FARMER FAILS.

Hawera Star, Volume XLVIII, 7 November 1924, Page 7

FARMER FAILS.

PRICE OP STOCK. FAH TOO HIGH . heavy domestic expenditure. The troubles of a farmer formed the subject of .an inquiry before the D.O.A. -this’'afternoon, when the petition of Timothy Morgan, of Otakeho, was considered. Bankrupt was represented by Mr B. Malone, and the creditors were as follow : —Hawera Hospital and Charitable Aid Board, £l3 l6s; Syme and Co., £2 17s 8d; Ka~ ponga. Private. Hospital, £lO 15s; Dr. Boyd, £l4 2s; Mortlock and Co., £lB 18s; W. A. Parkinson and Co., £ll LOs; o,’Dea and Bay ley, 10s 6d ; Welsh, McCarthy, Beel’hev and Houston, £lO 10s; H.. J. .Eaves, £10; A. G. Bennett, £1; Halliwell, Spratt and Thomson, £7 12s; Commissioner of Taxes, £2 3s Id; E. Long, £230 Is sd. Secured creditors were:—A. Robertson’s trustees. £2100; James MePhillips, £1000; Wm. P'rout, £400; Manain Building and Investment Co., £144 145,. Bankrupt’s financial statement slicwed .secured creditors’ claims totalling £3644 14s. and unsecured creditors, totalling £340 3s 4d. The estimated value of securities was £3BOO, leaving a deficiency in the estate of £lB4 17s 4d. Bankrupt, in a statement, said:— In July, 1019, I bought from Mr James McPhillips a farm of 75 acres on the Oeo Road at £BO per acre. I paid £I2OO in cash. The. property is at present mortgaged for £IOOO to Mr McPhillips, and to the trustees of the estate of Andrew Robertson for £I2OO, and to Mr Front for £4OO. Mr McPhillips reduced his mortgage from £2700 to £IOOO. When I took up this property I purchased 33 c-ows from Newton King at £2B per head, a total expenditure, of £924. I bought a bull from Mr Pettigrew for £SO. I paid £SO for horses. These payments, with the payment of £I2OO to Mr MePhillips and £SOO expended on the erection of a new lipuse on the property and in sowing dodui represented the capital I had when I started operations. I obtained implements and manure from NevHbri King, but did not pay for them, the nrice being about £250 and interest. To clear off the debt to King 1 handed over to them a car. In the first season I got only 4000 lbs butteffat,, which would not pay interest. I realised t was going back, and in the second year I saw the Manaia Building Society arid they lent me £750 on stock and chattels security. They allowed me £ls per mbiith’. In 1920 season things were a bit better; I got just on 60001bs butter-fat. I was on the place for only half 1921 season. In January, 1922, I leased the farm to J. Larmer at a rental of £2 15s. I sold tile cows at £ls, horses, bull, implements at valuation. The proceeds went to the Manaia- Building Society. I got nothing. The rent goes to mortgagees in payment of interest. After the sale 1 took a house at Otakeho. and worked for Parker, a contractor at 15s a day: no nay. for wet weatlibf. At the beginning of the 1922 season Mr J. Parker stocked 43 acres at ‘Otakeho arid paid the first half-year’s rent. This venture is my life’s entirely. I worked about Otakeho labouring. We are still there. I attribute my failure to the fall in prices for produce and stock, which prevent the profitable working of the land at "the price paid for it, and the high price I paid for the stock; _ this in spite of the reduction made by Mr McPhillips. I consider that the land is not worth more than the amount of the mortgages. Domestic Cxnediture has been very heavy in view of the long illness of my wife, who has; been under attention for nine years. My child fell ill in July, 1919, and this added to the expenditure. Several of my creditors have pushed me. and I have no other recourse but to file, as I am quite unable to carry on. , The D.O.A. said there was nothing in the estate, and it looked as though bankrunpt had lost his little all. The securities were not likely to realise their estimated value. Mr Eaves remarked that bankrupt was only one of many. The creditors passed a, resolution facilitating bankvunt’s discharge, and the meeting then adjourned sine die.