BANKRUPT BUILDER.

New Zealand Herald, Volume LXV, Issue 19888, 6 March 1928, Page 12

BANKRUPT BUILDER.

TOO MANY CONTRACTS. SPECULATION IN SECTIONS. "Apparently he has been a good, honest worker, but took on too many contracts at the one time," said the official assignee, Mr. G. N., Morris, at a meeting of creditors yesterday of Baden Watson, contractor, of Mount Eden. The schedule showed £3175. owing to unsecured creditors. The sum of £3OO was owing to secured creditors, the securities being estimated to produce leaving a surplus from securities of £259. The assets, comprising the surplus tfrom securities, book debts, cash in hand, and property, amounted to £1932, leaving a deficiency of £1243. In a statement, bankrupt said he commenced business as a builder and contractor three years ago. He had £2OO, and six months later was advanced another £3OO. At the end 'of 18 months he estimated he had improved his . position by £3OO or £4OO. In January of this year he experienced difficulty in meeting accounts and was forced to 'file.

Bankrupt attributed his failure to endeavouring to supervise too many contracts at the one time over too wide an area; errors in quantities and in estimating costs, and in unwise speculation in buying sections and loss of interest on them. Examined by the assignee, bankrupt said he worked as a carpenter for a number of years before taking up contract work. Eighteen months ago his assets exceeded his liabilities by £SOO or £6OO. Questioned concerning preferential payments, bankrupt said he paid one firm £IOO because he was given full discounts. A Creditor: I think we would all have given full discounts if we were paid. The assignee said it was obvious bankrupt did not know w r hat his position was until January of this year. He could not understand, however, bow bankrupt could have run up liabilities exceeding £3OOO without knowing it. A Creditor: I do not think he ever realised his position. , The question of bankrupt's discharge was left in the hands of the assignee.