IN DOMINION MONEY

Taranaki Daily News, 24 December 1935, Page 11

IN DOMINION MONEY

PAYMENT OF LONDON INTEREST. LEGAL ACTION FACILITATED. By Telegraph—Press Association. Auckland, Dec. 21; On the recommendations of its overseas committee the Transport Board at a special meeting this morning unanimously resolved: “That in view of the opinion submitted by the board’s solicitor steps be taken to obtain an authoritative decision on the question whether interest, in London on the 5 per cent, or 5J per cent, portion.of the Auckland City transport loan of £1,250,000 is payable in the equivalent value of New Zealand currency, and to this end future payments of interest in London be tendered in that equivalent, and debentureholders be advised that the board will facilitate judicial proceedings should de-benture-holders wish it, including an appeal to the Privy Council. “Further, the City Council, as a nominal party to the, contract, be requested to tender such payment and advise de-benture-Bblders accordingly.’’ To this resolution two clauses were added, one providing that the £7OOO difference between payment in New Zealand currency and payment in sterling be placed in a suspense account pending legal action, and another that the facts be placed before the Minister of Finance. In moving the adoption of the report the chairman, Mr. H. G. R. Mason, said payment of interest due on January 1 Would be made in, New Zealand currency.