BUILDING SOCIETY, No 2.

Globe, Volume IV, Issue 404, 28 September 1875, Page 4

BUILDING SOCIETY, No 2.

The seventh annual general meeting of the No 2 Land, Building, and Investment Society was held last evening at the Oddfellows' Hall. There was a good attendance of sbareholders. Mr William Pratt, chairman of the committee, occupied the chair, and called upon the secretary (Mr C. Allison), to read the advertisement calling the meeting. This having been done, the minutes of the last general meeting were read and confirmed. The chairman said that it had been intended to convene the meeting on Thursday next, being the last day of the month, so as to give all the shareholders the utmost possible time to consider and examine the balance sheet. It was found, however, that there waß no room available for the meeting on that night, but steps had been taken to send the report and balance sheet to each shareholder as far as possible, so that, though the meeting had been convened somewhat earlier than had been anticipated, he trusted the shareholders had had ample time to consider the balance sheet and report. The chairman then read the annual report, as follows: »On the termination of the seventh year since the commencement of this society, the committee have the pleasure of submitting their report to the shareholders, with the annual balance sheet, which will show that the society is progressing in accordance with previous expectations. "Since the last report 13} shares have been realised, of which 11 £ were created by the members realising ; and eight members have (in accordance with rule 15) redeemed properties mortgaged for 40J realised shares ; also, 48 investing shares have been withdrawn, leaving in the society at the present date 415£ realised and 199£ investing shares. " The funds not applied for by members realising their shares have been invested as follows, viz :—£3489 6s 3d on shares and real security at 8 per cent per annum, and £IOOO as a temporary deposit at bank interest. " The amount of arrears is not large, and is well secured ; and the working expenses are considerably less than the fees received. "The results of the year's transactions show that the profits to accrue at the termination of the society now amount to £34 9s 4d per share. " On reference to the balance sheet, it will be seen that a considerable proportion of the present profits have been absorbed in paying premiums upon the large number of shares cancelled. " William Pratt, Chairman " Chas. Allison, Secretary. " September Ist, 1875." The balance sheet for the past year, duly audited, was next read by the chairman as follows :—Dr. Capital and liabilities To amount due to shareholders, on 615 shares, seven years' subscription, at £42, £25,830 ; paid in advance by shareholders, £5 15s 6d ; profit and loss account, £21,197 7s 6d ; total, £47,033 3s 3d. Cr. Property and assets—By securities on 415. J realised shares, £41,550 ; arrears due by shareholders, £3ll 5s ; advances due by shareholders, £3489 6s 3d : cash in bank, £1682 12s; total, £47,033 3s 3d. Profit and loss—Dr. Amount paid on 48 shares withdrawn, £IOB7 14s 9d; bonus on shares cancelled by redemption, £I2BB 14s lOd ; interest on bank account, £66 5s 6d ; management expenses, £IBB 5s 8d ; balance profit, £21,197 7s 9d. Cr—Balance, August 31st, 1874, £21,635 13s lid ; redemption money, £1251 6s 3d ; trantfer fees, 10s ; working expenses lees, thiß year's account, £2ll 8s 7d ; fines, £240 108 3d; entrance fees on 11} shares created, £254 15s ; interest on advances to members and others, £234 4s 6d—total, £23,828 BJ. Mr L. E. Nathan moved—•' That the report and balance-sheet be received." Mr H. Thomson seconded the motion, which was agreed to. Mr L. E. Nathan moved—'• That the report be discussed clause by clause," which was agreed to. On clause 1 being read,

Mr Nathan said he could not agree with this at all, as the society had not progressed according to the expectations held out at the last annual meeting. At that meeting it was stated that the society would terminate in nine years, as from tables which he had prepared it seemed to him that it would take nine years and five months, or nine years and six months ; hence the society could hardly go to their shareholders with a congratulatory address. The chairman said it was not understood that the society would work out ia nine years, nor was it embodied in the report. It was understood that the society would work out in nine and a half years, aud their business was framed upon that, hence they were quite right in assuming that the expectations thus raised, would be carried out. Mr Flesher pointed out that the committee had worked j.upon the expectation of the society terminating in nine and a half years. They must recollect that the report was that of the new committee, and therefore they were quite justified in saying that the expectations were realised. Mr Allison confirmed Mr Nathan's state* merit as to the time at which the society would terminate.

