TO BE LIQUIDATED.

Auckland Star, Volume LXII, Issue 28, 3 February 1931, Page 10

TO BE LIQUIDATED.

TONGARiRO TOURIST COMPANY

HOSTEL TO REMAIN OPEN.

DECISION OF SHAREHOLDERS

Shareholders of the Tongariro Park Tourist Company which owns the Chateau Tongariro, reached a unanimous decision yesterday that the company go into voluntary liquidation, according to advice received in Auckland to-day. The resolution carried by the meeting, which was held at Timaru, reads as follows:—"That it has been proved to the satisfaction of this meeting that the company cannot, by reason of its liabilities, continue its business, and that it is advisable to wind up the same, and accordingly that the company be wound up voluntarily, and that Harold Coxhead, of Timaru, accountant, be appointed liquidator for the purpose of such winding up.'' Mr. J. A. Gentles, public accountant, of Auckland, and Mr. S. Mitchell, accountant, of Christchurch. have been appointed receivers for the debenture holders and it was authoritatively announced this morning that the Chateau would be kept going as usual in the meantime under the direction of the receivers. It was stated also that the present development apparently had not affected business at the Chateau, where the guests over the week-end numbered between 50 and 00, all of whom enjoyed the stay as though nothing out of the way had happened. Those in a position to speak foreshadow a meeting in Wellington on Thursday between the debenture holders, the members of the Tongariro National Park Board, and representatives of the Government. The board itself meets in Wellington to-morrow to consider the position which has arisen. According to the prospectus, the nomii rial capital of the company was £50,000, • made up of £1 shares. Some 3000 ordinary shares were allotted as fully ! paid, 17,050 were subscribed for by the directors and others prior to the issue of the prospectus, and 29,950 were offered for public subscription. Based on past balance-sheets of the Hermitage, Mount Cock, and the White Star Hotel, Queenstown, and allowing for an average of 70 guests a day, the estimated annual revenue,of the Chateau was £29,540, of which board would provide £24,050, and the expenditure,, including interest, depreciation and maintenance, £23702, leaving an estimated surplus of £5838, sufficient to pay dividends of at least 10 per cent. The financing of the Chateau was, as stated on Saturday, assisted by two Public Trust loans aggregating £60,000 and one loan of £3750 from the park board. According to the prospectus the company had to find £31,250, and the ! directors were to call up sufficient on each share to meet that requirement. The total expenditure for the erection of the Chateau, its furnishings, equipment, etc., was estimated in the prospectus .at £05,000, but, speaking at tlie official opening ceremony, Mr. J. B, Thoiriprpn, chairman of,the park board, mentioned £100,000 as the total cost. It - was stated this morning that oalthough the estimated revenue for the first year, which ended on September 30 last, was the £29,540 mentioned above, the actual return for the period amounted to £34,000.