Tales from the Past - a look at the history of HANZ Chapters 1 - 3

Chapter 1:

The stormy history of the liquor licensing industry in New Zealand is a history of extremes. Although this history purports to tell the story of a very creditable organisation which has lawfully administered hospitality for over a century, we need to look at the background that prompted this course of action. For our purposes we need not dwell on topics like the first beer brewed in the country by Captain Cook in 1772 - from Rimu twigs to prevent scurvy - or Governor Hobson banning distillation in an effort to get as many sober signatories to the Treaty Table as possible, but to consider processes that have frustrated "mine hosts" over the last hundred and thirty odd years.

The first Liquor Law was the Licensing Ordinance of 1842 which had very little effect, but the discriminatory 1847 Sale of Spirits to Natives Ordinance allowed unscrupulous settlers to get some good bargains from the Maori. Special restrictions on the Maori people lasted over a century and without doubt retarded racial equality. Other Ordinances enacted in the 1850s' and 1860's gave a loose base for the issue of licences, but also created what was to become a massive groundswell for the Prohibition movement. The 1873 Licensing Act provided for local prohibition but was not as effective as the Prohibitionists had hoped for. Added pressure resulted in the 1881 Act, claimed as a great victory for the "Wowsers" as the Prohibitionists were named. The name "Wowser" incidentally, was an acronym of the Prohibitionists catch cry WE ONLY WANT SOCIAL EVILS REFORMED and did not mean that they were necessarily against drink. The 1881 legislation introduced Sunday closing, and prevented the issue of new licences without electors support. From 1881 to 1893 no new licences could be granted in a Licensing District without a poll by rate payers. The prohibition cause became a national issue and the Womens' Christian Temperance Union, normally involved in charity and church issues, became a powerful ally. The formation in 1886 of the NZ Alliance for Suppression of Liquor Traffic, joined the W.C.T.U. and pressed for a Local Option Poll - (LOP) - for the issue of licences.

In 1893 a Triennial Poll in Licensing Districts - corresponding to Parliamentary Districts - was introduced with three choices, Continuance, Reduction and No-Licence, the latter requiring 60% vote to succeed. Clutha Electorate became the first to go dry in 1895, and that was the straw that broke the camel's back as far as the licensed trade was concerned. An unofficial group of Wellington licensees had been meeting on an annual basis, usually before the annual meeting of the Licensing Committee, with their mutual solicitor Mr J J McGrath and from that group grew the organisation we know today. By 1910, 12 of the 76 European Electorates had gone dry and licences had dropped nation-wide from 1719 in 1894 to 1257, despite a large increase in the population.

John Joseph McGrath was a West Coaster who began his working life as a teacher and qualified rather late in life as a lawyer. He was a wonderful friend of the licensing trade and had an extensive knowledge of the licensing laws. He spoke Maori fluently and appeared in many land dispute trials. He worked assiduously for charities and with Sir Joseph Ward was largely responsible for the establishment of the Catholic Lewisham Hospital in Wellington. He successfully raced and bred horses, was a prominent member of the Savage Club, a Wellington Amateur Boxing President and a former member of the National Party Executive. His funeral in 1946 attracted unprecedented tributes from the judiciary and his son Dennis and grandson John, both followed in his legal foot steps as advocates for the LVA and later HANZ. John, the former Solicitor General, is now an Appeal Court Judge sitting in Wellington.

Early records are difficult to find. The first recorded meeting is the AGM on 20 February 1906. From the correspondence available, it appears that the group under Mr McGrath's guidance had begun meeting in the 1890's but it was 1902 before the registration of the Wellington Licensed Victuallers Association and Industrial Union of Workers was effected by Mr McGrath and the inaugural meeting held in that year. Attention to detail was not one of the priorities of the early committees and the early hand written minutes are sometimes very difficult to decipher. Morning meetings have been detailed in magnificent copy plate handwriting but in the case of evening meetings - usually commencing at 8pm- the hand writing has deteriorated alarmingly for reasons that are probably obvious!! Participants at the meetings and the names mentioned, contain initials and surname only and in most cases just the surname. Christian names were not in vogue.

