SOUND FINANCING

Poverty Bay Herald, Volume LXIII, Issue 19127, 23 September 1936, Page 12

SOUND FINANCING

DIRECTORS COMMENDED HOME BUILDING LOANS CO-OPERATIVE ACTIVITY The interest taken by shareholders in the affairs of the. Gisborne Co-operative Building Society was instanced last even ing by a. large 'attendance at the annual meeting, there being 60 investors present. and (he proceedings being followed with close attention throughout. The chairman of directors, Mr. ('. A. Ambridge, presided, and the business was dispatched with an even greater degree of celerity than is usual with this association.

The, motion fur the adoption of the report and balance slice!. as reviewed in the Herald on Monday, was moved by flic chairman, who commented* that the attendance was gratifying to the directors. It afforded him much pleasure in moving its adoption, and he could not help be-in;.; reminded of Hie fact that for the 37 years of the company s existence, Mr. A. G. Beere had been the efficient secretary, and Mr. 11. .Miller a director. He considered that the society could boast a good record, every effort having been made to deal fairly will! every detail of the business. WORST PHASE: PAST The chairman was of the opinion that the worst phase of the depression was definitely a thing of the past, and while arrears of subscriptions were now larger than usual, he had no doubt that these would he quickly liquidated. -It could not he denied that the society, with its £410,000 of loans in the district- -more than half of which had been free of interest--had done a great deal of good for home-builders in the community. Mr, Ambridgc briefly reviewed the various active issues, and staled that the shareholders had demonstrated their loyalty by making their payments as promptly as possible, in the face oi severe difficulties, lie was not aware of any society in New Zealand, which had had !i morn BlieCGSSflll t('1111 iiuiLiclll of its past issues than the Gisborne society. The record scenic,! to him to warrant optimism for the future. Seconding the motion. Mr. Harry -Miller' mentioned that while the future might hold unforeseen legislative developments affecting building societies, undoubtedly the society should he able to see its' programme through. Over the whole period of its activities, the society had made available more than £400.000 in loans, half of which had been free of interest, while, interest on the balance had not exceeded 3i I'd" cent. Taking the whole of the loans into consideration, the interest nitc would be equivalent to about half the rate, to be charged under the very favourable State housing loan programme. INTEREST EQUIVALENTS The secretary, Mr. A. G. Beere, also contributed to the discussion, and stated that in the past year £6BOO had been made, available to 'shareholders, and the premium on this total had amounted to only £IOB4, which would be payable over 12£ years. The interest equivalent was very' much lower than would lie payable on a Government loan. Mr. Beero mentioned that in the No. 8 issue, there were still 45 shares available for allotment, and these would be available for subscription, Incidentally. Mr. Beere mentioned that some shareholders might have, thought the directors were a little hard in their valuations, but if a conservative policy had not been followed, the society would not- have been in its present satisfactory position. .Mr F. "Tolerton extended congratulations to the directors and to shareholders on the position shown in the balance sheet. The society undoubtedly represented an asset of great value to the district, he considered. The motion was carried unanimously. The- chairman announced that lie and Messrs. .1. A. Eaton and A. T. Coleman had been returned to the directorale without opposition, and that the auditors. Messrs. A. Blackburn and M. \V. Craig, also were re-appointed, no other nominations having been, received in respect of either the positions on the directors' board, or the posts occupied by Messrs. Blackburn and Craig. DISPOSAL OF LOANS

Tito annual general meeting then closed, and the members proceeded to hold an ordinary general meeting For the disposal of sums in certain of the

issues. , The following amounts were dealt with: — , „ No. -I issue.--£IOOO was offered for sale, but there being no bids forthcoming, on account of the small number of shareholders still awaiting' loans, the amount was offered by ballot, M. W. Craig drawing £SOO, and C. Shann the 'balance.

No. o issue—£looo was offered for sale, and was secured at £ll per £IOO in one parcel. No. 7 issue.—£looo was offered for sale, and was disposed of in parcels of £OOO at £33, £2OO at £2o, and £2OO at £lO. '

No. 8 issue.—£7oo was offered by ballot;, and was drawn by F. M. Mahcr, £SOO, and R. Hickman, £2OO. At a brief meeting of the directors, following the general meeting of shareholders, Mr. C. Ambriclgo was reelected chairman of the board for the ensuing year, and Mr. 11. -Miller was returned sis vice-chairman, both appointments being unanimous.