8.—14

The nineteen District Public Trustees and one of the District Managers of the Public Trust Office have, in terms of the Act, been appointed local representatives of the Board, under the designation of " District Intermediate Credit Supervisor," the Supervisor at the headquarters of the district board being, by virtue of his office as Supervisor, the chairman of the district board. District Intermediate Credit Supervisors have certain definite functions and duties in terms of the Act and the regulations ; for example, in addition to dealing with applications originating in their districts, they are statutory directors of any associations formed in their districts. In other towns the District Managers of the Public Trust Office are also local representatives of the Board, but their functions are confined mainly to the handling of inquiries and the carrying-out of the directions of their controlling District Intermediate Credit Supervisors. INAUGURATION OF SYSTEM. 11. During the period which elapsed between the passing of the Rural Intermediate Credit Act, 1927, and the first meeting of the Rural Intermediate Credit Board on the 17th February, 1928, a considerable amount of work was performed by the Public Trust Office organization in preparing for the commencement of the Board's operations. Much attention was devoted to the consideration of provisions thought suitable for inclusion in the regulations, and information was gathered through the branch officers of the Public Trust Office in regard to matters involving local knowledge, such as suitable persons for appointment to the district boards and the system of valuation, so that thesejmatters might be considered by the Board immediately upon its appointment. So far as it was possible prior to that event the accounting system had been set up, a record system established, and all necessary forms and records, including forms to enable loan applications to be considered, had been drafted ; so that, subject to the general policy of the Board in regard to its lending business being defined, and certain steps, such as the appointment of district boards, determination of the method of valuation to be adopted and so forth, being taken, matters were fully in train for the immediate commencement- of the Board's operations. Appreciative reference was made at the first meeting of the Board to the efficient manner in which the extensive preliminary work had been carried out by the Public Trust Office organization. PROPAGANDA WORK. 12. From the time when the Rural Intermediate Credit Bill was introduced into Parliament considerable interest has been shown in the scheme throughout the Dominion, and when the measure had passed through Parliament, and more so when the Act was in operation, there was considerable demand upon the part of the farming community and others for authoritative expositions of the system. It was desirable, too, from the point of view of the Board, to take advantage of any opportunities that were afforded to explain the system", as, notwithstanding the wide publicity given by the press to the parliamentary debates upon the Bill and official statements regarding the scheme, many misapprehensions had arisen as to the objects aimed at by the measure, the classes of security which the Board was authorized to accept, the various methods by which loans might be applied for, and, at a later date, the policy of the Board in regard to its lending business and related matters. As it was felt that the Farmers' Union and its branches throughout the Dominion would be interested to see that the farming community was made conversant with the details of the legislation passed in their interests, an early opportunity was taken of conveying to the Dominion executive of the union the willingness of the Commissioner to co-operate with it in making the system widely known, and particularly by attending personally or arranging for the Deputy Commissioner or the nearest District Intermediate Credit Supervisor to attend meetings of farmers convened for the purpose of having the system explained to them. At the request of the union the Commissioner delivered, on the 3rd May last, an address dealing with the system to the Dominion executive of the union, and at the conclusion of the meeting discussed with the Dominion president and the Dominion secretary the best means of bringing particulars of the scheme before the notice

2 —B. 14.

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