The first recorded meeting was presided over by the Walter King, the inaugural chair of the national and Wellington body along with the inaugural secretary Mr H J Williams. The executive of the NZ Licensed Victuallers was in fact the Wellington executive for the bulk of the first decade notwithstanding that branches in Auckland, Christchurch, Hawkes Bay and Greymouth also formed active branches in the early stages.

Early issues involved the Prohibition movement, Licensing, and the associated polls. The Branch were entitled to nominate candidates for the Local Option Poll and the candidates favoured were Messrs Kennedy, McArdle and Samuel, because they were all known to favour 11 o'clock closing and were in favour of "Justice to the Trade!!" A similar situation developed with the election of candidates for the Licensing Committee Election and the favoured candidates were Messrs Biss, Izard and Carmichael. Donations had been solicited for the Licensing Committee Election Fund and it was reported that 35 hoteliers had donated a minimum of 5 pounds ($10) each The Merchants Association also came to the party with a donation of 20 pounds ($40). The chairman warned that all premises must close from 11am to 7pm on Polling Day.

The Annual Ball seemed to be the biggest profit earner for the year despite the fact that the Cooks and Waiters Union had gone on strike on that particular evening and many hoteliers were late arriving after having serviced their own establishments. The union, for whatever reason, had decided to concentrate on those hotels who were not LVA members, but in their enthusiasm had decided to cover the city.

Another major hiccup occurred when the Bank of New Zealand failed to action an account by the Secretary and Treasurer during a serious illness of the President. The Bank's extraordinary and arrogant stance was known to be due to a few corrupt bank officials known to be associated with outside organisations acting for the extinction of the Licensing Trade. This particular Bank was also known to have organised "block voting" on the Local Option Poll.

In late 1906, the tension with the Cooks and Waiters Union escalated and it was decreed that no more free drinks or dripping was to be given to cooks, waiters, pantry-men and roustabouts. The volatile cooks wanted a 65 hour maximum week and the debate finished up with the Conciliation Board and the proceedings were declared invalid. One of the reasons for the mood of the Cooks was the concern of hotels employing Chinese Cooks. In the era of "Yellow Peril" it was said to be detrimental to the best interests of the trade, and a deputation of three executive members were to wait upon two of the licensees concerned and order them to desist.

Francis W McParland of the Cecil Hotel, one of the 70% of Irish Publicans in Wellington at the time, took over the Presidency from the ailing Walter King in 1907, and the Annual Ball held, not surprisingly, on St Patrick's night was a major success again. Special trams were provided and the Mayor and Councillors attended along with Members of Parliament and newspaper editors.

Frank McParland was keen to liaise with the other branches in the country, aware that the LVA was being run by Wellingtonians. Responses were warm but finance for travel provided a hurdle. As directed by the National Executive all Branches were asked to collect one guinea ($2.10) per establishment as a sustaining fee for administration etc and an exchange of correspondence. The scheme worked well and there was very little resistance as members nation wide were aware of the excellent work done by the executive in conjunction with Mr McGrath.

In 1908 it was resolved that the Wellington committee be the National executive and that steps be taken to encourage interest from other branch members to join

The Wellington based National Executive. Auckland replied by suggesting that the National Office be set up in the "Queen City" but a circular to all branches clearly indicated that the Association Head Office should be near Parliament. Many branches suggested that an emergency executive remain in Wellington even if licensees from other Branches became members of the National Board.

