KECKLSSS TRAEADINa

New Zealand Herald, Volume LXI, Issue 18709, 15 May 1924, Page 9

KECKLSSS TRAEADINa

- ROTOHOA STOREKEEPER. _ CREDITORS piSSATISFIKD. _- DISCHARGE TO BE OPPOSED.

"In all my experience I nave never come across a man showing less sense of responsibility toward his creditors,' '.- said the official assignee, Mr. W. 6. Fisher, at a meeting of creditors Vof William F.'3 Martin, storekeeper, of Rotorua. "He seems to have»been absolutely indifferent to his obligations, and has not cared ; jin?;Xl the least, so long as he has been able to |?; get what he wanted." This view was sup- " ported by one of the largest •;;• creditors,: who expressed' the opinion that bankrupt ;;■ should not be in business at ; all,) as hs> never seemed to have realised there was anything dishonest in getting goods without the prospect of being able to pay for them. '■■'''■;.':.;.■■•-- , ■

""■ The liabilities were £2449 19s 9d. Secured debts were estimated at £13 .12s 6d, with securities valued at £70. :■-..: The assets totalled £726 16s 6d, the principal items being , stock-in-trade and plant, £340 and : book debts, £300. The deficiency was i thus £1723 3s 3d. * . 1 . Loan from RVeads. In his statement Martin said he opened , a grocery business in Rotorua in , 1920 ; with £40 capital. . For some time the business showed good profits, and then | suffered a \ set-back through losses on fruit-selling: lines, and as the result of ,a change : in" the half-holiday, necessitating his giving up a lucrative line of refreshment business. Bankrupt borrowed £650 : from friends ;• to build ?: up the business, also giving a bill of sale ever the stock in order to obtain further credit- Business increased,: and bankrupt moved into larger premises. Owing to the difficulty of getting money in from customers, bankrupt borrowed a further sum,; taking the lender into the business on wages. Some of the money borrowed was put into .hardware stocks,: which proved unsaleable, resulting in further loss. * v In March last, creditors were pressing bo heavily that bankrupt came to Auckland to try ;to adjust I matters. ;.!,'■.!;', As -several creditors refused to accept any compromise, he was"'. forced to -file. ,-,; : , '~$ 'W-r:' Under examination ,by >_ the official assignee, bankrupt' r said he i had had :no - hesitation in borrowing money, a3 he had expected the position i. to improve e and tto .•; be 'able to taKe the lender into partnership.": After trading x for twelves itaoaths, ■*' he sent his ) books '< to an ' accountant', but;-. < had not kept; any ; record of tbti balance, ~■; which * he, thought, - " was a little, bit .to i the bad."

Trusted.,as:a Brother, .'«.~ The accountant in question v<»lunteered the information that in September, 1921, the books showed bankrupt to be m debt to the extent ;of about £300. Ha \ drew, up another balance-sheet»'about a year later,; ? which showed him to be -£81 to" the good. v : At no s time, ; however, had bankrupt ; men-;:' tioned the £650 hei owed to bis friends.>/ '0 '■■ Martin's explanation "of this * was that the latter had never J paresaed him for ;, the: money, which was refill* intended' as a payment in respoct of .a partnership ' which, through : i ailing' business, had • not . > ? materialised.. ■ ■ ."'' ; «■;'. * ' ■■: -- v : This! statement' ' ; was --' : ; confirmed :by f; the..-.: ;>■ lender of the money, ) who! stated, he shad trusted bankrupt as e, brother, and whenever he had tasked^arvibe^loari'qf a few ; pounds, it v had ji b«e« given. 1 Bankrupt; i" had assured the spoaker,: that his position '' was sound. i rA resolution v /■■ was passed ■recording ;f creditors' extrertiv. -dissatisfaction with the conduct of \ banJofupt, audi requesting ; the v % assignee to oppose his discharge. ''And" ifiit-lies with me,',' added Mr. Fisher, ."it will be a very long while before you; are allowed to" "trade again "as an ordinary individual." ■' '■ Three ofM,he principal creditors were appointed j t«^ co-operate with ' the assignee '".-.. in the adjustment of the estate. ''.