DEFUNCT RIVER BOARD

Taranaki Daily News, 28 April 1931, Page 7

DEFUNCT RIVER BOARD

WAIKATO LIABILITIES.

GOVERNMENT GRANT REFUSED. No assistance will be. given by the Government toward meeting the liabilities of the defunct Waikato River Board. An urgent question on the subject was asked in the House of Representatives by Mr. J. N. Massey (Reform —Franklin), who recalled that last session numerous petitions had been presented asking for the payment of a Government grant in respect of the board’s indebtedness. The A to L Petition.; Committee had referred the petitions to the Government for favourable consideration and had recommended that an attempt should be made to settle the question entirely on the basis of a total payment of £6060, of which the Government should find £2500 and the local bodies the balance, but that the Government should pay its quota only when the other parties had agreed. “‘Seeing that the principal creditor, the Australian Mutual Provident Society, has issued a writ against the Franklin, Waikato and Raglan County Councils,” said Mr. Massey, “I desire to know whether the Government will give effect to tlie recommendations of the committee.”

The Prime Minister said the recommendation had received consideration, but the Government was unable to agree to the grant being made. The facts of the ease had been very carefully reviewed and in Iris opinion it should be possible to re-establish the original classification of the rating area with a reasonable degree of accuracy, in which ease rales could be levied in accordance with the law by local authorities now having control of the area. That re-establish-ment was primarily the concern of the local bodies.

“It is considered that there is no apparent reason why the ratepayers of the district should not shoulder their liabilities for loans raised by the River Board, which was constituted at the request of the ratepayers,” added Mr. Forbes. “If any assistance were granted tb.e adoption of such a principle would give rise to other claims, which would be an embarrassment to the finances o! any Government. Moreover, apart from general principle, the present position of the country’s finances is such that no assistance can be provided.”