H.—3o,

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Enclosure F. Poverty Bay Farmers' Meat Company (Limited), Gisborne, 3rd October, 1923. The Chairman, New Zealand Meat Producers' Board, Wellington. Dear Sir,— On the 26th ultimo the Chairman of this company wrote to you asking you to notify us when it would be convenient for your Board to hear evidence we are prepared to give upon the question of the suggested forced sale of this company's works to Vestey Bros., and at the same time he delivered our letter to you of the 14th ultimo, bearing on the same question. So far we have had no reply from you or your Board on the matter, and at a very large meeting of shareholders held yesterday, when about three hundred attended, the following resolution was passed with only two dissentients :—• " That this meeting of shareholders expresses its entire approval of the course adopted by the directors in refusing to sanction the sale of the works to Vestey Bros., and it endorses the resolution of the directors, for in the opinion of the shareholders it would be a calamity and contrary to the spirit and intention of the legislation and the pledges of the Government if a sale was sanctioned to such a huge combination, as it will unquestionably give Vestey Bros, an undue advantage as against other buyers of stock and so stifle competition to the detriment of trade generally. " The meeting further suggests that a respectful request be again made to the bank not to force the suggested sale, and while fully recognizing that the bank has acted very fairly and reasonably in the past, the meeting desires to assure the bank that the individual shareholders will do their utmost to support the company with their stock and any extra shares the bank may consider necessary to fully protect its position, providing time is given ; or, alternatively, to agree to a definite levy against stock. " That if the bank still refuses to give time, then a further appeal should be made both to the Government and to the Meat Producers' Board to stop the sale, and failing this being successful, then this meeting pledges itself to take every legitimate step possible to prevent Vestey Bros, or any other oversea interests from continuing to work or acquire any freezing-works in New Zealand." I have again on behalf of the company to ask your Board's immediate attention to this most important question, and to fix the earliest possible date when our evidence may be taken. Shareholders as well as directors recognize that it would be very detrimental should such a huge combine as Vestey Bros, or any of their subsidiary companies be allowed to acquire these works. We wish to draw your attention to the fact that the property is being advertised for sale on the 3rd November, 1923, through the Registrar of the Supreme Court, Gisborne, and it is essential that your Board should deal with the matter as early as possible. According to a valuation that this company has just had made by two experts, the works, land, dwellings, and plant, including the value of the special water-supply which is available there, are worth £460,000, and it is proposed to sell to Vestey Bros, at the price of £225,000. I may say that as these works are situated some thirteen miles from the Town of Gisborne it has been necessary for the company to construct some thirty dwellings on the property to accommodate the staff, and in addition there are barracks with accommodation for two hundred and fifty to three hundred men, with cookhouse, dining-hall, and library for their convenience, and this accommodation adds very considerably to the value of the works. Consequently you will see that it is a very serious financial sacrifice by the shareholders, apart altogether from the detrimental effect it will have in the future on the farming industry in this district. We again refer you to the letter of Mr. Carney's, dated 14th September, 1923, now in your possession, in support of this indisputable contention, and my directors trust that your Board will see its way to protect the position under the wide discretionary powers that have been given to it by Parliament with that object. Yours, &c., A. McLellan, Managing Secretary. P.S.—We enclose you herewith some copies of the Press report. [Telegrams.] Enclosure Gl. From Poverty Bay Farmers' Meat Company, Gisborne. To New Zealand Meat Producers' Board, Wellington. 18th January, 1924. We are desirous of arranging for the " Admiral Codrington " to come out to New Zealand straight away for a load of frozen meat and general cargo. Can we depend upon your Board to assist in loading her with frozen meat at current rates ? Please wire reply. Enclosure G2. From New Zealand Meat Producers' Board, Wellington. To Poverty Bay Farmers' Meat Company (Limited), Gisborne. 21st January, 1924. In reply to your telegram eighteenth instant current contract contains no provision for the inclusion of the " Admiral Codrington."