South Australian Company

[1837] SOUTH AUSTRALIAN COMPANY.

It gives us very sincere pleasure to announce the arrival at the Company's settlement of Kingscote, Kangaroo Island, of D. MACLAREN, Esq., Chief Manager of this great and flourishing Company. Previous to that Gentleman's arrival, the Principal Management been entrusted to Mr. SAMUEL STEPHENS, who, notwithstanding the serious difficulties that arose with many of the emigrants brought out in the Company's service, succeeded in erecting several very commodious Warehouses, and other buildings, for the reception of the abundant stores furnished by the Directors, and for the residence of the various Officers. Kingscote is situated on the western shore of Nepean Bay, admirably sheltered from all winds, and well situated for commercial purposes. The Company has formed a whaling establishment at a newly discovered anchorage in Encounter Bay, named Rosetta Harbour, and we hear that a considerable quantity of oil has already been shipped for England. Very large importations of Cattle and Sheep have been made on the main land by the vessels in the employment of the Company, and we believe much more extensive supplies are expected. The Company's Bank, under the management of Mr. E. STEPHENS, is in full operation at Adelaide, and its transactions are said to be conducted on the liberal scale contemplated by the Directors. Our last advices announce that no relaxation of effort has taken place in England. On the contrary, the Capital of the Company has been increased from two, to three hundred thousand pounds — a sure sign of the favour with which the enterprize is regarded by the Commercial world. A Saw mill of seventy saws; a Flour mill of four pair of stones; a patent Slip for Ships of 500 tons; and a steam engine of twenty horse power; were in preparation, and expected to be shipped in all January —so that their arrival may now be daily expected. The success of this spirited enterprize, in short, promises to equal the most sanguine expectations of its promoters; and we shall watch and record every step in its onward progress with the greatest satisfaction.

South Australian Gazette and Colonial Register (Adelaide, SA : 1836 - 1839), Saturday 3 June 1837, page 4

[1837] SOUTH AUSTRALIAN COMPANY.

DIRECTORS.

G. F. Angas, (Chairman.) R. Currie, Esq. M.P. C. Rawson, Esq. C. Hindley, Esq. M.P. J. Rundle, Esq. M.P. H. Kingscote, Esq. T. Smith, Esq. J. Pirie, Esq. Ald. J. R. Todd, Esq. Henry Weymouth, Esq. MANAGER. Edmund J. Wheeler, Esq. MANAGER IN SOUTH AUSTRALIA. David McLaren, Esq. 

As the design of this publication is to diffuse information, not only concerning South Australia itself, but of every thing connected with its operations, we now proceed to bring before our readers the powerful association heading the present article, established at the first formation of the colony, for the purpose of assisting its advancement and of testing its capacity for the profitable employment of British capital. It is generally known that this body is a joint stock company, formed in shares of £25, and already possessing a subscribed capital of more than £300,000, which is increasing by an issue of shares now in progress at £1. 10s. premium, of which a considerable number are allotted. Its operations are of an extensive kind, and calculated to promote both the prosperity of the colony and the interests of the shareholders comprising, among other things, the purchase and improvement of land in South Australia, the growth of wool, the pursuit of the whale and other fisheries, and establishment of a bank or banks, and conducting banking operations in or connected with that colony. The Company's territory in South Australia is known to contain more than 14,000 acres of freehold and 220,000 acres of pasturage land, while orders have been sent to their manager in the colony to make further purchases in desirable locations, in addition to which the Directors expect to secure a considerable portion of the site of the metropolis, Adelaide. 

The shipping at present owned by this body comprise the " Duke of York," " Lady Mary Pelham," " Sarah and Elizabeth," " Guiana," South Sea Whalers; " John Pirie," employed as a coasting vessel; and the "South Australian," engaged in trading to Van Diemen's Land, &c., and also in the black whale fishery. Information has been received of success having already attended their vessels, the "Duke of York" having procured 40, the " Lady Mary Pelham" 50, and the " Sarah and Elizabeth"  150 barrels of sperm oil; and, as recent letters from the colony announced that arrangements for a shore whale fishery, in the approaching winter, were almost matured, the Directors anticipate a shipment of oil next spring. The Company have sent out many different articles for the supply of their servants, as well as provisions for their maintenance, designed also for the refitment of their whaling ships, which will return to the station at Kingscote to land their oil and replenish their stores and casks, of which, considerable quantities have been forwarded to the colony.

