THE FROZEN MEAT COMPANY'S LEASE.

Auckland Star, Volume XVIII, Issue 53, 16 March 1887, Page 2

THE FROZEN MEAT COMPANY'S LEASE.

Discussion in the Harbour Board.

A special meeting of the members of tho Harbour Board was held at 2.30 yesterday afternoon, for the purpose of considonng the deferred business relative to the proposal to take over tho land reclaimed by the New Zealand Frozen Meat and StoraßO Company. There were present: Messrs W. R. Waddel (Chairman), C. LaKoche, Phillipps, M. Niccol, A. Devore, D. H. McKenzie, T. Henderson, C. B. Stone, and J. Lamb. A legal opinion from Messrs Russell and Campbell, rolicitors to the Board, was read as follows :—" Be freezing Company we have considered more fully tho question referred to us yesterday by you verbally, viz., whotuer the Board has power to pay to the Freezing Company tho cost of reclamation of lands reclaimed under leases from the Board. Section 172 of the Act of IS7S directs that the Harbour Fund may be expanded inter alia in tho construction, maintenance and repairs of harbour works. It appears to ac that the I-^f 1 * ° h a "™£ come within that section, for although it is in a certain sense for tho construction of harbour work, yet the work has not been done under a contract made after public tender, as required by sections 65 to 87. Unless, therefore, tho payment can bo brought under section 149, which provides for tho purchase or acquisition of any land necoasary for obtaining ac cess to other land vested in tho Hoard or required for tho purpose of any reclamation or other work, the payment in outside of the powers conFerrod by tho statute. Whether tho purchaso is noceeeary ur required in the terms of tho section last cited, is a question of fact upon which wo have no materials before uh to found an opinion.—Yours lailhfully, llrssßUi and Cami'likll. _. Mr Laßocho said that tho logal opinion did away with tho idea of paying any money to tho Frozen Meat Company from tho general revenue-The Chairman said that certainly there was no provision for such an expenditure in the now loan. -Mr Devore remarked that for that very roaeon it was suggested that a bill should l-o pa«sed to deal with the matter. Mr Niccol said that the fact was that tho Board had engaged to do what they had no legal power to carry out. I herefore the only honourable course for thoin to take was to draw back from such on untenable position, and not to string on tho Frozen Meat Company with tho idea that ultimately tho Board would tako over iho bind It meant a largo expenditure of public money, equal to an annual charge ol £1 COll Tlii. was an oxpeneo that tboy had no right to incur. Thou thoro was another important matter. That wan, that tho prico charged was much too high, aud although llioy might sympathuo with Iho Company, it was not the duty of tho Board to tako u[: tho position of rollovers of distressed Companies. Ho would l.heroforo move, " That in view of tho improbability of tho Board agreeing with tho Company as to price, and also tho doubt as to tho legality of the action, tho Board declines to proceed further with tho matter." — This was seconded by Mr Laliocho pro forme. —Mr Lamb was about to Plait tho discussion when it was HUggoatcd that tho Board should go into Co._mit.tco. This was decided upon, and accordingly tho representatives of tho Press withdrew. —After remaining in Committor! for a considerable time tho Board resumed, whon thu following recommendation was adopted :- "That all tho clau.o. bo struck ■mt excepting tho (' and I), ami that thoso ho referred t. iho Bngincor lo oxaraino and report to Iho Board."