A FARMER'S BANKRUPTCY.

Auckland Star, Volume LIV, Issue 129, 1 June 1923, Page 6

A FARMER'S BANKRUPTCY.

j ONE UNSECURED CREDITOR

A PECULIAR CASE.

Some unusual facts were disclosed at a meeting of the creditors of John Fersmson Beck, farmer, of Okauia, whieu was" held yesterday afternoon at the Official Assignee's office. The bankrupt was examined at considerable length by Mr. J. T. Fleming, who represented the petitioning creditor. The bankrupt wa* represented by Mr. G. G. Bell. The Official Assignee (Mr. w. S. Fisher) read tho debtor's schedule, already published. A peculiar point wa* that Mr. Beck had only one unsecured creditor for £6, calls due on some shares. The reet of the indebtedness was secured, and' totalled £8006 17/6, for which the security given was estimated by the debtor to be worth £2500. The bankrupt had no assets. In answer to Mr. Fleming, the bankrupt said he was married 25 years ago, and hia wife then had £300, which he borrowed a rear afterwards. Hia wile had not banked the £300 during the year. She kept it in a bag at home. Mr. Beck 6aid at first he was farming i" Southland, and was fairly successful. He did not give his wife any security for the £300. At one time foe was in funds to the extent of £1319 4/2. That wa» in July, 1914. He wae in a sound position when he bought the farm at Okauia Throe or four months afterwards he knew he had paid too much for the farm. His wife and eon purchased a farm at Okauia, on -which bankrupt paid the deposit of £550. That was in repayment of the money he had borrowed from hie wife, and wages due tt> his son. Air. Fleming: Was it not that you saw you could not "make a do" of your own farm, which caused you to get the otheT place for your wife and eon? Bankrupt: No! It was the slump that got mc under, and I aleo had an unfortunate deal in sheep. In answer to further questions, bankrupt stated he promised his son wages for assisting him on the farm. That waa the reason he paid the deposit on the other farm. He thought it was timp his wife got her £300 back, and also that his son got his wages. His cows were cold by public auction, and bought by his eon. The accounts were put in, and showed the prices ranged from 33/ to 52/ eacii. Bankrupt also stated that he gave hia wife a 70-gallori separator. Mr. Fleming said he thought he was justified in asking that there should be a public examination under section 92 o* the Act, either before the Official Aoeigr.ee or a Stipendiary Magistrate. Mr. Bell said if that was to be don« he would suggest it be held at Matamata, as his client had no money to come to Auckland with. Mr. Fleming said he was quite agTecable to the examination being at Matainata. Mr. Bell said bis client's caec wae one of sheer bad luck. In 1921, when lie owed no interest on the farm at Okauia, he asked to be relieved of the property by tihe mortgagees, but never got an answer, and now he had been forced into the Bankruptcy Court. It was decided that counsel should consult, and communicate with the Assignee as to holding the public examination asked for by Mr. Fleming.