DEPARTMENT OF LANDS AND SURVEY. DISCHARGED SOLDIERS SETTLEMENT. REPORT FOR THE YEAR ENDED 31st MARCH, 1926.

Appendix to the Journals of the House of Representatives, 1926 Session I, C-09

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1926. NEW ZEALAND.

DEPARTMENT OF LANDS AND SURVEY. DISCHARGED SOLDIERS SETTLEMENT. REPORT FOR THE YEAR ENDED 31st MARCH, 1926.

Presented to both Houses of the General Assembly pursuant to Section 14 of the Discharged Soldiers Settlement Act, 1915.

CONTENTS. General Report Page Appendix—continued. Page Dominion Revaluation Board (Report of Chairman) 2 Tables—continued. Financial Review .. .. .. .. 8 Table 2. —Statement of Advances authorized .. 17 Lands proclaimed .. .. .. ..11 Table 3. —Statement of Mortgage Transactions 18 Applications received and Lands allotted .. 11 Land for Settlements Account (Discharged Soldiers Settlement Account) — Appendix :— Balance-sheet .. .. .. 20 Reports of Commissioners of Crown Lands .. 12 Transactions for Year .. .. 20 Tables — Discharged Soldiers Settlement Account — Table I.—Total Lands acquired by Discharged Balance-sheet .. .. .. ..21 Soldiers .. .. 17 Transactions for Year .. .. 22

Sir, — Department of Lands and Survey, Wellington, 20th July, 1926. In accordance with the provisions of the Discharged Soldiers Settlement Act, 1915, I have the honour to submit herewith the report of the operations under the Act for the year ended 31st March, 1926. I have, &c., J. B. Thompson, The Hon. A. D. McLeod, Minister of Lands. Under-Secretary.

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REPORT OF THE CHAIRMAN OF THE DOMINION REVALUATION BOARD.

THE DISCHARGED SOLDIERS SETTLEMENT AMENDMENT ACT, 1923. Revaluation of Soldier Farms. The personnel of the JDominion Revaluation Board set up to deal with the revaluation of soldier farms and cognate matters in relation thereto is as follows : Messrs. J. B. Thompson, Under-Secretary for Lands (Chairman) ; R. A. Rodger ; J. Gordon ; and J. H. Richardson, C.M.G. Mr. F. W. Flanagan, the late Valuer-General, retired from the Board in January, 1926, and his place was taken by Mr. T. Brook, his successor in office. As indicated ill. last year's report, the Dominion Revaluation Board had then practically completed its investigation of the matters relegated to it under the Discharged Soldiers Settlement Amendment Act, 1923.. It did not necessarily follow that the original decisions of the Dominion Revaluation Board were a final and satisfactory solution of all the troubles connected with the settlement of soldier settlers on the land. It can be readily understood that in the varied classes of lands dealt with by the Board there were other factors than that of value which vitally affected the operations of the settlers. In the case of settlement lands it was often found that subdivision had been too close, and it was only possible to satisfactorily adjust matters by increasing the area of respective holdings. By making recommendations to the Land Boards quite a number of settlers have been granted additional areas from vacated lands, while others have obtained by transfer the title to adjoining sections. This is not aggregation in the ordinary sense, but special action necessary to place settlers on an economic footing. In certain swamp areas it has been necessary to grant relief from rent until such time as the land consolidated through drainage and became productive. Partially developed bush, pumice, and gum lands have been given special consideration, and the settlers on same have had every encouragement. Settlers on lands infested with blackberry have been given concessions which may be looked on in the light of a subsidy on their personal efforts and expenditure towards keeping this pest in check. Original determinations regarding leasehold values or capital charges have been reviewed in many cases, and, in the light of further reports and information, the Board has varied its former decision and extended such relief as the merits of each case demanded. Shortly stated, the Board has right through its operations endeavoured to size up the possibilities of each holding, and through adjustment of value every settler has been given the chance of making good. The Board has continued its efforts 'in the case of mortgages subsequent to the Crown's. It has endeavoured to have them voluntarily discharged in cases where no equity existed, and whete that course could not be adopted has negotiated for the purchase of same in line with the margin of security. THE DISCHARGED SOLDIERS SETTLEMENT AMENDMENT ACT, 1924. The Dominion Board is now investigating Current Accounts under the provisions of the Discharged Soldiers Settlement Amendment Act, 1924, and it has been very gratifying to the Board to see by this means the effect of its decisions under, the Amendment Act, 1923. It is very evident from the financial position as disclosed in the reports now coming before the Board that the soldier settlers generally have been placed in a position enabling them to make good. The great majority are now in a solvent position, and are meeting their obligations to the Department as they fall due. The opportunity is now being taken of clearing up anomalies that inevitably occur in a work of such magnitude. This Act gives the Board power to write off or to transfer to a Suspense Account any amounts which may be shown as having no equity. That it has been necessary to write off so little (at date 0-66 per cent, only of capital invested) tends to, show how the main operations of the Board have assisted the soldier settler. Practically three-fifths of the Current Accounts have been dealt with, find it is anticipated that the operations of the Dominion Revaluation Board will cease in about five months' time. The whole work of Current Account investigation has been conducted with the help and assistance of the District Land Offices. Standard values were established over the Dominion with regard to dairy herds and stock generally. The stock was appraised throughout on the basis of its utility value as part and parcel of a proposition as a going concern. It was inevitable that the inspections and reports on individual securities would extend right through the year, and it was necessary to introduce " standard values "in order to give equal consideration to all mortgagors. The work of collecting and compiling the reports has proceeded smoothly throughout the year. The reports aim to place before the Board a complete statement of the position of each settler as between himself and the Crown, and through this the Board is able to view the whole position.

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The Dominion Board desires to record its appreciation of the great assistance given by all District Offices in assisting to complete the work of investigation. The recommendations and general information supplied by each office has materially assisted in revealing the necessity for such treatment as is calculated to place each settler on a reasonably sound footing. It is considered that the Government has reason to be satisfied with its efforts on behalf of its soldier settlers, and the Dominion may well be proud of the success of its settlement scheme generally. The men generally are determined to succeed, and there is no reason to doubt the ultimate success of the genuine triers. The schedules here following show the operations of the Board on the various accounts as at the 31st March, 1926. These figures, as compared with the anticipated loss of 50 per cent, on Great Britain's settlement scheme, will show the careful judgment and sound policy embodied in the effective carrying-out of the Dominion's endeavour to successfully repatriate its returned soldiers under unusual and difficult circumstances. The revaluation work has been effected without causing a general breaking-down of legitimate land-values. J. B. .Thompson, Chairman.

Summary of Operations as at 31st March, 1926. Applications for Revaluation. Number of applications for revaluation received .. .. .. .. .. 5,347 Number of cases dealt with and determinations issued by Dominion Revaluation Board .. 5,284 Number of cases not dealt with, due to forfeiture or abandonment .. .. .. 63 The above result is very satisfactory as showing so few settlers having to drop out during practically twelve months subsequent to lodging of applications. Reduction in Land and Grown Mortgage Values. (Subject to necessary adjustments.) £ Reduction in capital value of leaseholds .. .. .. .. .. .. 1,754,207 Reduction in Crown's mortgage (under section 2) .. .. .. .. .. 726,601 Total (subject to adjustment) .. .. .. .. .. £2,480,808 Private Mortgages and Debts. Mortgages and debts of various descriptions owing by soldier settlers to persons other than £ the Crown .. .. .. •• .. .. .. •• .142,378 Reduction obtained in the above by efforts of Dominion Board.. .. . . . . 107,801 Percentage of reduction to original debt, 75-7 per cent. Private Mortgages purchased. £ Original value of mortgages purchased by Crown .. .. .. .. .. 50,700 Price paid by Crown after negotiation .. .. .. .. .. .. 26,296 Discount obtained and which is credited to the settlers .. .. .. .. 24,407 Percentage of discount, 48-1 per cent. An extended schedule gives particulars as at the 31st March for each land district under all headings. Summary of Operations as at 31st March, 1926 (the Close of Financial Year). Total capital invested (comprising capital values of Crown leaseholds, and advances £ under section 2, Discharged Soldiers Settlement Amendment Act, 1917) . . .. 17,998,668 Capital dealt with by Dominion Revaluation Board .. .. .. .. 12,528,835 Reduction in capital by Dominion Revaluation Board .. .. .. .. 2,480,808

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Remissions of Arrears as at 30th June, 1923, granted by Dominion Revaluation Board. £ Remissions of instalment interest .. .. .. .. .. .. .. 35,274 Remissions of rent .. .. .. .. .. .. .. . . 94,139 Total remissions .. .. .. .. .. .. .. £129,413 Postponements of Arrears as at 30th June, 1923, granted by Dominion Revaluation Board. £ Rent, principal, and instalment interest for periods up to ten years .. .. .. 347,605 Instalments to end of mortgage term .. .. .. .. .. .. 125,078 Total postponements . . .. .. .. .. .. £472,683 Remissions of Payments accruing subsequent to 30th June, 1923, granted by Land Boards on Recommendation of Dominion Revaluation Board. £ Remissions of instalment interest .. .. .. .. .. .. . . 41,204 Remissions of rent .. .. .. .. .. . . . . . . 59,895 Total remissions granted by Land Boards .. .. .. . . £101,099 Postponements of Payments accruing subsequent to 30th June, 1923, granted by Land Boards on Recommendation of Dominion Revaluation Board. £ Mortgage instalments .. .. .. .. .. .. .. .. 76,498 Rent .. 41,400 Total postponements granted by Land Boards .. .. .. £117,898 Amounts automatically Written off, due to Reductions being Retrospective to Ist July, 1921, or Date of Title. £ Mortgage instalments .. .. .. .. .. .. .. .. 131,641 Rent, &c. .. .. .. .. .. .. .. .. .. 248,038 £379,679

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Revaluation of Soldiers Farms in Terms of the Discharged Soldiers Settlement Amendment Act, 1923.—Report as at the 31st March, 1926.

