A BIG PROPOSAL

Auckland Star, Volume LIX, Issue 198, 22 August 1928, Page 12

A BIG PROPOSAL

PURCHASE OF PHOSPHATE WORKS. N.Z. DAIRY CO'S EXPANSION, t,)f"AFTER MILLION OUTLAY. (By Telegraph. — Own Correspondent.) HAMILTON", this day. A prnpo-.il will be discussed at the annual meeting of the New Zealand Con;ierarive Dairv Company to-day, that the company purchase the Challenge Phosphate Work-, involving an outlay of about a quarter of a million of money. A remit came before the .annual conference of suppliers committees, at Hamilton yesterday, em bracing such a proposal. The remit was from the Paikeko Committee. Cambridge, and was sponsored by Mr. G. H. Judd. It read as follows: —

(1) "That it be a strong recommendation to the directors that they give serious consideration to a Scheme for purchasing the Challenge Phosphate Co. with a view to its being run as a cooperative company, the necessary finance to he obtained (a) by issuing 'manure' shares to our suppliers on the usual terms; (b) by issuing shares to any other co-op. dairy company who will link up with us, these companies to have the right to hold the ghares either as companies, or issue to their suppliers, their holding to be on a butterfat basis with us. and thev to obtain their manure on the same terms as ourselves."

Mr. Dynes Fulton, chairman of directors, said that the whole position would he discussed at the annual meeting of suppliers on the following day. He assured the meeting that even if the proposal was carried at the annnal meeting, it would be subjected to a referendum of suppliers before being put into eftect. The proposal is likely to give rise to considerable eontroversy.