In 1908 the Local Option Poll had seriously depleted the Association's funds and there were earnest discussions regarding the future. Many citizens did not vote and continuance votes were well down, whilst no-licence votes had increased dramatically, displaying a general apathy in the entire Licensed Trade. Hoteliers were dismayed after the money and time that had been spent. The number of hotels that had been forced to close because of the no licence vote was alarming. A move was made to form a new group which would effectively close the National body and every Branch in the country. His new group would involve hoteliers, merchants, aerated water manufacturers and a resolution was passed to form a catering company with 5000 shares at one pound ($2.00) each. The brewers offered to contribute 3,000 pounds ($6,000) Wine and Spirit Merchants 1,000 pounds ($2,000), Hoteliers 850 pounds ($1,700), and Cordial manufacturers 150 pounds ($300). Directors were sounded out and a straw poll amongst Branch Presidents and Wellington licensees indicated support, but after several postponed meetings the project fell through.

To add to the troubles the National Restaurants Association through their President - a Mr Dominick - what else? - with three hefty bodyguards paid a surprise visit to the Secretary's Office protesting vehemently about hotels throughout the colony supplying counter lunches to the prejudice of the restaurant business. He particularly referred to the Empire in Wellington where the licensee Joe Mandel, an affable Irishman and ex Policeman, went to great pains to inform the deputation when confronted that he thought he was doing nothing wrong and would certainly modify his ways. Two nights later the Police raided Mr Dominick's Lambton Quay restaurant and seized a large quantity of liquor being illegally sold on the premises. In one of his many books on Wellington, Pat Lawlor, the celebrated Irish born author, claimed that Joe Mandel sent a telegraph message to Dominick apologising for his misfortune and offering to sell him some replacement liquor which he, Mandel, was licensed to sell!!

The amendment to the Licensing Act in 1910 ended the employment of women in bars, except for the licensees' family and barmaids actually employed during the year before the Act was passed. It was 1961 before the law was repealed and there were instances of barmaids who had worked continually and legally through the entire period of over 50 years. The same amendment prohibited the issue of any new publican's licenses and made it impossible to transfer a licence to a new district. It was at this time that prohibition came within a hair's breadth of being passed and the issue of "reduction" was dropped from the Local Opinion Poll. A national poll on continuance and prohibition was provided with the 60% criteria remaining for Prohibition. The Association made a grant of 2 guineas ($4.40) to the Garrison Band to compete in the Band Contest at Timaru, with a clear message that it would have been more but for the cost of the Local Option Poll.

In 1912 the Barmaids' Picnic Committee complained to the National Executive about the conduct of bar staff and some licensees in Christchurch and Auckland. The Executive wisely decreed that they had no jurisdiction. Meanwhile the National Executive donated 3 guineas ($6.60) to the 1912 Olympic Games fund.

Despite these generous gestures there was still talk of the Association winding up. Key executive members resigned and allegations were made that the President James Beveridge had openly canvassed against an executive decision that a percentage levy of turnover be introduced rather than the current subscription. The long serving secretary Mr Williams implored members to think again and advised that although the Association had retained Mr McGrath for the best part of 20 years at no cost to licensees, members would have to make their own legal arrangements. Most continued to use Mr McGrath at a very favourable rate.

In 1913 the nation wide strikes bought a little stability back to the Association and members who had left rejoined. Although the strikes had started in the mines, particularly at Waihi, it affected all industries and indeed the whole country. In a rare but welcome gesture, brewers Staples and Co, gave licensees a 50% rent rebate for hours lost. The Trade Defence levy introduced in 1910 after the loss of licences had resulted in most hoteliers paying their way, although there were complaints about the late payment by Brewers.

After 4 years as President, James Beveridge resigned in May 1914, after a dispute over authorising a donation to a disaster fund. The executive subsequently condoned his action and a lavish testimonial dinner was held in his honour, but he left Wellington for Christchurch where he continued to serve the Association and the industry for many years.

Chapter 2:

On 2 July 1914 a deputation of over 250 Licensed Victuallers and Allied trade Representatives waited on the Prime Minister, the Right Hon William Ferguson Massey of the Reform Party, with two main issues on the agenda. The on-going fear of Prohibition was the major worry but there was also considerable apprehension regarding the legislation on licences. Since the 1895 decision the decrease in the number of hotels was alarming enough, but there was considerable unrest among hoteliers because their tenure actually evolved around a three year period. The attitude of many politicians, and indeed many citizens, clearly portrayed an anti liquor attitude and the triennial election was their time to flex their muscles. The issue of tenure was to be a major worry for many years.

