MEETING OF CREDITORS.

New Zealand Herald, Volume XLV, Issue 13939, 22 December 1908, Page 6

MEETING OF CREDITORS.

AN UNFORTUNATE PARTNER. A meeting of creditors in the bankrupt estate of Stewaidßon, Woodhead and Go., iron and -brass -founders, was held at thit office of the official assignee, -yesterday af-"-ternoon. The assignee (Mr. E. Gerard) . presided and there were about a. dozen creditors present. Mr. ,J. G. Haddow' ap- ' peared for the bankrupts, The bankrupts* statement showed liabilities amounting to £511 ss'2d, and assets totalling £108- lis, thus leaving a deficit of £402.148 2d.! The assignee after reading ' the ; statement_|||| of the bankrupts, said that by tiiw state-'; ment they condemned themselves, 'as itwas shown they had been carrying on badness, although practically insolvent from, the start. W. H. Birkenhead (the-third partner in. the firm), seemed to have been" unfortunate, as ,he had gone : into the nasi* ness with £125 capital only a few BMBtiW ago.. " , Birkenhead said that when he wont- la the liabilities were shown at £243,' whilst _ the plant was valued at £239. He thought that according to this, he ; was juittified in "taking it on." \ It transpired since)"however, that the liabilities were greater that had been stated. '■•.''. / Stewardson, who had kept the toka, said that ,he had kept them correctly sow - as he knew. He showed Birkenhead everything that' was in the office. It .was stated by Birkenhead, in answer to a question,; that when he joined the business he transferred, his house to v hi4j|.r|J i wife. , The : latter, however, would' n.Qi'«n.- .- : deavour to prevent the assignee' realising on this property,; for the benefit of the - estate. The assignee said that Birkenhead was - in a most unfortunate position,' as he was really the biggest loser. • -. .Mr.rHaddow, said that this t was : ; so, and he suggested that the creditors might be disposed to consider the question of whether they would forego their right » the property referred to. .v» , The assignee said that the position cf the estate was . an. unsatisfactory one. 5 H* did think it would be possible to # tain anything for the goodwill of :* J ICart held by the bankrupts. . It was stated that a suggestion had been made that the bankrupts should be allow- ; ed to retain »!ie business on condition that they paid the creditors 10s in the £ out of future earnings. ? The assignee said that he could not re*, commend the acceptance of this proposal, as there appeared, from \ past experience, to be little prospect of, the bankrupts feeing able to carry it out. * < Mr. F. B. Winstone (representing Win* stone, ' Limited) suggested ;;' that to* creditors might extend some j consideration to Birkenhead/ who appeared to hav* been unfortunate in the matter. The assignee said that he could not discriminate between the partners, and it-was for the creditors to decide, whether «*/ would forego their right to realise onUtf' kenhead'e present property. . | It was decided, on Mr. .WinttonasragH tion, that a' committee consisting Of t» assignee, Mr. Graham (Briscoe and W-> and the mover, be appointed to ascertain whether satisfactory arrangements couu be made with Messrs. Hoiland and Gillet* to take over.the assets. . • j' After discission the bankrupts made> an offer to contribute 7s a. week each of tn«r future eai-nings, when in employment, until an amount equal to 5s in the *> «*<» been received bv the creditors, in addition to what they will receive through the real- > isation of the estate. This offer was accepted. ,1 On the motion of Mr. Winstone, ■ seconded by Mr. Gillett, it was resolved that Birkenhead be allowed to retain the property vested in his wife's name, proyjaeo that he undertakes to discharge the »*™*'- ties vi his private estate. . It was a*W agreed to accept one-third of tb».<iwfOH| contribution of 5s in the £, so far *< | Birkenhead is concerned, in any form ne »*«» or, if he so prefers, to accept m lieu there of. the equity of the property. The meeting was adjourned sine die.. - ——