H.S. CREDITS HOLDERS

Press, Volume CIII, Issue 30369, 19 February 1964, Page 19

H.S. CREDITS HOLDERS

Move To Oust Trustees

(N.Z. Press Assn.—Copyright)

SYDNEY, February 18. A group of debenture holders in H. and S. Credits, Ltdincluding the official liquidator. of Standard Insurance Company, Ltd. ? has requisitioned a meeting to replace the trustees. The. trustees are Messrs A. E. Mcllveen and •J. M. Nicolson.

The official liquidator of Standard Insurance is Mr P. T. Gilbert of R. A. Irish and Michelmore. He has joined with Messrs E. R. Brown and R. E. Tebbutt in requesting that the official liquidator and receiver of H. and S. Credits (Mr E. D. Spooner) call the meeting. Under the requisitioners’ proposal Messrs Brown and Tebbutt will replace the present trustees. In addition the trustees’ fees will be lowered from £4OOO a year to £5OO. Trustees' Fees In a circular to debenture holders, Messrs Brown and Tebbutt say that with a total of £262,000 debentures outstanding trustees’ fees represent £1 a year for every £65 invested. ■

In the last three years £12,000 has been paid to the trustees, amounting to £ 1 for every £22 invested by debenture holders, they say. The meeting, which will be held next Friday, will also consider repaying principal before interest.

According to a statement of affairs prepared by Mr Spooner last July, debenture holders should receive about 16s in the pound. The circular states that if outstanding interest is paid first debenture holders would receive 6s in the pound as taxable income and only 10s as principal. It is understood that Standard Insurance, which is a substantial unsecured creditor of H. and S., hold £lO,OOO in debentures.