Repayment Demanded

Xmas Present for Expro Planters in New Guinea

BY letters written in Canberra on De cember 9, the occupiers of “Expro” properties in New Guinea were in formed that, as from January 1, 1950, they would be expected to resume pay ments of principal and interest.

They are asked to pay, each quarter, in reduction of principal, £29 for every £l,OOO which they owe to the Custodian of Ex propriated Properties (the former Ger man-owned plantations); and they also must pay interest on the amount owing at the end of each quarter—3i per cent, by former soldiers, and 4 per cent, by others, “Expro Board’’ plantations were sold — mostly to ex-soldiers on liberal terms— after World War I. In the ensuing 20 years, repayment by the occupiers of the money loaned by the Australian Govern ment was interrupted a few times by de pression, and low copra prices. Finally, when Japs invaded in 1942, there was a complete moratorium. After World War 11, the Custodian allowed the mora torium to continue, for what he regarded as a reasonable period for rehabilitation.

But he has been very conscious of the high copra prices being obtained by plan ters.

All planters received liberal compensa tion from the War Damage Fund. In the case of Expro Plantations, this money went to the Custodian, and that part of it reoresenting compensation for growing trees' was credited to the individual’s ac count. Other compensation is merely “held” by the Custodian; it does not appear to be taken into account when the Custodian is calculating interest due on the account.

The new demand means that the plan ters concerned will be expected to pay off their debt at the rate of £ll6 per an num for every £l,OOO they owe.

Some planters do not take kindly to the new development. They say that their plantations have not yet recovered sufficiently to justify a demand for re payment of principal at the rate of be tween 11 and 12 per cent.