IMPORTANT TO GOLD MINING COMPANIES.

Lyell Times and Central Buller Gazette, Volume V, Issue 247, 7 November 1885, Page 2

IMPORTANT TO GOLD MINING COMPANIES.

llis Honor Mr Justice Richmond gave a most important ruling in Chambers a few days ago as affecting mining interests, lhe matter was the first case in Wellington of the settlement of a list of contributories under the Gold Mining Acts. Mr Hall appeared for the liquidator of the Poneke Gold Mining Company to settle the list, whilst Mr M. Richmond attended on the part of the largest shareholder in the company, and claimed that his client had forfeited his shares by not having paid the last call, and that by virtue of section 10 of the Amending Act, 1883, he was liable only for debts or liabilities incurred prior to the forfeiture. In support of his argument, Mr Richmond cited the case of Wilberforce v. the Try-Again Company, heard by the Court of Appeal. The point raised was not identical with that raised in the case referred to, the present contention being that although proceed-, ings had been taken and iudgment ob tained within the time limited by section 54, yet as the amount of the judgment had not been paid or distrained for within 21 days from the date of judgment, the shares became forfeited. His Honor said he must be bound by that decision. The petition for winding-up the company was I presented oa the 16th March, 1885, whilst the shareholder forfeited his shares on the 26th March, 1884. He was liable to contribute to the company's debts and liabilities incurred prior to forfeiture. Under section 2*2 of the Act of 1872 the manager of a company could only be allowed three months' salary from the last meeting of the directory at which tha plant was sold, and the fact that he col-

lected a call after that dute did not prevent the company being deemed to have ceased carrying on bnsiness within the meaning of the section.