The news magazine of the South Pacific · since 1930

Pacific Islands Monthly, 23 June 1932Vol. II, No. 11

A Litigious Tangle.

p. 40 · Read in the full issue

THE Port Komilly sawmill case still occupies the attention of the Central Court, Papua.

Application was made by the Company on February 5 for an injunction restraining the liquidator from completing the sale of the Com pany’s sawmill for a sum which creditors and shareholders considered far below its value. At the resulting trial certain creditors and share holders asked the court for a declaratory order that A. S. Fitch was never properly appointed liquidator; alternatively for his removal and an order for complete accounts as between him and the Company. Judgment was given on April 29 in favour of the plaintiffs, whose costs were ordered to be paid by the Company.

Since that date an application has been made to the Court by A. S>. Fitch and others for the compulsory winding-up of the Company; and a counter-application by the Company, supported by a number of shareholders and creditors, for a winding-up under supervision. These appli cations, after three postponements, are at pre sent set down for hearing on June 17.

There has also been an action by Fitch in the Small Debts Court for immediate payment of a sum due for native wages. A verdict was given for the plaintiff, and the case is to be further considered in the Central Court.

Writs .were issued at the instance of a former employee of the Company, demanding specific performance by the Company of an agreement between him and the liquidator regard. A g tne sale of the sawmill, and for payment to him of- wages accrued but not paid during the liquidator’s term of office. The Company admit his right to claim for wages in the liquidation, but resist his demand for specific performance on five separate grounds. Judgment in these two cases is to be given on June 17.

Application has also been made to the Court by the Port Romilly Co. for a summons calling Fitch to submit to a private examination on a matter of accounts as between him and the Company. The granting of the summons is held up pending the decision of other cases.

Mr. J. P. Guinane, of Townsville, is acting for Captain Fitch, and Mr. R. D. Bertie, of Port Moresby, for the Romilly Co.