VERDICT FOR 1/-

Hawke's Bay Tribune, Volume XXI, Issue 279, 9 November 1931, Page 9

VERDICT FOR 1/-

CLAIM BY BROKERS FLOTATION OF BANKING CO. , Sydney, November 6. The hearing has concluded of the action by Australian Brokerage Ltd. against the Australian and New Zealand Banking Corporation. A series of questions was put to the jury, who found in favour of the defendants on the allegation of fraudulent misrepresentation and for the plaintiff on the cause of action for breach of warranty under the contract. They found that there had been no loss of profit to the plaintiff company owing to th e recission of the agreement with the defendant bank. The jury assessed the loss in expenditure to the plaintiff company on preparing to carry out ‘.he agreement with the bank at £2500. Mr Justice Stephen entered the following verdict: “A verdict is entered for plaintiffs for 1/-, such entry, by consent, to be taken as being formally returned by the jury under my direction.” •

The charges of breach of warrants and fraud were based upon statements in the defendant company’s prospectus dated June 30, 1930, the plaintiff company having contracted last year to be th. sole broker of the defendant company in Australia, with rights to sell or underwrite shares at par to the extent of £2,000.000. the capital of the defendant company.