A PECULIAR CASE.

Lyttelton Times, Volume CI, Issue 11884, 6 May 1899, Page 5

A PECULIAR CASE.

[Peb-Ebess AasocLsnoN - .] ~ _ ' , INV iIRGARfiILL, May *5. Mr-Poynton, SJM., -dtovered along-indc* nrenfc yesterday to. a-peculiar case, - tho, Wenhu Goal Company y. Burrows arid J. W. Raymond, a daam for £BS on sfeea" allotted. At a meeting of provisional di-j rectors it was found thafc a mistake-’ had-' been made in, calculating the number' of; shares applied fQr, .and that there were 400' snort _°f the number which .were required in order to obtaan the registration of , the company. Saymond, who was present, was alleged to haste made application for that number of; shares in the name of' Burrows, _ who, he -expected, would,’ tala' them up, Burrows, being already an' appiifeuit. : Burrows, lateiy.aad before the floating of. company, repudiated the application,! and the plaintiff now sought to recover from Burrows, or, in the alternative, ■'from Ra y™® n d. found in favour of Burrows without much trouble, the application having been made without hisknowledge, and solely to enable the Com-' paw to be registered. Verbal notice of repudiation and ■ non-payment of trie application fee wore also ,in; his favour.' Raymond also told the protemonal directors before registration that Burrows had 1 repudiated, but that he had hopes that he would still take up the shares. The them secretary of the-company deposed that he had not noted- any ; applications for shares with which*there were no application! fees.; Shell were- simply a mdSy to his mind.' Burrows’s hundred cam© under that" cate-’ gory/ dtor toe, plaintiff, it was contended; that Raymond,, by an unauthorised act,'got the coanpany iregistered,' and gained - for it a legal bewas,- therefore, liable for - damages. His - Worship thought that this l was-’-haacdly an-actionable wrong,; and that Raymond could only bo, held liable if theaccept^ce-of "the-application for 'shares had been binding, but, that mot being so,: the actaon.agajnst. bam'must fail. No costs were given him, but Burrows got five guineas. The action has been watched with interest. . -