THE OTAGO DAILY TIMES MONDAY, OCTOBER 21, 1895.

Otago Daily Times, Issue 10496, 21 October 1895, Page 2

THE OTAGO DAILY TIMES MONDAY, OCTOBER 21, 1895.

The agreement for tho purchase of the assets and property ot'- the Colonial Bank by the Bank of, New; Zealand having now been for two days beforo the public, we aye able to say that appearances indicate that it will give pretty general satisfaction to those most immediately interested—-i.e., the Colonial Bank shareholders. It is evident that it is not formulated on the same plan as that which was under discussion last year. • The circum-

stances have been entirely changed by the subsequent history of the Bank of Kew Zealand and by-other developments. The report of the committee made it an essential feature of the scheme by which the colony came to the aid of the Bank of _\'ew Zealand that it should have , liberty to add to its earning power by the purchase of " another institution."

Everybody knew that* that other institution was the Colonial Bank. Many of those who" last 'year expressed their disapproval of this amalgamation in very plain terms have this year acquiesced in it. In many cases their feelings on the subject do not correspond with their apparent approval g£ a step which could no longer be opposed by. anyone who had in any sense assented to the adoption of the committee's recommendations. To have in general terms approved of the intervention of Parliament, even thbuo-h that approval was giveaundcr.a species of moral compulsion, and at the same time to have opposed tlio carrying out of an essential part of the committee's scheme, v. ould have been ridiculously inconsistent. The whole thing is, nevertheless, a matter greatly to be.regretted. Viewed as a merely ■ local question it means the removal from Dnnedin of the headquarters of a bank whicli has given us the advantage of a considerable number of substantial residents, and in other ways been a subject of pardonable gratification. Viewed fromv tlie colonial standpoint, the amalgamation means loss of employment to a number of zealous and capable men at a time when it is not easy to find employment. .These, however, may be said to be minor matters. In passing, it may bo noted that the terms of amalgamation, as touching the position of the servants of the.selling bank, are different from those which last year were supposed to govern the-projected amalgamation. Under the agreement now entered into officers are simply put on the list of applicants, to be-taken or not according to the. exigencies of the purchasing bank. This is something very different from the suggested scheme of amalgamation under which jthe necessary dismissals were to-be shared equitably between the two i institutions. It is, however, a fair presumption that the hard and fast clause of the agreement is not to be read literally, bufc that the large expansion of the staff of the Bank of KeW Zealand, which must follow the amalgamation, will involve extensive re-engageraentsfrora the staff of the Colonial Bank. We do not know whether, as a matter of legal interpretation, Sir Eojjebt Stout is correct in saying that Parliament cannot approve of the agreement without seping the "D" list, and for that matter the "B" and "C" lists. In the report-of our Wellington correspondent's interview with him nothing is said about the "A?'list containing the absolutely unquestioned^ accounts, which are taken over "without inquiry, -but it seems to us, to be in the same category. We are thus informed by eminent legal authority that these lists are part of the contract and must be exhibited with it. We will not dispute the opinion, but we may be permitted to pointout that the publication;of these lists would almost certainly result in the withdrawal from the bank of every sound and liquid account in them, and would involve those' which are sound but not quite liquid in the risk of ruin. Despite the assertion of the Premier to the * contrary, we may expect Government .-to introduce an amending Bill should Sir Robebt's contention prove correct, , Such a Bill may, if necessary, provide some check in connection with valuing the accounts, but we really'think that this can be left to tlio authorities of the Bank of Now Zealand. It is quite certain that the criticisms of Parliament on the " A," " B," and " C " lists would be perfectly valueless, and 'eminently mischievous. To submit the "D" list, which the quasi-State bank is not. purchasing, to Parliament would be an unnecessary prying into the affairs of an institution, which for this purpose is a private one, in liquidation.

