HL Deb 11 March 1880 vol 251 cc781-2

Order of the Day for the House to be put into Committee, read.

Moved, "That the House do now resolve itself into Committee upon the said Bill."—(The Lord Aberdare.)

LORD DENMAN moved, as an Amendment, that the House resolve itself into Committee on the Bill that day six months. The Bill was cumbrous, and he believed it would be unworkable. He believed that it was for a reduction of capital. If he was wrong, he hoped he should be set right.

Amendment moved, to leave out ("now") and add at the end of the Motion ("this day six months").—(The Lord Denman.)

THE EARL OF REDESDALE (CHAIRMAN of COMMITTEES)

wished to know what the money that was retained under the Bill was to be invested in? He thought some greater safeguard should be introduced to provide for future calls, seeing that those who chose to reduce their capital would still be shareholders with respect to more than half of it.

LORD ABERDARE

replied, that there was a provision in the Bill by which the money retained on a reduction of capital should be invested in securities at £3 per cent and not exceeding £4, and he suggested that it might be invested by trustees. He contended that under the operation of the Bill no increased danger to creditors of Companies need be apprehended by those who shared in the objections of the Chairman of Committees and the noble Lord who moved the Amendment.

LORD SELBORNE

was unable to see why a shareholder, who desired to retain his position unaltered, should have it altered by obliging him to accept interest at a fixed maximum or minimum rate, instead of receiving a dividend rateably with the other shareholders, on the full amount paid up by him, in respect of his share of capital.

THE LORD CHANCELLOR

intimated that he certainly should not oppose the Motion for going into Committee, as the Bill appeared to have the approval of high authorities in the City of London, though he had never been able to see how the end sought to be accomplished was worthy of the complicated machinery set up by the clauses.

On question, that ("now") stand part of the motion, resolved in the affirmative; House in Committee accordingly; amendments made; the Report thereof to be received on Tuesday next; and Bill to be printed as amended. (No. 35.)