THE COLONIAL BANK.

Globe, Volume XXIII, Issue 2160, 27 January 1881, Page 3

THE COLONIAL BANK.

[press association telegram.] DUNEDIN, January 26,

At the thirteenth half-yearly meeting of the Colonial Bank to-day, the Hon. Q-. McLean, the chairman, in moving the adoption of the report, said that if he could only congratulate the shareholders as well on the profits as on the statement of the Bank’s position in account he would take great pleasure in doing so, because it would be seen from the Bank’s account that their business as formerly bad been very favorable, and was just now in a sound prosperous condition. So far as the reduction of the dividend from 8 per cent, to 6 per cent., or from 4 per cent, to 3 per cent., for the half-year was concerned, that was accounted for by various reasons, and was not to be attributed to bad debts. The Bank had been particularly free from bad debts during the half-year. The Chairman then defended the Bank’s action in declining to take large deposits, which were only put in temporarily to secure interest, and would be suddenly withdrawn; but they were willing to take any amounts if for proper investment. There was another matter which had been spoken about outside, namely, Mr Holmes’ visit t j England. When that gentleman accepted a seat on the Board, he bad no idea of going to England, and there was a resolution from the London Board that he worked well in the interest of the Bank when at home, and when be came hack he placed himself unreservedly at the hands of tbe Board. The Board, knowing the feeling amongst business men to have gentlemen of experience on the Board, and who were not engaged in business in town, though he (the chairman) did not think there was much in that objection, acted on the advice of their solicitors that Mr Holmes had not disqualified himself, and unanimously came to the resolution to ask him to take his seat on the Board, and he did so. So far as Mr Holmes himself was concerned, he was willing to serve with the directors if they desired to retain him. If they, or a portion of the shareholders, desired him not to sit on the Board he would not take his seat. He thought there was a prospect of an early expansion of tbe Bank’s business in New Zealand, and was sure it would give as much pleasure to the directors to pay a larger dividend as it would to shareholders to receive it. He moved the adoption of the report. The report was adopted. Mr W. J. M. Larnaoh was elected a director. Mr E. B. Cargill, in moving a vote of thanks to the directors and officers, said it must be satisfactory to know that the Bank’s position was very safe, and that it was prepared to enter into business to the very best advantage so soon as a revival of trade took place. It was a most important matter that the Bank should have a position of strength and stability. The speaker, in conclusion, suggested that at no distant date the question of amalgamation with the National Bank should be considered. The chairman said that so far as tbe subject of amalgamation was concerned ho supposed they were all agreed that the principal office should be in New Zgaland. Still, that was a question which should not be discussed there.