B.—l 3a.

1936. NEW ZEALAND.

STATE ADVANCES CORPORATION. ANNUAL REPORT AND ACCOUNTS FOR THE PERIOD ENDED 31st MARCH, 1936.

Laid before both Houses of the General Assembly in pursuance of Section 42 of the State Advances Corporation Act, 1936.

CHAIRMAN'S REPORT FOR PERIOD ENDED 31st MARCH, 1936, WITH ADDENDA TO 30th JUNE, 1936. In presenting the accounts of the Mortgage Corporation for the period ended 31st March, 1936, and the Auditors' report thereon, it is fitting that I should place on record the developments since the Board of Management was constituted. The Mortgage Corporation of New Zealand was incorporated on the Ist July, 1935, and the first meeting of the Board of Management was held in Wellington on the 17th July, 1935, all the directors being present. The Board has appointed the following chief administrative officers : — Manager . . . . • • . . Mr. G. E. Miller. Secretary . . • • ■ ■ . . Mr. F. E. Mitchell. Chief Accountant . . . . • • Mr. K. J. Caver hill. Accountant . . • • • • Mr. 11, Robertson. Chief Supervising Valuers . . .. Messrs. H. M. Caselberg and B. C. A. McCabe. The share capital of the Corporation in accordance with the statute is £1,000,000, divided into 1,000,000 shares of £l each, and of these shares 500,000 were issued to the public and 500,000 were by statute issued to the Minister of Finance on behalf of the Crown. The shares issued to the public were more than three times subscribed, and the application and allotment money amounting to ss. per share in all was promptly paid. A further call of ss. per share became due on the Ist April, 1936, and a substantial portion of this call was actually paid before the 31st March, and is reflected in the balance-sheet. The final call of 10s. per share would in normal circumstances have become due 011 the Ist June, 1936. Section 36 of the Mortgage Corporation of New Zealand Act, 1934-35, provided for the transfer of securities of the following classes to the Corporation (a) Mortgages vested in the State Advances Superintendent in respect of advances to settlers or workers under the State Advances Act, 1913. (b) Mortgages vested in the State Advances Superintendent in respect of advances made under the Rural Advances Act, 1926. Provision was also made for the transfer of discharged soldiers' settlement mortgages and mortgages held bv the Bands Department m respect of advances for landdevelopment purposes. I—B. 13A.