There were plenty of minor issues too. Great alarm was displayed by many because paper boys were selling their wares in bars and a deputation of do-gooders actually waited on the Wellington Superintendent of Police who dismissed the matter out of hand and advised them that he had neither the man power nor inclination to pursue the issue. However, at the direction of the Licensing Committee the Police were instructed to take steps to have hotels with bars and bottle stores opening on to the street to re- arrange their premises. The Police appear to have had little enthusiasm for this exercise as well !!

With the outbreak in 1914 of the "war to end all wars", hoteliers faced further even more frustrating impediments to their business. The Association was instructed to issue directions to members to desist in giving access to, or sell liquor to members of the New Zealand Expeditionary Force, training in New Zealand before going to fight the war on the other side of the world. Not surprisingly, many licensees took strong exception to this edict, but prosecutions were rare. Before the matter could be bought before the Court by way of summons, the "offenders" would have departed the shores.

Another body, the War League also complained vehemently about the sale of liquor to soldiers and began a campaign to amend the 10 pm closing time to 6pm as a war time measure. Their efforts were rewarded and this single piece of "temporary" legislation, had one of the greatest effects ever in the history of the trade, as the "six o'clock swill" endured for over fifty years.

However, during the Great War problems in the trade appeared mundane and trivial compared to the grief and suffering of thousands of New Zealand families. Cyril Aldridge became the Association's fourth President in 1915 and the activities of the executive were mainly designed to restore 10 o'clock closing. As if there wasn't enough going on in the world, the executive also had a major confrontation with the Department of Labour, when an Inspector of Machinery prosecuted a Christchurch member for allowing a female to operate a lift in his establishment! The case was finally quashed after the Minister of Machinery failed to assist and an influential publican, who was a friend of the Prime Minister managed to put an end to the whole debacle.

There were serious problems as well. The Prohibition movement strengthened greatly during the conflict and having already gained a trump card with the earlier closing, looked to even furthering their ambitions in the 1919 General Election. The last election had been in 1914 and the five year term was also a war time measure. Many hotels were in a parlous state. The restricted hours had seriously affected turnover, and the absence of many fine licensees and staff fighting for their country, had lowered the standard of available staff. In addition the war time conditions promoted many aspirants who had stayed behind, beyond their station in life and hoteliers faced countless problems. Some demands imposed on members during the dreadful epidemic at the end of hostilities were totally unreasonable. Compulsory closing of hotels was called for, and this would have bought most hoteliers to their knees. The "White Knight" was the ever present, ever loyal J J McGrath who organised a deputation and "gate crashed" the office of the Minister of Health. After negotiation the compulsory ban was lifted the very next day.

The threat of Prohibition and the experience of the War virtually had the trade facing extinction. Although he had served as President since 1915, Aldridge was obviously not the man to lead the Association through the extremely important 1919 campaign. It was in fact the merchants who took the initiative and created a fighting fund of seven thousand pounds ($14000) to fight prohibition. The Association weighed in with 1400 pounds ($2800), and the Merchants and Breweries supplied the remainder.

A postal referendum was conducted by the Association, and licensees were asked to contribute up to 40 pounds ($80) per establishment and it appears that all who were able, made a contribution. Unfortunately a massive argument between the Association and the brewers, particularly Speights and Staples, all but finished the campaign. A special tax for the War Effort introduced during the conflict, was abolished when the war was over. Brewers maintained that they had been more than generous with their war effort and in particular with the grant to the Prohibition funds, and would not budge in reducing the price of draught and bottled beer by the amount of the tax.

