RAISING OF LOANS

New Zealand Herald, Volume LXIX, Issue 21359, 7 December 1932, Page 13

RAISING OF LOANS

SIMPLIFYING PROCEDURE A CONSOLIDATING MEASURE CONVERSION OF SECURITIES [Br TELEGRAPH —SPECIAL REPOIITEIt] WELLING TON, Tuesday Various amendments, the object of which is to simplify the procedure concerning the raising of Government loans, are included in the New Zealand Loans Bill, mainly a consolidating measure, which was introduced in the House today. The bill consolidates and amends the New Zealand Loans Act, 1908, the British Investors' Eights Act, 1908, and the New Zealand Inscribed Stock Act, 1917. Certain provisions of the enactments consolidated have been omitted as being no longer required, or as having been superseded by later provisions, and alterations have been made in the form and arrangements of other provisions for the sako of convenience and clearness, and in order to safeguard the interests of investors.

The omissions and alterations, it is stated, will not in any way prejudice the holders of existing securities or of securities issued in future by the Government, or remove any proper safeguards upon tho exercise of the powers conferred on the Minister of Finance.

Authority for Issue One new provision states that all debentures, scrip and Treasury bills issued under the bill shall bear on their face, as authority for their issue, the words "issued under the New Zealand Loans Act, 1932," and it shall not be necessary to cite any other authority. It is explained that this provision will enable forms of securities to bo simplified by omitting details with which investors are not concerned.

There is a similar provision in a later clause aiming at the simplification of tho recording of entries in the public accounts in respect of loan transactions and tho issue of securities.

The bill confers more clastic powers upon the Minister of Finance for effecting the conversion of securities, charged tilion public revenues of the Dominion, into new securities, and in addition tho Minister is given power to pay a premium or bonus of such an amount as may bo deemed necessary to effect conversion. Trustees and other persons acting in a fiduciary capacity are expressly authorised under this section to convert any securities held by them, and they shall not be held liable for any loss resulting from the conversion.

Appointing Assistant Kegistrars The Secretary of the Treasury holds the office of Registrar of Stock. A new clause permits of the appointment of other Treasury officers as assistant registrars, who shall have the powers, duties and functions of the registrar, subject to the hitter's control. Part of tho duties of the registrar is to issue warrants for the payment of interest on Inscribed Stock. The provision i s extended so as to apply to interest warrants the provisions of tho Bills of Exchange Act relating to crossed cheques, and to afford to all persons paying such warrants the same protection as bankers have in paying cheques. Another clause provides that at the request of the holder of any security charged upon the public revenues of New Zealand, the Minister of Finance may agree to a change in the place for the payment of principal or interest on any loan money. Payment may bo made outside of New Zealand. Such changes already made are validated.

HOSPITAL SYSTEM BILL BEFORE COUNCIL I SECOND READING DEBATE [BY TELEGRAPH —PRESS ASSOCIATION] WELLING TON. Tuesday The Hospitals and Charitable Institutions Amendment Bill was considered at the second reading stage by the Legislative Council to-day. The Leader. Sir James Parr, said tho measure provided for the amalgamation of hospital districts by Order-in-Council on the recommendation of a commission. At present, amalgamation could be brought about only voluntarily. , The bill was approved by the Hospital Boards' Association, and the idea was to coordinate services in order to eliminate waste and promote efficiency. Sir Thomas Sidey (Otago) said the bill was a confession on the part of all Governments that they were unable to resist political pressure. Jn spite of expert opinion, the number of hospital districts had been increased and the efficiency of tho service had suffered.

The Hon. W. H. Mclntyre (Nelson) said the proposals of the National Expenditure Commission in regard to hospital control had been bureaucratic, but (here were safeguards in the present bill against possible injustices, and he congratulated the Government on bringing it down

The Hon. M. Fagan (Westland) said lie hoped tho Government would see its way to provide under the bill for the limitation of the hours of duty of probationer nurses in private hospitals. The bill was read a second time.