INVERCARGILL TRUST

Chronicle (Levin), 9 July 1946, Page 3

INVERCARGILL TRUST

■ — Press Assoclation

DISPOSAL OF PROFIT8

By Telearaph

IN I'EltUAKUILL, July ti. Up to hui! its annual net proiits ure to be distributed by the Invercargill Liccnsing Trust to suitable organisations. This decision was made after a long discussion at a moeting of tho | Trust today. Al-1 inembers agreed that the proviu.ee | should be given the immediate benelit j of the Trust 's proiits but the financial ! basis on whieh the Trust is being operl atcd, was the subject of considerable i eritieism. ! The following motion to allocate proiits, was passed: "That the Trust i dLspense up to one-half of its annual ( net proiits to such suitable organisa- : Uojis that the Trust thinks lit, withinj the scope of (Jhapter 29 of the luver- ; cargili Liccnsing Trust Aet. " j The meeting also rescinded an earlier i motion dealing with the distribution of j profits and unauthorised expenditure. j It was pointed out by the chairmun, | Jfr. llugh Kitchie, after the motion had | been carried, that only donations to | provincial bodies could be considered. j Lt was never the intention of the Trust ' to ineet appeals by individual concerns. ; Ilo had in mind such projects as an art ! gallery and jdaying areas. • "Wc already have an overdraft of , £236,000 and it is increasing, ' ' said 1 liou. T. F. I)oyle. "in these circum- ' etances I am opposed to giving away proiits. lf the overdraft were sliowmg a downward trend it would be diiferent." Objection to tho systcm of linanciug : the Trust was raised by Mr. W. II. Boyes. Ile thought the allocatiou of proiits a good pian but the idea .of continuing with an overdraft rankled with him. Would it not be possible for a : debenture to be raised? "I think we should continue with the : overdraft until our next substantial , hotel is built," said Mr. Jiitchie. " We should consider a debenture issue only ! vvheu we aro in i'ull working operation and able to set out completely our ussets and liabilities. We are not at that stage yet." The motion was carried on a show of hands, Messrs Boyes and Doyle vot- ' ing against the proposal. lt was decided that thc allocation of the profits should be discussed in a fortnight.