HARBOUR BOARD LOAN

Otago Daily Times, Issue 23858, 12 July 1939, Page 5

HARBOUR BOARD LOAN

COMPENSATION FOR LOSS SUFFERED QUESTION IN PARLIAMENT (From Our Parliamentary Reporter) WELLINGTON, July 14. An Inquiry as to what action the Government proposes to take to compensate the New Plymouth Harbour Board for the loss it suffered by having to raise its recent loan in Australia is made by Mr W, J. Poison (Opposition, Stratford) in a question to the Prime Minister (Mr Savage), of which he gave notice in the House of Representatives today. Mr Poison is asking whether, in view of the fact that the Government’s recent refusal to allow the board to raise a loan in New Zealand at a higher rate of interest than 3J per cent, to avoid default in its London loans, thus causing a loss to the board reliably computed at more than £40,000j and whether in view of the further fact that the money could have been raised in the Dominion at a substantially lower rate than the board was compelled to pay in Australia, the Government proposes to take action to compensate the board arid the ratepayers of Taranaki.

“Will the Prime Minister also explain,” Mr Poison is asking, “why, although an Order-in-Council authorising the loan from Australia was effected on February 21, it was not published in the Gazette, and no information on the subject was made available from official sources and will he cause an inquiry to be made into the matter? ”