BANKRUPTCY OF SOLICITOR.

Press, Volume LXIX, Issue 20920, 29 July 1933, Page 18

BANKRUPTCY OF SOLICITOR.

LOSS BORNE BY LAW SOCIETY. MEETING OF H. R. SAMPSON'S CREDITORS. | The creditors of Huddart Richards Sampson, solicitor, met yesterday morning, the Official Assignee, Mr J.I H. Hobinson, presiding. Mr W. J. , Hunter represented the principal creditor, Miss Alice Annie Womersley, to whom the amount due was £llls Is lid. On July 21, in the Supreme Court at Christchurch, Sampson was sentenced to three years' imprisonment with hard labour, on one charge of theft and two charges of forgery. The amount due to unsecured creditors was given as £1432 7s, and the assets amounted to £2BO 9s 3d; deficiency £llsl 17s 9d. The assets were: Book debts £3lO 5s 9d, estimated to produce £220. cash in hand, 9s 3d; furniture, household, £SO, office £lO. The bankrupt's sworn statement was as follows: "I have pleaded guilty to charges of misappropriating moneys, and as I am unable to repay the amounts taken by me, I am compelled to file my petition in bankruptcy." Mr Robertson said that in a case such as the one before the meeting there was no necessity for a long examination. Creditors who desired to do so would be given an opportunity to ask questions. | Examination of Bankrupt. Replying to Mr Robertson, bankrupt stated that he had disclosed all his assets in the schedules supplied, with the exception of certain assets which he had disclosed to the Official Assignee. I The assignee: Briefly, your bankruptcy has been brought about by the circumstances disclosed in the criminal action against you, which was the reason for" misappropriating the money?— Yes. | Bankrupt gave details of his law ! library, and also stated that he had i sold some of his office furniture, which realised £7 15s; this amount had been devoted to the payment of household ' expenses. A creditor asked regarding a few shares held by bankrupt and another in certain buildings. Mr Robertson said that at the moment they were not considered to be of any value. The bankrupt expressed the opinion that as the result of the building subsidy under the Unemployment Board's scheme, the value of the shares would decrease. No other questions were asked. Reimbursement by Law Society. Mr Hunter said that Miss Womersley would be reimbursed by the fund established by the New Zealand Law Society. Proof of debt had been put in to enable the deduction of any dividend from the amount for which the society was liable. Apart from the anxiety occasioned her by bankrupt's thefts, and the loss of interest, Miss Womersley had lost nothing. In effect, the money had been stolen from the law practitioners of the Dominion. Mr Robertson said that he had had a valuation of the furniture of bankrupt made by Mr H. Watts, of Tonks, Norton and Co., and at fair auction prices the valuation was £6O 7s 6d, from which commission would require to be deducted, leaving the net value at £sl. Bankrupt was entitled by law to retain furniture and tools of trade to the value of £SO. For all practical purposes the creditors could rely only on the proceeds from the book debts. The meeting approved of the bankrupt being allowed to retain furniture of the value of £SO. Mr Hunter said that they could only leave matters in the hands of the Official Assignee, to get in the estate as quickly as possible, and call another meeting. In the meantime either Miss Womersley or the Law Society was losing interest, and the sooner matters were cleared up the better. Mr Robertson said that there might be a certain amount of delay owxng to the difficulty of getting in the book debts. The estate would be wound up as soon as possible, and another meeting would be called to lay the results before the creditors.