Rent, Interest, or Postponements made ta+oi Instalment written off, Remissions granted Tmt.almpnt by Land Board in District. Total Capital Value Seduction o, Capita.. SSS ? KmmeSionof ~ up to Ten Portp^— made under each Heading. back to 1st July, 1921, Dominion Board. lears ' to End of Term. 0 n Recommendation or Date of Title. of Dominion Board. . Discharged Soldiers Settlement Account. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. North Auckland .. .. .. 1,689,300 0 0 109,810 16 8 21,712 12 1 10,180 15 9 13,886 2 8 39,675 12 2 26,547 19 7 19,283 4 0 Auckland .. .. .. .. 1,268,499 0 0 180,812 0 0 26,975 0 0 6,586 0 0 10,294 0 0 33,987 0 0 24,253 0 0 11,740 0 0 Gisborne .. .. .. .. 132,974 0 0 8,657 10 10 2,394 0 6 129 14 0 40 0 0 5,732 0 8 255 12 4 329 2 7 Hawke'sBay .. .. .. 306,582 10 0 17,172 12 11 3,066 14 1 150 0 0 779 6 1 11,821 3 8 7,446 0 2 3,205 10 6 Taranaki .. .. .. .. 858,360 17 2 117,791 12 5 26,832 0 5 4,080 7 10 1,956 16 2 15,332 9 4 11,240 15 0 7,431 10 9 Wellington .. .. .. .. 1,781,002 0 0 140,510 0 0 22,558 15 7 6,458 0 10 1,320 7 0 30,102 4 2 19,943 16 10 3,469 12 8 Marlborough .. .. .. 231,869 16 6 21,777 14 3 5,114 8 11 3,337 19 10 2,825 0 5 5,035 3 2 2,702 18 4 2,938 16 0 Nelson .. .. .. .. 459,768 18 9 70,329 2 9 10,154 19 2 930 10 7 4,617 12.1 15,276 9 11 15,757 15 0 6,904 12 9 Westiand .. .. .. .. 51,631 0 0 6,073 11 5 1,035 18 3 433 19 5 974 5 3 1,039 2 9 3,241 18 11 1,418 19 9 Canterbury .. .. .. .. 1,066,182 0 0 28,987 14 0 4,009 8 3 1,272 14 6 286 11 8 18,882 16 7 6,758 12 0 11,152 16 2 Otago .. .. .. .. 314,108 15 2 9,746 8 11 1,208 16 8 484 4 6 2,377 2 2 4,834 15 6 2,569 1 0 2,893 15 6 Southland .. .. .. .. 432,720 0 0 14,931 8 3 6,579 3 0 1,230 3 9 1,847 7 6 9,979 3 2 4,361 4 0 5,730 5 10 Totals .. .. .. 8,592,998 17 7 726,600 12 5 131,641 16 11 35,274 11 0 41,204 11 0 191,698 1 1 125,078 13 2 76,498 6 6 Land for Settlements Account. North Auckland .. .. .. 179,701 0 0 48,128 8 9 7,746 9 0 1,889 9 6 2,323 5 0 2,465 1 4 i .. 2,104 9 0 Auckland .. .. .. 358,321 0 0 90,011 0 0 15,439 0 0 6,615 0 0 7,430 0 0 13,451 0 0 .. 2,347 0 0 Gisborne .. .. .. .. 37,480 1 5 6,391 3 3 645 5 8 22 17 5 .. 1,256 10 10 .. 352 3 4 Hawke'sBay .. .. .. 221,646 2 6 22,265 0 0 3,737 0 0 4,877 0 0 3,131 0 0 8,760 0 0 .. 882 0 0 Taranaki .. .. .. .. 77,836 19 3 17,820 0 0 2,069 10 0 301 17 0 45 0 0 1,913 5 4 .. 97 13 0 Wellington .. .. .. .. 843,186 0 0 265,771 0 0 46,427 1 5 6,899 14 5 1.802 18 4 19,747 6 7 .. 3,618 4 10 Marlborough .. .. .. 54,151 13 9 600 0 0 1,599 15 0 271 16 0 37 2 6 2,130 0 7 .. 455 17 6 Nelson .. .. .. .. 66,135 16 9 10,140 0 0 1,671 3 4 121 13 1 442 16 5 1,255 11 7 .. 195 13 6 Westiand .. .. .. .. 1,177 13 0 .. .. .. .. 112 5 11 .. 12 10 0 Canterbury .. .. .. .. 816,013 4 4 64,973 10 0 9,456 15 11 6,943 5 4 646 3 10 19,881 13 9 .. 8,496 19 5 Otago .. .. .. .. 218,149 0 0 50,596 0 7 3,802 5 5 2,130 14 2 1,579 12 8 3,908 4 0 .. 1.827 2 2 Southland .. .. .. .. 109,630 12 10 15,939 1 1 2,447 9 8 1,560 7 6 1,209 13 8 927 7 3 .. 1,168 14 11 Totals. .. .. .. 2,983,429 3 10 592,635 3 8 95,041 15 5 31,633 14 5 18,647 12 5 75,808 7 2 .. 21,558 7 8 Land for Settlements Account (Discharged Soldiers Settlement). North Auckland .. .. .. 93,405 0 0 31,549 3 5 5,115 10 9 1,576 13 9 2,114 3 8 160 7 2 Auckland .. .. .. .. 165,285 0 0 104,332 0 0 15,722 0 0 1,997 0 0 1,523 0 0 1,668 0 0 .. 133 0 0 Gisborne .. .. .. .. 365,845 19 4 138,846 0 0 1,861 19 5 10,303 15 0 .. 6,709 19 7 .. 317 14 0 Hawke'sBay .. .. .. 300,639 0 0 100,737 0 0 16,800 0 0 4,290 0 0 .. 5,006 0 0 .. , 5,224 0 0 Taranaki .. .. .. .. 239,782 10 0 50,412 10 10 6,909 19 4 3,190 17 10 504 12 4 2,232 15 1 Wellington .. .. .. .. 722,693 0 0 300,311 0 0 51,803 14 10 3,402 2 7 2,857 16 0 11,228 11 3 .. 1,097 7 10 Marlborough .. .. .. 89,251 0 0 16,996 0 0 2,455 6 6 2,430 10 8 275 3 7 1,635 10 2 .. 422 11 7 Nelson .. .. .. .. 98,815 0 0 4,550 0 0 658 15 5 .. .. 1,239 18 5 .. 204 6 1 Westiand .......... .. .. .. .. • • • • .. . Canterbury .. .. .. .. 333,000 0 0 75,849 0 0 10,265 0 9 6,818 7 1 1,265 19 9 5,846 6 2 .. 3,583 8 1 Otago .. .. .. .. 241,814 0 0 48,917 0 0 4,238 9 1 962 4 11 2,368 14 7 6,149 12 7 .. 1,618 4 5 Southland .. .. .. .. 38,055 0 0 7,045 0 0 1,109 11 9 213 15 9 459 0 0 162 16 5 Totals .. .. 2,788,585 9 4 879,544 14 3 116,940 7 10 35,185 7 7 11,368 9 11 42,039 16 10 .. 12,600 12 0

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Revaluation of Soldiers Farms in Terms of the Discharged Soldiers Settlement Amendment Act, 1923.— Report as at the 31st March, 1926— continued.

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Rent, Interest, or Postponements made rw,+oi ™ Instalment written off, Remissions granted Pnctnnnompnts Instalment Land Board in TMatriefe T?pri„rti™ nf Panitai consequent upon Remissions granted by Land Board on eranted Ten Postponements made respect of Moneys due Dl8tncfe * Reduction of Capital. Revaluation dating by Dominion Board. Recommendation of ll to Fml nf Term since 30th June, 1923, under each Heading. back to 1st July, 1921, Dominion Board. Years - to Jind ot ierm. 0 n Recommendation or Date of Title. of Dominion Board. Native Land Settlement Account. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. North Auckland .. .. .. 2,340 0 0 250 0 0 34 8 0 Auckland .. .. .. .. 103,550 0 0 22,544 0 0 1,469 0 0 .. 3,954 0 0 675 0 0 .. 336 0 0 Gisborne .. .. .. .. 124,865 0 0 15,005 0 0 1.701 18 4 .. .. 1,642 3 0 .. 67 10 0 Hawke's Bay .. .. .. 506,651 0 0 44,244 0 0 7,293 0 0 12,517 0 0 2,557 0 0 10,723 0 0 .. 2,004 0 0 Taranaki .. .. .. .. 43,394 8 2 7,835 0 0 224 3 6 53 12 9 71 17 0 123 12 0 Wellington .. .. .. .. 48,039 0 0 4,726 0 0 514 16 5 73 5 0 ... 1,214 7 4 Totals .. .. .. 828,839 8 2 94,604 0 0 11,237 6 3 12,643 17 9 6,582 17 0 14,378 2 4 .. 2,407 10 0 National Endowment Account. North Auckland .. .. .. 80.185 0 0 17,455 16 0 2,089 4 11 281 10 8 3,090 1 5 364 8 3 Auckland .. .. .. .. 50,691 0 0 3,965 0 0 560 0 0 214 0 0 1,732 0 0 194 0 0 .. 88 0 0 Gisborne .. .. .. .. 3.978 0 0 .. •• •• 171 2 2 Hawke's Bay .. 14,714 8 6 .. .. .. . • 229 0 0 .. 48 0 0 Taranaki .. .. .. .. 45,469 10 0 2,010 0 0 229 16 0 107 13 2 140 16 0 160 6 3 Wellington .. .. .. .. 15,276 0 0 4,497 0 0 453 16 0 .. 180 0 0 50 16 0 Marlborough 44,243 0 0 .. .. .315 10 0 5 18 0 474 19 2 .. 201 0 2 Nelson .. .. .. .. 157,054 19 0 5,279 15 6 556 11 2 228 8 0 97 1 10 349 7 4 .. 46 1 7 Westland .. .. .. .. 4,448 5 0 60 0 0 4 5 4 .. 65 4 2 37 3 6 .. 38 0 0 Canterbury .. .. .. .. 184,359 1 3 14,215 0 0 2,279 0 0 671 13 4 .. 5,545 6 3 .. 686 15 0 Otago .. .. .. 121,835 0 0 385 0 0 30 16 0 32 2 4 .. 621 3 6 Southland .. .. .. .. 14,194 17 6 250 0 0 45 0 0 8 16 0 275 4 0 .. .. 32 11 0 Totals .. .. .. 736,449 1 3 48,117 11 6 6,248 9 5 1,859 13 6 5,586 5 5 8,197 12 5 .. 1,140 7 9 Crown Lands. North Auckland .. .. .. 73.221 0 0 4,750 0 0 718 12 1 454 2 7 1,323 7 2 647 9 9 .. 242 13 10 Auckland .. .. .. .. 106.170 0 0 27.217 0 0 3,916 0 0 1,189 0 0 7,374 0 0 2,397 0 0 .. 557 0 0 Gisborne .. .. .. .. 25,954 0 0 5.102 2 6 506 9 7 6.583 18 4 .. 421 15 6 Hawke's Bay .. .. .. 12,609 1 8 .. .. .. .. 214 0 0 Taranaki .. .. .. .. 75,682 11 11 13,575 16 0 1.179 4 3 972 3 4 472 7 6 1,295 5 2 .. 66 12 0 Wellington .. .. .. .. 110,213 0 0 28,609 0 0 2,908 4 6 1,661 15 10 1,298 5 3 2,816 8 3 .. 590 16 8 Marlborough .. .. .. 35,629 - 6 2 851 15 0 745 15 0 31 3 8 27 14 5 510 6 0 .. 60 10 0 Nelson .. .. .. .. 270,238 10 6 965 0 0 73 4 1 104 12 0 73 16 0 302 19 9 .. 35 15 3 Westland .. .. .. .. 2,075 14 7 .. .. 43 18 0 82 8 0 23 2 11 Canterbury .. .. .. .. 18,035 3 ! 280 0 0 37 16 0 .. .. 78 12 6 Otago .. .. .. .. 179,301 0 0 4,255 0 0 451 8 5 7 5 8 112 14 0 241 1 8 .. 215 9 2 Southland .. .. .. .. 31,178 4 1 2,150 0 0 318 1 0 77 18 3 1,275 12 6 107 11 0 .. 73 0 0 Totals .. .. .. 940,307 12 0 87,755 13 6 10,854 14 11 11,125 17 8 12,040 4 10 9,055 12 6 .. 1,841 16 11

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Any other Account. North Auckland .. .. .. 1,107 0 0 .. ■ ■ .. ■ ■ 250 5 0 Auckland .. .. .. .. 98,262 0 0 43,870 0 0 6,835 0 0 1,330 0 0 5,363 0 0 246 0 0 .. 174 0 0 Gisborne .. .. .. .. 47,555 0 0 3,400 0 0 416 0 0 328 0 0 .. 692 8 4 .. 546 16 0 Hawke's Bay .. .. .. 24,540 0 6 .. .. .. .. 542 0 0 .. 268 0 0 Taranaki .. .. .. 13,803 16 8 .. .. 16 3 1 .. 73 18 7 Wellington .. .. .. .. 29,901 0 0 1,105 0 0 21 1 4 .. 216 17 0 490 9 11 Westland .. .. .. .. 300 0 0 .. .. .. .. 30 0 0 Canterbury .. .. .. .. 119,654 3 5 1,310 0 0 183 0 0 .. .. 3,442 11 6 .. 605 12 10 Otago .. ... .. .. 39,264 0 0 .. .. .. .. 28 13 0 Southland .. .. .. .. 32,983 0 0 1,865 0 0 261 2 0 16 17 9 90 0 0 631 10 6 .. 256 17 10 Totals .. .. .. 407,370 0 1 51,550 0 0 7,716 3 4 1,691 0 10 5,669 17 0 6,427 16 10 .. 1,851 6 8 Grand totals.. .. .. 17,277,979 12 3 2,480,807 15 4 379,680 14 1 129,414 2 9 101,099 17 7 347,605 9 2 125,078 13 2 117,898 7 6 j 1 ;

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Adjustments by Dominion Revaluation Board in Terms of the Discharged Soldiers Settlement Amendment Act, 1924, as at 31st March, 1926.