We also learn that owing to the deranged state of the money market in Van Diemen's Land, a fall of near 25 per cent, had occurred in the prices of sheep and other stock, and that the Company's agents having embraced that opportunity and bought largely on their account, the Directors expect that 5000 fine woolled sheep (in lamb) would, before the beginning of May last, be depastured on their land, whose value would be enhanced by the increase of their lambs, and the produce of their fleeces. Besides sheep they are also possessed of working bullocks, cows, pigs, &c., which would not only lay the foundation of the Company's flocks and herds, but be a source of supply to the colonists at large. The Company have sent out a saw mill and a corn and flour mill, with a steam engine, articles indispensable in a new settlement, and in order to provide for the repairs of their ships and of others trading to South Australia, a patent slip-way capable of raising vessels of 500 tons register has been prepared, and must ere now be in the course of erection. The prosperity of new settlements depending greatly upon accommodation for cash transactions and facility for transmission of funds, the founders of South Australia were desirous that some arrangement should be made for the establishment of a bank, so that remittances could be made to either country, and accommodation given to the settlers in their various operations. After mature deliberation, the Directors of the South Australian Company were induced to undertake this important business, and they have accordingly engaged talented officers (formerly connected with some of the first joint stock banks in England), several of whom have reached South Australia, having with them all the materials for a bank on the most approved British system, and also a large supply of gold, silver, and copper coin, with bank notes of various descriptions. This institution cannot fail to benefit the colony, as it provides the settlers with a place of deposit for their money, a means of remittance to the neigbouring settlements, or to England, and a source of accommodation in their business by discounts or loans on approved securities. By this arrangement parties can have their bank accounts as in England, with a pass book for their payments and deposits, and a cheque book for drawing on the bank, thus enabling them to avoid risk from keeping any quantity of cash in their own house. If they have remittances to make to the surrounding colonies for payment of stock or other supplies, they may, through the bank, procure bills on those places, or if they wish to remit to England they can have drafts on the Company in London, while, if their friends or correspondents wish to make payments in South Australia, by applying at their office, No. 19, Bishopsgate Street, orders can be procured upon the bank in the colony. We consider the entire system one of considerable service to the rising settlement. 

Another of the operations of this Company, in active exercise, is their plan of leasing country land to industrious persons, many of whom are here crippled by limited means; to this class peculiar advantages are offered, as the Directors are willing to aid their tenants by an advance of capital on easy terms. The plan adopted is to apportion the farms into lots of 67, 134, and 268 acres of freehold land, each having a right of 640 acres of exclusive pasturage, this enables every one to obtain a farm comporting with his means, the Company regulating the quantity by the amount of farming capital possessed, requiring a less amount for the smaller allotments. The peculiar constitution of South Australia, by providing an emigration fund from the sales of land, and so enabling the colonization commissioners to send out, free of cost, desirable labourers, holds out great inducement to farming and agricultural men to emigrate, as all such, if married, and under the prescribed age, receive a free steerage passage; thus making not only land procurable, but labour also, and every tenant of the Company can himself select a certain number of labourers in England, and have them landed in South Australia free of any expense for passage and provisions. The entire plan, into the details of which we are unable now to enter, appears to work well, and tends to introduce into the colony a desirable body of free and industrious settlers, possessed of some capital, and feeling an interest in their adopted country. We understand several have already embraced the Company's terms, and that others are negotiating for farms. 

Should any of our readers desire further information on the subject, we cannot do better than refer them to the Company's office, where they can learn full particulars and obtain some interesting papers on South Australia. We have now glanced at the commencement of some of the principal operations of this Company, and as our Journal progresses we may occasionally advert to their advancement, for as the Institution is so intimately connected with the prosperity of South Australia we presume our readers will feel interested in its movements, especially as it has hitherto been marked by a liberal spirit and a sincere desire to forward the general welfare of the colony, coupled with a disposition to encourage private capitalists, with whose efforts the Directors do not seem to interfere. We hope the same enlightened policy will continue to direct its affairs.— In our opinion it will.

South Australian Record (London, England : 1837 - 1840), Wednesday 8 November 1837, page 9

THE SOUTH AUSTRALIAN COMPANY.

