• Preamble

  WHEREAS pursuant to the provisions of section fifty-seven of The Auckland Transport Board Act 1928, the Auckland Transport Board (hereinafter called the Board) has taken over the tramway undertaking formerly carried on by the Auckland City Council (hereinafter called the Council), and has issued to the Council debentures indemnifying it in respect of various loans raised by the Council and for the repayment of which the Board is now liable: And whereas the Board desires to purchase the debentures of the said loans in accordance with the provisions of The Local Bodies' Loans Act 1926, but it is doubtful whether the Board has power so to do because the said loans were raised by the Council, and it is desirable to authorize the Board so to do in the same way and to the same extent as if the said loans had been raised by the Board: And whereas the Council had in or about the year nineteen hundred and nineteen established a sinking fund of two dollars fifty cents per centum per annum in respect of a loan (hereinafter referred to as the 1919 loan) for two million five hundred thousand dollars authorized to be raised in nineteen hundred and nineteen for the purpose and further development and improvement of the Auckland Electric Tramways, but on the taking of the poll for the raising of the said loan the Council had made provision for a sinking fund of two dollars per centum per annum only, and such amount of two dollars per centum per annum was stated in the advertisements relating to the said poll and on the ballot-paper used thereat: And whereas by virtue of section fifty-seven of The Auckland Transport Board Act 1928, the Board is required to make and has been making payments at the rate of five dollars per centum per annum on account of the said sinking fund established by the Council in respect of the 1919 loan: And whereas it is desirable to authorize payments to the said sinking fund to be reduced to not less than one dollar per centum per annum:

BE IT THEREFORE ENACTED by the General Assembly of New Zealand in Parliament assembled, and by the authority of the same, as follows:—