CROWN LEASEHOLD LANDS

Otago Daily Times, Issue 14595, 6 August 1909, Page 2

CROWN LEASEHOLD LANDS

FREQUENCY OF TRANSFERS. (1 J EB UkITBD i'IiESS ASSOCIATION.) CHRISTCHURCH, August 5. At. tlio Land Board meeting to-day Mr Flanagan. (Commissioner of Drown Lands) drew aiik-iition to llio fact that live different sciLtleraatKoeewi.il wished to transfer their holdings. He regarded the fact asflijjnilioinl and worthy of comment, Wliat the nature o[ the unrest in S u ,...ii Canterbury was he did not care to say, but' he had a shrewd suspicion. It could not be that the land was of no value, because the consideration in some cases was as high as £5000. The board had no desire to stop transfers, but he thought there was _ a duty imposed on the board of inquiring into these matters before letting them go, through. There were as great facilities for land speculation in the transfer 1 of Crown leaseholds as in the case of private ownership, and the duty devolved on the board of subjecting- every case to the closest scrutiny, because the successful administration of" the Crown estate depended on the action of the board. The unimproved -value of some of these properties had risen up to from 50 to 60 per cent. The settlers were quite satisfied with the holdings, which were quite payable, but when they could obtain a consideration of about £1000 for selling out -they could not overcome the temptation to do so. There were two effects. The man coming in was saddled with a higher rental than the man going out, and if ha was not. financially sound the board had trouble in recovering the rents, and even if it did so the tendency was not to give the land that fair play that was justifiable. It was only human nature, especially if a commksiou'agent, was prowling ,round, foi a man to sell'out if he could get £800 or £1000 for the goodwill. Some of those who sold out also went round swelling llhe chorus of those who were continually telling the Government there was no land for settlement. The ballot system had been designed for the purpose of releasing men of Email means from the necessity, of' going to public auction to acquire land, and" the object was to put him on a property at a fair fixed rental. The operation of the transfer, if not checked, would be to enable that man to sell out at a verv high consideration, and thereby defeat the very objects which the Government had in view. The ballot system was the subject of a great deal of hostile criticism, and this would be justified if the man who got on the land without public competition was enabled to sell out at a figure.' He was in no sense entitled to that goodwill. The conclusion he had come to was that the board would have to be very watchful, and more watchful than ever, when land was getting scarce, in seeing that every transfer granted was justified by the fact. He did not suppose that the board had any objection to passing bona fide transfers" but he objected to Crown lessees making down leaseholds the subject of speculation. If one man sold out there was a temptation to others to do so. That ho believed was the cause of the unrest in South Canterbury. The board agreed with the commissioner, and the applications for transfers were held over for inquiry. Mr J. Gibson said" that ho agreed very largely with what i'uo commissioner had sail, and the point raised was -worthy of being very seriously dealt with. The board required to act very carefully in each case, and ascertain the reason for the transfers. He quite agreed with tho commissioner in regard to speculation, which seemed to be a growing thing. Men were taking up Crown sections and holding them with the distinct view of selling again. If there was a good reason for leasees wishing to sell, the board would be perfectly right in giving them the opportunity, but if it'was a case of speculation it was right against the spirit of the act. , Mr Scaly thought, that the lessee who sold out for speculative purposes should be prohibited from takinp; part in a ballot again. The Commissioner said that he was already prohibited for 12 months. Mr Seaiy. That is not long enough. He should be debarred for five years at least from going into competition against men who have never held land. He has ! had kind and has sold at a profit. The Commissioner said that another thing that tho board wanted to exercise care in dealing with transfers was ■ the tendency towards the aggregation of eafatos. He did not think tliat tho board should agree, except under exceptional circumstance.?, to allow a man with a

family of three or four children to go out, and another man holding a section alongside the one subject to the transfer to come in. The settlements wcro ciit tin into holdings of such a size that a man and his family could make n living on one. The tendency was towards aggregation, and it sometimes took place in spite of the board. Mr Gibson said that come settlements had been cut up into section which wero not large enough for a man to make a living on. The board would have to use discretion. The Commissioner: Every case should be taken on' its merits. If this becomes publicly known it will be a hint to those who have a tendency towards speculation that they are not goinir to get any consideration from the board. I recommend that these five applications be held over till next meeting, tmel in the meantime I will havo searching inquiries made.