CREDTORS' MEETING.

Mataura Ensign, Volume 11, Issue 821, 2 November 1888, Page 6

CREDTORS' MEETING.

IN RE PBIER HENDERSON, 0 GO^E CONTRACTOR; . An adjourned meeting of creditors in the above estate was held at the Courthouse on Tuesday, the DeputyAsßignee presiding. Me Fletcher appeared for the debtor, and Mr Edwards for Mr Murdoch, one of the creditors. There were several other creditors present. The Pepucy- Assignee said that the meeting tad been adjourned last week in order that the bankrupt might hand in his books and papers for examination. This had beeu done, the books furnished being a bank book and one other book which did duty as ledger, cash book and day book. At the last meeting bankrupt had been questioned about his oash transactions during the last few months. As he had not kept a cash book the only record was in the bank book, and from that it appeared that between January last and the end of September bankrupt received L2OO, all of which had been paid away with the exception of a few shillings that still stood to his credit in the Bank of New Zealand. The bank book might, or might not, disclose all the debtor's transactions, but he could not see that there had been any fraudulent intention on the part of the debtor in not keeping a cash book. As to the bankrupt's dealings with Mr Murdoch, it had been stated that the goods were charged against Mr Bell and nob against debtor. Well, he had found amongst the debtor's papers documents which showed that Mr Murdoch treated Henderson as the debtor. There was one invoice dated 1887, in which Mr Murdoch debits Henderson with certain amounts. Whatever understanding there might have been between Mr Murdoch and the bankrupt, the documents forwarded showed that Mt Murdoch had treated Henderson as the debtor. Ho (M> Macleod) had also communicated with Mr Bell, who had replied to the effect that he did not regard Henderson as acting as agent for Mr Murdoch. Debtor appeared to have done for Mr Bell work to the value of L 126, and that amount had been paid to debtor by Mr Bell, who declined to recognise any claim of Mr Murdoch's against him ; so that the only assets were the book debts. . Mr Edwards said that what he particularly wished to know was in what way debtor had disposed of the money he had received. Had it been used to purchase these sections for his wife, or how had it been disposed of ? Mr Fletcher said he would explain ; about this section once more. Mrs Henderson had acquired a small lease- ; hold with a two or three-roomed; cottage on it and had negotiated for thej purchase through Messrs Green and; Souness; Mr Edwards would like to know if . there was any other property debtor , had acquired. At last meeting he was; uncertain about everything owing to not having his books. The D puty-Assignee said that the , bank book showed pretty well how the; money had gone. There were not very many amounts over LIP, and it could ! be seen to whom they were paid. Mr Murdoch gaid tjjat some amounts might not have gone through the bank at all- „ The debtor was sworn, and in reply to Mr Edwards said he had no other books of account except those forwarded to the Deputy^Assignee. His wife had no other property ess&ept the leasehold already referred to. Had d^ne no work on the property himself eseept to j put up a cow-bail. j Mr Beattie : What did you do with the L3O you obtained from me on a valueless bill ? Debtor : I paid it away to different people who . were pressing for money, ' I think Murdoch got the most of it. ; Mr Murdoch did not see how that could be, seeing that he had only received about LSO altogether. Debtor : It was about this time that fever came in my house and knocked j me heels over head, L 27 was paid to Murdoch. Mr Murdoch : That L'/7 was guar- j anteed by Green and Souness. They would have had to pay it if you had not done bo, i Mr Beattie wanted to know if debtor was in a bankrupt condition when he obtained the loan from bios. The Deputy-Assignee did not think that this could be shown. M? Beattie asked debtor if he had any reasonable expectation of being able to pay the money back when he got the loan. Debtor i Yes } if I could have got work I should havd been able to pay it back, but infectious disease broke out in my house and I could get no work for about three months. Mr Murdoch agun expressed a desire to know what had bee& done with whatever money debtor had received, The Deputy- Assignee said it was i impossible to say what had been done with the money in the absence of a proper record of the business transactions. Many people seemed to think that; a bank book was a sufficient record, but of course that was not so. With the man w»o did not keep a cash book you were at the marcy of his veracity. Mr Murdoch moved that the Deputy* Assignee take proceedings against the bankrupt for nob keeping proper books. The Deputy- Assignee thought it would be necessary to show that the debtor contemplated fraud by aot keeping a record of his cash, It would hardly be woi'th while going before the judge unless some specific charge were made. Mr Edwards said that the Act was very clear on the point. The man who did not keep proper books was liable to punishment. The D-paty Assignee said he merely gave his experience ot proceedings before the judge. Mr Fletcher said the Act certainly contemplated that there should be fraudulent intent shown. He put in an I amount rendered by Mr Murdoch to ' .V I .'.;' . • / - •

Henderson in which the amounts due on various accounts (Including that for Mr Bell's timber) were set out, credit was given for sundry payments, 'and a cheque was asked for the balance owing. Mr Beattie seconded Mr Murdoch's motion. He thought that it woukl do good to bring tbe matter into prominence. The Deputy Assignee said he would bring the subject under the notice of the judge. As to the, assets — the book dobts. He presumed that it would be best to sell them by tender. Ho thought that; debtor's troubles dated back to the time when he made a composition with his creditors a good time ago. If he had filed then he would j have boon in a better position now. j He had over-estimated hia power to i pay his debts off and in endeavoring to do so. had only. involved himself afresh. Mr Beattie moved that the Assignee realise the Jtbook debts by calling for tendera.~~Seconded by Mr Murdoch and carried* i In reply to the Deputy Assignee the debtor said be made a composition of 3s in the £ some years ago and then he was left; a lot in debt. He had about L9O to pay for wageß. The Deputy Assignee said that evidently/ Henderson's position was known to his creditors, and they should have kept clear of him. The meeting then closed.