Dept. To Obtain Report On Korman

Press, Volume CVI, Issue 31081, 9 June 1966, Page 3

Dept. To Obtain Report On Korman

(New Zealand Press Association -) WELLINGTON, June 8. The Justice Department had applied to the Supreme Court for an investigation of Stanley Korman’s activities in New Zealand, the Minister of Justice (Mr Hanan) i said in Parliament tonight.

The application was made under sub-section 169 of the Companies Act, 1955, which gives the Court power to appoint one or more inspectors to investigate the affairs of a company.

Mr Hanan said he had received a letter from the AttorneyGeneral for Victoria enclosing an interim report of an investigation there. “On a preliminary study of the interim report by me and the Solicitor-General it is clear that the matter warrants close investigation,” said Mr Hanan. After reading a newspaper article about the commissioner’s report on Mr Kor-l man's activities in Australia; he had asked the Crown Law!

Office to make an investigation. A search was made of the companies office. At the time the transactions in question took place | the law did not require the filing of information on takeovers. “Accordingly there is not a great deal of information ; concerning transactions between the companies concerned in the records of the Companies Office,” Mr Hanan said. Mr H. R. Lapwood (Govt., Rotorua) had asked Mr Hanan if any legal action would be necessary in regard to Mr Korman’s activities and in

a supplementary question, Dr. A. M. Finlay (Opp., Waitakere) had asked what type of investigation Mr Hanan in mind. Holeproof Industries of New Zealand, Ltd., is owned by Factors, Ltd., of Melbourne, of which Mr Korman is president.