17

I.—4a

269. Do you know of your own knowledge whether that is a fact ?—I could not say of my own knowledge ; I would have to look up the books. 270. What do you think of it as a business transaction : do you think it is fair or legitimate ? —Yes, I think it is, for the reason that the directors can recover from the broker if the calls are not paid. 271. Who is responsible for this application-money ?—I presume the broker is. 272. Suppose a broker accepts men of straw, say, for £100,000, who will never pay any appli-cation-money, do you think the directors could legally pay him the brokerage when the applica-tion-money is unpaid ?—lt does not appear that it is legal on the face of it. 273. The Chairman.] You say that the salary paid to the secretary is £75 a year? —Yes. 274. Is the same amount paid by every company? —No; some pay less than others. 275. How many companies have Cook and Gray ?—There were fourteen or fifteen at one time, but there are not that number now. 276. What would be the average amount paid by each of them per year ?—I think they were paying £75 a year each, with two exceptions. I may add that £75 a year is the average secretarial salary in Dunedin, but there are several higher than that. 277. How many hands were employed in Cook and Gray's office then ?—There was myself, the accountant, the assistant accountant, the typist, and the boy—five altogether. 278. What would their wages average per year ? —The accountant's salary was £175 per annum, the typist's £85, and two juniors, say another £100. 279. What was your salary ?—£s a week. 280. That would make about £650 a year for salaries ?—Yes. 281. How much was the office-rent ?—£s2 a year. 282. Mr. Cook was the official liquidator for some companies : did you do work for him in that connection ?—We had nothing to do with that in the Dunedin office.

Saturday, 24th August, 1901. William Howes in attendance, and examined on oath. (No. 4.) 1. The Chairman.] What is your name ?—William Howes. The Chairman : We will finish with the Tucker Flat Company first, so I will ask Mr. Easton to proceed with his examination. 2. Mr. Easton.] Are you in Mr. Cook's employ?— Yes. 3. Have you been acting as manager for Cook and Gray at their Dunedin office ?—No. 4. Who was acting as manager at the Dunedin office? —Mr. Hoisted. 5. Have you any interest in vendors' shares, other than the contributing shares standing in your name, in the Tucker Flat Company ? —No. 6. At the meetings of the Tucker Flat Company, in using your votes and those of Mr. Cook, have you always been qualified to do so ?—Yes. 7. Your shares have always been fully paid up at the time you voted?— They have; I did not act as director when my shares were not paid up. 8. Have you ever endeavoured to get the vendors' shares in the Tucker Flat Company allotted? —Yes; the minute-book will prove that. 9. What was your reason for doing so? —I considered the vendors were entitled to them. The company have held this claim for a long time. It is a good claim; and I take it, the company having adopted the agreement, and held the claim as long as they have, they should allot the vendors' shares, not for the sake of the pecuniary amount they represent, but because the vendors have as much right to have a say in the fate of the company as the subscribers, under the circumstances. 10. On behalf of which vendor were you pressing for those shares to be allotted ?—Whoever was entitled to them. 11. Were you pressing on Mr. Cook's, your employer's, behalf to get those shares allotted?— Not on his behalf alone, on behalf of the vendors generally. 12. Of which he was one ?—Yes. 13. Mr. Herries.] Do you hold vendors' shares as well as contributing shares?—No; I am a subscriber and a present director of the company. 14. When you made your application for the shares did you pay up the application-money?— To the best of my belief, I paid it up at the time the application was sent in. 15. Why does the application [produced] show a blank ?—I cannot recollect the circumstances, but the register will show. 16. The application is dated February, and the money was paid on the 18th May ? —I paid the application-money on the 31st March. 17. At the same time as the allotment-money ?—No. 18. Before you paid the allotment-money ?—Yes. 19. What was the nature of your employ with Cook and Gray ?—I was Inveroargill manager for them, and was engaged in the liquidation of various companies there. When the business got dull I was removed to Dunedin ; there was a lot of work to do in the Supreme Court at Dunedin in connection with these Inveroargill companies. 20. You were not attached to the Dunedin office of Cook and Gray ?—I always drew my salary from the Inveroargill office. 21. How much did you draw as director's fees in the Tucker Flat Company? —I have drawn nothing yet. 3—l. 4a,