MEETING OF CREDITORS.

Auckland Star, Volume XL, Issue 137, 10 June 1909, Page 3

MEETING OF CREDITORS.

TE KUITI BA2STB3RUPTCY.

An adjourned meeting of creditors in the bankrupt estate of Mordaunt and Bailey, builders, of Te Kuiti, -was held in the Official Assignee's office this morning. A report prepared by Mr. Wallace Bruce, accountant, on the state of "bankrupts' affairs, was submitted to the meeting. Mr. Bruce said he had tried as far as possible to ascertain -what the firm's income was, and analysed with, the object of trying to account for the moneys receivable. It was absolutely impossible to tell accurately what money was payable on account of sales and contracts, as there were no records of dates of payments. The accounts showed that actually £10,000 had been banked as per statement, but whether any moneys were receivable and not banked it was impossible to say. At the meeting he explained that the books were such that il a contract were not charged up in the ledger, and the cash received for it not paid into their account at the bank, no trace of it would be apparent. Also, money might have been received and not banked, and unless it was charged in the ledger it could not be discovered. In the same way a large amount oi stock might have been sold and the money used privately, without any record of it appearing in the books. Mr. Bruce made out that the total receipts of the firm were £13,116, and the expenditure he divided under the following heads:—Purchases and sub-contracts, £7689; expenditure on plant (estimated), £1250; wages, £3285; Mordaunt's drawings, £303; Bailey'e drawings, £120; interest, £120; legal, architects', and other expenses, £415.

Bankrupts Mordaunt and Bailey were examined at length by. the assignee and the creditors as to certain transaction* about which the account books did not disclose all particulars.