Gippsland Accept. May Have To Replay On Notes

Press, Volume C, Issue 29497, 26 April 1961, Page 19

Gippsland Accept. May Have To Replay On Notes

Gippsland Acceptance, Ltd., . Victoria, may be forced to < repay £lOO,OOO of unoecured 1 notes for failinc to carry out < E the conditions at the issue. 1 - National Trtistees Executors 1 and Agency Company . of K A'aria, Ltd, trustee for the t noteholders, served a notice under seal on the cosapeny . last Tuesday concerning breaches erf the trust deed. The notice warns that unless the faults are remedied it within 30 days toe notes win • become payable. It states that Gippsland Acceptance, Ltd, and sub--5 sidiaries. had permitted liabilities to exceed six times the amount of shareholders’ B funds. e It also says that the comM pany had failed to furnish a signed auditor's certificate stating whether or not the , aggregate amount of liabil,2 ities of the company qpd its li subsidiaries was within the limits prescribed by the con2 ditions of issue of toe notes. ” Shareholders of Gippsland

Accog^ancerecentiyjufrerfto creew and issue 400,000 6s prefgßtnce shares to overcome the company’s overbOTHMFilMt nmhl»m stated at the time that toe only alternative to the MKtng of new capital was ' liquidation. A Sheeting of noteholders woidds be called as soon a* possible to discuss the situstion. the trustees said. ■ —i ...