TRUST COMPANIES

Dominion, Volume 28, Issue 167, 11 April 1935, Page 7

TRUST COMPANIES

Liquidation Bill Passed in New South Wales ONE CLAUSE POSTPONED (Received April 11, 12.55 a.tn.) Sydney, April 10. Tlie Legislative Council passed the Trust Companies Liquidation Bill after postponing the clause providing for disqualification of five persons for 10 years from acting as directors of certain companies which were subject to the recent Royal Commission. Dr. F. Louat, barrister, addressed the House on behalf of a section of the de-benture-holders in the Southern British National Trust, Ltd., which is to be liquidated. He asked for.the right to carry on and to be given control of assets. He said the ballot had revealed that debenture-holders were opposed to control by the Public Trustee. He added that tlie assets of the Trust ranged from 16/6 in tlie pound to 19/1 according to the valuation of the Trust Building. Mi. 11. E. Manning, Attorney-Gener-al. said lie was staggered by some of I lie arguments of Dr. Louat. The Royal Commissioner had unequivocally denounced the plan of reconstruction, which was inspired by Mr. McArthur. Moreover, expert opinion favoured iiquidataior while the debenture-holders represented by Dr. Louat comprised only one-third ■ of the people concerned. Mr. Manning emphasised that as there would be proceedings before the Courts, with respect to liquidation, the Government regarded it wise to allow the clause about the disqualification of certain persons to remain over until after the liquidation