FINANCIAL REVIEW. The two principal accounts controlled by the Lands Department for the repatriation of returned soldiers are the Discharged Soldiers Settlement Account, from which advances for various purposes secured by mortgages have been made, and the Lands for Settlement Account (Discharged Soldiers Settlement Account), through which the purchase of private properties for subdivision and settlement has been made. The total capital now standing as a liability on these two accounts is as follows : — Discharged Soldiers Settlement Account — £ £ Loans raised by the issue of debentures and other securities .. 6,535,886 Redemptions of loans by Consolidated Fund . . . . 2,500 Redemptions of loans by Discharged Soldiers Settlement Depreciation Trust Account .. .. .. .. .. 38,700 Transfer from Consolidated Fund surpluses .. .. .. 13,500,000 Interest unpaid to Consolidated Fund .. .. .. 540,000 20,617,086 Land for Settlements Account (Discharged Soldiers Settlement Account) .. 3,222,050 £23,839,136 In addition to the above, certain other accounts contributed indirectly to the settlement of discharged soldiers, in that land which had been purchased out of these accounts was settled by returned soldiers. These are — J £ Land for Settlements Account .. .. .. .. 2,514,000 Native Land Settlement Account .. .. .. .. 750,000 3,264,000 Total capital .. .. .. .. .. .. £27,103,136 * Discharged Soldiers Settlement Account. Advances authorized. —The total loans authorized since the inception of the Act amount to £22,490,303, and of this amount £282,011 was authorized during the year under review. The

i.-n i i , Adjustments in Buildings under Adjustments m Current Account. J Land for Settlement Act. Districts. : T t3" | Original Value. by £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. North Auckland .. 500,072 0 0 15,295 4 5 1,491 9 7 14,210 0 0 1,975 0 0 Auckland .. 802,751 6 1 12,035 0 0 700 0 0 16,959 0 0 816 0 0 Gisborne .. 115,510 0 0 250 0 0 .. 7,114 0 0 114 0 9 Hawke's Bay .. 226,386 8 5 608 9 0 .. 3,955 0 0 1,590 0 0 Taranaki .. 297,530 12 9 9,241 13 4 .. 5,030 0 0 1,795 0 0 Wellington .. 633,405 0 0 4,133 0 0 250 0 0 17,375 0 0 6,774 0 0 Marlborough .. 58,280 9 6 630 0 0 200 0 0 200 0 0 56 10 7 Nelson .. .. 106,661 12 1 J ,546 0 0 512 0 0 4,610 0 0 Westland .. 34,176 9 8 500 0 0 300 0 0 Canterbury .. 250,967 8 6 1,600 0 0 1,100 0 0 38,732 8 10 805 14 9 Otago .. .. 127,808 8 2 1,656 1 0 .. 11,080 2 1 572 13 11 Southland . .. 111,080 8 10 1,746 2 5 850 0 0 6,080 0 0 689 0 7 Totals .. 3,264,630 4 0 49,24110 2 5,403 9 7 125,345 10 11 15,188 0 7

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following table indicates the total loans authorized from the inception of the Act and those authorized during the year : —

In addition to the 5,017 soldiers to whom advances were made for improvements, stock, &c., 5,551 soldiers to whom loans were, granted under section 2 also participate in similar loans, the total, therefore, reaching 10,411. Curtailment of Advances. —Owing to the limited capital available in the account and the necessity that exists for conserving as much as possible of the receipts for loans to develop and stock farms, with a view to increasing production and place settlers on a sound footing, it is regretted that applications for Joans to erect houses could not be considered beyond assisting a few T. 8., wounded, and other disabled men. At no time has the Department been unable to accept applications for advances on Current Account to assist in the purchase of stock or for effecting improvements to farms with a view to ultimately increasing production. It has, however, only just been possible to keep pace with these applications, as will be demonstrated by the fact that the cash balance in the account at the end of the year was only £115,000, which is already fully committed. Current Account Advances. —Loans under this heading are granted to assist in the improvement and stocking of farms, and at the end of the year the balance outstanding was £3,042,786. As indicated last year, it was considered that the time had arrived when Current Account loans for improvements should be transferred to table mortgages in order to provide for the gradual redemption thereof, and although little has been done in this direction an effort is now being made to place development loans on a more satisfactory footing. The time is rapidly approaching when the bulk of those settlers who have been and are still being assisted on Current Account should be in a position to carry on without further financial assistance. The Department does not aim at finding the whole of the capital required to fully develop farms. With thrift and economy the undeveloped portions of a number of farms should be improved gradually out of the farm revenues, thereby building up a better future than would be the case with everything encumbered. Prior to the advent of the Discharged Soldiers Settlement Act settlement had gone along these lines, and equities had been created by settlers, making their ultimate success more assured. More attention should be given to maintaining the areas now in grass rather than ambitious efforts to bring in large areas beyond the finance that is available to fully develop, fence, and stock same. Increase in the pasture area should be brought about gradually once sufficient pasture to carry on with has been established. Dwellings. —As previously stated, applications for assistance under this heading are now only being accepted from badly wounded or T.B. men. The number of loans authorized during the year was- — Number of loans, 54 ; amount authorized, £53,997. From the inception of the Discharged Soldiers Settlement Act to the end of the year the amount provided for the housing of Discharged Soldiers on urban, suburban, and rural lands was as follows — Number. Amount. £ Erection of dwellings on farms .. .. .. .. 4,856 1,495.648 Urban and suburban— Erection of dwellings .. .. .. .. 4,420 3,723,074 Purchase of dwellings .. .. .. .. 7,535 4,936,872 £10,155,594 Settlers Prospects. Now that settlers have had the benefit of revaluation of their properties by the Dominion Revaluation Board it is considered that they should be in a position to withstand any temporary depressions which might eventuate, and with reasonably stable prices the Department expects prompt payment of accruing charges. Current Accounts are at present under review by the Dominion Revaluation Board in accordance with the Discharged Soldiers Settlement Amendment Act, 1924, and when this task is completed settlers as a whole should have little cause for complaint.

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Authorized fom Inception Authorized dur!ng Yea r. Amount Amount Returned nn+unmnn i Returned iv • j Soldiers. : authorized. S()ldiers _ , authorized. £ £ Section 6, Discharged Soldiers Settlement Act, 1915— 5,017 4,863,584 99 199,991 Advances on Current Account Section 2, Discharged Soldiers Settlement Amendment 5,511 8,966,773 4 28,023 Act, 1917 —Advances towards purchase of farms, market gardens, orchards, and discharged mortgages Section 2, Discharged Soldiers Settlement Act, 1917— 11,955 8,659,946 54 53,997 Purchase of dwellings, &c. Totals .. .. .. .. 22,483 22,490,303 157 282,011

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Receipts and Payments. The Receipts and Payments Account shows that the total receipts for the year amounted to £1,629,763, which constitutes a record. Of this amount, £940,596 represents repayments of principal by mortgagors and capital derived from the sale of abandoned properties and stock, while £689,167 represents receipts on account of interest and sundries. The average monthly receipts amounted to £135,813, as against £134,188 during the previous year. The following statement shows the position as compared with previous years : —• 1921-22. 1922-23. 1923-24. 1924-25. 1925-26. £ £ £ £ £ Principal .. .. 553,345 716,667 795,841 882,977 940,596 Interest, &c. .. .. 556,301. 649,463 627,921 726,674 689,167 Cash advances on Current Account during the year show an increase of approximately £20,000 over the previous year, but this is in a large measure due to the fact that the Department has had greater control over the proceeds from farms during the past year, and to a large extent the advances represent readvances from sales of stock and other farm proceeds for the payment of rent and interest charges and for development of the properties. • The following table furnishes a comparison of cash advances made for each of the past four years : —

Revenue Account. The total income of the account for the year was £871,110, mainly made up of accrued interest on advances. The year's operations resulted in a net loss of £371,986, and the total loss on the Discharged Soldiers Settlement Account to the end of the year is £781,208. A perusal of the Revenue Account will show that the accrued interest on advances was insufficient to meet the interest on debentures, there being a deficit of approximately £45,000. The reason for this is not far to seek. The Dominion Revaluation Board reduced mortgages by £767,928, which is a dead loss to the account. Furthermore, the properties which have been bought in by the Crown through the exercise of power of sale and those in course of realization appear in the balance-sheet at not less than £1,492,955, and this asset also results in a large loss of interest. It therefore follows that the Department, while it must pay interest on the total capital borrowed, is in the unfortunate position of not being able to collect interest on capital to the extent of £2,260,883. This more than explains the deficiency in interest. Added to the above, the Revenue Account bears a charge for management expenses, amounting to £38,768 ; rebates, £42,940 ; charges and expenses of raising loans, £11,782 ; and losses on the realization of securities, £250,841. When the whole of the adjustments arising out of the decisions of the Dominion Revaluation Board have been finalized in the books of the Department and the total loss definitely ascertained it will doubtless be possible to relieve the Discharged Soldiers Settlement Account of the necessity for paying interest on the capital loss to the account. This will be taken up with the Treasury. It seems inevitable that losses should have resulted on the repatriation of discharged soldiers, and while it is unfortunate that the losses are so high it is submitted that the position in New Zealand compares more than favourably with the experience of other countries where the repatriation of discharged soldiers was undertaken on a large scale. Arrears and. Postponements. The total amount of rent, interest, and instalment of principal in arrear was £526,178, while rents and instalments of interest and. principal the payment of which has been postponed was £279,137. The total outstanding may therefore be set down as being £805,315. Following on adjustments granted by the Dominion Revaluation Board, it was expected that the arrears would have been much less, but the long winter, followed by short spring and summer seasons, adversely affected the returns in some of the districts. However, a large number of settlers should have been in a position to pay their way or at least substantially reduce their arrears. An investigation of these cases is being made with a view to deciding whether the accounts should be wound up. It may here be remarked that the postponements granted by the Dominion Revaluation Board will result in a considerable loss to the State, as had the money been paid on due date it could have been invested and in tarn have become revenue-bearing. Property Account and Realization Account. The liabilities on properties acquired by the Crown through the exercise of power of sale now stand at £993,353, representing an increase in the previous year's figures of £43,839, while the liabilities on properties in course of realization stand at £499,602. A special effort has been made