The Peace celebrations on 19 July 1919 caused much debate amongst hotel staff as many wanted time off with pay to celebrate. Licensees were quick to point out that the effect of the war on their businesses had been devastating as well. In the circumstances a good will measure was reached without any serious stoppages and slowly life returned to normal.

The 1919 election result was as close as New Zealand ever got to going dry. Virtually all legislation passed from 1893 was a political compromise between the anti- liquor movement and the licensed trade. The liquor trade was forced to make concession after concession as the price of keeping prohibition at bay. From the customer's perspective drinking gradually became divorced from all pleasant amenities and surroundings. Games, music, dancing, food, entertainment and even seats went, until there was nothing left except to stand shoulder to shoulder and drink.

When the bare majority poll was finally adopted in 1919 prohibition supporters had their great chance for victory, but their hopes were dashed. In April a poll was held on the recommendation of the National Efficiency Board. The terms were that there would be a straight choice between prohibition and continuance and whoever got more than 50% of the votes would win. But if continuance was carried, then at the General Election Poll later in the year, the issue of state purchase and control would be added to the ballot paper.

The prohibitionists campaigned fervently, but a leading Auckland brewer, Moss Davis, at his own expense went to London to win the support of the soldiers to vote for continuance. The trip paid off handsomely. The soldiers vote kept the country wet and while there was a majority for national prohibition in New Zealand, the votes of the soldiers in the Expeditionary Force resulted in a 10,362 majority for National Continuance.

In the aftermath of the great result, the LVA executive decided to close their account with the Bank of New Zealand who were supporting prohibition, and put what was left of their finances into the Post Office Savings Bank. To the pleasant surprise of the executive they received advise from the POSB that they would now get interest on their money, while the Bank of New Zealand wrote and expressed great relief that the transaction of changing banks had been completed !!

So the LVA certainly had a frustrating and difficult first two decades of existence - weak governments, frustrating and constricting legislation, abolition of barmaids, anti shouting legislation, bungling bureaucrats, and the uncertainty of a safe tenure for their establishments.

Back in peace time, the Colony enjoyed a rare highlight with the Royal Visit of HRH the Prince of Wales in 1920. Hotels throughout the country were over booked with people following the tour, business was booming, and a nation waved Union Jacks and cheered the Royal visitor at every whistle stop. It all sounded too good to be true - and it was. The Hotel Workers Union wanted two days off on full pay for their members to see His Royal Highness. After urgent negotiation it was reduced to one day. At the next executive meeting members produced research made during the Royal visit. The result ? 13% of hotel workers had taken the opportunity to wave to the future King of England!!

Chapter 3:

In many ways the 1920's brought a degree of stability to the industry despite some serious hiccups. The narrow victory over prohibition was a stimulus which the trade badly needed. For example, the Association adopted a long overdue and more sophisticated office management process. Part time staff were introduced for the first time and Pat Lawlor, the celebrated author and authority on the hotel industry received casual payments for short hand and typing duties.

In 1920 the executive, after much discussion, obtained for the Association their first G.P.O. Box for receiving mail, despite many members being perfectly happy with the conventional postie of the day. Although private boxes were relatively expensive, the main issue surrounding the momentous decision related to an industrial matter, as the Post Office Union, fearing the loss of jobs for the posties had sought the support of other Trade Unions, including the Hotel Workers. However, the new system was obviously a "fait accompli" and the Association was allocated Box 503 at the G.P.O. Wellington. The same box number is in use today although the original Post Office is well gone.

In 1922 - election year - Parliament set up a special committee of the House of Representatives under Mr F F Hockley, MP to review the licensed trade as a consequence of a promise made before the 1919 election, namely if prohibition did not come in such a course would be adopted. Many issues were considered including a poll for the King Country, a nine year tenure poll, instead of the three year period, and compensation for hoteliers for loss of licence in the elections and boundary revisions. The media supported the trade with some harsh editorials regarding pro-prohibition attitudes of many MP's but in the event no firm decisions were made and the proceedings were adjourned until after the election.

