AN INVOLVED ESTATE.

Evening Post, Volume LXXXIII, Issue 55, 5 March 1912, Page 7

AN INVOLVED ESTATE.

DEFICIENCY OF OVER £1800. An unusually protracted meeting of creditors took p_laoe to/day before thfe Official Assignee (Mr. A. Simpson) in the «statei of T. J. C. Gurr, trading as J. A. Smyth and Co., Wellington. Finally the meeting was adjourned, sine die to allow certain enquiries to be made. A previous meeting had been held, when it was decided to get Messrs. Badham and Bisb, accountants, to make' an examination of the bankrupt's books. - This report wa* submitted to-day. The document was exceedingly lengthy, technical, adu\ comprehensive;- and it stated that, according to what was practically an audit, the estate showed a deficiency of £1831 U lOd. The following creditors were present or represented :— C. Coulter, N. 0. Gurr, E. Oldman, Union Oil, Scrap, and Candle Company, Zoellor, Walker and Niehojson, Thompson Bros., Bannatyne and Hunter, Fielder aud Co., Laery and Co., Friml«y Co., Wellington Harbour Board, and W. and G. Tumbull. Mr. P. H. Putnam uppeared for bankrupt. According to the accountancy statement th© partnership between Gurr and Smyth wa» dissolved in 1910.* * The report, characterised by the Assignee as a very excellent production, was not discussed, as .the creditors h»u not had time to study it. They are to be given an opportunity to do so before the Jiext meeting. After a prolonged discussion of detail, it wa« decided unanimously that Uurr should be allowed to retain his furniture, which he valued at £155, and which the office bailiff had assessed at £55. It was pointed out by Mr. Putnam that bankrupt had been to considerable trouble to give every assistance to Badham and Biss in their examination of his books. Gurr had had no money whatever, and it was a fact that while he had been ' engaged in assisting the accountants he had lost opportunities of getting both money and work outside Wellington*. The Official Assignee said he could not help tha-t. He went' on to refer to small account* at considerable length. Nothing- was done in regard to these. Bankrupt was questioned about his alleged drawing of £60 per month. Ho explained that he had had to make extensive business journeys through th« North Island. Further, several othei accounts were transferred to his drawing account, thus inflating it. Mr. A. W. Blair, who appeared for the Frimley Company, eaid that Smyth'* name remained in the firm. There was an impression abroad that Smyth wa» in it, and that Gurr was only manager. Smyth's position should bo ascertained. The Official Aseignee, he suggested, ehould make further enquiries. Tho onus- was upon SmVth to explain hiß position and to satisfy the creditors that he was not responsible. Steps should be taken to ascertain whether or not he was still in the business. Many creditors had not heard of Gurr in the matter at all until after hk bankruptcy. They thought they wer© dealing with Snlyth. If it could be shown that the latter was still a partner creditors would get their 20s in the £1 instead of a few pence. Smyth should huve notified, if he had left the buflinos«, each of the creditors separately. Mr. Putnam thought that a Gazette notice was sufficient' to obviate any Ha bility. it was finally decided that the Official Assignee b» 'requested to make whatever enquirieft he considered necessary to ascertain tho position ot Smyth, and to lay th© facto before hie solicitor with a, view to obtaining an opinion thereon. Messrs. Eadham and Biss were voted -CIS 15s for their report. Mr. Futfia-nt then proceeded to examine on oath Mr. Oldroati, who took over Gurr's books on Ist January, 1911. After a ]M'diiniflary brush with the Official As»i^n«e, in- which the latter said he had "reports concerninij 'batdtrupt," to which eotlta*t»l replied that he either ought to produco them or not refer to them, th* Assignee made the examination a urivate one. - In fch~e report submitted by Uadham and Bias, the latter declared that sdnce Ist January, 1911 (when Oidma.n luul liken charge ot the books), bankrupt's books hud been properly kept.