In Bankruptcy.

Manawatu Standard, Volume XLI, Issue 8094, 18 September 1905, Page 5

In Bankruptcy.

The first meeting of creditors in the bankrupt estate of Joseph Shapleski, contractor, of Fielding, was held at the Palmerston North Courthouse this morning, Mr G. Scott, D.0.A., presiding.. The creditors present or represented were : —Messrs G. Newsome, A. Spratt, G. Jeffreys, G. Coley, D. Has-; well, McMurray and Co. Ltd., W. Banks, J Shapleski, senr., H. Knowles, A. Rawstron, M. Tierny, H. Purches, and J. A. Nash.

The bankrupt was also present. The statement.of affairs shows that the liabilities amount to £1034 and the assets to £167. The D.O.A. assured the creditors that' they were going to get very little indeed out of the estate. The debtor's statementwas then read by Mr Moore, in the course of which it appeared that he commenced business as a wood and coal merchant in December, 1902, at Feilding. At that time, of his existing liabilities, only £13 was due to Mr Tompkins and £30 tp Gorton and Son. He leased from Flavall half an acre of land with purchasing clause at £750, and erected thereon buildings to the value of £300, also a fixed engine, machinery plant and crusher at a cost of £142. A balance of £15 is still owing on the crusher He still held 101 acres at Kimbolton valued at £1414, upon which he owed to the Bank ©f New. Zealand about £900. He paid off the Bank by raising a mortgage for £800, and his. father guaranteed A'loo. Subsequently he sold the property for £1414 to one Frank Paul, who-paid a deposit of £150, the balance remaining for five years at five,per cent. He owned ten draught horses and six metal drays. In June, 1903, he raised £200 from Mr Harper upon the security of the horses. This sum was invested in wood and coal and towards the cost of buildings, and in the purchase of another horse at £35. He carried on the business till November, when he raised £380 on the security of the second mortgage for £464 from Paul and the section in Kimbolton road purchased by him. He gave particulars of the manner in which: the sum was applied. He then, took a subcontract from his brother for £417 metalling Miller's line. . After paying wages and stores he was about £80 in debt over the transaction. He next took a contract under the Foxton Borough Council for £672, and after completing that and paying wages and teams he still owed Coley £158, which he was unable to pay. He came to Palmerston in April, 1904. He had a contract from Monrad Bros, for metalling two streets for £710; Through bad weather he was unable to finish, and accordingly called a meeting of creditors, at .which it was decided to grant him further time for payment of his debts., The trustees in his estate undertook the management of the wood and coal business and dispensed with his services therewith. He was authorised to carry on the contracting business, £100. being .guaranteed by' his father for this purpo •, in addition to the £100 already due under his previous guarantee, to be secured on mortgage of leasehold. All his estate, was assigned to the creditors." air Harper, who held a security over chattels and second mortgage, realised and claims £30 deficiency on realisation. Through breach of covenant the leasehold was forfeited. During the whole of the time he was contracting he had had a banking account, and had handed, his bankbooks to the D.O.A. During the whole time he carried on. the wood and coal business it did not pay. ■ : The D.O.A. explained that the buildings, plant, &c, at Feilding had all been swept away by the landlord under breach of covenant, so that nothing could be expected from that direction. Li reply to Mr Hankins fer the D.0.A., bankrupt stated that he kept a ledger, day book, and cash book. They were in tbe possession of the trustees In reply to Mr Scott, he said that the ledger does not disclose the names of those he bought goods from, only those he sold stuff to.

Mr Hankins wanted to know how much money bankrupt had when he started in the coal business. Bankrupt said he had an overdraft of £800 at the Bank which he could'go up to, also the proceeds of the sale of.a contractor's plant. Bankrupt was cross-examined by Mr Hankins at some length, in the course of which it appeared that as far as the landlord was concerned a> sum of £25 had been offered to him as- rent and refused-by him. ■* . V (Left Sitting).