BANKRUPTCY OF A BOOT IMPORTER.

New Zealand Herald, Volume XL, Issue 12241, 9 April 1903, Page 6

BANKRUPTCY OF A BOOT IMPORTER.

The first meeting of the creditors of BenjaI min McKerras, boot importer, was held in j the official assignee's offico yesterday. The debtor's sworn statement was read as follows:—In August, I&S6, on the death of my father, and with tho consent of the principal creditors, I accepted his liabilities to the amount of £1835 19s 3d, showing a deficit of £395 9s Bd, but with certain assets to the amount 0f.£24-1, together with loss on book debts and bad condition of stock, I estimated the deficiency was £700 odd. I agreed to pay 20s in the £, and accordingly signed bills for the amount, extending over 15 months. I. remained in the same shop, rented at £6 10s a week. For these 15 months' bills no interest was chargeable, but when later renewals were made interest, was charged. The interest in my father's life policy, of the net value of £135, was put into the business, and the mortgage of £400 raised on property left to my sister was put into the business at her request some two years later. In 1897 the rent was raised to £8 per week, and this necessitated my taking smaller premises at £4 10s per week. This change necessitated the expenditure of close on £200 in buying out a business and fitting up the shop throughout, including a new front. In July, ICO2, I called my creditors together and placed the position before, them. My liability at that time was £1131 13s and assets £1131 8s Bd, stock being taken at cost. It was agreed that I should carry- the business, paying 20s in the £ in 5s dividends monthly, and purchase for cash. This proved unworkable, as the stock was getting low, consequently full prices could not be realised, as sales were forced. My position was again put before tho creditors on February 3, 1903, when my liability was shown at £1014 Is ,7d and assets £669 16s 9d, the stock being taken at valuation by supervisors appointed. As a result of this meeting I offered to pay 10s in the £ in bills extending over 15 months. This was accepted by all the creditors excerpt one for £47 0s 4d, and this necessitated my filing in order to protect the general body of creditors. My present liabilities to 15 creditors, all unsecured, are £1013 8s 9d. The assets are estimated as follows:—Slock iu trade, £337 5s lOd ; shop fittings and furniture therein, £130; book debts, £202 0s lid; goods, £160: household furniture, £lo0; total, £775 5s ; 10d: deficiency, £236 ?.s lid. The following resolution was moved by Mr. Fleming, seconded by Mr. Langguth, and carried unanimously, "That the bankrupt's offer of 10s in tho £ clear of costs in bankruptcy be accepted, such composition to bo made up by equal instalments by promissory notes at three, seven, eleven, and 15 months, the last promissory note to bear the endorsement of Mr. James MeKerras; also, that Messrs. Dcarsley and S. M. Green be appointed trustees to receive the moneys and distribute the same amongst the various creditors: also, that tho official assignee bo requested to take all necessary steps to annul the bankruptcy, the creditors paving the costs incurred to the amount of £15 pro rata." -