XN000022-1985-07-24 — Page 33

WEDNESDAY, JULY 24, 1985

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* INSOLVENCY RATE STILL RISING*

***

A TOTAL OF 2 096 INSOLVENCIES WAS BEING HANDLED BY THE OFFICIAL RECEIVER'S OFFICE BY THE END OF JUNE THIS YEAR, ACCORDING TO STATISTICS RELEASED TODAY BY THE REGISTRAR GENERAL'S DEPARTMENT, FOR THE FIRST SIX MONTHS OF THIS YEAR,

THESE INVOLVED 1 294 COMPANY LIQUIDATIONS AND 802 PERSONAL BANKRUPTCIES, AN INCREASE OF 37 PER CENT OVER THE FIGURES AT THE END OF JUNE LAST YEAR, WHEN THERE WERE 1 530 INSOLVENCIES COMPANY LIQUIDATIONS AND 525 PERSONAL BANKRUPTCIES.

1 005

IN THE FIRST HALF OF THIS YEAR, THE OFFICIAL RECEIVER WAS ALSO APPOINTED LIQUIDATOR IN 189 NEW COMPANY LIQUIDATIONS AND TRUSTEE

IN 208 NEW PERSONAL BANKRUPTCIES.

THIS REPRESENTED A COMBINED INCREASE OF 69.7 PER CENT IN THE NUMBER OF NEW INSOLVENCIES OVER THE SAME PERIOD LAST YEAR, WHICH SAW 155 NEW COMPANY LIQUIDATIONS AND 79 NEW PERSONAL BANKRUPTCIES.

THE OVERALL INCREASE, THEREFORE, WAS ATTRIBUTABLE MAINLY TO A SHARP INCREASE IN THE NUMBER OF PERSONAL BANKRUPTCIES.

BY COMPARISON THERE WAS A 8.8 PER CENT INCREASE IN THE NUMBER OF NEW INSOLVENCIES IN THE FIRST HALF OF 1984 OVER THE SAME PERIOD IN 1983.

+ IT COULD BE SEEN, THEREFORE, THAT THE RATE OF NEW INSOLVENCIES WAS STILL INCREASING, THE REGISTRAR GENERAL, MR NOEL GLEESON, SAID.

FUNDS HELD BY THE OFFICIAL RECEIVER AT THE END OF JUNE THIS YEAR TOTALLED $678 MILLION, AN INCREASE OF OVER 105 PER CENT AS AGAINST $329 MILLION AT THE END OF JUNE LAST YEAR.

TOTAL DIVIDENDS PAID BY THE OFFICIAL RECEIVER DURING THE FIRST SIX MONTHS IN 1985 AMOUNTED TO $11.2 MILLION IN 77 INSOLVENCIES, AS AGAINST $5.2 MILLION IN 55 INSOLVENCIES IN THE SAME PERIOD IN 1984.

NOTABLE COMPANY FAILURES DURING THE FIRST SIX MONTHS OF THIS YEAR INCLUDED THE TIME PROCESSOR HOLDING LIMITED- THE CMF GROUP OF COMPANIES- PIONEER INTERNATIONAL BUYING AGENCIES (HK) LIMITED AND DOMINICAN FINANCE LIMITED.

MR GLEESON PRAISED THE PROFESSIONAL AND OTHER STAFF OF THE OFFICIAL RECEIVER'S OFFICE WHO WERE COPING +AS BEST THEY COULD WITH A VERY DIFFICULT SITUATION+.

STAFF HAD BEEN REDEPLOYED FROM OTHER DIVISIONS OF THE DEPARTMENT BUT THIS FELL FAR SHORT OF WHAT WAS REQUIRED TO DEAL WITH THE PRESENT VOLUME OF INSOLVENCIES, HE SAID.

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