BANKRUPTCY.

New Zealand Herald, Volume XXVI, Issue 9452, 24 August 1889, Page 3

BANKRUPTCY.

MEETING OF CREDITORS. Adam Layboctrn (merchant).—A meeting of creditors in the estate of Adam Laybourn, merchant, waa held on Thursday in the Official Assignee's Office. Present: The debtor and his solicitor; creditors, Messrs. E. Hesketh (for Orr and Co., Timaru Milling Company, New Zealand Farmers' Association of Canterbury, and Timaru Co-operative Association), Allen (Morrin and Co., Limited), Hobarfc (Bank of New Zealand), J. Buchanan (for E. Buchanan and Co.), James (New Zealand Frozen Meat Company), Tennant (Bank of New South Wales), Devore (for Bing and Balliol and Co.), Binney (for Newton King, Evans and Wilcox), Fry (Bycroft and Co. Gorrie (Upton and Co.), Garrett (New Zealand Farmers' Association), C. Hesketh (for H. Connell and Co.), W. S. Laurie (W. S. Laurie and Co.), and Knox (for G. G. Stead, Farmers' Agency, Dunedin, Morrison Stewart, Sydney, J. Gilchrist and Co., Sydney, Smith and Co., and Hay). The Official Assignee read certificates from Drs. .-Lindsay and Davy to the effect that Mr. Laybourn is suffering from symptoms of congestion of the brain, and therefore unfit for the strain of business and worry, which, if forced upon him, may produce serious results. The Official Assignee then proceeded to read the debtor's sworn statement. The Official Assignee explained that immediately after the filing he deemed it fe'fest to place an independent person in charge of the business, with instructions to take stock, close the books, make up a full list and accounts of the book debts, and carry on the business on cash lines pending this meeting. Mr. Brnney, who represented three large creditors, had been applied to for the use of his clerk (Mr. Philpot) to take charge on the same remuneration he (Mr. Binney) paid him, and Mr. Binney had consented. All the staff except two clerks and a storeman had been dispensed with, and the two horses, cart, and stable utensils had been sold. The following documents were then placed on the table, viz. : —Mr. -Philpot's report, dated 22nd August, with stock sheets showing the estimated value at £1308 cost; list of book debts, exclusive of bills, estimated as good for £5853 16s 4d, doubtful £286 16s 9d, and bad £2950 8s 6d ; letter dated May 1, 1889, given by the Bank to the debtor when he proceeded South ; the composition deed of February, 1886, with circular to creditors dated February 19, 1886, and the balance-sheet of that period; leading lines of shipments between May 3 and July 10, 18S9; profit and loss account at date August 10, 1889; and balance-sheets at dates January 19, 1887, and 1888. The Assignee pointed out that he had also called for a statement of particulars of losses by book debts, shipments, etc., since February, ISB6, but further time would be required to prepare this. He also stoted that he bad received in cash up to date £841 10s Bd, and bills£s77 16s sd, and explained that the Southern correspondence since May last was being collected and placed in order for investigation. On the creditors being requested to give expression to their wishes with regard to the realisation or other matters in connection with the bankruptcy, Mr. E. Hesketh said it was his intention to examine the bankrupt on various matters on behalf of his clients, but under the circumstances he felt reluctant to do so at the present time. Probably a little later Mr. Laybourn's health might be better, and in the meantime he would look through the correspondence and statements now pub in, and more fully prepare himself to elicit the desired information. After a few questions pat to the debtor, and remarks Irom others, the following resolutions were put and carried unanimously :— Moved by Mr. Heskoth (for the New Zealand Farmers' Association of Canterbury), seconded by Mr. Fry, " That the debtor be requested to furnish to the Official Assignee a statement showing his financial position in tho month of May last, when he left Auckland to visit the South." Moved by Mr. Hesketh (for Mr. Orr), and seconded by Mr. Fry, "That the debtor's accounts be taken from t.he date of his deed of composition in February, 1886, up to the date of filing, by a competent and disinterested accountant, to be appointed by the Official Assignee, at a remuneration not exceeding £15 155." Moved by Mr. Fry, and seconded by Mr. Charles Hesketh (for Connell and Co.), "That tenders be called for the stock, plant and goodwill of tho business, returnable on Thursday next, the 29th instant, at 12 noon, and be considered by the creditors at 2.30 p.m. on the same day, and in the meantime cease selling." It was also understood that the wholo of the staff exccpt the storeman be dispensed with at once.