Year. Current Account, j Farms. Dwellings. Total. £ £ £ £ 1922-23 .. .. .. 681,623 74,345 469,785 1.225,753 1923-24 .. .. .. 583,633 41.727 571,727 1,196,521 1924-25 .. .. .. 567,748 32,552 92.439 692,709 1925-26 .. .. .. 588,412 35,965 61.245 685.622

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by the Department to dispose of all unoccupied properties, and a large number of sales liave been completed during the year. The following shows the farms disposed of by way of sale and lease :— Sale. ■ Leases. Number of farms .. .. .. .. .. 27 6 104 Area (acres) .. .. .. .. .. 91.737 39,493 Purchase price .. .. .. .. £442,414 Annual rental . . . . .. .. '.. . . £5,930 The loss on the realization of these properties amounted to £230,808 inclusive of expenses of realization and arrears of interest. The position at the end of the year is that the Department had available for disposal 677 freehold and leasehold • farms, totalling 240,416 acres, on which the liabilities amount to £1,171,767. It is anticipated that there will be a considerable further loss from the sale of these properties, but every effort will be made by the Department to dispose of the properties to the best advantage with a minimum of delay. With this end in view attractive terms will be offered. The Department has found it necessary in many cases during the past year to give exemption from interest for varying periods up to three years to enable purchasers to recondition abandoned farms which have deteriorated either during the period they were held by the previous occupier or during the period they were vacant. This is a further cause of loss to the account, but the concession is one which is absolutely necessary if properties are to be brought back into a state of productivity. Although the book debts in connection with farms taken over by the Department show a slight increase in the figures of the previous year, it must be remembered that greater activity has been shown by the various Commissioners in winding up unprofitable loan transactions than hitherto. Where it is abundantly clear no good purpose is served by continuing these accounts, it is better to wind them up and have the properties open for reselection by suitable settlers at fair prices. Unfortunately, a number of properties suitable only for sheep-farming have been cut up into areas too small for this purpose, with the result that dairying has been attempted with small success. Upon these properties coming back to the Department an effort is made to regroup them to permit of their more ready disposal. Land for Settlements Account. The amount raised to finance the purchase of land for settlement by returned soldiers through the above account is £3,222,050, but the actual capital value of land appearing in the balance-sheet is now £2,035,107. Values have been reduced by the Dominion Board by £866,796. Revenue Account. It is regretted that the position of this account is also unsatisfactory. As stated above, the capital value of the land is considerably less than the total capital raised for the purpose of the account, and it naturally follows that the accrued revenue in the account is insufficient to meet the interest of loans. LANDS PROCLAIMED. Some 7,477 acres were set apart for selection by discharged soldiers during the year. From the inception of the scheme to the 31st March, 1926, a total area of 1,419,817 acres has been proclaimed for soldier settlement. This area is made up as follows : — Class of Land. Area (Acres). Ordinary Crown lands .. .. .. .. .. ■ • 593,225 Cheviot Estate land . . .. .. . . . . . • 3,356 Land-for-settlements land .. .. .. .. • • 392,238 National-endowment land .. .. .. .. .. 430,998 Total ' 1,419,817 Proclamations have been issued revoking the setting-apart of 202,044 acres of Crown lands, and 84,165 acres of land-for-settlement lands. APPLICATIONS FOR LAND. Applications for land under the Discharged Soldiers Settlement Act to the number of 109 were received during the year. The following table gives the number of applications and the area allotted during each year from the inception of the soldier-settlement scheme : —

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, .. Allotments made. Applications i yearending —ed. | Numbe , | Area~ Acres. 31st March, 1.916 .. .. .. .. 272 2 629 1917 .. .. .. .. 522 319 143,524 1918 .. .. • .. 513 313 103,362 1919 .. .. .. •• 1,379 348 117,018 J 920 .. .. .. .. 5,041 932 403,891 1921 .. .. .. 5.396 1,087 414,867 1922 .. .. •• •• 878 403 97,972 1923 .. .. •• 284 146 25,113 1924 .. .. .. 216 79 16.910 1925 123 47 9,014 1926 .. : 109 86 20,500 Total for eleven years .•. .. .. 14,733 3,762 1,352,800

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APPENDIX REPORTS OF COMMISSIONERS OF CROWN LANDS. NORTH AUCKLAND. (H. J. Lowe, Commissioner of Crown Lands.) The relief afforded by the revaluation of soldiers' farms under the Discharged Soldiers Settlement Amendment Act, 1923, has been followed up by revaluation of Current Accounts for advances for stock, implements, and improvements. The work has not yet been completed, it necessarily being a slow process, involving as it does individual valuations. It is hoped that on completion of this investigation values will have been reduced in keeping with the producing-capacities of the farms, and the average soldier farmer afforded such relief as will enable him to meet his future obligations and assure him an adequate competence. Very few applications have been made by discharged soldiers for land, thus showing that the work of repatriation is practically complete. Land previously proclaimed and set aside for discharged soldiers is now being made available for general selection. In comparison with the average civilian farmer, the soldier is more than holding his own and proving a good husbandman. Sufficient time has not yet elapsed to determine the measure of success attendant on the relief afforded by the revaluation. Apjolications under the Discharged Soldiers Settlement Act. —Except in the case of permanently disabled soldiers, no advances have been made for the erection of dwellings. The total number of applications received was 958, of which 716 were recommended for approval, as follows : Purchase of farms, 18 ; transfer of farms, 32 ; postponements, 287 ; erection of houses, including additional advances, 37 ; transfer of houses, 159 ; advances on Current Account, 183. The total amount recommended on Current Account was £28,890. Up to date the number of dwellings abandoned totals 70, of which 56 have been disposed of, the sum of £350 having been written off. The remaining 14 houses are let at good rentals sufficient to meet interest and all other charges. Farms. —Sixty-one farms were abandoned during the year, and forty were disposed of. Every endeavour is being made to get these farms occupied, as deterioration is rapidly taking place. A progressive policy has been instituted, and liberal terms are being offered in order to ensure occupation and production. AUCKLAND. (K. M. Graham, Commissioner of Crown Lands.) A general review of the position of the discharged soldiers settlement in this district shows that steady development and progress has taken place, and indicates that with added experience, and with the maintenance of fair market prices for produce, success is assured or in sight, for the majority of settlers, who are diligently applying themselves to the work of improving not only their holdings, but also the class of stock being carried. The benefits directly attributable to the revaluation of holdings and to the granting of concessions by way of remissions or postponements of rent and interest are becoming more apparent as time passes, and it is confidently expected that the additional assistance granted to many settlers during the year by way of further advances on Current Account will enable them to carry out productive improvements to the extent of placing them in a position to meet their commitments to the Department as these in future become due. During the year the investigation of Current Accounts has been continued by the Field Inspectors, and it has been found that with very few exceptions the security in stock and chattels has been fairly well maintained. In many instances a surplus in stock has made up for the fall in values since the original purchases were made. Securities in stock, especially dairy cows, are always more or less of a fluctuating nature, and are largely dependent on the attention and skill of the settler in looking after the animals in his charge. The lack of proper care and attention has in many cases been responsible for the Department's losses in the past, but with the elimination of the careless or indifferent settler there will not in the future be the same proportion of loss due to this cause. The number of Current Accounts in operation is 1,147, and the several amounts of loans and advances outstanding at the end of the year were as follows : Instalment mortgages on farms, £942,728 ; instalment mortgages on dwellings, £435,471 ; Current Account advances, £724,244.

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GISBORNEi (E. H. Farnie, Commissioner of Grown Lands.) General Remarks. —As anticipated last year, the soldier settlers in this district have now settled down as the result of revaluations, and are, in the majority of cases, doing well. In some instances the Board has found it necessary to take drastic action with regard to the non-payment of rent, but in 110 case has it been necessary to go to the length of absolute forfeiture. Investigation of Current Accounts by the Dominion Board showed that the Department's securities in this respect were quite sound. Only in two instances was it found necessary to effect any reduction. Four holdings in the Opotiki County held by discharged soldiers reverted to the Crown during the year as the result of the inability of the holders to carry on on what is known as " deteriorated lands." The position of these four men was hopeless, and they wisely decided to cut their losses and abandon their farms. Stockvalues showed a marked falling-ofl through the drought, but those settlers who are able to hold their stock should do very well next year. Speaking generally, the various settlements are in quite a prosperous position, and the outlook of the soldier settlers is distinctly hopeful. HAWKE'S BAY. (J. D. Thomson, Commissioner of Crown Lands.) The sharp contrast in prices of wool and fat stock for this season as compared with the phenomenally high prices for last season has been strongly reflected in the present financial position of the soldier settler, and much of the good work done by the Dominion Revaluation Board has been nullified for the present, though as a matter of fact the prices realized for wool —which averaged over lid. per pound —and for stock have been far from famine prices and have not seriously affected the older and better-established settlers. The dairy-farmer has passed through a particularly trying season —cold rains and high drying winds set in during August and continued practically throughout the season, with the natural result of a reduced output and the stock in low condition to face the coming winter. The one class of settler to be congratulated on having a good season is the orchardist. Costs of labour and spraying have been at a minimum, while the yield has been heavy and the prices good. A recompense for the ill effects of the dry season on stock and pasture has been the opportunity presented to clean up dirty areas on the holdings, and a number of the settlers have taken full advantage of the chance to do so. The great benefits derivable from top-dressing with suitable manures are now fully realized by an ever-increasing number of settlers, and it is confidently expected that increased productivity of the soil may be looked for in the future, particularly in the pumiceous areas of the northern portion of the district. No new areas were acquired for settlement, but a number of abandoned farms have been disposed of, and during the coming year it is anticipated that this unpleasant feature in connection with the discharged soldier settlement will soon disappear. TARANAKI. (W. I). Armit, Commissioner of Crown Lands.) The soldier settlers in common with the general farming community have experienced an uncertain year, and returns generally show a decrease from the previous season. The dairymen experienced a cold, wet spring, and factory returns were a month later coming in as compared with the year preceding. The drop in wool-prices has required a sympathetic administration of Current Accounts where securities are represented in sheep. A number of soldier settlers have been compelled to draw on capital, but as the sheep securities are more or less in a healthy condition the position is expected to right itself during the coming season, provided a normal year is experienced by graziers. Generally the grazier in Taranaki, whether soldier or civilian, is faced with the problem of deterioration, and the administration of the recent legislation will have a large bearing on the success or failure of the hill-country farmer in this district. Owing to the Dominion Revaluation Board's determinations a number of deserving soldier settlers have been put on a satisfactory financial position and given a reasonably clear start. The concessions in many cases have been generous, and it is incumbent on soldier mortgagors to realize their obligations to the State if they desire to remain on the holdings. Abandoned properties present a constant problem in the district. Invariably the properties have been neglected prior to foreclosure or abandonment, and it has been necessary to write the charges down with concessions under the new mortgages to secure fresh purchasers. The Department has been fairly successful in securing purchasers for these properties. The number of farms abandoned or bought in under the powers of sale in the Crown mortgage during the past year is forty-five, and sixty-four farms have been sold. At present there are 457 soldiers on farms, who have received advances for their purchase under section 2 of the Discharged Soldiers Settlement Amendment Act, 1917, and a further 529 have obtained assistance for the purchase or erection of house properties. The total amount outstanding on mortgage, including Current Account advances, is £1,341,098. During the past year the total revenue received was £176,560 1 Is. Id., and moneys advanced amounted to £88,048. Arrears of interest and instalments are still fairly considerable, but in the

