CO129-535-5 N.I. Brewer- transcript of trial and evidence 1-1-1929 - 31-12-1931 — Page 30

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Export firm which we had in mind. The Shekhi îrench opened on the 27th of March, 1928 and the Instone Trading Company was incorporated on the 21st of April, 1928. Then wo ind formed this Trading Company, we had no wish that the benefit of all our sixxxx efforts should be entirely reaped by outside shareholders who would simply come in and purchase, so before putting the alarca on Wig market we arranged for the exchange of anaces between the Instone Bank and the Instone Trading Company, which would enable us to maintain control of the atong Trading Company. The fact that Mrs. Brower was holding shares of the Company as trustee, made it natural that we should pick on these shares to exchange with the instone Trading Company, and we did that md thus were enabled to get rig of this trusteeship. Put had kirs, irewer never held a anare in the Company, it would still have been consid- ered desirable by the Myutone Dank to effect this ex- change of skares solely to keep control of the Company which we had given a start in life.

Before adjourning, you have givm evidence with ref er- ence to Xu Kur Kan'a account showing that the shar' es were taken up on or about the 16th April when the cash deposit wan paid and the loan was not taken out befor e the 10th June. I sin interested in the fact that the findings were not of even date. Will you consider that point.

(COURT ADJOUINED 1.p.m.}

(REASSEMBLED 2,15 p.m.)

Before the adjournment you were dealing with .rs frever's mar'at.

The majority of there loans ware effected on June the 10th, 1927 irrespective of the initial 5 received for them. Five per cant was payable on application and by a resolution of the Directora, another 5% was nude payable on the 10th June, 1927. Prior to June 10th. 1527 only 5% was payable. Yu Kee Man's loan wus on the 10th of June. Cu that Date twelve loans vore made and thers were five others during the month of June, 1938.

Why were the loans postponed?.

Because the people concerned were not present at the meeting on that ante. In the case of Dorothy Brewer the postponement was due because it had not been decid ed whether she should take up the shares. On the 10th of June she was not in possession of the shares.

Did she not apply?.

I cannot recall that. According to the books krs irower cater ve into the contract of the loan on the 20th June. 10% vea paid on the 21st June. The loan was delayed owing to the question of her indemnity.

I have explained how krs. Brewer got her sharcz, why the Instone raiing and the Instone Dank wished to exchange shares. I will now explain how it was done. with a desire to "kill two birds with one stone", the Instone Trading Company purchased all shares from Mt. Erower. She held $450,000.00 worth of gla

shares.

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