Poverty Bay Herald

Poverty Bay Herald, Volume XVI, Issue 5568, 13 September 1889, Page 2

Poverty Bay Herald

PUB LISXED E VER V E VENTNG OISBORNE, FRIDAY, SEPTEMBER 13, 1S:0. HARBOR BONDS. The Gisborne Harbor Bill has been read v second time in the Legislative Council without opposition, and the measure is now as good as on the statute book. By the Premier's advice, the Board did not await the final decision of Parliament, but completed arrangements for paying the half-year's interest due in London on the Lst of November next. >So even if the Bill had miscarried the lenders would have obtained their interest. We do not suppose that a single settler cares a rap about the financial credit of the Harbor Board so far as that body is directly concerned, as there is not the slightest idea entertained in any direction of raising more money by loan to continue the works. Should the district advance at n pace in keeping with natural resources, very probably before many years elapse, there will be a movement to release the large proportion of the L 200,000 loan locked uj[> by the Legislature, that \u, if

the great body of settlors bo convinced that the money cm bo profitably expended. However, that is an aspect of tho question that there- is no noed to discuss at the present time. When tho Premier was here nt the beginning of tho year, he hinted that it might be advisable to devote tho balance in hand to the purchase of harbor bonds. That is a question which would require grave consideration before being acted upon. The buying up of the bonds would very likely be" taken by the Legislature to mean the extinction of the debt, and not merely a financial operation which might be turned to profitable ,'ieeount at a later period should it be decided to go on with the works. If tho credit of New Zealand, generally and locally, was at a high point in the Home money market;, Mie Gisborne Harbor bonds would probably have a selling value of LI 15 to Ll2O. There is every reason to anticipate that before long the 5 per cent, debentures of an undoubtedly solvent body will realise something like the above figures. If the Gisborne bonds could now be bought in for, say, L 95, the speculation would most likely be a good one, that is, if the Board could make sure that their action would not tend to more closely lock up the balance of the loan. If there wore no apprehensions on this point, the bonds might now bo purchased under par, and sold at a substantial advance when tho money was required to carry on the work. However, it is not at all unlikely that the fact of the Board entering the market as a purchaser of the debentures would enhance the price. Little or no attention has been paid to the position of Gisborne harbor bonds in the Home market. About eighteen months ago, Mr Thomas Russell, who was a lar^e holder of Gisborne harbor debentures, wrote on the subject. He stated that at that time the bonds were practically not negotiable, and any quotation ho might furnish would be only nominal. Of course, the majority of people who deal in .stock of this kind do not like to hold unrealizable bonds, although there may be no doubt as to the interest being paid. Mr Russell suggested that an effort should be made by the Board to induce the Government to convert the Harbor bonds into 4 per cent, colonial stock. Hestated he had consulted with the holders of thebulkof the bonds, and that they had expressed themselves favorable to that course. He added that they would be prepared to accept a small advance upon par. It must be borne in mind that the harbor loan realised L 2 odd over par. The inference to be drawn from Mr Russell's letter was that he and his fellow debentureholders would be prepared to sell at a price equivalent to that which they paid for the stock. There was not the faintest prospect of inducing Parliament to accept any prospect of the kind, and the Board considered it would be useless to attempt to carry Mr Russell's views into effect, though it was recognised that the arrangement would be advantageous to the district. The rage against the Harbor Boards has somewhat modified since then, but the time has not yet arrived for proposing a conversion scheme to Parliament.

At the period Mr Russell wrote, NewZealand inscribed stock was ({noted at about. LOS. The present quotation is from LlO5 to LlO6. If tlie Harbor bonds had been converted then into inscribed stock at the price mentioned by Mr Russell, the operation, according to present market values, would have turned out profitably for the holders of tlie local stock. In the British Australasian of tho 24th July last, we notice that the latest quotation for Gisborne harbor debentures is 90 to 98, and that they had been as low as 94 during the present year. According to this", the harbor bondholders should jump at exchanging their debentures for an equal amount of inscribed stock. Harbor bonds are not now in favor at Home. Owing to the senseless and damaging statements made in Parliament and by a portion of the Press, the credit of the Harbor Boards has been damaged. In the money market all this class of securities appear to ha treated very much alike. For instance, Napier five per cent, bonds were quoted as low as 98 during the present ye.-yr, although according to latest advices they had risen to 100 to 102. The price of the Otago harbor bonds fell to 94, the Gisborne minimum, but in .Tuly they were quoted at 101 to 103. Taranaki's at one time had fallen as low as 90, but the Government coming to the assistance of the Board sent the bonds up to over 100. Westport and Grey mouth occupy by far tho best position, the selling price of their four per cents, being 103 to 105, which of course is owing to tho State guarantee for the loans.

