BANKRUPTCY.

New Zealand Herald, Volume XXVII, Issue 8387, 15 October 1890, Page 3

BANKRUPTCY.

T\ Johnson.Thomas Johnson, bankrupt, was examined on oath yesterday by the Official Assignee. He said :—I started road making about six years ago with live stock, tools, and implements worth from £700 to £800. la May, 1887, having finished a contract on the Kaihu Valley railway, I started a general store at Puhipuhi, and mostly bartered my goods for gum. I did very little cash business. My books are only records of transactions with the gumdiggers. I kept no books prior to opening the store in 1887. I consider I was thou worth £800. My books do not, however, show this. The Puhipuhi store is only kept open during the winter months. I had a branch at Drovers' Valley, but only kept it open during the first summer. Some of my plant is still at Dargaville. lam living at a place near Dargaville, a four-roomed cottage, outbuildings, and seven acres of land, which I own, but with the exception of the furniture and a few outside things, the property is mortgaged to Mr. Mason. The banks have mortgages over two of my properties—73 acres and 116 acres respectively ; and also over twenty-two horses, sundry drays and farm implements, to secure an overdraft for about £500. I have a small contract for road-making on hand now, on which I have spent £40. 1 expect to clear £50 by it. It could be finished in a month. No advances have been made, nor will there be until the work is finished. Three weeks ago last Thursday I was thrown from my horse at Puhipuhi and have been unable to attend to business since. Whilst in Auckland for medical treatment I heard, for the first time, that a. case which I had previously instituted in the Supreme Court against Messrs. Mitehelson Bros., for' the recovery of £259, had been decided in favour of defendants. I had never been advised of the case coming on. My solicitor at Whangarei had been instructed, and 1 could easily have proved that my claim was perfectly good. Through some misunderstanding between my solicitor and his representative at Auckland there was no appearance on my behalf, and I was cast with double costs. With a view to have the casa re-opened I applied to the Auckland solicitor for the papers, on which £5 5s was demanded and paid. This action, coupled with my inability to attend to business through tho accident, has caused mo to file. My unsecured debts amount to £7'2S, or thereabouts, and 1 estimate my assets in stock-in-trade at Puhipuhi £100, plautat Dargaville £10, book debts good for £50, and surplus from securities in hands of secured creditors £362: total, £552—deficiency £176. lam still unable to attend to business, and my statements may not be quite accurate. By the aid of friends I am hopeful of being able to make my creditors a satisfactory oiler for the estate.