COMPANIES ACT LOOP HOLIES
• Another lawyer to stress the urgency for some Teform of the Company Law Act as it operated in New Zealand, was Mr. J. Hogben, who recently addressed members >of the Auckland Creditmen's Club (reports'tho "Auckland' Star"). The speaker illustrated < the loopholes in the Act by describing' the methods of three, of the more "famous" men in that particular direction. They were Whitaker Wright, Horatio Bottomley, and ..Gerrard Lee Bevan. The first two formed holding companies, and played with the Companies Act as far as it allowed them. They, did things for which under the Companies Act they could not be prosecuted. Eventually they fell. Wright committed suicide, and the story of Bottomley was still freshly romantic. The third man formed an insurance company, and "branched out," from that. He also fell. The speaker said that-revision of the Companies Act had been promised for five years. The public should bo protected from .the rogue who carried on his roguery under the protection of the Act. Directors should' be made to undertake their full responsibilities, and, finally, shareholders should be given full particulars as to the business of a company in which ■their money was invested.
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Bibliographic details
Evening Post, Volume CXV, Issue 64, 17 March 1933, Page 14
Word Count
198COMPANIES ACT LOOP HOLIES Evening Post, Volume CXV, Issue 64, 17 March 1933, Page 14
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