There were still several issues facing the hoteliers, many evolving from the attitude of the pro- Prohibition sector. In 1923 the Grosvenor Hotel in Timaru against all odds, was issued with a special license for a Jazz Band dance on a Sunday evening. Despite the inevitable outcry the application when appealed, was allowed to stand with a warning that it was likely to be the last. This rather insignificant event had major social repercussions because of the excellent work the Association had done in appearing successfully for the Grosvenor Hotel. It was clear that the organization was gaining credibility but the publicity and tributes paid to Association Secretary Frank Oakes, greatly upset the anti liquor movement and some rather scurrilous comments emanated from the Alliance, Baptist and other associated groups.

Then in July of 1924 the flourishing Association had a major set back. Although there had been reservations about Cyril Aldridge's Presidency and ability to lead the Association through the crucial 1919 election, he was not replaced and stood down in 1920, basking in the glory of the Prohibition defeat. He was replaced as President by the popular Auckland branch President Pat Brodie who was also a member of the National Executive and for the first couple of years he proved to be an able leader. However, Brodie did not have the backing of his Auckland executive and they resolved to secede from the National Association. In turn, Brodie resigned as President of the National Association and James McDonald of Christchurch was appointed interim chair for a few months until Percy Coyle of the Ohingaiti Hotel was elected President.

This was a serious blow to the Association as Auckland was the largest region paying a large share of subscriptions and without doubt had the best liaison with the Union movement. Their main bone of contention was the lack of effort by the Association in ensuring the prohibition movement would not re-surface in the 1925 election. The 1922 vote had not been conclusive and the Baptist Conference of 1924 gained national supportive coverage of the evils of the licensed trade monopoly and the desire for State Control if prohibition failed.

A deputation was sent to the Queen City from the Association's executive to try and reverse the decision but Brodie refused to see them and prohibited them talking to the local Auckland members. A further effort was made with a high powered group of Percy Coyle, Vice President Walter Kirkwood of Christchurch, and executive member Bill Devine of Palmerston North going north for discussions. They were joined by John Sutton of Christchurch, the Association's first life member who was in Auckland en route to the USA but again all efforts to contact the Aucklanders failed. It was obvious that Auckland wanted two options only - Continuance or State Control with no prohibition choice, and a review of the licensing boundaries with five provincial areas instead of the 23 licensing districts.

Life went on with Auckland making no contribution and boycotting all executive, special and annual meetings while the remainder of the executive dealt with issues such as:

* Women in bars - particularly Dunedin - hoteliers were not taking steps to discourage women or to set aside separate rooms for them

* Numerous disputes concerning hoteliers responsibility regarding luggage

* Standard of accommodation

* Later closing hours - West Coast wanted 10am-1pm and 3pm to 9pm

* Price cutting - particularly in Timaru and Christchurch

* Abolition of surcharges for mixed spirit case lots

* Individuals importing liquor and being assisted with customs savings by major brand suppliers

* The question of tenure

* and accommodation discount for commercial travellers friendly to the trade and members of theatrical groups

These topics seemed to take up most of the two days allocated to executive meetings and the associated functions. Mr Bill Hornig, secretary of the NZRFU, invited the entire executive to the farewell for the All Blacks in October 1924 and to the welcome home function for the same team, known upon their return as the "Invincibles", in March 1925. Coincidentally both functions happened to fall on days when the LVA executive meetings were being held in Wellington!!

For the first time executive meetings were held outside Wellington in the mid 1920's. Nelson, Masterton, Palmerston North and Invercargill were host venues and tribute was paid to the executive for the excellent work the Association was doing. An approach was made to the MP for Otaki to endeavour to restore the licences in Pauatahanui and Porirua, near Wellington, both of which had been lost in the earlier antiquated local option poll legislation. Despite the fact that many MP's were openly against liquor and the trade, the executive scored a moral victory when the Parliament Licensing Committee set a valuable precedent with a quaint phrase of "certifying the anomaly" but made no order for restoration. In addition, the 1925 Licensing Amendment Act was very favourable to the trade and at the same time the industrial front took a turn for the better.

