BANKRUPTS TROUBLES.

New Zealand Herald, Volume LX, Issue 18457, 21 July 1923, Page 12

BANKRUPTS TROUBLES.

DISCHARGE NOT GRANTED.

ALLEGED DEBT TO ESTATE.

' The affairs of the defunct firm of Hammond and Cracknell were freely ventilated in the Bankruptcy Court yesterday, ■when Robert Harold Daveney (Mr. Leahy), described as a farmer, again applied to Mr. Justice Herdman for his discharge. Mr. V. R. Meredith appeared for the Official Assignee. _ Mr. Leahy said that when the application was .first made four months ago it was opposed because it was stated that rash and hazardous speculation had 'caused the trouble. The' Official Assignee then had raised the question of bankrupts indebtedness' to the extent of £3000 to Hammond and Cracknell, and the case was adjourned to enable debtor to explain the supposed debt. That, in their opinion, they had practically done, but the accountant dealing with the affairs of Hammond and Cracknell "had made no' attempt to investigate the account. He had simply supplied debtor with- a copy of hi? debts and credits from the firm's trust ledger. Debtor would state definitely that he did not owe the firm one penny. His Honor He ought to be able to demonstrate it, ''..-' Mr. Leahy said it would need an accountant properly to go into Daveney'a 1? years' dealings with Hammond and Cracknell. Daveney was a hard-work-ing farmer, 57 years of age, with a wife and two children, and' the alleged debt was no ground for opposing his discharge. His Honor: The real ground is that he has been gambling in land. • - •:■ • . Counsel said that debtor, when he made the speculations, had sufficient assets to warrant him doing so. . i Mr. Meredith said that since 1910 there had always been advances to Dave'«&y, who was considerably in debt to the fisto in connection with mortgages and land transactions. It must be perfectly easy for debtor.to put his finder on the various items and show he had paid. them. The amounts must have been paid through banks, and if the indebtedness had been paid off it would be "easy for Daveney to demonstrate it. It was significant that Daveney could not produce books or 'any proof that the money had been paid. Bankrupt, in evidence,,. said he had never received a demand from Hammond and Cracknell for money owed to them. Questioned as to whether he had had a loan of £750, bankrupt replied that he did not borrow the money. His Honor said that if he were not indebted to Hammond and Cracknell he should be able to satisfy, the official assignee. His Honor adjourned the matter till the next sitting of the Bankruptcy , Court> to give debtor a further opportunity of going into the account".. ' >