TRUSTEES, EXECUTORS, AND AGENCY COMPANY.

Otago Witness, Issue 3403, 4 June 1919, Page 8

TRUSTEES, EXECUTORS, AND AGENCY COMPANY.

ANNUAL MEETING. The thirty-eighth annual meeting of the Trustees, Executors, and Agency Company was held on the 14th inst. The chairman of the board of directors (Mr A. Bathgate) presided. In moving the .adoption of the report and held on the 14th hist. ■ The chairman of balance sheet the Chairman referred to the strain of the work involved by the case of assets of two and a-half, millions _ during the war, and was even in ordinary times onerous and responsible. They were all under a debt of gratitude to those members of the staff who so ably rose to the emergency. Mr Simpson, who was one of those, retired at the end of 1918 after 38 years of continuous service. The balance sheet showed that tho profit for the year was slightly in advance of that of last year. The commissions earned showed an increase of £323 Os 9d., while tho interest was practically tho same, but on the other hand the expenditure had been greater, largely owing to special payments made to members of the staff on military servioo and other small increases which were due to the enhanced prices ruling because of war conditions. It went without saying that such increased expenditure did not ill any way affect the constituents of the company, as its charges remained at the same reasonable rates as had been in force for many years. Turning to the statement of the trust and agency business it would be seen that tho value of tlio business with which the company had been entrusted had increased from £2,480,468 13s lOd to £2,500,758 _9s 4d—an increase of £20,291 15s 6d —but this did not necessarily represent the new business acquired by the company, for from time to time estates were wound up and distributed, and it is satisfactory to note that not merely were they replaced, but that the total sum showed a substantial increase. The company first.published the particulars of the trust business in 1906, when the value of the assets committed to its care amounted to £1,290,046 18s, so that in the 13 years which had elapsed since then the amount of these trust funds had been more than doubled. Owing to the high prices ruling for produce money borrowers had been enabled to pay off their encumbrances, and possibly for tho same reason really first-class securities had not been quite as numerous as in former years. Notwithstanding this, owing to the larger sums absorbed by the war loans, the tendency had been for the rate of interest to increase, and it was probable that this might be more marked later. The present rates ruling were from 5J to 6 per cent.

Mr H. Baron seconded the motion. Ho said that so far as he could see there was very little change from previous times.

Tho motion was carried unanimously. The Chairman said that the board of directors was of opinion that some acknowledgement should be made of tho long and faithful services rendered to the company by Mr Simpson. It had therefore, decided to grant him a retiring allowance, subject to confirmation by the shareholders at the annual general meeting. He would mpvc thai, the allowance be approved.

Mr Roberts seconded the motion. He said he was sure shareholders would bo

satisfied with the wisdom and propriety of making such a .retiring allowance, adopted. Sir J. R. Sinclair said he would * like to add his testimony to the valuable , services that Mr Simpson had rendered to j tho company during- so many years. He had eriven to' it the very begt years of his life.

Mr Baron said he fully appreciated the work Mr Simpson had done. He said their business earned for itself as a business £BSO. That was not a very large amount from which to pay the retiring allowance named. Another point he did not like to see was the increased number of companies carrying a. similar business to theirs. The Public Trust was getting legislation passed year after year to get business forced into the Trust Office. Taking the average annual increase for 19141919. after payment of their expenses and dividends and bonus it came to roughly £320 per year. How were they going to pay the retiring allowance recommended out of that? Sir John Sinclair: It will be paid out of the net profits of the company. Mr Oiowes: It will be paid to some extent out of the commission on net profits that Mr Simpson had previously been earning. The Chairman: Tho expenses will probably not bo increased at all. _ Mr Clowes had mentioned one item of saving. Another item was that last year they had paid £l7O to members of the staff' who were absent on military service In the future that would be saved. He did not think Mr Baron need fear that the dividends -would be decreased.

The recommendation to pay Mr Simpson a retiring allowance was then carried unanimously.

Mr D. Crawford moved tho re-election of the retiring directors —Messrs John Roberts and Alexander Bathgate. Th'e motion was carried unanimously. Mr Roberts returned thanks for hie reelection. Ho thought. Mr P.-C. Neill, who was also present that day," and himself were the only original members of the board. They had worked for all these years at a very small salary indeed. Ho did not think that Mr Baron could find fault with their remuneration—(laughter)—which had been practically negligib'.e. They had done the work more for tho love of the company. They had recognised the need of such a company when it had been decided to form

it Mr Bathgate also returned thanks for his re-election. Messrs G. L. Denm'ston and William Brown and Co. were re-elected auditors. Mr H. S. Fenwick moved a hearty move of thanks to the directors and staff. They appreciated the difficulties that had obtained during the last few years while the war was on. amY ho considered that the results had proved very satisfactory. Mr A. Sinclair seconded the motion, and congratulated Mr Clowes on his appointment as acting manager. He trusted he wo-uld no 03 successful as his predecessor had been.

The motion tms carried unanimously. Mi- Baron a*ked if the directors would consider the advisability of capitalising tho reserve fund.

The Chairman said the matter had been considered by the board some years asro. Tie had. however, no doubt that as _the matter had again been raised they micrht reconsider it. rind possibly deal with the point raised by Mr Baron.