The Sun.
London, England, 1866-11-10 00:00:00

NORTH BRITISH.

A meeting of Yorkshire shareholders in this com-
pany was held on Thursday in Leeds to decide upon
the policy to be pursued with respect to the report
of the committee of investigation at the general
meeting to be held in Edinburgh on the 14th inst.
Mr. F. R. Jones, of lluddersfield, wa's called to the
chair.

The CHAIRMAN said that as he had only a limited
interest in the company, and was not thoroughly
conversant with the subject, he should confine him-
self to calling upon those present to deliver their
sentiments.

➢lr. 11,. HODGSON, the chairman of the company,
said he ought to explain and apologise to the meet-
ing for his being present. It was his wish to enter
into a few explanations, if the meeting would per-
mit him, in order to guide them in any decision they
might deem it right to come to.
_ _ _

Some discussion ensued, which resulted in a reso-
lution to the effect that Mr. llodgson should have
an opportunity of making any explanation he wished
before the meeting decided upon the steps to be
taken in reference to the committee's report.
Mr. HoDusoN said he disputed several of the state-
ments of the committee. According to their view,
the full revenue available for the payment of the pre-
ferential dividends only amounted t0.£113,591, show-
ing a deficiency to the extent of about £95,000; and
the conclusion of the committee was that these ad-
ditions to expenditure were deducted from revenue.
There was no allegation to the contrary, for the
traffic receipts were truly and properly stated at
their amounts in the half-yearly accounts; but the
committee differed from the board in regard to the
principle on which those sums he was about to enu-
merate should be allocated either to capital or to
revenue. There was a sum of £17,752 in the re-
port, expended on account of rolling stock which
they said ought to be charged against revenue.
The reason why that sum was charged to capital
and not to revenue was because it arose from a de-
ficiency in the engines and waggons which the
North British received from the Edinburgh and
Glasgow Company, and the ➢lonklands Company,
and which deficiency existed when they were handed
over. There was £16,300 for Parliamentary ex-
penses. These expenses had been incurred for the
most part in opposing the amalgamation of the
Caledonian Company with the Scottish North-
Eastern Company, and also the Corstorphine branch
of the Caledonian, which, although only a small
line, was intended and calculated to deprive the
North British of its northern traffic now coming over
the Central Railway from Perth. He maintained
that that opposition was essential to the permanent
interests of the company, and was a capital expendi-
ture. There were plenty of precedents for charging
those sums to capital. So again with regard to the
interests on unproductive works. He had now ac-
counted nearly for the whole of the £86,440, the
sum total of those items, with few exceptions. As
to the £15,000 got from the clearing-house in hard
cash, that was not earned in the half-year ending
July. But although the law had locked up their
money for three years in the coffers of the clearing-
house, and although £15,000 belonged to them, yet
the committee took credit for £5,000. The same
rule applied to the balance of revenue carried over
from the previous half-year, amounting to nearly
£5,000, which the committee ignored. The prefer-
ence dividend, and the dividend declared at the
shareholders' meeting, were just and legitimate
dividends, and he hoped they would be confirmed.
The next thing in the report was a diatribe as to
the mode in which the permanent renewal fund had
been dealt with. He had already stated in a cir-
cular, which appeared in the Times, and he would

repeat here that day, the principle on which that
sum had been dealt with. He had the firmest con-
viction that their property, as it at present existed,
was capable of much further development, and that
the traffic revenue would very soon overcome any
deficiency, not only as regarded the payment of
dividend upon preference shares, but also upon the
ordinary stock. What they wanted was rest. He
felt that was necessary to develope what they
had acquired ; and he for one should hesitate
before going to Parliament in the next Session at
all. Let them see how their traffic could be in-
creased in the next 12 months ; and at the end of
that period it would be time enough to go to Par-
liament for an extension of time, or for the aban-
donment of proposed works.
Mr. WHITELEY said it appeared to him that Mr.
Hodgson had been one of a party to the cooking of
these accounts; and he had no confidence in him.
(Hear, hear.)

