METAL WORKER FAILS.

Auckland Star, Volume LXI, Issue 161, 10 July 1930, Page 7

METAL WORKER FAILS.

ECHO OF BIG FIRE. LOSS OF £4bo SUSTAINED. DEBTOR'S CONDUCT CRITICISED. There was a large attendance of creditors to-day at a meeting, lield before the Deputy Official Assignee (Mr. G. W. Brown), to inquire into the affairs of Walter Leslie Young, trading as TP". L. Young and Co., metal workers, formerly of Dundonald Street, Auckland. The financial schedule showed claims of unsecured creditors amounting to £330, other liabilities being returned at £595. Claims of secured creditors were. £6, the estimated value of securities being £50. Assets totalled £474, including goodwill £'200, stock-in-trade £138, and book debts £37, estimated to pro- ' duce £21. There was a deficiency of £121. Debtor said ho started in business with a small capital four and a half years ago. Six months later he joined with a partner, who put in £50, and subsequently lent a sum of £144 to the business. The business did well, but two years ago his original 'partner sold out to another man, but witness was not able to reconcile his ideas of conducting the business with those of his new partner, and eventually they separated, witness entering into an agreeemei.it to make cash payments in instalments to him for his share of the business. During the past year he had experienced several serious setbacks, including the illness of his wife and family and a disastrous fire which totally destroyed his premises in Dundonald Street. He received £467 in insurance, but nevertheless sustained a loss of about £400. He recommenced business in Kliyber Pass Road, but financial assistance promised by a relative did not materialise, and he was made bankrupt -by his late partner. He intended to regard his trade debts as persona] debts, and to do his best to pay them off. Answering the assigned, bankrupt said although his second partner was actively interested in the business trade decreased owing to witness being out travelling instead, of in the workshop, and also owing to keen competition. To a creditor's representative debtor said he only had a vague idea of his position after the fire. All his books were, destroyed, and he had difficulty in tracing exactly what was due to him. Ho might have been insolvent. Debtor admitted that he had made a payment of £100 to one of his creditors. He did not realise that this paymentwould prevent other creditors being paid in full. The assignee remarked that he did not think bankrupt had always attended, to his business as he ought. A small committee was appointed to co-operate with the assignee in disposing of the stock-in-trade, authority being also given to negotiate in the event of an offer for sale by private treaty. Mr. Brown said bankrupt had not conducted himself in a manner which might have been expected of him. He should have called his creditors together after the fire and the receipt of the insurance money.