MEETING OF CREDITORS

Evening Post, Volume CXXI, Issue 128, 1 June 1936, Page 11

MEETING OF CREDITORS

CORDIAL MAKER'S FAILURE

A meeting of creditors in the bankrupt estate of George Murdoch, cordial manufacturer, Petone, was held today at the office of the Official Assignee (Mr. S.. Tansley). Mr. S. Hardy appeared for the bankrupt and Mr. F. T. Clere for G. Puddle, a creditor.

The statement of accounts showed: Unsecured creditors, £159 16s 3d; secured creditors, £595 15s; less estimated value of securities, £650; surplus to contra, £54 ss; total debts, £159 16s 3d; total assets, £54 14s; deficiency, £105 2s 3d.

In his statement to the Official Assignee, bankrupt stated that prior to 1926 he was working for wages, but in that year he purchased the cordial busi • ness carried on at lower Hutt under the name of Sharpe Bros. The price was about £550 for the business, of which amount bankrupt paid only £ 5 at the time, and the balance was to have been paid at the rate of £50 a year, with interest; and he agreed further to pay rent to Mr. Puddle, who was also landlord, at the rate of £1 5s a week. He now knew that the price was too high, but at that tim«? he had had no experience, and thought he was buying a good business. He carried on the business, having, shortly after taking it over, expended about £70 to establish it. For the first few years he managed to carry on and meet his commitments as they came due. but the depression occurred, and during the past five years he had been gradually drifting financially, until he was no longer 'able to carry on. He had made every effort to conduct his business economically and to re-estab-lish it, but had been unsuccessful in doing so.

The Official Assignee said it was evident to him that the assets, as set down by the bankrupt, were in excess of their present value. A resolution was carried that the Official Assignee call for tenders for the business.