Mr. WADE said that it was obvious from the
report that the dividends on preference shares could
not be paid ; and, of course, no original shareholder
could get a shilling. But in order that not only the
preference shareholders might be paid, but also that
an ordinary dividend of 3 per cent. might be de-
clared, Mr. Hodgson directed that certain sums
which the accountants had charged to revenue
should be placed to capital and to the suspense ac-
counts, so as to obtain the sum required to pay the
dividends. (Hear, hear.) Under these circum-
stances, it appeared to him that Mr. Hodgson could
not have from them that support which he claimed.
(Hear.)
Mr. KIRK said he was satisfied that, if they removed
Mr. Hodgson from his present position, they would
send down the value of their property to the extent
of millions of money. (Hear, hear.) He was not
sure that the report of the committee was not
a one-sided one.

Mr. GARNETT said the great question before
them now was what was to be the future of the
North British Railway ? He believed that Mr.
Hodgson was not only the chairman of the Board
of Directors, but he was the Board of Directors itself.
(Hear, hear.) He was now more inclined than ever
to blame the directors for not having looked better
after the interests of the company. (Hear, hear.)
He felt that the shareholders must entrust the
management of their affairs to other than the pre-
sent Board, if they wished to enjoy the confidence
of the public. (Hear, hear.)
Mr. HODGSON in reply said that after the meeting
of shareholders on the 14th they would never find
him forcing himself upon the shareholders and direc-
tors as chairman of the company.

Mr. CRAVEN said he wished to state distinctly
that he stood by Mr. Hodgson this time because a
dead set had been made against him by a party. He
believed Mr. Hodgson thoroughly up to his work.
Mr. TOLSON moved, " That this meeting pledges
itself to give its proxies to Mr. John Beaumont, Mr.
John Orr Ewing, and Mr. John Balfour, the gentle-
men appointed by the Manchester meeting of share-
holders."

Mr. FORSTER seconded the motion.
Mr. GARNETT moved as an amendment, " That
the shareholders present, having no confidence in
the Board of Directors, decline to entrust their votes
to them."

Mr. Alderman TITLEY seconded the amendment.
On taking a show of hands the amendment was
negatived, and the original motion carried.
___ _ _ _

On the motion of Mr. WHITELEY, seconded by
Mr. G. LANCASHIRE, a vote of thanks to the chair-
man brought the proceedings to a close.
A committee of shareholders in Cheltenham have
issued a circular in which they state, " that it is of
the first importance that the chairman, Mr. Hodgson,
should be assured by the shareholders at large that
they earnestly desire and request that he will con-
tinue to render his valuable services to the company."

TIER MAJESTY, &c•

WINDSOR CASTLE, Friday:

The Queen drove in the Home Park yesterday
afternoon, accompanied by their Royal Highnesses
Princess Louise and Prince Leopold.
Her Majesty, with Princess Louise, attended by
-Viscountess Jocelyn, drove in the grounds of the
Castle this morning.
Their Royal Highnesses Prince and Princess
Christian also went out driving.
To-day is the birthday of his Royal Highness the
Prince of Wales.

--o -

Prince Arthur having now reached his 16th year,
her Majesty has determined that he shall enter the
Royal Military Academy at Woolwich as a gentle-
man cadet.

The Marquis and Marchioness of lleadfort have
arrived at the St. George's Hotel.

Viscount Falkland has left the St. George's Hotel.

The Earl and Countess Spencer left Spencer
House, St. James's, yesterday, for Althorp Hall,
Northamptonshire.
The marriage of Sir Charles Mordaunt, Bart.,
M.P., with Miss Harriett Moncreiffe will take place
on the 6th of December.

Sir Robert Gerard has left the Clarendon Hotel
for Gaiswood, Lancashire.
Sir Charles Anderson, Lady, and Miss Anderson
have arrived at the South Kensington Hotel,
Queensgate-terrace, from Stinchcombe, Parsley.
We have to announce the death of Georgiana
Elizabeth, widow of Sir Henry Peyton, fourth
baronet, who died on the 6th inst. at Swift House,
Oxfordshire. Her ladyship was third daughter of
Sir Christopher B. Coddrington, of Dodington Park,
Gloucestershire, and married April 11, 1828, the late
Sir Henry Peyton, father of the present baronet,
Sir Algernon Peyton.