HOME BUILDERS, LTD.

Taranaki Daily News, 28 November 1916, Page 7

HOME BUILDERS, LTD.

CHAIRMAN REVIEWS AN EVENTFUL YEAR.

THE TASK OP RECONSTRUCTION.

Much interest was evinced in the second annual general meeting of the share' holders of the New Zealand Home Build ers, Ltd., in Auckland last week. Ther■! were not many shareholders present. Mr S. T. Rossiter, of Waiuku, ehiirman of the recently appointed new board of <i;vectors. presided. Other directors present were Messrs. It. J. Bennett, Auckland, P. J. Mansell, Bulls, G. L. Winger, Taumarumii, and W. Andrew, Wfiitara. The chairman moved the adoption of the report and balance sheet, extracts from which have already been published. In reviewing the events of the year, the chairman recalled that at an extraordinary meeting of share-holders held on the 17th day of April, 191G, an Investigation Committee was set up to inquire, into the position of the company. The member* of this committee consisted of B. Dive (chairman), W. Andrew, J. E. Bennie, M. .T. Bennett, W. A. Edwards, M. 11. Hampson, and C. W. Pottcrton. They employed a firm of accountants, who examined the books of the company and provided a balance sheet which showed iat April 25, lfllG, a considerable discrep- | ancy with the balance sheet placed before the shareholders in December, 1013, dealing with the operations to September .10 of that year. The committee submitted the balance sheet and report to a meeting of shareholders on July 19 of this year. At this meeting a resolution to go into voluntary liquidation was lost, the shareholders deciding by a good majority to the contrary. The directors of the company resigned, and the following shareholders were recommended by the meeting to accept office and carry on the business of the company, and endeavor to extricate' it from the position it had been allowed to get into: Messrs. S. T. Rossiter (as chairman), M. J. Bennett, (i. L. Winger. F. J. Mansell, L. T. Bisson, B. Dive and W. Andrew,

STAFF RECONSTRUCTED. ' rm The resignations of the. principal officers of the staff were accepted, and a new staff was organised to carry on the business of the company. Mr. Chas. Maekie, an experienced accountant and secretary, was appointed. Mr. R. A. Spinley, who assisted Messrs. Holmes and Moris in the investigation of the company's books, was appointed auditor. Their work was now before the shareholders, and it bore out and confirmed that the action taken by the shareholders early in the year, "was justified. Since the company commenced building operations, there had been erected 132 buildings, valued at £83,533. After April, building operations were suspended, the cause of the suspension being due to the company undertaking more contracts than the finances would permit

LIABILITIES WIPED OUT. ''To-day," continued the chairman, "we are in the position to inform you that the whole of the liabilities of the company other than that due to the Bank of New Zealand and loans which were made to assist the company at a critical time, have been wiped oiit. This work has been accomplished by the loyalty the shareholders, who, 'notwithstanding the strain placed upon them, have responded splendidly to the calls made. The directors desire to take this oppor'wra'.ty of thanking those shareholders tor their co-operation at a most critical period."

"The capital subscribed by the shareholders during' the year was' 15,000 share at premiums of 5s mid Cs eaeli. The total receipts in round figures were £70,000, made up as follows: Capita! from shareholders £30,500. payments on houses built £10,900, premiums or, shares '£3250, forfeited shares £475, loans from bank and other sources and sundry sales of stock £15,875; total £70,000. The total disbursements ovev all sources is £71,500, made up as follows:. Costs of erections £64,500, repayment of loans £7000; total .£71,500."

NEW BUILDING SCHEME. * ''We believe the time lias now arrived when satisfactory arrangements can be made to resume the building operations of the company, but in doing so it must, be. clearly kept in view the mistakes ot the past. The first essential to the acceptance of a building application must be that the applicant must be a'shareholder fif.iiot less than 25 shares; the second, that the applicant has a clear freehold title to the land on which ha wishes to build; the third—and perhaps most important point in view of renewing building operations—will be the entrusting of the work to qualified building contractors, in order to ensure efficiency and economy. . We have had many inquiries from shareholders as to when the company will be in a position to re* sumo building operations." Proceeding, the chairman remarked that by examination of the balance-sheet the shareholders would come to the conclusion that the company had made a remarkable recovery. Negotiations were in progress to enable the directors to do so, and tliey were confident that they would be successful.

In conclusion, lie personally thanked the whole of the directors of the Board for their loyal support during tlie four months they had been in charge of the affairs of the company. Tliey had given much valuable time and assistance in their different districts in adjusting many matters which had been allowed to drift into an unsatisfactory position. Their effort? had been devoted to the shareholders' interests, and he could not speak too highly of their energy end ability. They had given their time and serving without payment, and the whole of them offered themselves for re-elec-tion. He hoped that if they went to the ballot they would receive due appreciation of the services rendered.

Professop Segar seconded, and, after discussion,, in the course of which the chairman Said that legal proceedings had not been taken, directed, on account of the directors being legally advised not to take action pending the decision of the case brought by the Dominion Mortgage and Finance Company, now before the Court, the report and halan.e sheet were adopted.