LYSNAR’S CHARGES

Hokitika Guardian, 4 May 1925, Page 3

LYSNAR’S CHARGES

FURTHER, EVEDIiNCK. , jjny TELEGUAI’fI— 1-EU I-HESS ASSOCIATION GJ S BOit XH. -May ■>. ; James Copeland Tietd. fanner,' direv- . tor of the ( 0111 1 any since its imeptuai, gave videnee limt on the visit of t..e deputation ta Wellington to u.sk U.e Aleut Board to include the Admiral C 0.0 ingt ui in the freight contract at Wellington, they -aw Jolly, whose .statement, to the directors was that the ves-el was not lo return to .New Zea--1 land tinder the C.iiii) any'.s control. Witib'ss definitely denied at the same time that Mat thews, another director, qtics--1 lolled -folly eoncerning the unciilletl '■a.'ital, asking if alter calling up all th.- capital ot the company, it was tlio bank's intention to wind it up. Jolly replied in the negative. To Mr .Myers: Wiitno.-s admitted that wit,, calls not coining in, the Bank had iau.se for anxiety. I" Mr D. Jones: Witness said that he did not think the Rank had .stopped the Company's nor mint when the directors interviewed the Meat Board over tlie Admiral Codrington. 'I lie Chairman of the Conimisi-ion aiinmiu.-e-l that the loose leaves of the ie'tjer had been produced, and were n .v in j< .- -e— l ’ii ol the Coniiui-.sioii. Otto Hausen, fat stock buyer, gave evidence a- to dis-ai i-factioti with the management alter Elliot's control of tie works. Witness said that Lysnnr paid th" butchers over award rates, which caused a strike as soon as Mosley'-, took over. Witness said that during the .-Tumi', the Company advanced g 10.71 til te some of their clients on behalf of meat. Witness said that the manager arranged about the advance

and bought forty-eight head of cattle. Witness -imply on id advances were to lie made. Eustace Wairna. fanner, said that lie -"lit a .shipment of hoof through the Wairna Ereezing Works, hut did not get -a li.- fail ory results. Hi' not only h st the beef, lint- received a debit, note again-t his no: mint. He thought it was a fine opportuntiy for Mr Jones, or 1 lie Meat Boaril to distinguish hinisell

hm he did not do so. Witness simply goi a letter referring him to the Rank. To Mr Jones: He admitted that the bullocks were sent Rome iu-i before the Meal Board came into ofli.-e. Mr Ci-diTwell said Mr 1.y.-nar presented six balance sheet-, showing. 1 lie profit and two showing tin- 10---. He alleged l.ysiiar's friend- lud got preference in meal shipment-. Cross-examined by Mr .Myers, vv ilia -s -aid lie was one of the sioutesl a.lvo- aiis lor the purchase of a steamer | 1 elided it was a first-class vessel, and wlu'ii the Admiral Codrington arrive:! In' saw his money was gone. (1 a ss-exa 1:1 ined by Mr Lysiiar. wit-

ness said he had supporTc'l a resolution thanking Mr Lysiiar lor his effells ill eon licet ion with the steamer at the annual nicting. lie admitted unwillingly making statements to the I u.-pcetar of the R.auk Hi.il (lie Company would lose £-20.000 and that he had gone a bout dis re-.liting the company. Cross-examined. C.d.-rvv .11 agreed there was no room in the •district for ihree large works. It Mosley- had eonsi moled new works, v. il ness believed the two farmers' companies would have gone for anyone. This being so. he thought the correct valuation »;v lhe market value at the time ami it might have been hard to liii.l a purchaser. Tw,, w. rks , iil.l ea-ily bundle the stork . i i lie district-. Wit ness did not think j; | miilalil,' to have one ship I , I r:ilit - port the output of the work.-. It was e'sell I ial lo have ea-y. regular shipV.itliam itiehnioml. -Jieepfnrnier and meal exp,,!-! or. living in [’overly Bay. ami operating in Gishorni'. gave evi.le a' e in regard to tee praetiee with hilling sheets. A- ii killing sheep, -heels were usually ni wlmre !• ■' 1 11 i i<" I. hut on a per pound I'rm lhv I lie i-us-Imu v. as different. J n that ease bis client S a.-cpl-ed hi- pa; not -. lie claimed t!a■ right to .say where his killing -le-ets ,-hold,l go. Hi- clients would ..ei -heels dire.-t from him. The works were not slip] o-.ed to divulge hi- killing .sheen- without his consent. In Tehriiarv. 192:1. Winers. Coop, Lysiiar and Cnniev iv-'ie lii Nn; ier to discuss a proposal that Armours should advance moi.ev inwards paying the Bank oil. and take a ~-curdy over the works. Mr Carney said be could mil undertake a | rap-sal ot any deseril t ion unless Mr Lysiiar got the <on.-ent of the Rremier. \ i that time w itness was n partner with Armours in a Hawke’s Bay business. hot lie was not a partner now, nor lord -he been for two years. At the latter n terve-;; al Hastings. Mr valley was again-t the acquisition of the works by Me-ley* rs it would interfer.". with i lie arrangements lor the senseIn October. 192:!. witness was in Gisborne amt With Mr Carney, nn-t Mr 1.y.-nar. There was a general discussion on the same lines, except that, the price offered l.y M.-slevs to Hie Bank was known, and Ly-nar's suggestion wr.- that Armours should ofler Die same .sum. That proposal was deferred, and it was suggested that a joint proposal lie made by Borihwicks. Sims. er. Mestevs ami Armours, hut that al-: was turned down. At no time did Mi- Lysiiar suggest selling the works to Armours. The only suggestion was

