The Chronicle. PUBLISHED DAILY WEDNESDAY, MARCH 15, 1911. CO-OPERATIVE CONCERNS AND FAILURES.

Horowhenua Chronicle, 15 March 1911, Page 2

The Chronicle. PUBLISHED DAILY WEDNESDAY, MARCH 15, 1911. CO-OPERATIVE CONCERNS AND FAILURES.

A fatality seems to'hang over retail businesses started on co-operative lines with the intention of cheapening to subscribers the cost of the articles dealt in. No doubt a principal cause of the failures arises from the attempts of non-experts to direct the businesses. and the equally "futile endeavours of alliareholders (whoso time is occupied fully enough with their own private concerns) to direct the company's financial and general business by way of side-line or hobby. These remarks are drawn from us alter a perusal of the latest issue of the Government Gazette, wherein the private advertisements — less than a dozen in aIL-contaiii notices regarding three co-operative concerns now in liquidation. Oue of them is the Civil Servants and Citizens Bakery, Limited, of Gisborne. This concern was floated after some quid mines had expatiated orally and in the local newspapers on the fact that eight- million and nine loaves of bread, or some lesser number. could be made from one ton of Hour—wherefore it was alleged to follow that bread should 'be sold localy at ">Jd< the lb loaf instead of Gd or 7(1. as the case may have been. Since tilien, the directors and their trusty sltarehoders seem to have found out that Co-operator Nearpenny and ?ri.s cogcners have co-oper-ated on paper only, and; paid no cash : also that in delivery businesses the cart tyres have to be replaced i-Kid the vehicles repaired ; i.orses fed and shod: and various other expenses incurred which the rule-o'-thumb arithmetical demonstrator seldom takes account of.

Ho the details of the Gisborne case what- tihey may, the .chief fart remains t!int. tlic shareholders of the co-operative bakery are convened to meet- on Monday next, the meeting having been called 'by the liquidator -'-for tlx: pni*j>oso of laying before such nicotine a final account showing the maimer in which the winding-up of Hie company has been conducted and the association d : xpr,,s(d of, and for o faring any xj>';inations that may ne desired t'.*) be given : also for tbo purpose of paving the necessary resolutions as to the disposal of the books and documents of the company." This newspaper holds no brief lor t>l 10 hikers; the foregoing facts are chronicled merely by way of warn nig to the general public against the average man's tendency t<, allow himself to be financially bled under the erroneous impression that be will save money by tbe J process. Another Gisborne venture that seems to be in queer straits is entitled The Poverty Bay Co-opera-tive Supply Association, Limited, and the liquidator is calling the shareholders together "for the purpose of laying before such meeting a final account showing the manner in which the winding-up of the association has been conducted ami the assets of the association, disposed of, and for offering any explanations that may lie desired to be given ; also for the purpose of passing the necessary resolutions as to disposal of the 'books, documents, and the unclaimed dividends of the association ; also for the disposal of any general business wihich may bo brough before the said meeting." An, unus'ial flavour permeates the foregoing, by ■reason of the reference to "unclaimed dividends," but we fear that the only general dividend to accrue will be the saddening and too-familiar ofic of "first and final dividend of blank shillings in the shadowy pounds."