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LAUNCESTON STEAM NAVIGA
TION COMPANY'S QUARTERLY
MEETING.
Tho Fourteenth Quarterly Meeting of the
shareholders in this company, was held in tho
Cornwall Assembly Booms, at 2 o'clock on Monday
last.
Thn directors present, were Messrs. John Crookes
chairman), W. G. Sams, Adyo Douglas, E. I'.
Trcgurtha, and Wm. Carpenter. Amongst about
forty Shareholders were, Major Welman, Messrs.
\V. 6. Button, St. John E. Brown, J. Barrett.
Samuel Watson, William Bryant, Upton, Jas.
Mntllievrs, &c. &c.
Tlio chairman read tho advertisement calling
the meeting, and said that Mr. Fisher, the com
pany's manager, was ready with a statement of
their affairs for tho past quarter, and would road
the report of the board.
Mr. lusher read tho following report :—
' Tbo directors of tho Launcc6ton Steam Navi
gation Company in laying boforo tlio shareholders
at this their fourteenth quarterly moeting, a state
ment of the affaire of the company, place the
accounts before you, which shew up to the time
of tho running of the ' l^cnella' on the Melbourne
line, the earnings of the several boats were satis
factory, and holdout hopes of gradually liquidating
the heavy debt for which tho company is liable.
It appears however that tho ' Fencl'la' is en
coiraged not only by many colonists, but evou by
sliKirholdcrti, to the detriment of the company,
an-l through it tho inhabitants of Launceston
gciicmll'
Vuiir tlirectors havo considered it necessary to
ojipmo th- ' tfoneUa' as much as possible, but
leave l.i tie shareholders uow to express their
opinion on l Ho subject.
A proposition will be brought before the shave
huldors at a special meeting of the company to
day, either to dlssolvo tho company forthwith, or
to mako Biieli calls upon tha shareholders as will
rclijvo the director* from the promnt hoavy debt
now hanging ovor their heads, which precludes the
possibility of the company over paying s dividend
until wiped off. It will be !'«' the general body of
iharcholdi'rs to determine which step they deem
most advisable U- their inti-.i-ota.
the stock of C'ial in the empany's depot ii 80
tons. The «to -k of ship clwndlory, oil, (pare, &o,,
EJ147 I8s lit. Total asset*, £1801 17s 2d. Total
labilities, ilO.OJl 17s Cd. The directors now
ieg to lay lufme the shareholders a general state
ment of tho uumpAiiy'ii affairs, together with the
Ijooks and all vo'idietn of expenditure.'
The manager tlu-u read tho proceeds of each
trip of oach of the euiiipiiiv'K boats during the past
quarter, omineneinp; with' the Lady Bird, showing
that in making eleven trips bhe realised the sum of
C408O 18s, her ile'rnuncH were £2802 17s 3d.,
leaving a cleai1 profit of £?- [ IK Os 9d.
Tho Claieuee. in eib-ht trips madu £27i)8 Cs ,
debenture* 112717, leaving a profit of only
£21 5s.
Tlio UUHi S«mi having been undergoing ro
pnirf, nnly undo two trips during tho quarter.
411! her expenses exceeded the proceeds by £412
Ifs. Id.
The Royal Shepherd in seven trips to Sydney,
realised thn sun. of£mo 16s Id., including £250
awarded for damage dono by tho Vandalia, but
her disbursements amounted to £2081 19s 6d.,
shewing a loss -f £340 Is 7d
The manage explained the wliolo of tho
liabilities of the Company in detail, and said that
they amounted b £M,4300s4d., and that amount
iscludcd every liibility up to the 31st March.
Mr. Barrett taid he understood by tho report
tbat the liabilities were more than sixteen thou
sand pounds.
Mr. Fisher pnintcd out that with tlio assets
£[661 17s 2d deducted, the balance would tie as
Btated.
Mr. Barrett enquired how money waB duo to
the directors.
Mr. Fisher said they lent their acceptances in
their capacity of director*, and such acceptances
were renewed as they fell due.
Mr. W. 8. Button requested the manager to
refer to the last quartet's accounts, and see tho
amount of liabilities then.
Mr. Fisher said they amounted to £9271 2s 4d.
Mr. Button — so we are now five or six thousand
pounds woise than we were then.
