ANGLO-COLONIAL NOTES.

Press, Volume LIII, Issue 9364, 13 March 1896, Page 5

ANGLO-COLONIAL NOTES.

(FSOH OUK OWN CORRESPONDENT.) •LONDON, January 31. Anxiety and apprehension still ride rampant over the unfortunate shareholders and debenture holders of Che New Zealand Midland Railway. The point as to which they are chiefly anxious now, and as to which no authoritative information is as yet available, is whether or not the Government, being declared to have been justified in seizmg the Company's property on its default as to the fulfilment of the contract, is thereby enabled to treat all the work done as ipso facto forfeited, and liable to seizure without payment, in compensation for the loss sustained by the colony through the Compauy's default.

Nobody here seems to know whether the Government, will have to pay the Company for the work actually done or whether it is claimed as a just forfeit on account of default-. Naturally this doubt is a very serious matter tor the debenture-holders, who stand to lose everything in such case. Surprise is expressed thai, no steps were taken to afford information by cable on so importan-t a point affecting such large English interests. However, Mr Robeit Wilson, the General Manager, is on his way and is expected shortly, while Mr Salt will not be long behind him. Ido not envy them their meeting with the debentureholders.

It seems that Mr G. B. Parker, who has been appointed Receiver for the Midland Company, is not (as stated in the document (vhich I quoted last week) an ex-member of the New Zealand House of Representatives, but waa formerly a member of the Canterbury Provincial Co*ucil.

The opinion is strongly expressed in city financial, circles that, the proper courae would be to appoint as receiver ot liquidator some first-rate and well known business man in New Zealand —I have heard the names of Messrs Charles Johnston, M.LC, and Walter Johnston mentioned in this connection—and to givejiim plenary powers to effect the most favourable settlement obtainable and do the beat he can with the Government in the Company's interests.

It is suggested that if one of these gentlemen, or someone of similar stanaiug and capacity, were empowered to deal freely with the Government in the matter, aud to make or accept an offer of amicable settlement, the best plan wouicl be to negotiate for the purchase by the Government at a reasonable price of the work already actually done, payment to be made iv colonial 5 per cent, debenture stock.

But the main point strongly urged by everybody here is that there shoulu be a speedy settlement and no more waste of time or money in litigation. " Agree with thine adversary quickly while thou art in the way with him," say the experienced city veterans to the unfortunate Midland Company. Bat the question is whether any course but that of implicit submission is open now to the Directors, who are pronounced to have broken their contract and incurred the penalties, whatever they may be, of such breach. Messrs Nelson Bros. , report is just out, and has proved a severe chock to toe shareholders. The Directors express i egret that they are unable to declare auy dividend on the ordinary shares, as after payiug a 6 per cent, dividend on the preference shares ouly £203 remains to be carried forward. The profit and 1033 account, including £759 brought forward from last year, shows a balance of £1924, of which £1720 is absorbed by payment of the preference dividend. "This unfortunate result," the Directors siate, " was caused by the excessive shipments of frozen meat to the English markets, which were also over supplied with moat from various other sources." Hence prices fell lower than on any other previous ocuasion, and heavy losses were sustained on the Company's shipments. How heavy these losses were is shown by one line iv the balance-sheet, viz. :—" To loss on meat purchases £102,040 7s Id." This is, indeed, a disastrous item. •' In other respects," cay the Diiectois, "the year's operations were satisfactory, the season in New Zealand having been a favourable one. Buildings, plant and machinery have been maintained in excellent condition, £10,780 having been spent out of revenue in renewals and repairs and £5472 written off foe depreciation." Sir George Grey seem/ to think that Mr W. P. Reeves will make a satisfactory Agent-General, bat he refuses to see that such an office or ofnear is needed at all. •'The London -Agency-General could be abolished to-morrow," he remarked* a day or two ago to a friend of mine,''and nobody would be a bit the worse, except, of course, the discarded officers." "Yes, I know," he continued, "they all seem to have plenty to do in the office, bub you must remember that the Agent-General and Mr Kennaway can easily find work enough to keep the officers employed. Whether that work could not be dispensed with ie quite another question." Of course all the Colonial Agents-General forwarded a joint note of sympathy and condolence to the Queen aud Fiincess Beatrice on the lameni.ed death of Prince Henry. In acknowledging the receipt of the address, Mr Chamberlain says: — "Her Majesty, desires mc to add that she feeh your letter to b9 but one more indication of those genuine sentiments ot loyal devotion entertained for her by the people of her colonies, the manifestation of whose sympathy is a source of great consolation to herself and the Princess in theic deep affliction."

The report of the Directors of the National Mortgage and Agency Company of New Zealand sets forth that the prevalence of- low prices for New Zealand produce during most of last year has seriously reduced the Company's earnings, but that the volume of its business has been well maintained, so that as prices have improved materially during .the last . few months better results are ( expected for the current year. After providing for all bad and doubtful debts and for depreciation the net profits will euable a fourth dividend of 6d per share to be paid, making Is for the year, while £2426 will be carried forward as against £2292 last year. The call of £1 per share has, the Directors state, beeu well met, but they anticipate default in the case of 70Q0 shares.