MR BEAUCHAMP AND MR WATSON.

Press, Volume XLIX, Issue 14661, 9 May 1913, Page 7

MR BEAUCHAMP AND MR WATSON.

(special to "the press.")

WELLINGTON, May 7

The Chairman of the Bank ot Now Zealand, Air Harold Beauchamp, in a statement regarding tho proposed issue of shares by the Bank of .New Zealand, says:—Vl think Mr Watson :i> somewhat hard pressed when ho quotes as an authority in favour of the issue of shares at par, a Sydney firm oi" sharebrokers. Quito obviousiy, such a firm, anticipating big business in tho sale of 'rights,' would oncourajio directors of a successful corporation to offer shares at a figure substantially below their market value, but, in the interests of such an institution as tho Bank of New Zealand, that course does not commend itself to mc, and, I feel sure, would not be favoured by. Parliament."

In speaking of tho Bank of Australasia, Mr Watson said: —"It is left to the shareholders to accept or reject the Board's proposal in regard to the issue of shares. Now, if tho Board of tho Bank of New Zealand obtains the necessary legislative authority, :ts shareholders will bo placed) in precisely the same position as those of the Bank of Australasia. There will be no obligation on their part to accept the shares offered to them, but I venturo to predict they will do bo without hesitation."

Mr Harold Beauchamp, chairman of directors of the Bank ot New Zealand, told a reporter this evening that the Board or Directors had approved a scheme dealing with the renewal of the guarantee and with the issuo of new capital, and had forwarded it to the Government. The amount of capital which it was proposed to issue and other details of the scheme, Mr Beauchamp stated, could not yet bo divulged.