OBLIGATIONS ON COMPANIES

Evening Post, Volume LXIX, Issue 88, 14 April 1905, Page 6

OBLIGATIONS ON COMPANIES

FILING- OF NECESSARY KETUUXS. CASKS BEFOUB COURT. Two cases of interest to companies doIng busiiwas in New Zealand were heardby Dr. A. M'Arthur, S.M., this morning, wlKin Lamb and Todd, Limited, and The Maori Sheep Shearing Company,. Limited, were charged at the hixUnee of the Assistant Registrar <rf Companies •wieh having failed to forward to theRegistrar of Companies a list of members. Mr. Uialou, for Todd und liuuib, saidthat tbe managing director wan at \>wsent away from tho colony, and that thu puiion left in charge wax not able to. ' make tho return, lie explained this to tbo Stump Department, wnidi gjwo him furtier notice to comply with thu Act. .Unfortunately, liouwer, the repruscntai tiwe hivd overlooked tliu wecoud notice. 'f Mr. Myera, who proßecutt'(t foi' tho '; lJt-partineut, suid thu information was << Wm under ucctiou 101 of the Companies " Act-, 1903, which wviuirwl a comp.my to ;■- iniJvfi an anuuul list and suniiKiry of certain mwttoni » pec i tied in kho section, "< ami to tilu it with the Registrar of f (vOwpiuiivH. Tho Department hml dealt , in a very lenient way with companies ' up to the present time, becauso it took I sonic littlo timo to grasp tbo meaning of a «ie,w statute He pointed out, huwj! ever, t-hat for the default umler this f aection there- was a liability to a tine- not > v exceeding £5 for every day during the „.• cootinuauce of tho default, and thut bo- \ Uk« k>, tho couipjuiy would rond#r itaaH' „' liable to a heavy fliie indeed. The De- ■; partujcnt in these cattea did not prosecute, lor fioea; it-<lesiivd to bring the section proriMßuntly before tho companies earryf mg on buKmesti in New Zealaud, and to-t inokute that this section as well m the ': other sectiuna of the statute most be com- ' pKed witoh. And if in tho future coin- • panits did not comply with the statutory prov-taious they may expeol to be' proHecutod. and not to be let off with nominal penalties whore the stututo provided for so heavy a penalty. In the present caw bin friend was prepared toUttdeEtn&tt on behalf of tho company thatthw return would bo mudo to tuo llegisti*r ami file*!' A^ith him. If tlntt waaso, he accepted Hie undertaking, and the 1 Bupartraent would be satisfied if the, company was convietwl, ordered to pay coots, and ordered to como up for sentence when called upon. But lie wished it to be emphasised that tho company would com* up for sentonce if it did not send in tho return. These observations applied not only to Wellington, but through tiro colony, becauso there had been a laxity in compliance with tho provisions throughout tho whole > colony. IBs Worship adopted counsel s* suggestion, and ordototl the defendant ' to j>ay> £3 !0s costs. Tho exulnnation offered on behalf of 4 the Shtori Sheep Shearing Company, Ltd., was that nearly all tho shareholders were out , of tho colons, and there ■ttas a difficulty in compiling the returns. . Tho representative^ however, undertook, 1 to file tho return within ten days., A conviction was entered; defendant,. as in the other cane, was ordered to como up fbr sentence wbnn culled upon,, nud-was directed to pay £3 10s cost*.