STATE ADVANCES OFFICE (REPORT BY THE SUPERINTENDENT OF THE) FOR THE YEAR ENDED 31st MARCH, 1936.

Appendix to the Journals of the House of Representatives, 1936 Session I, B-13

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1936. NEW ZEALAND.

STATE ADVANCES OFFICE (REPORT BY THE SUPERINTENDENT OF THE) FOR THE YEAR ENDED 31st MARCH, 1936.

Laid before Parliament -pursuant to Subsection (3) of Section 64 of the State Advances Act, 1913.

FORTY-SECOND ANNUAL REPORT.

As a result of the passing of the Mortgage Corporation of New Zealand Act, 1934-35, and the establishment of the Mortgage Corporation on the Ist July, 1935, the activities of the State Advances Office ceased so far as concerned the making of advances to settlers and workers, and to local authorities under the provisions of Part 111 of the Local Bodies' Loans Act, 1926. Thereafter the functions of the Office became confined mainly to the business theretofore conducted in the Miscellaneous Business Branch of the Office, consisting principally of collecting payments due by purchasers and tenants of houses under the Housing Act, 1919, the collection of moneys due in respect of loans made under the Repatriation Act, 1918, Fishing Industry Promotion Act, 1919, the Fruit-preserving Industry Act, 1913, and out of the Cold Storage Advances Account established under the provisions of section 30 of the Finance Act, 1918 (No. 2). The accounts of the various Branches are appended. G-eo. G. Rose, Superintendent. State Advances Office, Wellington, 30th June, 1936.

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STATE ADVANCES OFFICE. ADVANCES TO SETTLERS BRANCH. Statement of Liabilities and Assets as at 31st March, 1936. Liabilities. £ s. d. Assets. £ g. d. Sundry loans • • •• .. .. 19,344,170 3 1 Investment Account: Advances not due .. 13,030 0 0 Amount held for investment on behalf of the Mortgage Corporation Stock issued in accordance Housing Insurance Fund .. .. 8,079 13 11 with section 38 (1) of the Mortgage CorpoAdvances Suspense Account .. .. 750 0 0 ration of New Zealand Act, 1934-35 .. 17 092 425 0 0 Sundry creditors .. .. .. .. 2,089 16 9 Contingent liability of Mortgage Corporation Interest on loans £ s. d. under section 38 (2) of the Mortgage CorpoDeferred .. .. 356,931 16 6 ration of New Zealand Act, 1934-35 .. 2,027,684 22 Overdue .. .. 53,654 510 Properties acquired .. .. .. 2,498 19 6 Accrued .. .. 135,150 19 5 Temporary investment .. .. .. 300'000 0 0 545,737 1 9 Interest on mortgages accrued .. .. 69 14 3 Reserve for bad debts .. .. .. 235,663 16 2 Interest on temporary investment accrued .. 1,849 6 3 Reserve Fund .. .. .. .. 25,000 0 0 Interest on Mortgage Corporation stock accrued sinking iund .. .. .. .. 2,088,114 13 5 but not due at 31st March, 1936 .. .. 91,666 18 2 Sundry debtors .. .. .. .. 1,180 8 3 Balance of profits of Mortgage Corporation for the year ended 31st March, 1936, payable in accordance with section 42 of the Mortgage Corporation of New Zealand Act, 1934-35 .. 52,868 2 0 Lodgment in Transit Account .. .. 453 9 l Realization Suspense Account .. .. 59,606 19 2 Loan Charges Account .. .. .. 232,930 8 3 Profit and Loss Account .. .. .. 110,580 17 4 Cash in hand and in bank at 31st March, 1936 174,646 7 3 Sinking Fund Investments held by Advances Office Sinking Fund .. .. .. 2,088,114 13 5 £22,249,605 5 1 £22,249,605 5 1 - Promt and Loss Account for the Year ended 31st March, 1936. r ' £ s. d. Cr £ s d Interest Account: Gross loss for the year .. 152,986 19 11 Profits from Mortgage Corporation of New Zealand ' Management Expenses Account .. .. 18,648 18 0 under section 42 of the Mortgage Corporation Depreciation on furniture .. .. .. 120 17 2 of New Zealand Act, 1934-35 .. 80 601 3 5 Depreciation on motor-vehicles .. .. 70 17 3 Profits from sale of assets .. '1213 11 Expenses on properties acquired .. .. 28 14 0 Balance : Loss for the year .. .. " 117 193 19 7 Loan flotation charges written down .. .. 25,951 10 7 £197,807 16 11 £197,807 16 11 £ s. d. £ s. d. Income-tax reserve .. .. .. .. 6 613 2 3 Loss for the year .. .. .. 117,193 19 7 Balance .. .. .. .. .. 110'580 17 4 £117,193 19 7 £117,193 19 7 Balance .. .. .. .. .. £110,580 17 4 Interest Account for the Year ended 31st March, 1936. T i £ s " £ s - Gr. £ 8. d. £ s d Interest on loans .. .. 752,635 16 9 Interest on mortgages .. 1,175 009 1 1 Less accrued at 31st March, 1935 139,369 1 8 Interest on mortgages: T , , 613,266 15 1 Accrued but not due at Interest on loans overdue and accrued .. .. 176,685 14 1 31st March, 1936 .. 69 14 3 Interest on Housing Insurance Fund .. .. 235 6 7 '' 1,175,078 15 4 Less overdue and accrued at 31st March, 1935 .. 927,304 111 247,774 13 5 Interest on Mortgage Corporation stock .. .. 286,875 0 0 Accrued but not due at 31st March, 1936 .. .. 91,666 18 2 378,541 18 2 Interest on temporary investments .. .. .. 11,151 2 6 Accrued but not due at 31st March, 1936 .. .. 733 11 3 11,884 13 9 Less accrued at 31st March, 1935 .. 1,175 7 5 10,709 6 4 Interest on current account advances .. .. 148 15 1 Interest on outstanding payments .. .. 26 2 10 Balance : Gross loss transferred to Profit and Loss Account., ~ ~ .. .. 152,986 19 11 £790,187 15 9 £790,187 15 9

