IN VICTORIA.

Auckland Star, Volume LXV, Issue 205, 30 August 1934, Page 7

IN VICTORIA.

COMPANY INQUIRY. DRASTIC POWERS. Attorney-General Alleges 'Books Are Being Got Rid Of.' ACCOUNTANT'S REPORT. (United I'.A.—Electric Telegraph—Copyright) (Received 12 noon.)

SYDNEY, this day.

The Melbourne correspondent of (he "Sydney Morning Herald" reports that drastic powers to investigate the affairs of any company operating in Victoria have been conferred upon the Attorney-General by the Companics (Special Investigations) Bill, which has been passed by the Legislative Assembly.

The Attorney-General, Mr. I. Macfarian, said the measure was necessary to facilitate the examination of the affairs of certain companies, akin to those which were the subject of investigation in New Zealand, New South Wales and South Australia. He added: "Two main companies are concerned here, and an accountant has prepared a report on their activities, so far as the law allows. The South British National Trust, Ltd., is one of the companies concerned, and the gist of the report shows that the scheme outlined in its prospectus is extremely ingenious. . • "The position is that in places outside Victoria these companies are operating in an extensive fashion. In places where tho investigations are being conducted the books are being got rid of to hamper tho inquiry, and it is not improbable that some of these books will find their way to Victoria."

Referring to another company, the Commonwealth House Investments Co., Ltd., Mr. Macfarlan said clients were induced to take up bonds which were in the nature of an investment and could later be used for the purchase of a home. The company appeared to have _ lost practically the whole of its paid-up capital. His firm impression was that the company was insolvent.

In Committee an amendment providing for the prohibition of share hawking, Under penalties of six months' imprisonment or a fine of £200, was agreed to.