UNPAID SHARE MONEY.

New Zealand Herald, Volume LXV, Issue 20115, 28 November 1928, Page 13

UNPAID SHARE MONEY.

CLAIM FOR RECOVERY FAILS

PROCEEDINGS AT WHANGAREI [BY TELEGRAPH.— OWN CORRESPONDENT.J WHAXGAREI, Tuesday.

Reserved judgment was given by Mr. J. 11. Luxford, S.M., in the Whangarei Court to-day, in an action taken to recover £25, being the balance alleged to be owing by John Boyd on 50 shares owned by him in the share capital of the Whangarei Daily News, Printers and Publishers, Limited. The magistrate said the action was commenced by William Lawi:ence Dotiohue as liquidator, but this was wrong. The liquidator must sue in the name of the company, not his own. As it was ascertained that Donohue was also receiver for the debenture-holders, the case was allowed to proceed. In tho magistrate's opinion the company was not in liquidation, as the directors had not given notice of the extraordinary resolution in accordance with the company's articles of association. Regarding the second call, the omission to name the person to whom it was payable was fatal to its validity. No power was given directors to crcato special groups of shares with different conditions attaching to each. It was wrong to make a call on some members without making a similar call on the others. The Bench found that there was no liability at present on defendant to pay the unpaid monevs in respect of his sliarcs, Plaintiff was non-suij.ed, -with costs £3