In 1926 the Licensed Hotel Employers and Employees award was settled in record time - less than 5 minutes with agreement on all points. The Conciliation Commissioner, Mr W Newton congratulated all parties for their efforts.

As expected the 1925 election vote maintained continuance with a majority vote against Prohibition of 36,177, but the prohibitionists still pursued their campaign vigorously. Some of their antics bought criticism from many of their own followers. Temperance lecturers complained to police when they alleged that hoteliers would not give them accommodation but on further investigation it was revealed that they were baiting the licensees. Charlotte Lewis, the licensee of Pearns Hotel in Kumara on the West Coast was charged with refusing to supply accommodation to a Mr J F King and the Rev Ebeneezer Martyn, both temperance lecturers. They had made bookings in several hotels including the Pearns, and had been given instructions to be in by 10pm. Both men complained because their lecture had gone on too long and when they didn't return until 11pm they were locked out. Again, J J McGrath came to the rescue and persuaded the local West Coast Magistrate to dismiss the case.

Allegations were made that the Hotel Union workers had been significant allies to the trade in the election. Obviously their jobs were in danger, and prohibitionists

were adamant that the secretary of the Union, the well known and respected unionist Fred Young, had organised visits to graveyards to collect names for the electoral roll to ensure that continuance prevailed!!

Some licensees came in for criticism from the Minister of Labour concerning the condition of their premises. This provoked a response from the LVA President Percy Coyle who reminded the Minister that hoteliers could not be expected to spend money on their premises when the tenure of their business was at the mercy of the voters every three years. The debate was widely profiled in the media of the day and surprisingly newspaper editorials and letters to the editor all came out heavily in favour of the trade and ridiculed the legislation governing the issue and cancellation of licences by defining dry areas in the triennial election.

However, there was some good news relating to tenure when the results of the 1925 election were finally tallied. The voters in the district of Ohinemuri in the Thames Valley had voted for restoration by more than 2000 votes. Of the twelve districts involved in the election, the other eleven remained dry but there was a large increase in the Continuance vote across the country. There were great worries in the prohibition camp however. Their chief advisor in the House was Sir Francis Dillon Bell of the Reform Party, a former Wellington Mayor and the first New Zealand born Prime Minister, although he only lasted two weeks in office. Sir Francis allegedly told the prohibitionists that they had a fighting fund of 1400 pounds ($2,800) but this figure could not be reconciled and the in-fighting began. To add to their woes there was a serious discrepancy between the number of churches who actually made a contribution and the list of promises that had been pledged before the election. However, it soon emerged that there was also some in-fighting in the trade sector. Unbeknown to the LVA New Zealand Breweries had already moved into Ohinemuri "ready to help"

President Coyle and Wellington President James McParland went to Paeroa to offer assistance to hoteliers who had turned their hotels into boarding houses when the area had gone dry some 17 years before. They found to their surprise that Mr A J Bankart, chairman of the National Council, a director of the newly formed Lion Brewery, and a director of a new company known as Ohinemuri Hotels, had already organised a scheme where the brewery would purchase hotels outright and employ managers, or lease the properties with a strict trade tie and a rental of 10 pounds ($20) per week, doubling to 20 pounds ($40) per week if products other than Lion and L D Nathan were sold on the premises. 20 ounce pint glasses would also be introduced against the policy of the LVA while Mr Davis (later Sir Ernest) of Hancocks Hotels introduced 16 ounce glasses hoping to appease the LVA's concern.

Hancocks and Nathans owned many hotels in the Auckland provincial area and were very efficient operators. Their action, whilst upsetting the Association, had one positive outcome. The Auckland branch decided to come back into the fold and Pat Brodie was immediately re-instated as a Vice President of the national body and J C Griffin of the Oxford Hotel in Auckland joined him on the national executive at the ensuing annual general meeting.