Geoek Ivii. (tobacconist).—A meeting of creditors iu tho estate of George Ivil, tobacconist, bankrupt, was held yesterday morning at the office of the Official Assignee. Present: The debtor and his solicitor (Mr. Stone), and the following creditors : —Messrs. McMillan (McArthur and. Co.), Nashelski (Hayman and Co.), Cologrove (Nelson, Moat, and Co.), Partridge, Brown (Brown, Barrett, and Co.). Davis, Whitfield, Stone (for Binsted and Bowderi), and Finlayson (Sargood and Co.). The debtor's sworn statement, particulars of which have: been already published, was read by the Official Assignee. The estimate of the assets was 12s in the £, but that was excessive. Through a largelysigned requisition, signed by creditors representing £704 out of £742, he had permitted the bankrupt to carry on the business. The receipts had been handed over, and funds necessary for the trade had been furnished. In answer to the Official Assignee, Air. Partridge stated he was a creditor for £400, ana of that rent due was £66. He proposed that there be separate tenders invited for stock and fixtures. Mr. Brown, on behalf of bankrupt, offered 4s 6d for tho stock. He refused to make it 53. The Official Assignee said the stock was valued at £240, and shop and saloon fittings, at £103. Mr. Brown offered 4s in the £ clear to the creditors, bub as Mr. Partridge hesitated to accept it the offer was withdrawn. Mr. Partridge moved, and Mr. Nashelski seconded, "That tenders be called for the stock and fittings separately." Agreed to. Mr. Brown moved, and Mr. Partridge seconded, "That the bankrupt be allowed to retain his furniture."

Jambs DoveiJj (com factor, Newmarket). —A meeting of creditors in the estate of James Do veil, corn factor, was held yesterday afternoon at the office of the Official Assignee. Present: Debtor and his solicitor (Mr. C. Madden), Messrs. George (of Buckland and Sons),Cl. \V. Binney,Chas. Roberts, and Hubbard. Mr. G. N. Brassey represented Messrs. R. Comer (Thames) and Chas. Roberts, two of the largest creditors. Debtor was examined on oath. He stated that lie assigned £147 of book debts to Messrs. Stone Bros., while only owing them £83. The firm promised, in consideration of the assignment and trading with them, to give him £100 to carry on the business. He was to be put in the same position as certain other persons doing business with them. Mr. Jas. T. Hendry told him so, and said he was a partner in the firm. The deed of assignment stipulated that he was to get £100. His solicitor drew up the deed. That gentleman also acted for Stone Brothers. Mr. Hendry gave instructions to get the deed drawn up. He was present. Mr. Coleman had not acted for him before. It was Mr. Hendry's suggestion. Mr. Hendry told him before the deed was completed that lie could get whatever goods were needed from the store. This statement induced him to make the assignment. After the deed was signed Mr. Hendry said Stone Brothers would collect the debts. He went to their place of business about a fortnight afterwards and saw Mr. Hendry who said witness had better collect the debts himself. Mr. Hugh Mcllhone was present at the time. Before he signed the deed, Mr. Hendry promised that he should have the £100 in cash. When his cart and horse were sold, Mr. Hendry took the interpleader summons claiming the horse as his own property; but. the interpleader was not proceeded with, and the . goods were sold and paid over to the creditors, who issued executions. Mr. Comer (Thames), and Mr. C. Roberts, his father-in-law, bought his (the bankrupt's) stock-in - .trade and goodwill of business he started in from Sutton and Co., and the two former resold it to him again for the same price they had purchased at. He had received £100 in cash from his father, in England, and had famished a statement of accounts. £24 12s 5d was owing to Sutton and Co. He did not not put his book debts in Mr. Coleman's hands to collect. Sold the lease of his place, as he wanted to get rid of it to pay his uncle and father-in-law £6 lis Sdon Glh August. Had offered the place to several persons. At the time there was no stock

in ii). Messrs. Brassey, Hubbard, and George questioned the debtor on several matters, which went to show that Mr. Stone had had nothing to do with bankrupt but business dealt with by Mr. Hendry, after which Mr. Brassey moved, and Mr. C. Roberts, seconded the following resolutions : —" (1) That this meeting request the Official Assignee to examine Mr. C. B. Stone and Mr. J. T. Hendry relative to the assignment made by the bankrupt to the former, of the book debts of the bankrupt, and that Mr. Stone be called upon to account to the Official Assignee, on behalf of the creditors, for such sums as be has collected under the assignment. (2) That the meeting stand adjourned till the 6fch September, at the same place and hour (2.30 p.m.)."