CREDITORS DISAGREE.

Auckland Star, Volume LXI, Issue 162, 11 July 1930, Page 8

CREDITORS DISAGREE.

PIG. FARMER'S FAILURE. "TERRIBLE BAD LUCK." EXPRESSION OF SYMPATHY. A complicated state of affairs was disclosed to-day at a meeting of the creditors of Walter Withey, of Henderson, Charles King, of* Henderson, and D. Moore, of Manutuka, near Gisborne, who had traded as farmers at Henderson. Divergent views as to debtors' conduct were expressed, but eventually a resolution was carried expressing sympathy with them in the misfortunes they had suffered. Mr. Leslie Adams represented King. The financial statement showed claims of unsecured creditors amounting to £345, and secured debts £3223, the value of securities being £3160. There was a deficit of £408. Withey and Moore stated that they commenced business at Henderson in July, 1928. Shortly afterwards- they purchased the goodwill of a pig business, and carried on successfully until November, 1928, when King was taken into partnership. Subsequently Moore left the partnership. Bad weather caused loss of stock, _ and this was the main cause of the failure. Answering Mr. Newbery, who represented one Of the principal creditors, the bankrupt, King, admitted that he knew the partnership owed £50 or more last year. In February this year he knew bankruptcy proceedings were threatened, but took no steps to call the creditors together, Mr. Newbery: I am going to suggest to you a reason, namely, that you were not too keen on meeting them, and wanted to struggle through anyhow. — No, not at all. A Creditor: Why did you not advise of the dissolution of the partnership? Bankrupt: I did so by letter, which I gave to you personally. The Creditor: I never saw you in my life before.

Mr. Newbery: Everybody's wrong but him. The creditor said he objected to King saying he interviewed the principals of a firm and told them of his position when ho had done nothing of the kind. Mr. Newbery said he thought it was certainly a case in which the discharge should be opposed until a dividend had been paid. Another creditor suggested that the amount should be 5/ in ttie £, and this was agreed to. Another Creditor's representative moved an amendment expressing sympathy with bankrupts in their misfortunes last year and requesting that their discharge should be facilitated. This the Assignee declined to accept, it being a direct negative. Another creditor said he had always found the bankrupts honest and straightforward, upon which yet another remarked that Was quite Contrary to his experience. A later speaker said he knew bank' rupts- had had "a terrible lot of bad luck/' The original motion Was lost, and after further discussion a resolution was passed expressing sympathy with bankrupts. The case was left .in the assignee's hands.