FORESTRY COMPANIES

New Zealand Herald, Volume LXIX, Issue 21296, 24 September 1932, Page 14

FORESTRY COMPANIES

Sir, —With your kind permission I desire to make, on behalf of N.Z. Perpetual Forests, Limited, some comments on the report in your issue of Thursday, of a paper read by Professor Belshaw regarding the "methods of financing forestry, tobacco a'nd tung oil companies," and a further article in Friday's issue, headed "Forestry Companies: Defence of Big Concerns'," by Mr. M. H. Hampson. In a circular issued by the hon. secretary of the Economic Society of Australia and New Zealand, intimating Professor Belshaw's address, it is stated that "this is the result of an intensive investigation conducted by Mr. F. P. Stephens and Professor Belshaw." I am at one with Mr. Hampson in his statement that if any gentleman wished to make an "intensive investigation" of the "methods of finance" of any company or companies, the obvious and surely the best method was to approach these companies with a view to obtaining all possible first-hand information. N.Z. Perpetual Forests, Limited, has in its prospectuses stated: "So far as we are aware, there is no other company that gives to its clients or customers a degree of information even approximating that given by this company," and by that statement it is prepared to stand. Professor Belshaw'si suggestion that a Royal commission should be "set up to make a thorough investigation" is no new one, as this company has urged this procedure on members of the Cabinet more than once during the past few years: I would therefore join issue with Mr. Hampson when he suggests that such investigation should not be confined to the classes of companies of which Professor Belshaw claims to have made his "intensive investigation." but should extend to mining, oil and other—indeed, all classes of promotions. Mr. Hampson links up my company with two other companies by saying that "over 70 per cent of the trees planted by afforestation companies has been planted by these three companies." The New Zealand Official Year Book of 1932 (page 419 Forestry), states that the total area planted to March 31, 1930, amounted to

179,370 acres. At that date N.Z. Perpetual Forests, Limited, had planted 117.952 acres, approximately 66 per cent of the total planting. I have not the pleasure of knowing Mr. Hampson, and while I thank him for the flattering comments he has made on this company's work, I would like to make it clear that this company had no knowledge that he proposed to make any such statements. I would add that this company, which, according to the latest official information quoted above, has of itself planted approximately 66 per cent of the trees planted by all afforestation companies in New Zealand—is not to be held as concurring in the statements attributed to Professor Corbiti in the "chapter and verso" quoted by Mr. Hampson, and that it. is not to be held as cither approving or disapproving of the methods of finance of the two companies with which Mr. Hampson has, without our knowledge, linked us up in his "defence." Fred. C. Dewar, Vice-Chairman. On behalf of N.Z. Perpetual Forests, Ltd.