Loan and Mercantile Company

Feilding Star, Volume XV, Issue 300, 28 April 1894, Page 2

Loan and Mercantile Company

FURTHER EXAMINATIONS. BALANCE-SHEETS ADMITTED TO BE INCORRECT. THE MANAGER ADMITS HAVING DECEIVED THE AUDITORS. [PKB PBKSS ASSOCIATION.] London, April 27. Mr Moore, continuing bis examination, said it would have been impossible to have sanctioned the earlier balancesheets had he been in possession of full information, as obtained iv 1893. The unproductive capital iv 1891 stood at a million sterling, and he admitted that the balance-sheet of 1892 was not a fair statement. Mr Paul stated that the increased losses on Australian property were due to rabbit-fencing and other improve* ments, and not to non-payment of interest. Mr Moore, he said, was not aware of deficits. Mr Peat, auditor of the Now Zealand Loan and Mercantile Agency Company, in the course of his examination, admitted that the balance sheets issued iv 1891 and 1892 were incorrect, and said the system regarding many of tho accounts was not right and proper. Mr Paul, the London manager of the Company, recalled, denied many of these statements, but admitted that he had deceived the auditors respecting the directors' approval of the form of balance sheets. Judge Williams has postponed leave to register the new Loan aud Mercantile Company iv order that the trustees for the prior lien may approve of the Articles of Association.