Application by the official liquidators that an agreement, dated the 1st June, and made between the said liquidators on the one part and Alfred Lee Smith and James Bennie Reid of the other part, for the sale and purchase of certain debts due to the bank, and the securities for the same as in the agreement mentioned, be sanctioned; upon the grounds (a) that it will be beneficial to the bank that the agreement be sanctioned, and the sale and purchase thereby provisionally agreed to, confirmed, and given effect to; and (b) the further grounds disclosed in the affidavits sworn and filed therein; and that the costs of and incidental to the application may be costs in the winding up.

Mr Haggitt appeared for the official liquidators, Mr W. C. MacGregor for the shareholders' committee, Mr T. Young for Mr C. Fraser (of Wellington), and Mr Woodhouse for the persons named as purchasers (Messrs A. Lee Smith and J. B. Reid).

Mr Young thought that the purchasers had no locus standi.

His Honor said that had occurred to him, but there seemed to be no reason why Mr Wood-house should not sit and watch the proceedings.

Mr Young mentioned that he had certain affidavits which he had been unable to file until that morning.

His Honor said he understood that they could not have been filed earlier.