In 1883 he was, as now, connected with the firm of Royse, Stead, and Co., and having at that time control of. the Cavi'rsham gasworks he made it part of his duty to look after the management of the works. He studied the subject, anil came to the conclusion that gas was the finest business to go in for he had ever seen in his life. About this time great discussion took place regarding the unsatisfactory state of the city gasworks, and ho thought that be, in his capacity as a pri vate citizen, would be doi!i|» a yivud stroke of business if-he could get those works. He spoke to his frieuds upon the aubjpet, and more particularly to the Jate Mr E. Strode, to whom he said* "Here is ji fine thiiirg. The City Council are very dissatisfied ttilß the gasworks1. They evidently do' iiOt understand or realise thy fact that .the,? have about the best thing in these works, it is possible for them to1 have. They charge 10s for gas. I will go in with you; and I knovv different people who will join us, and we will take ovi r these works, lease them at a percent age, give them a percentage far better than they have now, and make an immediate reduction of gas to 8s per thousand, and ngrru to continued re-

chtctions according to profits." Mr Strode re plied that he (Mr Leu Smith) \v«s mud — the thing could not bo niude to jviy on those terms; and after conferenco they agreed to make au offer us follows: W*? lease, (i per ceut. on cost, 20 per cent, oh profits j price from 10a to 9s Cd, and 7a Od to (5s 6'd; further reductions to be agreed upon as profits" row. An alternative offer was mai)« on the 7tlH

of August of 7 per cent, on cost; reduce cost of pas to 9s, and 6s Cd no percentage on prohtK,

and further reductions by sliding.'scale. That came before the council; a discussiou arose as

to the advisability of selling the gasworks, and

this motion was lost by a majority of one. If the. council bail iagreed by a majority of one to sell, hit woiilil have had his fortune in hi.s pocket. 