DIRECTORS RESIGN.

New Zealand Herald, Volume LXVIII, Issue 20988, 26 September 1931, Page 11

DIRECTORS RESIGN.

PIG-MARKETING ASSOCIATION

COMMITTEE'S ADVERSE REPORT

-NEW ELECTION TO BE HELD

[from our own correspondent.] » HAMILTON. Friday. Lack of confidence in the directors of the New Zealand Co-operative Pig-market-ing Association was expressed by a special committee appointed by the suppliers at the annual meeting of the association in Hamilton a month ago. As a result all fc the directors have resigned and a postal election will be held.

The committee investigated the affairs of the association and brought down a report which was submitted by Mr. F. C. Roberts to the adjourned annual meeting yesterday. The meeting was held in committee and lasted all day. Suggestions by Committee. In a report issued by the association to day it was stated that the special committee had conferred with the directors and had investigated the financial, administration and marketing position of the association. It appeared to the members that the cost of head office, totalling about £2233, or Is 6d per pig. was quite reasonable, considering the amount of detail work required in keeping records and sending out accounts, but it thought that- there was a marked lack of confidence in the board of directors. The committee recommended that the present board of directors resign and offer themselves for re-election, lo this the directors readilv assented.

The shareholders' committee also made several recommendations for consideration bv the new board of directors and these were thoroughly discussed by the meeting, some being adopted and others being rejected. The directors replied fully to the suggestions of the committee, and thought that while some could, with advantage, be adopted, others were not so desirable.

The meeting was strongly of the opinion that every effort should be made to keep the organisation in operation. The chairman, Mr. S. H. Judd, pointed out that the resignation of the board, tne calling for nominations, the postal ballot and election of a new board could not be accomplished in less than five or sis weeks and that in the meantime the present board would have to continue. It was faced with the problem of defining a policy to meet the position in the meantime. Company's Advice to Suppliers. It was pointed out that present local values for both porkers and baconers, more particularly baconers, were above export parity, and it was thbught that the company should recommend its suppliers to take advantage of these higher values ruling locally temporarily, as they would probably only operate for a short period. When local prices came flown to near export parity suppliers then should be urged to send their pigs through the association, which would then have a good prospect of showing equal, or greater, returns. The directors recommended that a circular be sent to all suppliers incorporating this suggestion, and it was thought that the association would be rightly credited for advising suppliers to follow the course which would show them the highest net return, even if it was to the association's own detriment to some extent.

Tlie course suggested was considered a safer and sounder course of action to take under the peculiar conditions operating, rather than to endeavour to obtain a supply of pigs when the association had no reasonable expectation of obtaining the alternative market value for the pigs. The meeting adopted the suggestion of the directors to meet the present position. Mr. C'. W. Armstrong, of Hamilton, was elected auditor.