Mr. Soyka—I wish to congratulate the Board upon its refusal to accept the honorarium of $40,000 as was suggested in a Resolution which was proposed and later withdrawn -by Mr. A. L. Anderson and seconded by. Mr. W. Thomson, who hold respectively 150 and 52 shares interest. There is no doubt that had you agreed\to receive these sums Similar action would have been taken by interested parties to remunerate the Directors of our Company. Your public-spirited gesture will go far to discourage a dangerous precedent in Shanghai where from time to time large sums have been voted to directors whose services to their companies have by no means always resulted to their advantage but often to their ruin.
In conclusion Mr, Chairman, I wish to record my appreciation of the excellent work our Boatd has performed during the past several years and the very sound condition of our company finances—I thank you, Mr, W. Thomson—My name being attached to the resolution I must say here that I really think that the Girectors of our company merited that for their years of extra work in effecting this amalgamation of the two companies; also during that time so well guarding the interests of the Shanghai Dock & Engineering Company's shareholders.
Some years ago when this merger was mooted I think most people realized that the merger would be to the advantage of both companies but I do not think you can really blame the directors of this company for holding it up because I am cer-lain if the New Engineering had been in the same position as this company, i.e. of having no Preference Shareholders, the amalgamation could have come about very much sooner.
Mr. Soyka—The amalgamation would have come one year sooner if Mr, Anderson had not been opposed to the acceptance by Pri ferential Shareholders of Ordinary shares, and I know nearly 50 per cent. wanted to accept the proposal.
By the agitation of Mr. Anderson the amalgamation was prolonged for one year. The loss to the New Engineering was over $400,000 in that year, and the loss to the Shanghai Dockyards that the best time was missed for the sale of our property when there was a boom. This was due to Mr. Anderson and the Preferential Shareholders will regret that they did not accept Ordinary shares. As I said at that time, there is the danger of the devaluation of the currency. This is what I wanted to say and to-day the Preferential Shareholders would have been far better off had they accepted Ordinary shares, even if the currency does get devalued.
There being no further questions the following resolutions were proposed and carried unanimously:—
That the Directors' Report and Statement of Accounts made up to December 31. 1937, as printed and circulated, be adopted. Proposed by Mr. W. S. Burns, Seconded by Mr. J: H. Keswick "hat the Directors be and are authorised to transfer the sum of $202,000 from the Special reserve account to Profit and Lose account and pay a dividend of $3.50 per share to shareholders on the Register at date, "Proposed by Dr. A. Korff. Seconded' by Mr. W, Thomson, That the election of Mr. L. J, Davies as a Director be confirmed." "Proposed by Mr. L. Soyka.
Seconded by Mr. W.
Text read from the printed page and cleaned; old type leaves the occasional error.