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majority of cases a commendable effort is being made by the men to reduce their liabilities. The total amounts owing are as follows : Farm properties, £19,055 7s. 6d. ; house properties, £1,826 17s. Id.; Current Account interest, £7,498 ss. lid. There is an increasing number of soldier house-property transfers coming up for the Land Board's consideration each year, partly brought about through changed conditions in the mortgagors' employment. There are still a number of these house-property owners in arrears, but a determined effort is being made to reduce the amounts owing and to get rid of unsatisfactory mortgagors. WELLINGTON. (H. W. C. Mackintosh, Commissioner of Crown Lands.) The remarks made in connection with the aspects of general settlement apply equally to soldier settlers. These men met with the same conditions climatically as their fellow civilian farmers, and they experienced the same instability of prices for farm-produce, &c. The soldier settler is better off, however, in that he has had the benefit of advances and remissions made by the Department, whereas his civilian colleague has been thrown on his own resources. Dairy-farmers began the season under cold and wet conditions, which hindered growth of pastures, and consequently curtailed the milk-supply. The latter part of the season was more equable, and good cheques were received. Sheep and cattle did not come up to expectation, the markets being very unsteady. Wool averaged about Is. per pound, and although this was only half of the price realized in the previous season the price was a payable one where the fleece was well grown. Those soldiers who elected to go in for poultry-farming for a livelihood have, except in isolated cases, not been successful. The high cost of laying-birds and the almost prohibitive price of fowl-feed reduce the profits to practically nil. It would appear that the poultry-farmer should grow his own feed; but then, again, if the land will grow wheat it is too valuable for poultry-farming. This class of security is not regarded with favour by the Department. Soldier settlers will be beginning to feel the benefit of the concessions granted by the Dominion Revaluation Board, and when their Current Accounts been investigated by that Board they should be on the high road to success. The receipts for the year, interest and principal, amounted to £309,240, somewhat less than last year. The amount of loans and advances outstanding at the 31st March, 1926, was —Instalment mortgages on farms, £1,007,440 ; instalment mortgages on dwellings, £1,441,088 ; Current Account advances, £534,886 ; miscellaneous accounts, £348,039 3s. 3d. NELSON. (A. F. Waters, Commissioner of Crown Lands.) The Dominion Revaluation Board completed the investigation of the Current Account advances of most of the soldier settlers in the district during the past year, and this together with revaluation of the properties has placed most of the settlers on a sound financial basis. The exceptions are chiefly those whose farms on account of their limited carrying-capacity are unable to maintain a settler and enable him also to meet his liabilities. There are still a few settlers who show little capacity for farming and whose properties have depreciated under their management. These farms are gradually coming back into the hands of the Department, and are being disposed of to other settlers. A promising feature is the effort that is being made by the soldier settlers who are dairying to improve their herds and increase their output by the introduction of pedigree stock. A good deal could still be done to improve the class of sheep in the Kelson District, as too many of the settlers seem to be satisfied with a wool-clip of 5 lb. per sheep or less. The fruitgrowers have had a phenomenal crop ; but as the bulk of the fruit is being exported it remains to be seen if the Home market will be glutted and prices suffer accordingly. The hopgrowers have been in an unsatisfactory position for several years past; but a Co-operative Hopgrowers' Association has been formed whereby the growers are entitled to put 60 per cent, of their previous years' output into a first pool. The benefit of this policy is still to be proved. MARLBOROUGH. (J. Stevenson, Commissioner of Crown Lands.) Soldier Settlement. —Generally, I am pleased to report in a more hopeful strain than last year. The improved position is directly traceable to the libera] concessions iji valuations and adjustments of Current Accounts made by the Dominion Revahiation Board. Regarding those settlers engaged in dairying : Following the concessions made by the Dominion Revaluation Board, and with the object of assisting the settler to meet his payments of rent and interest to the Department on due dates so that he would get all the benefit of rebates for prompt payment, a system of taking milk orders up to 50 per cent, on the dairyman's milk-yield was adopted in this district. This has worked admirably in the interests of both the settler and the

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Department, and, I think I am safe in saying, has resulted in the Department getting in better returns than formerly, and the settlers generally appreciate this method. Several of the weaker men who had got into a hopeless position, have abandoned their farms. On the soldier settlements —Erina, Goat Hills, Moorlands, Alberton, Linkwaterdale, &c. —the progress is slow, but generally the type of settler left is good, and, 1 feel sure that the men will eventually become satisfactorily established. WESTLAND. (W. T. Morpeth, Commissioner of Crown Lands.) The position generally with regard to soldier settlement in this district is satisfactory, the operations of the Revaluation Board having to a large extent permanently stabilized the soldier settlers' finances. There are only one or two cases which still occasion some concern, and it is noteworthy that almost without exception the settlers who have given the Department the most trouble have been single men engaged in dairying. The great majority of married men have won through, and cases of partnerships between single men have also been successful, which goes to prove that it is a mistake for a single man to take on a dairy proposition unless conditions as regards soil, herd, position, &c., are exceptionally good, or unless he has private finance available, and it seems clear that remissions and postponements which are satisfactory in the case of a family man are not sufficient where a single man is concerned. There are only four abandoned places not disposed of, but I regard these as almost unsaleable. The undesirable class of settler has been eliminated, and those who are on the Department's books are almost without exception men of a good stamp who in the ordinary course of events will come out all right and meet their obligations to the Crown. CANTERBURY. (W. Stewart, Commissioner of Crown Lands.) The concessions given soldier settlers by the Dominion Revaluation Board have given them a fair chance of making a decent living, and it is now felt that it rests with the individual settlers themselves to make a success of their undertakings. There are still some cases where second mortgagees are preventing soldiers from recovering by persisting in holding valueless mortgages which overload the land beyond its interest-earning-capacity ; but these are gradually being eliminated by sales through the Registrar of the Court. There are also a few cases where soldiers who are being financed for stock by private firms are not clearing enough to pay both the firm and the Crown. There has been an insistent call for tractors to replace horse teams, as thereby an added area of usually about 30 acres per farm is freed to produce something for export; and also in a delayed season like the present the work could have been rushed through so much quicker and fuller advantage taken of each suitable occasion to push work ahead. In dealing with these applications due weight has been given to the fact that a tractor is a rapidly depreciating security, especially in unskilful or careless hands, and that the running-expenses of a tractor means finding actual cash, whereas with the horses their upkeep is supplied on the farm and does not mean additional imports. Therefore the only cases where the purchase has been sanctioned are where there was sufficient heavy work to justify the expenditure, and where the applicant was substantial enough to supply a fair proportion, of the original and recurring expenses himself. The total receipts during the year for credit of the Discharged Soldiers Settlement Account were £265,584 14s. 4d., an increase of £25,692 lis. lOd. on the preceding year, the main items being made up of - - Payment on account of farms, £57,611 ss. 4d. ; payments on account of houses, £106,375 14s. 6cl. ; payments on account of Current Account, £88,580 18s. sd. The amount of loans outstanding at the end of the year was as follows : Instalment mortgages (farms), £987,633; instalment mortgages (dwellings), £1,113,311; Current Account advances, £242,291. OTAGO. (R. S. Galbratth, Commissioner of Crown Lands.) The soldier settlers throughout the district may now be said, speaking generally, to be in a fairly sound position. The concessions made to them by way of revaluations, adjustments, remissions, and postponements have been of very real benefit and have put fresh heart into many men who were struggling bravely with impossible propositions. There are still some who will require careful watching and, possibly, further help. A difficult type to deal with is the man who works hard with his hands but lacks understanding —the man who is an excellent servant but appears to require some one to lean on. The recent ballot for the Wilden runs attracted fewer applicants than the Mount Pisa and Teviot runs, and I think it can now be said that there is no longer any need to offer any land for selection by discharged soldiers only. * SOUTHLAND. (N. C. Kensington, Commissioner of Crown Lands.) During the year soldier settlers have met with good firm prices for their products, and the prices obtained have been generally of higher value than the basis of production for the individual farm when investigated for the purpose of revaluation.

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Since the revaluation of soldiers' holdings the soldier settlers generally have become more settled and are taking a good lively interest in bettering their position by close attention to good farming. The recent investigation of Current Accounts may be regarded as very satisfactory, showing in most cases that the advances on stock and chattels have been well secured. The position of soldier settlers in this district can be regarded as sound as a whole. There are still individual cases where either the holding is too small or the land, even with the best of farming, is of such quality that a reasonable living cannot be made off it. In these cases the settler is encouraged to endeavour to effect a transfer or sale to an adjoining owner. Cases also occur where the soldier settler has not had the incentive or required energy to make a success of his holding ; but these cases are now becoming the exception to the rule and can only be taken as the usual risk incurred by all mortgagees. The records here show that very few farms which have come back on to the Department's hands in this district have not been reselected, and in this respect I do not suffer any concern at not being able to pass on any reasonably priced farms which are bound to occasionally revert back. These farms when put on the market offer an inducement on account of the easy terms offered, equal to land acquired under the Land for Settlements Act, and which usually require a large initial outlay in buildings, fencing, &c. A large amount of money has still to be expended and will require to be advanced for improving holdings and bringing them up to their full carrying-capacity. It is very marked that soldier settlers, having now received the benefit of revaluation, are not anxious to load up their farms, and governed by this spirit the necessary advances now made can be viewed as good investments. In all settlements bought under the Land for Settlements Act and set apart for soldier settlement good progress is reported, and these settlements can now be considered as on a firm footing.

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TABLE 1. Total Lands acquired from the Crown by Discharged Soldiers and held at the 31st March, 1926.

TABLE 2. Statement of Advances authorized from Inception of Act to 31st March, 1926.