As ...to the figures of the agreement, we confess that they appear to us to require a little explanation. The capital of the bank, with its reserve fund and accrued profits' to date, is somewhere near the '.£461,211 nominally paid—namely, £484,980. Of this £327,305 is held back until all but the "A" list items are cleared up —i.e., taken over or thrown back to be liquidated. This sum of £484,980 includes the nominal value of the " D "list items, which are not takeia oyer. These amount, we understand, to £102,000. This means, so far aa we can see, that the £461,211, though, nearly equal to the capital, reserve, and undivided profits, is made up iri a different way, and includes an added sum for goodwill, .As we read the figures the sum allowed for gdodwill is £78,231, but as to this'we are open to correction. If .this.be the case the Colonial Bank shareholders cannot well complain .of their treatment. They may be tempted

to inquire of their directors what sum they are likely to receive for their shares. The estimate currently given by brokers and those who have no special knowledge is about 30s; but the shares stand at 40s in the books, to which it is necessary to add 4s, as each share's proportion of the reserve fund and profits; and dividends have been paid on the assumption that the capital is unimpaired. The difference between the book value of the shares and the 30s which it is assumed will be realised is therefore 14s per share. Shareholders, however, must make up their minds

tliat it is impossible to carry out a sale of this kind in a depressed market at book values. If they are wise they will look at the matter in quite a different way, and compare the fruits even of a depreciatory sale with, we will not say the results of liquidation, for that was not contemplated, but with the consequences of having to strengthen the position of the bank by paying calls. When they consider that tlie shares have lately been below £1, and that some of the Australian banks which three years ago were considered stronger than this now stand, shares nil, and deposits below par, they may well be thankful for 30s, or even less.

"We naturally feel concerned to consider the effect of this • amalgamation on the fortunes of the colony. Here we must say that we'l fail to see light. • It is "impossible at this stage to express confidence in the ultimate result to the colony. This, howover, .is quite plain r that whoever now does good to the Bank of New Zealand does good to the colony, and whoever injures the bank does harm to the colony*. Five years aijo a fierce cry arose from what was then termed the "Democracy" against the domination of the many moneyed institutions which play so large a part in tho afFairs of the colony. Since then the democracy has thought fit to ordain that one of theso institutions sliall become indissolubly united with the State, fondly itiiagin.ng apparently that it can control thai institu-

tion. The conceit of our Labour members on this subject seems to be undiminished. Jn Pharaoh's dream the poor arid very ill-favoured and lean-fleshed kine did eat up the fat kine, and when they had eaten them up it could not be known that they had eaten tbem, but they were still ill-favoured as at the beginning. Tlie magicians could declare nothing concerning this. Absit omen !

A special meeting of the shareholders of the Colonial Bank of New. Zealand is called for Friday, Bth November, to consider, ratify, or reject the proposals contained iv the conditional agreement to dispose of the bufine_s of the Colonial Bank to tha Bank of New Zealand.

At the meeting of the City Coaccil on Wednesday mxt Cr M'Gregor will move—" That the sum of £17 bo volcd for the'erection of a fenco in Duke street, at the portion of. the Town Belt lately improved, and that the «ame be banded to tbe Unemployed Relief Weeks Association." At tbe close of the ordinary meeting a special meeting will be hold to consider proposed amendments to the burgess list, 1895-1896.

General Booth leaves for Itwercargill by the southern express thia morning. His departure will be witnessed by a large gathering of the Army besides a number of le.ding oif>z»ns. On his way tbe General will speak at Milton and at Gore. He will sail from the Bluff for Hobart

to-morrow, Mr Paulin's prediction'-at 9.30 last'evening was as fellows :—•• Light to moderate S.E. to E. winds, with rain showers s^nd mist for about 16 hours; barometer unsteady."

Inspector Pardy leaves this morning for Alexandra to investigate »* curious case which at present forms the topici of the hour in that district. The other day .the body of a Chinaman, who wis previously said to be missing, was reported to have beeri found on the banks of the JMolyneux. The constable at Alexandra proceeded to the spot, aud.discovered the remains to be in an advanced stage of decomposition. Tbe legs were, bound, the clothes were torn, a huge stone was tied around the neck, and there was every indication of foul play. With the assistance of some half dozen Europeans and Chinamen tbe body was removed to Alexandra South, but as it had to be dragged over six miles of rough and stony country, and as the stench which arose was most abominable, the party were utterly ezhausted on arrival. The body was viewed, the constabls reports, by hundreds of people, including a

large number of Celestials, who agreed that although it was thafc of a'Chinaman, ib was not that of the man reported to be missing. Two doctors also viewed the remains, and ordered them to be removed to a'convenient place for post mortem examination. This was afterwards commenced and aftir the medical men had been at work for 25 minutes (at least, the constable says they were), they suddenly became kware of the fact that they were en-taming the inside of a sheep, and not a dead Chinaman at all. The trnth ot the matter is the wholething was a clever hoax, and various putts of a sheep, of a pig,, and of other animaU had been utilised in turning out & dummy. The policeman seeks consolation in the fact that bstsides himself many others, including two medical men, had been deceived; but ths memory of that awful task of dragging the loathsome thicg over six miles of rough country will ever haunt bim. A boy named James Welsb, eight years of age, was adtnitt-dto the hospital from Kaitangata on Saturday night suffering from a fracture •of the skull and a fracture of the arm and leg. Ifc appears that the unfortunate lad was in one j of the small tracks used for hauling coal at tbo Kaitangati Company's mine when they ran away down an incline. A number of other boys were in them at tha time, but they escaped comparatively unhurt. Tbe condition of young Welsh is serious, and doubts are ent.rUtinod as I to his ultimate recovery.