mortgage and preference shares in regard la the management ol the Poverty P,:iv Farmers' Meat Works. Witness had 111) cause for complaint. He had made arrangements to kill 20JKt0 cheep.

and was contemplating ail increase to one hundred and fifty thousand if Hie works bail been carried on. To Mr Taylor; At the meet ing in Gisborne the suggestion was that Armours should advance £22.'.,000 on loan, and that here l.e i.c-eurity over Hie works, lie and Armours wore to get the advantage of the lowest rale prevailing at the works, if they put through I .TO.OOfi. They could get Vo--I,ate on that, number put through. Imt, H ll 'v had got this concession Imm other works. AV.itmjss admitted he and Armours would he getting an advantage compared with the actual chareholders.

No David ladgett, formerly Chief engineer at the Poverty Hay \i,Mt Works, oavo evidence that the umi'llimorv in the inoclianioal portion ivns ill excellent ooinlitiim. lie hail got all lu* ro*|uii'oii for store, lie <lulli t a area with Mr .lolly's statement that (1,,. works had hoen starved tor some years, that i> as far as his Department v as l oiu enieil. 'I here had been several iinnrovement.s in the work durine his term of oflioe. To Mr Taylor: ft was possible Vosti*ys inutht have to si end some money th,. works lint he could not agree with Mr Howlands' estimate that thirty thousand tvotild ho required. (; ISIIOKNK. -May :I. The Meat Commission resumed this ; , ; *;;|i,o. Kurt her evidence was railed l, v Mr l.vsiui r. Alexander Watson ~,uir. huyer tor some years lor \ t-s----teys. deposed that during 1!'-1 he was instructed that ii the owners wished to freeze on their own account they would have to do so under a lonsolidated l-ate and if the meat went to Vesteys ill England for retail sale, it was understood Vesteys clients .ouhl not freeze on the owners account, through anv mercantile tirm. j (; McCullough, sheepfanner of Whakatane. Chairman of Directors of the East Coast Freezing Co., deposed that Vesteys sent the hulk ot their stock purchased in 'Whakatane dtstiici to West field. 150 miles away, The only

time they sent it to the farmer’s works was when it was said that express condition. During the past twelve months, 1 .-00 cattle and (10,000 sheep had been moved by rail from ilie district, the bulk of them by Mestevs. whose operation- were detrimental lo the fanners com],any which was only carrying on with great difficulty. Karmers could

mu resist the temptation to take the higher price offered hy Mosleys. It was essential that something be done tn protect the farmer from himself, otherwise the whole stock business of the country would pass into the hands of proprietary concerns.

Cecil Albert l)e La Tour, for .‘.’l years cliairnmn of directors of the Gish true Sheeiifaianers Company, stated that from his exprieuee he viewed with the gravest apprehension the strengthening of Mestevs in l lie district. The Chairman said lie was not going lo accept general evidence regarding trusts and in the ahsen'ee of coumse! for the other side the Commission was going to wate!i their interests carefully. Mr De La Tour said that ho desired to speak as to the elfect on the fanners of the district of the consent of the ->.eat Board to the sale of the works by the mortgagee. By the acquisition rt the Waipana work.-. Testovs had s:> greatly increased their strength that G.e co-operative companies could not possibly stand up to them in their I position. The district had great possibilities for future development and while two works, by increasing their capacity, could cope with the work, there were oilier asp,nets to he considered. Questioned regarding his experience of the Meat Board, .Mj- De La Tour suit! he did not believe the Board could I successfully have undertaken the marketing of meat at Homo. I'T-aneis Stafford, shoepfarmor, gave evidence to similar effect. GISBORNE. May t.

Charles .Nelson Foster, stock huye for Mestevs. deposed that he hough on exactly the same basis here as any where else in New Zealand. There wa no compulsion to ship through this firm