ANNUAL MEETING OF THE GOVERNMENT INSURANCE BOARD.

South Canterbury Times, Issue 3788, 28 May 1885, Page 2

A NNUAL MEETING OF THE GOVERNMENT INSURANCE BOARD.

[By Telegraph.]

Wellington, April 27. The first annual meeting of the Government Insurance Association Board, was held in the Drill Shed this evening. Sir Julius Vogel was in the chair, and! the other members of the Board on the platform were Messrs J. 0. Gavin, of tho Treasury ; B. C. Hamerton, Public Trustee; N. Eeed, J. W. Beetham, G. V. Shannon, Government nominees ; and H. D. Bell, Geo. Fisher, and G. S. Graham, elected members. About 200 policy holders were present. Sir Julius Vogel proposed tho tdoption of the report, and after explaining the establishment of the Bosrd dealt st length . with the figures in the report. After traversing the business for the year, ho referred to the properties purchased by the Board, and thought no better investment conld ba made, as these investments would yield 6 per cent on the capita], while they would have office room free. The capital value of these properties would, he added, increase from year to year. He denied that the purchase would, reduce the amounts to be distributed a& bonuses at the quinquennium, as such distributions were made on the valne of liabilities and assets. Referring to the staff, he said there was no intention to place an officer over the head of Mr Luokie, but the Board did not fee) itself justified in entering into an agrement with that gentleman, as they were of opinion that at some future time it might be found expedient to obtain tho

serviced of » gentleman who had longer

experience in an institution of this kind. One step the Board intended to take wae that of endeavoring to enlist the assistance of policy holders in obtaining new business, and it was proposed io offer small commissions to

I tboia policy holders who placed business in the hands of agents. The Board had come to the conclusion to invest the funds in mortgsges of real property, and great caution would be exercised in such case. At preaent the Board was limited to 60 per cent of the value of the property, but they intended to ask Parliament to extend the limit to two thirds.—lst, loans on polices; 2nd, Government securities ; 3rd, loans to local boards on Parliamentry securities and 4th, loans on freehold properties. The Board also intended to ask Parliamene to allow them to sell annuities out of !}he colony. One of the members of the Board was going on a visit to England shortly and he was empowered to select one or two young men who might be willing to join the institution at a moderate salary, Qo next referred to local Boards, and said he was anxious to have this matter fully ventilated. He explained at length the benefits to be derieved from having in each large centre a Board composed of gentlemen who would take an interest in the affairs of the association. It hadi been decided by the Board that any motion re the appointment of local Boards or otherwise would be received that night without the usual notice being given, and the feeling of the meeting would be thus tasted. After that it was open to any two policy-holders to call for a poll on the question, which would be taken on a future day, when the holders could exercise their right of vote by proxy. Mr H. D. Bell seconded the motion for the adoption of the report. Mr Fisher denied that the properties, at all events tbe Dunedin on.'osj were yielding 6 per cent. Ho als.o said that Auckland property was uijfit for insurance business, and a large amount would have to be expended on it. He had suggested delay in the purchase of this property until after the annual meeting of the Association, but by the casting vote of the then Chairman (Mr Tole) the .suggestion was not adopted. He read a statement of figures showing that the Association, by investing its money in Government debentures instead of going outside, would in five years lose upwards of £500,000 in interest. He considered the Colonial Treasurer should not occupy the Chairmanship of the Board, and when tbe Amendment Bill was before Parliament he hoped a change would bo made in this direction. He objected altogether to local Boards. Mr H. D. Bell asked the policy-holders not to believe that the Board was tqaodering their money. There was no doubt large sums were invested in Government securities, but they were gradually being withdrawn and invested in other ways. Mr Graham thought, at present, local Boards were not required. After one or two policy-holders had addressed the meeting and Sir Julius.

Vogel had replied, the report and balance sheet wore adopted. Mr Gr. Beetham, M.H.R., for Wairarapa North, then moved a resolution to the effect that local Boards should not be appointed. On a show of hands being taken, the Chairman announced it in lavor of the motion, which was therefore declared carried. Sir Julius Vogel asked if any policyholders demanded a poll. Ur Beetham said he did not wish the present meeting to decide the question, and with a view of allowing the policyholders in distant parts to express their opinion, he demanded that a poll should bo taken. It was accordingly decided that a poll ■honld be taken at an adjourned meeting to be held that day month. The elected members of the Board voted in favor of the motion. The meeting terminated at 11 o clock.