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17

Sale (including Deferred Payment). Lease and License. Grand Totals. Number of Land District. Number DiSarfed' Number Annual oMmT 1 Number Purchasers of Al ' ea ' Prlce - soldier of Area ' Bental charced of Area " Purchasers Ho , dings> HoldlllgB . Rental. charged Holainp _ Licensees. Under the Discharged Soldiers Settlement Act, 1915, and Amendments. Acres. £ Acres. £ Acres. North Auckland .. 13 12 2,4.07 2,181 310 309 56,344 13,870 323 321 58,751 Auckland.. .. 41 41 1,031 13,810 548 541 92,133 25,064 589 582 93,164 Gisborne .. .. .. .. .. .. 142 144 57,904 14,234 142 144 57,904 Hawke'sBay .. .. .. .. .. 253 253 98,960 35,654 253 253 98,960 Taranaki .. .. 3 3 100 960 152 159 35,127 9,235 155 162 35,227 Wellington .. 13 13 80 4,525 739 716 167,118 78,101 752 729 167,198 Nelson .. .. 3 3 1,216 1,292 27 27 16,778 1,767 30 30 17,994 Marlborough .. .. .. .. .. 56 54 17,599 5,190 56 54 17,599 Westland .. .. 1 1 148 150 22 22 21,458 257 23 23 21,606 Canterbury .. 10 10 201 430 326 321 546,008 47,858 336 331 546,209 Otago '.. .. 6 6 355 3,126 158 157 225,133 14,570 16'4 163 225,488 Southland.. .. 14 14 2,001 8,515 89 95 19,180 4,655 103 109 21,181 Totals .. 104 103 7,539 34,989 2,822 2,798 1,353,742 250,455 2,926 2,901 1,361,281 Under other Acts. (This includes lands selected at ordinary ballots, leases and licenses purchased at auction, and holdings acquired by transfer or otherwise.) North Auckland .. 8 8 1,730 1,130 76 73 20,433 2,155 84 81 22,163 Auckland.. .. 48 46 22,754 20,366 364 336 158,347 8,807 412 382 181,101 Gisborne .. .. .. .. .. .. 49 45 38,131 4,479 49 45 38,131 Hawke'sBay .. .. ■ .. .. .. 54 47 17,886 4,226 54 47 17,886 Taranaki .. .. 3 2 477 805 181 196 68,786 4,795 184 198 69,263 Wellington .. .. .. .. .. 136 131 49,049 30,414 136 131 49,049 Nelson .. .. 3 3 1,099 586 118 108 79,440 2,174 121 111 80,539 Marlborough .. .. .. .. .. 134 125 249,448 7,354 134 125 249,448 Westland.. .. 1 1 5100 168 77 71 19,388 447 78 72 19,588 Canterbury .. 3 3 35 55 235 213 93,821 13,901 238 216 93,856 Otago '.. .. .. .. .. .. 262 241 1,006,916 24,627 262 241 1,006,916 Southland.. .. 1 1 127 40 39 46 77,858 2,078 40 47 77,985 Totals ■ 67 64 26,422 23,150 1,725 1,632 1,879,503 105,457 1,792 1,696 1,905,925 Grand totals.. 171 167 33,961 58,139 4,547 4,430 3,233,245 355,912 4,718 4,597 3,267,206

I Current Account Farms, Ac., Purchase Dwellings Erect Dwellings Totals Authorities. Authorities. Authorities. Authorities. District. - ■ Number. Amount. Number. Amount. Number.; Amount. Number.! Amount. Number. Amount. £ £ £ £ £ North Auckland 1,517 740,495 1,090 1,700,133 1,752 1,254,922 1,413 1,244,488 5,772 4,940,038 Auckland .. 1,719 1,025,975 794 1,323,485 370 243,406 377 305,618 3,260 2,898,484 Gisborne .. 194 148,837 79 139,184 175 116,400 82 66,245 530 470,066 Hawke'sBay .. 649 320,379 202 378,131 462 323,905 215 180,598 1,528 1,203,013 Taranaki ' .. 1,054 587,358 563 1,034,746 311 217,453 234 203,212 2,162 2,042,769 Wellington .. 1,766 934,138 778 1,446,313 1,419 1,008,653 1,003 825,205 4,966 4,214,309 Marlborough .. 279 83,332 168 298,310 111 70,066 64 51,109 622 502,817 Nelson .. 615 183,111 432 566,640 156 94,268 31 22,209 1,234 866,228 Westland .. 154 50,569 81 90,294 51 22,140 10 6,265 296 169,268 Canterbury .. 1,256 416,621 752 1,181,292 1,427 863,477 780 661,020 4,215 3,122,410 Otago .. 724 213,864 300 378,280 919 509,307 156 118,370 2,099 1,219,821 Southland .. 484 158,905 272 429,965 382 212,875 55 38,735 1,193 840,480 Totals .. 10,411 4,863,584 5,511 8,966,773 7,535 4,936,872 4,420 3,723,074 27,877 22,490,303 Note. —The numbers above represent the number of loans authorized. A large proportion of soldiers who received advances to assist in the purchase of farms and discharge of mortgages also received advances on current account for stock, &c. The actual number of soldiers to whom advances have been authorized as at the 31st March, 1926, was 22,483.

0.—9.

TABLE 3. Statement of Mortgage Transactions, Financial Year ended 31st March, 1926.

18

PRINCIPAL. INTEREST. DISTRICT , Balauce oxi Losses, Il6b3itG8> it Balance at j Advances Repayments R Bf™tT,A 0 nrt at 31st March, 1926, Balance at Charges Receipts j Commissions Slst March, 1926, SlBt March, 1925. during Year. 1 during Year. iifir a S? including Instal- 31st March, 1925. during Year. during Year. ; and Iransfers to including j other Accounts. ments postponed. j ether Accounts. | Postponements. . - - North Auckland — £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. Current Account .. .. 540,322 6 9 60,414 4 9 37,756 11 2 62,907 4 3 500,072 16 1 35,385 6 10 26,015 2 2 21,653 10 4 14,405 18 3 25,341 0 5 Farms, orchards, &c. .. .. 1,478,757 9 11 7,485 10 11 12,197 15 9 180,449 15 1 1,293,595 10 0 103,152 17 0 67,083 16 1 35,096 18 3 55,670 11 10 79,469 3 0 Dwellings, business premises, &c. 2,089,662 0 3 20,728 8 8 72,343 3 4 12,536 5 2 2,025,511 0 5 11,401 15 3 104,256 19 4 94,418 5 0 10,089 9 7 11,151 0 0 Totals .. .. 4,108,741 16 11 88,628 4 4 122,297 10 3 255,893 4 6 3,819,179 6 6 149,939 19 1 197,355 17 7 151,168 13 7 80,165 19 8 115,961 3 5 Auckland — Current Account .. .. 721,990 17 11 81,840 4 10 43,008 15 9 36,578 3 6 724,244 3 6 46,180 2 4 36,987 19 9 26,096 12 9 11,517 9 5 ) 45,553 19 11 Farms, orchards, &c. .. .. 977,767 5 10 i 6,831 15 11 8,493 15 10 33,377 14 1 942,727 11 10 61,660 6 1 48,722 6 3 28,499 9 5 26,979 2 8 j 54,904 0 3 Dwellings, business premises, &c. 458,329 11 0 1,417 7 6 12,534 13 6 11,741 1 10 435,471 3 2 3,624 8 2 22,764 16 5 19,723 18 9 3,003 13 7 3,661 12 3 Totals .. .. 2,158,087 14 9 90,089 8 3 64,037 5 1 81,696 19 5 2,102,442 18 6 111,464 16 7 108,475 2 5 74,320 0 11 41,500 5 8 104,119 12 5 Hawke's Bay — Current Account .. .. 209,914 0 10 72,808 8 11 50,225 19 6 6,580 17 10 225,915 12 5 5,963 1 3 11,160 6 2 10,012 11 2 874 13 0 6,236 3 3 Farms, orchards, &c. .. .. 317,394 0 8 774 8 8 5,370 8 8 1,318 15 5 311,479 5 3 16,421 19 0 14,543 14 4 11,230 3 11 1,857 15 10 17,877 13 7 Dwellings, business premises, &c. 398,370 6 4 516 17 6 14,564 18 7 1,948 3 lLDr. 386,270 9 2 2,218 0 3 20,968 10 8 18,081 12 4 3,240 0 0 1,864 18 7 Totals .. .. 925,678 7 10 74,099 15 1 70,161 6 9 5,951 9 4 923,665 6 10 24,603 0 6 46,672 11 2 39,324 7 5 5,972 8 10 | 25,978 15 5 Gisborne — Current Account .. .. 98,217 3 0 ' 29,625 8 9 10,255 4 5 3,559 2 11 114,028 4 5 2,892 2 5 5,354 0 9 5,105 13 1 422 1 9 I 2,718 8 4 Farms, orchards, &c. .. .. 114,476 3 11 250 0 0 3,622 8 9 846 1 10Dr. 111,949 17 0 5,439 2 3 5,615 9 5 4,687 13 11 1,092 6 1, 5,274 11 2 •Dwellings, business premises, &c. 156,799 12 9 .. 5,189 13 1 6,278 19 6Dr. 157,888 19 2 499 11 1 8,153 1 2 7,433 11 3 869 0 3 350 0 9 Totals .. .. 369,492 19 8; 29,875 8 9 j 19,067 6 3 3,565 18 5Dr. 383,867 0 7 8,830 15 9 19,122 11 4 17,226 18 3 2,383 8 l\ 8,343 0 3 Taranaki — Current Account .. .. 294,352 18 4 83,236 6 4 88,476 8 6 12,417 14 10 276,695 1 4 12,927 19 1 14,343 18 10 8,747 2 4 9,250 8 2 9,274 7 5 Farms, orchards, &c. .. .. 740,174 5 1 3.819 13 0 9,604 8 8 16,224 6 6 718,165 2 11 43,490 0 2 35,966 1 1 18,542 14 3 33,125 4 11 27,788 2 1 Dwellings, business premises, &c. 357,889 0 3; 992 2 2 10,500 15 5 2,142 8 0 346.237 19 0 1,375 19 10 17,737 7 3 16,389 13 1 1,622 0 1 1,101 13 11 Totals .. .. 1,392,416 3 8 88,048 1 6 108,581 12 7 30,784 9 4 1,341,098 3 3 57,793 19 1 68,047 7 2 43,679 9 8 43,997 13 2 38,164 3 5 Wellington — Current Account .. .. 590,168 7 8 I 77,425 15 11 75,568 6 2 57,139 14 8 534,886 2 9 41,111 2 7 27,353 1 9 26,834 15 0 8,960 9 6 32,668 19 10 Farms, orchards, &c. .. .. 1,101,987 15 5' 5,113 5 11 14,381 7 7 85,279 1 1 1,007,440 12 8 75,434 12 4 51,529 9 2 37,313 19 3 40,846 10 7 48,803 11 8 Dwellings, business premises, &c. 1,479,783 2 1 19,627 4 0 58,567 2 2 244 1 1 lODr. 1,441, 087 15 9 2,164 3 7 73,775 111 67,317 7 11 6,363 12 5 2,258 5 2 Totals .. .. 3,171,939 5 2 102,166 5 10 148,516 15 11 142,174 3 11 2,983,414 11 2 118,709 18 6 152,657 12 10 131,466 2 2 56,170 12 6 83,730 16 8

