To the Eaitor of the Nortw-Cuma Darcy News"
Sm~The Chairman's speech at the Annual Meeting of The International Investment Trust of China. struck another note of gloom into tie eco to-day. shareholders, sunk in nomic symphony we hear around us
hypnotic coma, are apparently quite satisfied: No questions were asked, The shareholders are apparently quite content with their' financial government. It is. from. a public point of view I venture to address you.
Considerable discussion has recently arisen abroad regarding.the NULLY, oF inutility, of these concern: which' unconstruciive, like Pilgrims Packs weigh upon the shoulders and backs of Industry.
Firat of all, I would suggest that the name of this Institution be changed for one more consistent with "its purposes, "The Chairm spoke as follows:—"Substantial profits have been consistently. made each year by operations apart from the routine of normal investment the Company's funds." 'This is precisely where the common interests of the public are touched. As to the name—it would appear as not quite appropriate to a Company which embraces "operations" from' time. 10 time, and that investment and routine become secondary considerations. In Nimes. like the present it is almost comforting for the public to reflect thatthe "operations" of Finance Companies (of which there are two) are now at an end, or at any rate must cease for a very long time.
Given a clear course for "aero: tions" it would seem quite obvious that the public must be the object aimed at, and even many of the Company's own shareholders "would be brought in.
T humbly beg to ask if this is the kind of constructive work which 1s going to improve conditions here, and remedy the lack of confidence which is at the root of our troubles. Their late manager misappropriated some $200,000—and there is no redress. The shareholders have had plenty of time to digest this, and are apparently too apathetic to bother about it, the Chairman's walrus-like emotion being sufficient compensation. No question of negligence was raised or even hinted at, and this of a Company rich in more. than the usual Complement of Directors: nor was any interest or curiosity exhibited as to the nature of "operations" s0 protable in the past. The Chairman attributes our prevailing woes to the American Silver purchasing pro gramme. That is a matter of per-Sonal opinion and debateable, but as far as this Company is concerned would seem to emphasize the danger of "operations." The Directors are not infallible, otherwise they would have foreseen the results of the American programme, sith possibly some unpleasant reactions for the Public who might now hold a large part of the "portfolio"—unhappily frozen—in the hands of the Com-argued thatthe practised by the Com-more than tinged with ud from time to time, from tone cause or another (and Heaven knows there are plenty problems insoluble at present), are bound 40 fall.
Tam right, are' not such "opera. tions", although remunerative 'a the past, outside the scope of an Invest ment Trust Company? The Chairman closed by saying that changes must inevitably be made to relieve the acute situation which now prevails. I heartily agree with the Chairman. "Changes of many kinds will be made, must inevitably be made, Disappeafances will also be Welesmed.
Cuantes R. Swiiw.
Shanghai, June 7.
Text read from the printed page and cleaned; old type leaves the occasional error.