BANK OF NEW ZEALAND.

Taranaki Daily News, Volume LV, Issue 285, 25 April 1913, Page 2

BANK OF NEW ZEALAND.

SHAREHOLDERS WANT CONTROL. Per Press Association. Auckland, April 2'2. A meeting convened by Mr. William Watson, of Wellington, one of the shareholders' representatives on the directorate, was attended to-day by 20 principal Auckland shareholders of the Bank of New Zealand. Mr. Watson explained that he had been advised by Mr. Martin Kennedy, the other representative of the shareholders, that the following resolutions were unanimously carried by a meeting of British shareholders in London on April !):—"(1) That stock should be paid off, and that upon the Government liability of the Bank being cleared, shareholders request that the control of the Bank should be restored to them by legislation. Both classes of. shares to be represented on the board of directorate, in proportion to nominal capital, the Government of New Zealand retaining the appointment of the auditor and the right of veto; ("2) that any new issue of capital should be made at par." A lengthy explanation was given by Mr. Watson regarding the present position of the. bank affairs. He said that steps were being taken to obtain the opinions of shareholders in view of the proposal to obtain legislative authority for the issue of new capital, this being the preliminary to a general meeting to be held in Wellington on July 4. He described the present condition of the directorate as inequitable, and said the bank no longer required a guarantee or monetary assistance. He also explained that lie and Mr. Kennedy opposed the suggestion that the first issue of new capital be at a premium, and said further shares could be issued to the State only to the disadvantage of shareholders. The acting Minister of Finance had agreed that it was advisable to ascertain the views of the shareholders. The meeting passed a resolution affirming the desirability of redeeming the guaranteed stock at maturity, and of carrying out the other proposal made by the London meeting.