P.24
P.23
129
In spite of this it was included in Capital in Ex.D, both in
liabilities and in uncalled capital. Nothing had ever been
paid on these shares. I have here N.I.B.12 Ex. J application
forms for these shares, dates are all between July & September
1927, none of them have percentage filled in. In Norombec
1927 evidently these were regarded as doubtful.
Khong Hoi
Tin, according to footnote on f.49 Ex. L owed $550,000. Books
also show that 1,000 of his shares to nominal value of
$100,000 were forfeited and were transferred to Allotment
Suspense Account.
as due from him. These 1000 shares appear to have been
forfeited on 30.4.28 according to Ex.M. I don't romember if
this man was a director. So despite fact that his shares had
be en forfeited they were included in share capital and the
uncalled portion of them in assets side. It never was a debt
to Co. and so never was an aanet. It must have been known
to those who prepared the balance sheet as something which
could not have been realised.
This $100,000 forms part of $550,000 shown
Accounts Receivable $221,560.67 includes 10 of unalloted
capital $1,133,000 $113,300. That never was an asset to
Co. That entry is absolutely false as to $113,300.
-
Item Collateral Security Loans (Short Term & at call)
$349,630.
So far as I have be able to find there is no collateral
security. 1 see a number of loan forms similar to Ex.I and
some promissory notes. In all, these here total $205,500.
According to books loans originally granted to shareholders
total $761,100 including $432,000 to Mrs. Brewer and at time
of balance sheet had been reduced to $549,630 I found no
collateral security at all, merely forms similar to Ex.I and
a few promissory notes. Statement in balance sheet that was
collateral security to this amount is absolutely false.