POOR PROSPECTUSES.

Hawke's Bay Tribune, Volume XIV, Issue 277, 3 November 1924, Page 5

POOR PROSPECTUSES.

LONDON “TIMES” COMMENT. ADVICE TO BORROWERS. London, ot. 23. Calling attention to what he describes as the growing tendency of colonial borrowers to provide less and less information in their prospectuses, the city editor of the “Tinies” says that there are origin; exceptions, but the general rule is either to give no information at all or to give the minimum amount, which tells the investor really a s little.as possible. Mentioning particularly the case of a recent Queensland prospectus, he says: “It is not a wise practice which has been growing up among colonial borrowers. It is contrary to the best interests of the borrower, as well as of the lender, that prospectuses should omit all information regarding the the finances o§ the former. It is very unbusinesslike, and the suppression of information is not only a bad example to set borrowers less distinguished and less privileged than the Dominions or the colonies, but it must inevitably lead investors to discriminate between those borrowers who give full information and those who do not.”