Article image
Article image
Article image
Article image

SUSPENSION PENDING RECONSTRUCTION.

, (Peb Pbess Association.) London, July 10. Owing to the bank ocisis in Australia, the New Zealand Loan and Mercantile Agency Company (Limited) have suspended payment, pending reconstruction. July 11. It has been known for a fortnight that the New Zealand Loan and Mercantile Agency Company was embarrassed by the bank failures in Australia. The directors met daily, and were hopeful of surmounting the difficulties until yesterday, when they found they would be unable to carry through certain financial arrangements with Australian banks. The Standard says the suspension comes as a shock to those who thought New Zealand would escape scot free. The directors state that a scheme for re-formation will shortly be devised. It would be foolish to wind up so profitable a concern, especially as only half a million is needed to carry on. This amount will probably be obtained by a call, or by issuing preferential shaie3. A large sum has teen locked up in sheep walks, though not much was invested in this direction latterly. Owing to the bank crisis the facilities for financing were cut off, and the company were,'unable to rapidly realise securities. It has also found it impossible to discount London acceptances on the suspend el banks.

This article text was automatically generated and may include errors. View the full page to see article in its original form.
Permanent link to this item

https://paperspast.natlib.govt.nz/newspapers/OW18930713.2.33.1

Bibliographic details

Otago Witness, Issue 2055, 13 July 1893, Page 12

Word Count
206

SUSPENSION PENDING RECONSTRUCTION. Otago Witness, Issue 2055, 13 July 1893, Page 12

SUSPENSION PENDING RECONSTRUCTION. Otago Witness, Issue 2055, 13 July 1893, Page 12