N.Z. FARMERS' UNION

Taranaki Daily News, Volume LII, Issue 171, 23 August 1909, Page 4

N.Z. FARMERS' UNION

TAUANAKI EXECUTIVE MEETING.

A mooting of the Taranaki Executive of tlin New Zealand Farmers' Union was hdd on Thursday. \ A NEW COMPANIES' ACT. "Mr. ,f. G. Darkness, secretary of the National Dairy Association, wrote! acknowledging the roccipt of tin- executive's resolution, that tlie National Dairy Association be urged to press for passage of a now Companies' Act suitable for dairy and other coopor.itive companies. Or to have the .present Act amended in various directions as required by cooperative companies. The secretary stated that two years ago his executive promoted and passed through the Legislature a Co-operative Dairy Companies Act, amending the principal Act and giving increased power to dairy companies. This Act removed certain disabilities which such companies had to meet under the original statute. Before the executive could consider the advisability of j again asking for amendments it wtnld be necessary to know what amendments are considered essential by the Taranaki Executive. Mr. Darkness said that if the executive could supply him with further information he .would have pleasure in placing the matter before the executive of the National Dairy Association, who would give every assistance in furthering if considered necessary. iMr. Sim said die had forwarded the foregoing letter to the secretary of the Awatuna Dairy Company, and' had revived the following in reply: "I will "ndeavour to give you a full and satis■•'ory account of the position as taken up by our executive. In doing this I must first premise that our position is a dual one. Our executive consists of directors and shareholders of the Awatuna Co-operative Dairy Factory Co., and I myself am secretary to the company. From this you will at once see that the matter is of vital importance to our district. The Awatuna Dahy Company some twelve months ago, after going through the necessary formalities incidental to the matter, approached the Supreme Court to have added to the Memorandum of Association a clause enabling the directors TO BORROW MONEY TO LEND TO SUPPLIERS

to increase cither the quantity or quality of tlieir milk. Judge Denniston refused the application, though we have been given to understand that Judge Edwards had previously favored a similar one from the Cape Egmont Company. The Awali'ia Dairy Company were advised t!,- : they could get the needed power .by going into liquidation and reforming the company. This the directors think would he an ill-advised proceeding, for not only would the expense he unduly heavy, but the probability is that the share capital of the company might be seriously reduced by chareholders refusing to take up tlieir quota of shares in the new company. A resolution, asking for a short Empowering Act, was therefore brought before the annual meeting of the National Dairy Association .in PalmeTston in June las*,, worded exactly as the memorandum in Cape Egmoat Company. This was thrown out by, I believe, a misunderstanding of the representatives, who were trying to put the National Dairy Association to the expense of the Bill, which actually the Awatuna Dairy Company were ready and willing to bear. As you are no doubt aware, the matter of lending money is of great importance to many dairy companies, and the Awatuna Dairy Company as well as many others have been doing so for 1 years past without having the legal power to do so. What we would like is a clause added to the Companies' Act, 1008, enabling co-operative companies to alter their Memorandum of Association in this direction if they think fit; we are further of opinion that the time has now come that a new- Act for co-operative dairy factories .should be passed embodied from the Companies' Act, 1908, the Daily Industry Act, and the llcmor- | andum and Articles of Association of some up-to-date co-operative dairy factory companies, as the Companies' Act, 11908. is essentially an ACT ONLY SUITABLE FOR JOINT STOCK COMPANIES."

The following resolution, moved by Mr. Maxwell and seconded by Mr. Lanibie, was carried: "That a copy of :ettrer from Awatuna be sent to the National Dairy Association, and that it oe suggested to them that a new Act, or very considerable amendment of the prrsent Act, is required to meet the needs of co-operative companies, especially il-Hry companies. It would be well to - •;. up a strong committee to go into iii' matter thoroughly, so as to meet :iw present needs of the companies and to provide for probable requirements in the ...,ir Suture, and so obviate the need of the repeated amending of the ltuv"; and that it be added: "T'.i- desire of companies to assist supplii .s by advancing .money, and also to go in for cooperative stores in conjunction with dairy companies, opens ground not contemplated at the time of passage of the Companies' Act."

, MOUMAIIAKI EARM. The Hon. Mr. Mackenzie, Minister for Agriculture, writing on July 20, in acknowledging the receipt of the executive's resolution expressing appreciation of the decision of the Department in retaining Moumahaki as a Slate experimental farm, said: "1 have to say that 1 do not know the source of your 'nformation, but Cabinet has not so decided. I am, however, going into th.! question at an. early date, but I mayadd that the state of the public finances and the necessity for retrenchment necessitates the reduction of some of our State experimental farms."

VALUE OF CONFERENCES. A discussion took place on the value of the Farmers' Union to the fanning community and of the good work that was being done -by the various provincial and dominion conferences. ADVERTISING THE UNION. Mr. Lambie thought the Dominion Executive should be asked te issue leaflets showing what the Union had done in the interests of the farmers. Mr. Maxwell said that had been done some time ago. Eventually it was resolved, on the motion of Messrs. Lambie and Maxwell, that the Farmers' Union Advocate be asked to puMish a list of the achievements up to date. It was also decided to get a price for printing off 1000 and 5000 leaflets for circulation in the daily rewspapers.