MEETING OF CREDITORS.

Auckland Star, Volume XXVI, Issue 6, 8 January 1895, Page 5

MEETING OF CREDITORS.

A PAEROA BANKRUPTCY.

A first meeting of . creditors of John Phillips, jun., trading as John Phillips and Son, Paeroa, waa held thia afternoon. Present: The debtor and his solicitor (Mr A. E. T." Devorej, and the following creditors V — Messrs H. C. Tewsley (Sargood . and * Company), N. Alfred Nathan (L.- LV Nathan' and Co.), Logan (Macky,; Logan and Co.), Henderson (Mbrrin and-Co.), McCorquodale (Northern Roller .Mills), Yates (A., Yates and C 0.),: Burns (j. Burns and Co.), Thos.Catter ("Jl Phillipe, sen.) and' Owen (G. •W. Owen and Co.), Mennie(Mennie and Day). Mr Russell (Russell and Campbell) was presepb on behalf of the supervisors. ■ :■' .-"■' • ';■:.' .-.<, : ' .:••

Mr Lawson, the Official Aesignee, pre-

■ A swornßfcatemenb of the bankrupt was read -by Mr Lawsori. . The bankrupt stated,., he 'joined hia father in v busi-' ness'in... 188Q ~or 1881, trading under the style,:of John Phillips and Son, and cpntiaH'ed till 30th September, 1892, when he retired from the business, withdrawing the business premises, which bankrupt agreed to lease aba weekly rental of £4. The dissolution of partnership was advertised in the Auckland Star, and "Herald." From the dissolution till April last bankrupt carried on the business under.the, old name and style. la July, 1893, bankrupt found it necessary to dispose of his branch business an Waihi and Waitekauri, his capital being insufficient to stand the strain of credit required. In April last bankrupt called a meeting of creditors, and they elected to carry on the business for six months under supervision, placing Mr Poland in charge at £4 per week.- An accounb was opened at the Bank of New Zealand in the names of John Phillips, junr., and Hugh' Poland jointly. The cheques were signed by Mr Poland and bankrupt. Thisdual management bad nob proved satisfactory, and in October bankrupt) endeavoured to have Mr Poland removed and control restored to bankrupt. Ttfis proposal the supervisors Messrs L D. Nathan and Co., Sargood,Son andEwan and' Maeky, Logan, Steen and Co. declined to entertain and on October 18th wrote requiring bankrupb to execute a formal deed of assignment, also a deed defining exactly Mr Poland's and bankrupt's positions and duties. Bankrupt waited till 30th I October for drafts of these deeds, none came, bo bankrupb notified the supervisors that he would sign oo such documents. On sth November the request was repeated and again refused. On 12th ■ November a meeting of bankrupt's creditors (of which bankrupt received no notice) was called at Messrs L. D. Nathan and Co.'a offices, and a resolution was passed calling on bankrupt to assign or file within seven days. Bankrupb declined to do either,, and on 22nd November received intimation from Messrs L. D. Nathan and Co. that they had instructed their solicitors to force him into bankruptcy. On 26bh November bankrupt came to Auckland and had been endeavouring ever since to arrange matters without filing. Bankrupb submitted the following offer to the super: . visors.—Preferential debts(ofcouree)in full. A compromise equal to-Ssi 6d in the £ on debts standing at the 28th of ifobruary in addition to 2s 6d already paid since that date, or to ■ assign • his whole estate on receipt of a clearance. > The supervisors declined both these proposals, so he had ho alternative bub to1-file. lie- TalismanSome few "years' Bince - bankrupb stAted be acquired an interest (oneeleventh of the whole) in the Talisman licensed holding, Karangahako, and during that period paid £110 in calls. In July last, bankrupb offered one.of his creditors half of his interesb for £50, bub he declined. In April lasb bankrupbioo'N' 'fered tha whole'interest, to another creditor. He also declined to. purchase. On the 7th or Bth November a half-share was sold for £70; and on November 12bh, bankrupt sold bis share bo I). Campbell for £150. On coming to Auckland, bankrupb found the supervisors very wroth ab the tra'adacbion, so he returned to town, and, bringing influence, to bear on Campbell, induced him to return the unsold share 2,780; and they now appear as an asset in the estate. ' The statement of bankrupb was read as follows r-^-Dr. : Unsecured creditors, £3,696 13s; secured creditors, £41318s Id; loss estimated value of securities, £450: total dobts, £4,110 lls Id. Cr.-t Stock in trade at Paeroa, estimated ab £1,774, book debts estimated to produce £1,500, cash in band, £100; furniture, £100; property, £1.365; total debts, £4,839. A long .discussion ensued as to the right of entry to the bankrupt's shop. Eventually the following • resolution was proposed by Mr Logan and carried, "That this meeting renounces all claim against John Phillips, sen., as a partner in the firra of John Phillips and Son"." The meeting was still proceeding when we wonb to press. . ,