PETITION DISMISSED

Otago Daily Times, Issue 22100, 2 November 1933, Page 2

PETITION DISMISSED

THE SNOWDRIFT LIME COMPANY The petition brought by John Chambers and Son, Ltd., for the winding up of the Snowdrift Lime Company, Ltd., was dismissed by Mr Justice Kennedy in the Supreme Court yesterday morning at the request of Mr A. G. Neill, who appeared with Mr G. M. Lloyd for the petitioner. Mr Neill stated that in compliance with the order previously made by the court a meeting of the creditors of the company had been called. The petitioner had thought it advisable to place before the meeting the consequences that would follow the making of an order by the court. It had been pointed out that as the receiver for the debenture-holders was in possession of all the assets there would be no funds available either for the company’s liquidator or even the officer of the court if the company were wound up by the court, and that someone would have to find a sufficient sum to pay the expenses entailed. It had been a fortuitous circumstance that the meeting had been held, because Mr C. A. Shicl, one of the debenture holders, had offered to pay the creditors so much in the £l. This offer had been put before the creditors, and they had agreed to accept it. No question of costs arose.. He, therefore, asked that he should be allowed to withdraw the petition on the condition that the sum of £lO lodged by order of the court to cover the disbursements and services of the liquidator be paid to the liquidator. Mr F. C. Dawson, who appeared for C. A. Shiel and W. J.' Shiel, objecting creditors, agreed to the suggested course, stating that the offer of Mr C. A. Shiel had been made out of his desire to treat the creditors fairly. Counsel was satisfied that every known ordinary creditor would benefit from the offer made, in spite of the huge loss which he and his brother had suffered by Mr C. A. Shiel. His Honor dismissed the petition and made an order that the sum of £lO lodged with the registrar be paid to the liquidator.