Creditors’ Pressure Led To Bankruptcy

Press, Volume CVIII, Issue 31831, 8 November 1968, Page 15

Creditors’ Pressure Led To Bankruptcy

The pressure put on him by creditors and under-capitalis-ation in buying new and old stock were the reasons John O’Connell, an electrical appliance dealer, of 27 Balgay Street Christchurch, gave for his bankruptcy at a meeting of creditors yesterday. O’Connell was one of four bankrupts who had meetings with creditors before the Official Assignee (Mr J. B. K. Curran) yesterday and on Wednesday. His unsecured debts amounted to $7500 and partly secured debts $1999. His assets amounted to $5138 comprising the stock contained in two shops. The total deficiency amounted to $4361.

The meeting carried two motions: that the Official

Assignee sell the stock by public auction or private treaty and that he negofiate with regard to the equity O’Connell had in a house property to the extent of 50 per cent Driver’s Debts Calvin John Raymond Croat, a driver, of 496 Gloucester Street admitted unsecured debts of $B7B, and secured debts of $56. The value of securities was $BO, leaving a total deficiency of $854. Croat said that buying old cars on time payment and trying to keep them on the road had brought about his bankruptcy. Deficiency of $335 George Rutene, a pensioner, of 84 Blankney Street Christchurch, told a meeting of his creditors that insufficient money coming into his house was the reason for his bankruptcy. He disclosed unsecured debts of $784 but an examination of his affairs had shown that $449 was in secured debts. The total deficiency was $335. Unemployed Graeme Alexander Adams, a clerk, of 51 Watford Street, Christchurch, disclosed unsecured debts of $l7OO. He attributed these to a motor accident in which a rental car was involved. As a result of the accident he had lost his job, and had been unemployed for some time.

In the cases of Adams, Rutene and Croat the meetings were adjourned sine die.