BUILDING SOCIETY

New Zealand Herald, Volume LXXVI, Issue 23488, 27 October 1939, Page 13

BUILDING SOCIETY

j PROGRESS OF NORTHERN 1 ALL RECORDS SURPASSED ORGANISATION OF THRIFT CONFIDENCE IN THE FUTURE ! A year of further records was reviewed by Mr. J. A. Waniock, chairman of directors of the Northern Co- | operative Terminating Building Society, | nt the annual meeting last night. "It has been my privilege to speak | year after year of rapidly expanding I business and to tell of now records, but I think you will agree with me | when I say that our figures for 1939 far surpass anything accomplished bei fore," said Mr. Warnock in moving | the adoption of the annual report and accounts. "I can, with confidence, say this also, that the record business done this year is not duo to abnormal circumstances; but is the legitimate outcome (if the progressive policy and spirit of enterprise planned and pursued by the society. "Furthermore, wo can take pride in i tho fact that the work of our society is of national importance and benefit, | in that it organises tho savings of I many thousands of individuals on the | nno hand and at the same time organi isPs ways and means of using that I thrift in providing homes, on the other I hand. Thus the society provides a ! direct object for thrift, which in itself ( is desirable. ij Strength to race Future j "Just at the close of our financial year under review the European crisis j occurred and war was declared. Any s lengthy comment on the outbreak of | war and its possible economic effects 1 j is unnecessary here; but tho existing £ j state of war of our Empire, and particularly our own country, makes it impossible to forecast future results. We can, however, look back with satisfaction on tho past year and look forward with confidence in tho strength and stability of the society. "In moving the adoption of the annual report and accounts for the year ended .August 31, i 1939, I can congratulate tho members of our society on the sound financial position disclosed and the further substantial progress made. Under the circumstances it is a pleasant duty for me to briefly review tho results of the past year. "Annual income has increased consistently year by year since tho society's inception, this expansion being again maintained by a record increase of £'31,202. The total income for the year was £201,370, as against £170,168 for tho previous year. Growth of Advances "Cash advances mado to members during the year under review amounted •to £158.422, showing an increase of no less than £32.614 on the total advanced during the previous financial year. Tho advances department of the society provides the machinery through which the ideal of home-ownership is given actuality, and this year's substantial figure, which is the greatest amount advanced by the society in any one year, indicates how it has established itself as one of the country's outstanding institutions in so far as thrift and home-ownership are concorned. The amount advanced during the. -year-was. on first mortgage of carefully selected securities with an adequate margin in each case. The amount could have been. considerably larger had your directors been disposed to take undue risks; but this they have always definitely declined to do, as they look upon .the financial stability lof the society as their first consideration at all times. "It is of considerable interest to note that the total cash advances made by the society since its inception 1(3 years ago now amount to over £1.500,000. Further substantial increases have been recorded in total balances of mortgages and total net accumulated profits, while the_societ.v's total assets'now stand at £776,133 — that is. in excess of the three-quarters of a million mark. Tho increase of £60.620 in total assets is the greatest advance recorded for many years, and our society is now substantially the largest terminating building society in New Zealand and probably in the whole of Australasia. Membership Largely Increased "It is witli much pleasure that 1 am ablo to report a remarkable increase in membership during the past year, tho attractive benefits of the new double size "special groups" having been widely appreciated. Six of these groups, comprising 3000 shares in each and having appropriations of £I2OO, commenced operations during the period, while the seventh group of

this class —No. 36 —is now filling rapidly. In this way the ability of the Northern to assist .in the housing of the people of this country, is being expanded and extended far'afield. The building society movement is one of the most valuable contributions to progress in the modern world, and in this connection T would like to quote a recent statement, published in the Statist by the lU. Flon. Walter Elliot, Minister of Health in the British Cabinet, as follows:—'The building society movement has indeed gone far to create a development of modern times which is nothing short of a social revolution, and which is bound to bring lasting benefit to the health and welfare of the community for generations to come.' , "f now have much pleasure in moving the adoption of the annual report and accounts as circulated to the uicnihers and in doing so f would state that as a result, of our policy of 'Killerprise without rashness and caution "without stagnation/ wo can review the past with satisfaction and confront I the future with justifiable hope." I Financing 2400 Homes Seconding the adoption of the annual report and accounts, the dcputv-rhair. man, Mr. A. C. Lunn. said the' among members that tliev had scciritv was shown by the fact that thev had entrusted to the society during the 10 years or its existence sums amountin-r to over £900,000. The average amount of advance made durinf the vear ended in August was £T). r )fj. That represented the building or financing of over 2100 homes, Mr. Lnnn said, and that n:nnb»r would have been much greater if it had not been for the incursion of the Government into the field. "Over 'ISOO members have been added during the year," lie concluded, "and I have not the least doubt that in spite of the war we shall go from success to success." The retiring directors, Messrs. Wartiock and 11. O. Savage, were re-elected unopposed. Thanking the meeting on behalf of himself and Mr. Warnock. Mr. Savage said lie was delighted to be associated with a building society which, he said, must be one of the finest, if not the finest in the Southern Hemisphere. Messrs. Tlieo J. Spry. Sweetcv and Company were reappointed shareholders' auditors. Military Service Recognised Resolutions expressing the members' absolute confidence in the work of the directors and their thanks to the secretarial and office stalf were proposed by Mr. D. L. Bone and carried by acclamation. Mr. Rone said a survey of the annual report showed that the year was a record one in every phase of the

society's activities. That had been achieved as tlie result of the hard and conscientious work of the directorate and staff.

.Mr. 0. Winstone replied to the vote of confidence in the directors, and Mr. H. 1). -Matthews, secretary, expressed the thanks of the staff for the tribute to their efficiency.

All addition to the rules of the society to permit members who have undertaken service with the military forces to continue to participate in ballots without the payment of share subscriptions was ratified at a special meeting which followed the annual meeting. The suspension of subscriptions without the payment of fines or interest also was provided. Several other rules also were altered.

After the meeting appropriations totalling £28,100 were made. —P.J3.A.