Walesby v Georgeson Bravo Corporation Ltd - [1989] 1 NZLR 708

Company law — Shareholders — Financial assistance to purchase shares — Private company provided guarantee and indemnity to support a loan to its managing director to purchase shares in the company — Whether managing director was a bona fide employee of the company — Whether guarantee and indemnity were "financial assistance" — Whether proviso in s 62(1)(c) of Companies Act applied to financial assistance provided some time after execution of contract for purchase of shares — Companies Act 1955, s 62.

Practice and procedure — Appeals to Court of Appeal — Evidence - further affidavit — Private company provided guarantee and indemnity to support a loan to its managing director to purchase shares in the company — In High Court it was held that managing director was an employee of the company and that the proviso to s 62(1)(c) of the Companies Act applied — On appeal, managing director sought leave to adduce an affidavit from himself regarding the nature of his employment with the company — Whether leave should be granted — Court of Appeal Rules 1955, r 36(3).