LOCAL BODY LOANS
PROVISION RESENTED OPTIONAD REDEMPTION (Per Press Association.) DUNEDIN, this day. Tito opinion that .Stock Exchanges should enter a strong protest was expressed by Mr. Harman Reeves, chairman of the Dunedin exchange, in discussing some features of the. conversion of loyal body debentures. lie, referred particularly to the option given to local bodies, where debentures became payable after 1940, to make the new debenture payable on any date thereafter by giving the holder six tyiouths’ notice. Ho stated tluit tins invoiced a distinct injustice to long-dated debenture holders, for if any local body availed itself of this option, including the same as a provision in the new debenture, devaluation as a Stock Exchange security would immediately follow, to the detriment of the holder. Mr. Reeves stated that the Dunedin City Council, when the injustice war, pointed out, had immediately eliminated the optional clause and fixed the maturity date for all loans, hut there were other public bodies who were not meeting lenders in the same fair way.
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Bibliographic details
Poverty Bay Herald, Volume LXI, Issue 18528, 15 October 1934, Page 11
Word Count
169LOCAL BODY LOANS Poverty Bay Herald, Volume LXI, Issue 18528, 15 October 1934, Page 11
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