MEETING OF CREDITORS.

Evening Star, Issue 8774, 15 March 1892, Page 2

MEETING OF CREDITORS.

EE J. M'DOCGALL. A meeting of creditors in the estate of John M'Dougall, farmer, of Portobello, was held at noon to-day at the Official Assignee’s Office. There were five creditors present; Mr James appeared for Mr Larnaob, and Mr Fraser for the debtor. Bankrupt’s statement showed :—Liabilities, L 33 3; assets, L 226 10s. The unsecured creditors are : Colonial Bank, L2G9; Hon. W. J, M. Larnaoh, L 97 15a; A. C. Hanlon, LIO ; P. Murray, LS 10s ; —Gre , LI 16a; Fleming, Lfi; J, Pressley, LI ss; S, H. Travena, LI 14a; Walgnhist, L2. The assets consist of cattle, horses, farm implements, etc., LI 90; growing crop of potatoes and carrots, L3O; and book debts, estimated to produce Lfi 10s. Bankrupt, examined, said he commenced business eight years ago with one James Davidson. He had L 156 and his partner Ll6. They leased from Mr Larnarch thirty-two acres at a rental of LSO a year for the first two years and LIOO for the third year. Mr Larnach charged them nothing for the first nine months, during which time they were to clear and break up the land. They tried to grow strawberries and market garden produce, but found that they could not succeed, owing to the difficulty of getting manure and the distance of the land from town. Mr Larnach stood security to the Colonial Bank for Ll5O in order to give them a start, but they found the rent too high, and were io difficulties the first year. Adjoining their land was a fifty-fivejjacre paddock of rough grazing land, with six acres of bush, Thinking to do better with cows, they leased that from Mr Larnach at the rate of L2 per aore per annum, holding the land free of rent for the first nine months. Mr Larnach became security for another LSO to the bank, and they held on thinking that times would improve their position. The land, however, had previously been overstocked, the winter accommodation for the cows was very insufficient, and from time to time % large part of the money for which M? Larnach became security went back to him in rent. When the fourth year came he dissolved partnership as things were getting worse, and it waa found that the rqnt was not in the ground. Mr Larnach then reduced it to LIQO for the eighty-two acres. The next year was a good one, and he paid about L4O to the bank, and money to many small creditors. The next year—Exhibition year—was a poor one, a °d he had to sell cattle to pay rent and interest. Farther on he saw that he could not pay the rant if he depended on the cows alone, and he accordingly manured heavily and planted a field of cauliflowers, but the rabbits demolished them.' At that time all the produce from the cows waa required to keep the place going and pay wages. Be was unable to pay any rent that year, and Mr Larnach allowed him time. His last potato crop was a bad one, and the peas were rendered unsaleable. A week before Christmas bis son was killed. Mr Larnach wrote demanding arrears of rent in dull within a week, bnt it was impossible for him to pay, and all he could give Mr Larnach was X3O. He understood that Mr Larnach was satisfied, bnt the next thing be did was to put the bailiffs in. He attributed his financial difficulties solely to

the heavy rent and his losses. According to practical men, the farm was not capable of carrying more than thirty head of milk cows. It was a high average to reckon on L 6 from the produce of each cow. His furniture was not worth L 25. He had no property of any kind and no expectations. After the bankrupt had been questioned by Mr James, Mr Wright, of the Colonial Bank, moved that the meeting be adjourned for a fortnight to allow of further information being given as to the accounts. Mr Fraser asked that an allowance should be given to the bankrupt, a request which Mr Larnaoh said he would oppose. The meeting was adjourned until the 29th March, at 11 a.m.