OBLIGATIONS HONOURED.

Hawera Star, Volume XLVIII, 10 March 1925, Page 9

OBLIGATIONS HONOURED.

APPRECIATION BY CREDITOBS. One of the rare instances m which a bankrupt voluntarily honoured his obligations to his Cieuitors was- illustrated bc-roro the Official' Assignee lit Auckland, when a meeting wrs held in the estate of Henry Driver, formerly a fruit preserver, of Whangarei. In July, 1914, Driver was adjudicated a bankrupt on ins own petition, with liabilities of £1338 6s ‘ld,- and nominal assets of £1503. These assets depended on the realisation of the bankrupt's factory at \\ hangarei as a going concern. The factory liad eventually to be disposed of at a nominal price, which returned the creditors a dividend of but 6d in til® £l. The creditors sympathised with the bankrupt, and asked the Official. Assignee to facilitate his discharge. This was done, and a discharge was obtained in 1915. The bankrupt reported to the Official Assignee, and then went to Thames, where he worked at his trade as a carpenter. He was successful, -and became possessed of three mortgages, and, although there was no obligation, he banded these over to the Assignee for the benefit of his creditors. rue mortgages were subject to the provisions of the moratorium, and were not realised until just recently. 'The sum of £bUO, apart from interest, was derived fiom them, and this enabled a further dividend ot 6s 6d m the £ to be paid, making a total ol 7s in the £l. .Bankrupt went to California in 1.980, and was imported to be carrying on his trade as a carpenter with success there. Mr E. A. Perkins mentioned that he had received several, letters from Driver, in which it appeared that the latter intended to pay his creditors in full if he ever was Tn a position.

•Mr ‘Fislier: “ I am sure he will do so if he is able. This is a wonderful'performance. in five years Driver managed to get together £SOO for his estate quite voluntarily.'’ It was further stated that bankrupt was a married man with, five children, which circumstance made his action all the more honourable. The meeting then passed tile following resolution: “That the creditors greatly appreciate Driver’s action in having handed over to his estate all the profits received from his business at Thames, carried on subsequent to his discharge from the court. As a result of this a substantial dividend will be payable in the estate. To show their ' appreciation of Driver’s action, the creditors instructed the Official Assignee to purchase out of the proceeds and forward to him a gold watch suitably inscribed.” *■' The motion was unanimously adopted.