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ADVANCES TO SETTLERS BRANCH —continued. Management Expenses Account fob the Year ended 31st March, 1936. Dr. £ s. d. Or. £ s. d. Advertising, newspapers, &c. .. .. .. 5 2 7 Consent fees .. .. .. .. 16 16 9 Audit services .. .. ■ • • • 200 0 0 Cost of preparation of mortgages .. .. 81 9 0 Cartage .. .. .. • • • • 810 10 Production fees .. .. .. . . 192 4 9 Cleaning, lighting, heating, and messenger services 104 6 7 Release fees .. .. .. .. .. 146 0 0 Commission .. .. .. ■ ■ • • 208 15 5 Sundry fees .. .. .. .. .. 12 17 2 Employers' liability insurance , . .. .. 4 6 9 Refund of premium on fidelity guarantee bonds .. 35 16 4 Management charges on New Zealand stock and Balance transferred to Profit and Loss Account .. 18,648 18 0 bonds .. .. •• •• •• 3,790 19 2 Meal allowances and overtime .. .. .. 1,7011711 Motor maintenance .. •. • ■ • • 164 10 9 Office maintenance .. .. . • • • 81 610 Postages and telegrams .. •. • • 218 9 2 Post Office services .. .. • • • • 424 15 9 Printing and stationery .. . • • • 227 9 0 Public Service Superannuation Fund contribution 90 9 4 Rent .. .. • ■ ■ • • • 578 10 4 Salaries .. .. • • • • • • 8,332 1 9 Solicitors costs and Court costs .. .. 861 1 10 Telephones .. .. •. ■ ■ • • 69 10 4 Travelling-expenses .. .. .. . • 84 7 2 Typewriters and adding-maehines .. .. 71 8 3 Exchange on remittances .. .. .. 68 13 1 Valuation Department: Agency work .. .. 1,837 9 2 £19,134 2 0 £19,134 2 0 Departmental Note. —In terms of the Mortgage Corporation of New Zealand Act, 1934-35, all mortgages and certain local body investments formerly shown as assets of various branches of the State Advances Office were transferred to the Mortgage Corporation of New Zealand and, in consideration therefor, stock for a certain proportion was issued to the Minister of Finance and the balance shown as a contingent liability of the Corporation. The stock has been allocated to the various branches having regard to the purpose of the several accounts and the nature of the liabilities. These assets which have replaced the mortgages previously held are not legally vested in the Superintendent, but they have been included in the State Advances Office balance-sheets in order to show the financial results of the year's operations. Interest on this stock, together with the proportion of profits payable to the Crown under the Mortgage Corporation of New Zealand Act, 1934-35, is paid to the Public Account where these moneys have been applied in payment of the interest due on the loan-capital held by the various branches of the State Advances Office. These amounts have therefore been reflected in the accounts as presented above. Further legislation will be necessary before the accounts can be finally adjusted. Geo. G. Rose, Superintendent. F. R. Jamieson, Accountant. I hereby certify that the Balance-sheet and accompanying accounts have been duly examined and compared with the books and documents submitted for audit, and correctly state the position as disclosed thereby, subject to the departmental notes enfaced thereon and to the following exceptions : (1) The amount of exchange paid in respect of the interest which has been paid in London on the loans of this account has not been charged to the account, but has been borne by the Consolidated Fund ; (2) the Mortgage Corporation stock should not appear in the Balance-sheet as an investment of the Superintendent. It is vested in the Minister of Finance to whom the stock was issued in exchange for mortgage securities transferred to the Corporation in terms of the Mortgage Corporation of New Zealand Act, 1934-35 ; (3) Contingent Liability of the Mortgage Corporation should not appear among the assets of the Superintendent, as it is not the property of the Superintendent. In terms of the legislation, so long as this liability exists, the surplus profits of the Corporation are payable to the Public Account and not to the State Advances Account; (4) the Profit and Loss Account is overstated to the extent of the interest on the Corporation stock and of the profits of the Corporation which have been paid to the Public Account in accordance with the statute. —G. F. C. Campbell, Controller and Auditor-General.

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RURAL ADVANCES BRANCH. Statement of Liabilities and Assets as at 31st March, 1936. Liabilities. £ s. d. £ s. d. Bonds issued .. .. .. .. 4,213,050 0 0 Investment Account: Advances not due .. 5,000 0 0 Interest on loans — £ s. d. Mortgage Corporation stock issued in accordance Overdue .. .. 39,068 5 3 with section 38 (1) of the Mortgage CorporaAccrued .. .. .. 9,234 I 8 tion of New Zealand Act, 1934-35 .. .. 3,810,195 0 0 48,302 6 11 Contingent Liability of Mortgage Corporation Reserve for bad debts .. .. .. 38,791 11 3 under section 38 (2) of Mortgage Corporation of New Zealand Act, 1934-35 .. .. 254,663 3 1 Interest on Mortgage Corporation stock accrued but not due at 31st March, 1936 .. .. 20,434 2 6 Interest on mortgages accrued .. .. 19 3 7 Interest tax due in accordance with sections 6 and 7of the Finance Act, 1932-33 .. . . 4,481 5 0 Realization Suspense Account .. .. 3,572 1 1 Balance of profits of Mortgage Corporation for the year ended 31st March, 1936, payable in accordance with section 42 of the Mortgage Corporation of New Zealand Act, 1934-35 .. 4,066 16 0 Loan Charges Account .. .. 139,316 10 7 Profit and Loss Account .. .. .. 20,554 17 9 Cash in hand and at bank at 31st March, 1936 .. 37,840 18 7 £4,300,143 18 2 £4,300,143 18 2 Profit and Loss Account for the Year ended 31st March, 1936. Dr. £ S. d. Gr. £ 8 . d. Interest Account : Gross loss for year .. .. 12,668 13 10 Profits from Mortgage Corporation of New Zealand Loan-flotation charges written down .. .. 12,665 2 8 under section 42 of the Mortgage Corporation of Management Expenses Account .. .. 4,559 6 6 New Zealand Act, 1934-35 .. .. .. 6,199 15 9 Recovery of loss on realization .. .. .. 2 19 4 £29,893 3 0 Balance : Net loss for year .. .. .. 23,690 7 11 £ s. d. £29,893 3 0 Loss for the year .. .. .. .. 23,690 7 11 £ s. d. Income-tax reserve .. .. .. .. 3,135 10 2 Balance .. .. .. .. .. 20,554 17 9 £23,690 7 11 £23,690 7 11 Interest Account for the Year ended 31st March, 1936. Dr. £ s. d. £ S. d. Gr. £ s. d. £ s. d. Interest on bonds .. .. 131,215 4 9 Interest on mortgages .. .. 400,684 18 10 Less accrued at 31st March, 1935.. 7,513 4 0 Accrued at 31st March, 1936 .. 19 3 7 123,702 0 9 - Interest on bonds— 400 704 2 5 Overdue .. .. .. 39,068 5 3 Less overdue and accrued at 31st Accrued .. .. .. 9,234 1 8 March, 1935 .. .. 326,022 12 3 48,302 6 11 74,681 10 2 Interest on Mortgage Corporation stock.. .. 64,125 0 0 Interest on Mortgage Corporation stock accrued but not due at 31st March, 1936 .. .. 20,434 2 6 Interest on temporary investment .. .. 80 2 9 Interest on outstanding payments .. .. 14 18 5 Balance : Gross loss transferred to Profit and Loss Account .. .. .. .. .. 12,668 13 10 £172,004 7 8 £172,004 7 8

