Foreclosure of Mortgage Judgement for plaintiffs was given by Magistrate Tsang and Capt. R. Ferrajolo (Italian Assessor) at the Mixed Court on Monday in the action between Messrs. Burkhardt Amidani & Ca. and the New World Ca. The former claimed the right to sell at public auction securities they alleged to be holding under a mortgage deedj registered at the Italian Consulate. The directors of the New Work, supported by the Tobacco Products Corporation (who claimed to be the assignees of a claim of a certain Loh against the defendants) did not oppose the application for sale in itself. Defendants did, however, request additional notice, and sale after the Chinese New Year, The Bench found:—
_(a) That the plaintiffs are entitled according to the mortgage deed to foreclose the mortgage whenever its covenants are broken and that they are then at liberty to sell at auction whenever they desire; (b) That the plaintiffs being the mortgagees in possession are secured creditors and og such entitled to sell without interference by the official receiver; (c) That a reserved price may be fixed by defendants for the sale of the property which involves a considerable amount of money.
Therefore, plaintiffs are authorize ed to sell by public auction the whole business and property of the New World Ca. which they held, provided the mortgage is not. redeemed in the meanwhile. A reserved price may be fixed by the defendants on the condition that a sum of Tls. 1,000 be deposited in Court by the directors of the defendant company within seven days from the date hereof as security to cover the extra expenses which may have to be incurred should the auction with a reserved price result in_failure.
If the first attempt to sell should result in failure, another reserve price may be fixed for the second and last time, provided that another sum of Tls. 1,000 be deposited in Court within seven days from the first auction as security to cover the expenses, should the second attempt to sell result in failure.
Whenever if the said directors of the defendant company should fail to put up within the times as above prescribed the cash securities for either the first or second auc-referred to, or should the result in failure, plaintiffs shall proceed with the auction. without any other limit of price.
Messrs. Musso & Fischer were for plaintiffs and Messrs. Teesdale, Godfrey and Newman represented the defendants.
Text read from the printed page and cleaned; old type leaves the occasional error.