Mr. Fisher said that Mr. Colquhoun's claim
had Icon paid out of that into ro'irt, the amount
of which was £5102 13s., £1240 of which was
actually due. Tho new boiler for tins Lady Bird
had also been paid for.
Mr. Button said, he never could understand the
company's accounts, ho had no doubt they were
corral, hut ho thought that Auditors should bo
apnjntcd to examine them.
Mr. (ileadow said that his appearance there
miglit bo considered rather inegulav as he was not
a sliiruholder, and he wished to know how far his
interference would bo admissablc. Several of the
shareholders had called upon him and requested
him to attend ; it was with reluctance bo com
plied, as on examining the deed of settlement, he
saw nothing in it that would allow of such a course
of procedure, but he saw and spoke to Mr. Fisher
on the subject, and ho expressed no objection
to it.
Mr. Adyo Douglas said that Mr. Gleadow had
called upon him, and as one of the shareholders
who wished a full and fair investigation of the
company's accounts, he appioved of Mr. Gleadow
attending. He, therefore, proposed, ' that Mr.
Qload'jw be hoard from time to time during the
meeting, and that all the books be open to his in
vestigation.'
This proposition was seconded by Mr. J. Archer,
and carried unanimously.
The Chairman said that the directors were fol
lowing the usual courso. They never had any se
crets amongst them, and they had no reason to
turn one step out of their road. Their duty was
plain and simple ; the accounts read Uy before tho
shareholders for tlieir inspection, and tho report
was there for their adoption or rejection as they
might think fit.
Mr. Gleadow said that before putting that to
the vote, he begged to state that tho most objecti
onable item in tho accounts was that of Colqu
houn's. He wished to have a list of all monies
paid on account of it, and whether thero was a
debt bearing interest in that claim.
Mr. Fisher said, in reply, that the total amount
icpositcd in :ourt was £51(52 13s, which included
ntercst up to the 5th May next. The costs of
Messrs. Douglas and Dawcs amounted to between
£140 and £150. The amount was not paid into
:ourt out of a balance in the company's hands, for
unfortunately they had no balance— the directors
liad to pass tlicir own acceptances for it ; theso ac
:cptances had since become due, and been renewed
again, and the company had to continue paying
interest.
Mr. Glcadinv wished tlio manager to read the
minutes of tlio directors authorising that pay
ment.
Tho Chairman said there was no such minute,
nor was thoic miy necessity for it, or Ihoy would
require a minute for every ten shillings they
paid.
Mr, Fisher said thore was a meeting of directors
on the 29th December, to consider the decision in
tho case of Coljiihoun v. Cnookes, and on the 17th
instant, there was another meeting when Mr.
Dawcs altenucl «t tho board room, and hills
were issued for JC51G2 13s. 0d., five directors being
present who hv putting their names to tho bills
sanctioned the payment.
Mr. Gleadow wished to know if the accounts
were to be taken with the report, and adopted
with it.
The Chairman faid most assuredly they were,
the rules were very simple, the report and accounts
arc furnished, and the shareholders cither adopt or
reject them as they think proper, it was of very
little consequence which they might do, as far as
the directors were concerned.
Mr Button ?aid that from a remark that had
fallen from the chairman, that ' most assuredly
tho accounts were to bo taken with the report,' he
could not agree to its adoption on those grounds.
The Chairman said the report contained the
balance on Hie accounts and necessarily the adop
tion of it would bo tho adoption of 'them. He
(Mr. Crooked had been blamed for being too
candid with tho shareholders, and to bo candid
now, he thought it would have lieen much better
for them to make known tlicir grievances to the
directors than to have brought their excellent
friend Mr. Gleadow there on that occasion He
would like to know what their object was in doing
so. The director had been chosen by themselves,
they wcro not put there of their own froo choice,
they were as much interested in the success of the
companv as the others, inasmuch as they were the
largest shareholders in it. T ho directors had done
their utmost for tlio prosperity of the company,
which was far from being in as bad a slate as many
others in the neighbouring colonies, but they
could not control circumstances, and he would beg
to express » hopo that if there were any real grio
rances th.it the shareholders would state them.
Mr. .1. llarrett said he was one who employed
Mr. Gleadow. ho could not understand the ac
counts as they were read over, — with reference
to the money paid in Colquhoun's case he never
intended to pay a penny of it.
M r ti lead, .w said that he t bought from his appear
ance that nothing liko factious opposition would
bo attempted, if he had boon asked to attend a
meeting for that purpose ho would have at once
declined, Init being there he felt himself bound to
give his opinion, no matter who it might affect.
