LAW REPORTS

Dominion, Volume 9, Issue 2628, 25 November 1915, Page 9

LAW REPORTS

SUPREME COURT

THE FINANCE ACT. 1915

Questions of considerable importance to banks and other financial institutions camo before His Honour Mr. Justice Chapman in the Supremo Court yesterday morning in an originating summons to which the parties were:-— The Bank of Now Zealand, plaintiff, and tho Commissioner of Stamps, defendant. Sir Jolin Fiudlay, K.C., with him Mr. J. L. Stout, appeared for the Bank of New Zealand, while the Solici-tor-General (Mr. J. W. Salmond, K.C.) appeared for the Commissioner. The proceedings were taken for the purpose of obtaining a decision upon the construction, of Section" 77 of the Finance Act, 1915. Questions submitted for tho opinion of tho Court were: (1) Whether a mortgage of land (providing for present and future advances) executed prior to November 1, 1915, is chargeable with duty in respect of advances made, under the security of such mortgage, on or after November 1, 1915? (2) Whether a debenture, creating a floating charge upon the assets of a company, is chargeable with duty as a mortgage of land - (a) where the company at the time of the issue of the debenture is tho owner of the land, or (b) where the company is not at the time of issue the owner of the land, but subsequently becomes tho owner thereof, and if so. when and how is the duty to be assessed?

In tho course of argument, it was stated that the case affected a largo class of mortgages given to merchants and brewers, whose mortgages secured advances and current accounts for goods supplied. In some cases tliese mortgages had been in existence for^yea-rs. After hearing counsel on either side, His Honour reserved decision. DECISION RESERVED. In the Supreme Court yesterday afternoon, before His Honour Mr. Justice Chapman, hearing was concluded of the case in which Christopher ,Pinnock sued Thomas Dwan ana another to recover possession of a billiard-table and sideboard, included in the furniture of the Columbia Hotel. Mr. E.'' G. Jollicoe appeared for the plaintiff, while Sir. 0. N. Becre appeared for the defondants.

Additional witnesses were, called in support of plaintiff's case, at the closo of which Mr. Beere asked that plaintiff be nonsuited in so.far as the action against the defendant Dwan was concerned, on the ground that Dwan had not intermeddled with the estate of the lato George Pinnock (formerly proprietor of tho Columbia Hotel). ,"His Honour noted the application, and, after hearing evidence for the defence and addresses of counsel, reserved decision.