TAIERI RIVER TRUST.

Otago Witness, Issue 3995, 7 October 1930, Page 67

TAIERI RIVER TRUST.

COST OF DRAINAGE SYSTEM.

WELLINGTON, October 3. The interests of ratepayers under the operation of the Taieri River Trust have been seriously jeopardised by recent developments, it was reported on September 22 that following representations made on behalf of the trust by Mr A. E. Ansell (Reform member for Cnalmers) Cabinet had decided not to proceed either with legislation amending the constitution of the board or with the enforcing ot the payment in a lump sum of £76,000. On September 22 Air Ansell received from the Minister of Public Works a letter in which it was stated: “ I resubmitted the proposed Bill to Cabinet and Cabinet, has decided that it is to stand over for this session pending further investigations into the whole matter.” The Treasury officials then pressed for immediate legislation requiring the Taieri River Trust to nav forthwith the £76,000

In an interview to-uay Mr Ansell stated that he had been officially informed that legislation as suggested by the Treasury was contemplated. He had again protested against the proposal as being a violation of the Finance Act, 1924 which, in his opinion, definitely gives to the Trust the option of repaying its share of the costs of the drainage system (£76,000) over a term not exceeding 36$ years, with interest at the rate of 5 per cent. On Thursday he had a conference with the Acting Prime Minister (Mr E. A. Ransom) and Mr A. D. Park, secretary to the Treasury, on the matter, and as a result the opinion of the Crown law solicitor was obtained as to whether under the Act the option belonged to the Trust. That the Trust was the sole possessor of the option is disputed by the Treasury. As a result of an opinion by the Crown law office, Air Ansell’s contention as to the interpretation of the Act has been upheld, and the trust is now being communicated with to that effect. It is clear that had it not been for the strenuous opposition raised by Mr Ansell the trust would have had on a difficult financial market, to raise £76,000 immediately. This represents the saving of many’ thousands of pounds to residents of the Taieri district