ELECTRIC LIGHT FINANCE

Taranaki Daily News, 13 December 1932, Page 8

ELECTRIC LIGHT FINANCE

REPLY MADE TO CRITICISM. SINKING FUND ALLOWANCES. “With regafd to the letter from the Ratepayers’ Association your committee recommends that with the exception of the portion referring to the electricity department’s sinking funds the letter be received,” stated the report presented last night to the Stratford Borough Council by the finance and electricity committees in reply to the letter from the association. . “It is necessary to refer to the sinking funds because of the statements made regarding the funds applicable to the £16,000 loan and the £25,000 loan, the report continued. “The association quotes the council’s statement: There is never any delay in making sinking fund payments. They are paid on dates certain in each year, and where the rate of interest remains constant the result can be readily calculated. The association goes on to say that the above statement “must be taken as an emphatic statement that the funds were up to the correct amount in all cases as at March 31, 1932. The council repeats the statement quoted above, and emphatically states that the funds were correct at the date mentioned.

“The association makes the statement with regard to the £16,000 loan that, based on an interest return of 5 per cent., the fund as at 31/3/32 is £215 short, whereas as a matter of fact, based on a 5 per cent, interest return, it shows a surplus of £31 —an error on the part of the association of £246.

“In connection with the £25,000 loan the association states that on the same interest return the sinking fund of this loan is £2BO short, whereas on a 5 per cent, interest return it. shows a surplus of £l2—-another error on the association’s part of £292. Thus the total errors with regard to sinking funds are £538. “The surpluses shown are due to the fact that for the past six years up. to 31/3/32, with the exception of a portion of the 1931-32 period when the rate was 4J per cent., the rate of .interest earned has been. 5J per cent. These funds have not at any time earned more than 5J per cent, interest nothwithstanding the association’s assertion to the contrary. “The association’s statement regarding the £25,090 loan that the sinking fund shows a surplus of £1 is correct. “With regard to the £16,000 loan the association has apparently allowed for a full 12 months’ interest on the fund from October, 1931, to March, 1932, whereas, only six months’ interest should be allowed—error £B6. It has also added a sixteenth payment Which was not due till October, 1932—£160. £246. “The same course has been taken with the £25,000 loan. Twelve months’ interest has been allowed from September, 1931, to March, 1932, instead of seven months.—Error £42. An eighth payment has been added which was not due till September, 1932—£250; £292; total errors, £538.

“The figures submitted to the council by the committee shown below and which agree with the Public Trustee’s administration of the fund, prove, the unreliability of Jhe association’s criticism of the council’s administration.” A full statement of the position of the loans was appended. The Mayor’s motion that the recommendations be adopted was carried unanimously.' At a previous meeting, Mr. Thomson said, it was decided that correspondence on the matter be discontinued and a reply would not have been drafted in that case had it not been for a gross error made by the association that might have misled the ratepayers.

PERSONAL ITEMS. A number of settlers recently assembled at the residence of Mr. and Mrs. Paterson to. give them a welcome to the valley with the accompaniment of a tin-can band. The party, afterwards adjourned to the hall, where a pleasant social evening was held. Mr. P. R. Brown proposed the health of the couple and the toast was accorded musical honours. Mr. Paterson replied. Mr. F. Silver proposed the health of the parents and Mr. F. Reardon and Mr. Paterson senr. replied. • Dancing and songs were then the order of the evening. i i GENERAL ITEMS. “The cutting of noxious weeds in the borough is progressing slowly but there is a marked improvement over other years,” said the inspector (Mr. A. E. Sayers) in his report to the Stratford Borough Council last night. There is a stray cow in Warwick Road to which nobody has laid claim and for which nobody .will take responsibility. It has been offered to several people to take away but the offer has been declined. These facts were placed before the Stratford Borough Council last night by the inspector (Mr. A. E. Sayers), who asked for a direction in the. matter. Mr. Sayers said the cow was crippled, but if it were destroyed somebody might claim against the council for its value. Cr. W. B. Fletcher said no such claim could be made, and it was decided to destroy the animal. License fees collected by the Stratford Borough Council for the third quarter of the year were: Heavy traffic fees, £l2O 14s; vehicles, £3 10s; dangerous goods, £4; kerbside pumps, £lB 15s; under health (ice cream), £4 15s; itinerant traders, £5; sundries, 6s; total, £157. The cake competition held by the Stratford Girl Guides was won by Mrs. Kilpatrick, Stratford. Donations for the visit ofi Santa Claus from the following are acknowledged by the headmaster of the Stratford primary school: E. Beale, S. R. Hill, W. Mumby, J. Martin, M. Masford, “P.A.” C. Atkinson, O. F. Peick, A. Bake, E. Brieseman, J. Rogers, E. Wisnewski, L. B. Vincent, M- Summerfield, C. Fredric, S. Wunsch, K. Watson, B. Stokes, K. Morgan, “A Girl,” “Anon,” “Anon,” W. Hovind, Audrey Jones, G. Erickson, S. Pitt, P. and B. Hardie, J. and M. Rogers, D. Henry, “A Friend,” R. and T. Rogers, R. and V. Davis, F. Craig, “M.A.C.,” O. Jones, E. D. Cummins, S. Clark, Mrs. Caskey, Mrs. Hucker, A. K. Ewing, S. Hartnell, D. Harkness and G. C. Hall.

The Eltham Progress Committee has completed arrangements for the children’s annual Christmas Eve entertainment. About 1500 toys have been purchased by the committee and arrangements have been made'for a free picture and matinee, commencing at 1.30 o clock on Saturday, December 24. Immediately after the pictures the toys will be distributed by Father Christmas. ADVERTISERS’ ANNOUNCEMENTS.

The annual Christmas euchre part will be held in the Eltham Parish Hall next Friday, when •tVzeive good-prizes will be offered.