BANKRUPTCY AND WAGES.

Dominion, Volume 3, Issue 667, 18 November 1909, Page 8

BANKRUPTCY AND WAGES.

Sir,—l was always led to believe that when a man went bankrupt that wages were' to be, paid first. I was out of work for eight weeks.! X wont to Palmerstoa North to tho Registry. Office to find work; I got work as a hotel porter, as I was willing to take anything • at' the time. ' I paid- is. 6d. for the situation, and another 4s. for my train faro. I worked three weeks at the place and 'then the publican filed, -and they could not pay mo. my wages, $3 15a.- I went to /Wanganui , and interviewed the Official Assignee) and he told me there was no money paid in, and when there was that I would not be able to get my'wages, as rent was paid first and wages came-fourth. The man-that gets paid tie rent is'worth thousands; he got his money. I, with a wife'and family, and worth nothing, after paying for the situation and wasting three weeks with my labour,' get;nothing; and then!they call New Zealand a working-man's paradii e! Can you tell me, Mr. Editor, is there a way'for me in getting my wages?—l'am, etc., ' ' ' . JOHN HARRIS. Turakina, November 15: ■ ' ' [In the distribution of assets under the Bankruptcy Act, it is provided that they shall be applied First, in payment of all costs properly incurred by the Official Assignee;,-the cost and expenses _of the creditor incurred in scouring the adjudication, and the costs and expenses of - the debtor in filing his petition. Secondly, in payment of the commission of tho Supervisor and Assignee. Thirdly, in jjayment of auy rent actually due for the poriod not exceeding six'months, if there were at date of adjudication goods on; the premises liable to; distress for 'rent. 'Provided l that, no person shall be entitled to tliis preference claim for rent for a greater amount than the value of the goods so distrainable. Fourthly, in payment of wages or salaries. Fifthly, in payment of all proved debts. Sixthly, in. payment of interest from date of adjudication on all proved debts. Our correspondent's case appears to be a hard one, and. if hitf. wages aro net paid when'banknipt comes up. for discharge tho Court will probably have- something to- say about it.]