TO THE EDITOR

Sir—I learn from your report of the meeting of , electors at the Assembly Rooms, Mr. John Baker stated " that the South Australian Company alone drew an immense revenue from the colony;" and as on like occasions similar statements have often been made, it is evident there is considerable mis apprehension abroad on this subject. Will you be good enough, therefore, to give me the opportunity of stating that the South Australian Company has been established 27 years; that their capital — £355,000 — has been entirely invested in the colony, or expended in carrying out their operations in connection with it, and that during the above period the share holders have received as dividends:— For 6 years, nil; for 7 years, 4 per cent, per annum; for 2 years, 5 per cent, per annum; for 4 years, 6 per cent, per annum; and for the last 8 years, 7 per cent, per annum—an "average of not quite 4 per cent. Few of the shareholders think this return " immense,"' and I hope no one acquainted with the risk encountered in the early investment of capital in this colony will grudge them such a revenue, or think it calls for special taxation.

I am. Sir, &c.,

WM. JOHN BRIND,

Manager South Australian Company, Adelaide, July 16, 1863.

THE SOUTH AUSTRALIAN COMPANY. (1863, July 17). South Australian Register (Adelaide, SA : 1839 - 1900), p. 3.  http://nla.gov.au/nla.news-article50179367

[1894] THE SOUTH AUSTRALIAN COMPANY.

INTERVIEW WITH MR. W. J. BRIND.

[By our Special Reporter.]

As the origin and history of the South Australian Company are just now the subject of close scrutiny, thanks to the indefatigable legal member for Gumeracha, I waited on the Adelaide representative of the Company on Wednesday to learn his opinions regarding the statements made at the interview with the Premier by a deputation on Tuesday. Mr. Brind said the deputation itself was not a surprise to him, though some of the statements made were very much so. Not long ago the Treasurer had applied to him for a copy of the Company's charter. He had replied that, according to the requirements of the Companies Act of 1892, a copy of the charter had been duly deposited with the Government, and of course would be available. Then the Treasurer asked to be furnished with a copy of the Company's deed of Settlement, and his (Mr. Brind's) reply was that as he had done what was required by the Companies Act he did not feel called upon to do any more. A third letter came saying that the deed of settlement was wanted, inasmuch as the Government had been asked to introduce legislation which might affect the Company and its tenants. To that he had replied that if the proposed legislation would affect the Company alone, and not other landowners, he was not prepared to give any information to the Government; but if it would affect all landowners alike he would refer them to the charter, which set out the position of the Company. He got to know that Mr. Hormburg was moving the Government in the matter, and no doubt that gentleman was under the impression that the Company were really departing from the terms under which their land had been granted to them. " The Treasurer, of course, found the deed of settlement deposited under the Act," continued Mr. Brind, "and the Premier now gives a certain weight to it which I am disposed to question, although on the legal points I would not put my opinion against his—I would have to take the opinion of the Company's solicitors. I think, however, it is nonsense to say that the Company cannot vary their deed of settlement or discontinue such parts of it as they consider inexpedient to follow. You see the South Australian Company, in the first instance, bought every acre that they own on the same terms as land was sold to other people, and all that they have acquired since the colony was established they have bought at auction in open competition, and have paid as much as other owners paid for land. Tuesday's deputation make a great point of the original deed of settlement specifying that leases should be granted with rights of purchase. The Company began by granting rights of purchase, but discontinued doing so after a time. This they had a perfect right to do, because the deed of settlement was simply a deed of co-partnership between the various shareholders, or, in other words, an agreement as to the terms on which the Company's business should be done—an agreement among themselves that they were at perfect liberty to vary at any time they liked. It was not a contract with any outside person. "The original deed of settlement, in addition to stating that the Company was to buy land and let it with right of purchase, goes on to say they shall do many other things. They were to attend to 'the growth of wool, and to the pursuit of whales, seals, and other fishes in the Gulf, and the curing and salting of such fish.' The Company dropped the fishing business. Will Mr. Homburg say that the Company are bound to catch whales and seals ? "In discontinuing the giving of rights of purchase the Company acted quite within their powers as a commercial body. Reference has been made to the charter taken out in 1856 ; and as showing the altered nature of the Company's business then the charter does not in any way refer to rights of purchase. It shows that the Company had gradually abandoned the shipping and fishing industries, and in the powers given to them under the charter they had the right to buy and sell or otherwise dispose of land and buildings, to lay out farms, and do many other things. Mr. Kingston says he believes that that charter did not alter the terms of the deed of settlement. I say that the Company had the power to alter that themselves." " And what do you say to the implication that the Company's possessions are too large, and to the use of she words ' rack rent ?'" " As a matter of fact there are individual owners who have a larger area than the South Australian Company. It is very easy to speak of 'rack rents,' but I believe that the rentals for the Company's land are not higher and in cases not so high as the rents of similar lands belonging to private persons. Of course, I am not in a position to compare the actual figures, but I shall try to show what the Company's rent per acre is in the various districts that the gentlemen forming the deputation represent." "The complaints of high rents are, of course, due to the unprecedentedly low prices of produce. Do the Company take this great trouble into account ?" " Of course, we are perfectly aware of the hardship involved in the low prices, and the only way I see of meeting these fluctuating prices of produce is to have periodical revaluations for rental purposes. But then there would be no lease. If a tenant gets a lease he supposes that it secures him the possession of the property for the whole of the period covered in the lease ; but if the land is to be revalued again and again, what is to prevent the landlord fixing a rental that will drive the tenant away, or what is to prevent a tenant throwing up the land? Tenants prefer long leases to short ones because of the security of possession they give them." "What connection had the South Australian Company with the original South Australian Association which germinated in 1834?" 