Tho Chairman said, lie could uow soo tlio motive
lor bringing Mr. Gleadow there, and ho thought
it was hanlly lair to advert to tho action of Mr.
Colqiihiiun, 'which was not settled yet, as they had
called for a new trial. He had requested any six
or eight of tlio shareholders, who felt dissatisfied
with the Directors, to meet and uiako an investi
gation into the Company's accounts, and ho was
there to that hour without having over had 6ueli an
application made to him by them. The directors
had to put up with much that was unpleasant, they
had no sinecure of it, they had boon placed there
by (he shareholders, who'musl cither put them out
or support I hem.
Mr. Gleadow 6aid, thatif tho report and account*
were to he taken together and adopted, it would
show that the shareholders had sanctioned all that
had been done by tho directors, but they did not
intend to commit themselves to these payments ill
Colquhoun's case. It was desirable that the share
holders should be fully acquainted with the objec
tionable, items in tho hooka, he would thorcforo
?ccommend 4hat tJie meeting bo adjourned to give
ijne to audit tho account*, and let the case ho
Halt with according to its merits (applauso).
Mr. Button eald, ho did not wish to occupy the
ime of tho meeting unnecessarily, but he bogged
lo say that ho had no particular object iu view in
ruling to the meeting, he was not one of thoso
pltticB who had invited Mr. Uleadnw to attend, or
lit would not hayf proBumod to have asked a single
question, nor to have interfered in any manner.
The Chairman wished to know whether they
muild adopt tho report or decline it. The deed of
settlement made no provision for tho employment
of auditors, or it might have been bettor to have
luid thorn; but the accounts were so clearly made
out, that any ordinary accountant in town could
pvifeotly understand thein ; each vessel's account
was kept separate and balanced.
Mr. Adyo Douglas as one of the directors, did
not wish to have any report or accounts forced
uiion tho shareholders, and would therefore advinc
an adjournment, the accounts were most simple,
every voyage being charged separate from the first
trip of the Clarence ; there were no complaints
then, when hoavy dividends wore paid— but now,
when they began to get into difficulties, it was
imagined that it must be caused by mismanage
ment. He reminded them of the Australasian
Steam Navigation Company which lost £75,OOC;
another, £23,000; and another, which could not
pay a dividond. Their own boats had cost them
£72,000, «!1 that had been sanctioned by the share
holders, although the Clarence cost twice as much
as any of tho rest, with all they had had to con
tend with they were not much In debt; the law
limiting tho number of passengcre ft A affected
them : then five shillings tier head was charged for
each passenger to Melbourne, that alono would
have afforded them a handsome dividend. In Mr.
Golquuoun'n case, a bill had boon received from the
hands of Mr. Munro, who had acted throughout
the sale of the Black Swan for Mr. Colquhoun,
although tho latter denied it. Mr. Justice Home
in summing up never entered into tho merits of the
case— all he said was, that having been occupied
with the case from 10 o'clock in the morning, un
til LI at night, it could not be expected that he
would go through the evidence, and the jury hail
better retire and consider their verdict. The jurv
took no further trouble, but said, ' here is a bill
without endorsement, we shall give a verdict for
tjie amount.' The shareholders ought not to en
deavour to bring dhcredit on their directors, they
might be in the wrong, in saying that tho present
directors were the culpable parties. He would
propose that the meeting be adjourned until after
(lie decision of Colquhoun's case in May. If they
were still dissatisfied, he hoped they would ex
amine the books, he would Co exceedingly glad if
they did, tho more the matter was investigated the
more he should like it.
Mr. J. G. Jennings proposed, seconded by Mr.
Archer, ' that tho meeting be adjourned until the
first Monday in J ulv next.'
Mr. Dodery said.that on tho part of Mr. Hart
nott, a shareholder then in London, he wished to
know who were to be the sufferers in case the de
cision was against the company. If a person kept
a clerk and authorised him to pay just debts, and
if that clerk paid away an amount not due, he
would of course be responsible for the amount ; the
company paid Mr. Fisher a large salarv for manag
ing their business, and he should be held respon
sible for any improper payments, there waB no use
in mincing the master, he should be held respon
sible
Mr. Fisher said the payment of the bill was a
;:ish transaction, it was paid twelve days after the
purchase of tho Black 6wan, and the bill ought
Lhon to have been destroyed, but he was advised to
keep it to shew that everything had been done fair
and abovo board. He never would pay the
amount although worth it, and if he was to lie
treated in that manner, he would do no more for
the company, he had done his best for them, but
they might appjint another at once.
