(Enclosure in the above.)

New Zealander, Volume 4, Issue 302, 21 April 1849, Page 2 (Supplement)

(Enclosure in the above.)

5, Bolton Street, Piccadilly, June 6, 1848. Sir,— The Ordinance for the establishment of Savings Banks in New Zealand appears to me to be founded on the statutes provided in this country respecting these institutions; but at the same time there are some provisions which appear to be ia some degree objectional. With respect to the officers and their appointment) the Governor is the President and has the nomination of the Trustees, who appoint the clerk and other officers, snbjectto the Governor's approval, so that, in fact, the depositors would have a right to consider the institution as a Government one, and in case of deficiency or embezzlement, would naturally look to have any such loss made good at the expense of the colony ; not so ia this country. I think greater publicity should be given to the balance sheet than the mere publication in the Government Gazette. In England every depositor is intitled to a copy. It appears to me that there should be sonic limit to the investment by persons of the native race, for though tlio excess mentioned in sec. 19 does not bear interest, the withdrawal might cause embarrassment, particularly considering the mode of investment of deposits. A claube similar to sec. 26 was repealed by the English Savings Bank Act, 9 Geo. IV., c. 92, being considered very objectional, as well as difficult in its operations to cairy out, at the same time opening the door for disputes on the part of the depositors as to the amount of salaries, charges, &c. The Guarantee Loan Fund on the part of the Gnv. eminent is not to exceed £1000 at a time, by sec. 27, and in my opinion the amount of money authorised to be lent on mortgage by sec. 35 should be Hunted to the snmt amouut. The modes of investment provided in seo. 34 and 35 appear to me objectionable. Ido not know how the tl one-thud of the entire funds," mentioned in section 35, is to be ascertained. The security to be given by " the bank or bunks," on the deposit by Trustees is not mentioned in sec. 36. AVith respect to deposits by infants allowed in sec. 28, it would, I think, be advisable to fix some age, say 14, at which the receipt should be taken, which would prevent the attempts continually made by a parent to invest his own money in the names of his children to increase the amount of his own investments. (Signed) Edward Tidd Pratt.