MEETING OF CREDITORS.

Dominion, Volume 2, Issue 412, 22 January 1909, Page 7

MEETING OF CREDITORS.

' PAHIATUA WINTER'S AFFAIRS. . A meeting of tho Wellington creditors,;,in the' estate of Thomas Bailey, of Pahiattia, - painter, was held before Mr. J. D. Wilson, Deputy Official Assignee at Pahiatua, at s Wellington yesterady. When tho creditors in the Pahiatua district met in regard to tho estate it was decided that ( the Deputy Official , Assignee should confer with the creditors at Wellington with reference to its administratibh. Bankrupt's statement showed assets totalling £1045, and comprising the following items:—Stock-in-trade, £600; book debts, estimated to produce £110; furniture, £35; surplus from securities in tho hands of secured 'creditors, £300. The total of liabili- , ties was given at £784. Tho aggregates of amounts due to Unsecured Creditors were as undftf:-H. Price and Co., £350; Gutlixie, Brown and Co., £230; Ross and Glendming, £30; Sargood, Son and Ewcn (Wellington). £40; Hill and Plummer, £20, and Best and Co. (Auckland), £14; A. H. Hubert and Co., £10; "Pahiatua Herald," £8: S., C. Bisdee, £13; Bancke and Co., £11; sundry small accounts at Pahiatua, £20;-the Watson, Foster Co. (Wellington), £32. The Only secured creditor was Henry Sedcole, settler, the value of whose security Vaa £1000, and the debt £700. Debtor (ssvprn) stated that he-commenced, business at Korori about 14 years ago without any capital. Two Or three years liter he Was able to erect a shop and dwelling and put in a small stock. Business prospered until" no had to moot competition. After contending with this for throo years he movedto another district, in March, 1907, he opened In business at Pahiatua. Ho accepted an offer of a partner (his brother), who was to pay £400 into the business, or he should say he entered intp the purchase of Iris present premises at what was considered a small figure *j anticipation of receiving the further sura of £350, he having already obtained £50 from , his brother. As his brother found that he , could not pay the money the partnership tell through. This placed him in tho positiDn ot not being able to meet engagement* ■ entered into, and at the 'same time to mako ' I a refund of the £50 paid to him by hie brother. His first >*ar at Pahiatua was i good oiie, but the drought of last summer and the hard winter that followed, besides the tightness of money, placed him in difficulties. Upon taking stock last month he , decided (after consulting his creditors) to as- ■ sign Ins estate, but as ono or two of the ' smaller creditors objected to that course, there was no alternative for him but to file. In reply to further questions debtor admitted that ho had not kept proper books or accounts.

'A creditor (to the Deputy Official Assignee): What steps do you take when such a tact is disclosed? Mr. Wilson: 16 is my duty to report such ■ a matter to the Crown Prosecutor if I think that the courses is advisable. The creditor (to debtor): Can you explain why you did not keep books? Debtor: I thought that so long as I was solvent there was jio necessity to do go. I 1 understood the position/- but I see now that no one else could do so. If I had known I ' could Lave kept them. Another creditor referred to tho fact that debtor had allowed Herbert and Co. to have goods valued at £70 as part satisfaction' of their claim.

To the question, "Did you not consider that that wa.s an.improper action?" bankrupt replied: "No. , I thought that, so long as I sold .the goods at ordinary prices, it was all right. I did"not think .that I was giving any _ Replying to a further Query debtor stated- > that ni6 brother was never considered as a., partner in the business. ' It was suggested by the creditors that the stock should bo offered, lor sale in. lots by tender and it was decided to agree to the proposal of; the creditors at Pahialua thaj> debtor's wife 1 should be allowed :to retain 'At } Un #!? re > whioll w as valued at fron> ioo to £40.