GROGAN'S POINT. TO THE EDITOR.

Otago Witness, Issue 2456, 10 April 1901, Page 21

GROGAN' S POINT. TO THE EDITOR.

Sir, — Answering " Dredging Investor's ' letter which appeared in this morning's paper, if he voices the opinion of the shareholders in the Grogan s Point Gold Dredging Company (Limited), he can easily get a requisition signed by one-fifth of these shareholders asking for a meeting to be held at any suitable hour. Within 21 days aftar the receipt of such notice the company must call the meeting as requested. — I am, etc.,

Investor.

TO THE EDITOR.

Sir, — I noticed that on the 27th inst. an extraordinary meeting of the above company was held, a bare quorum of seven being present, and that the chairman of directors (Mr Hancock) advised winding up, which is the only proper thing to do. The shareholders should wake up to the fact that a majority of those few present intend finding another claim. I, as a shareholder in this company, strongly object to anything but winding up. I would suggest that another meeting be held, say, at 8 p.m., as a number of business people cannot attend when a meeting is held in the afternoon. I have a copy of the prospectus before me. It commences with the words (underlined), " A thoroughly proved dredging claim." Giles Tally, an old miner in the Cardrona district, states in his report that this claim is " without a shadow of a doubt very rich," and that in some places from Boz to lOoz to tho bucket have been obtained." Against that and many other (shall we say misleading?) statements we have the report of Mr J. P. Smith, a reliable dredging expert. His report shows: No. 1 bore, no gold; No. 2 bore, one colour; No. 3 bore, no gold; No. 4 bore, no gold; No. 5 bore, one colour ; No. 6 bore, no gold ' r No. 7 bore, two colours; No. 8 bore, no gold; No. 9 bore, one colour ; — total results from niae bores, " five small colours." Mr Smith concludes by regretting to state that the claim is worthless.

Now, Sir, I am strongly of opinion that in face of the many (shall I say again, misleading?) statements in the prospectus the shareholders should demand their cash back in full, and make the vendors and those associated with them pay all expenses incurred up to date. If they refuse to do so, I would gladly make one to put the law in action so as to hold them responsible, as I consider this prospectus a glaring tissue of misstatements. — I am, etc., Dredging Investor.