Mr H. Thomson suggested that the diffi cully might be got over by altering the wordiDg of the first clause, as the progress of the Bociety had not been in aocordatce with that of former years. J.'e would move that the words "that the society is p;ogressing in accordance with previous expectations," be 6truck out, and the following inserted—" That the society, though piogiessing, has not done so quite in ac « idanco with previous expectations." Mr iSandstcin pointed out that the cxpeclatkn was on the former year that the ticitty would iun out in nine and a half Jcrnr, which wab proved to be correct; 1 vtv'.i the alteration proposed by Mr Thorn►mi wae not necessary. All* ftathan desired to point out to Mi Satidst&in that the general body Of the share holder's Vvpfe led to expect that the pocifly would work out in bine 5 ears, and It wa» only when the committee had the rriatrei impressed upon them that they altered their 0 in ion on the matter.

'lhe chairman desired to reiterate, thai though this might have been the impression at the first meeting, it was not so at the ad jonrned meeting. fr-'ome further discussion ensued, aftei which Mr Nathan, having seconded tin motion, it was put and negatived—six voting for tin motion, and eight against it. On clause 2 being read, Air Nathan, after referring to the bettei unn* tt'ued '0 borrowing than to investing

shareholders, pointed out that in creating new shares the society received for £22 odd for the period of 29 months the munificent sum of Is as interest for it. He trusted that the committee would reconsider this matter, as at present they were leaving £IOOO as a fixed deposit at only 4 per cent, while their legitimate outlet was to give investors better terms, so as to buy their unrealised shares. So far as he cnnld see the society would be going on at a loss. He would also point out that the notice for the nomination of candidates for the vacancies on the committee only appeared on the morning of the day upon which the meeting took place. The secretary stated that when the members came to pay their subscriptions at the August meeting he had told them of the nomination and had advertised the notice according to the rules on the day of the monthly meeting before the annual meeting. Mr Nathan said he thought that the mode spoken of by the secretary was one which was open to objection, besides he thought that the shareholders were entitled to more than one day's notice on such an important master as the election of committee men. The chairman said that so desirous were the committee to have the benefit of Mr Nathan's services, but they were unable to discover whether Mr Nathan would accept office and the time for nomination passed. However, desiring to secure Mr Nathan's services on the committee, one of the gentlemen nominated expressed his willingness to retire to enable Mr Nathan to be elected. Mr Nathan said he could hardly consent to be elected in this way ; had there been an opportunity of a general election he might have come forward. In reply to Mr C. Kiver, The chairman said that the interest on the £IOOO deposited in the bank was 44 per cent, provided it was not disturbed during three months.

The remainder of the clauses of the report passed without discussion. Mr Sandstein moved "That the report and balance sheet be adopted." Mr Atkinson seconded the motion, which was agreed to. The next business was the election of six members to fill up vacancies on the committee. Those nominated were Messrs Sandstein, Ness, Britton, Cartman, H. Allison, and Bowler, who were declared duly elected. Mr Nathan said he would like to make the suggestion to the committee, that the tables of the society should be submitted to an actuary. Its business was now growing, and he could not forget the fact that, by adopting tables submitted by himself, some £250 or £3OO was saved to the society. Therefore, he contended for the employment of an actuary or the best professional skill obtainable. He would move—" That it be an instrnction to the committee to have the tables of the society prepared by an actuary." Mr Thomson seconded the motion; while doing so, he must say that he was very sorry to see the members of committee voting on the resolution proposed by him, and it was mainly by their votes that it was lost. As the committee were not all actuaries, they would no doubt be glad of an opportunity of thus verifying their figures by the work of a skilled actuary. The motion after some discussion was agreed to, The meeting then closed with a vote of thanks to the chairman.