Mr O, D. R. Richardson, rector of the BaY-

clutha, District High School, has been temporarily appointed to the inspecting staff of the Otago Education Board, and will leavo for the Waitaki district this morning to take up the work of the late Inspector Tavl-vr. During Mr Richardson's temporary absence Mr Moir, of the relieving staff, will take oharge of tho school at Balciu.ha. Mr Richardson's experience while pre»iously assisting tho inapedtors enables him to t_ko up tha work at once.

A son of Mr P. Sfedeberg, of York place, sustained a fracture of the leg while playing in a cricket match afc the Caledonian grouud on Saturday afternoon. Ho slipped while running, which caused tha mishap. He was taken fco the hospital andHhen conveyed home. Tbo same young man was unfortunate euough to break his arm daring tho football-season.

Mr T. Kirk, P.L.S., president of tho Wellington I'hilotophicsil Society, exhibited at a meeting of the society on Wednesday night some specimens of the mako-raako, better known as the wine berry. Ho thouaht'these might become a profitable sourco of income. They could, he suggested, be exported to Franca, where large quantities of a similar plant, eaUed-tho Aiistotelia macrjuui, were imported from Chili, and used in coloaiiog wines. '.fhe mako-mako, he bolievod. Was even bettor suited for this purpose than the Chilian plant, and aa there would be no difficulty in collecting tons of it in New Zealand, settlors might add to their incomes by exporting it.

The competitive' design, for a new issue of Government stamps, which are on exhibition in the premises in Princes street opposito the City Hotel, were inspected on Satoi-day by a largo number of persons. Maby of the designs aro very beautiful, and were greatly admired by the visitors to the exhibition, most of whom found the time at their disposal too short to thoroughly examine the lsrge collection of stamps on view.

The Christchurch Pfes_ states that the late nor'-we.ters caused much damage on the plains. Any land that was turned over before tbe frosts, and thus rendered friable, has suffered severely, the coil and the young grain being both carried away. One large farmer at Duosandel had 63 acres thus stripped bare to the subsoil, aud numerous other cases could ba mentioned. -

A correspondent who has beeu through a great part of the Mackenzie Country dutiug the last fortnight supplies the North Otago Times with some particulars of asce.ta.ned losses. Balmoral has over 12,000 skins, and all hands are yet gathering wool. Cowan's Tskapo, Hope's Richmond, and Rntherford's Mistake runs are clean swept—scarcely a sheep to be seen. Glentanncr has closa on 2000 skins, and probably other 2000 dead out of 10,000; Arthur Sutherland's Birch Hill, over WOO dead out of less than 6000. Half the run was mustered last week, aud only 75 sheep were got. This run ia to be let with the Hermitage Hotel. Rhoboro'Downs has 4000 skins.out of 10,000;, Ben Ohau, much the same ; Benmore has over 10,000 skins, which means 20,000 dead. Lower down,'towards Burko's Pass, the losses are q_iite as heavy; whil-i up the Waitaki, from Morven Hills to Station Peak, the lois is bo great that fewer sb -.-.rets and other hands are to be put on this J ear.

Thirty Chinamen paid their passages for their return to China (.ays the, Sydney Morning Herald) by the steamer Guthrie, sailing in lhe E. and A. Company's Jive. One of them, au ex-storekeeper at Greymouth, New Zealand, said that he had managed to save up a few thousands since the gold rußh of over 20 years ago, and is going home to find out

whetfier his people, in Hankow, can be prevailed upon to emigrate to Australia. Four others—one with £600, two with £800, and the fourth an unknown quantity, said to be in'five figures—are excursionists, leaving with the full intention, after visiting th-iir nativo land, of

returniug to the colonies.' A Hongkong native remarked tbat, being a British subject, he sup posed that he h.d "some rights even in Au. trilia "

A joang lady named Porter, the winner of the Elder music scholarship three jems ago, has been the subject of a remarkable operation in Adelaide. While studying in England she injured her fingeis, and this, tho London specialists declared, would prevent her from ever playing agaiD. Sicca then the fi-ge:s have been stiff and dead. Afew days ago P.oiessor Watson, with Drs Sterling aud Marten, opened the forearm and discovered the tendons to bo twi.ted. They performed an operation, and the lady is now able to use her fingers.

