NEW PLYMOUTH HARBOUR LOAN.

Taranaki Herald, Volume XLII, Issue 9667, 8 April 1893, Page 2

NEW PLYMOUTH HARBOUR LOAN.

We take tho following from The Timcf (London) of February 23: — A general meeting of the holders of tho New Plymouth Harbour 6 por cent loan, convened by the Council of Foreign Bondholders, was held at the Council-house, Moorgate street, on February 22, to consider the situation and appoint a committee for the protection of the bondholders' \ interests. j Sir John Lubhock, M'P., who presi'ed, said the circumstances attending this loan wore exceptional. After referring to its origin and history, he observed that the interest on the debenture^ was duly met up to November, 1889, but at that time a change was made which nobody foresaw. The debentureholders were entitled to expect that no change would, without their consent, be made to their prejudice in the mode of collection of tho «pecinc public revenues with which the Government had " endowed " the Harbour Board with a view to the service of the loan. The direct effect of the alterations in the law as to the mode of selliog waßte lands had been to doprive the debentureholders for present purposes of the main source of revenue on which they relied, &nd practically the on'y one from which the service of the loan could be provided, because tho othor sources of revonuo of tho Harbour Board wore insufficient to moot the current working expenses In those circumstances, he addressed a letter to the New Zealand Govern ment on the subject, at tho request of many of the large holders of the loan, but he | was sorry to say that the answer to it was far from satisfactory. Aftor giving full details of what bad been done, Sir John Lubbock said although tbe letters they bad received from the New Zealand Government were very unsatisfactory, he thought it appeared from thin statement that the matter was not really closed, and he had, therefore, written a long confidential letter to the Premier, again urging upon him the claims of the holders of the New Plymouth Harbour Debentures. There had, however, been no timo in which to receive a reply. It was desirable that the committee, who had been acting, should be elected at a public meeting in order to give greater authority to their actions, and it was also considered advisable that bondnol 'era should depoa : t their bonds with the council against certificates of deposit in order that the committee might be in a position to state that they represented the great majority, if not all, tho holders of tho loan. With reference to a suggestion which hai been made, that they should oppose, owing to tho action of tho New Zoaland Government, » quotation for nny further loan of that colony, ha said they had written to the Stock Exchange Committee pointin ; out that that was the view of the debenture-holders, but as there was at present no fresh New Zealand loan before them, it was of no use taking any further steps. He hoped it would not bo neeeseary to take any such extreme course as that mentioned, because it would not be for the credit or interest of New Zealand to allow a matter which,rae;ißured by JG^.d., was a very Eina'l one, to come beforo the Stock Exchange Committee. On tho motion of Mr Marshall, seconded by Mr E. C. Schomberg, a resolution was passed confirming the appointment of the committee already constitute i by tho Council of Foreign Bondholders, and requesting the Council, in conjnnction with the committed, to tak i such measures as they might deem desirable foi the protection of the bondholders' interests. Thecoimuitt o is composed of Sir John Lubb.'ck, M.P. (chairman), Mr Walter Budby,' M r Gil bert F.trie, Mr A. Ballaneo, Mr Daniel de Piss, Mr E. G Suhomberg, Mr J. S Scrimgoour, Mr Ilydo Clarke, and General Sir L. Vaughan. A further resolution was passed calling on bondholders to deposit their bonds with tbo council against certificates of deposit, with authority to conclude arrangements for a settlement of their claims, subject to ratification at a general meeting of bond holders, and to provide for the expense by an assessment not exceeding 2 per cent, on the face va'ue of the bonds depositoJ