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RURAL ADVANCES BRANCH —continued. Management Expenses Account for the Year ended 31st March, 1936. D r _ £ s. d.' Or. £ s. d. Audit Office" services .. .. •• •• 90 0 0 Cost of preparation of mortgages .. .. .. 3 2 0 Cleaning and messenger services .. .. • • 50 0 0 Commission . . .. .. .. • • 13 1 3 Postages and telegrams .. .. •• ■■ 79 18 4 Release fees .. . • .. o o Post Office services .. .. •• 100 0 0 Sundry fees .. .. .. •• •• * ° Printing and stationery .. .. •• •• 7000 Balance transferred to Profit and Loss Account . . 4,559 bl> Public Service Superannuation Fund contribution .. 20 0 0 Rent ■ • • • • • • • • ■ 0 0 Salaries . • • • ■ • • • . . 3,495 2 7 Solicitors' costs and Court costs .. .. ■ ■ 172 510 Travelling-expenses .. . • • • • • 30 0 0 Valuation Department : Agency work .. .. 376 4 2 £4,583 10 11 £4,583 10 11 Note. —See departmental note on Advances to Settlers Branch Accounts. Geo. G. Rose, Superintendent. F. R. Jamieson, Accountant. I hereby certify that the Balance-sheet and accompanying accounts have been duly examined and compared with the books and documents submitted for audit, and correctly state the position as disclosed thereby, subject to the departmental notes enfaced thereon and to the following exceptions : (1) The amount of exchange paid in respect of the interest which has been paid in London on the loans of this account has not been charged to the account, but has been borne by the Consolidated Fund; (2) the Mortgage Corporation stock should not appear in the Balance-sheet as an investment of the Superintendent. It is vested in the Miuister of Finance to whom the stock was issued in exchange for mortgage securities transferred to the Corporation in terms of the Mortgage Corporation of New Zealand Act, 1934-35 ; (3) Contingent Liability of the Mortgage Corporation should not appear among the assets of the Superintendent, as it is not the property of the Superintendent. In terms of the legislation, so long as this liability exists, the surplus profits of the Corporation are payable to the Public Account and not to the State Advances Account; (4) the Profit and Loss Account is overstated to the extent of the interest on the Corporation stock and of the profits of the Corporation which have been paid to the Public Account in accordance with the statute. —G. F. C. Campbell, Controller and Auditor-General.

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ADVANCES TO WORKERS BRANCH. Statement of Liabilities and Assets as at 31st March, 1936. Liabilities. £ s. d. Assets. £ s. d. Sundry loans .. .. .. .. 12,097,946 8 1 Mortgage Corporation stock issued in accordSundry creditors .. .. .. 910 17 10 ance with section 38 (1) of the Mortgage Interest on loans— £ s. d. Corporation of New Zealand Act, 1934-35 .. 9,037,380 0 0 Deferred .. .. 66,477 5 3 Contingent Liability of Mortgage Corporation Overdue .. .. 54,783 3 4 under section 38 (2) of the Mortgage Accrued .. .. 105,274 13 8 Corporation of New Zealand Act, 1934-35 .. 3,138,763 11 4 226,535 2 3 Balance of profits of Mortgage Corporation Reserve for bad debts .. .. .. 198,609 4 5 for the year ended. 31st March, 1936, payable Sinking Fund .. .. .. .. 94,402 9 3 in accordance with section 42 of the Mortgage Corporation of New Zealand Act, 1934-35 .. 62,658 18 11 Interest on Mortgage Corporation stock— £ s. d. Overdue at 31st March, 1936 134 16 6 Accrued but not due at 31et March, 1936 .. .. 48,467 11 10 48,602 8 4 Sundry debtors .. .. .. .. 1 16 9 Realization Suspense Account .. .. 5,005 12 2 Loan Charges Account .. .. .. 162,796 17 3 Cash in hand and in bank at 31st March, 1936 68,792 7 10 Sinking Fund Investments held by Advances Office Sinking Fund .. .. .. 94,402 9 3 £12,618,404 1 10 £12,618,404 1 10 Profit and Loss Account for the Year ended 31st March, 1936. Dr. £ s. d. Gr. £ s. d. Interest Account: Gross loss for the year .. 64,002 9 1 Profits from Mortgage Corporation of New Zealand Management Expenses Account .. .. 4,930 4 9 under section 42 of the Mortgage Corporation of Depreciation: Motor-vehicles .. .. 184 0 3 New Zealand Act, 1934-35 .. .. .. 95,519 9 1 Loan-flotation charges written down .. .. 22,134 2 4 Balance: Profit for the year .. .. .. 4,268 12 8 £95,519 9 1 £95,519 9 1 £ s. d. £ s. d. Bad Debts Reserve .. .. .. 4,446 4 4 Income-tax Reserve .. .. .. .. 177 11 8 Profits for the year .. .. .. .. 4,268 12 8 £4,446 4 4 £4,446 4 4 Interest Account for the Year ended 31st March, 1936. Dr. £ s. d. £ s. d. Gr. £ s. d. £ s. d. Interest on loans .. .. 439,047 17 10 Interest on mortgages .. 1,203,497 011 Less accrued at 31st March, Less overdue and accrued at 1935 .. .. .. 105,443 12 11 31st March, 1935 .. 974,875 12 3 333,604 4 11 228,621 8 8 Interest on loans overdue and accrued at 31st Interest op temporary investments .. .. 715 8 11 March, 1936 .. .. .. ... 160,057 17 0 Interest on Mortgage CorporaInterest on Railway expenditure (erection of tion stock .. .. 151,875 0 0 dwellings) .. .. .. .. 222 6 0 Overdue and accrued but not due at 31st March, 1936 .. 48,602 8 4 200,477 8 4 Interest on outstanding payments .. .. 67 12 11 Balance : Gross loss transferred to Profit and Loss Account .. .. .. .. 64,002 9 1 £493,884 7 11 £493,884 7 11

