GUNTON'S BEACH G.D. COMPANY .

Otago Witness, Issue 2509, 16 April 1902, Page 24

GUNTON'S BEACH G.D. COMPANY .

The second annual meeting of the Gunton's Beach Geld Diedging Company (Limited) was held at No. 3 Bond street on Friday evening, when Mr W. Cameron presided, and 12 shareholders, including three ladies, were present. The annual report siaied that the <)irector<in submitting their annual report for the year ended February 23, 1902, much regretted that satisfactory piogress had not been made towaids the completion of the dredge Every possible effort had been made by the directors, and a. committee of shareholders to finance and dj£vj&<? % ftikitiig wh£(|b£ jjia difficuJtiY, rn.igh.iL

be overcome, tut so far unsuccessfully. A considerable amount of calls were in arrears, which ha-d been placed in tho solicitor's handa for collection months ago, with but veri moderate results owing to a large number of shareholders' inability to pay. A deputation from the directorate and committ-ee had waited upon the contractors, who had courteously granted time to negotiate, and in the case of Messra Cossens and Black agreed to time and also a' modification of terms, but not to the extents to enable the company to proceed with the erection of the machinery. It was hoped, seeing the company had a property with a bright prospect, that at the meeting of shareholders some means would be devised whereby disaster 1 w..uid be averted. The retiring directors were) \ici=rs J. H. Roy and J. Gunton. who were eligible for re-election. The balance sheet; showed that the cost of carrying the company on for the year amounted to £722 9s 2d. On February 28, 1901, there was a debit balance of £611 2s lOd, while at the close it stood) aU £1363 12s, the principal items of expenditure being legal expenses £231 12s Gd. general expenses £203 3s 7d, iuteiest £132 14s 2d, directors' fees £63, and caretaker £35 18s. The nominal capital was £11,380. Shares to the extent of £15 had been unallotted. The arrears amounted to £1951 17s 6d ; tho contract liabilities were — Cossens and Black £2200, Rnewstubb Bros. £500, engineer's commission £300*. and F. R. Manning £272 14s 3d. The assets included mining property (including hydraulics sluicing plant), £3900; dredge, £5449 18s 3d; da.lll, £680; Blue Bell Dredging Company un. liquidation), amalgamated with the company, £916 ; and cash in bank, £264 2s 2d, making a total of £11,337 4s 9d. The Chairman apologised for the absence of the chairman of directois (Mr J. H. Hoy), wno was out of town on business. They Uad all thought by this time that they would have had a '" inn for their 3iioney," but they were, still almost in the same position as last year. He ti usted the shareholders would excuse him from saying anything in regard to the report, as the chairman of directors was not present. A Shareholder then moved the adoption of the report and balance sheet, and the motion was carried unanimously. A Shareholder asked if that was all the meeting was to get. Had the directors nothing afc all xo say to the shareholders with legard to tho state of the company's finances and its position generally? Another Shareholder asked what steps had been taken to get in the arrears. The Chairman said the matter had been in the solicitor's hands for months, but he had: found it impossible to get the arreais in. Some shareholders had been unable to pay tho calls. Eveiything possible had been done. It was not any fault of the directors that they were unable to get the arrears in. It was that that had put the company in its present position. Mr J. P. Lano asked if these shares could rot be cancelled, and someone else allowed to take them up. The Chairman said the shares would be forfeited now. The company's solicitor (Mr Calvert) said it was a very good suggestion, if there was anjt possibility of doing anything if the shares were taken up. There was nothing to be got. Sotnei who held shares were utterly unable to pay, and their company was not singular 111 this respect. When the calls were made it had been, found that a great number of shares had been, held by " dummies." If the&e cails had been paid the company would not be in the position, it was to-day. Some of the holders had already received notice of forfeiture, but unless something was done the forfeiture would not; be of any good at all. In answer to a question, the Chairman said. the pontoons were on the river, the engine and! boiler in Dunedin. Messrs Cossens and Black would not release tho machinery unless paid, and so tutny shared' being in prrears the compuny could not p:iy. Had they been able, to pay another i'looo they would have had possesFion of Iho machineiy. A Shareholder askpd if the company went )>-.to liquidation would there be any prospect of sellit g- the machinery ■* Mr Line said it wai not the company's to s,rli. They had tiothing but tho bare claim. Th Secrftaiy oxr>l;t:nc-d th tt t Messrs Cossens ard ■'i.'ick's contract v.as for JM3O"), of which. £1100 had breu paid, leaving £2200 due. £500. was owing on Me-sM^ KupweluMj's contract, and £193 on Messrs Marshall and Sons'. Mr Calvert said thnt oven if the rails came m there would be still £1000 in arr^ar. The Chairman said he had se?n Mr Black that day. mid had asked him if the firm would take the machinery in lieu of the i^ahtiice and) •jpll it 111 Ins own interests. H«- (the- Chaai.ian) •u,dor o tocd >!• Black would be m fa\our of doing thu. A Shareholder; The hquidatois would have.

to sell the machinery, and that would be making Cossen and Black a present of JEIIOO. The Secretary said the final certificate had been granted, but the company had been unable to meet it. Mr Calvert said if the company was* free of thiß liability it might be able to sell the claim, and then still have the forfeited shares. A Shareholder : Then we still owe on the engine and boiler? The Secretary said they could not sell the machinery for £'2000. The highest offer they had had was £1500. The Chairman .<=aid that if Messrs Cossers and Black woiild take the machinery the company might be in a position to make a levy Oil the shareholders and reconstruct. A Member of the Committee paid that the directors had done everything possible in their power, but unless Co c sen3 and Black " cried quits " the company would have to go into liquidation. He suggested that the meeting should be adjourned, and a committee appointed to interview Messrs Cosscr.s and Black. The informal discussion then ceased, and Messrs Roy and J. P. Lane were elected directors snd Mr A. T. Finch auditor. A Vendor moved that the auditor's feo should bo reduced to three guineas, but this lapsed for want of a seconder. An extraordinary meeting was then held to consider the following proposition- — "That it has been proved to the satisfaction of this meeting that the company cannot, by reason of j"ts liabilities, continue its business, and that it is advisable to wind up the same, and accordingly that the company should be wound tin voluntarily; and that Sidney Thorpe of Dunedin, be appointed liquidator for the purposes of such winding up." Mr Calvert moved that the extraordinary mating should be adjourned for three months. He thought there was a chance of .something bettor turning up. Ths motion was carried unanimously. An informal motion for a reduction of the directors' fees was proposed by a Shareholder, who said that had it not been for the directors the company would not have been in its present unfortunate position. This was not seconded, aud the meeting closed.