NEW ZEALAND TRUST AND LOAN COMPANY (LIMITED).

Press, Volume XVIII, Issue 2491, 25 April 1871, Page 2

NEW ZEALAND TRUST AND LOAN COMPANY (LIMITED).

[From the Money Market Bevicm.~] Au extraordinary geneTal meeting of the shareholders of the above company was held at the offices, 12, King William street, City, on Wednesday last ; in the absence of the chairman (Sir Charles Clifford), the chair was occupied by F. G. Dalgety, Esq. - The notice convening the meeting w;is read by Mr THOMAS D. SAUNDERS, the secretary. The Chairman said that, in the absence of Sir Charles Clifford, the chairman of the company, in New Zealand, it devolved upon him to take the chair. He felt it would have been more ably filled by his absent, colleague, but as the duties were not of an arduous nature, he had no doubt that, with the indulgence of the shareholders, he should be able to get through them satisfactorily. The meeting was called for the purpose of declaring an interim dividend, and, as the shareholders were aware, it was not customary at these interim meetings to submit a statement of accounts. It was gratifying to the directors to be able to declare the usual dividend of 5 per cent, for the half-year; after having carried £2,000 to the reserve fund, raising that fund to £32.500, and leaving a balance of £2,410 19s 3d to be carried forward. The ; profits during the past half-year had been ] somewhat reduced, by several mortgages having been paid off, the mortgagors having been able to borrow money at a lower rate than this company would accept. This had increased to some extent, although not to a large one, the unemployed funds of the company, which, being on deposit, had yielded to a smaller profit than if invested on mortgage; but the directors looked to that as a mure temporary matter, for by the last advices, intelligence was received that applications had been made for loans, on undoubted security, which would absorb the funds at present on deposit at the bankers. As far as the financial position was concerned, the directors had to congratulate the shareholders on the result of the past half-year's working, and also on the future prospects of the company. Notwithstanding the extreme depression, which had characterised the staple product of New Zealand—wool —the interest on the loans had been punctually paid, which he thought was a pretty good proof that great care had been exercised by the management in the granting of the loans. The accounts had been audited as usual by Mr Lloyd and Mr Sebag. He was sorry to say that during the past half-year the company had lost the services of a very valuable director, Mr H. Selfe Selfe, who died on the 6th of September. He had been connected with the company ever since its formation, and took a great and lively interest in its welfare; his loss was therefore deeply regretted. The directors had appointed as his successor Mr Charles Richard Hoare, a barrister of eminence ; but they had the painful duty of reporting that that gentleman died a short time after his appointment, and, under those painful circumstances, there was a vacancy at the Board. The directors did not propose to fill up the vacancy till after the return of Sir Charles Clifford. In conclusion, the Chairman formally moved the declaration of a dividend of os per share, free of income tax. The Hon. Captain H. Carr Glyn, R.N., seconded the resolution. In answer to Mr Simes, the Chairman said the company had been getting as much as 12£ per cent, for some of its money ; but in cases where these loans had been paid off, the reinvested money was not making more than 9 per cent. The price of wool had been unremunerative to the growers, to some extent ; but the directors anticipated that the colony would derive benefit from the system of meat preserving. Mr SrMES said that some people were of opinion that the Australian colonies afforded an unlimited field for the production of wool. The CHAIRMAN said he did not quite share in that opinion. He thought there was a limit to the productive power of the Australian colonies in respect to wool growing, and he did not think there would be the same inciease in that article in future as there had been in the past. He believed that Mr John Beit, who was well acquainted with the colony, would corroborate him in that opinion. Mr John Beit said it was so, and that he believed that New Zealand would attain a limit much sooner than Australia. In reply to a further question by Mr Simes, Mr Beit said that those squatters who embarked in sheep-farming with only borrowed capital, and purchased their stations at a high rate, were incapable of paying 10 per cent.; but their successors, who purchased their stations at a lower rate, with their own capital, could afford to pay 10 per cent, on the amount they borrowed. The resolution for the declaration of a dividend was then put to the meeting, and carried unanimously. On the motion of Mr Simes, seconded by Mr Collins, a vote of thanks was passed to the chairman and directors ; and the ChaibMAN having briefly acknowledged the com- ; pliment, the meeting broke up.