MEETING OF CREDITORS.

Dominion, Volume 2, Issue 534, 15 June 1909, Page 11

MEETING OF CREDITORS.

~•'■ . '". - ..._ + _ /P. J. READ'S BANKRUPTCY. A meeting of creditors in the bankrupt estate of Fredorick James Read, custodian of the rifle range'at jPolhill Gaily, was hold at the office of tho Official Assignee (Mr. A. Simpson), yestsrdny morning. Mr. S. Tansloy presided in the absence of Mr. A. Simpson. The bankrupt was represented by.Mr. Dunn, who was also a creditor, while Sir. Johnston appeared for Mr. Thomas M'Carthy, the largest creditor. Mr. M'Carthy was the only creditor present, but according to the number of proxies presented Dy Mr. Dunn, there was a quorum. In his sworn statement, bankrupt explained that ho had boon custodian of fhe Polhill Gully Rifle Range for the past five years, a position which gave him tho freo tenancy of a threo-roomed whare, and tho right to graze cattle on the. rango property. Ho let the grazing to various people, and received payments therefor, and was also in receipt, at odd times, of email payments from rifle clubs and others for services rendered as custodian of the range. In addition to that he received a pension from the Imperial Government for tho loss of an eye while in active service in South Africa. In September, 190S, he bought some cows from Thomas' M'Carthy ,promissory notes being tondored against the purchasonioncy. Bankrnpt, from representations made to him as to tho value of tho milk supplied by tho cows, calculated to pay oil the purchasemoney out of the profits of his milk-selling, but his anticipations were not realised, the notes became due,, and as he was unable to meet thorn, judgment was otbained against hini by M'Carthy, who threatened to take out a distress warrant. In order to protect his other creditors, he entered,into a composition with them, and assigned his property to a trustee for their benefit. ' ' ■ Under tho authority of the deed of composition, the trustee sold bankrupt's property, cows included, and subsequent to the hearing of the petition for adjudication (lodged by H Carthy) paid into the.. Supreme Court, on order, the sum i633,< proceeds of the sales. He (Read) was then adjudged bankrupt. All the creditors; oxcopt. M'Carthy, concurred in the assignment referred to, continued tho bankrupt. Ho (bank-, rupt) had been'put. to'considerable legal ex-i penso in contesting an action with M'Carthy, who held two of the promissory 10s. and £&— in duplicate, and had discounted them with outsiders. He'was successful-in his action with M'Carthy to the extent that the latter was ordered to indemnify him with respect to tho. duplicate. notes. Judgment, with costs, was given against him (bankrupt) for the balance owing.. , . According to tho statement of assets and liabilities, there wns a deficiency of ,£63 16s. Bd. -£101 16s. Bd. was owing to the. unsecured creditors, and, against this amount, there were book debts. (J!5) and cash payments .to the Supreme Court (.£33). Tho unsecured creditors were as follow:—Thomas M'Carthy, Tinakori Road,-.£53 13s. sd;; Alexander;Dunn, Wellington; .£2O; Arthur Andrews, coal merchant, ,£6; James Hagan, Trentham, £1 sa>, Ciracroft.Wilson, Petone, .£5 ss!; Charles Pratt, agent, £5 55.; Mary Ritson, grocer, £3 25.; W. Haines, butcher, .£1 6s. 3d.; Ballinger Bros., £1 10s.; J;/Hazelwood, Upper Hutt, £I .los, Mr. Johnston, speaking to his suggestion that the bankrupt be publicly examined, traversed tho history of litigation between his -client, M'Carthyi and the bankrnpt,-in the Supreme Conrt and Magistrate's Court, with particular reference to tho deed of assignment, to which, ho stated, M'Carthy, the largest creditor, had objected. Ho objected to the item of .£5 55., commission to Pratt, .until particulars thereof had been rendered, and also insisted that tho bills of costs put in by Messrs. Cracroft Wilsod and A. Dunn; against the estate, be taxed. Sir. Dunn, for the bankrupt, defended tho action of his client in assigning his estate. It was dono, he said, to protect tho other creditors; ■

The bankrupt was then subjected to a lengthy examination, by Mr. Johnston, as to his sources of incomes, and his financidl affairs generally. Bankrupt stated that ho kept no-books orpapers, and could only, indicate, in a.general way, the'position of his 'affairs;' .He. had previously apprehended that hia bankruptcy would entail the loss of his pension, but had since learnt that that was not so. Counsel concluded by suggesting that bankrupt bo ordered to submit more definite particulars as to receipt and expenditure. ,'..-'' Mr. Dnnn, on behalf of Jlr. Andrews, one of the creditors, moved, and on behalf of Mrs. Eitsbn, another oreditor, seconded: "That this meeting of creditors of , Mr.; Read "express sym-' pathy with him in his present position, and recommends that, he be; granted an immediate and unconditional; order' of discharge." Mr. Johnston, on behalf of Mr. M'Carthy, opposed, and objected to ■ the yotes of Messrs. Pratt, Dunn, and'Cradfoft"Wilson. The motion was lost, Mr. M'Carthy's debt representing a: preponderating vote. l . .■ Mr. Dunniraised the qnestion of bankrnpfe allowance of effects, returnable to him under the Act. His client had given up everything. ; ... . . : . ~ Mr. Johnston contended that nothing conld be done with regard to that, pending further details as to,the bankruptcy. ■■.-..■ :; The meeting then adjourned sine die.