B—l [PT. IV

SMALL FARMS SCHEME—continued Balance Sheet as at 31st March, 1944 Liabilities Assets Capital— £ £ Land— £ £ National development .. .. 2,143,084 Leased .. .. .. ~ 88,798 Land for Settlements Account .. 02,066 Unleased .. .. .. .. 7,218 Consolidated Fund .. .. .. 39,000 Purchase-price of areas being developed 2,244,150 including value of Crown and other Subsidies— land set aside .. .. .. 508,289 Employment Promotion Fund .. 469,261 604,305 Consolidated .Fund .. .. 543,379 Blocks under development— 1,012,640 Gross capital expenditure on development 1,873,372 Loan from Social Security Fund .. 3,161 Expenditure on live-stock and farm Land donated .. .. .. .. 423 workings .. .. . . 258,707 Land set aside for small farms— Chattels (including store buildings) .. 54,634 Crown lands .. .. .. 67,790 2,186,713 Education endowment lands .. .. 3,475 Loan to Napier Harbour Board: Ahuriri — 71,265 Lagoon .. .. .. .. 33,446 Rent accrued: Crown Lands Account .. .. 139 Accrued Interest .. .. .. 5,542 Creditors — 33 ggg Rent •• •• •• •• 108 Water-supply schemes: Headworks .. .. 10,368 Miscellaneous (departmental, &c.) .. 10,234 Advances to small-farm occupiers— 10,342 Current Account— £ Water Supply Account: Maintenance .. .. 1,167 Improvements .. .. 29,407 Payments in advance— Stock and chattels ..54,883 Kent .. .. .. .. 205 84,290 Principal— £ Instalment mortgages .. .. 334,496 Instalment mortgages .. 177 418 786 Sharemilkers'loans 72 Advances under sharemilking agreements .. 3,215 249 Realization Account: Leased areas in Interest— course of realization .. .. .. .. 30,164 Instalment mortgages .. 351 Losses on blocks disposed of (not finalized) .. 59,385 Share-milkers' loans 6 Debtors— Current Account .. .. 38 Rents .. .. .. .. 1,736 395 Principal—- £ Water levies .. .. .. 41 Instalment mortgages .. 1,093 890 Sharemilkers' loans .. 439 Accrued interest on capital on blocks being developed 258,707 1,532 Rent Adjustment Account .. .. 1,042 Interest Writings-off in Suspense .. .. ~ 15,605 Instalment mortgages .. 2,675 Capital Reserve: Special assets taken over at book Sharemilkers' loans .. 86 value . . .. .. ~ .. 39,453 Current Account .. .. 2,334 Treasury Adjustment Account .. .. .. 366,032 5,095 Water levies .. .. .. 414 Miscellaneous (departmental, &c.) .. 4,466 13,243 Deposits held by dairy companies .. 1,243 Less Reserve .. .. .. 309 —— 934 Interest Adjustment Account .. .. .. 4,662 Interest unreeouped on development expenditure .. .. .. .. .. 258,707 Losses in Suspense Account .. .. .. 15,605 Subsidies in respect of blocks disposed of— Employment Promotion Fund .. 51,349 Consolidated Fund .. .. .. 24,251 — 75,600 Revenue Account: Balance carried forward .. 304,341 £4,025,016 - £4,025,016 Note. —(a) Profits or losses from farming operations on blocks under development are included in the Revenue Account only when the final position is ascertained on realization of the block; (b) interest on expenditure on blocks under development has been credited to Revenue Account only to the extent that trading results have enabled it to be met. The balance has been credited to the Balance-sheet item, " Accrued interest on capital on blocks being developed, £258,707." R. 6. Macmorran, Under-Secretary for Lands. 6. I. Beeson, Chief Accountant. I hereby certify that the Revenue Account and Balance-sheet have been duly examined and compared with the relative books and documents submitted for audit, and correctly state the position as disclosed thereby, subject to the departmental notes enfaced thereon and the explanatory notes dealing with departmental accounts generally as appearing at commencement of parliamentary return 8.-l [Pt. IV], The following comments are appended. (1) The Account does not bear a charge for the cost of expenses incurred by Departments administering the scheme, other than a reduced charge for the supervision of the erection of cottages and milking-sheds ; (2) it is unlikely that the realizable value of certain properties is equal to the development expenditure thereon ; (3) the audit of the accounts of the Nelson, Otago, and Westland Land Districts is not yet completed.—J. P. Rutherford, Controller and Auditor-General.

s—B. 1 [PT. IV

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