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ADVANCES TO WORKERS BRANCH—continued. Management Expenses Account for the Yeae ended 31st March, 1936. Dr. £ s. d. Cr. £ s. d. Audit Office services .. .. .. .. 150 0 0 Cost of preparation of mortgages .. .. 9 6 6 Cleaning, lighting, heating, and messenger services 100 0 0 Commission .. .. .. .. .. 2,094 11 11 Management charges on New Zealand stock and Release fees .. .. .. .. .. 56 15 0 bonds .. .. .. ■■ ■■ 1,851 18 8 Balance transferred to Profit and Loss Account .. 4,930 4 9 Motor-vehicles maintenance .. .. .. 3271110 Postages and telegrams .. .. .. 129 1 0 Post Office services .. .. .. .. 220 0 0 Printing and stationery .. .. .. 100 0 0 Public Service Superannuation Fund contribution 40 0 0 Rent .. .. .. .. .. 260 0 0 Salaries .. .. .. .. .. 3,680 0 0 Solicitors costs and Court costs .. .. .. 116 11 4 Sundry fees .. .. .. •. .. 40 14 4 Travelling-expenses .. .. .. .. 25 0 0 Valuation Department: Agency work .. .. 50 1 0 £7,090 18 2 £7,090 18 2 Note.—See departmental note on Advances to Settlers Branch. G-eo. G. Rose, Superintendent. F. R. Jamieson, Accountant. I hereby certify that the Balance-sheet and accompanying accounts have been duly examined and compared with the books and documents submitted for audit, and correctly state the position as disclosed thereby, subject to the departmental notes enfaced thereon and to the following exceptions : (1) The amount of exchange paid in respect of the interest which has been paid in London on the loans of this account has not been charged to the account, but has been borne by the Consolidated Fund ; (2) the Mortgage Corporation stock should not appear in the Balance-sheet as an investment of the Superintendent. It is vested in the Minister of Finance to whom the stock was issued in exchange for mortgage securities transferred to the Corporation in terms of the Mortgage Corporation of New Zealand Act, 1934-35 ; (3) contingent liability of the Mortgage Corporation should not appear among the assets of the Superintendent as it is not the property of the Superintendent. In terms of the legislation, so long as this liability exists, the surplus profits of the Corporation are payable to the Public Account and not to the State Advances Account; (4) the Profit and Loss Account is overstated to the extent of the interest on the Corporation stock and of the profits of the Corporation which have been paid to the Public Account in accordance with the statute. —G. F. C. Campbell, Controller and Auditor-General.

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LOCAL AUTHORITIES BRANCH. Statement of Liabilities and Assets as at 31st March, 1936. Liabilities. £ s. d. Assets. £ s. d. Sundry loans .. .. .. .. 2,778,690 15 7 Mortgage Corporation Reserve Contribution Loan moneys: Unexpended balance under Account .. .. .. .. 2,750,443 5 5 section 72, Local Bodies' Loans Act, 1913 .. 3,987 12 10 Loan Charges Account .. .. .. 23,530 22 Temporary loan from Public Debt Sinking Fund 449 11 0 Amount due by Mortgage Corporation pursuant Sundry creditors for management expenses .. 655 3 2 to section 35 of the Mortgage Corporation of Premium on conversion .. .. .. 432 15 10 New Zealand Act, 1934-35, but not paid at Interest on loans accrued but not due .. 11,580 15 7 31st March, 1936 .. .. .. 6,821 2 0 Sinking Fund .. .. .. 81,091 0 9 Interest paid in advance .. .. .. 14,053 7 2 Profit and Loss Account . . . . .. 948 17 3 Sinking Fund Investments held by Advances Office Sinking Fund .. .. .. 81,091 0 9 £2,876,887 14 9 £2,876,887 14 9 Profit and Loss Account for the Year ended 31st March, 1936. Dr. £ s. d. Gr. £ s. d. Management Expenses Account .. .. 1,073 3 1 Income-tax Reserve Account .. .. .. 2,104 4 7 Loan-flotation charges written down .. .. 1,116 10 4 Balance: Loss for the year .. .. .. 948 17 3 Balance: Interest Account .. .. .. 863 8 5 £3,053 1 10 £3,053 1 10 Interest Account for the Year ended 31st March, 1936. Dr. £ s. d. £ s. d. Cr. £ s. d. £ s. d. Interest on.loans .. .. 102,722 0 8 Interest on debentures .. 31,142 22 Less accrued at 31st March, 1935 11,580 15 7 Accrued interest taken over by 91,141 5 1 Mortgage Corporation .. 21,624 12 3 Interest on loans accrued but not due .. 11,580 15 7 , 52,766 14 5 Less overdue and accrued at 31st March, 1935.. .. 32,729 4 2 20,037 10 3 Interest payable in accordance with section 35 of the Mortgage Corporation of New Zealand Act, 193f-35 .. .. .. .. 81,821 2 0 Balance transferred to Profit and Loss Account .. 863 8 5 £102,722 0 8 £102,722 0 8 Management Expenses Account for the Year ended 31st March, 1936. Dr. £ s. d. Gr. £ s . d. Audit Office services .. .. .. .. 30 0 0 Payment for forms .. .. .. .. 60 0 0 Cleaning, lighting, heating, and messenger services 20 0 0 Balance transferred to Profit and Loss Account .. 1,073 3 1 Management charges : New Zealand stock and bonds 446 17 8 Postages and telegrams .. .. .. 25 0 0 Post Office services .. .. .. .. 30 0 0 Printing and stationery .. .. .. 35 0 0 Public Service Superannuation Fund contribution 15 0 0 Rent .. .. .. .. .. 40 0 0 Salaries .. .. .. .. 491 5 5 £1,133 3 1 £1,133 3 1 Note. —See departmental note on Advances to Settlers Branch Accounts. Geo. G. Rose, Superintendent. F. R. Jamieson, Accountant. I hereby certify that the Balance-sheet and accompanying accounts have been duly examined and compared with the books and documents submitted for audit, and correctly state the position as disclosed thereby, subject to the departmental notes enfaced thereon and to the following exceptions : (1) The amount of exchange paid in respect of the interest which has been paid in London on the loans of this account has not been charged to the account, but has been borne by the Consolidated Fund ; (2) the Mortgage Corporation Reserve Contribution Account which represents the capital moneys secured by local body debentures transferred to the Corporation should not appear in the Balance-sheet as an investment of the Superintendent as it is not the property of the Superintendent. In terms of the legislation the Corporation is required to pay to Public Account interest on these moneys which form part of the General Reserve Fund of the Corporation ; (3) the Profit and Loss Account is overstated to the extent of the interest payable on the amount of the debentures so transferred in accordance with section 35 of the Mortgage Corporation of New Zealand Act, 1934-35. The interest payable is required to be paid to Public Account and not the State Advances Account; (4) accumulated losses amounting to £121,125 os. sd. have been written off against the Sinking Fund contrary to the purpose for which that Fund was established. —G. F. C. Campbell, Controller and Auditor-General.

