LAVISH EXPENDITURE.

Hawera Star, Volume XLVI, 11 February 1927, Page 7

LAVISH EXPENDITURE.

YOUNG CLERK MADE BANKRUPT. DISCUSSION AT MEETING OF CREDITORS. (by TELEGRAPH—PBESS ASSOCIATION.) WELLINGTON, Feb. 11. A voung clerk named Joseph Walder McClintock, who admitted to getting through £BOO in seven months, was subjected to a sharp cross-examination by his creditors yesterday. Unjustifiable extravagance was alleged in the form of the purchase of an expensive bedroom suite, the use of motor-cars, cabaret. parties and frequent visits to Christchurch.

Bankrupt admitted that much of his personal expenditure was foolish and extravagant, but claimed that it was not unjustifiable, as he believed that another large sum was coming to him from his deceased father’s estate.

The amount owing to unsecured creditors was shown as £272 9s Id, and the assets at £B, leaving a deficiency of £264 9s Id.

Bankrupt, in his sworn statement, declared that his present position was due to liabilities contracted in expectation of the final payment of not less than £IOOO from his late father’s estate, and to his inability to meet, them when the expectation failed. The Official Assignee: “I consider this is a case for the Crown Prosecutor. It is a clear case of unjustifiable extravagance.” Mr A. R. Atkinson, representing the bankrupt: “I take strong exception to the attitude you are taking up, Mr Official Assignee. You are prejudicing the case and pronouncing judgment in a most dictatorial manner. The statement which bankrupt submitted was as frank as any man in his position could make it. The fact of the matter was that bankrupt has been a fool and had burnt his money, but there was no question of fraud.”

Mr W. Perry said the creditors he represented had instructed him to oppose any hostile motion at the meeting. They were perfectly satisfied with the explanation bankrupt had given. The Official Assignee: “Bankrupt got through £BOO in seven months and there was no reason for him to get into deep water. lam still of the opinion that he has lived extravagently. ” Finally Mr Perry moved, and it was carried by proxy votes: “That no good purpose can be served by any further investigation, and that the estate be wound up as soon as possible. ,r . The Official Assignee: “Is this not taking the matter out of my hands? I don’t care what motions creditors pass, but I consider that action should be taken. I shall certainly take the action that it is my duty to do.”