THE WAREATEA GOLD DREDGING COMPANY.

Otago Witness, Issue 2490, 4 December 1901, Page 29

THE WAREATEA GOLD DREDGING COMPANY.

The annual general meeting of the Wareatea G-old Dredging Company took place on Thursday. About 15 shareholders were present, and Mr T. Ross presided. The Chairman moved the adoption of the report and balance sheet. The motion was duly carried. Messrs J. L. Passmore and Gibbard (Westport) were re-elected directors pro forma.

The Chaiirnpn said that the directors' repent was somewhat vague, because so far as the development of the property was concerned there wss very little to tell. -The suspicions of the directors had been aroused when the dredge, after working for two weeks, upon bottoming on wash which had given sdwt to the yard in the bore, only yielded Itoz of gold. The directors then felt they were working in the dark, and instructed the dredgemaster to close down until they effected other corroborative tests. The dredgemaster accordingly sunk s, shaft 10ft 6in deep near the 15dwt bore, but the only trace of gold he got was a few colours, which indicated nothing at all. One week later Mr Gibbard, the vendor, and a local director, wired • " Mitchell bottomed No. 1 shaft, 13ft ; wiring result noon. I bored yesterday clobc PoppehvelTs boic , positive something wrong ; writing." Then the dredgemaster, Mr Mitchell, had wired that day: "Men discharged; wire £17S. Claim not payable." Mi Mitchell was a most reliable man otherwise they might have now been taking steps tc raise fresh capital, un dei the belief that the claim had not had a fair trial.

The Chairman here read a long letter from Mi Gibbaid explaining his connection with the boruig _ operations. He expressed himself as being i:ov convinced the claim had been " salted "

Th> C- a man, continuing his remarks, said ihe f-h t olc'ora were misled in the first place by the jrlcving prospects, three or four bores givmg a return equal to sdwt to 15dwt per yard. These prospects were certified to by nier whom they thought could be deoended or. Then their own special expert, Mr Poppylvvell, was sent round to verify these extraordinary reports. Mr Poppelwell obtained equal to 16dvt to the yard, and but for knowing Mr Poppehvell so well they might have bsea dubious. He (the chairman) discounted

a good deal, but even then a very -^ctsbft margin remained. Now they had gloved the claim a " duffei, and there was no fse going; on. They w-jre i'BST in debt, and -;§anist this ther? vas £6?0 aireara of calls of which peihaps £100 was oad. The drec'.ge was ?. uew and good on°, and he sa-v no iea«oii wtiy; creditor? should 510 1 be paid in full, and perhaps a dividend come to the shareholder"

A Siiz^eholdor thought the meting took il"« matter ve - y calmly in view of whai had z.v - dently .aken place. He said he had been connected with the Wet Lead Company, ar. a l,'olning c'a'ir, which was said to piospcefc 7o:: or Boz to the ton. These retn-ns were ceitified io A furtlae- and independent frxamma'.ion had revealed the claim a« worthless — auoiher " s?lting bu3incEE--but v. that case they got uheir monpy back ?re it was 100 !a:e. He had bought into the AYareatea because the same expert who condemned the Wet Lead strongly -'ecorr mended the Wareatea. The "peakc- thought s. committee of shareholder should be appoiuted to prosecute those concerned in — Imt appeared lo be a v»ry bad case.

Mr Thomsrai moved chat a comrnkiee comprising the du-pctors and himself should canvass shareholder^ foi subscriptions, formin;, a 4 mst fund to legally proceed against the alleged salters of the Wareatea claim. — Carried. Mr Ro^s moved thet the company be voluntarily woand up, and that a confirmatory meeting be held on December 12. — Carried.