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PUBLIC DEBT SINKING FUND BRANCH. Statement of Liabilities and Assets as at 31st Mabch, 1936. Liabilities. £ s. d. Assets. £ s. d. Sinking Fund created under the provisions of Investment Account— 0 the Public Debt Extinction Act, 1910 ..3,258,955 19 4 Advances not due : Local bodies .. . . 1,616,410 310 Suspense Account •• 63 1 7 Instalments of principal overdue: Local bodies 12,028 16 11 Management Account .'! .. •• 33 12 0 Contingent liability of Mortgage Corporation Interest due to Consolidated Fund ill accordance under section 38 (2) of the Mortgage Corporawith section 12 (a), Repayment of Public tion of New Zealand Act, 1934 35 .. .. 1,-42,802 11 8 Debt Act 1925 £ s. d. Temporary advance to Local Authorities Branch 449 11 0 In hand at 31st March, 1936 .. 76,941 11 3 Balance of profits of Mortgage Corporation for the Overdue at 31st March. 1936 .. 17,486 14 8 year ended 31st March, 1936, payable m acAccrued at 31st March, 1936 .. 16,743 13 1 cordance with section 42 of the Mortgage Cor- lft . 111,171 19 0 poration of New Zealand Act, 1934-35 .. 23,402 10 0 in aHvanw .. 285 7 7 Interest overdue on. loans to local bodies .. 17,486 14 8 interest paia am ance .. Interest accrued on loans to local bodies .. 16,743 13 1 Cash at bank .. .. .. .. 441,185 18 4 £3,370,509 19 6 £3,370,509 19 6 Interest Account foe the Year ended 31st March, 1936. j) r £ s. d. Gr. Interest on invesfinents due to Interest on loans to £ s. d. £ s. d. Consolidated Fund in.accord- Settlers .. .. .. "L 449 7 7 ance with section 12 (a), Be- Workers 2,275 lb 11 pavment of the Public Debt Local bodies .. .. 59,374 9 1 Act 1925 — £ s. Pafd to Treasury .. ..88,015 311 123,099 13 7 In hand at 31st March, 193b .. 76,941 11 3 Less overdue and accrued at Overdue at 31st March, 1936 .. 17,486 14 8 31st March, 1935 ..67,389 6 7 Accrued at 31st March, 1936 .. 16,743 13 1 „ ~TZ ' - Profits from Mortgage Corporation ot JNew Zea--199,187 2 11 land for the year ended 31st March, 1936, in Less overdue and accrued at ' accordance with section 42 of the Mortgage 31st March 1935 .. 67,389 6 7 Corporation of New Zealand Act, 1934-35 .. 35,675 18 8 — 131,797 16 4 Interest on temporary investments . . 4,213 8 6 Conversion premiums .. .. 1,96714 5 Interest overdue at 31st March,l936, on loans to local bodies .. .. .. •• 17,486 14 8 Interest accrued at 31st March, 1936, on loans to local bodies .. .. .. •• 16,743 13 1 £131,797 16 4 Note—The assets of this Branch include local body investments transferred from the Advances Office Sinking Fund without legislative authority. See also departmental note on Advances to Settlers Branch Accounts. Geo. G. Rose, Superintendent. F. R. Jamieson, Accountant. I hereby certify that the Balance-sheet and accompanying accounts have been duly examined and compared with the books and documents submitted for audit, and correctly state the position as disclosed thereby, subject to the departmental notes enfaced thereon and to the following exceptions : (1) The contingent liability of the Mortgage Corporation should not appear among the assets of the Superintendent as it is not the property of the Superintendent. In terms of the legislation, so long as this liability exists, the surplus profits of the Corporation are payable to the Public Account and not to the State Advances Account; (2) the Interest Account is overstated to the extent of the profits of the Corporation which have been paid to the Public Account in accordance with the statute. —G. F. C. Campbell, Controller and Auditor-General)

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ADVANCES OFFICE SINKING FUND ACCOUNT. Statement of Liabilities and Assets as at 31st Maech, 1936. Liabilities. £ s. d. Assets. £ s. d. Sinking Fund .. .. .. .. 2,249,547 7 7 Contingent liability of Mortgage Corporation Interest earned for the year under section 38 (2) of the Mortgage Corporaended 31st March, 1936— £ s. d. tion of New Zealand Act, 1934-35 .. .. 2,263,608 3 5 Settlers Branch .. .. 11,493 19 0 Workers Branch .. .. 574 5 4 Local Authorities Branch .. 1,992 11 6 14,060 15 10 £2,263,608 3 5 £2,263,608 3 5 Note.—The Advances Office Sinking Fund is held by the following branches : Settlers, £2,088,114 13s. 5d.; Workers, £94,402 9s. 3d.; Local Authorities, £81,091 os. 9d.. Total, £2,263,608 3s. sd. Interest Account for the Year ended 31st March, 1936. Dr. £ s. d. Gr. Interest on investments transferred to Sinking Fund Interest on loans to—■ £ s. d. £ s. d. Account .. .. .. .. .. 14,060 15 10 Settlers .. .. .. 40,124 14 4 Workers .. .. .. 2,271 15 4 Local bodies.. .. .. 5,915 14 10 48,312 4 6 Less overdue and accrued at 31st March, 1936.. .. 34,252 14 4 14,059 10 2 Interest on outstanding payments .. .. 15 8 £14,060 15 10 £14,060 15 10 Note. —Incidental to the apportionment of the Mortgage Corporation stock and contingent liability the local authority debentures held by the Advances Office Sinking Fund were transferred to the Public Debt Sinking Fund in exchange for contingent liability. Portion of these funds amounting to £121,125 os. 5d., which represented investments of the sinking fund of the Local Authorities Branch, has been used for writing off an accumulated loss in that Branch, previously carried forward, although this is not authorized by the present statutes. See also departmental note on Advances to Settlers Branch Accounts. Geo. G. Rose, Superintendent. F. R. Jamieson, Accountant. I hereby certify that the Balance-sheet and accompanying accounts have been duly examined and compared with the books and documents submitted for audit, and correctly state the position as disclosed thereby, subject to the departmental notes enfaced thereon and to the following exceptions : (1) The contingent liability of the Mortgage Corporation should not appear among the assets of the Superintendent as it is not the property of the Superintendent. In terms of the legislation, so long as this liability exists, the surplus profits of the Corporation are payable to the Public Account and not to the State Advances Account; (2) the assets of the fund should include local body investments which have been transferred to the Public Debt Sinking Fund Branch without legislative authority.—G. F. C. Campbell, Controller and Auditor-General.

