STOREKEEPERS' FAILURE.

New Zealand Herald, Volume LIII, Issue 16204, 14 April 1916, Page 7

STOREKEEPERS' FAILURE.

EPIDEMIC AND WAR.

LACK OF CAPITAL.

A meeting of creditors in t'io bankrupt estate of James Bentiey Kemp and Joseph Chamberlain Young, trading as storekeepers, at Tauranga, was held in the offico of the official assignee, Mr. W. S. Fisher, yesterday afternoon. Bankrupts' statement showed liabilities to unsecured creditors amounting to £1803 17s lOd, and £342 19s 8d to secured creditors, who hold securities of an estimated value of £650, leaving an estimated surplus of £307 0s 4d. The assets are :—Sfcotk-iii-trade, £463 17a 2d; plant, £181 15s 6d; book debts, estimated to produce £800; "h in hand, £13 18s 8d; cash in bank,£26 2d; surplus from securities. £377 Oi 4••' The tota' .Is .re £1" 7i' 1-- fng , , "i.- , -i-"f-i- oi „Jt> « 6d.

Bankrupts staled that they commenced jsin,ess in Tauranga in September, 1913, as land agents. The epidemic amongst the Maoris, however, spoiled InM for some time. In November of the same year they purchased a store. The epidemic, which had greatly subsided, became more virulent, and owing to this cause, and the strike following it, their business suffered severely. They were pulling the trade up, when the wir broke out. A wetithy farmer agreed u> build them a new store, and they endeavoured to raise money in Auckland to put into the business, but without success. When 5 tfSTi iti.ig campaign was inaugvraled ij .'v.rev;., M:\ Kemp, tain;? elhibk Vdl'.Tt'.'ipreiJ for s-.r.j.c - ■■>>.me ■■' 'hi cref'it.ji •• objected, and a sum.•■••.« w., iif;?'! On tho adv'!!',-) of the largest creditors they filed their petition. Young, on oath, said ho had had previous experience in the trade at Westport. On leaving ihere he went to Tauranga. There was some £3')o owing to him when he left Westiwr., o' which he had been able to collect practically nothing. The turnover at tlu twore was estimated at approximately £3600 per annum, the trims profit being £720. The sum of £2 7s 6d was paid weekly as rent, and wages amountod to about £3 10s. The assignee said it was a. case of two men going into the business with little capital. One of them had in two years drawn nearly £1000 from the business. Both bankrupts stated tha; they had lived carefully and had worked hard to make the business a success. , Eventually it was decided that three of tho principal creditors should act With the official assignee in realisms: the estate.