BANK OF N.Z.

Evening Post, Volume LXXXV, Issue 81, 7 April 1913, Page 2

BANK OF N.Z.

STATEMENT BY THE CHAIRMAN Interviewed by Tho Post on the sul>> ject of a London cablegram published on Saturday la«t concerning tho Bank of New Zealand, Mr. Harold Beauchamp, chairman of l-ho board, said 1 "As to the private meeting of shareholders of the Bank of New Zealand, which, according to the cablegram, is being held to-day iv London to consider several important matter* affecting tho bank--more particularly in relation to its capital and control by the Government/— I think the public should understand this meeting has been convened by Mr. Martin Kennedy, one of the representatives of the shareholders,' to place his views and those of his colleague, Mr. William Watson, before their principals, and, further, that the bfheme to be submitted by Mr. Kennedy has not been sanctioned, or even digcuwed.. by the board in thiß Dominion, or the subboard in London. Such being the case, it will be eeen that Messrs. Kennedy and Wateon are acting quite independently of their colleagueß-the Government nominees— and, to my mind, -are attempting to put tho cart before fhe horse. Ab to whether that is judicious or not, I leave others to cay. "Meantime, I would like to observe," Mr. Beauehamp continued, "that, > with a view of dealing with the £l,<X)O,O0O 4 per cent guaranteed stock which ma> tures next year, .and seeking to obtain in the next session of Parliament legislative authohty to increase the capital of the bank, 1 shall, at an early date, submit proposals to the board on- lines which I trust and believe will be recognised as fair and equitable not only to the shareholders of the bank,' but to the public ol New Zealand, who have such a substantial interest in the institution. Pending the consideration of these proposals by the board, it would be only right and proper for the proprietors of the bank and tho public to Buepend their judgment. "Unless I am greatly mistaken, Parliament will never agree to such a radi* cal alteration in the constitution of the bank a« that outlined in Meeers. Kennedy and Watson's scheme. in my opinion, there » 110 justification whatever for such a deniand. The bank's great strength ancf large earning power are to-day, in a very considerable measure, duo^to the partnership that now exists between it and the State 5 and its position. ( I believe, would be further improved if, in respect to any additional capital created hereafter, the ratio of proprietorship between the (shareholders of the bonk and the Crown were preserved." *