BUSINESS WOMAN FAILS.

Press, Volume LXV, Issue 19786, 26 November 1929, Page 4

BUSINESS WOMAN FAILS.

I SPECI I ATION ALLEGED. i I "HOTEL TRANSACTION. j i | A ni'fiir.: th" • r-* :•;<*- of Mrs I .J..:'..- I>. y. wi:- of , > •■ . » i:.- v : •' ' 1 y \y .V-:. si - d Avsi-nce ! vf r v.". A. IN-' y ,r. t'.-ur-i i-i----1 . . - Mr 1.. A. H' '• i-r- •- »t. -1 t'> i T if '-r-'n a::-l C '.. nu-l -Mr t j, , crcdi- \ > i MA. F..rr,-!1. . ( li . j,-;jn_ji: -in-r'iri d cr<-ditors | ...... •' ~,. r _ ,„"i, <«.-n and Ewvn. £3-1 I !•'. i■; •\\ J. I!. :: V £ll 85 . |{. ;,t.. J.;d.. L'.-l 17s 3d; But,,'.r»vf>r:ii Bros., £7": Atkinson . ! '■■ i.'s-J il-- z " al, !" d i -if---* r>r,«: ~ l3 ° *' S .r, K.iM.ry ('■>.. I* ' I' !. I:, ; ; ; F. I), j'v -••.'■•• a. £< - - N,w j „:id 1";.. Om?!'- Association, tit; 10-; « ? N»' v South I »V; l-s. J. ~ l'J • H. ;i; ;rIL-1 •* v ( I.)u!V:'! 1 is'. - Mrs A. | i'.irr-:! "(ii.-i-} c-n >■ tHh Municipal ■ i.i- -tru-itv iVpnMnioat, 114. ]t. total .:-.i • to •. ;red cr.-di-t„ri' sva< £*o I's llfl; secured crcdi--r,, £-.'737 j;.»s 4d. less estimated value ■t I,K1 ,K '. leaving a de-rii-iffi' y « t £7-j I's 4d. lotal debts, i..-- > i-.'s with assets. t.il. The bankrupt's statement set out t' .it vears go -»he M' carrying ;m a ptn>; bu'-inc.->s in a shop m< ! -,r-. ;v • r,ad. Many of the debts m her -tatein -nt of unsecured credit« rs wer*' ir.cirred «Julo in this husi:>s it wily driitcd back. >l. tried ntrx-r to improve her r,. Ait thiec years ap:> she ivt.-nt iiu > partnership with Walter U. P>r* and Arthur Rogers, who were to sell t- 1 and drapery in the country, hiit thev did not make a success of it and in'th-* i-nd iiankrupt Inst about £'JOO ovor the vcntuie. Butterworth's aeeount wan still imnaid. Bankrupt then p" 1 • r<-d into a contract with A. Farreli. of Heetton. to take over Kartell's Hot' 1 ! in pxchaiu'e for two cottage in Christclmreh owned by I'.nnkrtipt. N!:e txvild not go into the hotel n«m-: to Mr Be.-rdsh.-y not beint; v.el! enough to hold the liwn-e. She - >Ni her interest in the hotel to Mr farnii''hael ?t the price she gave for it. She took a property in Victoria Hr«:tt i>y way of exchange, nnd Mr C'arrnit h.iel gave her a for the balance of equities for £-&> and i?iterest, Mr Carmichael did not in«-et Ins engagements to .Mrs Farrell ; r.d bankrupt, alleging that Mrs Farrell had mi-represented the property Jo hin He said that the beer draught was onlv one-fourth of what Mrs irarrcll r«*pre>enfcd it to he. Karly in the pr.-sent year Mrs Farrell sued br.nknspt in the Magistrate s Court for the p-syr.ient Mr f'armichael ihould have made on the hotel. Bankrupt could nothing from Mr Carn.n hael and so could not meet Mrs FarreSl's demand-i. Finally Mrs Farnil made Mrs Beardsley a bankrupt. Carmichael still owed bankrupt £-•¥) and interest under the mortgage of tarreli s Hotel. She was informed that it v.-as of no value. Replying to Mr Lascclles, the bankrupt said that a property in Jerrold street was owned in partnership with her son. Two or three months after she sold the Rccfton hotel, she knew that Cannichael would not fulfil his part, but it was never explained to her that she was liable. Why did yon sell your business to your "husband?—To prevent the creditors taking my stock and niy living, and Mr Bcardsley's money was given to the creditors. 60 that you sold to evade your creditorsf —No; not to evade my creditors. The money I received was paid to my creditors. How much did you receive from your husband f —About £2OO. What creditors got the £2ooT—Henderson and Co. got £81; Mr If. S. Williams {Butterworth and Co.) got some of his account. Mr Williams: About £lO. Bankrupt: Oh, more than that. Bing, Harris, and Co. got £ s 7. Mr Williams: I think you paid Bing, Harris, and Co. £3o—they' got judgment for that amount. Bankrupt: I cannot say from memory. II divided the residue of the moneys I amongst other creditors, and reduced my liability. Further, to Mr Lascelles. bankrupt laid that her reason for selling to her husband was that she wanted to keep going and pay her creditors, and if her ! living was taken from her, she would not have been able to do anything. Mr Williams: Was not the reason that I had pot the bailiff in f Bankrupt: The business had been sold before; I had to do it to protect myself. To Mr Cottrell bankrupt said that she got full value for the stock she sold, and she dispensed the money to prevent being pressed by her creditors. Referring to the re-sale of the Reefton hotel, Mr Cottrell said that Mrs Bcardsley supposed that she was clear of the whole management and Cartnichael went into possession and became liable to Mrs Farrell. Bankrupt ; thought that she was clear of the transaction, except as to clearing up the interest on the second mortgage. ; To Mr Cottrell bankrupt replied that if she had not been pressed in respect of the liability in connexion with the Reefton hotel, she could have carried on and paid 20s in the £. Replying to Mr Pougall. bankrupt said that she had had au offer from a Diniedin man of another hotel where the takings were £7O a week; he was prepared to let her have the hotel and £3OO in e%ah, in exchange for her equities in the Clarence road and Victoria street properties. Mr V. 1.. Qrr, representing the New Zealand Coffee and Spice Company, asked bankrupt what her idea was in using the £2OO received for the Clarence road stock, to pay off Nichols's second mortgage, while the people who supplied her with goods were leftf Bankrupt: I did it to save the property. Mr Orr: In other words you speculated with your creditors' money and you came a cropper. The whole trouble was greed. You were running round speculating and not using any sense. Bankrupt was questioned at some length about the hotel transaction, and regarding her partnership with her son in the Jerrold street property. Tb« Actißg Offirial Assignee said that I -rroM street property partnership elll od to be investigated a* he th "hi that bankrupt possessed an q U in it. 1 m."i:civ it was d c:!-d to leave the estate in the hands of the Official Assignee t>■■■>r investigation ar.d r-'pnrt.