MEAT WORKS TROUBLE

Evening Post, Volume CVI, Issue 85, 8 October 1923, Page 4

MEAT WORKS TROUBLE

DIRECTORS TO CONFER WITH

BOARD

MR. LYSNAR REPLIES TO MR.

JONES,

(BY TELEGRAPH.—PRESS ASSOCIATION.) j GISBORNE, 6th October.

With reference to the proposed purchase of the Poverty Bay Meat Company's work by Yestey's at the mortgagees' sale next month, the Meat Board has asked the company's* directors to meet it on Wednesday^ but owing to the distance to be ' travelled -Friday is eought as the date.

Mr. Lysnar, in a further reply to Mr. Jones, says that the first time anything passed between any of the directors and the members of the Meat Board regarding Vestey's was on 12th September, when some of the directors called on the board to explain the company's trouble, and to intimate that an application would be made to' the board. At, that interview, Messrs. Jones and Jessep and the directors gave their views, and the directors left with the understanding that the board had not come to any decision, and the company would have the right tcf give evidence before the board, AH the directors wanted was the board to retain an open mind. The directors explained that the discussions regarding the sale of the works were started through a Napier agent, who declined to name his principals, air. Lysnar, as chairman, kid down certain definite terms before there could be any prospect of the directors and shareholders allowing the .works to pass to other hands. These included an absolute right to the shareholders for all time to have their stock treated at the Waipawa works on their own. accould at the average charge at other freezing works in the North Island. This and other importants conditions' were disregarded by Yestey's in their counter offer, which was not accepted, and the only thing that materialised out of the discussion was the request to Vestey's to put a price on their Taruheru works. The shareholders therefore felt right in assuming thtat Yestey's would not give the producers liberty to freeze on their, own account without restrictions'. Mr. Jones insisted that the board's decision was qualified, as overseas firms were obtaining further interests in freezing works in the Dominion. Mr. Lysnar says sthat it wag because the board could refuse licenses and transfers that the company approached the board, therefore it was most unfair of Mr. Jones to make statements to the Press' before hearinsr the company. "Mr. Lysnar said he .would, insist"-on keeping the broad issue before the producers of the Dominion.