THE LOAN and MERCANTILE AGENCY COMPANY.

Evening Post, Volume XLVII, Issue 89, 16 April 1894, Page 2

THE LOAN and MERCANTILE AGENCY COMPANY.

The news that tho reconstruction scheme of tho New Zealand Loan and Mercantile Agency Company (Limited* has at last received judicial sanction will afford general satisfaction and relief in this colony. The danger of compulsory liquidation has hung like a veritable sword of Damocles ove- the heads of the unfortunate shareholders for a very long time. To most, if not to all of them in this colony, Buch a step would have meant little short of absolute ruin. The reconstruction will, no doubt, involve serious sacrifices on their part, but under it they will have a chance of Eaving or recovering something. That the company haa a magnificent business in this colony is bryond doubt. It has been carefully nursed while tho company has been in difficulties, and under the new management it should prove highly prosperous if prudently conducted. Had tlie old company confined ita operations to New Zealand, it would not have come to grief. The New Zealand business, despite the Russell transactions, has, we believe, proved uniformly profitable. It was in Australia that the losses were incurred which brought the company to grief Tlie new company will do well to confine its operations as closely as possible to New Zealand in the future. There nre good men on tho new directory, but we do not know what thoy can do to "inoreuso tho frozen meat business." as it in reported thoy intend to try. They will do well to bo cautious in launching out in this direction The frozen meat business ie already pretty well pushed, and is not invariably profitable. As to the announced intention of a soheme of immigration of {armors with small capital, it is in a colonial sense a very desirable thing to encourage such immigration, but we do not see exactly how the company is to derive muoh advantage from it, or why it should enter into such business. We must, however, await further information. Touching the expectation of the 'limes as to tho New Zealand Government assisting the company in ita scheme of pending out emigrants, wo do not think that it is under any circumstances likely to be realised. Tho company will be wise, we thiuk, to confine itself to legitimate business in future. That condign pnni^htnont may fall on those who havo brought about tbo rnin of the old company every honest man must hope.