FANTASTIC DEBTS

Grey River Argus, 20 March 1940, Page 5

FANTASTIC DEBTS

City Property Agent DIED OWING £250,000. ASSETS VALUED AT ONLY £6OO. LONDON, February 23. The fantastic story was revealed in London this week oj' a man who died with debts assessed at £250,000 and assets at £6OO, who owed £BO,OOO income tax on which notinng nad o.en paid, who used to give tips of £5 each io every member oi the staff of a firm with which he had done business, but wno was not generous at home and made his wife go to him “hat in hand' for everyth.ng she wanted. The man was Jack Abraham Phillips, a well-known property agent, wno died on Christmas Day. His syndicate made £200,000 profit over the building of Broadcasting House. He was reputed to be an extremely rich man, interested in many spectacular property transactions. The granting of an administration order in bankruptcy came as a great surprise to his friends. A meeting of creditors is to be called by the Official Receiver. Phillips spent huge sums of money, it has been stated. He spent £40,000 building his own offices in Pall Mall. There he planned and fjuned a syndicate that put up Alford House, one of Park Lane’s exclusive b-ock of iiatsHis rents for it at one lime luialiecl £lO,OOO.

i He built a huge block of shops m ! Leicester Square. He recently sold the site for a new London hosp.tal for about £300,000. His rent roll averaged £40,000 a year. In some years before he sold Aiiord House it topped £BO,OOO. “He Hypnotised Them.” One of his associates, referring to the Inland Revenue demands, said: “The £BO,OOO was in respect of. sums due for the previous two years. Oh, yes, the income tax people pressed him—but not hard enough. Nobody I ever pressed him hard. He hypnotised ; them. “First the revenue claimed £150,000 1 tor the two years. Phn.'.ps kept raisImg queries and seek.ng counsel’s I opinion on various points. Then, ho would pay £5OO on account, and give half a dozen post-dated cheques. 1 think the income tax people were glad, in view of the involved state of his affairs, when he cons hied to agree to the £BO,OOO figure.” Ono of his closest associates said: "I have seen him go to an estate agent’s office in the West End at Christmas time and give £5 each to every member of the stall, from the offire buy upward, •oocause he had done business with that firm during the year.” Bird in a Gilded Cage. Mrs Phillips, his 29-year-old widow, said to me: “I was a bird in a g lded cage. My husband has not left me a bean. My little daughter and I have had to go to live with my parents. I knew nothing about my husband’s financial' dealings. I am surprised ho| left as much as £6OO. I haven’t had a, penny. 1 “My husband was not generous athome. We had nice houses to live in, I w.tii pknty of food to eat. But I had to go to him hat in hand for everyth’ng I wanted. He did not want me to mix with anyone. He was terribly jealous. In fact, he was almost a tyrant with me. 1. heard 1 h? had a stable of rasehorses, but. he told me nothing even about that.” There was nothing glamorous about Mr Phillips. He was hard of hearing, iand his staff had to shout at him. He was fat and fifty when he died. He used to say, referring to his clothes:“I wear the best figure money can buy.” He always smoked a cigar, always wore a carnation.