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MISCELLANEOUS BUSINESS BRANCH. -HOUSING ACCOUNT. Statement of Liabilities and Assets as at 31st March, 1936. Liabilities. Assets. £ s. d. £ s. d. Investment Account : Advances £ s. d. £ s. d. Sundry loans .. .. .. 412,388 9 4 not due — Less loan liability redeemed and Dwellings purchased .. .. 243,352 9 6 discharged from Consolidated Sections purchased .. .. 1,353 15 11 Fund .. .. .. 19,468 9 4 Advances .. .. .. 120 1 8 244,826 7 1 392,920 0 0 Instalments of principal overdue — Less loan liability redeemed by Dwellings purchased .. .. 7,901 6 5 Public Debt Repayment Ac- Sections purchased .. . , 151 12 3 count .. .. .. 100 0 0 Advances .. .. .. 36 18 1 392,820 0 0 8,089 16 9 Liability to Consolidated Fund in terms of section 22, Finance Act, 1926 .. .. 100 0 0 Principal owing by mortgagors.. .. .. 252,916 3 10 Sundry creditors .. .. .. .. 201 15 1 Dwellings let .. .. .. .. 31,175 8 11 Suspense Account .. .. .. .. 19 2 7 Freehold land .. .. .. .. 23,934 7 2 Insurance Fund .. .. .. .. 9,614 10 3 Sinking Fund investment held by Public Debt Interest on loans — £ s. d. Redemption Fund .. . . .. .. *5,027 15 9 Overdue .. .. .. 6,883 8 9 Insurance Fund investment held by Settlers Branch 8,079 13 11 Accrued .. .. .. 5,129 11 6 Sundry debtors .. .. .. .. 90 4 5 12,013 0 3 Interest on dwellings and land— £ s. d. Reserve for bad debts .. .. .. 18,787 16 2 Overdue .. .. .. 7,333 15 1 Sinking Fund .. .. .. .. 1,672 15 11 Accrued .. .. .. 73 17 2 7,407 12 3 Rent overdue .. .. .. .. 2,223 4 8 Insurance premiums— £ s. d. Overdue .. .. .. 398 6 5 Paid in advance .. .. 202 2 5 600 8 10 Realization Suspense Account .. .. .. 8,980 11 9 Profit and Loss Account .. .. .. 82,463 18 8 Cash in hand and in bank at 31st March, 1936 .. 12,329 10 1 £435,229 0 3 £435,229 0 3 * This amount includes the sum of £3,354 19s. lOd. capital paid into the Sinking Fund in accordance with the Public Debt Extinction Act, 1910. Profit and Loss Account for the Year ended 31st March, 1936. Dr. £ s. d. Or. £ s. d. Management Expenses Account .. .. 1,484 8 1 Profit from sale of land .. .. .. 183 19 0 Dwellings maintenance .. .. .. 542 0 8 Balance: Loss for the year .. .. .. 2,912 11 3 Interest Account: Loss .. .. .. 1,070 1 6 £3,096 10 3 £3,096 10 3 £ s. d. £ s. d. Balance as at 31st March, 1935 .. .. 79,551 7 5 Balance .. .. .. .. .. 82,463 18 8 Loss for the year .. .. .. .. 2,912 11 3 £82,463 18 8 £82,463 18 8 Interest Account for the Year ended 31st March, 1936. Dr. £ s. d. £ s. d. Cr. £ s. d. £ s. d. Interest on loans .. .. 13,766 17 6 Interest on land and dwellings .. 13,064 13 10 Less accrued at 31st March, Less overdue and accrued at 1935 .. .. .. 5,129 11 6 31st March, 1935 .. .. 7,806 6 6 8,637 6 0 5,258 7 4 Interest on loans accrued but not due .. .. 5,129 11 6 Interest on temporary investments .. .. 30 16 5 Interest on dwellings and land— £ s. d. Overdue at 31st March, 1936 .. 7,333 15 1 Accrued but not due at 31st March, 1936 .. .. 73 17 2 7,407 12 3 Balance : Gross loss transferred to Profit and Loss Account .. .. .. .. .. 1,070 1 6 £13,766 17 6 £13,766 17 6 Management Expenses Account for the Year ended 31st March, 1936. Dr. £ s. d. Cr. £ s . d. Audit services .. .. .. .. 90 0 0 Tranfer fees .. .. .. .. .. 400 Cleaning, lighting, heating, and messenger services 25 0 0 Balance transferred to Profit and Loss Account .. 1,484 8 1 Commission .. .. .. .. .. 457 14 7 Postages and telegrams .. .. .. 35 14 0 Post Office services .. .. .. .. 40 0 0 Printing and stationery .. .. .. 22 11 6 Public Service Superannuation Fund contribution 15 0 0 Rent .. .. .. .. .. 30 0 0 Salaries .. .. .. .. .. 745 0 0 Solicitors' costs .. .. .. .. 9 10 Sundry fees .. .. .. .. .. 200 Valuation Department : Agency work .. .. 16 7 0 £1,488 8 1 £1,488 8 1 Geo. 6. Rose, Superintendent. F. R. Jamieson, Accountant. I hereby certify that the Balance-sheet and accompanying accounts have been duly examined and compared with the books and documents submitted for audit, and correctly state the position as disclosed thereby.—G. F. C. Campbell, Controller and Auditor-General.

