CONSPIRACY ALLEGED

Wairarapa Daily Times, 16 September 1936, Page 6

CONSPIRACY ALLEGED

COMPANIES INVOLVED.

AUCKLAND LEGAL ACTION

AUCKLAND,, Tuesday.

A legal action expected to last for several days and involving companies associated Avith Mr J. W. S. McArthur commenced in the Supreme Court today. Plaintiffs are Thomas Henry Darvson and Leonard Knight as trustees for the debenture-holders of New Zealand RedAvood Forests, Limited, and they arc joined as plaintiffs by T. E. Jones, of Dargaville, one of the debenture-holders. Defendants . are Sterling Investments Company (New Zealand), Limited, in liquidation,. Wynwood Investments, Limited, and the National Investment Company of Queensland Proprietary, Limited. The action Avas brought by plaintiffs for the purpose of having declared :nA r alid a mortgage of £7500 which wa3 given in April, 1931, by Noav Zealand RedAvood Forests, Limited, to Kotalii Lands, Limited, and on subsequent dates was transferred to various ether companies. Plaintiffs alleged there Avas a conspiracy betAveen defendants to defeat and delay the rights of the debenture-holders of the Redwood Company. They claimed to be able to shoAV these companies Avere members of a group controlled by J. W. S. McArthur and that although in the case of some of them McArthur Avas not actually a director, nevertheless tho companies concerned acted in accordance Avith his Avishes and under his direction and control.

Counsel’s opening was not completed when the court adjourned.—(P.A.)