SUBPOENAED BANKRUPT

Auckland Star, Volume LX, Issue 246, 17 October 1929, Page 13

SUBPOENAED BANKRUPT

OFFER OF £300. CREDITORS REFUSE SETTLEMENT. SETTLER'S BUSINESS DEALINGS. At the adjourned meeting in Auckland yesterday to inquire into the affairs of Philip Fielding Farnworth, settler, of Devonport, an offer of £300 in consideration oi the annulment of the bankruptcy was made to the creditors. This, however, was rejected, and it was decided to proceed with uie examination. Xho Deputy Utiiciai Assignee presided, Air. Iveus Mason appeared for Jj'ainworth, and several other solicitors represented, various interests. .Bankrupt was not present at the first meeting a week earlier, and he appeared yesterday on a suupoena issued uy the Assignee.

Tne financial statement snowed claims of unsecured creditors amounting to £673, but it was stated that since the first meeting £119 more had ueen proved. The assets were vaiued at £797, including £197 book debts. In his statement of causes leading to his bankruptcy, Farnworth said that in 1927 he purchased a maeliine for making wood-wool, and floated a company. It was not successful and went into liquidation. He then purchased a property for £3000 and exchanged it for a shop at Avondale and £1800 worth of groceries. Stock, plant and fittings proved to be worth only £800. He lost ±200 on an invention for making rope straight from green flax. He expected to clear his debts with a deal which was still pending, but pressure by a creditor forced him into bankruptcy. Mr. Kells Mason said the deal had not yet been completed. Two old friends oi debtor were prepared to pay £300 cash on his behalf. Unless the offer was accepted at the present time it would be withdrawn.

Mr. Watkine, who made the offer on behalf of bankrupt's friends, said the money would be sufficient to pay 8/ or 9/ in the f. Replying to Mr. Grant, Mr. Watkins said the offer was made in full settlement of the bankruptcy, and Farnworth was not to be examined. Mr. Watkins said he was not at liberty to disclose who offered the money. Mr. Meek: Is Mrs. Farnworth guaranteeing it? Mr. Watkins: She is not. "Somebody might prove for the amount," said one of the creditors. "It looks very unsatisfactory to me." Another of the solicitors present remarked that the examination would "not be worth a tin of fish," but the £300 offer was something definite. Debtor's Second Bankruptcy. After further discussion it was decided not to accept the offer, and the bankrupt was examined. Replying to Mr. Mackay, he said he had not kept any books. His occupation was that of a farmer, but he had not worked at this for the past two years. He had set up as an agent and had dealt in -property. Hβ filed his petition at New Plymouth three years ago, and his debts were settled for £500, which was provided by a sister. Details of Farnworth's dealings were investigated at length. Debtor said he exchanged a shop for three shops at Birkenhead. These had been exchanged for a house at Buckland's Beach, which in turn was exchanged ior a launch. The launch had now been sold and he had obtained a certain sum in cash, and promissory notes for the balance. The notes were worthless, but he expected that an amount of money would be raised in a few days. After further discussion the meeting was adjourned until Wednesday next for bankrupt's records to be produced.