Mr. Uodery slid, if the company were to lose by
want of attention.
Mr. Fisher said, there was no want of attention.
Mr. Dodery e»id, Mint however miirh Mr. Kinher
might dibliko his remarks, he felt bound to make
them.
The chairman then put Mr. Jennings' resolution
to the meeting, and it was earned.
He then requested the meeting to appoint two
auditors.
Mr. Archer thought it was quite unnecessary to
appoint auditors, which would ouly bo an addi
tional expenec to the oomp.my. who did not. ques
tion the correctness of the accounts.
Major Welman suggested that it would be better
to have four instead of two auditors.
Mr. DouglaB proposed that Mr liutton and Mr. St.
John Browne bo appointed auditors. Both gentle
men begged to decline
Mr. Douglas proposed that the auditors bring up
tlieir i«|K-rt on the same day the adjourned meet
ing is to bo held.
Mr. Dodery said, he believed every shareholder
was perfectly satisfied, upon every matter con
nected with the accounts, but thia affair of Col
quhoun's.
Captain Tregurtha bore testimony to the piompt
and efficient manner in which Mr. Fisher had
always conducted the affairs ot the company.
Mr. .Cohen and Mr. J. W. Simmons were next
proposed for appointment as auditors.
Mr. Simmons beggod to decline and thought
that if tho directors would print the accounts, it
would be less expensive and more satisfactory, as
oach shareholder would then have a copy to re
fer to.
Special Meeting.
The chairman then drew attention to the So
cial Meeting called for that day, ' for the purpose
of considering tho propriety of dissolving the com
pany.' He said, if those who had liecn consider
ing the matter had any proposition to make, that
was the timo to do so.
Mr. Button said, that in a matter w. sen. us. he
trusted they would enter upon it with very great
care, and see that they wore acting in a perfeclJy
legal manner. In looking over the deed he
thought they were not in a position to entertain
this question, although, on many poiuls it might
havo been clearer, on this head it was venv vleaii.
That a meeting for this purpose should bo called
by two dh«ctons, and not less than ten share
holders, who shouid give notice, in writing, to the
manager : the meeting to lie held three woek6
after, should lie advertised at luast ten days pre
vious in one or more of the local newspapers,
with the names of the parties convening the mect
mg. Ho submitted that as this had not been
done, the meeting was not legal, and could not be
prio!cdodwith, he would therelore oppose going
into the question at all.
The Chairman referred to this clause in tbo
deed on the subject, and said that as the meeting
had not been called in accordance with its provi
sions, it could not ho held. But ho had an im
portant question to put to the shareholder— how
wcro they to raiso funds to go on ? How were the
bills falling due to ho paid ?
Mr. Gleadow said he. had thought of bringing
thatsnbieet before the former meeting. He pro
posed to bcII the Clarence and the Black Swan.
Mr. Douglas advised the shareholders to keep
the Black Swan and Lady Bird, and soil the Cla
renco and Koysl Shepherd
Mr Watson advised the directors by all means
to sell ono or two oflho boats, to get the company
°'m' CrookM ««i-i -b»t the Bale of one or two of
the boatfl had been suggested before, but tho di
reetore were afraid they might fall into the hands
of others, who would create an opposition, which
micht bo tho cause of still greater loss than they
had vet sustained ; but if that meeting was dis
posed lo sell one or more of the boats, although he
would be as great a loser us any, ho would agree
to it Tho Black Swan was always a paying boat,
and the Lady Biid, when sho got her now boiler
in, would ho tho fastest boat m all theso colonies
except perhaps one.
Mr. Matthews proposed selling the Clarcnco foi
what sho would bring. Ho knew a gentleman in
the room who would give £7000 for her
Mr. Watson said if £8000 or £10,000 could bt
got for one of the boats, a mooting could bo callci!
afterwards to decide about selling the other. U-
would recommend that the Clarence be sold in
Mellnurne, and that an agent (not tho captain) bo
appointed to go over and dispose of her.
The Chairman reminded the shareholders that
the business of the mooting vte at -an end, and
they then separated, ' '?
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