LANKEY CREEK GOLD-MINING COMPANY.

Inangahua Times, Volume VIII, Issue 1295, 10 September 1883, Page 2

LANKEY CREEK GOLD-MINING COMPANY.

(Otago Times.) A meeting of the shareholders and those interested in the Lankey Creek Gold mining Company, Reef ton, was held .at Watson's Hotel on Saturday evening. About 25 gentlemen were present. William Watson was voted to the chair, he having convened the meeting.. The chairman said he supposed there was no necessity to recapitulate what had been done at the last meeting. Mr Spedding then spoke in plain terms, and he (the Chairman) believed Mr Spedding's ideas were the ideas of every other shareholder. The shareholders had appointed Messrs Gregg, Spedding, Elder, and hiqiself to ascertain the position of affairs pf the Lanky Creek Company. They ljacl done so. Mr Bastings undertook t» fijid a man who would be

suitable to.send to Reefton to see what the machinery was like, if anything were wrong, and he could advise anything in the shape of alterations. He could now, if the meetingdecided that such should be done, find one or two i men who for a fair remuneration would undertake to visit the Coast and report , on the state of the mine. After having gone so far, the directors at Baefton were wired to, bat he was sorry to say that they had treated the shareholders down here inacavailer manner. All they seemed to want was to get the machinery, and would notassist without money from Dunedin. A collector was sent round to the gentleman holding shares, but there were only a few who responded, the others shuffling out of I the payment, and it was simply that they had no work done. It was then tried to raise money by subscriptions, and several promised to pay prorata. That, however did not work. A telegram was sent to the Coast asking the directors if they would give assistance, and the answer received, dated August 28, 1883, was: " Work at mine stopped last Saturday. Directors decline to advise until all calls are paid, nor will they under the circumstances accept responsibility of your engaging Dunedin engineer. Liquidation inevitable unless calls are paid." The telegram was pretty rough. The purport of the telegram sent to the Coast was, " Assistance of a man was sent round," and they received the above answer. A telegram had just been received as follows : " Lankey Creek Company just served with a summons from John Mitchell for dishonoured acceptance, See Dunedin Committee, and advise me. Eefused £ 61 6s 3d to settle same. Endeavour to prevent Company going into liquidation and sustaining heavy costs. — Hindmarsh," A collector had been sent round to get this money, but he had been unsuccessful, and the meeting now had to decide what was to be done. One gentlemau suggested that a vote of censure should be passed on the directors. — (Laughter) MrSpeddingsaidthatwhatwassfcaring them in the face was this writ. The case would come on, no doubt, next week, would be lost, and Mr Mitchell would distrain on the machinery. Whether it was that the directors were anxious that the machinery should be sold, or a new company formed, he did not know, but there was some mystery about the whole affair. When it was decided to pay up calls in arrershe guaranteed to hold the money until everyone had paid so that none should have the advantage. After these had all boen paid, then they would have sent a man round. However, only some £12 was collected, and this was not sufficient ; and besides it was wrong for those who paid that amount to "spend it for the sake of getting information for those who i - efused to pay. There seemed to be an impression that it would be better to go into liquidation. If the Company went into liquidation the shareholders would be liable to the amount of their shares and any additional expense. It would be to the shareholders' interest to pay up, and then find out the state of matters and exactly how everything stands. At the last meeting a telegram was read which stated that the claim had yielded 7dwt to the ton. That would be good. Now they received a telegram stating that work had been stopped. If the statement were not true, it was only carrying on the swindle a little further. Mr J. F. Watson proposed the money wanted should be subscribed in the room, and the Chairman drawn upon for the amount. < The Chairman : Not if I know it. Mr J. F. Watson said he meant that he could be drawn upon provided the members promised to contribute. Mr Gregg said they wanted sufficient money to be able to send a man round to test the mine. Mr SpedtHng : I think it was suggested to pay 6d per shareMr Pym thought it would be better to pay the calls and this 6cL The Chairman did not think that would be required. From what he had heard, he understood that it was probable that a call of 3d would clear everything and leave the machinery and coal-mine to the good. In answer to a question from Mr Gore, Mr Spedding said that by the report' three calls of 3d each — July, August, and September — would clear all liabilities and leave the shareholders with the mine ; and if these calls were made the machinery would be theirs entirely. The Chairman, in reply to interrogations, said that the calfc, if paid up, could not be used down here. They must first go through the Company's books at Keefton. Mr Gregg : Are you in a position to ask the present directory to resign ? The Chairman : You can ask them. Mr Gregg : I suggest, if we can legally, we appoint a new directory. The Chairman : We have no power to appoint them here ; they must be local. We can ask them to resign, and you would have to go through certain forms. Mr Quick : The first thing we have to do is to consider the payment of this writ. Mr Stuart proposed — "That this meeting requests the West Coast directory to resign in a body. Mr Simpson said they must take care that the directors did not liquidate. To prevent that, this man Mitchell must be satisfied. The Chairman said that Mr Stuart's motion wus quite impracticable. If the directors did resign it was possible for them to get a worse directory. All directors on the West Coast rowed in the same boat. He suggested that a proper accountant should be sent round to examine the books, and a practical

man to look after the mine and report. Mr Gore thought that the names of those who started the mine should be ascertained, and held up to the gaze of all honest people.— (Laughter.) Mr Gregg proposed — 'That the shareholders present pay 6d per share." Two hundred pounds would be realised that way, the £90 odd could be settled, and a man despatched to the Coast. The Chairman explained that the calls could not be used here without the sanction of the directors. Mr Spedding thought they could telegraph to the directors that the Dunedin shareholders had agreed to pay a call of 6d, would be forwarded I on condition that the chairman (Mr | Watson) was allowed to retain £30 or ! £40 to send a man round to inspect the mine. Several gentlemen simultaneously expressed their willingness to pay the August calL Mr Gregg moved, and Mr J. Watson seconded — " That we, the undersigned, hereby agree to pay all calls up to August on Lankey Creek shares." The paper was passed round, and signed by nearly all. Consultations were carried on by the shareholders for some time, and just when everything appeared to be settled, the Chairman rose and said that Messrs Gregg, Spedding, and himself did not feel justified in putting money out of their pockets when the gentlemen who held a tenth of the claim — Messrs Dick and Stuart had refused to pay. Another desultory discussion followed, which resulted in the matter being abandoned. Mr Spedding sug- ; gested that each one in the room should pay Id per share, and the directors be 1 telegraphed to with instructions to stop civil proceedings until such time as the Dunedin people had received a report on the mine. The Id per share suggestion, howi ever, was a failure, and voluntary subi scriptions were suggested. The suggestion met with general approval, £21 6s being subscribed in the s room. The Chairman asked if the matter . would be left in the hands of the same , gentleman. s Mr Stuart : Yes, and add Mr Quick's i name. Mr Gregg said that suppose when the man got ihere he found the mine i stopped : his examination would not be i . much good unless he had someone to [ show him over, and someone to start the . machinery, so that he would be able to I test by crushing. Assuming it was i necessary to put men on for crushing, that would increase the expense, and he ; wished to know how that sum would be obtained. i The shareholders present unani- • raously promised to subscribe the same amount over again if it wera needed. , The meeting then terminated.