BANK OF NEW ZEALAND

New Zealand Herald, Volume L, Issue 15269, 5 April 1913, Page 7

BANK OF NEW ZEALAND

i LONDON SHAREHOLDERS' PROPOSALS. CONSTITUTION OF BOARD. RECONSTRUCTION WANTED. TWO MILLIONS CAPITAL. By Telegraph.—Press Association.— Copyright ; (Received April 6, 12.15 a.m.) London, April 4. A meeting of the London-share-holders in, the Bank of New Zealand will be held on Tuesday.' Resolutions will be proposed requesting the Board of Directors to pay off the debentures, amounting to £1,000,000, which will mature in 1914 from its own resources.

The shareholders also claim that control of the bank's-affairs should be restored to them by a reconstitution of the board, giving the Government a minority representation. They propose that the Government should retain its power to appoint the auditor, and its present power to veto any resolution by the shareholders. This, it is claimed, will equalise the control. The shareholders are prepared, when the board is reconstructed, to furnish £2,000,000 of additional capital, as it is required.

The present constitution of the Board of Directors is that four directors are appointed by tho Govornor-in-Council and tho other two are elected by the shareholders of the Bank. On the recommendation, or with the concurrence of the board, the

jovernor-iq-Council may, in his discretion, veto any resolution passed by the shareholders. The Chief Auditor is appointed by the Governbr-in-Council, And ho has the right to attend the meetings of the board, and has power to suspend the operation of any act or proceeding of the board until it has had an opportunity of' further considering the matter at a subsequent meeting.