Thursday, before his Honour Judge Skinner Turner, Mr. Lipson Ward submitted a motion on behalf of Edward Ezra, Edgar Burrows and Russell Bassett, directors of China Motors Ld., for leave to extend by seven days the period for filing with the registrar of companies a return of allotment of shares dated March 11, 1921. Applicants had inadvertently omitted to do this in compliance with section 90 (1) of the Companies' Ordinance, 1911.
In submitting the application, Mr. Ward mentioned that the penalty for commission to carry out the terms of the Ordinance is a fine of $500 for each day of default.
His Lordship:—Are all the} directors liable for this?
Mr. Ward:—Yes. Continuing, counsel read an affidavit by Mr. Russell Bassett explaining the default, and stated that directly the; matter was brought to the notice of the acting secretary he at once communicated with the registrar of companies.
Mr. A. G. Mossop, acting Crown Advocate, said the Registrar of Companies had no knowledge of the facts being other than as stated, and he. did not oppose the appliation.~ The Registrar hoped that the publicity given to these proceedings would ensure compliance with the-Ordinance in future. There were many cases of irregularity and delay and China companies should. pay more attention to the provision of the ordinance than they did at present, that the publicity given to This His Lordship said he had hoped
malter two years ago would have had the desired effect. He had had two similar applications recently, and perhaps it was as well that attention should be called to the fact that heavy penalties were provided for in the Ordinance if directors and officers of companies did not fulfil the conditions therein laid down. He was quite satisfied, however, that in this instance the omission was duo to inadvertence, and he would grant the application, applicants to pay costs. He hoped that secretaries of companies would take note to what was required of them in this connexion.
Text read from the printed page and cleaned; old type leaves the occasional error.