STANDARD INS. WINDING-UP

Press, Volume C, Issue 29514, 16 May 1961, Page 19

STANDARD INS. WINDING-UP

N.S.W. Order Made

(N.Z. Prea Association—Copyrtph»» SYDNEY, May 15. Activities in New South Wales of the Standard Insurance Company, Ltd., of New Zealand, were wound up in the Equity Court today. Mr L. Street (for the company) obtained the winding-up order from Mr Justice Jacobs. He said the company was registered in New South Wales in 1908 as a foreign company, under the Companies Act. At present, there was a petition before the New Zealand Supreme Court for the company, which had a nominal capital of £lm paid up to £500,000, to be wound up. This was because the company was unable to pay its debts, he said.

The petition to the New Zealand Supreme Court, tendered in Court today, said a New South Wales officer of the company had issued a bond of guarantee to the International Shipping Company, Ltd., against the instructions of the company. The shipping company defaulted in payments of the secured sum. The officer had also entered into a large number of bonds of surety to a number of other New South Wales companies, which also had defulted in payment, the petition said. £lm in Claims Standard Insurance had been required to pay advances totalling more than £lm for these companies and no sums had been recovered. Officers of the company estimate that demands totalling more than £400,000 will be made on the company at the end of the present financial year, the petition continued. Demands for more than £lm will become due by the company between July this year, and November. 1965. The company is un-

able to meet these demands. The petition added that the New South Wales officer who issued the bonds concealed the fact. It was not certain yet whether all bonds issued by him had been brought to the notice of the company. Mr Justice Jacobs appointed Mr Peter Thomas Gilbert official liquidator.