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PUBLIC RECORD OFFICE
Reference :---
61
C.O. 882
8 PUBLIC RECORD OFFICE, LONDON
ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH-NOT TO
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ascertain the rates allowed for work, also the legal and other positions of the Com- pany in connection with other interests. For instance, they could only carry out most, if not all, of the works by agreement either with the Government, the munici- pality or private owners. Again, what has been allowed for increased cost of work within the next 15 years? How was the charge for interest during construction to be met? Five per cent. on $7,900,000 would be $395,000 a year. That is what would be payable during the last year when the works were approaching completion. and as against that there would be nothing in the way of income from so much of the frontage as was in process of re-construction. That would, of necessity, seriously affect the question of dividend, and accordingly the maintainability of income.
with New
Further inquiry is also being made into the whole question of the relations Former between the New Harbour Dock Company and the Company in order to ascertain relations the details of the joint purse arrangement and the terms of the purchase. We know Harbour, that New Harbour received $1,050,000 five per cent. debentures and $700,000 in 7,000 shares reckoned as worth $300 each, so that the total value of New Harbour was apparently $3,150,000, and by the transaction the Tanjong Pagar Company's debenture debt was increased from $526,000 to $1,576,000, and the nominal share capital from $3,000,000 to $3,700,000 or at market quotations from $9,000,000 to $11,100,000. Assuming the transaction to be equitable it appears to indicate that before the amalgamation the relative values of the concerns were about as $3,150,000 to $9,526,000, making a total of $12,676,000 for the two; of which $1,576,000 was debenture debt, leaving $11,100,000 as the market value of the shares. At that time the Company's total assets were valued at 86,720,146.86: that figure is taken from the balance sheet of the 31st December, 1899.
The prices paid for timber in past years will have to be investigated to ascertain Timber. how far the increased cost of maintenance of the wharves has been due to increased cost of timber: and how far to more timber having been used.
The Company's charges have been revised twice in recent years. It will be Scale of necessary to consider this in order to ascertain how. far the volume of business has charges. contributed to the increased turn-over, and how much is due to the increased charges. It will also be necessary to investigate whether these increased charges have affected traffic generally or any class of traffic in particular, and whether vessels are more disposed now than previously to do their work in the roads.
The
Surplus
The matter of surplus lands and buildings will also be reported upon as to surp value, if held to be outside the requirements of the Company's business. pany's plan is not yet ready, but it is hoped that it will be shortly available. It is not probable that the Company will inform us at this stage what lands they will claim to place in the category of surplus lands, and we cannot say what chance there is, if any, of our coming to an agreement on this hand. The whole of the lands and buildings will, however, be valued, so we shall be ready at any time to discuss the question.
This concludes the observations which at present occur to the writers. They Con- are of necessity of a somewhat incohesive and a non-consecutive order, and may clusion. savour of repetition, but the issues being at this stage so much in the clouds, it was considered advisable to send home these considerations, imperfect as they are, with- out delay, so that at least those instructing Counsel at home may know what is being done here, and the views which present themselves thereon.
requested.
It is trusted that the papers may be placed before Counsel and advice taken General as to how in their view the issues should be straightened out even before the Com- advice pany put us in possession of their claim. Also that suggestions or directions may be given upon points which, it not been locally considered. It may be seen from a perusal of the foregoing, have above all that advice should be given as to the evidence which should be forthcoming at the inquiry.
What has been retained or will in the ordinary course of events be forthcoming Particulars as obtained locally is shortly as follows:-
CIVIL ENGINEERING BRANCH.
1. Mr. Sam Tomlinson (aged 46), M. Inst. C.E., M. Am. Soc. C.E. gentleman's services are and will be invaluable and indispensable,
13893r
of Local
Evidence.
This Civil En-
gineering.
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