HOWEY INDUSTRY

Wanganui Chronicle, Volume 79, Issue 227, 27 September 1935, Page 6

HOWEY INDUSTRY

LIQUIDATION OF H.P.A. DEBT STATEMENT BY MINISTER. [ Pei* Press Association. j WELLINGTON, Sept. 26. “lhe affairs uf the Honey Producers’ Association Ltd., which went in r » liquidation, in 1932, have been engaging the attention of the Goveinmc..t tor a considerable time,” said me Minister of Agriculture, Hon. C. E. MacMillan, in a statement to-day. •‘The liquidation of the company was brought about through advances made against consignments of honey, and advertising costs in the United Kingdom incurred by the company’s London agents on behalf of the company largely exceeding the amounts realised on sales. The principal creditor was Messrs. C. and E. Morton Ltd. Owing to the depression and ether factors, the progress of liquidation was retarded, and at July 31 last the net deficiency was £17,527, on which interest was accruing at the rate of 5 per cent, per annum. Negotiations took place, and these left £7400 to be found in order to make up £lO,OOO that C. and E. Morton Ltd. were prepared to accept. The Government, while making it perfectly clear that it was in no way under any obligation to assist in a settlement of the affairs of the Honey Producers - ’ Association Ltd., re cognised that it was desirable in the national interest and in the interests of the honey industry to effect a set ilenient of the overseas indebtedness and enable the New Zealand Honey Export Control Board to obtain possession of the London depot and institute a mo’-e satisfactory marketing system in the United Kingdom. It desired, 100, to safeguard contributories, who were in most cases honey producers in a small way of business, from the hardship that would result from the hastci Ing of the liquidation proceedings. The Government, therefore, has decided to act on the recommendation of the Executive Commission of Agriculture, and advance* to t'*e liquidator 210.000 which would be made available in London for the settlement of Morton Ltd’s claim. The advance will be repaid by the board and liquidator on certain terms. “It is desirable that I should take ihe opportunity of refuting statements that have gained currency among the honey producers to the effect that the Government or the Honey Export Control Board intend* to levy a tax by way of a contribution to the settlement of all beekeepers, whether producing for the local or export market.*’ said the Minister. “The state meats have no foundation ’’