The lobbies are full of gossip (says tbe correspondent of the Lytteltoo Times) about a firo on Friday morning, which was a : very narrow escape indeed. A viio smell of burning wool alarmed everybody as the House was rising. A coat iv' tho members.' post office across the Jobby between the library and the House of Reprc-eatativcs was found to be on (ire as it hung ou a hook io the wall. The coat was sonssd, aud that is all, except a good deal of e._cite___nt and noise, and, by the way, a very good test of the firs appliances, which were found to be in goad order aud tflisient. Tho main point of interest is that if the lite bad occurred an hour labor, whoa the door of the post offi-_o would have baen locked, the library would hare gone off like tinder, and the wholo pile oi the JParliamentary Building! would have end-d in smoke.

What promises to ba an important new agricultural industry is about lo be inaugurated by S. D. Cone, a South Dakota farmer, who will this year plant 100 acres of Russian sunflowers. The yield is 30 to 50 bushels of eeed per acre, produoing about one gallon of oil per bushel. The oil is high-priced, ahd is what is known as the nearest approach to the oil of th« olive. After the oil- has been extracted, tbe seed meal makes a splendid cake for cattle and horse feed, muoh superior in fact to that made from the flax. Then the stalks, which will number about 13,000 to the acre, wiU yield five to six cords of fuel about equal to wood, and worth in tha neighbourhood of 16dol per acre.'

Of the acta of daring and the even more splendid examples of endurance by which honours were won by native troops in the Chit.iil expedition, it is difficult to read without' a thrill of admiration. One Sepoy who received the order cf merit has had no fewer than 31 wounds, ■' probably," . ays the Indian Daily News, "a record number." Another, shot in the defile where Ross's party was' out up, quietly-felt out the bulletin his body and with both hands forced it, oweless of the agony, to tha surface When at last he could get it between his fingers he pulled it out, and tben, streaming with blood, ho shouldered his rifle again and did a march of 21 miles.

The Union streefc Exhibition Committee held theie final meeting on Friday evening, when fche balp.no* sheet and report in connection with tho

late carnival was read and adopted. Tha result shows th.fc the school funds have been augmented by over £60, and with a subsidy from the Education Board, this will enable several necessary school giound improvements/to be effected. The committee placed on record a very hearty ivote of thanks to all those ladies aad gentlemen who had assisted in nuking the carnival such a rßuccss9.

Tbe anticipations formed by those who witnessed the first production of the mili&ry and sp'eoUcul*. drama, "A Life of Pleasure" that it would "catch on" to the public to an almost unnsusl degree aro bomg abundantly realised. On Saturday night, when the fourth performance of the piece was given, the audience was not ooly as large as had witnessed any of the previous productions, but was one of the largest of tho season. • The admirable representation which was given of ihe play evoked the warmest applause ol the audienoe, the efforts of Miss Watson being singled ont for special praiss, this yotbg lady being tha recipient of a great. demonstration of popular enthusiasm. The -other jSorformers all filled tbeir parts with marked success, and tho play was perfectly mounted. "A Life of Pleasure " will ba repested this evening, which- will be a

specicd cyclists' night' the dr.ss oircie having

been reserved by-tho local eycline elebs. On Toesday evening, whioh will be the last night of the .preaent eeason, the Hussars, now in camp, will attend.

Messrs Kidd and Co., surgical and mechanical dentists, notify that they havecommenced business opposite Cirgill's Monument, l'rinc-w st.—[Advt.J We are now prepared to take orders for \V:uRongoi mineral water, boltled only at tlio Springs, North Taieri.. The best table water as yet discovered in New Zealand. Testimonials from medical gentlemen, analytical chemist-;, aDd consumers as to its value can be oven at our office. We supply the Dunedin and Wellington Hospitals and the Union Company's entire lice witb our pure crystal soda nnd mineral waters. Specially-m..de sodawater for invalids. JVew label coloureil brown, with white letters.—l "OHSON AND Co.—[A.dvt.l