COMPANY'S DEBT.

Press, Volume LXII, Issue 18636, 10 March 1926, Page 6

COMPANY'S DEBT.

PETITION TO WIND UP, SUPREME COURT ACTION, A petition to wind up Cygnet, Ltd., iras brought before bis Honour Mr Justice Sim in the Supreme Court yesterday. The petition purported to .be made by J. J- Niven and Co., a creditor, represented by Mr W. J. Hunter. Mr J. H. Uphani, with him Mr R. lwyncham, appeared for Cygnet, Ltd. In a preliminary objection to the petition, Mr Upham said that it contained no description of the petitioner, or of the petitioner's residence, .and purported to be made by an "ndividual, not by the company supposed to be petitioning. It was Bigned by Mr Cooper, manager for Niven and Co., but no authority was set out for his acting for Niven and Co. It was not in accordance with the rules of the Court. There was nothing to show that it was Niven and Co.'s petition, or that Mr Cooper had authority from Niven and Co. to present the petition . Authority to Sign. Mr Hunter said that Mr Cooper- described himself as the listiict manager for J. J. Niven .vnd Co. The company had sued Cygnet, Ltd., and obtained judgment. Evidence whs given by Mr Cooper in that action. On the merits. Cygnet, Ltd., was in no way injured. The reason why there was no seal to the petition was that the company had its headquarters in Wellington, and the solicitors were unable to secure the directors to affix their signatures. The need not be signed at all, but it was signed. The question of Mr Cooper's authority to sign could not be raised. His Honour observed that the district manager had no authority to present a petition to wind up another company. No one had sworn th:it the directors authorised the proceed ings. Extensive Repairs to Ship. Mr Hunter said that Cygnet", Ltd.. had two directors, and was incorporated in 1922. The director in 1925 gave J. J. Niven and Co., the petitioning creditor, instructions to effect repairs to s.s. Cygnet, at a cost of £1354. This was done and Cygnet, Ltd., did not pay. Cygnet, Ltd., were unable to pay the debt and it was just and equitable that the company should be wound up. The Court adjourned until 10 o'clock this morning in order that evidence to the effect that Mr Cooper bad authority to present the petition could rbo secured.