PUBLIC TRUST OFFICE (REPORT RELATING TO THE),

Appendix to the Journals of the House of Representatives, 1916 Session I, B-09

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1916. NEW ZEALAND

PUBLIC TRUST OFFICE (REPORT RELATING TO THE),

Presented to both Houses of the General Assembly in accordance with Section 47 of the Public Trust Office Amendment Act, 1913.

REPORT. Pursuant to section 47 of the Public Trust Office Amendment Act, 1913, I have the honour to lay before Parliament the following report of the operations of the Public Trust Office during the financial year ended the 31st March, 1916. 1. The growth of the business is shown by the following table, which covers the past seven years : —

2. The smallness of the increase in the value of estates and the actual decrease in the capital funds for the year are due to the fact that the Public Service Superannuation Fund, totalling £769,695, was withdrawn from the Office on the Ist January, 1916, and placed under the separate administration of the Public Service Superannuation Board. 3. The total number of wills of living persons deposited is 14,732, and of these 3,700 were deposited during the year under review. This is a very striking proof not only of the expansion of the business, but of the confidence of the public in the Office administration. As shown by the foregoing table, the total number of estates in the Office is 10,898. 4. The net profits for the year are £46,108, the highest in the history of the Office ; and in order that the estates may share in them I propose to introduce legislation providing that the yearly surplus net profits over £20,000 may be distributed as a bonus amongst all the estates in the common fund. Having regard to the value of the estates (over thirteen millions and a half) and to the amount of capital funds in the common fund (over seven millions), it is only business prudence that a substantial portion of the yearly profits should be accumulated as a reserve. £20,000 a year is, I think, a reasonable sum to treat in this way, and as the Office is not a profitmaking concern the surplus may with safety be distributed as a bonus. By this method the estates administered by the Office will share in its prosperity, in addition to having the safety of the State guarantee.

Year ended l Number Number N " m f ber Nu ™?' eI Value of 31st March, i ,,? n I . t> • i r> . w * * Estates. posited durv* Staff. Receipts. Payments. Estates. ; £ the Year^ £ 1910 .. 112 25,823, 49,613 5,564 7,358,947 844 1911 .. 138 30,401 i 54,789 6,112 j 8,112,342 j 993 1912 .. 160 41,159 62,280 6,694 9,493,959 | 1,024 1913 .. 182 40,843 65,790 8,496 11,268,311 1,035 1914 .. 206 45,362 68,406 9,223 12,282,883: 1,047 19*15 .. 237 54,633 77,132 9,989 I 13,580,936 1,572 1916 .. 278 56,612 84,968 10,898 13,598,744 3,700 ' Capital Funds. £ 3,414,168 4,287,195 5,070,305 5,799,446 6,366,707 7,096,420 7,082,888 Net Profits. £ 11,738 11,241 25,919 27,551 29,222 32,508 46,108

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5. I am pleased to be able to say that the war has not curtailed the advances made or increased the rate of interest charged. The total amount advanced during the year was £1,068,232, of which £143,264 was to local bodies, and the interest-rate, which was fixed more than twelve months before the outbreak of the war, has remained the same—viz., 5J per cent, to local bodies and 5J per cent, in other cases. 6. I have made special provisions for placing the services of the Office at the disposal of soldiers. A member of the legal staff has attended regularly at the camp to prepare wills free of cost. The Public Trustee acts as attorney or agent for men who enlist, and the charge is nominal. The estates of deceased soldiers are administered at specially reduced rates. In short, I have directed the Office to do everything in its power to protect the financial interests of the men, and it is with very great pleasure that I recognize the heartiness with which the staff has co-operated. 7. The staff has been very hard-pressed during this year. The business has grown steadily, and apart from the normal increase a very great deal of extra work has been imposed by the war in dealing with the estates of soldiers and the business concerns of enemy traders. Moreover, fifty members have gone to the front, and twenty-eight have enlisted and will go in due course. It is with great pleasure that I recognize the zeal shown by those who remain in coping with the work under these difficulties. 8. The Office accounts for the year will be laid before Parliament in due course. J. G. Ward, Minister of Finance.

Approximate Gnat of Paper, —Preparation, not ; i>riuting (3,250 copiuio, 69 15s.

Authority : Marcus F. Marks, Government Printer, Wellington.— l9l6.

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