A BANKRUPTCY.

Dominion, Volume 2, Issue 502, 8 May 1909, Page 3

A BANKRUPTCY.

IN THE CLOTHING TRADE. DEFICIENCY OVER £3000. tor TILEOBAFH—F3HSS ASSOCIATION.) Dunodln, May 7. . A meoting of -creditors in the; estate of Louia Moms, clothing manufacturer, was held this' afternoon. Tie schedule filed by, debtor shows debts to unsecured creditors; j>iqol *? 3 ' debts creditors, £1888, loss estimated valuo of securities, £920, trbis item leaving a surplus of £968. The total debts are thus £5005 Ids. 114, On the credit side aro stock-in-trade, £700: plant, machinery, etc., £700;.' book-debts, £500; making in all £1900. I'ho deficiency is £3105 16s. lid. • , The principal unsecured creditors apei Bing, Harris and Co., £833 4s. lid.; Union Bank, £743 9s. 4d.; E. Driver, £479 18a. Bd.; F. King and Co., £367; It, Jamiesoiw £173 7s. 4d.: Commercial Agency (Wellina. ton), £143 17 s. Gd.; Central Agency (Wei* ling ton), £111 Ifla. Id. ■ R. Malcdm and Co.. £IS2 2s. 9d.; F. and F. Martin, £150., Se2 cured oreditors aro: Commercial - PropertyCompany, £1400 (security £300) ; A. C.' Hanlon, £200 (£180); D. M. Spedding, £7S (£120); A. Miller,. £210 (£320). All tiio ' above are secured with goods in. bond, fon which they hold bond warrants. Bankrupt's statement was to the cffect) that.he started business 'about 12 .years ago. Not very lotig afterwards, Mr. Baker purchased another business,, which they carJ ried on for about five years. Things pro#, pered until about the end of the fifth year, when, as they considered" that there were not sufficient profits for two partners, thej; dissolved, Mr. Baker going to Inv-ercargifl. They had an accountant' on ; piirt timo, wh». looked after the alfairs, and attended, to thi dissolution of partnership. . Since the dis>. solution, bankrupt had carried on businesi by himself, and tko same .accountant managed the wholo. of . the finaaoe and ao* countancy. Bankrupt attended to tie mania." facturing part of the • business, and to obtaining orders. The accountant' insisted on having an agreement that (bankrupt would, not interfere with the bookkeeping or. finance of the business. The first' real tightening of matters was:" when the Cominorcial Property Company intimated that' its account with them would'be dosed on* their going into liquidation, ■ but bankrupt was assured that that difficulty .would bo: got-over by numerous accounts coming from the North Island, and private acoounts lowing for suits, etc. The accountant and himself drew up an estimated balance-sheet ten, months ago, which showed £1600 to the good. The accountant received £260 per annum. Bankrupt was' assured that everything was going smoothly,;', that'' business was showing good ' profits, and . that , tho tightness of tho money market, and the debts duo in the North Island, wero .the only causes of his having to feel the money stringency.. In order- to obviate this, he . arranged; to discontinue the North Island trade. He could not give the slightest idea as to tho cause of bankruptcy'.' '• ... In a further statement; bankrupt said: "One cause of my. getting into my present position is my' liaving been disappointed by one of my.largest: customers' in giving to me a far less quantity of work than they had undertaken to give, and that necessitated keeping hands on who wore not anything liko fully employed. I;.had to keep bauds on during slack times, or they would: not have been . available-; wh'en rushea ' came." It was resolved that tenders be called for j the as V',going concern. It was also decided' that? tie Official Assignee carry on the business for seven days, creditors to • indemnify him against any loss during that: time. It was further resolved'that the Offi-, cial Assignee confer with Messrs. Bernstein and Arkle, who should be appointed supervisors in the estate without retoufieration, ani f. consider the advisability of getting the. boobs made upY'also to call a-'nte'eting, if -neces•eary, and to have full power to accept tenders. '' ' .. ■''•