TIMARU CO-OPERATIVE ASSOCIATION. (BY TELEGRAPH.) Timaru, June 16.

North Otago Times, Volume XXXVII, Issue 8004, 18 June 1894, Page 3

TIMARU CO-OPERATIVE ASSOCIATION. (BY TELEGRAPH.) Timaru, June 16.

An extraordinary general mot-ting of shareholders in thu Farmers' Co-oporativo Association was hold to-day. Thuro wna a very largo attencUnce. Tho Chairman read a statement for the directors, showing that whilo tho Company's articles of association, under which the directors had orried on business, nssumod that they had porver to borrow and obtain a bank advance, a doubt had arisen whctlior tho memorandum of nssociation conferred thoso powers; and whilo thore was a difference of opinion among counsel consulted the doubt was sufficient to destroy their banker's confidunco No doubt exidtod as to the solvency of tho institution. As evidence of this one of the oldest banks would Invo taken over the account but for the legal doubt in tho memorandum. The accounts had beon carefully exiininod, aud all bad and doubtful debts written off. Experienced stock-takers had beon over tho stocks, and reported them Hound and sa'oablo. The b ilance-sheet to 30ih April cii cuhted showed a margin of solvoncy of L 46.654, and a balance to credit of shareholders of LII.OOO. Tho aiock-trtlcsrs' report on tho inspection of sticks was satisfactory, So also was the auditors' report except wrh regard to the nuotion account of L 20,045 ("-ince largoly reduced) which they would not speak with confidence as to the bulk of this acoount, as the atcurity was largely a rroral ono, and they were not prepared to value the account. The chairman, in further explanation, gUted it was not intended to ask for any more powers than had been exercised in the past, and which tho directors and every shareholder believed they possessed. Thore was much diversity of opinion among the legal advisers consulted all ovir tho colony as to the foundation of tho doubt, but no diversity as to tho steps necessary to remove it. He made some comment on the accounts, and claimed that the company is In a perfectly sound condition, and said the directors daro not have met the shareholders with such proposals were it not so. Ho mentioned that sinco tho company started L 30.000 had been paid iv bonuses and dividends, over L22,0i)0 of it in bonuses, and resolutions were carried by a show of hands, practicdly unanimously, that tho company be voluntarily wound up, with Mr J. Talbot (the present chairman), and J. Pago (tho forraor chairman) as liquidators. A motion that the company bo reconstructed was similarly carried, and a poll after* wards resulted in J.lOO for and 50 against reconstruction. A desultory discussion took pljco on this motion. The directors wero criticiaed by ono shareholder for going into tho auction busineis, and another domandod special representation of small shareholders on the directorate. In reply to a question it was stated there are 1400 shareholders, of whom 752 havo only ono share each, and 5U5 more or le6S than 10 each. The resolutions need confirmation at a meeting early in July. The meeting lasted two hours, and w ta the largest packed assembly ot farmers ever seen in Timaru.