asked the Minister for Finance if he has yet nominated the directors of the Agricultural Credit Corporation, and, if so, whether he will state the names, occupations and annual remuneration to be paid the persons so nominated; whether the banks doing business in the Saorstát have fully subscribed the 200,000 shares offered to them for subscription; and whether he is in a position to announce when the Corporation will be prepared to receive and deal with applications for loans.
CEISTEANNA—QUESTIONS. ORAL ANSWERS. - THE AGRICULTURAL CREDIT CORPORATION.
The Minister for Finance has nominated the following three Directors of The Agricultural Credit Corporation, Limited:—
John Patrick Colbert, Dainton House, Upper Park Road, Bromley, Kent, late managing editor, "The Statist," as Chairman and Managing Director.
Michael Francis O'Hanlon, 37 Upper Fitzwilliam Street, Dublin (Senator and Farmer).
Patrick Francis Walsh, 8 Temple Villas, Palmerston Road, Dublin (Principal, Department of Agriculture).
The remaining four Directors have been appointed by the original members of the Corporation as follows:—
Patrick Francis Baxter, St. Aiden's, Cavan (Farmer).
Charles Hugh O'Conor, The Elms, Mount Merrion Avenue, Blackrock, County Dublin (Director, Hibernian Bank, Limited).
Philip O'Connell, 36 Lansdowne Road, Dublin (formerly Chief Inspector of Branches Bank of Ireland).
James Michael Sweetman, Longtown, Sallins, County Kildare (Director, Royal Bank of Ireland, Limited).
The remuneration of the Managing Director (who is a whole-time officer) is at the rate of £1,400 a year. The remuneration of the other Directors (who are part-time) is at the rate of £300 a year.
The following banks have taken 200,000 shares offered to them under Section 5 (1) of the Agricultural Credit Act, 1927:—
Bank of Ireland; National Bank, Limited; Munster and Leinster Bank, Limited; Provincial Bank of Ireland, Limited; Hibernian Bank, Limited; Ulster Bank, Limited; Royal Bank of Ireland, Limited; and Northern Banking Company, Limited.
The Minister is not yet in a position to announce when the Corporation will be prepared to deal with applications for loans. A large amount of preliminary work has to be done in the way of organising and floating the company before the certificate to commence business can be granted to the Corporation by the Registrar of Joint Stock Companies. There is, however, no reason why applications for loans should not now be sent to the Corporation at their offices, No. 2 Merrion Square, Dublin. They will be dealt with at the earliest possible opportunity.
Will the Minister state, having regard to the terms of the Agricultural Credit Corporation Act, dealing with the amount of capital and the issue of shares and also the appointment of directors, whether he considers there is power at this stage to constitute the whole Board?
Yes. The Memorandum of Association was signed by seven civil servants, who each subscribed for one share, and who are the members of the company, and for the present the shareholders of the company. They have appointed the four directors whom I have mentioned. Within not less than one month and not more than three months after the company becomes entitled to commence business, the statutory meeting must be held—that is, the first general meeting. At that meeting, according to the Articles of Association of the company, all these seven directors must retire. The Minister for Finance will then appoint three directors and the shareholders of the company will elect four themselves. These seven directors are properly appointed in accordance with the Companies Act, Articles of Association of the Company and the Memorandum of the Corporation.
Could the Minister state whether he appointed any director from the province of Connaught to the Agricultural Credit Corporation, and if not, what is the reason for not so doing?
We did not take the question of provinces into consideration at all.
Of course. It is the old thing of "To hell or to Connaught."
Will the Minister state to what address applications under the Act should be made or when he is prepared to make a general statement as to the general administration and policy of the Agricultural Credit Corporation? Statements have appeared in the Press that the Act was to be administered through the banks, while other statements have been made that it was to be administered through credit societies. If the latter is to be the procedure, when does the Minister propose to take steps to organise these societies?
The address to which applications should be sent, as I have already said, is No. 2 Merrion Square. The Corporation will make its own announcement of policy.
Will the Minister say at what rate of interest these loans will be granted?
I presume at a rate fixed by the Corporation. If the Deputy, however, is thinking of loans at 2 per cent., he is making a mistake.
Is the Minister aware that members of his own Party stated that loans would be granted at 2½ per cent.?
If they did, they made a mistake.
Will the Minister state how much of the £200,000 share capital has been taken up by the banks named?
Yes. Bank of Ireland, 58,700 shares; National Bank, 45,500 shares; Munster and Leinster Bank, 28,400 shares; Provincial Bank, 21,600 shares, Hibernian Bank, 14,600 shares; Ulster Bank, 14,000 shares; Royal Bank, 9,100 shares; Northern Bank, 8,100 shares.