“GOOD HUSBANDRY”

Otago Daily Times, Issue 26782, 27 May 1948, Page 6

“GOOD HUSBANDRY”

CLAUSE TO BE ENFORCED REHABILITATION LOANS p.A. WELLINGTON, May 26. The “good husbandry” covenant in rehabilitation farm loan mortgages will be enforced where it is considered necessary. This was decided at the monthly meeting of the Rehabilitation Board. The board was considering a case where an ex-serviceman farmer who had been placed on his farm with rehabilitation finance had, it was alleged, allowed his property »to deteriorate considerably without taking reasonable steps to prevent or rectify such deterioration. “We should give our views on this the fullest publicity,” said the Minister of Rehabilitation, Mr Skinner. “ When we place a man on the land we do not want to find ourselves with another settlement job later on. We must also insist that security is maintained. Deterioration in the productivity of the land can certainly not be ignored.” ' Evidence of what could happen when “good husbandry” clauses in mortgages were not enforced was available in many districts throughout New Zealand where production worth millions of pounds had been lost and valuable assets, both private and Crown, had as a result been wasted, he said. This had been brought about by many causes, including inefficient farming and over-capitalisation. Such a situation must never be allowed with properties on which ex-servicemen had been established. “ Farmers must ensure that, no matter what the tenure, whether leasehold or freehold and whether mortgaged or unencumbered, land should be properly farmed,” said Mr Skinner. “ The stage is being reached where public opinion and that of the farming community in particular will compel us to take action where good husbandry is not being observed—and the sooner this happens the better.”