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FISHING-INDUSTRY PROMOTION ACCOUNT. Statement of Liabilities and Assets as at 31st March, 1936. Liabilities. £ s. d. £ s. d. Assets. £ s. d. Sundry loans .. . ■ .. 2,521 19 2 Investment Account : Instalments of principal overLess loan liability redeemed and dis- due .. .. .. ■ • . ■ 75 8 6 charged from Consolidated Fund 1,036 19 2 Sinking Fund investments held by Public Debt Redemption Fund . . .. .. .. *60 14 0 1,485 0 0 Interest on bills of sale overdue .. .. •. 8 18 Less loan liability redeemed by Public Sundry debtors .. .. .. .. •• 1950 Debt Repayment Account .. 1,060 0 0 Profit and Loss Account .. .. .. .. 270 17 0 Cash in hand and in bank as at 31st March, 1936 .. 515 3 425 0 0 Less loan liability repaid . . .. 425 0 0 Liability to Consolidated Fund in terms of section 22, Finance Act, 1926 . . . . . . . ■ 415 0 0 Interest on loans accrued .. .. .. 5 10 10 Sinking Fund .. .. .. .. .. 19 10 7 £440 I 5 £440 1 5 * This amount includes the sum of £41 3s. sd. capital paid into the Sinking Fund in accordance with the Public Debt Extinction Act, 1910. Profit and Loss Account for the Year ended 31st March, 1936. Dr. £ s. d. I Or. £ s. d. Management Expenses Account . . .. .. 10 0 0 Balance : Loss for year .. .. .. .. 18 14 3 Interest Account : Gross loss .. .. .. 8 14 3 £18 14 3 £18 14 3 £ s. d. £ s. d. Balance as at 31st March, 1935 .. .. • • 252 2 9 Balance .. .. .. .. .. 270 17 0 Loss for the year .. .. •. .■ 18 14 3 £270 17 0 £270 17 0 Interest Account for the Year ended 31st March, 1936. Dr. £ s. d. £ s. d. Cr. £ s. d. £ s. d. Interest on loans .. .. .. 14 17 6 Interest on temporary investments . . 6 3 3 Less accrued at 31st March, 1935 .. 5 10 10 Interest on bills of sale overdue at 31st March, 9 6 8 1936 .. . . .. ..8 1 8 Interest on loans accrued but not due .. . . 5 10 10 14 4 11 Less interest on bills of sale overdue at 31st March, 1935 .. .. .. .. .. ..818 6 3 3 Balance transferred to Profit and Loss Account .. 8 14 3 £14 17 6 £14 17 6 Management Expenses Account for the Year ended 31st March, 1936. Dr. £ s. d. Gr. £ s. d. Administration expenses .. .. .. .. 10 0 0 Balance transferred to Profit and Loss Account .. 10 0 0 £10 0 0 £10 0 0 Geo. G. Rose, Superintendent. F, R. Jamieson, Accountant. I hereby certify that the Balance-sheet and accompanying accounts have been duly examined and compared with the books and documents submitted for audit, and correctly state the position as disclosed thereby. —G. F. C. Campbell, Controller and Auditor-General.

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FRUIT-PRESERVING INDUSTRY ADVANCES ACCOUNT. Statement of Liabilities and Assets as at 31st March, 1936. Liabilities. Assets. £ s. d. £ s. d. Investment Account — £ s. d. £ s. d. Sundry loans .. .. .. 43,858 14 3 Advances not due .. .. 18,616 12 6 Less loan liability redeemed and Instalments overdue .. .. 3, 452 6 1 discharged from Consolidated — 22,068 18 7 Fund .. .. .. 6,008 14 3 Sundry debtors .. .. .. .. 47 18 6 • Instalments postponed: Interest .. .. 299 15 0 37,850 0 0 Sinking Fund investments held by Public Debt Less loan liability redeemed by Redemption Fund . . .. .. . . *912 18 6 Public Debt Repayment Ac- Interest on mortgages — £ s. d. count .. .. .. 5,000 0 0 Overdue . . .. 1,000 6 9 ■ Accrued .. .. .. 151 12 4 32,850 0 0 1,151 19 1 Less loan liability repaid .. 3,000 0 0 Realization Suspense Account .. .. .. 7,962 9 1 29,850 0 0 Profit and Loss Account .. .. .. 3,712 12 8 Liability to Consolidated Fund in terms of section Cash in hand and in bank at 31st March, 1936 .. 541 8 4 22, Finance Act, 1926 . . .. .. 5,000 0 0 Interest on loans accrued .. .. .. 428 8 1 Reserve for bad debts .. .. .. 1,119 10 0 Sinking Fund .. .. .. . • 300 1 8 £36,697 19 9 £36,697 19 9 * This amount includes the sum of £612 16s. lOd. capital paid into the Sinking Fund in accordance with the Public Debt Extinction Act, 1910. Profit and Loss Account fob the Year ended 31st March, 1936. Dr. £ s. d. Cr. £ s. d. Management Expenses Account .. .. 69 19 0 Interest Account— Gross profits . . .. .. .. .. 2 15 5 Balance : Loss for the year .. .. .. 67 3 7 £69 19 0 £69 19 0 £ s. d. £ s. d. Balance as at 31st March, 1935 .. .. .. 3,678 17 10 Income-tax reserve .. .. .. .. 33 8 9 Loss for the year .. .. .. .. 67 3 7 Balance .. .. .. .. .. 3,712 12 8 £3,746 1 5 £3,746 1 5 Interest Account for the Year ended 31st March, 1936. Dr. £ s. d. £ s. d. Gr. £ s. d. £ s. d. Interest on loan capital .. .. 1,149 15 0 Interest on mortgages .. .. 2,938 12 8 Less accrued at 31st March, 1935.. 428 8 1 Interest on mortgages — 721 6 11 Overdue at 31st March, 1936 .. 1,000 6 9 Accrued at 31st March, 1936 . . .. .. 428 8 1 Accrued at 31st March, 1936 .. 151 12 4 1,149 15 0 . 4,090 11 9 Balance to Profit and Loss Account .. .. 2 15 5 Less overdue at 31st March, 1935 2,950 7 11 1,140 3 10 Interest on temporary investment .. .. 12 6 7 £1,152 10 5 £1,152 10 5 Management Expenses Account for the Year ended 31st March, 1936. Dr. £ s. d. Cr. £ s. d. Administration expenses .. .. .. .. 64 19 0 Profit and Loss Account .. .. .. 69 19 0 Audit Office services .. .. .. .. 5 0 0 £69 19 0 £69 19 0 Geo. G. Rose, Superintendent. F. R. Jamieson, Accountant. I hereby certify that the Balance-sheet and accompanying accounts have been duly examined and compared with the books and documents submitted for audit, and correctly state the position as disclosed thereby. —G. F. C. Campbell, Controller and Auditor-General.

