MAGON BANKRUPTCY.

Auckland Star, Volume LIX, Issue 123, 26 May 1928, Page 16

MAGON BANKRUPTCY.

motor service fails.

CRITICISED BY CREDITORS.

DISCHARGE TO BE OPPOSED.

'"In view of the conduct of bankrupt in not affording creditors every assistance tliev had a riyht to expcct, and in view of the fact that he has proved himself an irresponsible muddler in business, creditors request the Oflicial Assignee to take such steps as he considers necessary and to oppose bankrupt's disvha rgp." This wns the text of a resolution passed yesterday afternoon at the adjourned meeting' of creditors in the bankrupt estate of Albert Edward Magon, motor service proprietor, of Tc Kuifi. Bankrupt., who had failed to put in an Appearance at the time scheduled for his meeting in 11n; morning, was present, (le said he did not know he should have attended in the morning. Under cross-examination by the District Official Assignee at Hamilton (Mr. J. IT. Robertson), he said that a sum of CIOOO not shown in his schedule, was iiwing to his brother for the purchase of two vehicles. Bankrupt denied having /eceived money owins; to him since his business had been administered by the creditors' trustees. He. admitted, however, that he had been given £23 in cash hv the slationmaster at Te Kuiti. He tsli 11 had that amount. The Assiguee: Unless that pa. ticular n mount is in my hands within 48 hours, the matter will be placed in the hands of my solicitor, and possibly the police. Bankrupt admitted that he had little or 110 business experience. Further ques--1 ioncd, bankrupt said the garage at *Te Kuiti cost between £2000 and £;5000. The Assignee: Of course, a mere CIOOO was of no difference to you. You seem to have a very hazy idea about your affairs. You did not bother to go into your affairs every year to see whether you were solvent or not? No, I did not. T suppose the position was that you were simply muddling along?— That is what I have done. Bankrupt admitted that when he exiended his services he did not have much supervision over his drivers. It may have been that he did not see them more than once a week. The Assignee: This is an .astounding state of affairs. Would it surprise you j to know that one driver in your employ 1 told me he had not seen you for six weeks?—lt could hate happened. Do you tell me after that, that yon are a business man? —As far as honesty goes, I am. You admit, you started this extend"" business without any supervision over it?— Yes. I did not know whether it was coming or going. Questioned by creditors, bankrupt denied having endeavoured to organise a motor service in opposition to that being administered by his creditors.- He-ad-mitted that 9 brother had mentioned to him the question of securing cars, and that he had received a letter from the trustees objecting to his in this respect. A Creditor (to bankrupt): "What method did you have of cheoking. the cash from drivers?— There was no method. They just sent it In. 1 here was no accounting between you. and them ? —No. The Assignee: They would be on a very good wicket. You let them do just as they liked. Did your agent at Rotorua check mileage or cash receipts?—l do not think so. The position was that these drivers paid in any amount of cash they liked? —Yes. I suppose you would not have many claims for overtime in these circumstances? There would be no dissatisfaction among the drivers?— One man left, but he came back again. Mr. fioodall said it was clear bankrupt understood as little about his business as he did about the questions put to him. He suggested further action should bo left in the hands of the As« : -

nee. Bankrupt had been a muddler froir the beginning.

The meeting was adjourned pending further investigation.