RIGHTS OF MORTGAGOR

Poverty Bay Herald, Volume LXII, Issue 18761, 18 July 1935, Page 15

RIGHTS OF MORTGAGOR

PLEA MADE FOR EQUITY SHARING IN LOSSES LAW AMENDMENT SOUGHT (Per Press Association.) WELLINGTON, this day. The following remit sent forward by the combined conference held recently at■ Pnlinorst'on North came before the New Zealand Fa truer.-; ’ Union confercm— to-day: “As the provisions of tiic Mortgage Corporation and Mortgagors Finai Adjustment Ac! are inadequate to restore financial solvency to the primary producing industry in New Zealand the conference unites with other provinces to work wholeheartedly for a restoration of purchasing power and the further consideration of the nationalisation of internal currency and credit.” Moved by tiic Wairarapa delegates, it was..stated to be an amendment to the guaranteed price remit submittedto the combined conference at Palmerston North. The remit was carried by 39 votes to 19. Mr 11. O. Mellsop (Auckland) moved the remit: “As the Rural Mortgagors Final Adjustment Act is to he operated we are strongly of the opinion that the mortgagor’s right I® an equity should he established. We urge amendment of the law to provide 1 hat mortgagors generally shall he entitled, as of right., to a definite percentage of their investment in it property by way of deposit paid, the .principal paid off, or improvements made. Since it is generally admitted that? the present, difficulties arc occasioned by circumstances outside the control of either party- we consider the 'mortgagor’s equity should be fixed on a basis representing a fair pro rata sharing of loss wit'll the mortgagee.” Seconding the remit, Mr W. A. Shent (South Taranaki) thought, they should press for an alteration of the law before the final adjustments were made in live years’ time, so that when the period arrived there would be definite, provision in the Statute Book under which a mortgagor would have the right to some consideration for the am,ount. of his investment in a property. Air W. .). Poison, M.P.. defended the legislation as it existed, and Aft- J. Mulh.olland (Canterbury) took the view that it was not. advisable to put the remit through, but; rather to make arrangements for someone to be responsible for watching the operatipn of legislation. Mr Moore (North Auckland) thought Hie issue was simply justice versus the business rights of a creditor. Plain justice, he submitted, demanded that, the loss should lie shared by the par-, ties. After further discussion the remit was carried.

INTEREST IN SOLDIERS (Por Press Association.) WELLINGTON, this day. The Farmers’ Union conference decided to-day to enter an emphatic protest- against handing over soldiers’ mortgages to the Mortgage Corporation instead of maintaining direct State control. A sub-committee was appointed to work in conjunction with the Now Zealand R.S.A. headquarters in the matter.