"None whatever. The South Australian Company, was purely a commercial venture, and it came through a very severe crisis in Governor Gawler's time. The Register s references in a leader to-day to the starting of the Company are correct, and it looks to me that Mr. Homburg's attempted explanation as to the forming of the Company is an exceedingly stupid one. He read resolutions that were passed by an Association that never had any thing to do with the formation of the South Australian Company. They had a meeting at Exeter Hall, and endeavoured to get the necessary lands taken up on benevolent principles, and they failed. The South Australian Company was a purely commercial undertaking which came in and assisted the South Australian Commissioners." "From the Register report I see that the Premier said— It did seem from the information possessed at present that the South Australian Company in its initiation was never intended to have privileges of the character which it at present enjoyed. The extracts Mr. Homburg had given at least warranted the contention that the Company was intended as a matter of course for the flotation of the settlement in the first instance, but also for the distribution at convenient times and in convenient manner of the land given to the trustee for distribution amongst the intending settlers. " That leaves the impression that land was granted to the Company to be dealt with in a spirit of benevolence, instead of which the Company bought their land just like other people did. The premier will find that there isn't an iota of foundation for the idea he speaks of." " What the public would best like to know, Mr. Brind, is whether the Company is a fair and just landlord. Have there been any com plaints from tenants ?'' "Complaints! Oh, yes. For the last two years there have been nothing but complaints that they can't pay their rents. I recognise that the fall in prices has been so great that in many instances it would be harsh and useless to press for payment." "You won't mind my asking if the Company are considerate to their tenants ?" " Oh, no. I have endeavoured to establish a character for consideration for the Company, and think I have succeeded. Out of an annual rentroll of from about £19,000 to £20,000 we have failed to get from £3,000 to £4,000 of late years. Our rents are now about £20,000 in arrear. The money stands against the tenants until we see it is hopeless to expect them to pay it, and then we write off the amounts. Our rents show a considerable falling off of late. Men don't abandon their leases, but they come and say ' We can't pay our rent,' and they don't pay it." " Did you ever have any evictions?" "No. I have never had to evict a tenant, although in some instances, where a tenant has absconded, in order to put the Company into legal possession of their land again, have had to go through the form of eviction. A tenant may abscond, taking the lease with him, or at any rate not putting me into legal possession of the land, and in such circumstances the form of eviction has been gone through." " How many tenants have you?" "Four years ago, when I prepared statistics of the Company, which are in the hands of the Government, we had 242 tenants. We have more now, because of late we have been diminishing the size of some of the holdings—cutting up some of the larger farms, and endeavouring, as I thought, to meet a public want in leasing land in small blocks in the locality of small townships. But I very much question now whether that step was a wise one, because these small holders don't seem to be satisfied." " Recently the Company authorized me to sell farms belonging to them instead of renewing leases where tenants desire to buy, and if a price it agreed upon between us the Company consents to give them ten years to pay the purchase money in ; that is, by paying it in ten annual instalments, which is another way of meeting this demand for rights of purchase. We won't recognise a right of purchase ; it is a contract to purchase that we want. When a tenant holds a property with the right of purchase you never know up to the end of the lease what he is going to do. If he contracts to buy you know what to expect." " Up till now did you ever hear of Mr. Homburg's suggestion that the Company was not established strictly as a commercial venture?" "Never before," concluded Mr. Brind, with a laugh. " During all the years I have been connected with the Company I thought I was managing a commercial affair. I had no idea that I was the chief officer of a benevolent institution." 

THE SOUTH AUSTRALIAN COMPANY. (1894, January 25). Evening Journal (Adelaide, SA : 1869 - 1912), p. 2 (SECOND EDITION). http://nla.gov.au/nla.news-article200766098