BAKER'S BANKRUPTCY.

New Zealand Herald, Volume LXIII, Issue 19391, 28 July 1926, Page 9

BAKER'S BANKRUPTCY.

WORK IN VARIOUS TOWNS. CREDITORS DISSATISFIED. CASE REFERRED TO CROWN. "I think this is the worst case I havo ever attended," said a creditor at a meeting yesterday in the bankrupt, estate oi E. 11. Barrett, baker, Rotorua. "I think that if we can take any action at all wo should certainly go to the limit." The official assignee, Mr. W. S. Fisher, said the liabilities amounted to £325, and there were no assets. Bankrupt had boen in several places in New Zealand and frequently left with debts unpaid. Theye had been a meeting of creditors in Rotorua, but bankrupt had failed to attend; saying as an excuse that he had not received a notice.

In reply to questions by the assignee, bankrupt said he had been a clerk before entering the baking'trade. He had worked as a clerk in the Stamp? Department at Invercargill and Napier, until about 1916, when he started" learning the bakery trade in Napier. His next mbve was back to Invercargill, where* lie worked as a law clerk. He loffc thr? position in 1923 and went on a farm neat Win tori. This was placed m his wife's name, but was financed by hipn fathers After a period in Timaru, he worked as a baker in Wellington for a few months before going on to Arapuni to join tlip, employ of baker* there. During this time he had contracted debts, some of which were unpaid.

Business at Putaruru, Barrett stated "he then went to I'utaruru, talcing over a bakery business for £5 in cash, in' addition to accepting the liabilities- of the previoos owner. ' This business, he said, was a "washout." He left it, and started working at Mamaku, baking bread for his wife, who sold it at Putarnru. He did all the work, but received no wages, all the business being in his wife's name. She- was financed by a friend, the widow of the baker for whom he had worked in Napier. After working for a while at Mamaku he movod to Rotorna, where a similar arrangement was carried out, baking bread and sending it to Putaruru to be sold. Tfoa business was closed about four or five months ago. In reply to a further question, Barrett said his'"Wife bad certain book-debts outstanding in addition to possessing baking gear to the value of abont £25. However, she had liabilities of her own.

Mr. Kealy, who appeared for creditors, then asked bankrupt whether he had not sold certain book-debts in Putaruru for £IBO last August after judgment orders had been issued against him. Bankrupt; That was used in paying an account to the Northern Roller Milling Company. Question o! Prosecution. Mr. Kealy: Why did not you pay the debts for which the Court had issued orders ? Bankrupt replied that he did not consider them his debts. They had been incurred by the previous owner of the business at Putarnru. He denied a statement by Mr. Kealy- that hin premises had been in the hands of bailiffs. For old accounts in the South Island he owed probably £SO. Mr. Kealy: Then you incurred debts of over £2OO when you were still £SO in debt. A creditor said the conditions of tne sale of the business should be investigated and Mr. Kealy added that the assignment of bankrupt's book-debts should also be looked into. It wa3 finally decided to place the case before the Crown solicitor with a view to prosecution.