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COLD-STORAGE ADVANCES ACCOUNT. Statement of Liabilities and Assets as at 31st March, 1936. Liabilities. Assets. £ s. d. £ s. d. £ s. d. Investment Account .. .. .. .. 12,141 13 7 Sundry loans .. .. 36,500 0 0 Sinking Fund investments .. .. .. 1,383 9 3 Less loan liability redeemed and - Interest on mortgages— £ s. d. discharged from Consolidated Overdue .. .. .. 1,228 410 Fund .. .. .. 7,500 0 0 Accrued .. .. .. 236 9 2 1,464 14 0 29,000 0 0 Suspense Account .. .. .. .. 33 5 0 Less loan liability redeemed by Profit and Loss Account .. .. .. 14,311 18 6 Public Debt Repayment Account .. .. • • 1,530 0 0 27,470 0 0 Less loan liability repaid .. 8,700 0 0 18,770 0 0 Capital Reduction Account .. .. • • 7,500 0 0 Liability to Consolidated Fund in terms of section 22, Finance Act, 1926 .. .. .. 1,530 0 0 Interest on loans accrued .. .. ■ • 678 5 9 Reserve for bad debts ■ ■ ■ • • • 61 16 5 Sinking Fund .. .. . • • • 794 18 2 £29,335 0 4 £29,335 0 4 Profit and Loss Account as at 31st March, 1936. Dr. £ s. d. Gr. £ s. d. Management Expenses Account . ■ •. 510 3 Balance : Loss for the year .. .. .. 325 13 10 Balance: Interest Account .. ■ . . • 274 13 7 £325 13 10 £325 13 10 £ s. d. £ s. d. Balance as at 31st March, 1935 .. -. 13,986 4 8 Balance .. .. .. .. .. 14,311 18 6 Loss for the year .. . • ■ • • • 325 13 10 £14,311 18 6 £14,311 18 6 Interest Account for the Year ended 31st March, 1936. Dr. £ s. d. £ s. d. Gr. £ s. d. £ s. d. Interest on loans .. .. .. 480 14 6 Interest on mortgages .. .. 571 15 10 Less accrued at 31st March, 1935 .. 197 11 3 Interest on mortgages— 283 3 3 Overdue at 31st March, 1936 .. 1,228 4 10 Interest overdue at 31st March, 1936 .. 480 14 6 Accrued at 31st March, 1936 .. 236 9 2 Interest accrued at 31st March, 1936 .. 197 11 3 678 5 9 2,036 9 10 Less overdue and accrued at 31st March, 1935 .. .. 1,399 0 9 637 9 1 Interest on temporary investment .. .. 49 6 4 Balance to Profit and Loss Account .. .. 274 13 7 £961 9 0 : £961 9 0 j wManagement Expenses Account for the Year ended 31st March, 1936. Dr. £ s. d. Gr. £ s. d. Administration expenses .. .. . • ■ • 46 0 3 Balance transferred to Profit and Loss Account .. 51 0 3 Audit Office services .. .. • ■ • • 5 0 0 £51 0 3 £51 0 3 Geo. Gr. Rose, Superintendent. F. E. Jamieson, Accountant. I hereby certify that the Balance-sheet and accompanying accounts have been duly examined and compared with the books and documents submitted for audit, and correctly state the position as disclosed thereby. —G. F. C. Campbell, Controller and Auditor-General,

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REPATRIATION. Statement of Liabilities and Assets as at 31st March, 1936. Liabilities. Assets. Liability to Redemption Account as at Ist April, £ s. d. Investment Account: Principal £ s. d. £ s. d. 1925 .. .. .. .. 1,290,182 2 1 owing on bills of sale .. 175,572 4 2 Less repayments to 31st March, 1936 .. 194,949 6 4 Less Suspense adjustments .. 145 12 4 1,095,232 15 9 175,426 11 10 Less expenditure irrecover- £ s. d. Writings-off in Suspense .. 4,934 19 8 able to 31st March, 1935 912,868 8 2 180,361 11 6 Losses on realization for the Interest on bills of sale overdue .. .. 4,077 6 1 year ended 31st March, Cash in hand and in bank at 31st March, 1936 .. 667 5 4 1936 .. .. . . 1,218 4 3 Management Expenses Account for the year ended 31st March, 1936 .. 784 11 10 914,871 4 3 Liability to Redemption Account as at 31st March, 1936 .. .. .. .. 180,361 11 6 Sundry creditors— £ s. d. Principal (Treasury) .. 482 5 9 Interest (Treasury) .. 83 17 5 Commission .. .. 76 9 1 642 12 3 Suspense Account .. .. .. 24 13 1 Interest on advances from War Expenses Account overdue .. .. .. 4,077 6 1 £185,106 2 11 £185,106 2 11 Interest Account fob the Year ended 31st March, 1936. Dr. £ s. d. Or. £ s. d. £ s. d. Interest paid to Treasury .. . . .. 659 14 9 Interest on bills of sale .. .. 712 15 9 Interest in hand due to Treasury at 31st March, 1936 83 17 5 Interest on bills of sale overdue at 31st Interest due to Treasury overdue at 31st March, 1936 4,077 6 1 March, 1936 .. .. .. 4,077 6 1 4,820 18 3 4,790 1 10 Less interest due to Treasury overdue at 31st Less overdue at 31st March. 1935 .. 4,482 12 11 March, 1935 .. .. .. .. 4,482 12 11 307 8 11 Interest on investment .. .. .. .. 30 16 5 £338 5 4 £338 5 4 Management Expenses Account for the Year ended 31st March, 1936. Dr - . £ s. d. Or. £ S. d. Audit Office services .. .. .. .. 30 0 0 Balance recouped in accordance with section 13 (3), Commission .. .. .. .. 98 18 6 State Ad vances Amendment Act, 1922 .. .. 784 11 10 Cleaning and messenger services .. .. .. 30 0 0 Contingencies .. .. .. .. .. 039 Postages and telegrams .. .. .. .. 70 0 0 Post Office services .. .. .. .. 105 0 0 Printing and stationery .. .. .. .. 25 0 0 Rent .. ' .. .. .. .. 75 0 0 Salaries .. .. .. .. .. 300 18 0 Solicitors costs .. .. . . .. .. 49 11 7 £784 11 10 £784 11 10 Geo. G-. Rose, Superintendent. F. R. Jamieson, Accountant. I hereby certify that the Balance-sheet and accompanying accounts have been duly examined and compared with the books and documents submitted for audit, and correctly state the position as disclosed thereby.—-G. F. C. Campbell, Controller and Auditor-General.

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