MORTGAGES EXTENSION

Southland Times, Issue 18623, 22 August 1919, Page 4

MORTGAGES EXTENSION

ACT WILL BE EXTENDED. (Per United Press Association). WELLINGTON, August 21. A deputation, from the Wellington Chamber of Commerce and the Society of Accountants waited on Sir Francis Bell, At-torney-General, recommending a sliding scale under the Mortgages Extension Act, and that mortgagees should have the right to charge a minimum rate of interest of 6 per cent, on mortgages claiming protection. Sir Francis Bell said August 31 was the date fixed for the expiry of the Act. Before that time the Expiring Laws Continuance Act would come into operation and extend it for a year, and during that year the Government would proceed to legislate. His idea was to extend the whole operation of the Act until December 31, 1920. The sliding scale proposal had been carefully considered by himself and he thought that if they would consider it fully they would find that it could be unjust in its operation. He could not give an answer at once to tha provision for charging a penal rate of interest. Replying to a question Sir Francis Bell said that he thought he could agree to the charging of a penal rate in certain circumstances.