Standard Shareholders Approve Winding Up

Press, Volume C, Issue 29508, 9 May 1961, Page 14

Standard Shareholders Approve Winding Up

(From Our Own Reporter) DUNEDIN, May 8. Three hundred and fifty shareholders and proxy holders of the Standard Insurance Company, Ltd., today approved the winding up of the 86-year-old company. The meeting, held at the Otago Agricultural and Pastoral Society hall, Dunedin, was orderly although some criticism was made of the directors’ conduct of the company’s affairs in recent months. Spokesmen for the shareholders in Auckland. Wellington and Christchurch asked questions about the company’s affairs in Australia. At lease eight Christchurch men attended either as shareholders or proxy holders.

No information was given by the directors on the likelihood of a call on shares (there is a liability of 10s on each Standard Insurance share). The directors did not reply to a question on this subject.

Although pressed for a statement of the company's present liabilities and assets, the directors said no precise answer could be given at this stage. Spokesmen for the board on this issue explained that not until all the company’s assets had been realised would they know the answer to this question. If Hie company’s move to wind up the H. and S. Group of companies in Sydney succeeded, Standard Insurance would recover some of the sums paid out to H. and S. creditors by Standard Insurance, it was said. The meeting lasted a little more than two hours. It concluded after one shareholder, Mr Gerald Benson, agreed to withdraw a motion of confidence in the directors. Mr Benson agreed to withdraw the motion when it was pointed out by another shareholder ' that if the motion was defeated it would amount to a motion of no confidence. A point of order raised by

a shareholder at the meeting, was upheld by the chairman (Mr E. C. Hazlett). The meeting had just voted on a recommendation that three liquidators be appointed. The chairman called for a vote on the motion and declared it carried on voices.

Although only one or two dissentient voices were heard, Mr R. S. M. Sinclair, a Dunedin public accountant, rose to a point of order. Under the company’s articles of association, he said, a motion had to be carried by a show of hands of shareholders unless a ballot was called for when proxy holders could also vote. The chairman agreed this was correct and put the motion again, declaring it carried on a show of hands. Earlier motions had been carried on a show of hands but proxy holders as well as shareholders had voted. The first motion put to the meeting—that the press be admitted—was declared carried on voices.