MARCONI SHAREHOLDERS

Evening Star, Issue 19710, 10 November 1927, Page 4

MARCONI SHAREHOLDERS

OPPOSITION TO CAPITAL REDUCTION HEATED SCENE IN COURT, Prow Association—By Telegraph—Copyright LONDON, November 8. There was a heated _scene in the High Court when a section of the Mardoni shareholders followed up their decision and opposed the petition to reduce the capital to £1,(325,000. Incidentally, they accused Mr Marconi of speculating in the company’s shares to the extent of 150,000 ordinary and 38,000 preference shares. Mr Marconi’s counsel pointed out that Mr Marconi was seriously ill, and it was impossible for him to appear to answer the charge of fraud, but he filed an affidavit denying the charge, and other directors would give evidence fully on the matter. The hearing was adjourned. [The Marconi Board recommended the reduction of the capital by 10s pcishare, the capital to be increased later to £4,000,000 by the issue of 3,250,000 shares of 10s each. The report of the Nordou Committee stated that Sir Gilbert Garnsey’s investigations revealed that largo sums were lost in foreign bank shares, timber forests, a State quarry, and carbon syndicates, all of which were outside the company’s general objects. A turbulent meeting of shareholders was held in London to consider the reorganisation scheme, and it was decided to oppose it.]