19

C.—9

4—C. 9

Marlborough — 1 | Current Account .. .. 58,270 0 3 6,905 18 5 8,008 1 7 3,425 11 3 53,742 5 10 4,025 8 0 2,841 13 1 2,249 8 9 1 2,991 1 8 1,626 10 8 Farms, orchards, &c. .. .. 234,219 16 0 4 4 0 4,693 7 0 5,061 16 2 224,468 16 10 9,552 1 1 11,547 11 11 8./32 0 9 3,268 3 11 9,099 8 4 Dwellings, business premises, &c. 98,550 5 3 701 14 8 3,526 9 1 747 11 2Dr. 96,473 2 0 105 4 8 4,842 18 3 4,353 5 3 559 12 9 35 4 11 Totals 391,040 1 6 7,611 17 1 16,227 17 8 7,739 16 3 374,684 4 8 13,682 13 9 19,232 3 3 ! 15,334 14 9 6,818 18 4 10,761 3 11 I ! Nelson — Current Account .. .. 106,655 4 4 23,826 12 9 10,527 16 10 11,663 18 7 108,290 1 8 7,005 16 6 5,328 13 2 3,679 1 9 5,003 7 4 3,652 0 7 Farms, orchards, &c. .. .. 393,032 1 10 870 0 0 2,931 10 11 9,429 15 3 381,540 15 8 19,889 3 0 18,765 12 10 10,262 5 1 9,736 4 1 18,656 6 8 Dwellings, business premises, See. 71,880 0 10 .. 5,771 15 1 700 0 0Dr. 66,808 5 9 89 17 3 3,474 2 9 3,229 14 2 234 16 0 99 9 10 Totals .. .. 571,567 7 0 24,696 12 9 19,231 2 10 20,393 13 10 556,639 3 1 26,984 16 9 27,568 8 9 17,171 1 0 14,974 7 5 22,407 17 1 Westland — i Current Account .. .. 33,054 10 5 5,250 5 5 2,007 4 7 2,721 1 7 33,576 9 8 1,383 7 2 1,654 19 1 1,206 4 8 449 3 6 1,382 18 1 Farms, orchards, &c. .. .. 71,031 15 8 1,516 7 1 662 11 3 2,090 18 6 69,794 13 0 4,080 3 4 3,218 14 10 2.104 11 1 2,887 4 10 2,307 2 3 Dwellings, business premises, &c. 21,448 19 5 150 0 0 904 2 6 519 7 9 20,175 9 2 148 12 10 943 2 0 1,013 11 1 Dr. 7 8 7 85 12 4 Totals .. .. 125,535 5 6 6,916 12 6 3,573 18 4 5,331 7 10 123,546 11 10 5,612 3 4 5,816 15 11 4.324 6 10 3,328 19 9 3,775 12 8 Canterbury —• Current Account .. .. 231,838 9 5 101,534 17 9 77,292 13 5 13,789 19 1 242,290 14 8 9.306 19 4 11,996 11 8 10.269 7 0 1.119 10 4 9,914 13 8 Farms, orchards, &c. .. .. 1,003,673 2 1 8,238 15 3 19,072 15 2 5,206 2 4 987,632 19 10 41,476 19 2 48,749 19 6 38.256 13 6 13,264 15 4 38,705 9 10 Dwellings, business premises, See. 1,154,429 14 8 14,260 15 0 53,164 8 4 2,215 2 11 1,113,310 18 5 1,763 14 7 57,401 17 2 53,186 15 2 4,406 8 0 1,572 8 7 Totals .. .. 2,389,941 6 2 124,034 8 0 149,529 16 11 21,211 4 4 2,343,234 12 11 52,547 13 1 118,148 8 4,101,712 15 8 18,790 13 8 50,192 12 1 Otago — Current Account .. .. 127,808 8 2 25,814 2 4 31,382 0 3 5,644 12 4 116,595 17 11 6,649 4 4 6,128 14 5 4,936 18 9 3,073 13 5 4,767 6 7 Farms, orchards, &c. .. .. 316,739 13 0 861 7 1 7,143 17 2 6,512 7 3Dr. 316,969 10 2 8,361 18 5 15,972 0 7 12,104 0 11 4,637 5 9 7,592 12 4 Dwellings, business premises, &e. 429,453 16 11 2,850 8 7 35,620 1 11 341 12 1 396,342 11 1 492 9 5 21,343 3 11 19,554 3 5 1,991 1 4 290 8 7 Totals .. .. 874,001 18 1 29,525 18 0 74,145 19 4 526 2 5Dr. 829,907 19 2 15,503 12 2 43,443 18 11 36,595 3 1 9.702 0 6 12,650 7 6 Southland —• Current Account .. .. 110,943 5 7 19,729 14 7 13,721 3 8 5,658 15 6 111,293 1 0 5,421 9 5 5,579 0 11 4,400 9 7 2,527 19 9 4,072 1 0 Farms, orchards, &c. .. .. 341,594 15 10 200 0 0 4,087 8 8 3,677 9 9Dr. 341,384 16 11 16,024 7 5 17,041 15 5 ; 12,191 16 8 4,638 13 10 16,235 12 4 Dwellings, business premises, &c. 172,313 16 10 .. 12,108 3 11 758 13 8 159,447 19 3 195 8 6 8,355 14 5 ■ 7.724 5 8 651 12 10 175 4 5 1 Totals .. .. 624,851 18 3 19,929 14 7 29,916 16 3 2,738 19 5 612,125 17 2 21,641 5 4 30,976 10 9 1 24,316 11 11 7,818 6 5 20,482 17 9 Name of Account. Summary. 1 Current Account .. .. 3,123,535 12 8! 588,412 0 9 448,230 5 10,222,086 16 4 3,041,630 11 3 178,251 19 3 !154,744 1 9 [125.191 15 2 60,595 .16 1 147,208 9 9 Farms, orchards, &c. .. .. 7,090,868 5 3j 35,965 7 10 92,261 15 5 1327, 422 5 7 6,707,149 12 1 404.983 9 3 338,756 11 5 |219,022 7 0 198.004 0 2 326,713 13 6 Dwellings, business premises, &c. .. 6,888,890 6 7 61,244 18 1 284,795 6 11 20,314 5 5 6,645,025 12 4 24,079 5 5 344,016 15 3 312,426 3 1 33,023 18 3 22,645 19 4 Grand totals .. .. 17,103,294 4 6 685,622 6 8 825,287 8 2 '569,823 7 4 16,393,805 15 8 607,314 13 11:837,517 8 5 656.61" 5 3 291,623 14 6 496,568 2 7

0.—9

20

LAND FOR SETTLEMENTS ACCOUNT (DISCHARGED SOLDIERS SETTLEMENT ACCOUNT). Balance-sheet as at 31st March, 1926. Liabilities. Assets. £ s. d. Capital Account— £ s. d. £ s. d. Land .. .. .. .. 2,025,107 410 Debentures issued .. 3,222,050 0 0 Unpaid purchase price (not yet payable) of Crown lands —Estates 4,776 0 0 land .. .. .. .. 11,291 19 6 3,226,826 0 0 Unpaid purchase price (not yet payable) of Sundry creditors— buildings .. .. .. .. 79,758 3 8 Consolidated Fund—For interest due on Mount Pisa Estate—Stock, chattels, maloans .. .. .. .. 334,015 6 7 chinery, &c. .. .. .. 528 11. 7 Interest accrued but not due on loans .. 11,5.96 4 1 Sundry debtors— £ s. d. Miscellaneous .. .. .. 1,762 2 6 Rents, &c. .. .. 46,450 12 3 Payments in advance — Less reserve for irreRents .. .. .. .. 1,738 12 3 coverable rents .. 1,500 0 0 Principal instalments on buildings .. 158 15 2 44,950 12 3 Principal instalments on sales of lands.. 217 15 1 Principal instalments on buildings .. 3,018 2 9 Amounts charged in advance— Principal instalments on sales of land .. 119 19 3 Rents .. .. .. .. 20,240 15 1 Interest on sales of land .. .. 87 12 9 Interest .. .. .. . . 90 0 0 Interest on purchase price, Mataikona Sinking-fund reserve .. .. .. 27,175 1 8 Estate .. .. .. .. 20,139 9 6 Writings-off in Suspense Account .. 6,148 17 5 Interest on investments .. .. 67 16 2 Reserve for unexpended loading for roads 92,410 18 3 Insurance premiums.. .. .. 2 19 10 Miscellaneous .. .. .. 273 17 11 Bills receivable — Glencoe Settlement drains, &c. .. .. .. 690 0 0 Postponements outstanding— If Rent ■ • . ■ • ■ ■ • 54,084 15 1 instalments on buildings .. 1,379 18 7 Interest on sales .. .. .. 330 12 2 Buildings Suspense Account .. .. 550 0 0 Sinking Fund Account.. .. .. 27,175 1 8 Interest accrued but not due on sales of Qland .. .. . . .. 130 4 9 Losses in Suspense Account .. .. 6,148 17 5 Depreciation in land-values, &c. .. 89,856 19 9 Revaluation Board determinations — Reductions in value of £ s. d. land .. .. 866,796 3 6 Reductions in value of buildings .. .. 9,773 15 2 Rents written off .. 130,644 3 4 Remissions granted .. 47,118 17 10 Revaluation Committee's expenses .. .. 5,990 10 10 — 1,060,323 10 8 Balance of Revenue Account .. .. 225,090 15 6 £ s. d. Cash in Public Account .. 20,414 14 8 Imprests outstanding .. 858 710 Investment Account .. 50,000 0 0 71,273 2 6 £3,722,380 8 1 £3,722,380 8 1 Revenue Account foe the Year ended 31st March, 1926. £ s. d. £ s. d. Administration expenses .. .. 1,898 13 10 Accrued rents, &c. .. .. .. 3,553 8 3 Audit fees .. .. • ■ ■ • 55 0 0 Interest on sales .. .. .. 404 14 0 Improvements to settlements —Vote " Ex- Interest on purchase price Mataikona Settlepenses .. .. .. .. 802 4 3 ment .. .. .. .. 3,601 4 6 Interest on loans .. .. .. 133,176 2 1 Interest on investments.. .. .. 281 13 10 Loss on working of estates .. .. 84 19 2 Balance carried down .. .. .•. 56,469 15 2 Miscellaneous expenses .. .. .. 122 1 10 Rebates .. ■ ■ • • • • 4,886 11 11 Remissions of rents, &c. .. .. 982 0 1 Reserve for irrecoverable rents .. .. 2,303 2 7 £144,310 15 9 £144,310 15 9 £ s. d. £ s. d. Balance brought down .. .. .. 56,469 15 2 Balance carried forward .. .. 225,090 15 6 Balance from previous years .. .. 167,076 4 0 Adjustment on account of previous years— Amounts charged in error to rents written off by Revaluation Board .. .. 1,544 16 4 £225,090 15 6 £225,090 15 6 Receipts and Payments Account for the Year ended 31st March, 1926. Receipts. Payments. Balance at Ist April, 1925 — £ s. d. £ s. d. Expenditure under section 20 (4), Discharged £ s. d. Cash in Public Account 6,571 0 4 Soldiers Settlement Amendment Act, 1923, Imprests outstanding.. 1,060 11 2 in respect of amounts added to capital 7,631 11 6 values .. .. .. .. 6,408 9 9 Receipts from rents, &c. — .. ... 74,325 211 Refunds of revenue .. .. .. 905 17 10 Sales .. .. .. .. 6,220 9 3 Mount Pisa Estate .. .. .. 2,858 7 1 Interest on sales .. .. .. 765 11 5 Administration expenses .. .. .. 2,213 9 4 Miscellaneous receipts .. .. .. 219 16 5 Land for settlement of discharged soldiers — Mount Pisa Estate .. .. .. 3,042 15 0 Vote " Expenses" .. .. .. 1,443 6 7 Interest on securities held by Investment Road access, &c., to settlements .. .. 7,790 4 0 Account .. .. .. i. 687 10 7 Balance at 31st Maroh, 1926 — £ s. d. Cash in Public Account .. 20,414 14 8 Imprests outstanding .. 858 710 Investment Account .. 50,000 0 0 71,273 2 6 £92,892 17 1 £92,892 17 1

