HOTEL PROFITS

New Zealand Herald, Volume LXXIII, Issue 22584, 24 November 1936, Page 12

HOTEL PROFITS

PETITION FOR ACCOUNTS ESTATE WORTH £IOO,OOO BENEFICIARIES' CLAIM SUPREME COURT ACTION A petition for an order directing; that accounts be taken of the Thistle Hotel, Auckland, was brought in the Supreme Court yesterday beforo Mr. Justice Smith by Patrick Anthony Keneal.v, of To Puke, and Margarite .Marie Kenealv against Joseph (.Yoke Darby, a retired Homan Catholic priest, and Robert Maekay, a bookkeeper. The action arose iroiu the terms of a family settlement between the beneficiaries in the estate ot the late Patrick Darby. Mr. Prendcrgast appeared for defendants and Mr. Cooncy for plaintiffs. .Mr. Cooncy stated that Patrick Darby died in 1910 and originally the trustees were the present defendant, Joseph Crokc Darby, and two other sons. The estate was worth about £IOO,OOO. The trustees administered the estate until 1926, when a division was made between the beneficiaries, Avlio included plaintiffs, children of Mrs. P. Keneal.v, a daughter of testator. Hotel Property Allocated Under the partition the Thistle Hotel property was allocated to John Croke Darby, Bernard F. Darby, Mrs. Margaret Maekay, and the family of Mrs. P. Keneal.v, which included the two plaintiffs. Other portions were allocated to other members of the family. The supervision of the management of the. hotel was left to Joseph Croke Darb.v, who had acted in this capacity until the present 'time. In 1920 the trustees purchased a property for the Keneal.v family for £25 00,- giving a mortgage for that amount to the vendor. The defendants, said Mr. Cooney, had distributed the alleged profits from the hotel from time to time, but the plaintiffs complained that they had never been rendered proper accounts and had been lett in the dark about the earnings of the hotel. The Keneal.v family now desired the hotel to be sold. They claimed they did not understand the position when the partition took place nor did they understand the position before. One balance-sheet had been given recently. Papers Open to Inspection Here Mr. Prendergast interposed to tell the Court that all profits from the hotel had been distributed from time to time, the books had been kept by a competent book-keeper and the.v had been regularly audited. The books, vouchers and other papers were open to inspection by the plaintiffs at any time thev wished.

His Honor said he thought nothing could be gained by going on with the case now the matter had been clarified and the plaintiffs could inspect the books. If they were not satisfied the matter could be brought on again. The hearing was adjourned sine die.