THE NEW ZEALAND AND RIVER PLATE COMPANY.

Otago Daily Times, Issue 10599, 20 February 1896, Page 3

THE NEW ZEALAND AND RIVER PLATE COMPANY.

(From Oub Own Correspondent.)

London, January 3

Yesterday the twelfth annual meeting of the shareholders of the New Zealand and River Plate Land Mortgage Company was held afc the Cannon street Hotel; Mr A. M. Mitchison, the managing director, presiding. All the directors were present, including Sir Edward Stafford, Messrs J. M. Ciark, Louis A. Nathan, and J. H. Gibbs—all ex-New Zealanders.

Mr Mitchison, iv moving the adoption of the report, made an excellent speech. He said that the loauß on mortgage in Now Zealand had been reduced from £71.433 to £35,752, and tbe properties taken ever had been reduced from £39.9-79 to £38,132. Tbe mvesf.mwts iv London had bean reduced from £82,031 to £46.257. AU tbe sales had beeu effected at prices considerably above the valuations at 31st October 1894, but these profits had not been included in tbe profit and losn account, aud it was not proposed that the profit on auy such sale should be included until tbe whole group to which ib ralattd had been sold. They had every reason to beii-ive that the properties on their hands in New Zealand were worth a great deal more than. tbe sum at which they stood in their bioks, and they would certainly refuse to sell under present conditions at anything like that sum. Similarly, their loans on mortgage were worth more than t-hsy were represented to be, and, although they must be prepared for disappointment,', as well as results thirt exceeded their expectations, he was glad to say that so far they had only experienced the latter. In the River Plate districts the property taken over stood in their books at £46,540, whereas at the end of 1894 it amounted to £53,312, and tbere had consequently been a reduction of £6772. As in the case ot New Zealand, this did not represent tbe whole movement of the account. Bstween the end of 1894 aud tbe end of 1895, properties standing in their books at £6300 were taken over by the company, but £13,072 was received in repayments by mortgagors, and consequently the balance of the reduction was £6772. On the whole, the River Plate branch had done extremely well, and tbe £35,000 that they had received for it in actual cash spoke for itself. He saw in the growing demand for land near Auckland, in consequence of the increase of the gold mining industry, and in',:the steady development of Argentina, every prospect of continued prosperity, far tbeir company. Their net profit this year was over 44£ por cent, more than it was in the preceding year, their total assets had become worth considerably more than tbe value at wbich they stood in the books, and the debenture debt had been decreased till the total indebtedness of the company was less than £?. 10s per share. Mr Bristow seconded the report, and spoke in his usual cheery 'and straightforward and thoroughly Johu Bullish style. A dissentient shareholder declared that the present directors did not really represent the shareholders. He asserted that tbe shareholders were very badly _.ie_ last year. . They carried against the directors a motion regarding the appointment :of auditors, but it was overruled by the directors, who swamped the poll with proxie^ Ho could not forget the gross mismanagement of past years when the shareholders' interests were jeonardiaed by reckless and imprudent investments. Ha thought they ought to have some fresh blood— new men who would command public confidence. Directly he sat down Mr Abraham jumpad up with an agility oue would hardly have expected in a geotleman of his venerable years. But Mr Abraham was brimming with righteous indignation agiicct the last speaker, for whom he speedily made things exceedingly sultry. He desired to pay a hearty tribute of admiration to the excellent judgment which the bjard had displayed in their management during the past year. They had sbowu especial wisdom in transferring their business in so large a degree from New Z-aland, wbich was somewhat uodcr a cloud, tb the River Plate, where matters had gone so well with them. "As an old New Zoalander," said Mr Abraham, " who has gone through the firo, I am glad our chairman gave us those encouraging words about the colony, but I have had a part in every company formed to develop New Zealand, and what is the result ?" Mr Abraham did not say. He left the conundrum tor somebody else to answer. But nobody did. Replying on the whole debate, the Cbairmsm explained that tho profits obtained bu some items had been used in writing down others. As regarded the permanent debentures, the board bad nob attempted any scheme of conversion because the rates were at presant too high. Thoy would not bave permanent debentures, but long-dated debentures with a sinking fund. He decliued to take any notice of tha attack made on tbe board by one shareholder present. The report was thou adopted, and Messrs Bristow and J. M. Clark were reelected directors. Messrs Gerard Van de Linde and Son were unanimously re-elected1 as auditors, a fee of 50 guineas being voted. Mr Van de Linde asked to b=; allowed to say tbat in auditing the account! of tbe company he had beeu left absolutely free by the directors, and had never been approached by them in any way. They always met him most bouestly and straightforwardly as regarded everything he thought should be dons, aud he never had to put the slightest pressure upon theni in any respect. Sir Edward Stafford wished to say a word or two as to his own -present position in the company. His investments in the company were sufficient proof of his opinion as to its present position and. prospects. He and his family formerly had £2300 invested in the company, but this year they had £3800, besides a considerable sum iv the company's debentures. That at any rate would show the confidence he had in the company and its future.