STEADY GROWTH

Wanganui Chronicle, Volume 71, Issue 220, 17 September 1928, Page 9

STEADY GROWTH

PUBLIC TRUST OFFICE A further steady and continuous expansion in all departments is recorded in the annual report of the Public Trust Office. New business reported for the year constitutes a record. During the year 3526 new estates of a total value of £6,511,928. were accepted for administration, as compared with 3581 estates of a value of £5,510,196 accepted during the year precaring. This is thc first occasion upon which the new business for any one year has exceeded £6,000,000. Thu value of the estates and funds under adm nibi ration on March 31, 1928, was £44,155.548, the corresponding figure for the previous year being £41,043, 523. Thc total revenue during the year amountad, to £275.544, a slight increase over that for the year preceding; whilst the expenditure, exclusive of salaries and depreciation, showed an increase of less than £2OO over that for the previous year des pile thc considerable increase in the vo urnc cf business conducted-, in\ fsi merits, which last year stood a! £26,179,886, have now reached a total of £28,465,963. The volume of investments during the year has been heavy, and exclusive of those on behalf of estates, the funds of which do not form part of the common fund, amounted to £3,065,524. Apart from thc new money invested renewals of existing mortgages were granted to the extent of £1,714.012. The amount dealt with during the year cither by way of renewal of loans on mortgage or grants of new loans on mortgage was thus £4,789,136. The total loans approved under thc instalment system during the year amounted to £1,397,145, while, including the amounts granted on renewal of existing mortgages, the total sum dea t with during the year was £2 i "6,678.

Additional wills, numbering 5789, were deposited by testators with the Public Tru-tee for safe custody. The number now on deposit is 58,065 —an increase of 4534 over thc number held as at March 31, 1927. Thc difference between thc number deposited and the increase in thc total held is. of course, represented by wills withdrawn through the death of testators or for other reasons. It is estimated that wills on deposit represent prospective business of over £230,000,000, and this in itself assures the future of the office.

Discussing the question of the State and trusteeship, the Public Trustee (Mr J. AV. Macdonald), in his report, says” State intervention is justified in cases where the action of self-interest and competition does not sufficiently protect the individuals, as, for examp'e, where the individuals, though knowing their interests, are not sufficiently strong to enforce them, or where the individual is under a disability as in the case of children or mental defectives. Beneficiaries and other interested parties are often ignorant of their rights, or. by reason of disability, such as tender age, old age, or inexperience, arc quite incapable of a-sorting them. From its very nature, then, in what fle d of human activity is there greater scope for betrayal, loss, or default than in fiduciary work! Here competition and self-interest must frequently fail as safeguards. So far as I can see there arc inherent in trusteeship no qualities rendering it an activity which it would be undesirab’e to conduct under Government auspices. The need for a State official to conduct administration and trustee duties has been widely felt in many countries throughout the world. The idea of such an official is not a new ont. An official trustee has existed in India since 1843. Thc Public Trustee of New Zea’and was established in 1872, and in 1880 a similar official was sot up in South Australia. Since then the system has spread to other parts of the Empire. The most notable example is that of the English Public Trust Office, which was created by the Public Trustee Act, .1906 and commenced to function on* January 1, IL OS.