Court Sanctions Cut of £700,000 to £828,548
A proposed scheme of arrangement between the Pekin Syndicate, Lid, and its three classes of shareholders, involving a reduction of the capital from £1,540,000 to £828,548, was sanctioned by Mr. Justice Cross-man in the Chancery Division on June 30.
Mr. Lionel Cohen, K.C., for the company, stated that it was incorporated in March, 1897. Its concession were hundreds of miles inland in China, and in view of the troubled conditions that had prevailed, and ihe competition by companies controlled by the Chinese Government, it was not surprising that there had been an appreciable loss of capital.
No dividend had ever been paid on any of the shares, but the con tions had now improved, profits wer being made, and the objects of the reduction of capital was that the balance-sheet should reflect the true position of the company.
The reduction was being effected strictly in accordance with the rights of the share-holders; one-third of the nominal value was being written off each of the three classes of shares and 297,178 unissued Shansi shares were being cancelled.
Text read from the printed page and cleaned; old type leaves the occasional error.