asked the Minister for Lands whether he is aware that land bonds given in payment of the purchase price of lands acquired by the Land Commission for the relief of congestion are now either unsaleable or can be sold only at a fraction of their par value; and if, in view of the grave injustice thus caused to the owners of such lands, he will take such steps as are necessary to reimburse them for their loss.
Ceisteanna—Questions. Oral Answers. - Value of Land Bonds.
The terms under which land bonds are issued in payment of the purchase price of lands acquired by the Land Commission are laid down in the Land Bond Act, 1934, and the Land Act, 1953. The rate of interest to be borne by each series of land bonds is fixed with a view to securing that the market price of the bonds shall remain at or near par for a reasonable time after they have been created. Both the interest and the sums required for the redemption of land bonds have been declared to be a charge on the Central Fund; consequently, owners of land bonds have full security both as to their capital and interest. As in the case of other stocks and shares, it is not possible to control fluctuations in the market price of these bonds; and as the State already secures the capital and interest, it cannot also be expected to compensate owners for stock market losses.