MAGISTRATE'S COURT

Nelson Evening Mail, Volume XXX, Issue 140, 15 June 1896, Page 2

MAGISTRATE'S COURT

ALLEGED BREACHES OF THE BANKRUPTCY ACT.

At tho Magistrates' Court to-day, before Mr H. W. Robinson, S.M., eight informations against Walter Neame, contractor, of Longford, for alleged breaches of the Bankruptcy Act, came up for hearing. All the informations were laid under Section 137 of the Bankruptcy Act of 1892. The first four informations' charged bankrupt with having at the time ho contracted debt with Levien Bros., VV. Moycs jun., Wilkins & Field (2), and Rutherford, no reasonable and probable ground of expectation of being able to pay same. The fifth information "charged defendant with having within three years from the commencement of his bankruptcy failed to keep proper books of accounts. The three remaining informationslwere:— Thatdefendant within three years of his bankruptcy paid away monies out of his regular receipts, not being for the ordinary expenses of himself ana family. That he did not deliver to the Official Assignco all property in his custody as required by the Act. That after presenting his petition in bankruptcy defendant attempted to account for part of his property by fictitious losses. Mr Maginnity, for the defendant, applied that the informations be beard before Justices, so that in tbe event of a commital tbey oould be heard by the Distriot Judge at the Distriot Court in August— whioh would give him time to prepare a defence. Mr Fell for the Official Assignee, said he oould not agree to the proposed course. He thought counsel had had ample time to pre"ftire his defence before the sitting of the Supreme Court,

His Worship said at present he had nothing before him to show tbat he might not be able to deal with the case summarily. In the oircumstanoes he did not think he could entertain tho application, but he could reserve tho right to exercise his discretion until he had heard evidence.

Mr Fell briefly outlined the facts relating to the bankruptcy-— the first information, that of contracting a debt with Messrs Wilkins and Field without having reasonable and probable ground of expectation of being able'to pay, being heard. The facts, related by Mr Fell, were that tbe accused was a contractor ab Longford, and on 25th February last he filed a declaration of insolvency, and subsequently a meeting of his creditors was held. The statement of liabilities and assets showed a, deficiency of £251 Os 10d, It would be shown that the assets in the estate were visionary, and that at the time the debts were incurred the accused could not have had any reasonable expectation of being able to pay them, Arthur A. Scaife, Deputy Official Assignee in Bankruptcy, produced a statement of bankrupt's affairs as filed by him, The assets shown therein amounted to £151 18s 6d, and the liabilities in unsecured debts £402 19s 4d, the deficiency being £251 Os lOd. Witness had done

his best to collect the assets. Up to date . £116 worth of stook had been sold in the estate. Witness believed there were some more cattle somewhere, not yet found, besides perhaps £10 worth of goods concealed in the bush, and lately Found by a constable. Witness did not anticipate g-tting a large sum from any other source for the benefit of the estate. On the 81st December, 189S, witness believed the debtor's position to have been much as it was at the time of filing. To Mr Maginnity : Out of 25 head of cattle mentioned in the list nine had been sold, and 47 pigs, the tormer for £14 2s 6d. If the othor oattle were recovered and sold the assets would be increased by £25. Wit-ne-s must have known. himself insolvent in December. He had only a lew shillings in the bank and his oheques were dishonoured. Supposing acoused had an expectation of a bonus of £150, he ought to have allocated the money ho received to debts incurred previous to Messrs Wilkins & Field'B. If a sub contractor's claim were disallowed, the liabilities would be reduoed to £360, leaving tha deficiency at about £207.

Re-examined: The book debts estimated to produce £25, were really setoffs. Thetotal assets realised £33, plus £19 14s 6d or £52 14s 6d. The bulk of thejother assets was undisclosed by the accused.

Thomas Field (Messrs Wilkins and Field) stated that when inourring debt accused made no special reference to his position. The account was for £10 13s 9d.

For the defence, Walter Neame stated that his, last contract was the maintenance between the Owen Junotion and Longford at £100. Accused was promised and had obtained " extras," such as bridges, and oulverts, and deviations, but they broughtjhim only £15 or £20. lie lost from £260 to £290 on the contract. He was led to believe by verbal promises made by the District Surveyor (Mr Snodgrass) that he would reoeive compensation for his loss in extra work.

At this stage His Worship read a telegram from ibe Chi f Justioe, intimating tbat it would be impossible to hold the sittings of the Supreme Court at Nelson until the 29th July. {Left Sitting).