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Poverty Bay Standard, Volume IX, Issue 931, 2 April 1881, Page 4

An advertisement appears in to-day’s issue, announcing that the leasehold of the premises known as the G’sborne Brewery, will be offered for absolute sale, by Messrs. Tonks and Co., Auckland, on Wednesday next the 6th April. This notice is somewhat surprising in the face of telegrams received by Mr Crawford that ti e sale had been "ffeeted ; t-l at Mr Johnston, late of Whitson & Co., became the purchaser, and t’’at he was a passenger by the Rotorua to take possession. The business transacted at the Borough Council,on Tuesday last was, although lengthy, unimportant. Series of resolutions passed by the Manawatu ( ounty Council were submitted ; but as their interest had been forestalled some months ago by the Wairoa County Council, they fell somewhat flat. Cr. Whinray m >ved a most sensible motion in regard to placing lamps at the corners of the principal streets, and maintaining crossings thereat During the winter months these will be a great boou, and we commend the worthy Councillor for his thoughtfulness.

We have much pleasure in drawing attention to the remarkable energy displayed by the Directors of the Southern Cross Petroleum Company ; and to the noticeable difference there is in having a Directorate located in this Colony, and one sitting a thousand miles away. Several necessary meetings of Directors have taken place and, all things considered the present state of the affairs of the Southern Cross Company is of a very promising nature. A contract has been entered into between the Directors and Messrs. Campbell & Parsons to sink to the depth of 1000 feet. The terms of the contract need not be repeated here ; but, suffice it to say that they are on the graduated scale, starting at 10s per foot for the first 100 feet, up to 50s per foot for the tenth hundred ; and with this extra inducement to the contractors, that, in the event of their striking payable oil any where within the contract depth, they are to get a 10 per cent, addition, and a bonus of £lOO. There seems to be such a large element of fairness about this arrangement, that, whatever the issue no one can grumble. It only requires that the Shareholders should repose confidence in the business capacity of the Directors; and the best way to do that is to keep an intelligent eye of observation on passing events. We have the assurance of the Managing Director — Mr. W. Clarke — and, his able coadjutor — Mr. Henry Haase — that nothing consistent with business, and the best ini erests of the Shareholders shall be withheld ; but, on the contrary, it is proposed to avail themselves largely of rhe columns of the local press, to keep their constituents posted up in the progress of events. We are permitted to state that the tubing plant will arrive, probably, by the next ’Frisco boat, and that active operations for boring will soon commence.

By reference to our advertising columns it will be seen that a first call of one penny per share has been made by the Directors of the Southern Cross Petroleum Company, and payable at the Company’s office on Wednesday the 13th of April, instant. We believe that it is contemplated not to call for more than a penny per share during the next twelve months, long before which it may be fairly stated that the fate of the first contract wall be sealed. But with regard to calls we desire to draw the attention of Shareholders to the statute law of the Colony which regulates this part of the disposition of mining company’s affairs. And. so far as we are able to forecast the working of the Mining Companies Act, it seems to be of a most valuable character. One of its chief recommendations to public favor is that it conserves “ local industry.” It relieves the Directors of the responsibility, and unpleasant consequences of overdue calls. Thus: The Act provides that all calls upon Shareholders shall be made payable “ on the second Wednesday in a month, and on that da>/ only." Therefore, this is the distinctive difference between the internal economy of the two existing Oil Companies in Poverty Bay. The South Pacific Company, under the Act of New South Wales, can make calls how, and w’hen the Directors please ; but the Southern Cross Cempany, nndt the New’ Zealand law, wiust make calls only on a certain day in each month.

Now, in this connection, it will be well that Shareholders in the Southern Cross Company should bear the following particulars in mind, as they will be most vigorously acted on : Ist. Notice of calls must be circulated in the local papers. 2nd. No subsequent call can be made until after the expiration of 14 davs from the date of the last call. 3rd. Shares the calls of which remain unpaid 21 days, are “ absolutely forfeited, with- “ out any resolution of the Directors “ or other proceedings or, in other words the law forfeits the shares and not the Directors. 4th. Forfeited shares must be sold by public auction ; but, sth. Notwithstanding, any owner of such forfeited shares is

entitled “ at any time, up to, or on “ the day previous to that upon which “ it is intended to sell the shares, to “ redeem ” the same by paying all the sums due in respect of such forfeiture. By this it will be seen that while the privileges are many, the responsibilities are also numerous, and m'ce versa. We draw attention to the foregoing, as, doubtless, there are many who hold shares in the two Companies, and as they exist under separate laws, it will cease to be surprising that the modus operands of transacting the business of each differs materially.