EAST COAST NATIVE LAND COMPANY.

Daily Telegraph (Napier), Issue 3164, 19 August 1881, Page 2

EAST COAST NATIVE LAND COMPANY.

A well-attended meeting was held in the Theatre Royal last evening for the purpose of heariug a statement of the principles and objects of the East Coast Native Land Company from Mr Eees and others.

His Worship the Mayor presided, and said he knew little about the land on the Eaet Coast, but he knew that the climate was the most magnificent in the Island. Others who had gone fully into the scheme would address the meeting. He called upon Mr Rees, who said he had been asked a great number of questions about this scheme, as to the nature of it, and as to the probabilities of its proving a lucrative investment. Ho would explain to them firstly what led to the tomation of the company ; secondly what object was to be attained by the company, and lastly what inducements were held out to investors, and how the company could be worked for the benefit of all concerned. For a considerable time he had been connected with native land transactions, and he had seen that the laws relating to native land were insufficient, and such as to obstruct settlement. There were great difficulties in the way of bargains being made. There had been no such difficulty in Napier, but in other districts where the natives interested in each block were very numerous buyers had to go through a lot of difficulties in the acquisition of land. For some time he and others had tried to find out how these difficulties were to be overcome—how to cut the land up to the best advantage to the owners and to the investors. He had argued the matter over with the natives, and many of them had agreed to assign their lands to ] trustees. At present no land can go through the Native Lands Court except the natives receive money or moneys | worth, and there must be a deed of purchase or bale. There were many other difficulties, and the responsibilities I

were to great for private individuals to take upon themselves, co it had beed proposed to form a company to bd registered under the Joint Stock panics Act. In placing a company before the public it was necessary to shd«r that it would be a good investment, rite felt confluent thaf. with good management and oare, the company was bound to be a paying concern. The company was based upon a communism of profitp, and it was provided that both natives and iuvestors shall participate in the benefits of the scheme in distinctly defined proportions. It was proposed that the capital should be £500,000. There would be two classes of shares— capitalists shares, and those taken by the owners of the land. The first meutioned were those taken up by Europeans, and would be preferential snares. "These investors would receive a dividend of eight per cent, on their paid-up capital before the natives received anything. The natives quite acquiesced in this arrangement, saw the necessity for it, and the equity of it. Another difference in the shares was this, that the European shareholders would have the management of the company. The natives would have the election of four out of nine directors, but beyond that they would have no share in the management. No alteration, however, could be made in the constitution of the company by the European shareholders without the consent of the natives. It was proposed by the promoters that 30,000 capitalists shares should be issued, 20,000 in the colony, and 10,000 in the old country. They would all be preferential dividend receiving shares on. the amount paid up. After the eight per cent was paid on these investor's shares, the Europeans and Maoris would share and share alike. If the company took a large'block of land, it would only be necessary to invest a small amount of money. He did not believe it would be necessary to call up more than £1 per share. The company would be bound to no liability until the permanent directors were satisfied. Negotiations had been entered into for the conveyance of several blocks, and with the consent of the permanent directors they could be obtained. One block, the Mangatu block bad been divided into several smaller portions, and each vested in a committee for disposal, that being done specially in view of thif company being formed. These blocks had been conveyed to those committees, and had been passed through the Land Court, so there would be no difficulty in securing the title. A contract had been signed by himself and Wi Pere, securing 40,000 acres of the best of the land to the company if the directors wished to take it, but it must be understood the company was not bound to anything in the matter. Theie 40,000 acres had been secured at 6s an acre, £4000 of which was to be paid in cash and £8000 in Bhares. Land which would be worth 6i to the native would double its value immediately on coming into the possession of the European company with a good title to it. The natives were offering large tracts of country ; they had surveys made ot from four to five hundred thousand acres, which the natives were desirous of handing over. The natives had a habit of getting quit of their money, and they saw the advantage of handing over their land to the company in which they have a permanent share of profits to selling their land to the Government or to private individuals. Reserves would be eet aside for the natives, and the value of such reserves would be deducted from the stated value of the block. . The natives saw that the more prosperous the Europeans were the more prosperous they would be. They saw; that their land would be improved, and that they would benefit in every way if the scheme was faithfully and thoroughly carried out. They could see that their future welfare was wrapped up in the proper disposal of their lands in the future. If the company was thoroughly worked the native difficulty would be at an end. If successful here the idea would permiate through the Maori mind, and they would all be willing to dispose of their lands in that way, and a constant stream ot settlement would follow. Another feature of the Maori scrip was that they would require two consents before parting with it; they would require the Maori committee, and also of the directors of the company. Mr Bees then went into a full explanation of the articles of association and regulations of the company, and concluded by stating that he believed the company would be a great and successful undertaking, and would work a lasting benefit to both the European and Maori races. Mr Eees concluded amidst loud applause. Mr Leonard proposed, " That the thanks of the meeting be given to Mr Rees for his explanations, and the meetng is of opinion that the proposal"plan ito deal with native lauds is good and sound, and worthy of support. Mr Swan seconded the motion. Mr Miller urged those present to ask questions in reference to the scheme. Many had been at him making enquiries, and there was an opportunity now of getting the desired information. He believed the scheme was an excellent one, but the result would all depend upon the management. It was not altogether a new scheme ; a similar scheme had been shown to him some years ago by Mr Locke. Mr Eces had now brought the scheme definitely before them, and they were indebted to him. Mr Kentish McLean asked if he was to understand Mr Miller that the plan proposed was Mr Locke's plan. Mr Buchanan said he was in a position to answer the question. The plan was drafted thirteen years ago by Mr James Fitzgerald, some time Superintendent of Canterbury, and now in the Government service, and Mr Locke bad a copy of it and showed it to him (Mr Buchanan). That was the origin of a scheme very similar to the one elaborated by Mr Reee. One or two other questions of no importance were asked. Mr Buchanan moved a vote of thanks to their chairman, who was always ready to assist in any work for the advancement of the district. Mr J. R- Davis seconded the motion, which was carried with cheers. The proceedings then terminated.