The horse sold in the pound to-day realised L 2 Os. The (.'overnmcut lias appointed Mr A. C. Arthur as a member of the Harbor Board, in place of Mr K. Murphy, resigned. Remittances to the amount of L 242 have been received by the local office of the South Pacific Petroleum Company to pay claims for wages, &c. It will be seen in our advertising column that Messrs Dnnlop and Hepburn return thanks to the ratepayers who voted for them at the Borough election yesterday. Messrs Oraham, Pitt, and Bennett will sell at, their auction mart 60 cords firewood, buggy and harness, 150 novels, produce, &0.~ It was stated at the Charitable Aid Board this afternoon that if the present relief necessary continues, the Hoard will have to call on the contributing bodies for more funds. The Charitable Aid Society met this afternoon. The Secretary's report showed : — Out-door relief, 14 adults 40 children ; Outside institutions, 2 adults, 7 children ; Old Men's Home, 3 adults; total, 19 adults, 53 children ; cost for month of outdoor relief, £24 7s 6d ; Home, £9 10s ; total, £33 17s (id. The annual election of three members of the Borough Council took place yesterday At twenty minutes past seven Mv Piesse declared the result of the poll to be as follows : -I). Hepburn SOS, «J. Whinray 25 G, J. C. Dunlop 247, K. I*. Joyce 20!). The three j first named are therefore elected. There was a laise croud present when tjio slate of ih^ poll wrm ;;n no'u ii tied, but no" demonstration was iii!«!e, A long discussion touk place a£ j:he Supreme Court sittings in Chamber* this morning in regard to the case of H.irdys v. DeLautour and others, with the result that th« l?c-,'; ring of the casa is postponed. Oilier chamber husjjticc-3 was got through. The Court session has now closed and His Honor leaves for Napier this evening. On Sunday evening in the Congregational Church Rev. S. Robins proposes to deal with a subject of considerable interest — "The Law and the Gospel." Some of the points to be discussed are : The function and requirement of the law, the chief purpose of the gospel, the new elements introduced by it, the inefficiency of ethical teaching, what constitutes Christianity, the true religion. j Mr Malcolm and a party of three men I arrived from Napier this morning for the purpose of constructing a telephone, communication between Oisborne, Te Arai, and Murewai. Operations were commenced this morning, and as the wires will only require to be attached to the standing polp« the two townships mentioned will soon be within "cooey" of Gisbonic. The Salvationists bnd n real good time yesterday. Early in the evening a brake containing the Army's band was driven through the streets, and at their t^a mppiing a large number of people were nssemblpd, the barracks being simply packed. The spread was an excellent one. After tea the Army was in the streets in full force and the usual open-air evening, in Hie presence, of a great crowd, was spent. On the return to (ho barracks a bumper hallelujah farewell meeting was held, the occasion being the departure of Major Rolfe. J

Tha atnu'eur entertainment held in the Tlu-iUre hoyu! List night w.»s in every way ii suooess. Tho performttnoo was a capitul one, ittul was £>>nu through without n hitnh, thii audience wi-re very upm'iative, and best o\ nil the theatre was well filled. The tableaux vivants wore a great success, and showed that no little eire had been t-.vken to make them so. Mr J. Bourkc, who acted as interlocutor, carried out his duties in a pleasing manner. The ladies who were instrumental in working up the entertainment, for all the business bus been done by ladies, deserve a great compliment for the successful result attained. The tableaux v. ere excellent, the dresses being especially pretty. The following programme was gone through : Instrumental selection, Messrs Pjihiirct (3) (piano, violin, viola, and 'cell) ; song, Three Maids of Luc, Mr Shelton ; tableaux, "Young and old Maids"; song "I fear no foe", Mr Reynolds; tableaux " Zeuxis Choosing a Model for Painting"; trio " Hark to the Indian Drum," Mesdamos Greenwood and Palairet and Mr Greenwood ; tableau, "Queen .Margaret and the Robber;" recitation, Mr ({old .Smith ; tableau, " Bluebeard ;" song, " Where are you going to, my pretty maid," Mrs SunderJand ; tableau, " Tho Modern Milkmaid ;" song from lolnnthc, Miss Holroyd ; scene from lolanthe ;" song, "The Wishing Cap," Mrs Gold Smith ; tableaux, " The Dirty 13oy ;" song, Mr Talairet ; tableau, accne from Faust ; instrumental quartette; tableau, Cinderella; song, Mrs Palairet; tableau, "Three witches from Macbeth." During the evening the Mayor presented Master Herbert UeCosta with a. Royal Humane Society's medal and congratulated him on his bravery. Holy Trinity Church practice for Ortjan Recital will begin at 8 sharp. Choir at 7.30. (Advt.) Congregational Church services on Sabbath—Gisbornc 11 and 7, Makuraka 2, Makauri 3.30, evening subject "The Law and the Gospel."— Rev. S. Robins.— Adv. Genius without conscience is like a lire without flame, nut to warm, but to burn — while a pair of Hennessy's Wuterlights will keep tho feet dry and warm without, the aid of any tire. — Advt.