Dunedin Items.

Star (Christchurch), Issue 5801, 14 December 1886, Page 3

Dunedin Items.

MR PYKE VERY BUSY.

SHAREHOLDERS' AGITATION.

[Special to the " Star."]

DUNEDIN. Dec. 13.

I believe that Mr Vincent Pyke is very busy promoting the formation of a Company to carry the Otago Central Railway beyond the Taieri Plain. It is known that Government have no intention at present of carrying it beyond that point. The correct position of the movement in connection with the National Insurance Company is this : — A large number of the shareholders met last week, and considered what steps should be taken to relieve a proportion of their capital raised by means of a new is3ue of shares. They contend that the profits of the Company are now principally derivable from the investment branch, and not from premiums. They, therefore, contend that the Company b original paid-up capital, together with the existing reserve fund, are ample to enable the Company to carry on its legitimate insuring functions, and that the rest of the capital could be returned to the shareholders, who say they can find a better return for their money than the 4 per cent which the Company is now giving them. Accordingly Mr Thomas Brown, of Brown, Ewing, and Co., as the convenor, requested an interview with the Directors to talk over matters, but they preferred that the views of the shareholders should be submitted in writing. Thi3 was accordingly done, in the shape of a demand for the return of 103 per share on both old and new capital, which proposal the Directors are now considering. The movement "has already gained the adhesion of holders of 60,000 shares. The promoters assert that they have no wish to act in antagonism to the Board, but are convinced that the capital is much in exces9*of the requirements of the Company in the proaecution of legitimate business.