Loan, and Mercantile Reconstruction Scheme.

Feilding Star, Volume XV, Issue 293, 20 April 1894, Page 2

Loan, and Mercantile Reconstruction Scheme.

FAVORABLE COMMENT IN COMMERCIAL CIRCLES THE OUTLOOK PROSPEEOUS. j>ER PBEBB ASSOCIATION 1 London, April 19 The policy of the Board of Directors of the New Zealand Loan and Mercantile Agency Company is^ favourably received in the city. Fair Piay, commenting on the reconstruction scheme, says Baron Schroeder, who is master of the situation, has agreed to do his best to carry it out if the shareholders fulfil their part of the conditions. It the shareholders reject the scheme they will have to meet forced calls to the utmost extent of the liabilities, besides losing the magnificent busines?, which is capable in competent hands, of recovering the past losses. If, on the other hand, they accept the scheme the calls will be deferred, tho total amount be reduced, the business will be preserved, and the colonial exporters will have under their own control a valuable portion of their exports. Under the circumstances Fair Play assumes the Bliareholders will not hesitate to accept the scheme, as they have absolutely nothing to lose but much to gain. The new Board of Directors,, with Mr Martin as Chairman, and backed up by Baron Schroeder, contrasts favorably with the old Director ate. Tbe paper goes on to say v, will be necessary to gain the goodwill of shippeis by reimbursing where pos sible those whose consignments were confiscate! by having been merged in the general assets of the Company after the suspension. In order to pre vent recurrence of such possibilities a clause should be inserted in the Articles of Association to provide that all such consignments or money arising therefrom be held in trust by the Company as trustees for consignees Fair Play strongly commends this stap to the consideration of the Board, and dwells on Mr Martin's intimate relations with powerful shipping companies. While on the question of shipping, tho paper also urges that consideration should be given to tbe scheme for assisted emigration.