans that fell due iu London on May I, 1939. More than 18 mouths was necessary to make suitable arrangements for the repayment of the loans,” said Mr. Bellringer. “ Efforts to raise money in England had failed and an endeavour was made to raise the loan in New Zealand, the board being prepared to pay up to 4J per cent. As the authority of the Loans Board to raise the loan stipulated that the interest rate should be 3i per cent, the board was not permitted to offer a higher rate. After exhausting all other avenues the board raised the loan in Australia at 4$ per cent. “Had wo been allowed to go on the market when we began negotiations i am sure we would have secured the money,” declared Mr. Bellringer.