21

C.—9

DISCHARGED SOLDIERS SETTLEMENT ACCOUNT. Balance-sheet as at 31st March, 1926. Liabilities. Assets. Capital Account— £ s. d. £ s. d. Advances on mortgages— £ s. d. £ s. d. Securities issued .. 6,535,885 16 8 Current Account .. 3,042,785 8 9 Transferred from Con- Section2 —Farms, &c. 6,597,597 9 2 solidated Fund .. 13,500,000 0 0 Section 2—Dwellings, Securities redeemed &c. .. .. 6,622,824 4 2 from Consolidated 16,263,207 2 1 Fund .. .. 2,500 0 0 Instalments of principal Securities redeemed outstanding— £ s. d. from Depreciation Section2 —Farms, &c. 63,765 7 8 Fund .. .. 38,700 0 0 Section 2—Dwellings, 20,077,085 16 8 &c. .. .. 22,423 19 1 Consolidated Fund—For interest unpaid 86,189 6 9 1923-24 .. .. .. .. 540,000 0 0 Unpaid purchase price (not yet payable) of Interest on loans accrued to 31st March, buildings on Crown properties .. 9,031 10 9 1926, but not payable on that date .. 101,313 110 Sundry debtors for instalments of prinSundry creditors— cipal on buildings .. .. .. 167 9 0 Interest unpaid on debentures .. 2,327 15 9 Postponed instalments of principal .. 46,252 16 11 Payments in advance .. .. 5,746 14 1 Dominion Revaluation Board —Current Land for Settlements Account —Accrued Advances suspense, section 3 (3) (6), interest on purchase-money, Mataikona Discharged Soldiers Settlement AmendSettlement .. .. .. 20,139 9 6 ment Act, 1924 .. .. .. 5,241 6 8 Sundry creditors for— £ s. d. Interest outstanding— £ s. d. Miscellaneous services 11,695 17 2 Current Account .. 127,207 12 4 Advances from State Section 2—Farms, &c. 173,138 16 3 Advances Office on Section 2 — Dwellings, 22,956 5 3 properties acquired &c. —■ —— 323,302 13 10 by Crown .. 12,361 19 3 Sundry debtors for interest on buildings 24,057 16 5 on Crown properties . . .. 129 5 10 Suspense Account .. .. .. 290 9 7 Interest on advances accrued but not due 127,836 10 5 Realization Suspense .. .. .. 780 3 6 Postponed interest on advances .. 177,088 13 10 Writings-off in Suspense .. .. 246,190 14 7 Interest accrued and unpaid on surplus Fire Loss Suspense .. .. .. 8,641 10 0 funds temporarily invested .. .. 1,956 15 6 Rents charged in advance .. .. 439 4 8 Sundry debtors for sales of stock .. 719 15 8 Depreciation reserve .. .. .. 2,475 411 Sundry debtors for rent of properties . . 6,713 5 8 Sinking-fund reserve .. .. .. 56,101 17 1 Postponed rent .. .. .. 576 7 2 Sundry debtors for working-expenses of tractor .. .. .. .. 272 17 7 Sundry debtors for miscellaneous advances (rates, taxes, insurance, &c.).. .. 1,189 4 9 Sundry debtors for interest on miscellaneous advances .. .. .. .. 30 14 3 Sundry debtors—Miscellaneous expenses recoverable from other Departments .. 1,644 9 5 Bills receivable .. .. .. 564 3 9 Machinery and plant .. .. .. 6,519 16 2 Property Account —Properties acquired by Crown— £ s. d. Freehold .. .. 720,425 6 8 Leasehold .. .. 272,927 10 7 993,352 17 3 Sundry advances merged with value of Crown lands, &c., section 20, Discharged Soldiers Settlement Act, 1923— £ s. d. Land .. . . 20,016 7 2 Principal instalment due 275 1 2 Interest due .. 1,377 1 6 — 21,668 9 10 Realization Account— Properties in course of realization .. 499,601 13 6 Live stock on hand .. .. 22,683 14 3 Dead stock on hand .. .. 3,099 6 6 Sundry estates—Live and dead stock .. 23,277 7 1 Office requisites .. .. .. 15 7 7 Sinking fund .. .. .. 56,101 17 1 Loan interest paid in advance .. .. 7,162 13 5 Consolidated Fund—For interest overpaid 116 12 6 Losses in Suspense .. .. .. 246,190 14 7 Charges and expenses of raising loans .. 155,000 0 0 Revaluation Board determinations— Reduction in mortgage £ s. d. value .. .. 767,928 7 9 Interest written off ..213,271 0 3 Remissions of interest 70,998 11 1 Rents written off, &c... 139 3 4 Revaluation Committee expenses 29,428 17 11 Revaluation Board expenses .. .. 9,437 3 3 — — 1,091,203 3 7 Revenue Account—Net loss .. .. 781,208 3 0 Cash in Public Account, £ s. d. 31st March, 1926 .. 15,169 19 4 Imprests outstanding .. 11,284 12 4 Investment Account .. 99,819 0 9 — 126,273 12 5 £21,085,589 18 7 £21,085,589 18 7

0.—9

22

DISCHARGED SOLDIERS SETTLEMENT ACCOUNT —continued. Revenue Account foe the Year ended 31st|March, 1926. £ s. d. 1 Interest on advances— £ s. d. £ s. d. Interest on debentures, &c. .. .. 884,155 15 4 j Current .. .. 154,744 1 9 Charges and expenses of raising loans .. 11,782 2 8 Section 2—Farms .. 338,756 11 5 Stamp duty on loans raised .. .. 106 19 5 Section 2—Dwellings.. 344,016 15 3 Audit fees .. .. .. .. 500 0 0 ' Miscellaneous . . 1,450 6 2 Management expenses .. .. .. 38,768 0 6 j 838,967 14 7 Printing and stationery .. .. .. 332 11 5 1 Interest on surplus funds temporarily in-Working-expenses of farms acquired by the vested .. .. .. .. 6,478 9 6 Crown .. .. .. . . 1,675 1 0 Interest on purchase price of stock, MataiMaintenance of plant .. .. .. 749 14 9 kona Settlement .. .. .. 645 0 1 Rebate of interest .. .. .. 42,939 11 7 Rent from properties bought-in by Crown.. 18,689 18 7 Remission of interest and rent .. .. 2,178 12 2 Profit from sale of properties and stock .. 2,875 0 6 Valuation expenses .. .. . . 722 19 8 Profit from sale of plant .. .. 32 18 2 Travelling-expenses of Field Inspectors and Sale of farm-produce, &c. .. .. 2,230 17 5 Inspectors of Securities .. .. 2,019 7 9 Transfer and production fees .. .. 859 9 6 Loss on realization of securities—Writings- Valuation fees .. . . .. 330 13 6 off in Suspense .. .. .. 250,841 8 1 Net loss for year .. .. .. 371,986 6 9 Interest written off—Postponements under section 16, Discharged Soldiers Settlement Act, 1921 .. .. .. .. 998 17 10 Depreciation reserve—Plant, &c. .. 1,332 18 0 Reduction of land-value under section 216, Land Act, 1924 .. .. . • 500 0 0 Sundries .. .. .. 3,492 8 5 £1,243,096 8 7 £1,243,096 8 7 £ s. d. £ s. d. Net loss for year carried down .. .. 371,986 6 9 Adjustment on account of previous year .. 1,009 8 9 Loss forward from previous year .. .. 410,231 5 0 Balance—Net loss to 31st March, 1926 .. 781,208 3 0 £782,217 11 9 £782,217 11 9 Receipts and Payments Account for the Year ended 31st March, 1926. Receipts. Payments. £ s. d. Advances on mortgage— £ s. d. £ s. d. Cash in hand .. .. .. .. 178,010 15 6 Current Account .. 588,412 0 9 Cash not cleared through Treasury in pre- Section 2—-Farms Acvious years .. .. .. . • 3 0 0 count .. .. 35,965 7 10 Repayment of advances — £ s. d. Section 2—Dwellings AcCurrent Account .. 448,230 5 10 count .. .. 61,244 18 1 Section 2 —Farms Account 92,261 15 5 Miscellaneous advances .. 2,594 5 5 Section 2—Dwellings Ac- 688,216 12 1 count .. .. 284,795 6 11 Plant Account—Purchase of motor-cars, &c. 2,269 1 4 Buildings advances .. 175 0 4 Purchase of live and dead stock .. .. 1,301 7 0 Miscellaneous advances 1,791 16 1 Sundry estates—Purchase of stock, and 827,254 4 7 worldng-expenses .. .. .. 3,579 2 1 Property Account — Working-expenses of farm properties acFreehold .. .. 21,604 10 2 quired under power of sale .. .. 1,794 1 11 Leasehold .. .. 11,535 2 10 Capital expenditure on farms acquired 33,139 13 0 through power of sale — £ s. d. Realization Account .. .. .. 55,108 9 1 Property, freehold .. 4,753 18 7 Sale of farm-produce, &c. .. .. 2,901 11 4 Property, leasehold .. 2,054 2 4 Sundry estates .. .. .. 7,845 0 7 6,808 0 11 Sale of live and dead stock .. .. 9,211 1 3 Instalments on State Advances mortgages .. 901 18 4 Sale of plant .. .. .. . ■ 236 0 9 Realization Account—Expenses incidental Suspense Account .. .. .. 1,953 18 5 to acquisition of properties .. .. 16,599 10 0 Fire Loss Suspense Account .. .. 15,569 8 3 Sundry creditors—Accounts not cleared in Bills receivable .. .. .. 77 4 0 Treasury books in previous years .. 12,900 12 7 Sundry debtors —accounts not cleared in Interest on debentures .. .. .. 340,690 16 2 Treasury in previous years .. .. 4,045 19 3 Interest on transfers from the Consolidated Interest on advances —• £ s. d. Fund .. .. .. .. 540,000 0 0 Current Account .. 125,191 15 2 Stamp duties on transfers of stock .. 39 10 0 Section2 —Farms Account 219,022 7 0 Management charges on stock .. .. 106 19 5 Section 2 —Dwellings Ac- Charges and expenses of raising loans .. 1,742 12 8 count .. .. 312,426 3 1 Refund of amount received on account Section 2 —Buildings Ac- premium on loans .. .. .. 116 3 count .. .. 294 511 Loans repaid .. .. .. .. 13,250 0 0 Miscellaneous .. 281 12 6 Vote, " Expenses of Management"— 657,216 3 8 Supervision and manage- £ s. d. Interest on investments .. .. 11,224 5 0 ment of securities .. 38,810 16 8 Rent and grazing fees .. .. .. 13,987 6 3 Expenses of Revaluation Valuation fees .. .. .. 330 3 0 Committee .. .. 3,937 9 9 Production and transfer fees .. .. 846 18 0 42,748 6 5 Sundries .. .. .. .. 36 13 0 Fire Loss Suspense Account .. .. 10,365 17 2 Suspense Account .. .. .. 938 16 8 Valuation expenses .. .. .. 714 1 2 Printing and stationery .. .. 327 16 11 Travelling-expenses of Supervisors and Inspectors .. .. .. .. 2,023 15 3 Miscellaneous expenditure in connection with properties acquired through exercise of power of sale . . .. .. 3,632 4 11 Maintenance of plant and machinery .. 741 14 7 Working-expenses—Tractor .. .. 527 15 8 Audit fees .. .. .. .. 500 0 0 Sundries .. .. .. .. 1 13 0 Balance- — £ s. d. Cagh in Public Account .. 15,169 19 4 Imprest outstanding .. 11,284 12 4 Investment Account .. 99,819 0 9 126,273 12 5 £1,818,997 14 11 £1,818,997 14 11

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